The main legal point established in the judgment is that for a dispute under Section 61(1)(b) of the APCS Act, the plot in question must be definitively earmarked as a parking area in the layout plan, and the challenge to the allotment must be considered bona fide.

JUDGMENT :

A.S. Bopanna, J.

1. The respondents No.4, 6 and 7 in W.P. No.6212/2006 are before this Court in this appeal. They claim to be aggrieved by the order dated 20.04.2010 passed by the High Court of Judicature, Andhra Pradesh at Hyderabad. By the said order, the learned Division Bench of the High Court has allowed the writ petition and quashed the award dated 28.01.2004 passed by the Divisional Co-operative Officer, Cuddapah acting as an Arbitrator in deciding the dispute raised under Section 61(1) (b) of the Andhra Pradesh Co-operative Societies Act, 1964 (“APCS Act” for short). The said award had been affirmed by the Andhra Pradesh Co-operative Tribunal at Hyderabad, through its judgment dated 27.02.2006.

2. The facts necessary to be noted for disposal of these appeals are as follows:- The Government of Andhra Pradesh through its G.O. Ms. No.956, Revenue Department, dated 22.08.1970, allotted land situate in Sy.No.752/2 and 91/1, Kondayapalli Tank bund to the N.G.O. Co-operative Building Society Ltd. for the purpose of formation of Layout and to allot sites to its members. The area was within the jurisdiction of Chinnachowk, Gram Panchayat at that point in time. The said Panchayat was later on merged in the Municipal Corporation, Kadapa, which presently has jurisdiction over the area.

3. There is not much dispute to the fact that in the said land a layout was formed and 625 members were allotted plots. The layout also consisted of specific areas earmarked for parks, playground, school, religious place, shopping area and parking place. The instant appeal relates to the respective plots which were allotted to the respondents No.1 in C.A.No.11015 and 11016/2017. The respondent No.1 in C.A. No.11016/2017 who died subsequently, was deleted from the array of parties. As such, the entire consideration in this appeal is limited to the plot measuring 3.2 cents allotted to the respondent No.1 (Mr. M.V. Ramana) in C.A. No.11015/2017. Since there has been an amendment to the cause title and certain parties who were parties to the original proceedings before the Divisional Co-operative Officer have been deleted, henceforth the parties will be referred to in the rank they were arrayed in the original proceedings for completeness and clarity.

4. The plaintiffs before the Divisional Co-operative Officer raised a grievance with regard to the allotment of plot to defendant No.2 therein (Mr. M.V. Ramana) alleging that the said plot was reserved as parking area in the layout plan. The plaintiffs were, a Welfare Association which was a part of the same layout, former President and Vice-President of the N.G.O Society which allotted the plot and a couple i.e. plaintiff Nos.4 and 5 who own shop premises in the layout which is situated opposite the plot in issue. The said plaintiffs No.4 and 5 are not members but were persons who were interested in purchasing the same plot that was allotted to defendant No.2, ostensibly to retain the same as parking area in front of their shops on plot Nos.27, 35 and 36.

5. The Divisional Co-operative Officer, on perusal of the material and evidence, noted the said plot to be a vacant commercial plot as denoted in the plan. However, on providing his own analysis, he has proceeded to term the plot in issue as a ‘parking area’ and has accordingly passed the award dated 28.01.2004 in favour of the plaintiffs. The defendants, more particularly, the respondent herein (Mr. M.V. Ramana) filed an appeal before the Andhra Pradesh Co-operative Tribunal at Hyderabad, which affirmed the award through its judgment dated 27.02.2006. The respondent filed a writ petition before the High Court assailing the order dated 24.04.2010 in W.P.No.212/2006. The High Court on a detailed consideration, more particularly with regard to maintainability of a proceeding of the present nature before the Co-operative Officer, held it against the appellants herein, allowed the writ petition and set aside the award of the Divisional Co-operative Offi