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Karnataka High Court

Canara Bank Sc /St Employees vs The District Registrar Of Co-Operative ... on 15 December, 2018

Author: B.Veerappa

Bench: B. Veerappa

                          1




     IN THE HIGH COURT OF KARNATAKA AT BENGALURU

      DATED THIS THE 15TH DAY OF DECEMBER, 2018

                        BEFORE

          THE HON'BLE MR. JUSTICE B. VEERAPPA

      WRIT PETITION Nos.34526-34533/2018(GM-KSR)

BETWEEN:

1.    CANARA BANK SC /ST EMPLOYEES
      WELFARE ASSOCIATION (REGD)
      BENGALURU HAVING ITS CENTRAL OFFICE,
      AT JAI BHEEM BHAVAN,
      NO.16, 2ND FLOOR, J.C. ROAD,
      1ST CROSS, NEW MISSION ROAD,
      BENGALURU-560 027.
      REPRESENTED BY GENERAL SECRETARY.

2.    S. THANGARAJU
      S/O. V. SUBBU,
      AGED ABOUT 59 YEARS,
      THE PRESIDENT,
      CANARA BANK SC/ST EMPLOYEES
      WELFARE ASSOCIATION (REGD)
      RESIDING AT RAASI,
      NO.35/A, KEMNET HOSPITAL ROAD,
      ELLISUR, MADHARAI-625 010.

3.    BHEEMA SHANKAR TADDIWADI
      S/O. DAMODHAR,
      AGED ABOUT 49 YEARS,
      VICE PRESIDENT,
                           2



     CANARA BANK SC/ST EMPLOYEES
     WELFARE ASSOCIATION (REGD)
     RESIDING AT 1-889/67/198,
     SHANTHI KUTIR, MAHAVEER NAGAR,
     BEHIND KATARI BHAVAN,
     GULBARGA-585 101.

4.   RASANANDA MUNDA
     S/O. K.C. MUNDA,
     AGED ABOUT 51 YEARS,
     VICE PRESIDENT,
     CANARA BANK SC/ST EMPLOYEES
     WELFARE ASSOCIATION (REGD)
     RESIDING AT FLAT NO. 34,
     PARK TOWER, UNIT 6,
     GANGANAGAR,
     BHUVANESHWARA-751 003.

5.   A. SIVAJI
     S/O. AYYAYIRAM,
     AGED ABOUT 57 YEARS,
     GENERAL SECRETARY,
     CANARA BANK SC/ST EMPLOYEES
     WELFARE ASSOCIATION (REGD)
     RESIDING AT NO.4, C 9TH BLOCK,
     SAF GAMES VILLAGE,
     KOYAMBEDU,
     CHENNAI-600 107.

6.   M. P. CHAKRAVATHI
     S/O. M. PERUMAL,
     AGED ABOUT 54 YEARS,
     DEPUTY GENERAL SECRETARY,
     CANARA BANK SC/ST EMPLOYEES
     WELFARE ASSOCIATION (REGD)
     RESIDING AT 439D,
                            3



       SRINIVASAGAM NAGAR,
       MAHARAJANAGAR POST,
       TIRUNELVELI,
       TAMILNADU-627 001.

7.     G. MOHAN
       S/O. GOVINDASWAMY,
       AGED ABOUT 50 YEARS,
       JOINT SECRETARY,
       CANARA BANK SC/ST EMPLOYEES
       WELFARE ASSOCIATION (REGD)
       RESIDING AT 10/5, DEW DROPS ENCLAVE,
       2ND MAIN ROAD, MEENA ESTATE,
       SAWARI PALYAM POST,
       COIMBATORE-641 001.

8.     THIPPESWAMY. H
       S/O. M. SIDDAPPA,
       AGED ABOUT 55 YEARS,
       CHIEF ORGANISING SECRETARY,
       CANARA BANK SC/ST EMPLOYEES
       WELFARE ASSOCIATION (REGD)
       RESIDING AT F3, A BLOCK,
       SUPREME RESIDENCY,
       UTTARAHALLI, MAIN ROAD,
       BANGALORE-560 061.
                                      ... PETITIONERS

(BY SRI NAGENDRA NAIK R., ADVOCATE)

AND:

1.     THE DISTRICT REGISTRAR OF
       CO-OPERATIVE SOCIETY,
       RANGE II, BANGALORE URBAN DISTRICT,
       NO.146, SAHAKARA SOUDHA,
                              4



     2ND FLOOR, 8TH CROSS,
     3RD MAIN ROAD,
     MARGOSA ROAD,
     BENGALURU-560 003.

