H K GOPALAKRISHNA Vs. STATE OF KARNATAKA

JUDGEMENT

(1.) THIS writ petition is filed challenging Annexure -J order dated 07.12.2013 passed by the Additional Registrar of Cooperative Societies according sanction to the Secretary and the President of the 4th respondent -Society to initiate criminal and/or civil proceedings against the petitioner regarding the allegations of misappropriation and other irregularities made against the petitioner.

(2.) PETITIONER was one of the founder directors of the 4th respondent -Society. Audit of the accounts of the Society for the period during which petitioner was the executive director of the 4th respondent was conducted and certain irregularities of misappropriation of funds of the Society were found. The society intended to initiate action against the petitioner herein both under the provisions of criminal law and also before the Civil Court with regard to the allegations of misappropriation and other irregularities. Accordingly, the 4th respondent -Society sought permission/sanction to proute and to proceed against the petitioner. The Additional Registrar of Co -operative Societies -respondent No. 3 herein issued notice to the petitioner, heard him and as also the respondent -Society and thereafter passed the impugned order Annexure -J granting permission to prosecute the petitioner. The sanction has been accorded to prosecute for the offences listed under Section 109 of the Act, apparently exercising the powers conferred under Section 111 of the Act.

(3.) LEARNED Counsel for the petitioner submits that no inquiry has been held in accordance with law into the allegations made against the petitioner and there is no finding recorded holding the petitioner guilty of the allegations. Therefore, the order granting sanction to prosecute the petitioner is without any basis and is illegal. He also points out that the order of disqualification passed against the petitioner in exercise of the powers as per Section 29 -C(a) of the Act has been set aside by this Court in W.P. No. 36279/2014 on 09.09.2014 and therefore, petitioner is entitled to succeed in this writ petition as there is no adverse finding so far recorded against the petitioner holding him guilty of the allegations of misappropriation.