The Delhi High Court's observations made in January, after a member approached it, were brought to the notice of TI. The court had said that TI India had not followed the proper procedures while carrying out amendments to the Memorandum of Association and Rules & Regulations in 2003 and 2005.
Also, the India chapter - which as per its own website, seeks to promote transparent and ethical governance and to eradicate corruption - had no clear criteria for selection of active members from the general members. Only active members were allowed to contest and vote for election to the board of members.
TI India has about 40 active members and 535-odd ordinary members.
After lawyer Ashok Arora and retired judge Justice Kamaleshwar Nath, conveyed contradictory opinions to TI secretariat at Berlin, its Membership Accreditation Committee (MAC) wrote to TI India in September 2012 to dissolve the existing board and hold new elections.
The AGM on Saturday approved the amendment that would allow only active members to contest elections but all members to vote. PS Bawa, chairperson TI India, said: "Now that the amendment has been done, the rules would be circulated and would take logical course. (Though) there could be a time gap."