Kerala High Court
Sunil M.S vs State Of Kerala on 20 March, 2025
Author: D. K. Singh
Bench: D. K. Singh
WPC Nos.21050/2024 &
Conn.cases -: 1 :-
2025:KER:23683
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE D. K. SINGH
THURSDAY, THE 20TH DAY OF MARCH 2025 / 29TH PHALGUNA, 1946
WP(C) NO. 21050 OF 2024
PETITIONERS:
1 GIRIKRISHNAN K,AGED 32 YEARS, S/O.P.GANGADHARAN NAIR,
KOODALA HOUSE, MUNNAD P.O, CHENGALA (VIA), KASARAGOD
DISTRICT, PIN - 671541
2 VINU O.K,AGED 37 YEARS, S/O.K.P.KRISHNAN, K.P. HOUSE,
KUNHIMANGALAM, THEKKUMBAD, KOVVAPURAM P.O, KANNUR DISTRICT,
PIN - 670309
3 SYARI GANESH,AGED 40 YEARS
AGED 40 YEARS, YELAMBATH HOUSE, KANNAMPULLIPURAM,
CHENTHRAPPINNY, THRISSUR DISTRICT, PIN - 680687
4 SUNITHAKUMARI V, AGED 44 YEARS,
W/O.A.PRAFULLA RAJ, ‘PRASEEDHA', KANCHIKATTA ROAD,
KUMBLA P.O, KASARAGOD DISTRICT, PIN - 671321
5 VILASINI P, AGED 45 YEARS,W/O.PRAKASHKUMAR P.K,PAVITHRAM',
ITI ROAD, VIDYANAGAR, KASARAGOD DISTRICT, PIN - 671123.
6 SUDHEESH M, AGED 35 YEARS,S/O.E.SASIDHARAN NAIR,
POLTHUCHI HOUSE, PANOOR, KOTOOR P.O, MULIYAR, KASARAGOD
DISTRICT, PIN - 671542
7 BALAKRISHNA C.B, AGED 44 YEARS, S/O.CHUKRA, BADOORPADAV
WPC Nos.21050/2024 &
Conn.cases -: 2 :-
2025:KER:23683
HOUSE, BADOOR P.O, KASARAGOD DISTRICT, PIN - 671321
8 BHASKARAN M.K, AGED 41 YEARS, S/O.M.KUNHAMBU NAIR,
VADAKEVEEDU, MUNDAKAI, MULLIYAR P.O, KASARAGOD DISTRICT, PIN
- 671542
9 KISHOR KUMAR M, AGED 43 YEARS
S/O.RAGHAVAN A., MMAPADAVU HOUSE, MMAPADAVU P.O, MANJESHWAR
(VIA), KASARAGOD DISTRICT, PIN - 671323
10 ABDUL SHANAVAS M, AGED 30 YEARS,S/O.YOUSUF, MARPANADKA
HOUSE, KUMBADAJE P.O, KASARAGOD DISTRICT, PIN - 671551
11 SREEJA K, AGED 31 YEARS,W/O.RADHAKRISHNA B.N, BALAKDA HOUSE,
NEKRAJE P.O, KASARAGOD DISTRICT, PIN - 671543
12 VINOD RAJ N,AGED 40 YEARS
S/O.KUNHIKANNAN P (LATE), IRIYANNI HOUSE, IRIYANNI P.O,
MULIYAR (VIA), KASARAGOD DISTRICT, PIN - 671542
13 SANDHYA A, AGED 46 YEARS,W/O.ANANDAN C., CHECHATTIL HOUSE,
VALAPPAD P.O, THRISSUR DISTRICT, PIN - 680567
14 SANDHYA C.C.,AGED 39 YEARS, W/O.SUMESH A.S, AYNIPPULLY
HOUSE, PANANGAD P.O, THRISSUR DISTRICT, PIN - 680665
15 JIPSI R, AGED 33 YEARS
D/O.RAVEENDRAN C.A., MADATHIL HOUSE, PURAMERI P.O, VADAKARA,
KOZHIKODE DISTRICT, PIN - 673507
16 SONIYA S.L, AGED 46 YEARS
W/O.SAJIKUMAR S., SREE PANKAJ NIVAS, UCHAKKADA, PAYATTUVILA
P.O, THIRUVANANTHAPURAM DISTRICT, PIN - 695501
17 ARUN KRISHNAN, AGED 31 YEARS, S/O.KRISHNAN P.K, AMBADI
HOUSE, KANIYAMVETTA P.O, WAYANAD DISTRICT, PIN - 673124
18 ASWATHI S, AGED 34 YEARS
W/O.MANIKUTTAN S.S., HIMADRI, PULIYOORKONAM, PAYATTUVILA
