Judges : SUKUMARAN
PAMPADY RURAL CO-OP.HOUSING SOCIETY - Appellant
Versus
JOINT REGISTRAR - Respondent
Case No : O.P. No. 3628 of 1986-F
Decided On : 06/06/1986
Advocates Appeared :
P.C. Chacko; For Petitioner
Co-operative Societies Act - Housing Society - Validity of Government exemption order under S.101 - The court upheld the validity of the Government exemption order under S.101 of the Co-operative Societies Act, emphasizing the necessity of enabling provisions to address emergent situations and the power of the Government to grant exemptions in public interest. The court found the reasons for the exemption order rational and relevant, considering the serious housing problems arising from urbanization and the expertise of relevant bodies like the Life Insurance Corporation. The writ petition was dismissed.
Fact of the Case:
The writ petition was filed by a Co-operative Housing Society apprehending the registration of another Housing Society covering a portion of its area. The petitioner challenged the constitutional validity of S.101 of the Kerala Co-operative Societies Act, which enables the Government to issue an exemption order.
Finding of the Court:
The court upheld the validity of the Government exemption order under S.101, emphasizing the necessity of enabling provisions to address emergent situations and the power of the Government to grant exemptions in public interest. The court found the reasons for the exemption order rational and relevant, considering the serious housing problems arising from urbanization and the expertise of relevant bodies like the Life Insurance Corporation. The writ petition was dismissed.
Issues: The validity of the Government exemption order under S.101 of the Co-operative Societies Act and the constitutional validity of S.101 were challenged in the writ petition.
Ratio Decidendi: The court emphasized the necessity of enabling provisions to address emergent situations and the power of the Government to grant exemptions in public interest. It found the reasons for the exemption order rational and relevant, considering the serious housing problems arising from urbanization and the expertise of relevant bodies like the Life Insurance Corporation.
Final Decision: The writ petition was dismissed by the court.
1. This writ petition is at the instance of a Co-operative Housing Society. It apprehends that another Housing Society covering a portion of its area is likely to be registered in the immediate future. The overlapping of the area of an existing society, is sought to be prevented under S.7(1) of the Kerala Co-operative Societies Act, 1969. That, however, has a safety valve. S.101 of the Co-operative Societies Act confers powers on the Government to grant exemption from the provisions of the Act, subject to the satisfaction of the conditions contained therein. Such an order of exemption had been issued on 9-11-1979 and bad been published in the Gazette on 27-11-1979. The pattern of functioning of the Housing Societies, and the views expressed by the Life Insurance Corporation of India which is the main source for funds to the Kerala Apex Housing Co-operative Society which in turn finances the Primary Housing Co-operative Societies, bad been adverted to and considered by the Government in issuing the above order. The preamble to the order indicates the factors which weighed with the Government in passing that order.
2. In view of Ext. P1 order, the petitioner cannot object to the formation of the new society. The petitioner has therefore chosen to question the very constitutional validity of the statutory provision S.101 which enables the Government to issue such an order.
3. The validity of the order itself is separately challenged.
4. It is well known that the working of a statute may create problems or difficulties unanticipated at the time of the enactment of a legislation. It is necessary that sufficient enabling provisions are made to get over such problems and difficulties. To seek a legislative cure, is necessarily a time consuming process. Emergent situations would require speedy action. Such situations may be of diverse characters. It will be virtually impossible if a legislative amendment is to be sought for, for tiding over such situations, when public interest would justify a departure from the existing provisions. The power to exempt is a necessary power. The possibility of its abuse has to be provided for. Conferring power on the Government itself is one way of checking the abuse. Even the exercise of power by the Government is hedged in by conditions. The exemption can be granted only if public interest demands the same. Yet another safeguard is that the reasons have to be recorded when any such order is issued. These provisions give sufficient protective cover to S.101 when it is assailed on the ground of violation of Art.14 of the Constitution. The fact that similar provisions have been in existence for many decades, is also as indication not necessarily conclusive of the reasonableness and necessity of such a provision. I repel the contention that S.101 has the vice of uncanalised and arbitrary power.
5. The reasons given in support of Ext.P1 are rational and relevant. The growing housing problem arising out of fast urbanisation of the country, is of a serious proportion. This is so in developed and developing countries. This State also is no exemption to the general phenomenon. The housing activities have therefore to be treated separately and specially. Even in relation to the organisation of Co-operative Societies, a special treatment would be justified in this area. Co-operative venture would certainly play a dominant and dynamic role in solving the grave and acute housing problems. A body like the Life Insurance Corporation, has also expressed its views on the question. That is a body whose views are of value, in the light of its association with such housing ventures all over the country. Its expertise arising out of the intimate contact with construction works for which it supplies substantial funds, is also an important and relevant material, which could be properly taken note of by any decision making authority. The order has been passed on an advertence to the relevant materials and after cons
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