The time stipulated for the enquiry report is not mandatory, and the principles of natural justice were substantially complied with in the surcharge proceedings.

These Writ Petitions are filed challenging the enquiry report dated 30.08.2004 and Surcharge notice dated 112. 2007 and the Surcharge order passed on 25. 2008 for the alleged loss caused to the 2nd Respondent – Ettimarathupatti Primary Agricultural Co-operative Bank by omissions and commissions to the tune of Rs.1,00,32,150.97.

2. Second Respondent – Ettimarathupatti Primary Agricultural Co-operative Bank borrows money from State Central Co-operative Bank and lends money to agriculturists. On Petitions from the public and on the proceedings of the then Dy. Registrar of Cooperative Societies, Dharmapuri Circle, Sec.81 enquiry was ordered under Na.Ka.3070/03 Tho.Va dated 23. 2003. During enquiry several instances of falsification of accounts, creation of forged records and misappropriation were found by the Enquiry Officer. Enquiry Officer started her enquiry on 23. 2003 and two extensions on 26. 2003 and on 29. 2003 were granted to her. Enquiry Officer completed her enquiry on 212. 2003 and submitted her report on 01. 2004. Enquiry Officer found 8 employees of the Bank viz., Writ Petitioners, Kumarasamy, Mohan, Special Officer and Raju, H/o.Minerva (Petitioner in W.P.No.16329/2008 and 9 members of the Board of Management are guilty of the charges levelled against them. Report of the Enquiry Officer was received on 25. 2004. Explanations were called for from the Enquiry Officer as to the delay in submitting and certain other queries were also raised. Enquiry Officer submitted her second report clarifying the queries raised by the Dy. Registrars Office on 30.8.2004 and 09. 2004.

3. Writ Petitioners (1) G.Pannerselvam-Circle Inspector [W.P.Nos.10451, 10452/2008 & 16710/2008]; (2) K.V.Krishnan-Circle Inspector [W.P.No.15520/2008]; (3) V.Chinnasamy-Assistant [W.P.No.16135/2008]; (4) S.K.Perumal-Field Manager [W.P.No.16342/2008] were all working as employees of the Bank. Writ Petitioners (1) M.Vadivel (Ex. Vice President of the bank); (2) P.Jayavel (Ex. Director); (3) Sivalingam (Ex. Director) in W.P.No.16484/2008 were the Directors in the Board of 2nd Respondent.

4. Based on the enquiry report, 1st Respondent initiated Surcharge proceedings u/s.87 (1) of Tamil Nadu Co-operative Societies Act. Each of the Writ Petitioners were included in various items as indicated in the Surcharge order. Surcharge notice was issued to the Writ Petitioners calling upon them to appear for enquiry on 23. 2008. After issuance of notice u/s.87(1) of the Act, enquiry was posted on 23. 2008. On 23. 2008, Writ Petitioners attended the enqury and the same was adjourned to 15.04.2008.

5. On 14. 2008, Writ Petitioners N. Periyasamy, G.Pannerselvam, K.V.Krishnan, S.K.Perumal, N.Kumarasamy and R.Minerva appeared for enquiry, but did not give evidence. They undertook to appear on 05. 2008. Writ Petitioners are said to have appeared for enquiry and requested for adjournment to 6. 2008 stating that they have filed W.P.Nos.10451 & 10452/2008. On 05. 2008 only Writ Petitioner R.Minerva (W.P.No.16329/2008) appeared for enquiry and enquiry was adjourned to 25. 2008. On 25. 2008, first Respondent has passed the impugned Surcharge order.

6. Challenging the enquiry report and Surcharge order these Writ Petitions are filed. There are three categories of Writ Petitions:-

1) W.P.No.10451/2008 challenging the enquiry report dated 30.08.2004.

2) W.P.Nos.10452/08, 15520/08, 16135/08, 16329/08, challenging the Surcharge notice dated 112. 2007 u/s.87(1) of the Act and Surcharge order dated 25. 2008.

3) W.P.Nos.16342/08, 18299/08, 16484/08 challenging the enquiry report dated 30.8.2004 and also Surcharge order dated 25. 2008 and W.P.No.16710/08 challenges Surcharge order dated 25. 2008.

7. Case of the Writ Petitioners is that enquiry report allegedly completed on 01. 2004 and filed on 25. 2004 has no validity in the eye of law. Further case of the Petitioners is that statutory period contemplated u/s.81(4) is only three months and enquiry report filed on 25. 2004 an