P.O, THIRUVANANTHAPURAM DISTRICT, PIN - 695501
19 MINI L.K., AGED 44 YEARS
W/O.MANOJ KUMAR A.V, NAVAMI, PARUTHIVILA, VENNIYOOR
NELLIVILA P.O, THIRUVANANTHAPURAM DISTRICT, PIN - 695523
WPC Nos.21050/2024 &
Conn.cases -: 3 :-
2025:KER:23683
20 JIJI P. AJAY, AGED 28 YEARS, W/O.JINU B.S, BIJU VIHAR,
PAYATTUVILA P.O, THIRUVANANTHAPURAM DISTRICT, PIN - 695501
21 AJITH M. (CORRECTED), AGED 34 YEARS
S/O.SATHYASELAN M., MANGALASERI HOUSE, ANIYALLUR P.O,
MALAPPURAM DISTRICT, PIN - 676312; THE NAME OF THE 21ST
PETITIONER 'AJISH M.'IS CORRECTED AS 'AJITH M' AS PER ORDER
DATED 23.10.2024 IN I.A.2/2024, PIN - 676312
22 SINDU R. NAIR, AGED 45 YEARS
W/O.MADHUSOODHANAN PILLAI, MANIMANGALATH HOUSE, NEDUMON P.O,
EZHAMKULAM, PATHANAMTHITTA DISTRICT, PIN - 691556
23 MUKESH C.H, AGED 32 YEARS, S/O.NARAYANAN C.K, CHOPPALAM
HOUSE, KOTTUR P.O, MULIYAR, KASARAGOD DISTRICT, PIN - 671542
24 PARIYA K., AGED 37 YEARS, /O.NARAYANAN, POYYAKANDAM HOUSE,
PERDALA P.O, KASARAGOD DISTRICT, PIN - 671551
25 REEJA M.V,AGED 48 YEARS, W/O.PRADEEP, PONNAMCHERY HOUSE,
ANAPPUZHA P.O, KODUNGALLUR, THRISSUR DISTRICT, PIN - 680667
26 FAISAL P.,AGED 35 YEARS, S/O.MUHAMMED, PARAKKAL HOUSE,
KARUVANNA P.O, MANANTHAVADY, WAYANAD DISTRICT, PIN - 670645
27 BINIMOL P.S, AGED 40 YEARS, W/O.SUMITH S., MUNDUKKATHARAMEL
HOUSE, ALAKKOD P.O, ARANGAM, KANNUR DISTRICT, PIN - 671571
28 PUSHPA A,AGED 47 YEARS, W/O.BALAGOPALAN NAIR P.,
KOLLARAMKODE HOUSE, KUNDUMKUZHY P.O, CHENGALA (VIA),
KASARAGOD DISTRICT, PIN - 671541
29 JAINY JACOB C, AGED 47 YEARS
W/O.SHAJU THEERATHIL, THEERATHIL HOUSE, MARATHAKKARA P.O,
OLLUR, THRISSUR DISTRICT, PIN - 680306
30 RAGHI RAJAN, AGED 44 YEARS,W/O.PRAGEESHKUMAR, KODAPPULLI
HOUSE, THOZHILALI ROAD, ANTHIKKAD P.O, THRISSUR DISTRICT,
PIN - 680643
31 FAISAL C.S., AGED 29 YEARS
S/O.SAKEER HUSAIN, CHAMPALLIL HOUSE, BLOCK NO.65,
RAMAKKALMEDU, IDUKKI DISTRICT, PIN - 685552
32 REKHA M.G,AGED 31 YEARS, W/O.DILRAJ P.G, PANANGATT HOUSE,
WPC Nos.21050/2024 &
Conn.cases -: 4 :-
2025:KER:23683
PATHAZHAKKARD P.O, THRISSUR DISTRICT, PIN - 680668
33 MANOJ KUMAR M, AGED 41 YEARS
S/O.A.MADHAVAN NAIR, PERLADUKKAM HOUSE, KOLATHUR P.O,
KASARAGOD DISTRICT, PIN - 671541
34 SAVITHA R.NAIR,AGED 41 YEARS
W/O.SANTHOSH E., PERLADUKKAM HOUSE, KOLATHUR P.O, CHENGALA
(VIA), KASARAGOD DISTRICT, PIN - 671541
35 UNAIS C.M,AGED 35 YEARS, S/O.MUHAMMED A.H, MEETHAL, BEDADKA
P.O, KASARAGOD DISTRICT, PIN - 671541
36 NISHA L.RAVI, AGED 43 YEARS, W/O.SUNIL KUMAR, NISHA BHAVAN,
MATHRA P.O, PUNALUR, KOLLAM DISTRICT, PIN - 691315
BY ADVS.
