THE HON’BLE SRI JUSTICE JUKANTI ANIL KUMAR WRIT PETITION No.33796 of 2025

ORDER:

This Writ Petition is filed seeking the following prayer:

“…to issue an appropriate writ, order or direction more particularly one in the nature of Writ of Mandamus declaring the action of the Respondent Nos.1 to 3 in not passing the orders in pursuant to the show cause notice vide proceeding in RC.No.2569/2025 HR2 dated 20.08.2025, even after receiving the explanations from the members of the Managing Committee is arbitrary, illegal unjust, violation of Articles 14 and 21 of the Constitution of India besides violation of provisions of the Telangana Cooperative Societies Act, 1964 and consequently, direct the Respondent Nos.1 to 3 to pass the orders to pursuant the show cause notice vide proceeding in RC.No.2569/2025-HR2, dated 20.08.2025 as per the provisions of the Telangana Cooperative Societies Act, 1964 and pass such other order or orders...”

2. Heard Mr.A.Ravinder Reddy, learned Senior Counsel representing Mr. Jella Srikanth, learned counsel for petitioners and learned Assistant Government Pleader for Cooperation appearing for respondent Nos.1 to 3.

3. Petitioners are members of the Telugu Cine Workers Cooperative Housing Society. A complaint was made against the Managing Committee to respondent Nos. 2 and 3 regarding mismanagement of the Society’s affairs. The District Cooperative Officer appointed the Assistant Registrar to conduct an enquiry and submit a factual report on the complaint. Enquiry report of Assistant Registrar is dated 09.10.2023 and the report of District Cooperative Officer is dated 02.08.2025.

4. The Commissioner scrutinized the enquiry report of the District Cooperative Officer and the record. The following facts were noticed upon scrutiny of the report (Pg. No.48).

a) “The present committee of the society registered housing units in violation of allotments made by five men committee constituted vide G.O.Ms.No.658 Revenue (ASNIII) Department dated 04.07.1994.

b) The present committee of the society raised loans from private individual by mortgaging the government land allotted to the society in violation of bye law no.17,19(2)

causing financial loss to the society.

c) The present committee of the society created avoidable disputes between the members of the society.

Prima facie, its appears that, there is gross negligence on the part of the Managing Committee of the society in performance of its duties and that the committee has committed acts prejudicial to the interests of the society and its members.

In view of the above, the members of the Managing Committee of Telugu Cine Workers Cooperative Housing Society Ltd., are hereby directed to explain why action cannot be taken against them U/s 34 (1) (b) of the TCS Act, 1964 by supreseding it as there is gross negligence in performance of its duties and since the committee has committed acts prejudicial to the interests of the society and its members.

Therefore, all the members of the Managing Committee of Telugu Cine Workers Cooperative Housing Society Ltd., are hereby directed to submit their explanations in this regard on or before 26.08.2024 failing which it would be constured that the members of the Managing Committee of the society have nothing to explain in this regard and the undersigned would be compelled to take further necessary action as per the provisions of the TCS Act, 1964, Rules made there under and byelaws of the society.”

On considering the representations, dated 09.10.2023 and 02.08.2025, wherein, the performance of the Managing Committee was brought to the notice of the Commissioner and the Commissioner was of the opinion that there was gross negligence on the part of the Managing Committee. The Commissioner, vide proceedings Rc.No.2569/2025-HR2 dated 20.08.2025 (Pg. No. 47), issued a show cause notice addressed to all the members of the Managing Committee.

The contents of the show cause notice are as follows:

““ Whereas vide reference 1, 2 & 3^rd cited, Sri M.

Rames