PUNJAB & HARYANA HIGH COURT
A.D.Koshal, J.
Harbhajan Singh
Versus
State Of Punjab
Civil Writ No. 978 of 1970,
Decided On : SEPTEMBER 9, 1971
CO-OPERATIVE SOCIETIES - ELECTION TO COMMITTEE - INELIGIBILITY - SERVICE ON COMMITTEE FOR CONTINUOUS PERIOD OF NOT LESS THAN SIX YEARS - INTERPRETATION OF SUB-SECTION (2) OF SECTION 26-B OF THE PUNJAB CO-OPERATIVE SOCIETIES ACT, 1961 - WHETHER SERVICE AS NOMINATED OR CO-OPTED MEMBER TO BE COUNTED - WHETHER PERIOD OF ILLEGAL CONTINUANCE AS MEMBER TO BE COUNTED - WHETHER ALTERNATIVE REMEDY OF ARBITRATION AVAILABLE - WHETHER WRIT LIES AGAINST OFFICER OF CO-OPERATIVE DEPARTMENT IN RELATION TO AFFAIRS OF PRIVATE CO-OPERATIVE SOCIETY - WHETHER SOCIETY A NECESSARY PARTY TO PROCEEDINGS FOR QUASHING ELECTION OF MEMBER OF COMMITTEE.
Fact of the Case:
Petitioner challenged the election of respondent No. 4 to the Executive Committee of the Janta Co-Operative Sugar Mills Limited, Bhogpur (Mills) on the ground that respondent No. 4 had already served on the Board for a period of more than six years and was, therefore, ineligible for election according to the provisions of sub-section (2) of Section 26-B read with clause (b) of Section 2 of the Punjab Co-Operative Societies Act, 1961 (Act). Respondent No. 3, the Returning Officer, rejected the objection and accepted the nomination papers of respondent No. 4. The petitioner filed a petition under Articles 226 and 227 of the Constitution of India seeking a writ of certiorari quashing the order of respondent No. 3 and declaring the election of respondent No. 4 to be null and void.
Finding of the Court:
The court held that the interpretation placed by respondent No. 3 on sub-section (2) of Section 26-B of the Act was wholly mis-conceived. The court held that the expression "has served" occurring in sub-section (2) of Section 26-B of the Act meant that the act of serving had already been completed or it was done and may be (but not necessarily is) continuing. The court further held that the entire period for which respondent No.4 served as a Director on the Board would be counted towards the period of not less than six years without reference to the manner in which he became a member, i.e., whether by election, nomination or co-option. The court also held that the period from 11-10-1963 to 13-6-1964 could not be counted as part of the period of "not less than six year" mentioned in sub-section (2) inasmuch as in between those to dates his continuance as a member of the Board was illegal, it not having behind it the sanction of any provision of the Act or the Rules or the bye-laws governing the Mills. The court further held that the petition should not be thrown out on the short ground that an alternative remedy was open to the petitioner by way of arbitration proceedings under Section 55 of the Act. The court also held that the Mills was a private body and that, therefore, no writ should be issued in relation to its affairs. The court further held that the Society not being a party to these proceedings, the petitioner was not entitled to a writ.
Issues: 1. Whether the interpretation placed by respondent No. 3 on sub-section (2) of Section 26-B of the Act was correct? 2. Whether the service as nominated or co-opted member to be counted towards the period of ineligibility? 3. Whether the period of illegal continuance as member to be counted towards the period of ineligibility? 4. Whether alternative remedy of arbitration available? 5. Whether writ lies against officer of Co-operative Department in relation to affairs of private co-operative society? 6. Whether Society a necessary party to proceedings for quashing election of member of Committee?