T.R.HARIKUMAR
ARJUN RAGHAVAN
RESPONDENTS:
1 STATE OF KERALA, REPRESENTED BY THE SECRETARY TO GOVERNMENT
CO-OPERATION DEPARTMENT, GOVERNMENT SECRETARIAT,
THIRUVANANTHAPURAM, PIN - 695014
2 THE KERALA STATE CO-OPERATIVE BANK
REPRESENTED BY ITS CHIEF EXECUTIVE OFFICER, P.B NO.6515, CO-
BANK TOWERS, PALAYAM, THIRUVANATHAPURAM., PIN - 695033
3 THE KERALA PUBLIC SERVICE COMMISSION
REPRESENTED BY ITS SECRETARY, THULASI HILLS, PATTOM.P.O,
THIRUVANANTHAPURAM, PIN - 695004
4 THE REGISTRAR OF CO-OPERATIVE SOCIETIES
JAWAHAR SAHAKARANA BHAVAN, DPI JUNCTION, THYCAUD P.O,
THIRUVANANTHAPURAM., PIN - 695014
BY ADVS.
S.K.ADHITHYAN
SHAHINA NOUSHAD
REUBEN CHARLY
WPC Nos.21050/2024 &
Conn.cases -: 5 :-
2025:KER:23683
CHRISTY THOMAS
VYSHNAV S. NAIR
OTHER PRESENT:
SRI.P.C. SASIDHARAN-SC, SMT.MARY BEENA JOSEPH-SR.GP
THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 29.01.2025,
ALONG WITH WP(C).19831/2024 AND CONNECTED CASES, THE COURT ON 20.03.2025
DELIVERED THE FOLLOWING:
WPC Nos.21050/2024 &
Conn.cases -: 6 :-
2025:KER:23683
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE D. K. SINGH
THURSDAY, THE 20TH DAY OF MARCH 2025 / 29TH PHALGUNA, 1946
WP(C) NO. 19831 OF 2024
PETITIONERS:
1 SUNIL M.S.,AGED 46 YEARS
S/O SAMUEL, EMPLOYEE KADAMMANITTA SCB, MALAYILTHADATHIL,
KADAMMANITTA P.O, PATHANAMTHITTA, PIN - 689649
2 DILEEP KUMAR M,AGED 44 YEARS
S/O MADHAVAN, EMPLOYEE ELANTHOOR SCB, MANNAMOOLAYIL,
ELANTHOOR P.O, PATHANAMTHITTA, PIN - 689643
BY ADVS.
M.M.MONAYE
M.PAUL VARGHESE
K.V.SANOSH
ANJANA SUGUNAN
RESPONDENTS:
1 STATE OF KERALA
REPRESENTED BY SECRETARY TO GOVERNMENT, DEPARTMENT OF CO-
OPERATION SECRETARIAT, THIRUVANANTHAPURAM, PIN - 695001
2 THE REGISTRAR OF CO-OPERATIVE SOCIETIES
OFFICE OF THE REGISTRAR OF CO-OPERATIVE SOCIETIES,
THIRUVANANTHAPURAM, PIN - 695014
3 KERALA PUBLIC SERVICE COMMISSION
REPRESENTED BY ITS SECRETARY, THULASSI HILLS, PATTOM PALACE
P.O, THIRUVANANTHAPURAM, PIN - 695004
4 THE DISTRICT OFFICER
KERALA PUBLIC SERVICE COMMISSION, DISTRICT OFFICE,
PATHANAMTHITTA DISTRICT, PIN - 689645
WPC Nos.21050/2024 &
Conn.cases -: 7 :-
2025:KER:23683
5 THE KERALA STATE CO-OPERATIVE BANK LTD
CO-BANK TOWERS, REPRESENTED BY ITS CHIEF EXECUTIVE OFFICER.
THIRUVANANTHAPURAM, PIN - 695001
BY ADV.P.C.SASIDHARAN SC KPSC
BY ADV.MARY BEEN A JOSEPH SR.GP
THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 29.01.2025,
ALONG WITH WP(C).21050/2024 AND CONNECTED CASES, THE COURT ON 20.03.2025
DELIVERED THE FOLLOWING:
WPC Nos.21050/2024 &
Conn.cases -: 8 :-
2025:KER:23683
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE D. K. SINGH
THURSDAY, THE 20TH DAY OF MARCH 2025 / 29TH PHALGUNA, 1946
WP(C) NO. 30360 OF 2024
PETITIONERS:
1 SHEEJU NAVAS P.N.,AGED 45 YEARS
S/O.KUNHALAN KUTTY P.N, KUNIKATT THODI HOUSE,
AYIKKARAPADI P.O, MALAPPURAM DISTRICT, PIN - 673637
2 DHANYA BALARAM,AGED 43 YEARS,W/O.BALARAM P., PANIYATH HOUSE,
VATTANATHARA P.O, ALANGAPPA NAGAR (VIA), THRISSUR DISTRICT,
NOW RESIDING AT PALLIYIL HOUSE, ‘AVANI',
DIWAN SANKARA WARRIAR ROAD, EDAKKUNNY,
OLLUR P.O, THRISSUR DISTRICT, PIN - 680306.
BY ADVS.
