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1974 Supreme(AP) 104

Andhra Pradesh High Court
Judges : A.V.KRISHNA RAO, S.OBUL REDDY
T.Jagannadhi Reddy - Appellant
Versus
Managing Committee, Co-operative Marketing Society Ltd.Warrangal - Respondent
Decided On : 08-12-74

The Collector or the Special Cadre Deputy Registrar of Co-operative Societies is the competent authority to initiate action under Section 34 of the Andhra Pradesh Co-operative Societies Act, 1964, against a primary society.

Headnote:

CO-OPERATIVE SOCIETIES - ANDHRA PRADESH CO-OPERATIVE SOCIETIES ACT, 1964 - SECTION 34 - POWER OF COLLECTOR TO ISSUE SHOW-CAUSE NOTICE - DELEGATION OF POWERS - G. O. MS. NO. 38 PLANNING AND CO-OPERATION DEPARTMENT, DATED 22ND SEPTEMBER, 1970 - INTERPRETATION - COLLECTOR OR SPECIAL CADRE DEPUTY REGISTRAR OF CO-OPERATIVE SOCIETIES IS THE COMPETENT AUTHORITY TO INITIATE ACTION UNDER SECTION 34.

Fact of the Case:

The District Collector issued a show-cause notice to the Managing Committee of a Co-operative Society under Section 34 of the Andhra Pradesh Co-operative Societies Act, 1964, proposing to supersede the Committee. The Society challenged the Collector's jurisdiction to issue the notice, contending that he was not empowered under the relevant Government Order (G. O. Ms. No. 38 Planning and Co-operation Department, dated 22nd September, 1970) to exercise the powers of a Registrar.

Finding of the Court:

The Court held that the Collector had the power to issue the show-cause notice under Section 34 of the Act. The Court interpreted G. O. Ms. No. 38 and the relevant provisions of the Act and Rules to conclude that the Collector or the Special Cadre Deputy Registrar of Co-operative Societies, who acts as the Personal Assistant to the Collector, is the competent authority to initiate action under Section 34.

Issues: 1. Whether the Collector had the power to issue the show-cause notice under Section 34 of the Andhra Pradesh Co-operative Societies Act, 1964? 2. Whether the Government Order (G. O. Ms. No. 38 Planning and Co-operation Department, dated 22nd September, 1970) empowered the Collector to exercise the powers of a Registrar?

Ratio Decidendi: 1. The definition of "Committee" in Section 2(b) of the Act includes the governing body of a society by whatever name called, to which the management of the affairs of the society is entrusted. 2. The Schedule appended to G. O. Ms. No. 38 confers powers upon the Collector and Special Cadre Deputy Registrars of Co-operative Societies to take action against primary societies under Section 34 of the Act. 3. The powers conferred upon the Collector and Special Cadre Deputy Registrars are co-extensive, meaning they have concurrent jurisdiction. 4. The powers conferred upon the Collector and Special Cadre Deputy Registrars are not conferred upon Deputy Registrars of Co-operative Societies in charge of Divisions.

Final Decision: The Court allowed the appeal and set aside the judgment of the single Judge. The writ petition filed by the Society was dismissed.

OBUL REDDI, CJ.

( 1 ) THIS Writ Appeal is directed against the judgment of our learned brother Alladi Kuppuswami, J. in w. P. No. 2896 of 1973 allowing the writ petition filed for the issue of a writ of prohibition restraining the District Collector (Co-operation) Warrangal, from proceeding further in pursuance of his proceedings dated 13th April 1973. issued under section 34 of the andhra Pradesh Co-operative Societies Act, hereinafter referred to as the act proposing to supersede the Managing Committee of the 1st respondent-society.

( 2 ) THE question that came up for consideration before our learned brother was whether the District Collector has power to issue the show-cause notice under section 34. It was contended before our learned brother that the District Collector has no jurisdiction to issue the impugned notice inasmuch as he was not empowered under the schedule (G. O. Ms. No. 38 Planning and Co-operation Department, dated 22nd September, 1970) to exercise the powers of a Registrar. Our learned brother was of the view that the petitioner-society (1st respondent herein) was not a primary society within the meaning of G. O. Ms. No. 38 read with rule 2 (j) of the Rules, and therefore upheld the contention of the writ petitioner that the Collector had no jurisdiction to issue the impugned notice under section 34 of the Act. That writ petition was opposed by the appellant who got himself impleaded as the 2nd respondent in the writ petition. As the writ petition filed by the Managing Committee was allowed, the 2nd respondent has preferred this appeal assailing the judgment of our learned brother.

( 3 ) MR. B. P. Jeevan Reddy, the learned Counsel appearing for the appellant, contended that it should be decided whether it is the Collector or the Deputy registrar under G. O. Ms. No. 38 who has been empowered to take action against an erring society under section 34. According to the learned Counsel after the learned single Judge held that the Collector is not the competent authority and it is the Deputy Registrar that is the competent authority under the Act, the authority of the deputy Registrar to issue a notice under section 34 is again being assailed in another writ petition on the ground that he has not been empowered under g. O. Ms. No. 38. In short, what the learned Counsel for the appellant contends is that it could not have been the intention or object of the Government when it issued G. O. Ms. No. 38 to see that neither of the officers exercises that power under section 34 and therefore it must be decided as to whether it is the Collector or the Deputy Registrar who has been vested with the jurisdiction to act under section 34. Mr. M. R. K. Chowdary the learned Counsel appearing for the Society (1st respondent herein) contended that the society in question is not a Primary society (within the meaning of item no. 2 of column 3 in serial No. 1 of the Schedule and therefore the Collector is not competent to issue the impugned notification. He, however, does not rest his oars on the finding recorded by our learned brother that the Deputy registrar is the competent authority, but contends that the Deputy Registrar too has no power and if anybody should take action against the 1st respondent primary society, it is the Registrar of co-operative Societies and not any authority to whom powers have been delegated under G. O. Ms. No. 38.

( 4 ) IN Short, the question that falls for determination is whether the Collector is vested with the power or authority to initiate and take appropriate action under section 34 against a primary society. We may therefore refer to the relevant provisions of the Act and the rules made thereunder. The expression Registrar as defined in section 2 (n) means the Registrar of Co-operative Societies appointed under section 3 (1) and includes any other person on whom all or any of the powers of the registrar are conferred. The power now exercised under the impugned notice is by a person on who n





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