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2002 Supreme(Ker) 42

Judges : K.S.RADHAKRISHNAN,K.BALAKRISHNAN NAIR
The Board Of Directors Of Pothanikkad Farmer s Co-Operative Bank Ltd. - Appellant
Versus
The Joint Registrar Of Co-Op.Societies (G) Ernakulam - Respondent
Case No : WA NOS. 1631, 1632 etc OF 2000
Decided On : 01/17/2002
Advocates Appeared :
For the Petitioner: , T.P. Kelu Nambiar (Sr), A. Vijayakumar, E. Subramani & Mathew John, Advocates. For the Respondent: P.R. Jacob, Advocate, Thomaskutty M.A. Government Pleader.

Headnote:

Co-operative Societies Act – Section 83 – Constitution of India – Article 12 – Appointments Issue – Dispute in these cases relates to the appointments effected in the Pothanicad Farmers Co-op. Bank Ltd – All the appointments were sought to be annulled by the present Board of Directors of the Bank on the ground that the appointments were effected in violation of the various provisions of the Co-operative Societies Rules and Circulars issued by the Registrar of Co-operative Societies – Notice was accordingly issued to all those appointees – Held, court is of the view in this case the Co-operative Bank is statutorily bound by the order of the Joint Registrar as well as Government order – Court have already extracted the stand of the bank before this Court – They cannot wriggle out of the said stand – Court therefore declare that Ext. P9 is contrary to order passed by the Joint Registrar as well as Government and the affidavit filed by the Bank before this Court – The same is declared as null and void – Since court have found that appointments were validly made the appointees are entitled to get all service benefits including salary, allowances etc. under the Co-operative Societies Act and Rules – The resolution issued in reducing the salary is held illegal – Writ Appeal Dismissed

Judgment :-

Radhakrishnan, J.

Dispute in these cases relates to the appointments effected in the Pothanicad Farmers Co-operative Bank Ltd. All the appointments were sought to be annulled by the present Board of Directors of the Bank on the ground that the appointments were effected in violation of the various provisions of the Co-operative Societies Rules and Circulars issued by the Registrar of Co-operative Societies. Notice was accordingly issued to all those appointees. Aggrieved by the same they have preferred O.P. 28346/99. Learned single Judge allowed the writ petition. Aggrieved by the same the President of the Bank has preferred W.A. 1632/2000. O.P. 10823/99 was preferred challenging the selection procedure by which the petitioners in O.P. 28346/99 were appointed, which was dismissed, against which W.A. 1654/2000 was preferred. O.P. 28503/99 was preferred seeking a direction to the Bank to conduct fresh selection in compliance with Circular Nos. 46/89 and 18/91. O.P. was dismissed. Aggrieved by the same W.A. 1633/2000 was preferred. The Board of Directors of the Bank had also filed O.P. 14154/2000 challenging the order passed by the Joint Registrar in rescinding the resolution of the Bank for reduction of salary of the appointees. O.P. was dismissed. Aggrieved by the same Board of Directors has preferred W.A. 1631/2000. Since common issues arise in all thse cases we propose to dispose of these matters by a common judgment. We may refer to the facts in O.P. 28346/99

2. Pothanicad Farmers Co-operative Bank is a primary credit society engaged in banking business having branch offices. Joint Registrar of Co-operative Societies sanctioned certain posts of Junior Clerk, Typist, Depot Manager, Driver, Peon etc. vide his order dated 18.11.1998. The Managing Director of the Bank then published a notification dated 20.11.1998 inviting applications for filling up of those posts. Bank received several applications including applications from the petitioners. Written test was conducted on 30th and 31st of January 1999. After conducting written test as well as interview 11 candidates were appointed, out of which one was reserved for Scheduled Castes and Scheduled Tribes. The Managing Committee had decided on 27-4-1999 to publish the rank list and on the basis of rank list petitioners were appointed.

3. Complaining that while selecting candidates as well as effecting appointments norms laid down by the Registrar of Co-operative Societies by circular No. 46/89. were not followed, O.P. 24284/98 was filed. O.P. was disposed of by this Court on 7-12-1998 directing the Joint Registrar to look into the complaint raised by the writ petitioners therein. It was pointed out that while effecting appointment proper representation was not given to members of Scheduled Castes and Scheduled Tribes. Consequently it was urged that the resolution to effect appointment in the bank be rescinded. Joint Registrar of Co-operative Societies then conducted an enquiry through Assistant Registrar who submitted a report dated 23-12-1998. Based on the report Joint Registrar was pleased to dismiss the complaint holding that the selection was not violation of Circular No. 46/89. Appeal was preferred against the order of the Joint Registrar before the Government under Section 83 of the Co-operative Societies Act. The same was dismissed by the Government by order dated 15.6.1999 holding that selection was conducted in accordance with circular No. 46/89. Subsequently the Bank published the rank list.

4. In the meantime two writ petitions, O.P. 11196/99 and O.P. 11346/99 were filed challenging the manner in which written test and interview were conducted. In O.P. 11346/99 a counter affidavit was filed by the Managing Director of the Bank stating that the selection was conducted strictly in accordance with the circular issued by Registrar by engaging an outside agency. Bank therefore contended that there is no basis in challenging the selection process.

5. The petitioners




















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