T.R.HARIKUMAR
ARJUN RAGHAVAN
RESPONDENTS:
1 STATE OF KERALA,REPRESENTED BY THE
SECRETARY TO GOVERNMENT, CO-OPERATION DEPARTMENT,
GOVERNMENT SECRETARIAT, THIRUVANANTHAPURAM,
PIN - 695014
2 THE KERALA STATE CO-OPERATIVE BANK,
REPRESENTED BY ITS CHIEF EXECUTIVE OFFICER,
P.B NO.6515, CO-BANK TOWERS, PALAYAM,
THIRUVANATHAPURAM, PIN - 695033
3 THE KERALA PUBLIC SERVICE COMMISSION,
REPRESENTED BY ITS SECRETARY,
THULASI HILLS, PATTOM.P.O, THIRUVANANTHAPURAM,
PIN - 695004
WPC Nos.21050/2024 &
Conn.cases -: 9 :-
2025:KER:23683
4 THE REGISTRAR OF CO-OPERATIVE SOCIETIES,
JAWAHAR SAHAKARANA BHAVAN, DPI JUNCTION, THYCAUD P.O,
THIRUVANANTHAPURAM, PIN - 695014
BY ADV.P.C.SASIDHARAN SC KPSC
BY MARY BEENA JOSEPH SR.GP
THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 29.01.2025,
ALONG WITH WP(C).21050/2024 AND CONNECTED CASES, THE COURT ON 20.03.2025
DELIVERED THE FOLLOWING:
WPC Nos.21050/2024 &
Conn.cases -: 10 :-
2025:KER:23683
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE D. K. SINGH
THURSDAY, THE 20TH DAY OF MARCH 2025 / 29TH PHALGUNA, 1946
WP(C) NO. 40191 OF 2024
PETITIONERS:
1 SUJA SUSEELAN,AGED 37 YEARS,W/O. SUNILDAS.C.S, MERRY DALE,
OOTTUKUZHY, NEDUMPARA VILAPPILSALAI, VILAPIL.P.O.,
THIRUVANANTHAPURAM, PIN - 695573
2 ANEESH.V,AGED 33 YEARS
S/O. VALSALAN.J, DREAM SHORE, KUZHIYAMVILA, KAKKAMOOLA,
KALLIYOOR.P.O., THIRUVANANTHAPURAM, PIN - 695042
3 RESMI.S,AGED 49 YEARS,D/O. SOMAN PILLA, KAILAS, TC.
53/2476(1) JP LANE, NEMOM, THIRUVANANTHAPURAM, PIN - 695020
4 SAJITH KUMAR.G.S,AGED 36 YEARS
S/O. SURENDRAN NAIR, GIRIJA BHAVAN, AYANIYODUMELE,
VILAVOORKKAL, MALAYIL.P.O., THIRUVANANTHAPURAM, PIN - 695571
5 HARI PRIYA.V,AGED 36 YEARS
W/O. PRAVEEN, GOVINDAM, VPS 187A, VATTAVILA, THIRUMALA.P.O.,
THIRUVANANTHAPURAM, PIN - 695571
6 NIJU.B,AGED 34 YEARS,S/O. BABU.L, NIMA NIVAS, THETTIVILA,
BHAGAVATHINADA.P.O., THIRUVANANTHAPURAM, PIN - 695501
BY ADV R.GOPAN
RESPONDENTS:
1 STATE OF KERALA, REPRESENTED BY THE SECRETARY TO GOVERNMENT,
CO-OPERATION DEPARTMENT, GOVERNMENT SECRETARIAT,
THIRUVANANTHAPURAM, PIN - 695014
2 THE KERALA STATE CO-OPERATIVE BANK
REPRESENTED BY ITS CHIEF EXECUTIVE OFFICER, P.B.NO. 6515,
CO-BANK TOWERS, PALAYAM, THIRUVANANTHAPURAM, PIN - 605033
WPC Nos.21050/2024 &
Conn.cases -: 11 :-
2025:KER:23683
3 THE KERALA PUBLIC SERVICE COMMISSION
REPRESENTED BY ITS SECRETARY, THULASI HILLS, PATTOM.P.O.,
THIRUVANANTHAPURAM, PIN - 695004
4 THE REGISTRAR OF CO-OPERATIVE SOCIETIES
JAWAHAR SAHAKARANA BHAVAN, DPI JUNCTION, THYCAUD.P.O.,
THIRUVANANTHAPURAM, PIN - 695014
BY ADV.SRI SASIDHARAN SC KPSC
BY ADV MARY BEENA JOSEPH SR.G.P.
THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 29.01.2025,
ALONG WITH WP(C).21050/2024 AND CONNECTED CASES, THE COURT ON 20.03.2025
DELIVERED THE FOLLOWING:
WPC Nos.21050/2024 &
Conn.cases -: 12 :-
2025:KER:23683
JUDGMENT
[WP(C) Nos.21050/2024, 19831/2024, 30360/2024, 40191/2024] These Writ Petitions have been filed by the petitioners seeking to quash the notification issued by the Kerala Public Service Commission notifying the selection to the post of Office Attendant and Clerk/Cashier in the Kerala State Co-operative Bank. The primary ground which challenged the notification is that the rules framed by the Government, i.e. the Kerala State Co-operative Bank Recruitment Rules, 2023 are in violation of the provisions contained in the Kerala Co-operative Societies Act, 1969 and the Rules framed thereunder.
