IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI
R. RAGHUNANDAN RAO, J.
Veesam Rama Krishna, S/o. Nageshwara Rao & Ors. - Petitioners
Versus
The State of Andhra Pradesh, Agriculture & Cooperation Department, Amaravathi, Rep. by its Principal Secretary & Ors. - Respondents
W.P. Nos. 21690, 23302, 24841 & 26668 of 2022
Decided On : 30-09-2022
Constitution of India, 1949 – Article, 226 – Power of High Court to issue certain writs – Suspension of a Judgment – Provisions of A.P. Cooperative Societies Act, 1964 (for short ‘the Act’) require management of every cooperative society to be vested with managing committee an elected body elections are to be held periodically – Held, Petitioner was earlier working as chair-person of person in-charge committee has been made a member of person in-charge committee with another person arrayed respondent being appointed as chair-person no vested right in petitioner to continue as a chair-person of person in-charge committee and he would entitled for being considered in first instance for appointment as a member of person in-charge committee – Writ petition dismissed.
ORDER :
As all these cases raise the same issues, they are being disposed of by way of this common order.
2. The provisions of A.P. Cooperative Societies Act, 1964 (for short ‘the Act’) require management of every cooperative society to be vested with the managing committee, which is an elected body. These elections are to be held periodically. However, on some occasions, when elections could not be held for any reason and the term of the previously elected body expires, Section 32 (7)(1) of the Act empowers the State Government to appoint a person in-charge or a committee of persons in-charge to manage the affairs of the society, till an election for constituting the next managing committee can be held. The provisions of Section 32(7)(a) is as follows :
(ii) Notwithstanding anything contained in this Act, in the special circumstances and for the reasons to be recorded, if in the opinion of the Government, it is not possible to hold the elections to the societies or class of societies, the Government may, by order, extend the term of the person or the persons appointed to manage the affairs of the society or class of societies beyond three years but not exceeding, six years in aggregate.
(b) ----------------
(c) ----------------
(d) ----------------
3. It appears that the term of the elected management committees in Cooperative Societies across the State has expired some time back and elections to a large number of these societies had not been conducted. The Government, invoking the power under Section 32(7), and the Registrar in some cases, had appointed either a single person in-charge committee or a three member person in-charge committee for all such societies. In that process, the petitioners in these writ petitions who were either members or part of the erstwhile managing committees of the societies were appointed as persons in-charge of their respective societies.
4. After their term as persons in-charge had expired the Government/ Registrar had either appointed other persons as persons in-charge or the petitioners have not been continued as persons in-charge and the petitioners apprehend that other persons would be appointed as persons in-charge in their place. On the basis of this apprehension or on the basis of their replacement by other persons, the petitioners have approached this Court by way of the present set of writ petitions.
5. The challenge of the petitioners, in these cases, is twofold. Firstly, the language of Section 32(7)(a) of the Act has to be interpreted to mean that once a person in-charge has been appointed, the appointing authority can, at best, extend the term of such a person and no power is available to the appointing authority to change the person, who has initially being appointed as the person in-charge. Secondly, the said Rule read in conjunction with the other provisions of the Act, require the appointing authority to appoint only the members of the society or the erstwhile management of the society as persons in-charge and no outsider can be appointed unless it is shown that the earlier management had mismanaged the affairs of the society or misappropriated the funds of the society.
6. Sri V.V.N. Narayana Rao, and Sri K. Rama Mohan Mahadeva, learned counsel appearing for the petitioners rely, in support of the first gr
M. Ranga Reddy vs. State of A.P., and Anr.
B. Kota Mallaiah vs. Commissioner and Registrar of Cooperative Societies
The Deputy Registrar, Cooperative Societies, Bhongir and Anr. vs. K. Gandaiah and Ors.
Kethireddy Jagan Mohan Reddy vs. The State of Telangana
Sri Panduranga Traders Vs. SBI 2000 (2) ALT 511
Ganga Saran vs. Special Judge, Muzaffarnagar and Ors.
The Office Memorandum dated 03.10.2020 does not apply to in-charge appointments of Managing Directors under the Manipur Co-operative Societies Act, as such appointments are deemed deputations.
The main legal point established in the judgment is the validity of the appointment of a Board of Administrators for a Co-operative Society under the West Bengal Co-operative Societies Act, 2006.
The court affirmed that the Registrar must prioritize internal management over external control in co-operative societies, using outside appointments only as a last resort.
The State Government may recommend the appointment of any officer as Administrator of a co-operative society, including senior officers, to facilitate effective elections, provided they have jurisdic....
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.