Ratio Decidendi: 1. The court held that the interpretation placed by respondent No. 3 on sub-section (2) of Section 26-B of the Act was wholly mis-conceived. The court held that the expression "has served" occurring in sub-section (2) of Section 26-B of the Act meant that the act of serving had already been completed or it was done and may be (but not necessarily is) continuing. The court further held that the entire period for which respondent No.4 served as a Director on the Board would be counted towards the period of not less than six years without reference to the manner in which he became a member, i.e., whether by election, nomination or co-option. 2. The court held that the service as nominated or co-opted member to be counted towards the period of ineligibility. 3. The court held that the period of illegal continuance as member to be counted towards the period of ineligibility. 4. The court held that the petition should not be thrown out on the short ground that an alternative remedy was open to the petitioner by way of arbitration proceedings under Section 55 of the Act. 5. The court held that the Mills was a private body and that, therefore, no writ should be issued in relation to its affairs. 6. The court held that the Society not being a party to these proceedings, the petitioner was not entitled to a writ.
Final Decision: The petition was allowed. The impugned order was quashed and the election of respondent No.4 to the Board was declared null and void.
1. This petition under Articles 226 and 227 of the Constitution of India seeks a writ of certiorari quashing the order dated the 13th of March, 1970 (Annexure A to the petition) of the Joint Registrar, Co-Operative Societies, Punjab (respondent No.3) and declaring that the election of Kulwant Singh (Respondent No. 4) to the Executive Committee of the Janta Co-Operative Sugar Mills Limited, Bhogpur (hereinafter referred to as the Mills) is null and void, and has arisen in these circumstances. The Mills is a co-operative Societies Act, 1961 (hereinafter called the Act) and the Punjab Co-operative Societies Rules, 1963 (hereinafter referred to as the Rules). The governing body of the mills which under its bye-laws is known as the Board of Directors, and is hereinafter referred to as the Board, was to be elected in the month of March, 1970, and according to the programmed drawn up by the Manager the last date for filling of nomination papers by candidates was the 6th of March, 1970. The scrutiny of nomination papers took place on the 7th of March, 1970, by when only three candidates, namely, the petitioner, Kulwant Singh respondent No. 4 and one Mast Ram were left in the field in so far as the election from one of the Zones, namely, Zone No. 4 was concerned. The petitioner objected to the acceptance of the nomination papers of respondent No. 4 on the ground that the latter had already served on the Board for a period of more than six years and was, therefore, ineligible for election to the Board according to the provisions of sub-section (2) of Section 26-B read with clause (b) of Section 2 of the Act. These provisions are to the following effect:
"2. In this Act, unless the context otherwise requires:-
- * * * * *
(b) committee means the governing body of a Co-operative society by whatever name called, to which the management of the affairs of the society is entrusted."
"26-B. (2) No person shall be eligible for being elected to the committee of any co-operative society after he has served on the committee of that society, whether before or after or partly before and partly after the commencement of the Punjab Co-Operative Societies (Amendment) Act, 1969 for a continuous period of not less than six years, unless a period of not less than three years, has expired since he last so served.
Explanation:-
-For the purpose of computing the period of six years under Sub-section (2), if a person ceased to serve on the committee on account of resignation tendered by him he shall be deemed to have so served for the full term in which resignation was tendered."
Respondent No. 3 who was functioning as the Returning Officer, rejected the objection summarily on the same day and finally (after he had given a detailed hearing to the parties in pursuance of a direction issued by the Registrar, Co-Operative Societies, Punjab, respondent No. 2) on the 13th of March, 1970 and accepted the nomination papers of respondent No. 4 through the impugned order which is appended as Annexure A to the petition and which was based inter alia on the findings given below: (a) Respondent No. 4 served on the Board for a continuous period of more than six years from 10-10-1960 to 11-7-1968 but in the following capacities:-
- (i) Elected Director from 10-10-1960 to 13-6-1964.
(ii) co-opted Director from 14-6-1964 to 4-12-1966.
(iii) Nominated Director from 5-12-1966 to 11-7-1968.
(The correctness of this finding was accepted at the hearing before respondent No. 3 by learned counsel for Respondent No. 4)
(b) The provisions of Sub-section (2) of Section 26-B of the Act which was added to the Act by the Punjab Co-operative Societies (Amendment) Act, 1969 (hereinafter referred to as the amending Act) apply only to persons who were serving on the Board on the 10th of September, 1969, i.e., the date of commencement of the amending Act.
The election from Zone NO. 4 took place on the 14th of March, 1970, and respondent No. 4 declared successful while the petitioner,
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