2. The petitioners are the employees of Nominal and Associate member Societies of the Kerala State Co-operative Society. They are not members of the Primary Agricultural Society and Urban Co- operative Bank.
WPC Nos.21050/2024 & Conn.cases -: 13 :- 2025:KER:23683
3. Before the amalgamation of the District Co-operative Banks in the Kerala State Co-operative Bank, an Apex Society, the District Co-operative Banks in each District were the Apex Society of all Primary Societies in the District. There was a three-tier system in respect of Co-operative Societies in Kerala --Primary, Central Society (District Co-operative Banks) and Apex Society (State Co-operative Bank). Before amalgamation, the Apex Society of the Primary Societies were District Co-operative Banks.
4. The State Government had accorded sanction for delayering the short-term credit structure in the State after obtaining the final approval from the Reserve Bank of India. The short-term credit structure was delayered by amalgamation and transfer of assets and liabilities of all 14 District Co-operative Banks with Kerala State Co- operative Bank was done with effect from 29th November 2019. On amalgamation, the employees of the District Co-operative Banks became the employees of the Kerala State Co-operative Bank. WPC Nos.21050/2024 & Conn.cases -: 14 :- 2025:KER:23683
5. Section 80(3A) was inserted in the Co-operative Societies Act by Act 6 of 1995 which reads as under:
"Notwithstanding anything contained in this Act or the Rules made or orders issued thereunder or in the bye-laws of any society relating to the recruitment and conditions of service of officers and servants of societies, except the chief executive of the societies, all appointments of officers and servants of the Societies mentioned in the Schedule I for which direct recruitment is resorted to shall be made from a select list of candidates furnished by the Kerala Public Service Commission and in making such recruitment the reservation principles under Rule 14 to 17 of the Kerala State and Subordinate Service Rules, 1958 shall be followed. The appointment of Chief Executive of Apex Societies shall be made by the Government after fixing qualifications."
6. Schedule-I of the Co-operative Societies Act included 14 District Co-operative Banks in addition to the Apex Society. By Act 1 of 2019, the District Co-operative Banks except Malappuram District Co-operative Bank stand amalgamated with the Kerala State Co-operative Bank and Schedule-I of the Act also underwent amendment by which the enabling provision to the Public Service Commission to select candidates for direct recruitment to the WPC Nos.21050/2024 & Conn.cases -: 15 :- 2025:KER:23683 District Co-operative Banks was deleted. Kerala Public Service Commission was enabled to make selection for the District Co- operative Banks and Kerala State Co-operative Bank by virtue of the Kerala Public Service Commission (Additional Functions as respects certain Societies) Act 1996.
7. Chapter XC of the Co-operative Societies Act makes a special provision relating to the amalgamation through the transfer of assets and liabilities of the District Co-operative Banks to the Kerala State Co-operative Bank.
8. Sub Section 13 of Section 74H provides that every permanent and regular employee of the transferor bank or employees on probation, serving in the employment of the transferor bank immediately before the date of amalgamation shall become, on and from the date of amalgamation, an employee of the transferee bank and shall hold office therein or serve the transferee bank, as the case may be, and shall continue to work in accordance therewith. WPC Nos.21050/2024 & Conn.cases -: 16 :- 2025:KER:23683 Now the Government has prescribed the rules governing the service conditions of the employees of the amalgamated Kerala Bank.
9. Sub Section 14 of Section 74H provides that notwithstanding anything contained in the staff regulation or recruitment rules of the transferor and transferee bank, the service conditions of the employees on amalgamation shall be as prescribed by the Government.
10. Sub Section 15 of Section 74H provides that the employees who have retired before the date of amalgamation from the service of the transferor bank or opted not to join in the service of the transferee bank on and from the date of amalgamation are entitled to the benefits, rights and privileges, if any, from the transferor bank, shall not receive such benefits, rights or privileges from the transferee bank.
WPC Nos.21050/2024 & Conn.cases -: 17 :- 2025:KER:23683
11. Section 74H begins with a non-obstante clause which reads as under:
74H. Amalgamation of District Co-operative Banks to the Kerala State Co-operative Bank. __ Notwithstanding anything contained in this Act or in any other law for the time being in force, the Registrar shall order the amalgamation of District Co-operative Banks in Kerala with the Kerala State Co-operative Bank on the basis of the resolution passed by the general body as provided under Section 14A of this Act.
12. As per the powers conferred under Sub Section 14 of Section 74H of the Kerala Co-operative Societies Act, the State Government has framed Kerala State Co-operative Bank Recruitment Rules, 2023.
