High Court Of Calcutta
M. M. DUTT, PARITOSH KUMAR MUKHERJEE
HOWRAH DIST.CENTRAL CO-OP.BANK LTD. - Appellant
Versus
SANAT KUMAR DUTTA - Respondent
F. M. A. T. 3270 Of 1984
Decided On : 03/15/1985
CO-OPERATIVE SOCIETY - ELECTION OF DIRECTORS - ELIGIBILITY - CONTRACT WITH SOCIETY - EXECUTIVE OFFICER - POWER TO INSTITUTE LEGAL PROCEEDINGS - CONTROL OF MANAGING COMMITTEE - MAINTAINABILITY OF APPEAL.
Fact of the Case:
An election for the Board of Directors of a Central Cooperative Bank was to be held, and the Executive Officer of the Bank filed an appeal challenging the nomination of a candidate, Sri Siddhartha Sankar Bhattacharjee, on the grounds that he had entered into contracts with the Society, which made him ineligible under S. 23 (4) (b) of the West Bengal Co-operative Societies Act, 1973.
Finding of the Court:
The Court held that the Executive Officer did not have the authority to file the appeal in disregard of the decision of the managing committee of the Bank, as the exercise of power by the Executive Officer under R. 47 (2) (ii) of the Rules is subject to the general control of the managing committee.
Issues: 1. Whether the Executive Officer had the authority to file the appeal in disregard of the decision of the managing committee of the Bank? 2. Whether the dispute over the cancellation of the nomination of Sri Siddhartha Sankar Bhattacharjee could be decided on a writ application or required a reference to the Registrar of Co-operative Societies?
Ratio Decidendi: 1. The Court interpreted R. 47 (2) of the West Bengal Co-operative Societies Rules, 1974, and held that the exercise of power by the Executive Officer in respect of matters enumerated in Cl. (ii) of R. 47 (2) is subject to the control of the managing committee. The Executive Officer has no authority to act in regard to the matters mentioned in Cl. (ii) of R. 47 (2) of the Rules contrary to the decision, express or implied, of the managing committee. 2. The Court did not adjudicate on this issue as it found that the appeal was not maintainable at the instance of the Executive Officer of the Bank.
Final Decision: The Court dismissed the appeal as not maintainable, vacated all interim orders passed by the Court, and allowed the application of the Bank seeking dismissal of the appeal.
( 1 ) THE appellants, the Howrah District Co-operative Bank Ltd. , hereinafter referred to as the "said Bank" and its Executive Officer have preferred the appeal against the judgment and order dt. Nov. 13, 1984 of B. C. Basak, J.
( 2 ) THE Bagnan Thana Agricultural Primary Co-operative Society Ltd. , hereinafter referred to as "the said Society", is a Society registered in accordance with the provisions of the West Bengal Co-operative Societies Act, 1973, hereinafter referred to as; "the Act". The said Society is a marketing Society within the meaning of R. 2 (3) (iv) of the West Bengal Co-operative Societies Rules, 1974, hereinafter referred to as "the Rules".
( 3 ) THE said Society is affiliated to the said Bank as a member and shareholder thereof. The said Bank is a registered Co-operative Society and is also a Central Co-operative Bank within the meaning of S. 2 (f) of the Act. It may be stated here that a Government Officer has been appointed the Executive Officer of the said Bank at the request of its managing committee under S. 24 of the Act.
( 4 ) BY an order dt. Mar. 21, 1983, the Assistant Registrar of Co-operative Societies, Howrah dissolved and/or superseded the managing committee of the said Society and appointed a Board of Administrators. Being aggrieved by the order of supersession, the Directors of the said Society moved a writ petition before a learned single Judge of this Court on Mar. 23, 1983. The learned Judge issued a Rule Nisi and granted an interim stay of the order of supersession or dissolution of the managing committee.
( 5 ) THE said Rule was ultimately disposed of by Monoj Kumar Mukherjee, J. by his order dt. April 28, 1983. In the said order, the learned Judge directed, inter alia, that the impugned order dissolving the managing committee of the said Society would stand, but the Board of Administrators appointed thereunder should be replaced by two other joint administrators who were members of the Bar and were appointed by the learned Judge. Thereafter, it appears that the said joint administrators were subsequently replaced by Sri Mrinmoy Bagchi, Advocate, who was appointed the "sole administrator" of the said Society by an order dt. Sept. 8, 1983 of B. C. Basak, J.
( 6 ) SINCE the said Bank is a Central Co-operative Bank, the election of Directors of the said Bank for the purpose of constitution of the managing committee thereof is required to be held by convoking delegates of the co operative societies which are affiliated to the said Bank as provided in R. 21 of the Rules. The election of Directors or the constitution of the managing committee is held in the annual general meeting of the said Bank.
( 7 ) ON the eve of the annual general meeting of the said Bank fixed on Nov. 18, 1984, the said Society which is affiliated to the said Bank sent Sri Siddhartha Sankar Bhattacharjee, its member and Chairman as its delegate.
( 8 ) THE delegate of the said Society, Sri Siddhartha Sankar Bhattacharjee filed his nomination as a candidate for election to the post of a Director of the managing committee of the said Bank to be reconstituted at the annual general meeting. At the time of scrutiny of the nomination papers by the Election Officer appointed by the Assistant Registrar of Co-operative Societies, Howrah, one Ashit Hazra raised an objection against the eligibility of the said Siddhartha Sankar Bhattacharjee to stand as a candidate for election to the office of Director of the managing committee of the said Bank, on certain allegations which will be stated presently.
( 9 ) IT was alleged, inter alia, that the said Siddhartha Sankar Bhattacharjee entered into a contract with the said Society by letting out his own premises to the said Society on a monthly rental basis. Further, it was alleged that he was the owner of a printing press, and he entered into contracts with the said Society for printing. Accordingly, it was alleged that in view of S. 23 (4) (b) of the Act, he was
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.