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2016 Supreme(Ker) 940

IN THE HIGH COURT OF KERALA
SHAJI P. CHALY, J.
The Managing Committee, Thiruvalla East Co-Operative Bank Ltd. - Appellant
Versus
State Co-Operative Election Commission - Respondent
Writ Petition (C) No. 26608 of 2016 (A)
Decided on : 07-09-2016

Advocates Appeared:
For the Appellant :Sri. George Poonthottam, Advocate.
For the Respondent:Sri. V.G. Arun, Sri. T.R. Harikumar, Advocates, Sri. K.S. Mohamad Hashim, Special Government Pleader.

Headnote:

Co-operative Societies Rules 1969 -Rule 35A - Co-operative Societies Act 1969 - Section 28B - Elections of Society - Resolution passed by Bank - Rejection by State Co-operative Election Commission - Power of Committee - held, committee is vested with enough powers to pass a resolution sufficiently earlier to the term of expiry of the committee. Moreover, it was the decision of a democratically elected body to surrender office on an earlier date, thus enabling the incoming committee to take over the management and have its full term - any manner of interference with the said democratic political will, is not expected from an executive authority. Yet another aspect, in my considered opinion is, the power conferred on the 1st respondent under S.28B of the Act is streamlined under Rule 35A of the Rules, and therefore, nothing more and nothing less

JUDGMENT :

SHAJI P. CHALY, J.

1. This writ petition is filed by the Managing Committee of the Thiruvalla East Co-operative Bank Ltd. No. 3260, seeking to quash Ext.P4 order by which, 1st respondent rejected the request of the Bank to conduct election on 10.09.2016, and for other related reliefs. Material facts for the disposal of the writ petition are as follows:

2. The term of the present Managing Committee of the Bank will expire on 11.11.2016 on completion of 5 years tenure as provided in Section 28 of the Kerala Co-operative Societies Act, 1969, [hereinafter called 'the Act'] and the bye-laws of the Bank. Therefore, the Managing Committee of the Bank as per a resolution dated 08.07.2016 resolved to conduct election to the Managing Committee by scheduling the poll, if required, on 10.09.2016. While elections were notified in 2009, there were clashes instigated at the instance of rivals, and damage was caused to the properties of the school where election was held. Therefore, the Manager of the local school, where election proposed to be held, had expressed his unwillingness to spare the institution for conducting election.

3. That apart, it is also stated that in view of the ensuing Onam holidays commencing from 10.09.2016, manager of one of the schools has consented to provide the school premises on the said date. It is the non-availability of polling station, persuaded the Committee to adopt a resolution for holding the election during Onam holidays.

4. It is also urged, the resolution thus adopted by the petitioner was forwarded to the 1st respondent through the office of the Assistant Registrar (General), Thiruvalla and the Joint Registrar of Co-operative Societies (General), Pathanamthitta. The Assistant Registrar and the Joint Registrar recommended holding of the election as resolved by the Managing Committee of the Bank, and forwarded the same to 1st respondent, is the contention. On realising recommendation made by the petitioner under the Act, 3rd respondent gave a complaint to the 1st respondent alleging that, in the event of conducting the election as resolved by the Bank, same will be in violation of Articles 243ZJ, Section 28 of the Act and Rule 35A(1) of the Kerala Co-operative Societies Rules, 1969 [hereinafter called 'the Rules']. According to the 3rd respondent, if elections are held, the newly elected committee will be losing two months tenure in the office. A copy of the complaint is produced as Ext.P1. On submitting the complaint, the 1st respondent, according to the petitioner, on the next day itself sought comments of the 2nd respondent as well as the comments of the Bank, evident from Ext.P2. On receipt of Ext.P2, Bank submitted a detailed reply explaining the factual and legal position as well as the precedents on the issue, evident from Ext.P3. However, 1st respondent has now passed Ext.P4 order rejecting the resolution passed by the Committee on the ground that the newly elected Committee will not have 5 years of office. It is also held that the existing committee may be denied of 5 years in office which is not only in violation of the laws but also against the bye-laws of the Bank. According to the petitioner, Ext.P1 complaint is politically motivated and the order passed by the 1st respondent is also actuated by malafide considerations. Therefore, the rejection of the resolution as per Ext.P4 cannot be sustained under law. It is in this background, this writ petition is filed.

5. Third respondent has filed a counter affidavit disputing the allegations and claims and demands made by the petitioner. It is also stated that, the last election to the Managing Committee of the bank was held on 12.11.2011 and the 5 year term of the Managing Committee in accordance with Section 28 of the Act will expire only on 11.11.2016. By the 97th amendment to the Constitution of India, Part IX B was introduced dealing with aspects relating to Co-operative Societies and contends, by virtue of the provisions of Part IX B, t













































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