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2011 Supreme(Ker) 51

High Court of Kerala
THOTTATHIL B. RADHAKRISHNAN
Enathu Service Co-Operative Bank
Versus
The Consumer Disputes Redressal Forum & Another
WP(C).No. 12709 of 2008 (K)
Decided on : 17-01-2011

Advocates Appeared:
For the Petitioner:V. Sethunath, Advocate.
For the Respondents:V. Philip Mathew, Advocate.

Headnote:

Consumer Protection Act,1986 - Section. 3 - Kerala Co operative Societies Act,1969 Section. 69 - Petitioner; co-operative society registered under the provisions of the Kerala Co-operative Societies Act, 1969, hereinafter the KCS Act. He had entered into a transaction with the petitioner society by joining a particular scheme-Held, petitioner society being on the basis of S.69 of the K.C.S. Act, and not on any other provision of that Act or any provision of the C.P. Act, the question raised has to be answered only as above, affirming the impugned Ext.P4 decision of the C.D.R.F. and leaving the parties to agitate all their grievances on merits before the C.D.R.F. -Petition is dismissed

JUDGMENT :-

1. The second respondent is a member of the writ petitioner; a co-operative society registered under the provisions of the Kerala Co-operative Societies Act, 1969, hereinafter the "KCS Act". He had entered into a transaction with the petitioner society by joining a particular scheme. On the allegation that there was deficiency of service on the part of the society in relation to the said transaction, the second respondent filed a complaint before the Consumer Disputes Redressal Forum, for short, the "CDRF", which is governed by the provisions of the Consumer Protection Act, 1986, hereinafter, the "CP Act". The society took the plea that those proceedings are barred in view of section 69 of the KCS Act and having regard to the exclusion of other remedies by the provisions of that Act, the only remedy available to the second respondent was to have recourse to the provisions of that Act, since admittedly, he is a member of the writ petitioner society; and not to make a complaint before the CDRF. Pursuant to directions issued by this Court, the CDRF heard that issue and held as per the impugned Ext. P4 order, that the rights of the second respondent as a consumer could be adjudicated within the format of the provisions of the CP Act and therefore, the proceedings initiated by him before the CDRF is maintainable. The society challenges that decision.

2. The learned counsel for the petitioner society argued that in view the clear provisions in section 69 of the KCS Act, the parties who are bound by the provisions of that statute cannot but get confined to the remedies provided only therein, which are special remedies to the exclusion of other jurisdictions. He argued that, therefore, notwithstanding any provision contained in the CP Act, which may tend to indicate that the remedy would lie in relation to a matter falling under that Act, discipline should necessarily ordain priority to the redressal of remedies available under the KCS Act. He hence argued that the impugned decision of the CDRF is unsustainable and is liable to be set aside in exercise of visitorial jurisdiction.

3. Per contra, the learned counsel appearing for the second respondent - the complainant before the CDRF - argued that though his client may be a member of the writ petitioner co-operative society whose activities and relation with its members may be governed by the provisions of the KCS Act, the provisions of the CP Act have an overriding effect on the provisions of the KCS Act and the remedies available under that central legislation cannot be excluded by any provision contained in the KCS Act, which is a State enactment. He points out that the law is that the CP Act jurisdiction overrides, having regard to section 3 of the that Act which provides that the provisions of thereof shall be in addition to and not in derogation the provisions of any other law for the time being in force. He therefore argued that the writ petition is without substance and the same is liable to be dismissed.

4. Going by its preamble, CP Act is a legislation to provide for better protection of the interests of consumers and for that purpose, it makes provision, among other things, for the settlement of the disputes of the consumers as against those answerable under the said legislation. Section 3 of that Act provides that the provisions thereof shall be in addition to and not in derogation of the provisions of any other law for the time being in force. The Apex Court stated in State of Karnataka v. Vishwabharathi House Building Coop. Society, [(2003) 2 SCC 412], that by reason of the provisions of Section 3 of the CP Act, it is evident that remedies provided thereunder are not in derogation of those provided under other laws and that the said Act supplements and not supplants the jurisdiction of the civil courts or other statutory authorities. The law so laid by the Apex Court and binding in terms of Article 141 of the Constitution is to be followed and that settles t








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