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2017 Supreme(Chh) 625

IN THE HIGH COURT OF CHHATTISGARH AT BILASPUR
Sanjay K. Agrawal, J.
Bastar Parivahan Sangh Jagdalpur – Petitioner
Versus
State of Chhattisgarh, through its Secretary, Home/Transport Department and Others – Respondents
Writ Petition (C) No.1635 of 2017
Decided On : 12-09-2017

Advocates Appeared:
For the Petitioner:Mr. Manoj Paranjpe, Advocate.
For the Respondent:Mr. Prasun Kumar Bhaduri, Govt. Advocate.

Headnote:

Chhattisgarh Societies Registration Act, 1973 - Section 144 - Code of Criminal Procedure, 1973 - Section 144 - Constitution of India,1950 - Article 226/227 - Extraordinary jurisdiction - Cancellation of registration - Petitioner also challenges the subsequent order of the State Government extending order for a Further period of two months in purported exercise of power under sub-section (4) of Section 144 of Code - Petitioner also challenges show cause notice issued by respondent No.3 intimating the petitioner to show cause about cancellation of registration in view of massive irregularities and lapses in management of petitioner society - Aforesaid challenge has been made by petitioner on ground that the petitioner is a society registered under provisions of Act of 1973 and same is an association of merchants involved in business of transportation and they have right to carry-on trade and business under Article 19(1)(g) of Constitution of India - Held, It appears from the said notice that after making due enquiry and after due satisfaction and finding serious irregularities and continuing lapses such a show-cause notice has been issued - It is necessarily initiated pursuant to recommendation of District Magistrate but it cannot be held that the Registrar Firms and Societies has already made up his mind to cancel registration without any basis and material on record and issued show-cause notice only on the basis of recommendation of the District Magistrate - It is based on outcome of enquiry specifying reasons and based on material and it cannot be held to be issued on premeditated mind forming an opinion and show-cause notice is a mere formality - Writ petition is allowed

ORDER :

1. Invoking the extraordinary jurisdiction of this Court under Article 226/227 of the Constitution of India, the petitioner herein, which is a society registered under the provisions of the Chhattisgarh Societies Registration Act, 1973 (for short, 'the Act of 1973'), has called in question the order dated 16-5-2017 passed by respondent No.2 – District Magistrate in purported exercise of power under Section 144 of the Code of Criminal Procedure, 1973 (for short, 'the Code') prohibiting all activities of the petitioner Association and also causing seizure of all documents and accounts of the petitioner Association and further effecting the seizure of building and office of the petitioner Association. The petitioner also challenges the subsequent order of the State Government dated 24-7-2017 extending the order dated 16-5-2017 for a further period of two months in purported exercise of power under sub-section (4) of Section 144 of the Code. The petitioner also challenges the show cause notice dated 19-5-2017 issued by respondent No.3 intimating the petitioner to show cause about cancellation of registration in view of massive irregularities and lapses in management of the petitioner society.

2. The aforesaid challenge has been made by the petitioner on the ground that the petitioner is a society registered under the provisions of the Act of 1973 and same is an association of merchants involved in the business of transportation and they have right to carry-on trade and business under Article 19(1)(g) of the Constitution of India. The District Magistrate has not only purportedly exercised the power under Section 144 of the Code prohibiting activities of the petitioner Association, but also directed for seizure of documents and accounts of the petitioner Association and seizure of building of the petitioner Association thereby halting the business activities of the petitioner which is violative of their right to livelihood under Article 19(1)(g) of the Constitution of India which includes right to life under Article 21 of the Constitution of India. It has been pleaded that the learned District Magistrate has no jurisdiction and authority to seize their documents and to seal their office premises and the order passed by the State Government after lapse of the period of two months extending the period for further two months without there being any notification in the official gazette as required under Section 2 (m) of the Code, is unsustainable and bad in law.

3. Return has been filed opposing the averments made in the writ petition stating inter alia that the members of the petitioner Association were involved in unlawful activities and they were preventing the business activities of the members of other associations/transporters namely Nagarnar Transport Association and Bastar Tipper and Trailor Union, and the petitioner Association is involved in extracting illegal money preventing these two Associations/Unions from exercising their right to trade and business and therefore the orders passed are strictly in accordance with law and no interference is required in exercise of jurisdiction under Article 226/227 of the Constitution of India.

4. Mr. Manoj Paranjpe, learned counsel appearing for the petitioner Association, would vociferously submit as under: -

1. The order passed by the learned District Magistrate in exercise of power under Section 144 of the Code is without due application of mind and the lawful activities of the petitioner could not have been restrained by the learned District Magistrate and such power could not have been exercised to override temporary private rights, as such, there is no reason giving rise to cause of apprehended danger requiring invocation of Section 144 of the Code.

2. The power and jurisdiction under Section 144 of the Code cannot be exercised to direct seizure of documents and accounts of the petitioner Association as well as sealing of the petitioner's official building depriving the members of







































































































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