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2022 Supreme(Guj) 1165

IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
Bhargav D. Karia, J.
Bharat Sudambhai Patel – Petitioner
Versus
State Of Gujarat – Respondent
R/Special Civil Application No. 6143 of 2022
Decided On : 14-10-2022

Advocates:
Advocate Appeared:
For the Petitioner:Mr Prakash Jani, Senior Advocate With Mr. Archit P Jani
For the Respondent:Mr Kamal Trivedi, Advocate General With Mr Vinay Vishen Agp, Mr Dipen Desai

Headnote:(A) Constitution of India - Articles 226 and 227 - Gujarat Co-operative Societies Act, 1961 - Section 76

(B)(1) - Petitioner challenged removal from Director post in Surat District Co-operative Mill Producers’ Union due to alleged misconduct - Court found no substantive evidence for disqualification as no direct interest exists in son's employment - Reliance on Rule 32 deemed misplaced; petitioner did not contravene any conditions. (Paras 11, 21)

(B) Court clarified that a member cannot be disqualified for familial employment, underscoring that legal provisions must reflect evaluated interests, not arbitrary determinations. (Paras 11, 21)

(C) Doctrine of ‘ejusdem generis’ applied, asserting Rule 32 pertains chiefly to transactions lacking commercial interest, not familial ties. (Paras 11, 21)

(D) In the context of administrative actions leading to appointments, decisions must adhere to statutory provisions; Registrar exceeded authority based on spurious claims rather than objective assessments. (Paras 11, 21)

Result: Order quashed, petition allowed.

Table of Content
1. court's observations leading to the quashing of the impugned order. (Para 6 , 7 , 8 , 9 , 10 , 11 , 12 , 13 , 14 , 15 , 16 , 17 , 18 , 19 , 20 , 21)

JUDGMENT :

Heard learned Senior Advocate Mr.Prakash Jani assisted by learned advocate Mr.Archit P. Jani for the petitioner, learned Advocate General Mr.Kamal Trivedi assisted by learned Assistant Government Pleader Mr.Vinay Vishen for the respondent Nos.1,2 and 3 and learned advocate Mr.Dipen Desai for the respondent No.4.

1. By order dated 22nd April, 2022, this petition was fixed for final disposal with the consent of the learned advocates for the respective parties and thereafter, the petition was finally heard on 2nd May, 2022. Therefore, issue Rule, returnable forthwith. Learned advocates for the respondents waive service of notice of rule.

2. By this petition under Articles 226 and 227 of the Constitution of India, the petitioner has challenged the order dated 15th March, 2022 passed by the respondent No.2-Registrar, Co-operative Societies, State of Gujarat under Section 76 (B) (1) of the Gujarat Co-operative Societies Act, 1961 (for short ‘the Act’) read with Rule 32 of the Gujarat Co-operative Societies Rule, 1965 (for short ‘the Rules’) whereby the petitioner is ordered to be removed from the post of Director of the Surat District Co-operative Mill Producers’ Union Limited (SUMUL Dairy) (for short ‘the Union’).

3. The brief facts of the case are as under :

3.1. The petitioner was an elected member of the Managing Committee of the Union from 2012 to 2015 and thereafter from 2015 to 2020. The petitioner was again elected in the year 2020 for the term 2020 to 2025.

3.2. The father of the petitioner was the founding member of the Union and the petitioner has also worked in the co-operative sector for many years. The petitioner is Vice-President of Surat District Sahakari Sangh which runs NESU Seva Sanchalit Ashram Shala and President of Primary Milk Producing Co-operative Society. Petitioner was also elected as Director earlier in APMC, Nizar.

3.3. It is the case of the petitioner that the son of the petitioner namely, Mr.Hemant Patel who is an Engineer by profession having degree of Bachelor of Engineering was initially appointed on 29.07.2010 at Mother Dairy which is unit of Gujarat Co-operative Milk Marketing Federation.

3.4. Son of the petitioner - Mr.Hemant Patel was appointed as a Trainee on 16.08.2010 and was confirmed as Engineer with effect from 16.08.2012 in Process and Automation Department. He was thereafter promoted as Senior Technical Officer with effect from 01.01.2016. Son of the petitioner left the job from Federation on 05.07.2016. Thereafter the Union issued a service contract dated 07.07.2016 to Mr.Hemant Patel for the period from 16.07.2016 to 15.10.2016. The Union also issued an advertisement on 22.03.2016 for the post of B.E. (Instrumentation) having five years of experience for 100 Metric Ton per day milk powder plant capacity and 10 Lakh liter processing dairy products.

3.5. The Union thereafter issued an appointment letter dated 18.10.2016 to Mr.Hemant Patel selecting him for service in the Union after personal interview with effect from 21.10.2016. By letter dated 01.11.2017, the services of Mr.Hemant Patel was confirmed by the Union. Thereafter by letter dated 30th August, 2018 of the Union, Mr.Hemant Patel was transferred from Engineering Department to Purchase Section (Material Management) with effect from 1st September, 2018.

3.6. According to the petitioner, term of the Managing Committee of the Union came to an end in the year 2020 and election programme was published as per the provisions of the Act and Rules. The respondent No.4-Mr.Yogesh Chunilal Rajput filed the nomination in his capacity as representative of Devada Dudh Utpadak Sahakari Mandali Limited. The petitioner filed an objection against the nomination filed by the respondent No.4 on the ground that the said Society did not provide 80 Lakh Liters of Milk to the Union and th

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