ORDER :

The petitioner – Nandi Rythu Samakhya, Nandyal prays for writ of mandamus declaring the action of 2nd respondent alienating its Sugar factory and appurtenant lands covered by different survey numbers of Ayyalur Village, Nandyal Mandal, Kurnool District to third parties without considering the interest of the petitioner association as illegal, arbitrary and for such other orders.

2. The petitioner‘s case succintly is thus:

(a) Originally the Nandyal Cooperative Sugar Factory was established in the year 1973 under the A.P. Cooperative Societies Act, 1964 (for short 'APCS Act') at Nandyal by acquiring Ac.120.00 cents from various ryots. Several ryots, some of whom are the members of the petitioner society invested amount in the said Sugar Factory. The majority of the shares were held by the State Government.

(b) The said factory was closed down during the crushing season 1990-1991 on account of non-availability of raw material, high cost of production and fall in sugar price. In 1994-1995 the factory was restarted and again closed in 1996-1997. Its accumulated losses rose above the paid-up capital and in May 2001 the Registrar of Cooperative Societies, A.P. exercising the power ve