2.   SRI. SOM RAJ
     S/O. LATE NIKKA RAM,
     AGED ABOUT 58 YEARS,
     RESIDING AT HOUSE NO.73,
     TOWER ENCLAVE, PHASE II,
     NAKODAR ROAD,
     JALANDAR-144 014.

3.   SRI. K. KUMAR
     S/O. M. KRISHNA,
     AGED ABOUT 53 YEARS,
     R/AT HOUSE NO. 19,
     MADHU VAIBHAV, FLAT NO. 401,
     4TH CROSS, 29TH MAIN,
     BTM 2ND STAGE,
     BENGALURU-560048.
                                    ... RESPONDENTS

(BY SRI ANANDEESWAR, HIGH COURT GOVERNMENT
PLEADER FOR R1;
SRI H.P. LEELADHAR, ADVOCATE FOR R2 AND R3)

                      ****
    THESE WRIT PETITIONS ARE FILED UNDER ARTICLES
226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING
TO QUASH ANNEXURE-A DATED 13.07.2018 PASSED BY
RESPONDENT NO.1.

     THESE WRIT PETITIONS COMING ON FOR ORDERS
THIS DAY, THE COURT MADE THE FOLLOWING:-
                               5




                         ORDER

The petitioners have filed the present writ petitions for a writ of certiorari to quash the order dated 13.7.2018 passed by Respondent No.1 as per Annexure-A.

2. It is the case of the petitioners that the 1st petitioner is a Society registered under the Karnataka Societies Registration Act, 1960 ('the Act' for short) and the said Society was formed in the year 1994-95 by the employees belonging to Scheduled Caste/Scheduled Tribe category working in the Canara Bank for their welfare. The constitution of the Central Committee is provided under Regulation 3 of the bye-laws of the Society. The Central Committee consists of 124 members from various Circle Offices of the Canara Bank depending upon the strength of the members in the said Circle. On 13.11.2016 a General Body was held and in the said General Body the petitioner Nos.2 to 8 and also Respondent NOs.2 and 3 are elected as 6 office bearers. The petitioner No.1 is a voluntary organization. No remuneration is paid to any of the office bearers. As per the bye-law No.6, the Central Committee shall meet once in six months and in case of exigencies it shall meet at any point of time. The respondents being the office bearers have a duty to cooperate with other office bearers in the day to day administration and they should also have necessary cooperation with other members of the Central Committee for smooth functioning of the society. The Respondent Nos.2 and 3 have started working against the interest of the Society in collusion with the certain vested interests who wanted to destabilize the smooth functioning. On 17.3.2018 the President has sent an e.mail addressing to other Central Committee members to cancel a quarterly meeting of the representative of the Canara Bank Scheduled Caste/Scheduled Tribe Employees welfare association with the Chief Executive of the Bank. 7

3. It is further case of the petitioners that Respondent Nos.2 and 3 started their grudge against all the Central Committee members and stopped clearing their Travelling Allowance bills, not releasing the funds for the other activities of the society like Conference, Branch visits, Retiral benefits for the employees, death relief funds etc., It is further case of the petitioners that as the Central Committee was to meet once in six months and the last Central Committee meeting was held on 24.8.2017, it was required to be held before 24.2.2018 and as the same was not held in time, when the office bearers have met on the eve of the Ambedkar Jayanthi at Bangalore on 13.4.2018, it was decided that the next Central Committee meeting would be held on 26.5.2018 and 27.5.2018. In the said meeting, Respondent No.2 was present. It was only a casual meeting agreed with the office bearers and no official agenda was fixed. Based on the consent of all the office bearers, a Circular was issued on 25.4.2018 calling up the 8 Central Committee meeting on 26.5.2018 and 27.5.2018 at Nagpur. On 14.5.2018, the 2nd respondent sent a letter to the Chief Organising Secretary that the final date for the meeting was not discussed with the President. Hence, the meeting may be postponed to August 2018. He has also addressed another letter dated 15.5.2018 cancelling the Central Committee meeting and also agreed to reimburse the cancellation charges to those who have booked the tickets for their journey before the said date of cancellation. It will be huge expenditure for the society and added to that, the said letter is issued to the members without any consent from an other office bearers or Central Committee members.

