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2011 Supreme(Gau) 731

IN THE HIGH COURT OF GAUHATI
Brojendra Prasad Katakey, J.
Mr. Gagan Dutta
Vs.
State of Assam & Ors.
W.P. (C) 4298 of 2010
Decided On: 01.09.2011

Advocates:
Advocate Appeared:
For Appellant/Petitioner/Plaintiff: Mr. D.C. Borah, Mr. A. Hussein and Mr. D. Barman
For Respondents/Defendant: Mr. A.K. Phukan, AG, Mrs. S. Sarma, GA, Assam

Headnote:

Assam Co-operative Societies Act 1949 - 31 read with Section 36 - suspending the Managing Committee - exercise of the power – Election - Petitioner, who is the elected Chairman present petition has challenged the order suspending the Managing Committee of the said Society in exercise of the power conferred under Sub-Section (3) of Section 31 read with Section 36 of the Assam Co-operative Societies Act 1949 and appointing the Senior Inspector/Auditor of the Cooperative Societies as one man Ad-hoc Committee to manage the affairs of the Society till a new body is elected or formed or until further order - Petitioner has also challenged the order passed by the Zonal Joint Registrar of Cooperative Societies Zone dissolving the Managing Committee of the said Society in exercise of the power conferred under Section 37 of the Act with the direction to the one man Ad-hoc Committee constituted vide order to summon the general assembly to hold the election of the said Society as per the provisions of the Act and the Rules framed thereunder as well as the registered Bye-laws of the Society - Facts relevant for the purpose of disposal of the present writ petition may be noticed - Order of dissolution of the Managing Committee passed by the Zonal Joint Registrar of Cooperative Societies, Tezpur Zone is interfered with being contrary to the provisions of the Act and the registered Bye-laws of the Society and accordingly set aside. - Registrar of Cooperative Societies is directed to invoke the power under Section 33(1)(d) of the Act within 15 (fifteen) days from today and to call for a special meeting of the general assembly fixing the time limit for holding such meeting, to deliberate upon the eventuality caused due to resignation of 8 (eight) members and to take a decision in that regard keeping in view the provision contained in Bye-laws 23(Ka)(5) and 23(Kha) of the registered Bye-laws of the Society - General assembly of the Society takes a decision as indicated above, the Society in question shall be managed by the one man Ad-hoc body already appointed, so that the shareholders do not suffer because of inability of the elected body to transact any business due to lack of required quorum - Writ petition is accordingly allowed to the extent indicated above. However, keeping in view the facts and circumstances of the case, there would be no order as to costs - Petition allowed.

JUDGMENT

B.P. Katakey, J.

1. The petitioner, who is the elected Chairman of Lakhimpur Samabay Samity Limited, by the present petition has challenged the order dated 23rd April, 2010 suspending the Managing Committee of the said Society in exercise of the power conferred under Sub-Section (3) of Section 31 read with Section 36 of the Assam Co-operative Societies Act 1949 (in short "the Act") and appointing the Senior Inspector/Auditor of the Cooperative Societies, Lakhimpur as one man Ad-hoc Committee to manage the affairs of the Society till a new body is elected or formed or until further order. The petitioner has also challenged the order dated 12th July, 2010 passed by the Zonal Joint Registrar of Cooperative Societies, Tezpur Zone dissolving the Managing Committee of the said Society in exercise of the power conferred under Section 37 of the Act with the direction to the one man Ad-hoc Committee constituted vide order dated 23rd April, 2010 to summon the general assembly to hold the election of the said Society as per the provisions of the Act and the Rules framed thereunder as well as the registered Bye-laws of the Society. The facts relevant for the purpose of disposal of the present writ petition may be noticed as under :--

The Annual General Meeting (AGM) of the Society was held on 10th October, 2009, wherein the election of the office bearers including the Chairman was held. In the said election, the petitioner was elected as Chairman, apart from 12 (twelve) other members. The proceeding of the said AGM was duly approved by the Assistant Registrar of Cooperative Societies, as required under Rule 26 of the Assam Cooperative Rules, 1953 (in short, "the Rules"). The Managing Committee of the Society, as per the registered Bye-laws, consist of 17 (seventeen) members, which includes 12 (twelve) elected members and 5 (five) nominated members. On 16th January, 2010, 8 (eight) elected members have submitted their resignations before the Assistant Registrar of Cooperative Societies, Lakhimpur being not satisfied with the functioning of the petitioner, which were accepted by the Assistant Registrar of Cooperative Societies. The resignations by those members, however, were not placed before the Managing Committee by the Assistant Registrar of Cooperative Societies for consideration, though under the registered Bye-laws, the power to accept such resignation vest on the Managing Committee. Acceptance of such resignation has not been put to challenge by anyone. On 11th March, 2010, a meeting of the Managing Committee was convened but due to lack of quorum, as required under Bye-law 25 of the registered Bye-laws, no business could be transacted and accordingly, the meeting was adjourned. On 19th March, 2010 another meeting of the Managing Committee though was convened, the same also could not transact any business because of the lack of quorum. The same was the case on 12th April, 2010. On 23rd April, 2010, the Zonal Joint Registrar of Cooperative Societies, Tezpur Zone suspended the Managing Committee of the Society and appointed a Senior Inspector/Auditor of the Cooperative Societies, Lakhimpur to act as an one man Ad-hoc Committee to manage the affairs of the Society in purported exercise of the power conferred under Sub-Section (3) of Section 31 read with Section 36 of the Act. The said order was preceded by a show cause notice dated 29th January, 2010 issued by the Zonal Joint Registrar asking the petitioner and the Secretary of the Society to show cause as to why necessary action should be taken against the Managing Committee basically on the ground of resignations by 8 (eight) members and for its inability to hold the meeting of the Managing Committee consecutively for 3 (three) times, i.e. on 11th March, 2010; 19th March, 2010 and 12th April, 2010, due to the lack of required quorum. The petitioner, however, did not file any reply to the said show cause notice. An appeal was preferred by the petitioner on 7th May, 2010 before t














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