ORDER :

The petitioners sought a direction in the nature of writ of Mandamus declaring the order in Memo No.AGC01-COOPOFASCS(EPIC)-1-2021-COOP-II, dated 09.04.2021 passed by the 1st respondent vacating the stay granted vide Order No.365/2016, dated 27.09.2016 as against the Order in Rc.No.1261/2005-C, dated 26.10.2006 of the 3rd respondent directing merger of Peddakowkuntla PACS, Raketla PACS into Amidyala PACS of Uravakonda Mandal, Anantapur District and consequential order of 4th respondent in Rc.No.1261/2005-C, dated 10.05.2021 directing the 5th respondent to take necessary steps and for reporting compliance, as bad, illegal, arbitrary, violative of principles of natural justice, contrary to the provisions of A.P. Cooperative Societies Act, 1964 and offends Articles 14 and 19(c) of Constitution of India and consequentially to set aside the same.

2. The Government of Andhra Pradesh with an intention to restructure the Primary Agricultural Cooperative Societies (PACS) credit system in the State came out with a scheme setting out guidelines for implementation vide G.O.Ms.No.176 Agriculture & Cooperation (Coop.V) Department, dated 14.06.2005. The purpose and object in bringing out such scheme is stated in the opening paragraph of this G.O. It is extracted hereunder for convenience:

“The Government of Andhra Pradesh have felt that there is a need to restructure the Cooperative Credit Institutions for their strengthening and effective functioning for making them viable.”

3. These guidelines included the following:

“………………

(e) All the non-viable societies in a Mandal are to be amalgamated/merged with one focal non-viable society in the same Mandal. The focal point society among the non- viable societies for amalgamation/merger may as far as possible be at Mandal Head Quarters, provided there is no viable society at Mandal Headquarters.

(f) If the focal point society among the non-viable societies is not existing at the Mandal head quarters, any other village with the focal point non-viable society may be identified with better financial position, infrastructure, and at a convenient/central.

……………………..

(i) There shall not be merger of any non-viable society with a viable society.”

4. To implement the scheme at the district level, a committee was also constituted with the District Collector as the Chairman, General Manager DCCB, Representative of NABARD and District Cooperative Officer as Members and District Cooperative Officer being convener. The task assigned to them was to identify viable and non-viable societies, Mandal wise and take action in terms of Section 15(A) of A.P. Cooperative Societies Act, 1964 and the rules thereunder. The District Collector was also directed to identify the suitable focal and non-viable societies with which other non-viable societies shall be merged.

5. Pursuant to these guidelines, the 3rd respondent – District Collector, Anantapur, issued a notification dated 21.06.2015 calling for objections in respect of merger of Amidyala, Raketla and Peddakowkuntla PACS, since they were identified as non-viable societies in Uravakonda Taluk. Amidyala PACS was identified as focal point non-viable society for the purpose of this proposed merger with effect from 25.06.2015.

6. One Sri P.Venkata Narayana, S/o.Kesanna and Sri Jalipati Veerabhadra Goud, S/o.Verupana Goud filed W.P.No.19116 of 2005 aggrieved by the final order of the 3rd respondent directing such merger of other two PACS into Amidyala PACS. It was disposed of by an order dated 01.09.2005, setting aside the proposed merger as well as order of the 3rd respondent dated 25.07.2005, remitting the matter to the 3rd respondent to consider objections of the members of the society giving them an opportunity.

7. The above order was challenged by Smt.Gurram Ranganayakamma, W/o.Sri late Gurram Sreeramulu, President of Amidyala Gram Panchayat in W.A.No.2144 of 2005, wh