13. Part-III of Kerala State Co-operative Bank Recruitment Rules, 2023 provides for a method of appointment to the various categories. For the post of Clerk/Cashier, it is provided that the recruitment is to be made by direct recruitment through the Kerala Public Service Commission and by transfer appointment on the basis of combined seniority from among the persons holding WPC Nos.21050/2024 & Conn.cases -: 18 :- 2025:KER:23683 lower posts, who possess the required qualification and three years' service in respective posts. The ratio for the direct recruitment and promotion shall be 3:1. It is further provided that 50% of the vacancy earmarked for direct recruitment by PSC shall be reserved for the employees in a similar or higher category of the employees of the member societies (Primary Agricultural Co- operative Societies & Urban Co-operative Banks) having three years' service in approved post having regular service. The post of Driver cum Attendant is to be filled up by making 50% direct recruitment by PSC and 50% posts by transfer appointment on the basis of seniority from Office Attendant and full-time Contingent staff having three years' service in the respective post and qualification. In respect of Office Attendants, 60% of posts are earmarked for direct recruitment by PSC and 40% of the posts are reserved for the full-time contingent staff from member societies having 3 years of continuous service. It is further provided that in WPC Nos.21050/2024 & Conn.cases -: 19 :- 2025:KER:23683 the absence of sufficient candidates earmarked for the Society candidates, the said posts will be filled with direct recruitment.
14. The submissions of the learned counsel for the petitioners are that the District Co-operative bank which was the apex society having jurisdiction over one revenue district before amalgamation was having primary agricultural credit societies and urban co- operative banks as its members and the nominal and associate members were also members of the District Co-operative bank and the same are the members of the Kerala State Co-operative Bank after amalgamation. The submission is that reserving the posts only for the employees of Primary agricultural credit societies and urban co-operative banks and excluding the employees of nominal and associate members is against Rule 187 of the Kerala Co- operative Society Rules and also against the spirit of the amalgamation and goes against the definition of the Kerala Co- operative Bank. It is further submitted that providing reservation WPC Nos.21050/2024 & Conn.cases -: 20 :- 2025:KER:23683 to the employees of the Primary Agricultural Credit Societies and Urban Co-operative Banks in the impugned notification is contrary to Rule 187 of the Kerala Co-operative Society Rules. The State Government cannot frame the rules in contravention of the provisions of the Kerala Co-operative Societies Act and the Rules framed thereunder. The petitioners are the employees of the nominal or associate members of the District Co-operative Bank and who are continuing as nominal or associate members of the Kerala State Co-operative Bank, their exclusion from appointment against the reserved vacancies for the employees of the member society is wholly unjustified and the rules to that extent are liable to be declared as ultra vires and the notification to that extent is liable to be set aside.
15. I have heard Mr. T.R.Harikumar, Mr. M.M.Monaye and Mr.Gopan.R, learned counsel for the petitioners, Mr.P.C.Sasidharan, learned standing counsel for Kerala Public WPC Nos.21050/2024 & Conn.cases -: 21 :- 2025:KER:23683 Service Commission and Mrs.Mary Beena Joseph, learned Senior Government Pleader.
16. The relevant Act and Rules pertaining to this issue are as follows:
Section 2(ia) of the Kerala Co-operative Societies Act defines the District Co-operative Bank as a Central Society having jurisdiction over one revenue district and having primary agricultural credit societies and Urban Co-operative banks as its members and the principal object of which is to raise funds to lend to its members, including nominal or associate members which existed under this Act immediately for passing of the orders by the Registrar.
17. Section 2(k)(a) defines "Kerala State Co-operative Bank" as an Apex Society having Primary Agricultural Credit Societies and Urban Co-operative Banks as its members including nominal or associate members of the District Co-operative Banks who shall WPC Nos.21050/2024 & Conn.cases -: 22 :- 2025:KER:23683 continue as nominal or associate members of the Kerala State Co- operative Bank.
18. Section 2(m) defines nominal or associate members of the District Co-operative Bank as a member who possesses only such privilege and the right of a member who is subject only to such liabilities of a member as may be specified in the byelaw.
19. According to the petitioners, the nominal or associate members including the Societies in which the petitioners are working were holding the shares initially in the respective District Co-operative Banks and after the amalgamation in the State Co- operative Bank.
20. Rule 187 of the Kerala Co-operative Societies Rules, 1969 reads as under:
"Notwithstanding anything contained in Rule 186 in appointments to apex or central societies, 50% of the vacancies shall be reserved to the employees of the member societies of the respective apex society or central society, as the case may be, having minimum regular service of 3 years and having the WPC Nos.21050/2024 & Conn.cases -: 23 :- 2025:KER:23683 required qualification for the notified posts in the Apex Society or the Central Society.
