High Court Of Calcutta
M. M. Dutt, A. K. Sarkar
ALI AHMED - Appellant
Versus
STATE OF WEST BENGAL - Respondent
F. M. A. T. 843 Of 1981
Decided On : 08/05/1981
CO-OPERATIVE SOCIETY - Dissolution of Managing Committee - Validity of Section 26-A of the West Bengal Co-operative Societies (Second Amendment) Act, 1978 - Retrospective or prospective operation - Interpretation - Held, Section 26-A is prospective in operation and does not apply to cases where the period of fifteen months had expired before its enactment.
Fact of the Case:
The appellant, the Chairman of the Managing Committee of the West Bengal State Cooperative Marketing Federation Limited (commonly known as 'benfd'), challenged the constitutional validity of Section 26-A of the West Bengal Co-operative Societies (Second Amendment) Act, 1978, which introduced a new provision for the dissolution of managing committees of certain cooperative societies if elections were not held within a specified period. The appellant argued that the provision was ultra vires Articles 14 and 19 (1) (c) of the Constitution of India.
Finding of the Court:
The Court held that Section 26-A is prospective in operation and does not apply to cases where the period of fifteen months had expired before its enactment. The Court found that the Managing Committee of the Society was reconstituted in accordance with the provisions of the Act and that the Registrar of Co-operative Societies had no power to dissolve it under Section 26-A. The Court also held that the appellant had locus standi to file the writ petition challenging the constitutional validity of Section 26-A.
Issues: 1. Whether Section 26-A of the West Bengal Co-operative Societies (Second Amendment) Act, 1978 is ultra vires Articles 14 and 19 (1) (c) of the Constitution of India? 2. Whether Section 26-A is retrospective or prospective in operation? 3. Whether the Managing Committee of the Society was reconstituted in accordance with the provisions of the Act? 4. Whether the Registrar of Co-operative Societies had the power to dissolve the Managing Committee under Section 26-A? 5. Whether the appellant had locus standi to file the writ petition challenging the constitutional validity of Section 26-A?
Ratio Decidendi: 1. The Court held that Section 26-A is prospective in operation and does not apply to cases where the period of fifteen months had expired before its enactment. The Court found that the Managing Committee of the Society was reconstituted in accordance with the provisions of the Act and that the Registrar of Co-operative Societies had no power to dissolve it under Section 26-A. 2. The Court also held that the appellant had locus standi to file the writ petition challenging the constitutional validity of Section 26-A.
Final Decision: The Court set aside the order of the learned Judge and made the Rule absolute. The notification issued by the Registrar of Co-operative Societies, West Bengal, under Section 26-A (c) of the Act was quashed. The respondents were directed to forbear from interfering in any manner whatsoever with the Managing Committee reconstituted in terms of the order dated December 18, 1978 of A. K. Mookerii J.
( 1 ) IN this appeal, the appellant All Ahmed has challenged the propriety of the order dated April 9, 1981 of a learned Judge of this Court discharging the Rule Nisi issued on the application of the appellant under Article 226 of the Constitution.
( 2 ) IN the writ petition, the appellant has prayed for a declaration to the effect that the West Bengal Co-operative Societies (Second Amendment) Act. 1978 is ultra vires Articles 14 and 19 (1) (c) of the Constitution of India. By the said Amendment Act a new provision being Section 26-A has been introduced into the West Bengal Co-operative Societies Act, 1973, hereinafter referred to as the Act. The appellant has also prayed for a writ in the nature of Mandamus commanding the respondents Nos. 1 to 4 to forbear from implementing the said Amendment Act in respect of the West Bengal State Cooperative Marketing Federation Limited commonly known as 'benfd', hereinafter referred to as the Society, and from acting on the basis thereof in any manner whatsoever for the purpose of dissolution of the Managing Committee of the Society.
( 3 ) THE appellant was elected Chairman of the Managing Committee of the Society at the Annual General Meeting of the Society held on December 22, 1976. By a Notification dated October 18. 1977 issued under Section 26 (1) of the Act, the Managing Committee of the Society was dissolved by the Government. The appellant challenged the said notification dissolving the Managing Committee by filing a writ petition in this Court. A Rule Nisi was issued on the said writ petition and an interim order of stay of the operation of the said notification was made by this Court. Ultimately, on July 31. 1978, the Rule Nisi was made absolute and the notification was quashed. No appeal was preferred by the respondents Nos. 1 to 4. During the period the said Rule was pending in this Court, the Annual General Meeting of the Society could not be convened within the period of fifteen months after the date of the last preceding meeting held on Dec. 22, 1976, as provided in Sub-section (2) of Section 21 of the Act. As the period of eighteen months had also expired from the date of the last Annual General Meeting, the Registrar of Co-operative Societies. West Bengal, could not also call a general meeting of the Society in accordance with the provision of Sub-section (3) of Section 21 of the Act The Managing Committee of the So- ciety passed resolution on August 14. 1978 to the effect that the Government should be moved for according permission to the Registrar for holding the Annual General Meeting under Section 21 (4) of the Act. It appears that one Shri P. Vanamali, I. A. S. , who was the Managing Director of the Society, by his letter dated November 4/6, 1978 addressed to the Registrar of Co-operative Societies. West Bengal, requested him to take steps so that the Government might be moved for according necessary permission for holding the Annual General Meeting. The appellant also wrote a letter to the Secretary. Co-operation Department, Government of West Bengal, to grant the necessary permission in terms of Section 21 (4) of the Act for holding the Annual General Meeting. In spite of these requests, neither the Registrar nor the Government of West Bengal took any steps for holding the Annual General Meeting of the Society. The last attempt was made by the appellant bv a letter written by his Advocate to the Secretary. Co-operation Department, Government of West Bengal, requesting him to give the necessary permission, but in vain. Thereafter, on December 15, 1978, the appellant filed a writ petition whereupon a Rule Nisi was issued by this Court calling upon the respondents to show-cause why the Annual General Meeting should not be held. The said Rule Nisi is still pending.
( 4 ) DURING the pendency of the said Rule, on February 3, 1979, the said Amendment Act of 1978 was passed by the West Bengal Legislature introducing into the Act Section 26-A. Section 26-A
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