2000 Supreme(Kar) 843
IN THE HIGH COURT OF KARNATAKA AT BANGALORE
G.C. Bharuka and K.R. Prasada Rao, JJ.
Nataraj and Others — Appellant
Vs.
State of Karnataka and Others — Respondent
Writ Petition Nos. 16257 to 16285 of 2000
Decided on : 14-12-2000
Advocate Appeared:
Mr. B.V. Nagarathna, for the Appellant.
Mr. B.K. Sampath Kumar, for the Respondent.
The principle of estoppel applies against the Managing Committee to revoke membership retrospectively, and revocation can only be prospective and based on grounds available under the Act and the Rules of the Association.
Headnote:
Voting Rights - Karnataka State Cricket Association - Karnataka Societies Registration Act, 1960, Section 6(2) - The court discussed the relevant provisions of the Karnataka Societies Registration Act, 1960, particularly Section 6(2), and the Rules of the Karnataka State Cricket Association. The key legal provisions discussed include the criteria for membership, admission to associate-ship, and the procedure for admission to membership. The court's decision was influenced by the interpretation of Rule 10(d)(ii) and the application of the principle of estoppel against the Managing Committee.
Fact of the Case:
The Petitioners, claiming to be members of the Karnataka State Cricket Association, sought to quash a Managing Committee Resolution on the grounds of infringement of their statutory voting rights. The Managing Committee had passed a resolution declaring the Petitioners and others as Associates instead of Members due to technical flaws in their application forms.
Finding of the Court:
The court found that the Managing Committee's resolution was contrary to the Rules of the Association and could not be sustained in law. It held that once the Managing Committee admitted the Associates as members and they acted as such, their membership could not be retrospectively revoked based on technical flaws.
Issues: The issues before the court included the maintainability of the writ petition under Article 226 of the Constitution and the validity of the Managing Committee's resolution in declaring the Petitioners as Associates instead of Members.
Ratio Decidendi: The court held that the writ petition was maintainable, considering the public interest element in the activities of the Association. It also emphasized the principle of estoppel against the Managing Committee and the requirement to follow the principles of natural justice in revoking membership.
Final Decision: The court allowed the writ petitions, quashed the impugned resolution, and directed the parties to bear their own costs.
G.C. Bharuka, J.—The Petitioners claiming to be the members of the Respondent-Karnataka State Cricket Association (in short "the Association") have approached this Court for quashing Item No. 11 of its Managing Committee Resolution dated 20.3.2000 (Annexure-A) on the ground that it amounts to infringement of their statutory rights of voting as protected under the proviso to Sub-section (2) of Section 6 of the Karnataka Societies Registration Act, 1960 (in short 'the Act').
2. The present writ petitions have been placed before us on being referred by the learned Single Judge under Section 9 of the Karnataka High Court Act, 1961.
3. The Association is a society registered under the Act. According to its registered memorandum of Association its object inter alia is to control, regulate, help, encourage, promote and develop the game of cricket in the whole of the State of Karnataka. The Association has framed its Rules which were registered with the memorandum containing provisions relating to the admission of members, general meetings, proceedings at such meeting including voting by members, the governing body and proceedings of the meeting of the governing body as required under Section 6(2) of the Act. The rules are called "Rules of the Karnataka State Cricket Association" (in short "the Rules"). These Rules have been subjected to certain amendment in 1999 but for resolving the present controversies the amendments so made are not relevant and therefore those are not being taken into account.
RE: RELEVANT PROVISIONS UNDER THE RULES
4. Rule 1(d) of the Rules defines the "Members" to mean 'Founder Members', 'Founder Life Members' and 'Founder Institutional Members' subject to the privileges mentioned in the Rules.
5. Rule 6 of the Rules prescribes the criterions for being the 'Founder Life Member' and the 'Founder Member' which are as under:
Rule 6. Members:
a) Founder Life Members : Life Members on the Rolls of the Association as on 31.3.1974 shall be Founder Life Members. There shall be no direct enrollment of Founder Life Members. Founder Life Member shall not be liable to pay any further subscription.
b) Founder Members: Members on the Rolls of the Association as on 31.3.1974 shall be Founder members. There shall be no direct enrollment of Founder members.
c) *** *** *** ***
6. Similarly, Rule 7 of the Rules sets out the attributes of 'Associates' which are as follows-
Rule 7. Associates:
a) Life Associates: Any individual who is above 18 years of age and who is interested in or playing Cricket may be taken as a Life Associate on payment of a lump-sum of Rs, 25,000/- to the Association. (Thereafter he is not liable for any further payment).
b) Associates: Any individual who is above 18 years of age born or domiciled in the State of Karnataka and who is residing within the area of Association and who is interested in or playing Cricket may be taken as 'ASSOCIATES' on being admitted as such and on payment of Rs. 5,000/-.
c) Institutional Associates: Clubs, Gymkhanas, Institutions, Associations my also be taken as Institutional Associates on being admitted as such and on payment of Rs. 5,000/-.
The Clubs, Gymkhanas, Institutions and Associations must be functioning for at least two seasons within the jurisdiction of the Association, before they apply for "Institutional Associate-ship" (However Cricket Clubs belonging to defence services may be taken as "Institutional Associates" as soon as they move into the Areas of the Association).
7. Rule 8 of the Rules makes provision for admission to Associate-ship. For convenience, this rule is being reproduced here under. It reads-
8. Admission to Associate-ship: The application to become Associates shall be made in writing to the Honorary Secretary of the Association in the Prescribed form accompanied by Admission fee and associate fee. The applicant shall duly be introduced by two Founder Members (Life, Associates or Institutional).
The Committee may accept or reject any application without assignin