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1967 Supreme(All) 420

SATISH CHANDRA
Varanasi Whole-Sale Central Consumers' Cooperative Stores Ltd. , Varanasi – Appellant
Versus
Deputy Registrar, Cooperative Societies, Varanasi – Respondent


JUDGMENT

Satish Chandra, J. - On 29th May, 1967, the Deputy Registrar, Cooperative Societies, Uttar Pradesh, Varanasi, issued an order suspending the management of the petitioner viz. the Varanasi Whole-sale Central in whole, and appointing Sri I.P. Singh, an official of the Cooperative Department, as Administrator of the Stores till further orders. He was directed to take over complete charge of the Stores and assume all powers of the Committee of Management of the Stores. The order stated that "whereas a heavy embezzlement of the Funds of the Stores has been committed and the management of the Stores has conducted its affairs in 3 manner prejudicial to its interest and which is likely to end in disaster. it is considered inevitable to stop the management from further functioning in order to save the Stores from ultimate collapse." This order was passed in exercise of the powers conferred by the proviso to rule 31 of the Rules framed by the State Government of Uttar Pradesh under the Cooperative Societies Act, 1912. The same day, the Deputy Registrar issued a show cause notice uncle,- rule 31 (a). In this, 25 charges were set out. The President and the Members of the Committee of M

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