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1976 Supreme(P&H) 30

PUNJAB & HARYANA HIGH COURT
R.S.Narula and D.S.Lamba JJ.
Bhag Singh
Versus
Ranjodh Singh
Letters Patent Appeal No. 569 of 1973,
Decided On : MARCH 8, 1976

The Administrator of a Co-operative Society has the power to enrol new members, provided the action is bona fide and the members enrolled fulfill the requisite qualifications.

Headnote:

CO-OPERATIVE SOCIETY - ELECTION - ENROLMENT OF NEW MEMBERS - POWER OF ADMINISTRATOR - PUNJAB CO-OPERATIVE SOCIETIES ACT, 1961 (PUNJAB ACT 25 OF 1961), SEC. 14(1) - PUNJAB CO-OPERATIVE SOCIETIES RULES, 1963, RULE 17 - PUNJAB CO-OPERATIVE SOCIETIES (AMENDMENT) ACT, 1973 (PUNJAB ACT 1 OF 1973), SEC. 14(1) - PUNJAB CO-OPERATIVE SOCIETIES (AMENDMENT) RULES, 1973, RULE 17 - INTERPRETATION - ADMINISTRATOR HAS POWER TO ENROL NEW MEMBERS SUBJECT TO CONDITIONS.

Fact of the Case:

The Doraha Co-operative Marketing Society held an election in December 1969, with the term of the Managing Committee expiring on December 7, 1972. Before the expiry, the committee divided the area into six zones and finalized the election program. However, the Assistant Registrar did not approve the program or appoint a returning officer, leading to the appointment of Hazara Ram as Administrator on December 20, 1972. The Administrator enrolled 493 and 33 additional members in January and February 1973, respectively, raising concerns among the writ petitioner-respondents. Ranjodh Singh filed a writ petition in February 1973, which was allowed by the learned Single Judge on July 19, 1973, directing the Administrator to hold the election expeditiously.

Finding of the Court:

The court found that the Administrator has the power to enrol and admit new members, provided the action is bona fide and the members enrolled fulfill the requisite qualifications. However, the court also noted that the Administrator's term had expired, and the election needed to be held. The court further agreed with the parties' consent that the process of new enrolment should stop 15 days before the election.

Issues: 1. Whether the Administrator has the power to enrol new members? 2. Whether the Administrator's action in enrolling new members was bona fide? 3. Whether the new members enrolled by the Administrator fulfilled the requisite qualifications?

Ratio Decidendi: 1. The court interpreted Section 14(1) of the Punjab Co-operative Societies Act, 1961, and Rule 17 of the Punjab Co-operative Societies Rules, 1963, as amended by Section 14(1) of the Punjab Co-operative Societies (Amendment) Act, 1973, and Rule 17 of the Punjab Co-operative Societies (Amendment) Rules, 1973, to hold that the Administrator has the power to enrol new members, subject to the conditions that the action is bona fide and the members enrolled fulfill the requisite qualifications. 2. The court did not examine the bona fides of the Administrator's action in enrolling new members since the issue was not raised before it. 3. The court did not examine whether the new members enrolled by the Administrator fulfilled the requisite qualifications since the issue was not raised before it.

Final Decision: The court set aside the judgment of the learned Single Judge and substituted it with an order directing the Deputy Registrar or Assistant Registrar to invite applications for new membership, hear and dispose of objections against the enrolment of any individual or Society, and issue the election program fixing the requisite dates for all the steps in the election, with the actual poll to be held not later than mid-May 1976.

Judgment

R.S.Narula, J.

1. This order will dispose of two connected appeals, i.e. Letters Patent Appeals 569 and 605 of 1973, both of which have been filed against the same judgment of a learned Single Judge of this Court. The litigation relates to the Doraha Co-operative Marketing Society, Doraha (hereinafter called the Society). The last election to the Managing Committee of the Society was held in December 1969. The term of the Managing Committee was due to expire on December 7, 1972. On October 26, 1972, that is well within time before the expiry of the term of the Managing Committee, the then existing committee by a resolution divided the area of the Society into six separate zones, that is three for the societies and three for the individuals. On November 15, 1972, they also passed a resolution finalising the election programme and fixing the dates for filing the nomination papers and for the poll. A copy of the election programme was sent to the Assistant Registrar Co-operative Societies. The Assistant Registrar did not either approve the election programme or appoint any returning officer before the expiry of the period of the previous committee. The term of the previous Committee having expired on December 7, 1972, Hazara Ram respondent was appointed as the Administrator of the Society on December 20, 1972. After his appointment as such he enrolled as many as 493 members on January 31, 1973, and 33 additional members on February 2, 1973. The writ petitioner-respondents got apprehensive of the manner in which the new enrolment was being made and thought that this will upset the scales for the approaching election. It was in the above- mentioned circumstances that in February 1973, Ranjodh Singh respondent filed Civil Writ Petition 564 of 1973, in this Court. The writ petition has been allowed by the judgment of the learned Single Judge, dated July 19, 1973. All that has been expressly directed in the order is that the administrator should hold the election expeditiously. Since, however, the order is based on the reasons recorded in Civil Writ Petition 851 of 1973, and it is said in the judgment of the same learned Judge pronounced on the same day (that is July 19, 1973) in that case that the Administrator had no power to enrol new members, the State of Punjab and the official respondents filed Letters Patent Appeal 605 of 1973, against that order. Eight out of the 526 members enrolled by the Administrator filed Letters Patent Appeal 569 of 1973 against the judgment of the learned Single Judge along with C.M. 5393 of 1973, for leave to be impleaded as parties to this litigation. Counsel for the other side has no objection to the grant of the application. We, therefore, allow the application and permit Bhag Singh and seven others to be impleaded as parties to the writ petition at the appellate stage and to file the appeal.

2. Subsequent to the filing of this appeal, Civil Writ Petition 4416 of 1973 was filed by some out of the 526 members. Ranjodh Singh writ petitioner-respondent was a respondent in that case also. With the consent of the parties including that of Ranjodh Singh, the writ petition was allowed, and it was conceded that the petitioners therein had the right to vote.

3. At the hearing of this appeal after a good deal of arguments had already been addressed counsel for the parties have agreed that the Administrator has the power to enrol and admit new members provided his action is bona fide and the members enrolled by him fulfil the requisite qualifications laid down under the law. It is also admitted that the term of appointment of the Administrator having expired and the period of the maximum extension which could be given to him under the law having also finished, the Administrator is no more there. It is further not disputed that the election has now to be held and that if there is any objection to any of the new members already enrolled or wanting now to be enrolled, the same has to be gone into before t


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