The State Government has no authority to issue a direction to a Co-operative Bank or society for terminating the service of any of its employees.

Ramnandan Prasad, J.

1. This writ application has been filed for quashing an order of termination of the services of the petitioners dated 28-5-1985, a copy of which is Annexure-11 to this writ application as also the direction of the registrar, Co-operative Societies, Bihar, dated 26-6-1984, as contained in annexure-7, which motivated the passing of the impugned order (Annexure-11 ).

2. The case of the petitioners is that in response to an advertisement issued by respondent No.3 Deoghar-Jamtara Central Co-operative Bank (hereinafter referred to as the Bank) for the posts of Peons, Clerks, Stenographers and typiss, these five petitioners submitted applications for the posts of Peons. In due course they were called for interview and were selected for appointment. These petitioners were eventually appointed as Peons by letter dated 5-3-1984 issued by respondent No.3 and they joined their respective post. In due course they were also confirmed-petitioner Nos.1, 2 and 4 by order dated 10-9-1984 and others by order dated 22-9-1984. In fact, 43 appointments for different posts were made by respondent No.3 and all of them joined their posts in the same manner. After sometime, however, the payment of salary wits stopped to all the 43 employees including the petitioners and as such they represented their case before the Honorary Secretary of the Bank on 6-3-1985. the Honorary secretary, however expressed his liability to pay their salary to them in view of the letter of the Registrar of the Co-operative Societies, Bihar (Annexure-7 ).

3. Even before the issuance of the said letter dated 26-6-1984 (Annexure-11) an order for termination of their services was passed, which was challenged by some of the employees, namely, Binod Kumar Singh and others in C. W. J. C. No.4112 of 1983 in which their stand was that the Registrar, Cooperative Societies, Bihar, or even the State Government had no authority to terminate the services of the employees of the Co-operative Bank. This writ application was allowed by a Division Bench of this Court which also quashed the order of termination of the services of the petitioners of that case, holding that Ihe State Government or even the Registrar of the Co-operative societies had no power to terminate the Services of the employees of the Bask. Annexure-8 is a copy of this judgment.

4. Inspite of the aforesaid decision, respondent No.2 i. e. Registrar of the co-operative Societies, Bihar, directed respondent No.3 to terminate the services of the petitioners and other employees of the Bank by his letter, dated 26-6-1984 (Annexure-7 ). Some of the employees affected by this order, namely Bipin Pd. Singh and 18 others challenged the said order in C. W. J. C No.2002 of 1985. A Division Bench of this Court, of which I was also a member, allowed this writ application and quashed the said order of termination (Annexure-7 ). A writ of mandamus was also issued to treat the petitioners as in service continuously from the date of their appointment and to make payment of their salary to which they were entitled to in accordance with law. Annexure-9 is the copy of this Judgment. Respondent Nos.3 and 4 moved the Supreme Court in S. L. P. No.9695 of 1985 against this judgment, but it was dismissed on 10 10-1985.

5. In the meantime, on 28-5-1985 i. e. during the pendency of the Special leave Petition before the Supreme Court respondent No.3 terminated the services of all the 43 employees aforesaid including the petitioner. Annexure-11 is the copy of this order. It may be clarified here that by this time the Board of directors of Deoghar-Jamtara Central Co-operative Bank had been superseded by the Government and the Deputy Commissioner of Deoghar was appointed as special Officer of the Bank and this order of termination (Annexure-11) has been passed by him. However, after the dismissal of the Special Leave Petition by the supreme Court respondent No.3 reinstated 19 persons, who were petitioners in c. W. J. C. No.200