IN THE HIGH COURT OF JUDICATURE AT MADRAS
Honourable Mr Justice M.DHANDAPANI
Mr. P. Sivassubramaniyan – Appellant
Versus
The Deputy Registrar of Co-operative Societies – Respondent
IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 25-03-2026 CORAM THE HON'BLE MR JUSTICE M.DHANDAPANI AND WMP NO. 12921 OF 2026,WMP NO. 12924 OF 2026 Mr. P. Sivassubramaniyan S/o. Pavadai, Aavalam Village, Ulundurpet Taluk, Kallakurichi District.
..Petitioner(s)
Vs
1. The Deputy Registrar of Co-operative Societies Thirukovilur, No.20/3 Teachers Nagar, Sandaipet, Thirukovilur -605 766
2. The Joint Registrar of Co-operative Societies Kallakurichi Zone, No.176, 1st Floor, Periyar Nagar, V. Palaiyam, Madoor Post, Kallakurichi District -605 766
3. The Registrar of Co-operative Societies No.170, N.V. Natarajan Maligai, Periyar E.V.R. Road, Kilpauk, Chennai-600 010 ..Respondent(s)
Prayer: Writ Petition is filed under Article 226 of the Constitution of India praying for issuance of writ of Certiorarified Mandamus calling for the records relating to the impugned Auction Sale Notice dated 23.02.2026 Under Rule 126 of the Tamil Nadu Cooperative Societies Rules, 1988 in Na.Ka. No.194/2011SaPa, passed by the 1st Respondent herein, and to quash the same as illegal, and consequently forbear the Respondents from proceeding with the Auction Scheduled On 25.03.2026 and Pass For Petitioner(s): Mr. S.R.R. RAAGHHAVAN For Respondent(s): Mr.S.Ravikumar, Special Government Pleader
Order
The writ petition is filed against the impugned auction sale notice dated
23.02.2026 passed by the 1st respondent and to forbear the respondents from proceeding with the auction sale.
2. Case of the petitioner is that the petitioner was joined as a gold jewel appraiser in Thirunavalur Farmer Service co-operative Society on 01.04.1993. In the year 2010, he was promoted as a Clerk, and was also assigned a Cashier (Incharge) from the date of his appointment as Clerk. While so, on 23.05.2010, the jewels and cash were stolen from the Society by some thieves. Due to which, the petitioner was suspended and thereafter dismissed from service on 29.06.2012 . An FIR was registered in Cr.No.1/2011 against the Secretary of the Society, petitioner and three other office bearers, which also resulted in filing of charge sheet before the Trial Court. The petitioner and the Secretary of the Society were convicted only in respect of the allegation of misappropriation of funds occurred in the Society. Against which, the petitioner has preferred an appeal and the same is pending.
3. When the matter stood thus, the Enquiry Officer has conducted an enquiry and based on his report, a surcharge notice was issued against the petitioner and subsequently, a surcharge order was passed on 15.06.2012 and towards the loss incurred due to the alleged criminal negligence, the 1st respondent has issued an Auction Notice for the entire surcharge amount of Rs.1,72,77,264/- dated 23.02.2026 proposing to bring the petitioner’s property along with the properties of his siblings and cousins for auction.
4. It is the specific contention of the petitioner that after a long lapse of time, the respondents have initiated recovery proceedings and issued a Demand Notice dated 03.03.2023, subsequently issued a Attachment Notice dated 05.08.2025, followed by the present Auction Notice dated 23.02.2026, proposing to bring certain immovable properties for auction sale on 25.03.2026.
Challenging the impugned auction notice, the present writ petition is filed. 5. The learned counsel for the petitioner submitted that the petitioner and four other alleged office bearers of the Society can be held responsible for the amount of Rs.4,30,124/-, however the surcharge order has been issued for the entire surcharge amount, which is unethical. Further the surcharge order does not contain any specific finding with regard to the individual responsibility in causing the alleged loss and the order is vague and therefore, fastening of huge liability upon the petitioner is arbitrary. Further the impugned auction notice has been issued illegally bringing in a property for auction sale, without prior attachment of the same as per Rule 126(1) of the
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