M. SHASHIDHARAN Vs. K. BHOOPALA

JUDGEMENT

(1.) The complainants have presented the complaint against accused Nos.1 to 7 under Ss. 11 and 12 of the Contempt of Courts Act, 1971 (hereinafter referred to as 'the Act' for short), praying to initiate proceedings for contempt of Court against the accused and to take suitable action for their willful disobedience of the interim order dtd. 7/8/2017 passed in Writ Petition Nos.9869-9876 of 2016 (CS-RES) and for such other reliefs, in the interest of justice.

(2.) Brief facts of the case are that, the complainants are the members of the Aircraft Employees' House Building Co-operative Society Limited (hereinafter referred to as 'the Society' for short), which is registered under the provisions of the Karnataka Co-operative Societies Act, 1959 and Rules 1960 (hereinafter referred to as 'the KCS Act' and 'the KCS Rules' for short) having its own bye-laws approved by the Competent Authority. The affairs of the Society are being managed by the elected Managing Committee comprising of 13 Directors. Accused No.1 is the President and accused Nos.2 to 7 are its Directors. The Society was formed with the primary object of acquiring lands, forming layouts and allotting house sites to its members in accordance with the norms laid down by the Government of Karnataka. Accordingly, the Society formed various layouts in and around Bengaluru city. There was litigation between the members of the Society and Writ Petition No.19213 of 2007 (CS) was filed before this Court. This Court had passed an order dtd. 24/11/2008 directing the Joint Registrar of Co-operative Societies to hold a detailed enquiry into the affairs of the Society, particularly, in the matter of allotment of sites in favour of its members, the manner in which the amounts were collected and the manner in which the sites have been allotted in favour of the members. It was also held that if any manipulation of the records of the Society in respect of such allotment of sites were found, the Joint Registrar was directed to ensure proper remedy and measures to be taken under the provisions of the KCS Act, by issuing notice to such persons and by identifying the persons who are responsible and guilty of such action. It is stated that the said order dtd. 24/11/2008 was confirmed in Writ Appeal No.1899 of 2008 (CS) vide order dtd. 19/12/2008. Since the enquiry was not completed as directed, few of the members of the Society have filed contempt petitions in CCC No.769 of 2009 (Civil) and CCC Nos.886-890 of 2009 (Civil). Those contempt petitions came to be disposed vide order dtd. 21/2/2012. In the meantime, the Joint Registrar of Co-operative Societies appointed Sri Nazeer Ahmed, Assistant Registrar of the Co- operative Societies (Consumer) as Enquiry Officer. The Enquiry Officer submitted his report on 16/8/2012 to the Joint Registrar of Co-operative Societies framing 11 charges against the persons concerned.

(3.) It is stated that on 26/4/2013, the Joint Registrar of the Co-operative Societies passed an order under Sec. 68 of the KCS Act and directed the Executive Committee and the Secretary of the Society to implement the directions and to file compliance report within 60 days from the date of receipt of the order. One of the directions issued by the Joint Registrar of Co-operative Societies is to prepare the list of seniority of the members as per bye-laws No.11 and 58 and to ensure formation and allotment of sites only after obtaining approval of the list by the Competent Authority. It was specifically directed that the Executing Committee shall not consider any request for allotment without preparing the seniority list of the members and without obtaining approval of the Department.