21. The question involved for consideration is whether the impugned notification is as per the Kerala State Co-operative Bank Recruitment Rules, 2023 and whether the said rules providing reservation of 50% of the vacancies earmarked for direct recruitment by PSC on the post of Clerk/Cashier to the employees who were working in similar or higher categories in the member society that PACs and Urban Co-operative Banks is ultra vires the provisions of Rule 187 of the Kerala Co-operative Bank Rules.
22. As per the definition under Section 2(m) of the Kerala Co-operative Societies Act, a nominal or associate member is one who possesses only such privilege and rights of a member and is subject only to such liabilities of a member as may be specified in the bye-laws. The membership to the District Co-operative Banks is confined to the primary credit co-operative societies and on WPC Nos.21050/2024 & Conn.cases -: 24 :- 2025:KER:23683 amalgamation, no new rights are conferred on the employees working in nominal or associated members. On amalgamation of the District Co-operative Bank in the Kerala State Co-operative Bank, voting rights are conferred only on the members of the Agricultural Credit Societies and Urban Co-operative Banks excluding the nominal or associate members from the rights to vote or participation in the administration of the bank. The said exclusion of the voting rights to nominal and associate members was challenged before this Court and this Court in the decision reported in Philip K.J. v State of Kerala & Ors.1 upheld the amendment in the Kerala Co-operative Societies Act excluding the right of the nominal and associate members from the right to vote.
23. The intention of providing reservation to the employees in the member society is a laudable object to give reasonable promotional avenues and advancement of the service 1 2008 KHC 6258 WPC Nos.21050/2024 & Conn.cases -: 25 :- 2025:KER:23683 career of the employees working in the primary and urban Co- operative Societies. The employees of the nominal or associate societies which do not have the right to participate in the affairs of the state co-operative bank, cannot claim that they should be given reservation in as much as they are not the employees of the member society. The amalgamation of the erstwhile District Co- operative Banks in the Kerala State Co-operative Bank has been carried out as per the provisions contained in Section 74H of the Kerala Co-operative Societies Act in chapter-XC of the said Act. The provisions relating to the conditions of service of the employees of the Kerala State Co-operative Banks after amalgamation to the District Co-operative Banks are prescribed in sub section 14 of Section 74H. In exercise of the powers conferred under Sub Section 14 of Section 74H which begins with non- obstante clause, the Government has amended Kerala Co-operative Societies Rules by incorporating the special provisions in respect WPC Nos.21050/2024 & Conn.cases -: 26 :- 2025:KER:23683 of Kerala State Co-operative Bank as per Rule 28A. In Rule 28A(5) of the Kerala Co-operative Societies Rules, it is specified that the Government shall by notification in the official gazette, make changes in Recruitment Rules, staff regulations, promotion policy and all other establishment matters of the Kerala State Co- operative Bank, in consultation with the Kerala Public Service Commission, based on the proposals from Registrar of Co- operative Societies from time to time. Thus, the Government has the power to make Rules with regard to the service conditions of the employees of the amalgamated entity as per sub section 14 of Section 74H of the Act and Rule 28A(5). In exercise of these powers, the Government issued Special Recruitment Rules for Kerala State Co-operative Bank vide Government Order G.O.(P) No.119/2021/Co-op dated 02.08. 2021. The Recruitment Rules have been revised later vide G.O.(P) No.87/2023/Co-op dated 24.03.2023 based on the suggestion from the Registrar of the Co- WPC Nos.21050/2024 & Conn.cases -: 27 :- 2025:KER:23683 operative Societies and Kerala State Co-operative Bank and advice of the Kerala Public Service Commission. Sub Section 18 of Section 74H of the Kerala State Co-operative Societies Act provides that notwithstanding anything contained in this Act, the said provisions of this Chapter shall have an overriding effect on all other provisions of this Act. The Rules issued by the Government under Section 74H have an overriding effect on any other provisions contained in Section 80 of the Act and Rule 187 on which the petitioners are placing reliance. It can be said that the provisions of the Kerala Co-operative Bank Rules, 2023 are neither arbitrary nor repugnant to the provisions of the Kerala Co- operative Societies Rules. There is no violation of Rule 187 of the Kerala Co-operative Societies rules. Section 74H has an overriding effect on all other provisions of the Act and Rules. The very purpose sought to be achieved by the amalgamation is delayering of the co-operative credit system in the State by amalgamating the WPC Nos.21050/2024 & Conn.cases -: 28 :- 2025:KER:23683 District Co-operative Banks with Kerala State Co-operative Bank. Since the District Co-operative Banks have ceased to exist from the date of amalgamation, the provisions in the Kerala State Co- operative Societies Act and Rules relating to the recruitment of erstwhile District Co-operative Banks have no applicability in the Recruitment Rules of Kerala State Co-operative Banks. In view thereof I am of the opinion that the petitioners cannot claim the right to an appointment against the post reserved for the employees of the member Society and the Urban Co-operative Bank who are the member society of the Kerala State Co-operative Bank. In view thereof, I do not find much substance in these Writ Petitions which are hereby dismissed.
