JUDGMENT :

Biren Vaishnav, J.

1. In this petition under Article 226 of the Constitution of India the petitioner has prayed for the following relief’s:

“(A) To admit and allow this petition;

(B) To issue a writ of mandamus or a writ in the nature of mandamus or any other appropriate writ, order or direction, quashing and setting aside the orders dated 6.5.2017 passed by the respondent no.2 rejecting the application of the petitioner for joining party and also order dated 2.6.2017 passed by the respondent no.2 dropping the show cause notice issued against respondent no.4 for removal under Rule-32 of the Rules for the reasons stated in the memo of the petition and in the interest of justice;”

2. The prayers arise in the following background of facts:

2.1 The petitioner is a Primary Co-operative Society registered under the Gujarat Co-operative Societies Act, 1961 and is an affiliated member of the Jamnagar District Cooperative Bank, Respondent No.5. It is the case of the petitioner that one Shree Nandasana Juth Seva Shakari Mandali is a defaulter Society vis-à-vis the Jamnagar Bank is concerned and therefore the members of the Society are not eligible to contest the election of the Board of Directors of the Jamnagar District Co-operative Bank Ltd.

2.2 According to the petitioner, the Nandasana Society has an outstanding amount of loans as on 30.06.2015 to the tune of Rs.1,45,56,758/- and therefore being a defaulter the Respondent No.4 - Shri Brijrajsinh Hemantsinh Jadeja has incurred a disqualification under Section 27(2) read with Rule 32 of the Gujarat Co-operative Societies Act, 1961 and therefore cannot hold the post of the Director of the Jamnagar District Co-operative Bank Ltd.

2.3 The petitioner’s case is that as the respondent State Authorities were not taking any action for removal of the respondent No.4 as the Director of the Bank, the petitioner was initially constrained to address a legal notice relying on Bye-Law 30(x) of the Bank read with the Rules and thereafter file a Special Civil Application No.16893 of 2016 wherein a Writ of Mandamus was prayed for, to issue a direction to the State Authortities to initiate proceedings under Rule 32 r/w Section 27(2) of the Gujarat Co-operative Societies Act, 1961 against the Respondent No.4. The petitioner also filed an application to be joined as a party before the authority which initiated action against the respondent No.4 by issuing a show cause notice dated 16.04.2017. The petitioner’s application was however rejected by the respondent by an order dated 6.05.2017.

2.4 On a reply filed to the show-cause notice by the respondent No.4 Brijrajsinh, the competent authority i.e. the Registrar Co-operative Societies Gandhinagar, has by his order dated 02.06.2017 dropped the proceedings of the Show- Cause notice against Brijrajsinh - respondent No.4. Being aggrieved by these orders dated 06.05.2017 and 02.06.2017 the petitioner society has preferred this petition under Article 226 of the Constitution Of India.

3. Mr. B.T. Rao, learned advocate for the petitioner has taken me through the relevant pages of the Paper Book of the Petition namely pages 96A, 97 to 99 and 100 wherein as per the Statement of Accounts of the Bank, the Nandasana Juth Society has an outstanding amount of loans against the Jamnagar Bank. He submitted that it is therefore undisputed that the said Society is a defaulter of the Bank. Inviting my attention to the communication at Page 109 of the petition, Mr. Rao would submit that the request of the Bank to take inspection was not agreed to.

3.1 Mr Rao then invited my attention to the contents of the legal notice at Page 60 and submitted that as per Rule 32 read with bye law 30(x) of the Bank, the Nandasana Juth Sahakari Mandali is a defaulter and as the respondent No.4 was authorized to contest elections of the Bank and once the Society itself is a defaulter the respondent No.4 cannot be permitted to hold the office of the Director of the Bank as the delegate/representat