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1982 Supreme(Raj) 112

Rajasthan High Court
S.C. Agrawal, J.
Bhilwara Sahkari Upbhokta Wholesale Bhandar Ltd. - Appellant
Versus
Prescribed Authority - Respondents
S.B. Civil Writ Petition No. 156 of 1977
Decided On : August 11, 1982

Advocates Appeared:
M.C. Bhoot, for Petitioner; M.L. Kala, for Respondents.

Headnote:(a) Rajasthan Co-operative Societies Act, 1965—S. 75—Touching the business of society— Meaning thereof.(b) Rajasthan Co-operative Societies Act, 1965 S. 75(l)—Dispute between Sahkari Bhandar and its employee on account of its termination from service —Not the dispute touching the business of society but falls under Industrial Disputes Act.(c) Rajasthan Co-operative Societies Act, 1965 -S. 75(1)—Reinstatment of a -Co-operative Society has no -discharged servant with full back wages— jurisdiction—Prescribed authority can do.(d) Rajasthan Shops and Commercial Establishments Act, 1958—S. 28 A— Prescribed Authority can order to reinstate a discharged servant with full back wages.(e) Rajasthan Shops and Commercial Establishment Act, 1958—S 28A(1)— Mandatory—Non compliance of mandatory requirement—Gives right to prescribed authority to order to reinstate with full back wages.

       In my opinion, therefore, the aforesaid decisions of the Supreme Court are fully applicable for construing the expression "touching the business of a Society" contained in section 75(1) of the Act, and in view of the aforesaid decisions of the Supreme Court it must be held that the disputes that arose between the Sahkari Bhandar and the respondent employees on account of termination of services of the said employees cannot be regarded as a dispute touching the business of the Sahkari Bhandar. (Para 14)

       The observation of the Supreme Court in the aforesaid decision are fully applicable to the present case because here also the dispute that was raised against the Sahkari Bhandar by the respondent employees involved granting of a relief, such as reinstatement in service with back wages which is not enforceable under the general law and is outside the scope of the expression "touching the management of the society" contained in section 75(1) of the Act. The aforesaid dispute falls within the jurisdiction of the Prescribed Authority under section 28A of the Shops and Commercial Establishments Act. (Para 15)

S.C. AGRAWAL, J. — Both these writ petitions raise common questions for determination and, therefore, they are being disposed of by this common order.

2. The petitioner in both these writ petitions is Bhilwara Sahkari Upbhokta wholesale Bhandar (hereinafter referred to as the Sahkari Bhandar). It is a co-operative society registered under the provisions of the Rajasthan Co-operative Societies Act, 1965 (hereinafter referred to as the Act) and is running a wholesale Bhandar at Bhilwara. Shyamlal, respondent No.2 in civil writ petition No. 156/77, was appointed as Assistant Accountant-cum-clerk in the Sahkari Bhandar with effect from June 30, 1973. It is alleged that on inspection it was found that the said respondent had misappropriated money of the Sahkari Bhandar during the year 1974-75 and the matter was brought to the notice of the Board of Directors of the Sahkari Bhandar by the Executive Officer of the Sahkari Bhandar and it was also brought to the notice of the said respondent by letter dated 18th March 1975 and thereupon the said respondent in his letter dated 19th March, 1975, admitted his fault and also made good the loss which was suffered by the Sahkari Bhandar. It is further alleged that after a further enquiry into the matter a charge sheet was served on respondent No.2 on December 16, 1975 and the said respondent submitted bis reply to the said charge sheet on December 23, 1975. The matter was thereafter discussed before the Board of Directors of the Sahkari Bhandar and it was decided that respondent No.2 may be removed from service without any stigma and, in pursuance of the aforesaid decision, an order dated December 30, 1975 was passed by the Executive Officer of the Sahkari Bhandar whereby the services of respodent No.2 were terminated with effect from December 31.1975. The reason that was given in the said order was insufficiency of work and financial condition of the Sahkari Bhandar. On February 9, 1976 respondent No.2 submitted an application under section 28A of the Rajasthan Shops and Commercial Establishment Act, 1958 (hereinafter referred to as the "Shops and Commercial Establishment Act") before the Prescribed Authority under the Shops and Commercial Establishments Act (hereinafter referred to as the "Prescribed Authority"). The Prescribed Authority by its order dated March 22, 1977 allowed the said application of respondent No 2 and held that the termination of the services of respondent No 2 by the Executive Officer of the Sahkari Bhandar was in contravention of the rules and the Proscribed. Authority therefore, set aside the order dated December 30, 1975 with regard to the termination of the services of respondent No.2 and directed that respondent No.2 may be re-instated in service from December 30,1975, and respondent No.2 was entitled to payment of back wages from December 30, 1975. Aggrieved by the aforesaid order dated March 22, 1977 passed by the Prescribed Authority, the Sahkari Bhandar has filed civil writ petition No. 156/77.

3. Bhupalsingh, respondent No.2 in civil Writ petition No. 157/77, entered, the service of the Sahkari Bhandar on February 25. 1968 and during, the period from July 1,1972 to February 2.1975 he was working as Accountant with the Sahkri Bhandar. It is alleged that during the course of inspection it was found that the said respondent had committed embezzlement of the funds of the Sahakari Bhandar and had also committed other irregularities while working as Accountant and a Committee was constituted to enquire into the matter. It is further alleged that respondent No.2 was also given a notice to appear before the said Committee to place his defence. It is also alleged that after taking into consideration the report submitted by the Enquiry Committee and after giving opportunity to respondent No.2 to make his submissions, about! the charges levelled against him. the Board of Directors of the Sahkari Bhandar on June 18,1976 decided to remove respondent No.2 from service and o


























































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