JAGADISH PATIL Vs. STATE OF KARNATAKA

JUDGEMENT

(1.) The District Central Co-operative Bank Ltd, Gulbarga (hereinafter called the Bank) 3rd respondent herein is a Co-operative Society registered under the Karnataka Cooperative Societies Act, 1950 (the Act). Amongst its objects one of the objects is to finance co-operative societies registered under the Act and to raise funds for this purpose. The operations of the Bank extend to the revenue district of Gulbarga. At the time of its establishment the Bank had a capital of Rs. 2 crores and the said capital was, made up of shares classified as 'A' and 'B' each 'A' class share being- of the value of Rs. 1,000 and 'B' class share being of the value of Rs. 100. Every registered co-operative society within the district of Gulbarga is entitled to become a member of this Bank. The State Co-operative Bank is also made eligible for admission as a member.

(2.) Though the ultimate authority in all matters relating to the general administration of the Bank vests in the General Body, the day-to-day management of the affairs of the Bank vests in a Board of Management (what is called under Sec. 2(b) of the Act as a Committee).

(3.) The Board of Management, as per bye-law, should consist of 15 members. At the relevant time three places were vacant.