PRESIDENT AND DISCIPLINARY AUTHORITY MERCHANTS SOUHARDA SAHAKARA BANK NIYAMITA Vs. CHIEF EXECUTIVE OFFICER MERCHANTS SOUHARDA SAHAKARA BANK NIYAMITA

JUDGEMENT

(1.) Petitioner No.1 is the President of the Merchants' Souharda Sahakara Bank Niyamita. 2nd petitioner is its Chief Executive Officer. They have filed this Writ Petition challenging the order passed by the Karnataka Appellate Tribunal in Appeal No.452/2010 on 12.01.2016 thereby setting aside the order passed by the Joint Registrar of Co-operative Societies-respondent No.2 herein and directing reinstatement of the 1st respondent into service with all service and financial benefits but reserving liberty in favour of the Bank to continue the domestic enquiry from the stage at which it had been stopped, by affording an opportunity to the official to defend himself against the charges leveled against him.

(2.) Briefly stated, the facts involved in the case are that respondent No.1 was working as Head Cashier in the Merchants' Souharda Sahakara Bank Niyamita, Chitradurga. He was placed under suspension on 29.03.2006 pending criminal investigation and disciplinary enquiry. A charge sheet dated 24.07.2007 was issued alleging that he had committed misconduct in not discharging his duties as a responsible and trustworthy official of the Bank as he had indulged in irregularities with regard to alleged loss of Rs.10 lakhs.

(3.) In the enquiry three witnesses were examined. The three witnesses in their allegedly deposition admitted that respondent No.1 was not responsible for the loss caused to the Bank. At this stage, the enquiry was abandoned by the Bank and the Bank proceeded to pass an order dismissing respondent No.1 from his service vide order dated 24.10.2008. Respondent No.1 raised a dispute before the Joint Registrar of Co-operative Societies under Section 39 of the Karnataka Souharda Sahakari Act, 1997.