FLEVY DSOUZA Vs. STATE OF KARNATAKA

JUDGEMENT

(1.) HEARD the learned counsel appearing for respondents 3 to 5, the learned counsel appearing for the petitioner and the learned Government Pleader appearing for first respondent, for considerable length of time.

(2.) THE learned counsel appearing for respondents 3 to 5 submitted that the interim order granted by this Court may kindly be vacated, in view of the categorical statement made by the second respondent society in their statement of objections that the said society has received the grant by way of subsidy and the said subsidy taken from the Government has not been repaid so far. Further, to substantiate his submission, he drew my attention to Section 2 (a1) of the Karnataka Co-operative Societies Act (Act for short), wherein the word Assisted Society is defined as follows. (a-1) Assisted Society means a co-operative society which has received the Government assistance in the form of share capital or loan or grant or guarantee for repayment of loan or interest

(3.) THE learned counsel appearing for the respondents 3 to 5 was quick to point out that the instant case falls under the category of grant. Therefore, he submitted that the second respondent society has taken subsidy from the first respondent and that fact has been admitted in their statement of objections. To further substantiate his case, he placed reliance on the observation of the Honble Apex Court in the case of Bhogilal Chunilal Pandya vs. State of Bombay (AIR 1959 SC P 356), and drew my attention to the word statement which reads as hereunder. The word statement is not defined in the Act. Hence, the dictionary meaning of the word should be looked to in order to discover what it means Assistance may also be taken from the use of the word statement in other parts of the Act to discover in what sense it has been used therein He submits, in the instant case, under the Act, the word grant has not been defined. Therefore, he placed reliance on the meaning of subsidy as per the Blacks Law Dictionary which states that the word subsidy is a grant of money made by a Government in aid of the promoters of any enterprise, work or improvement in which the Government desires to participate or which is considered proper has to be given aid because such purpose is likely to be of benefit to the public. Therefore he submitted that in view of the meaning of the word subsidy, wherein it is clearly stated that subsidy means grant of money made by the Government in aid to the instant society and in the instant case, the society has availed the benefit of subsidy. Therefore, the case of the petitioner in the instant case comes within the definition of 2 (a1) under the category of grant. Therefore, he submitted that the interim order granted by this Court may kindly be vacated and further he submitted that the Administrator has handed over the charge on 8th February 2003 to the present petitioner and there is a reference to that effect in the resolution passed by the said society in Subject No. 522 dated 6th February 2003. On that date, in the meeting held, the respondent society, has unanimously accepted the membership of respondents 3 to 5 and the petitioner is also a signatory to the said resolution passed by the society dated 8th February 2003. He submits that when the petitioner did not raise his finger when the resolution was passed, it is not open for him to say at this juncture that the appointment of respondents 3 to 5 as members of the society, made by the Government is contrary to the statue. Further, he submitted that as on date, the petitioner has no locus standi to maintain this writ petition on the ground that he has been removed from the post of directorship and so far as the Directorship of the petitioner is concerned, after due enquiry, he has been disqualified. Therefore, he submits, prima facie, the respondents are entitled to seek for vacating the interim order granted by this Court.