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2016 Supreme(Online)(KER) 27717

HIGH COURT OF KERALA
SHAJI P.CHALY, J
GEORGE KUNNAPUZHA – Appellant
Versus
THE PULLADU SERVICE CO-OPERATIVE BANK LTD.NO.1375 – Respondent
WP(C)/16764/2015



Advocates:
SRI.V.G.ARUN, SRI.T.R.HARIKUMAR, SRI.V.PHILIP MATHEW, SRI.PRASAD CHANDRAN, GOVERNMENT PLEADER SRI.T.R.RAJESH

A delegate's appointment ceases upon the expiration of the managing committee's term, as per the applicable rules governing co-operative societies.

Headnote:

Election - Writ Petition - Kerala Co-operative Society Rules - 44A, 46(f) - The court ruled that the petitioner's delegation ceased upon the expiration of the managing committee's term, affirming the applicability of the relevant rules governing delegate status under the Co-operative Society framework.

Fact of the Case:

The petitioner sought to assert his position as a director of the 3rd respondent bank following the expiry of the 1st respondent society's managing committee. An election was adjourned due to a harthal, leading to claims about the petitioner's right to continue as a director despite the appointment of an administrator.

Issues: Whether the petitioner had the legal right to participate in the director board meetings after the term of the managing committee expired and an administrator was appointed.

Ratio Decidendi: The court held that under Rule 46(f), a delegate's status ceases when the managing committee’s term ends, and thus the petitioner had no right to attend board meetings of the 3rd respondent post-expiration.

Final Decision: Writ petition dismissed.

JUDGMENT

Petitioner has filed this writ petition seeking to declare that petitioner continues to be a member of the Board of Directors of the 3rd respondent bank and for a further direction to the 3rd respondent bank to issue notice of all meeting of its Director Board to the petitioner.

2. Material facts for the disposal of the writ petition are thus; petitioner is the President of the 1st respondent society. In his capacity as managing committee member, petitioner was nominated as the delegate of the 1st respondent society to the 3rd respondent District Co-operative Bank and in that capacity, had become a Director Board member of the 3rd respondent. The term of the previous committee was to expire by 19.3.2015 and the Co-operative Election Commission issued election notification fixing the date of polling as 14.3.2015.

3. According to the petitioner, in connection with the untoward incident in the State Assembly during the budget presentation, a political front in the State declared harthal on 14.3.2015. The declaration came on 13.3.2015 afternoon. Immediately thereupon the Returning Officer declared that he was adjourning the election. In spite of the petitioner obtaining a letter from the Convenor of the political front, which called the harthal, stating that the area of operation of the 1st respondent society has been exempted from the purview of harthal, the Returning Officer remained with his stand of adjourning the election. Since the petitioner felt that the only reason behind adjourning the election, was to ensure that election is not conducted within the term of the elected committee, petitioner approached this court by filing W.P(C) No.8663/2015 seeking direction to the State Co-operative Election Commission to take emergent steps to conduct the poll to elect the managing committee of the 1st respondent society. In the said writ petition, this court passed an order dated 18.3.2015 directing the 3rd respondent to explore the possibility of appointing the petitioner and two others from the existing managing committee as members of the Administrative Committee, in the wake of expiry of the term of the managing committee of the 1st respondent society on 19.3.2015. That part it is urged that, on 20.3.2015, Eraviperoor Unit Inspector came to the office of the 1st respondent society for taking charge as Part-time Administrator. On 20.3.2015 itself, 1st respondent society was served with proceedings dated 19.3.2015 issued by the State Co-operative Election Commission scheduling the poll to 20.8.2015. Thereupon, this court passed Ext.P5 judgment positively directing the Co-operative Election Commission to fix the date of polling before 18.4.2015, without waiting for any resolution by the Administrator, in view of the fact that the term of the managing committee expired on 19.3.2015.

4. Based on the direction contained in Ext.P5 judgment, the polling was notified and conducted on 17.4.2015 and a new committee including the petitioner was elected. The new managing committee elected the petitioner as its President and also as its delegate to the 3rd respondent. In spite of the resolution and the communication, petitioner was not informed about the Director Board meeting of the 3rd respondent. Therefore, petitioner submitted a letter to the 3rd respondent pointing out that petitioner was not issued with notice about the Director Board meeting held on 29.4.2015 and further requesting that, he should be given notice of all future meetings. To the said request made by the petitioner, petitioner has been issued with a reply stating that, he was not issued with notice of Director Board meeting since the Joint Registrar had informed that a Part-time Administrator had been appointed for the 1st respondent society w.e.f. 20.3.2015. It is the contention of the petitioner that since the petitioner is nominated as the delegate of the 1st respondent to the Board of Directors of the 3rd respondent bank, petitioner has every legal right to con

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