Sd/- D.K.SINGH JUDGE css/ WPC Nos.21050/2024 & Conn.cases -: 29 :- 2025:KER:23683 APPENDIX OF WP(C) 19831/2024 PETITIONER EXHIBITS Exhibit P1 TRUE COPY OF THE NOTIFICATION CATEGORY NO.
066/2024 GAZETTE DATED 09.04.2024 Exhibit P2 TRUE COPY OF THE APPLICATION DETAILS OF THE 1ST PETITIONER DATED 15.05.2024 Exhibit P3 TRUE COPY OF THE SERVICE CERTIFICATE OF THE 1ST PETITIONER DATED 10.05.2024 Exhibit P4 TRUE COPY OF THE APPLICATION DETAILS OF THE 2ND PETITIONER DATED 15.05.2024 Exhibit P5 TRUE COPY OF THE SERVICE CERTIFICATE OF THE 2ND PETITIONER DATED 10.05.2024 Exhibit P6 TRUE COPY OF THE G.O(P) NO:87/2023/CO-OP DATED 24.03.2023 WPC Nos.21050/2024 & Conn.cases -: 30 :- 2025:KER:23683 APPENDIX OF WP(C) 30360/2024 PETITIONER EXHIBITS Exhibit-P1 A TRUE COPY OF THE RECRUITMENT RULES PUBLISHED IN THE GAZETTE DATED 27-03-2023 (G.O(P) NO.87/2023/CO-OP DATED 24-03-2023) Exhibit-P2 A TRUE COPY OF THE NOTIFICATION IN CATEGORY NO.064/2024 (SOCIETY CATEGORY) DATED 09-04-2024 WPC Nos.21050/2024 & Conn.cases -: 31 :- 2025:KER:23683 APPENDIX OF WP(C) 40191/2024 PETITIONER EXHIBITS Exhibit P1 TRUE COPY OF THE RECRUITMENT RULES PUBLISHED IN THE GAZETTE DATED 27.03.2023 (G.O(P) NO.87/2023/CO-OP DATED 24.03.2023) Exhibit P2 TRUE COPY OF THE NOTIFICATION IN CATEGORY NO.064/2024 (SOCIETY CATEGORY) DATED 09.04.2024 Exhibit P3 TRUE COPY OF THE NOTIFICATION IN CATEGORY NO.066/2024 (SOCIETY CATEGORY) DATED 09-04-2024 Exhibit P4 TRUE COPY OF THE CERTIFICATE ISSUED BY THE SECRETARY OF THE THIRUVANANTHAPURAM FARMERS SOCIAL WELFARE CO-OPERATIVE SOCIETY LTD. NO. T.1565, KARAMANA, THIRUVANANTHAPURAM Exhibit P5 TRUE COPY OF HALL TICKET OF THE 1ST PETITIONER ISSUED BY THE KPSC, THIRUVANANTHAPURAM FOR EXAMINATION DATED 23.10.2024 Exhibit P5(a) TRUE COPY OF HALL TICKET OF THE 2ND PETITIONER ISSUED BY THE KPSC, THIRUVANANTHAPURAM FOR EXAMINATION DATED 23.10.2024 Exhibit P5(b) TRUE COPY OF HALL TICKET OF THE 3RD PETITIONER ISSUED BY THE KPSC, THIRUVANANTHAPURAM FOR EXAMINATION DATED 23.10.2024 Exhibit P5(c) TRUE COPY OF HALL TICKET OF THE 4TH PETITIONER ISSUED BY THE KPSC, THIRUVANANTHAPURAM FOR EXAMINATION DATED 23.10.2024 Exhibit P5(d) TRUE COPY OF HALL TICKET OF THE 5TH PETITIONER ISSUED BY THE KPSC, THIRUVANANTHAPURAM FOR EXAMINATION DATED 23.10.2024 Exhibit P5(e) TRUE COPY OF HALL TICKET OF THE 6TH PETITIONER ISSUED BY THE KPSC, THIRUVANANTHAPURAM FOR EXAMINATION DATED 23.10.2024 WPC Nos.21050/2024 & Conn.cases -: 32 :- 2025:KER:23683 APPENDIX OF WP(C) 21050/2024 PETITIONER EXHIBITS Exhibit-P1 A TRUE COPY OF THE RECRUITMENT RULES PUBLISHED IN THE GAZETTE DATED 27-03-2023 (G.O(P) NO.87/2023/CO-OP DATED 24-03-2023) Exhibit-P2 A TRUE COPY OF THE NOTIFICATION IN CATEGORY NO.064/2024 (SOCIETY CATEGORY) DATED 09-04-2024 Exhibit-P3 A TRUE COPY OF THE NOTIFICATION IN CATEGORY NO.066/2024 (SOCIETY CATEGORY) DATED 09-04-2024 RESPONDENT EXHIBITS EXHIBIT R1(a) A TRUE COPY OF THE G.O.(P) No.119/2021/Co-op DATED 02.08.2021