IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 05TH DAY OF DECEMBER 2017 BEFORE THE HON’BLE MR.JUSTICE S.N.SATYANARAYANA W.P.Nos.11607-11612/2017 C/W W.P.Nos.11422-11427/2017(CS-RES) W.P.Nos.11607-11612/2017 BETWEEN:
1.SRI.SEENAPPA S/O.CHIKKAIAH AGED ABOUT 51 YEARS R/O CHANNAPATNA TOWN RAMANAGARA DISTRICT.
2.SRI.RANGAPPA @ RANGANATH S/O.RAMACHANDRE GOWDA AGED ABOUT 46 YEARS R/O.CHANNAPATNA TOWN RAMANAGARA DISTRICT.
3.SRI.M.JAGADISH S/O.M.MUDDANNA AGED ABOUT 48 YEARS R/O.CHANNAPATNA TOWN RAMANAGARA DISTRICT.
4.SRI.P.CHANDRASHEKAR S/O.PUTTASWAMY GOWDA AGED ABOUT 59 YEARS R/O.MYLANAYAKANAHALLI VILLAGE CHANNAPATNA TALUK RAMANAGARA DISTRICT.
5.SRI.ANNE GOWDA S/O.SHIVANE GOWDA AGED ABOUT 75 YEARS R/O.BUKKASAGARA VILLAGE CHANNAPATNA TALUK RAMANAGARA DISTRICT (BENEFIT OF SENIOR CITIZEN NOT CLAIMED) 6.SRI.R.S.RAVIKUMAR S/O.SHIVALINGAIAH AGED ABOUT 48 YEARS R/O.BYRAPATNA VILLAGE CHANNAPATNA TALUK RAMANAGARA DISTRICT.
… PETITIONERS (BY SRI:M.R.RAJAGOPAL, ADV) AND:
1.THE STATE OF KARNATAKA BY ITS SECRETARY DEPARTMENT OF CO-OPERATION VIDHANA SOUDHA BENGALURU-560 001 2.THE REGISTRAR OF CO-OPERATIVE SOCIETIES ALI ASKAR ROAD BANGALORE-560 001.
3.THE JOINT REGISTRAR OF CO-OPERATIVE SOCIETIES BANGALORE REGION APEX BANK BUILDING PAMPAMAHAKAVI ROAD CHAMARAJPET, BANGALORE-560 036.
4.THE CHIEF EXECUTIVE OFFICER TALUK AGRICULTURAL PRODUCE CO-OPERATIVE MARKETING SOCIETY LTD. CHANNAPATNA – 562 160 RAMANAGARA DISTRICT.
5.SRI.C.P.YOGESHWAR MAJOR IN AGE MEMBER OF LEGISLATIVE ASSEMBLY CHANNPATNA ASSEMBLY CONSTITUENCY TALUK PANCHAYAT BUILDING CHANNAPATNA RAMANAGARA DISTRICT-571 511.
… RESPONDENTS (BY SRI.LAXMINARAYAN, AGA FOR R1 TO R4 NOTICE TO R5 HELD SUFFICIENT) THESE WRIT PETITIONS ARE FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO CALL FOR THE ENTIRE RECORDS FROM R-1 AND R-2 INCLUDING THE LETTER OF THE HON’BLE CHIEF MINISTER DATED 10-02-2017 AND ALSO THE PROCEEDINGS FROM THE FILE OF THE R-2 REGISTRAR OF CO-OPERATIVE SOCIEITIES DATED 22-02-2017 AS PER ANNEXURE-E AND ALSO FROM THE FILE OF THE R-3 AS PER ANNEXURE-E AND ALSO TO QUASH THE SHOW CAUSE NOTICE DTD.1-3- 2017 ISSUED BY THE R-3 AS PER ANNEXURE-E.
W.P.Nos.11422-11427/2017: BETWEEN:
1.SRI.SEENAPPA S/O.CHIKKAIAH AGED ABOUT 51 YEARS R/O CHANNAPATNA TOWN RAMANAGARA DISTRICT.
2.SRI.RANGAPPA @ RANGANATH S/O.RAMACHANDRE GOWDA AGED ABOUT 46 YEARS R/O.CHANNAPATNA TOWN RAMANAGARA DISTRICT.
3.SRI.M.JAGADISH S/O.M.MUDDANNA AGED ABOUT 48 YEARS R/O.CHANNAPATNA TOWN RAMANAGARA DISTRICT.
4.SRI.P.CHANDRASHEKAR S/O.PUTTASWAMY GOWDA AGED ABOUT 59 YEARS R/O.MYLANAYAKANAHALLI VILLAGE CHANNAPATNA TALUK RAMANAGARA DISTRICT.
5.SRI.ANNE GOWDA S/O.SHIVANE GOWDA AGED ABOUT 75 YEARS R/O.BUKKASAGARA VILLAGE CHANNAPATNA TALUK RAMANAGARA DISTRICT (BENEFIT OF SENIOR CITIZEN NOT CLAIMED) 6.SRI.R.S.RAVIKUMAR S/O.SHIVALINGAIAH AGED ABOUT 48 YEARS R/O.BYRAPATNA VILLAGE CHANNAPATNA TALUK RAMANAGARA DISTRICT.
