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BASNAYAKE, CJ, PULLE, J, WEERASOORIYA, J
BANDAHAMY – Appellant
Versus
SENANAYAKE – Respondent
S. C. 206-D. C. Kurunegala 549 / Spl.



Advocates:
H. V. Perera, Q.C., with D. R. P. Goonetilleke, D. S. Nethsinghe, Maureen Seneviratne and R. D. B. Jayasekera, for Debtor-Respondent­ Appellant.
H. W. Jayewardene, Q. C., with E. J. Cooray, E. B. Vannitamby, C.. P. Fernando and. L. C. Seneviratne, for Petitioner-Respondent.

Bandahamy V. Senanayake

1960     Present : Basnayake, C.J., Pulle, J., Weerasooriya, J.,
 
K. D. de Silva, J., Sansoni, J., H. N. G. Fernando, J., and Sinnetamby, J.
 
BANDAHAMY, Appellant, and SENANAYAKE,


Respondent
 
S. C. 206-D. C. Kurunegala 549 / Spl.

    Co-operative society-Appointment of liquidator-Dispute between liquidator and a past officer of the society-Right of liquidator to refer the dispute for compulsory arbitration-Award of arbitrator-Jurisdiction of erecting Court to test its validity-Procedure Jar enforcement of award--Requirement of notice to res­pondent-Co-operative Societies Ordinance (Cap. 107) (as amended by 8. 9 of Act No. 21 of 19'1.9), 88.2,36,39,40 (1) (d), 41 (h), 45 (1), 45 (2), 45 (4), 45 (5)­Cooperative Societies (Special Provisions) Act .10. 17 of 1952,8. 2 -Co-opera­tive Societies Rules of 1.950, Rule8 38 (1), 38 (13).
 
Judicial precedent-Binding effect thereof-Scope of rule of stare decisis ?Collective Court "-Courts Ordinance (Cap. 6), ss. 38, 48, 51.

The appellant was the treasurer of a co-operative society and the respondent was appointed under section 39 of the Co-operative Societies Ordinance to be the liquidator of the society. On 19th March 1949 a dispute arose between the appellant and the respondent as to whether the appellant owed the society a sum of Rs. 560/74 in respect of" leakages in textiles n. On 21st May 1052 the dispute was referred by the liquidator to the Registrar of Co-operative Societies for decision. Thereafter, an Assistant Registrar of Co-operative Societies who was empowered to exercise the functions of the Registrar referred the dispute for disposal, as arbitrator, to an inspector of the Co-operative Department. The arbitrator made his award ordering the appellant to pay the sum of Rs. 560/74 with interest. An appeal to the Registrar against the award was dismiss6'i. As the appellant failed to pay the amount of the award, the respondent made application under Rule 38 (13) of the Co-operative Societies Rules of 1950 to the District Court of Kurunegala for the enforcement of the award.
 
Held, (i) by PULLE, WEERASOORlYA, K. D. DE SILVA, SANSONI, H. N. G. FERNANDO, and SINNETAMBY, J. J. (BASNAYAKE, C.J., dissenting), that, under section 4f) (1) (d) of the Co-operative Societies Ordinance, as amended by section 9 of Act No. 21 of 1949. the, liquidator was entitled to refer the dispute for compulsory arbitration under section 45. !n view of section 2 (1) of the Co-operative Societies (Special Provisions) Ac  No. 17 of 1952. the provisions of section 45 of the Co-operative Societies Ordinance were applicable to every such dispute notwithstanding that it had arisen prior to 24th May 1949, which was the date on which the amending Act No. 21 of 1949 came into operation.

The fact that the liquidator referred the dispute to the Registrar II for decision" could not vitiate the award of the arbitrator,
 
(ii) by BASNAYAKE, C.J., WEERASOORIYA, J., SANSONI, J., and H. N. G. FERNANDO, J. (PULLE, J., K. D. DE SILVA ,J., and SINNETAMBY, J., dissenting), that it is necessary' that when. the powers of a Court are invoked for the enforcement of an award as a decree of such Court (in terms of Rule 38 of Rule 38 (13) of the rules made under section 46 of the Co-operative Societies Ordinance), the party against whom the award is sought to be enforced should be noticed and given an opportunity of showing the existence of defects, even though the award does not bear any fatal flaws on its face.

 Jayasinghe v. Boragodawatte Co-operative Stores Society (56 N. I.. R. 462" approved.

(iii) by BASNAYAKE, C.J., WEERASOORIYA, J., SANSONI., H. N. G. FERNANDO J., and SINNETAMBY, J. (PULLE, J., and K. D. DE SILVA, J., dissenting), that it is open to the party against whom the award is sought to be enforced to question the validity of the award, even it the award is ex facie regular.

(iv, by BASNAYAKE, C.J., PULLE, J., WEERASOORIYA, J., SA
























































































































































































































































































































































































































































































































































































































































































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