Canagasabai V. Kondavil Co Operative Stores

1949     Present : Wijeyewardene C.J. and Dias J.

CANAGASABAI, Appellant, and KONDAVIL
CO-OPERATIVE STORES, Respondent

S. C. 110-D. C. Jaffna, 5,638

Co-operative Societies Ordinance-Shortage of cash in hands of manager- " Dispute referred to arbitration-Crucial date-Is manager an "officer"?- Power to give directions under rules-Chapter 107-Section 45 Rule 29.

The manager of a co-operative society is an officer within the meaning of section 54 of the Co-operative Societies Ordinance.

Where on the date the Committee refers a dispute to the Registrar under section 45 the officer concerned is still in the employ of the society the reference is regular and the arbitrator has jurisdiction to make an award.

APPEAL from a judgment of the District Judge, Jaffna.

S. Nadesan, with C. Renganathan, for the second defendant appellant.

C. Shanmuganayagam, for plaintiff respondent.

Cur. adv. vult.

March 11, 1949. DIAS J.-

The appellant who was the Manager of the Kondavil Co-operative Stores Society (the respondent) appeals against the order of the District Judge of Jaffna who dismissed the appellant's application to stay execution of an award dated September 12, 1947, made by an arbitrator nominated under the Co-operative Societies Ordinance (Chapter 107), and which in terms of Rule 29 (k) of the rules governing Co-operative Societies (Subsidiary Legislation, Volume I, page 569) was submitted to the District Court of Jaffna for execution by the issue of a writ against the appellant to recover a sum of Rs. 1,200 with interest at 6 per cent.

The appellant had previously preferred an appeal to the Registrar of Co-operative Societies against the award. That appeal- was dismissed. Section 45 (4) of the Co-operative Societies Ordinance provides that a, decision of the Registrar in appeal shall be final, and shall not be called in question in any civil Court. Section 45 (5) enacts that the award of an arbitrator shall, if no appeal is preferred to the Registrar, or if any such appeal is abandoned or withdrawn, be final and shall not be called in question in any civil Court. Of course, if the appellant can show that, the award was made without jurisdiction, or that some fatal irregularity attaches to the proceedings preceding the application to the Court for execution, these presumptions would not apply. In such cases it would be open for the District Court and for this Court to grant relief 1[See Ghani v. Anjuman-i-Imad Qarza Bhaum Chak (1942) A. I. R. Lahore. 237 and Ekanayaka v. Prince of Wales Co-op Society Ltd. (1949) 50 N. L.R. 297.]. The appellant's submission is that the award was made without jurisdiction, and that the reference to arbitration was illegal. In order to appreciate the submissions made it is necessary that the facts should be stated.

The Kondavil Co-operative Stores Societies, Ltd., is a co-operative society duly registered under the Co-operative Societies Ordinance (Chapter 107). The second defendant appellant was the manager of the Society. The indenture P3 dated June 29, 1945, shows that the appellant had been appointed the manager

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