Judges : K.BHASKARAN
SUDHAKARAN - Appellant
Versus
DY.REGISTRAR OF CO-OPERATIVE SOCIETIES - Respondent
Case No : O.P. No. 624 of 1980-G
Decided On : 06/27/1980
Advocates Appeared :
K. Chandrasekharan; For Petitioner Government Pleader; For 1st Respondent V. Bhaskaran Nambiar; For 2nd & 3rd Respondents
Administrator - Competence to admit new members - Kerala Co-operative Societies Act, S.33(1)(ii) - S.33(2) - S.16(1), S.16(3) - Ext. P-1 - Day-to-day administration, powers of Administrator - Enrolment of new members - Court's interpretation of the Act and Rules
Fact of the Case:
The court considered the competence of the Administrator appointed under S.33(1)(ii) of the Kerala Co-operative Societies Act to admit new members to the Chovva Co-operative Rural Bank Ltd. The Administrator admitted new members between 17-3-1980 and 9-5-1980, prior to the election scheduled for 29-6-1980.
Finding of the Court:
The court found that the Administrator had the competence to admit new members as part of the day-to-day administration of the bank, as per the Act, Rules, and the appointment order (Ext. P-1). The court dismissed the writ petition, stating that the Administrator had not acted in excess of the right conferred on him under the provisions of the Act, the Rules, the bye-laws, and the appointment order.
Issues: The main issue was whether the Administrator had the competence to admit new members to the bank, and whether this action fell within the purview of day-to-day administration.
Ratio Decidendi: The court interpreted the relevant provisions of the Act and Rules, emphasizing that admitting members to the rolls of the bank was part of the day-to-day administration. The court also highlighted the absence of any provision restricting the Administrator from enrolling new members.
Final Decision: The writ petition was dismissed, and the parties were directed to bear their respective costs.
1. Though various contentions are seen to have been raised in the writ petition, the substantial question that falls for decision is whether it is competent for the Administrator or the Committee appointed under S.33 (1) (ii) of the Kerala Co-operative Societies Act (the Act) to admit new members to the rolls of the Society.
2. It is not disputed that in exercise of the powers of the Registrar of Co-operative Societies, delegated to him, the 1st respondent, the Deputy Registrar of Co-operative Societies, Cannanore, had appointed as per Ext. P-1 proceeding dated 22-2-1980 the 2nd respondent, the Valuation Inspector, Tellicherry Land Mortgage Bank, to be the Administrator of the Chovva Co-operative Rural Bank Ltd., of which the 3rd respondent is the Secretary. That the number of members of the Bank as on the date of assumption of office by the 2nd respondent stood at 10766 and that thereafter 400. 1305 and 1767 new persons were admitted to the membership of the Bank respectively on 17-3-1980, 20-3-1980 and 9-5-1980 are facts not in dispute.
3. Sri K. Chandrasekharan, the counsel for the petitioner, submitted that the action of the Administrator in admitting new members enbloc in an undue haste between I7-3-I980 and 9-5-1980, when the date fixed for the election was 29-6-1980, is not warranted by the relevant provisions of the Act and the Rules framed thereunder, or by the limited powers conferred on him by the very appointment order (Ext. P-1) Inasmuch as the terms contained in Ext. P-1 had figured very prominently during the course of the argument.1 would like to extract below the material portion of that order:
"In the above circumstances the only alternative is to appoint an Administrator to manage the day to day administration of the Bank Therefore in exercise of the powers conferred under S.33 of the Kerala Co-operative Societies Act, 21 of 1969. the. Valuation Inspector, Tellicherry L. Bank is appointed as the Administrator of the Chovva Co-operative Rural Bank Ltd., No. F. 1277 for a period up to 30-6-1980. He will arrange election before the expiry of the period.
The part-time administrator will manage the affairs of the society without prejudice to his normal official duties and according to the Kerala Co-operative Societies Act and Rules and bye-laws of the Society and also according to the directions issued from this office from time to time."
4. We may before proceeding further notice the provisions contained in S.33 (2) of the Act dealing with the power to be exercised by the Administrator appointed under sub-section (1) of the Section:
'(2) The Committee or administrator or administrators appointed under sub-section (1) shall, subject to the control of the Registrar and to such instructions as he may from time to time give, have power to exercise all or any of the functions of the Committee or of any officer of the society and take all such action as may be required in the interests of the society."
5. Sri. Chandrasekharan's argument is that the Act of adding members to the rolls of the bank falls outside the purview of the day-to-day administration of the Bank. He pointed out that the process of admitting members to the rolls of the Bank in the light of the provisions contained in the relevant provisions of the Act and the Rules is not a mechanical or simple affair as is attempted to be made out by the 2nd respondent According to him, the day-to-day business means the routine things and he has also relied on a decision of the Andhra Pradesh High Court in Gidda Naga Malliah &.Others v. Kothuri Laxmayya & others (AIR. 1970 A.P. 289).
6. The contention of Sri. V. Bhaskaran Nambiar, the counsel for the 3rd respondent, on the other hand, is that under S 30 of the Act and R.15 of the Rules, normally it is the function of the Committee to admit members to the rolls of the society The question is whether that forms part of the day-to-day administration of the society or not. Great stress was laid by Sri Chandrasekhara
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