REGISTRAR OF CO OP SOC Vs. SASI

JUDGEMENT

(1.) The 2nd respondent in O.P.No.9596 of 1992 is the appellant and in this appeal, he has challenged the order passed on C.M.P.No. 16686 of 1992 dated 26-8-1992.

(2.) RAIDCO (Regional Agro-Industrial Development Cooperative Ltd.) is a society registered under the Cooperative Societies Act Under bye law No.20 marked as Ext. P2 in the O.P. the management of the society is vested in a Board of Directors consisting of 11 members of whom nine arc elected directors and two ex officio directors. Eight among them are to be elected from among the delegates of the affiliated societies (A class members) and one, director from among the individual members (B class members). The ex officio directors are the Project Officer, Small Farmers Development Agency, Cannanore, and the President, Cannanore District Cooperative Central Bank Ltd., Cannanore. The last election to the Board of Directors was held on 12-8-1990. The term of the Board of Directors was held on 12-8-1990. The term of the Board of Directors was three years. One of the directors namely K.V. Moosankutty, died on 27-12-1991 and the resultant vacancy had not been filled up.

(3.) The appellant was stated to have received a report from the 3rd respondent in the O.P., the Joint Registrar of Cooperative Societies Cannanore, on 22-7-1992 to the effect that five of the elected directors had ceased to be members of the Board under R.46(f) of the Kerala Cooperative Societies Rules (for short, the 'Rules'), that one Shri M.C. Jose, another elected member, had sent him his resignation, that following the appointment of an Administrator to run the District Cooperative Central Bank, its President had ceased to be an ex officio director of the Board, and therefore, its membership had been reduced to three which could not constitute the quorum of six as provided in S.28(5) of the Kerala Cooperative Societies Act, (for short, the 'Act'). The management of RAIDCO could not therefore be lawfully, and effectively conducted. In the above circumstances, he found it necessary to invoke his jurisdiction under S.33 of the Act and passed Ext. P1 by which he appointed the 3rd respondent as part-time Administrator for a period of six months or till an elected Board took charge whichever was earlier. This was done, according to him, "to remove the administrative stalemate in the society". That order is under challenge in the O.P. on several grounds whose tenability and correctness do not fall for consideration now in this appeal.