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Strip club director wins stay

Date

Michael Inman Court Reporter

The ACT Supreme Court.

The ACT Supreme Court. Photo: Graham Tidy

The director of a Canberra strip club has won the right to continue running the establishment, temporarily ending moves to have her sacked.

Rulla Bakri sought an injunction to block a directors' meeting of CMC Management, which runs the Capital Men's Club in Fyshwick.

Ms Bakri and Fulvio Gobeo are directors of the company, and Sam Gobeo is a shareholder.

Ms Bakri applied to the ACT Supreme Court to stop the Gobeos from removing her as a shareholder, director or employee of the Gladstone Street business at the meeting.

The club - which is decked out in the style of a luxury Roman villa - has been operating in the ACT since 2011.

But the business relationship between its owners had soured amid allegations of mismanagement and potential misappropriation of funds.

Ms Bakri's legal team successfully argued a move to oust her from the company would be a breach of the company's shareholder agreement.

Justice John Burns granted the injunction earlier this month, setting out his decision in an ex-tempore judgment published on Monday.

''It is clear that for some time the relationship between the directors has deteriorated, to the extent that there is not a good working relationship between [Ms Bakri] and [the Gobeos],'' Justice Burns wrote.

''I am satisfied that the plaintiff has an arguable case with respect to the potential breach of the shareholders agreement if [Fulvio Gobeo] uses his casting vote as chairman of the board to vote in favour of the proposed resolutions.

''Until further order of the court, Fulvio Gobeo and Sam Gobeo are restrained individually or jointly from interfering with or removing Rulla Bakri as a shareholder, director or employee of the [club] and interfering with or removing her from conducting the day-to-day management of the business known as Capital Men's Club.'' The trio are due for mediation on Wednesday.

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