GOPAL KRISHNA VISHWESHWAR JADDIPAL Vs. YELLAPUR TALUK AGRICULTURAL PRODUCE CO OPERATIVE MARKETING SOCIETY LTD

JUDGEMENT

(1.) These two petitions can be disposed of by a common order as the subject matter involved is common to bqth. The petitions are directed against a common order made by the Mysore, Co-operative Appellate; Tribunal, Bangalore, in appeal petition Nos. 552 and 593 of 1970 and appeal No. 50 of 1971.

(2.) These, three appeals came to, be filed in the following circumstances. The petitioners in WP.270 of 1972 were the Directors and the petitioner in WP.734 of 1972 was the Chairman of Yellapur Agricultural Produce Co-operative Marketing Society Ltd., (hereinafter referred to as the Society). On 1-11-1968, they participated at a meeting in which a resolution was passed granting a loan of Rs.32,000 to one Viswanatha, Narayana Bhat, on the security of a forest land situated in another taluk admeasuring 1A. 3Gs. The purpose of the loan had been stated as the development of that land. In respect of the said loan Narayan Mahabala Bhat the father of the borrower stood as surety. The said loan, apart from a payment of Rs.600, has remained unpaid even to this day. Sometime subsequent to the advance of such loan, the, Society was superseded and an administrator came to be appointed. It is the case of the Society that such administrator on an examination of the records available in the Society discovered that there was a serious irregularity committed by the Directors in granting the aforesaid loan. The irregularity in effect is a contravention of the bye-laws governing the business of the Society which had provided for the advancing of loans on the security of produce or other goods. He, therefore, lodged a, dispute before the concerned Assistant Registrar of Co-operative; Societies, against the petitioners in both these petitions and the borrower and the surety. In addition, he has also made a claim against one S. M. Bhat, described as an ex-manager of the, Society. The said dispute stood referred to an arbitrator under S.71 of the Mysore Co-operative Societies Act (hereinafter referred to as the Act). The case of the Society against these persons together had been not only based on the actual documents relating to, the borrowal but also the liability created pursuant to Bye-law 37. The arbitrator made an award in respect of the balance; of the amount lent and the interest that had accrued thereon till the date of the dispute, and directed the payment of the same with future interest. The said award was against all the persons impleaded as defendants or counter petitioners before the Registrar in such dispute. Aggrieved by the afqresaid award, three appeals were filed by the Chairman, the Directors and the ex-manager. The appeal relative to the ex-manager was before the Mysore Co-operative Appellate Tribunal. The appeal lodged by the ex-manager is in Appeal Petition 552 of 1970. The Tribunal accepted the appeal of the ex-manager and rejected the other two appeals of the Chairman and the Directors. Against the order made by the Tribunal, the present two petitions have been filed, one of them under Art.226 and the qther under Art.227 of the Constitution.

(3.) It is seen from these petitions that the ex-imanager who had nothing to do with the controversies between the petitioners on the one side and the Society and the borrower and the surety on the other, has been impleaded as a party. In my opinion, he is clearly an unnecessary party to the proceedings. The petitions therefore are dismissed as against him with costs, Counsel's fee Rs.100 (one set).