THE HONOURABLE SMT. JUSTICE T. MADHAVI DEVI WRIT PETITION NO.33253 OF 2023 AND WRIT PETITION NO.31480 OF 2024

COMMON ORDER

W.P.No.33253 of 2023 has been filed seeking a Writ of Certiorari declaring the order of the Cooperative Tribunal at Warangal dt.03.11.2023 in C.T.A.No.6 of 2021 upholding the proceedings of respondent No.1, i.e., the Deputy Registrar of Cooperative Societies/District Cooperative Officer, Warangal Urban District in Rc.No.1353/2017-C dt.04.02.2021, as illegal and arbitrary and to consequently set aside the same and to pass such other order or orders.

2. W.P.No.31480 of 2024 has been filed seeking a Writ of Mandamus declaring the proceedings in E.P.No.596/2020-21 and E.P.No.598/2020-21 in Form-7 of attachment of immovable property issued by the Joint Registrar/District Cooperative Officer, i.e., respondent No.1 without having any jurisdiction and without mentioning the proceedings of award and also the demand notice in Form-6 dt.30.09.2024 issued by respondent No.1 without considering the objection filed by the petitioner on 03.10.2024 under Rule 52(21)(a)(b)(c) of Telangana Cooperative Societies Rules and without any delegation of powers under G.O.Ms.No.1, Agriculture and Cooperative (Coop-II) Department dt.10.01.2024, as illegal and arbitrary.

3. The petitioners in both these Writ Petitions are one and the same and brief facts leading to the filing of both these Writ Petitions are as under.

4. The petitioner rendered service as the President of respondent No.8 cooperative society from 05.02.2013 to 04.02.2018 and according to the petitioner, a significant progress has been made in garnering of net profits during the said period. Subsequently, during the process of re-organisation of districts, Elkathurthy Mandal was taken away from Karimnagar District and was added to Warangal Urban District and since then, respondent No.1 had control and regulatory powers over the society. However, the affiliation of the society did not undergo any change and the Karimnagar District Cooperative Central Bank Limited, Karimnagar continued to be the financing bank of the society. There was a physical verification of stocks of the society as on 30.09.2017 and certain irregularities and deficit in stocks of the society were noticed. Therefore, a special report was submitted in the matter. Thereafter, a preliminary enquiry was ordered to probe into the affairs of the society by appointing Sri V.Vijaya Bhaskar Reddy, Assistant Registrar/Audit, Office of the District Cooperative Officer, Warangal Urban as enquiry officer who conducted a preliminary enquiry and submitted his report recommending an enquiry under Section 51 of the Telangana Cooperative Societies Act, 1964 (for short, ‘the Act’). Based on the said report, an enquiry was ordered under Section 51 of the Act duly authorising E. Venkateshwarlu, Assistant Registrar/Field, Kazipet Circle, Office of the District Cooperative Officer, Warangal Urban to conduct an enquiry into the affairs of respondent No.8 society. The enquiry under Section 51 of the Act was conducted and a report dt.04.06.2018 was submitted holding the petitioner herein and others as responsible for misappropriation of funds of the society to a total sum of Rs.2,51,55,550.14 and the petitioner individually was held to be responsible for a sum of Rs.9,18,500/-. Thereafter, a surcharge notice under Section 60(1) of the Act was issued and surcharge orders have been passed vide separate proceedings dt.04.02.2021 holding the petitioner responsible for a sum of Rs.7,54,500/- and recovery of the said amount was ordered along with interest at 15% p.a. from the date of the misappropriation to the date of realisation and to restore the same to the funds of the society. Further, the petitioner and the CEO K.Vinay Kumar were jointly held responsible for a sum of Rs.1,45,56,850.51 along with interest. Challenging the same, the petitioner filed C.T.A.No.6 of 2021 before the Telangana Cooperative Tribunal at Warangal under S