(BY SRI:M.R.RAJAGOPAL, ADV) … PETITIONERS AND:
1.THE STATE OF KARNATAKA BY ITS SECRETARY DEPARTMENT OF CO-OPERATION VIDHANA SOUDHA, BENGALURU-560 001 2. THE STATE CO-OPERATIVE ELECTION COMMISSION BY ITS COMMISSIONER, 3RD FLOOR, T.T.M.C. ‘A’ BLOCK, K.H.ROAD, SHANTHINAGARA, BANGALORE – 560 027.
3.THE REGISTRAR OF CO-OPERATIVE SOCIETIES ALI ASKAR ROAD BANGALORE-560 001.
4.THE CHIEF EXECUTIVE OFFICER TALUK AGRICULTURAL PRODUCE CO-OPERATIVE MARKETING SOCIETY LTD. CHANNAPATNA – 562 160 RAMANAGARA DISTRICT.
… RESPONDENTS (BY SRI.LAXMINARAYAN, AGA FOR R1 & R3 SRI M.KESHAVA REDDY, ADVOCATE FOR R2, R4 SERVED) THESE WRIT PETITIONS ARE FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO DECLARE THAT SEC.28-A(5) OF THE KARNATAKA CO- OPERATIVE SOCIETIES ACT, 1959 WOULD NOT RENDER THE AUTHORITIES TO APPOINT AN ADMINISTRATOR TO R-5 IMMEDIATELY UPON EXPIRY OF THE TERM OF OFFICE OF THE PRESENT BOARD AT ANNEX-A AND ETC.
THESE WRIT PETITIONS ARE COMING ON FOR ORDERS THIS DAY, THE COURT MADE THE FOLLOWING:-
ORDER These two batch of writ petitions are by the Directors of 4th Respondent-TAPCMS, Channapatna. The fact that the petitioners 1 to 6 who are elected as members of the Board of the Society in the election conducted on 25-03-2012 is not in dispute. It is also not in dispute that duration of office of the petitioners herein is for a period of five years which would expire on 24th March 2017. Under the Co-operative Societies Act, 1959 (for short ‘the Act’) even before the period of office of the Society comes to an end, the process for conducting election to the Board of Society will have to be initiated at least six months prior to the date, on which the existing Board comes to an end. In the instant case also, steps were taken to conduct election to the posts of executive members to the Board of 4th respondent-Society within the stipulated time. However, the election has not been conducted within the stipulated period and as such, the existing Board consisting of petitioners 1 to 6 have continued in the office by filing the present set of writ petitions seeking to stay the appointment of Administrator to the 4th Respondent- society and also seeking a direction to allow them to continue in the office till the new Board is duly constituted as provided under Section 39 of the Act.
2. In the meanwhile, in one set of the writ petitions, the prayer is to ensure that the present Board should not be superseded by the execution order of the Hon’ble Chief Minister of the State directing to conduct enquiry against them under Section 30 of the Act which is said to be at the instance of a local MLA who is the 5th respondent in W.P.Nos.11607-11612/2017. When these two batch of writ petitions are taken up for consideration, learned counsel appearing for the petitioners, Mr.M.R.Rajagopal addressed the arguments relying upon the Full Bench decision of this Court in the matter of THE HASSAN CO- OPERATIVE MILK PRODUCERS SOCIETIES UNION LIMITED AND OTHERS v/s STATE OF KARNATAKA AND OTHERS and connected matters which were disposed of on 20-04-2014 in deciding three questions which were referred to the Full Bench for determination.
3. The second question which was referred to the Full Bench in the aforesaid matter for determination is as under:
“When the elections are to be conducted to a cooperative society by the second respondent – State Cooperative Societies Election Commission – and for any reason if the Election Commission fails to conduct the elections within the stipulated time, whether an Administrator can be appointed automatically under Section 28-A(5) of the Act?”
The very same question is required to be considered in the facts of the case on hand. When the aforesaid matter was taken up for consideration by the Full Bench of this Court, they felt that in the said proceedings, the situation did not arise to answer the question pertaining to applicability of Section 28-A(5) of the Act.
4. So far as appointment of Administrator to the Society in which the term of office bearers has come to an end, learned counsel would request the Court not to take any steps to appoint the Administrator immediately to consider whether there is scope for continuing the existing Board until the elected body takes charge of the said Society. In the fact situation, none of the petitioners had raised such question calling upon the decision rendered by the Full Bench. In this background, learned counsel for the petitioners Sri.M.R.Rajagopal would request this Court to address that point and he would like to interpret the said provision of law relying upon Sections 29-A and 39-A of the Act which are with reference to Section 28-A(5) of the Act, where the Competent Authority is authorized to take over the administration of the Management of the Society whose term of office has expired by efflux of time.