4. It is further case of the petitioners that the Central Committee meeting was held as per the schedule on 26.5.2018 and 27.5.2018 and totally 73 members have appeared and several decisions were taken. During the course of the meeting, several members have objected that 9 the activities of Respondent Nos.2 and 3 are detrimental to the Society and hence they have to be removed from the post of President and Treasurer and may be given any other post. Accordingly, a decision was taken in this regard and they have been removed from the Post of President and Treasurer and they have been re-nominated as Vice- President and Joint-Secretary respectively and the same was placed before the General Body that was conveyed on 15.7.2018 and the same was approved by the General Body. The said proceedings was the subject matter before the 1st respondent - District Registry under Section 25 of the Act. The 1st respondent by the impugned order dated 13.7.2018 stayed the resolution of the Annual General Body Meeting on Agenda No.1 relating to ratifying the decisions taken in the Central Committee Meeting held on 26.5.2018 and 27.5.2018, till disposal of the enquiry. Hence the present writ petitions are filed for the reliefs sought for. 10

5. I have heard the learned counsel for the parties to the lis.

6. Sri Nagendra Naik, learned counsel for the petitioners vehemently contended that the impugned order passed by the 1st respondent as per Annexure-A dated 13.7.2018 is without jurisdiction and the same is liable to be quashed. He would further contend that under Section 25 of the Act, the Registrar can hold enquiry and submit a report containing the result of the enquiry to the Society concerned and he has no power to pass the interim order not to implement the resolution passed by the Annual General Body Meeting ratifying the decision of the Central body. He would further contend that the impugned order passed by the 1st respondent is totally without jurisdiction and therefore he sought to quash the impugned order by allowing the present writ petitions.

11

7. Per contra, Sri Anandeeswar, learned HCGP fairly submits that in view of the provisions of Section 25 of the Act, the Registrar has got power to hold enquiry and send his report containing the result of the enquiry to the Society concerned as well as to the State Government and it is for the State Government to take action in accordance with law. The 1st respondent can hold enquiry with regard to the resolution passed by the Annual General Body Meeting relating to ratifying the decision of the Central Body, but he has no power to grant interim stay. The said fair submission is placed on record.

8. Sri H.P. Leeladhar, learned counsel for Respondent Nos.2 and 3 - former President and Treasurer of the 1st petitioner society, sought to justify the impugned order passed by the 1st respondent. He would further contend that while exercising the powers under Section 25 of the Act, the 1st respondent - District Registrar has got power to stay the illegal resolution passed by the Central Committee. 12 Therefore this Court should not interfere with the impugned order passed by the 1st respondent and hence sought to dismiss the writ petitions.

9. Having heard the learned counsel for the parties, it is an undisputed fact that Respondent Nos.2 and 3 herein filed the petition under Section 25 of the Act before the 1st respondent - District Registrar to set aside the resolution passed in the Central Committee meeting held on 26.5.2018 and 27.5.2018 at Nagpur removing them from the posts of President and Treasurer of the 1st petitioner - Society, raising various grounds. If the 1st respondent - District Registrar after holding detailed enquiry found that the removal of the present Respondent Nos.2 and 3 by the resolution passed by the Central Committee meeting held on 26.5.2018 and 27.5.2018 is in violation of bye-laws of the Society or any of the provisions of the Act, the 1st respondent ought to have submitted the report containing the result of the enquiry to the 1st petitioner Society as well 13 as to the State Government to take further action. A plain reading of the provisions of Section 25 of the Act makes it clear that the Registrar can hold enquiry and as per Section 25(2)(c)(iii) of the Act, he shall communicate the result of such enquiry to the Society concerned as well as to the State Government. It is for the State Government to take action in accordance with law. But the reading of the provisions of the Act do not depict the powers of the Registrar to pass the impugned order dated 13.7.2018 staying the resolution passed by the Annual General Body meeting on Agenda No.1. The impugned order passed by the 1st respondent is totally beyond his jurisdiction. He has no power to grant any interim order under the provisions of Section 25 of the Act.

10. For the reasons stated above, the writ petition is allowed. The impugned order passed by the 1st respondent dated 13.7.2018 as per Annexure-'A' is hereby quashed. The District Registrar is at liberty to hold enquiry 14 and submit a report as contemplated under the provisions of Section 25 of the Karnataka Societies Registrar Act, 1960 to the 1st petitioner - Society as well as to the State Government and it is for the State Government to take action in accordance with law.

Taking into consideration the peculiar facts and circumstances of the case, the 1st respondent - District Registrar is directed to complete the enquiry and submit the report containing the result of the enquiry to the Society concerned as well as to the State Government within an outer limit of three months from the date of receipt of copy of this order, strictly in accordance with law.

Sd/-

JUDGE Gss/-