5. Section 28-A(5) is extracted hereunder for ready reference:
“28-A(5) – If the new board is not constituted under Section 29-A, on the date of expiry of the term of office of the board or if the elections are not held within the time-limits specific in Section 39-A, the Registrar or any other officer within whose jurisdiction the Society is situated and who is authorized by the Registrar, shall be deemed to have assumed charge as Administrator and he shall, for all purposes function as such board of management. The Administrator shall, subject to the control of the Registrar, exercise all the powers and perform all the functions of the board of the co-operative society or any office bearer of the co-operative society and take all such actions as may be required, in the interest of the co-operative society.
(Provided that the Registrar shall appoint an Administrator to a Co-operative Society or each of the Co-operative Societies formed after amalgamation or reorganization or division in accordance with Section 14 for a period of three months and the administrator so appointed shall arrange for holding elections to a board of such Co-operative Society or Societies as the case may be).”
6. When the aforesaid provision of law is looked into, it is clear that reference to Sections 29-A and 39-A is for the limited purpose. Under Section 29-A what is defined is commencement of term of office under clause(1) which is from the date on which majority of the elected members to the board assuming the office. Clauses (2) and (3) deals with the duration of the office of the Board and powers of the Board to perform all functions during the said period. Now, what is to be seen is, after the term for which the Committee constituted expires, what should be the consequence?.
7. Section 39-A of the Act which reads as under:
“39-A. Conduct of elections:-1) Every general election of the members of the board and election of the office-bearers of a co-operative society including any casual vacancy to the extent applicable shall be held under the Superintendence of Co-operative Election Authority.
(2) The general elections of the members of the boards of the co-operative societies shall be held in four stages as under:
(a) the elections in respect of primary co-operative societies shall be held in the first stage;
(b)the elections in respect of secondary Co- operative Societies shall be held in the second stage;
(c) the elections in respect of federal Co-operative Societies shall be held in the third stage;
(d) the elections in respect of Apex Co-operative Societies shall be held in the fourth stage.
Provided that the co-operative election commission may start the preparatory work for the preparation of the electoral rolls for and the conduct of the elections during the last six months prior to the expiry of the term of office of the board of a co-operative society.”
8. From Section 39-A of the Act it could be seen that the manner in which the election is required to be conducted by the Co-operative Election Authority. Clause(2) of the said Section indicates the stages in which election is required to be conducted for Primary Cooperative Societies, Secondary Cooperative Societies, Federal Cooperative Societies as well as the Apex Cooperative Societies, they only indicate the manner in which the election is required to be conducted but, it has no relevance to Section 28-A(5) of the Act, except stating that the persons who are elected to the said office in the manner as shown in Section 39-A of the Act, if the new board is not constituted to take over the office as on the date when the office of the existing committee expires, the Administrator will automatically take over the Management of the Society. This is what is intended in Section 28-A (5) which cannot be given a different or liberal interpretation to ensure that the existing managing committee would somehow continue in the office without giving effect to the intending legislature.
9. In view of that, if Section 39-A is not implemented in electing the new Committee, the existing Committee should be allowed to continue in the office would amount to defeat the content, purpose and meaning of Section 28- A(5) which is not the intent of the legislature. Therefore, the court should not venture into giving different flavour, colour or meaning to provisions of Section 28-A(5) of the Act, than what is already legislated. Under the said provision which clearly indicated that on the expiry of the term of office of the elected committee, if the office bearers elected under Section 39-A of the Act are not available, the Administrator would take over management of the committee and shall continue in the office until the election is conducted appointing the members to the Board of managing committee of the Society.
10. Therefore, the first prayer which is raised in W.P.Nos.11422-11427/2017 is answered in the aforesaid terms and the prayer seeking declaration that the Administrator should not be appointed to the 4th respondent-Society immediately upon expiry of the term of office of the present Board as per Annexure-A cannot be accepted and the same is rejected. Further, the other two prayers for declaration which are consequent to that also do not arise for consideration. Accordingly, the writ petitions are require to be dismissed.
11. So far as second batch of writ petitions in W.P.Nos.11607-11612/2-17 is concerned, they are seeking to call for records pursuant to the proceedings bearing No.CM/8365/MLA dated 10-02-2017 which is the representation given by the 5th respondent in the said proceedings seeking to supersede the elected body of the 4th respondent-Society. In view of dismissal of the earlier writ petitions holding that term of office of the elected body of the 4th respondent having come to an end, the question of considering the prayers in this batch of writ petitions does not arise. Accordingly, these writ petitions are also disposed of as they have become infructuous and nothing survives for consideration pursuant to any order passed in CM/8365/MLA dated 10-02-2017. Therefore, what is required to be considered is, the second respondent-Officer of the Society is required to conduct the election immediately for the posts of board of directors to the managing committee of the 4th respondent-Society within three months from this date.
With such observations, these two batch of writ petitions are disposed of.
IA.I/2017 in WP.Nos.11607-612/2017 does not survive for consideration in view of the disposal of writ petitions.
Sd/- JUDGE mpk/-*