K SOMARAJAN Vs. STATE OF KERALA

JUDGEMENT

(1.) The question that has come up for consideration in this batch of cases is whether a Society which has not renewed its affiliation with the State Co-operative Union as per Sub-section(2) of Section 90 of the Kerala Co-operative Societies Act, 1969 (for short "the Act") and is not functioning shall have the right to vote and contest the election in the Circle Co-operative Union.

(2.) Learned single Judge of this Court in Raju John v. Assistant Registrar of Cooperative Societies 1991 (1) KLJ 693 has taken the view that failure to renew the affiliation with the State Co-operative Union would not take away the right to vote and contest the election in the Circle Co-operative Union but only take away the privileges enumerated in Sections 35 to 41 of Chapter V of the Act. Justice M. Ramachandran, another Judge of this Court in Sudhakara Kurup v. Returning Officer referring to the above mentioned decision has also taken the same view holding that non affiliation or non renewal of affiliation would operate only in a limited field, and that the right to vote and participate in the election to the Circle Co-operative Union would not be lost. Justice P.R. Raman, while dealing with similar question, noticed that Raju John's case was decided on the interpretation of Section 90 of the Act and felt that the impact of Sub-section (5) of Section 88 of the Act which confers right to vote only to the affiliated society was omitted to be considered in the earlier decisions and hence calls for an authoritative pronouncement by the Division Bench. Later, the learned Judge who authored Sudhakara Kurup's case also has referred similar matters to Division Bench and hence these matters have been placed before us.

(3.) Government in exercise of the powers conferred under Section 89 of the Act has established the State Co-operative Union by notification in the gazette so as to organise, assist and generally develop co-operative societies to carry on co-operative agenda, to spread education on co-operative principles and practices, to participate in the development activities and decentralised planning of local authorities and to perform other functions prescribed. State Co-operative Union consists of (a) a general body, and (b) a managing committee. Each of the Circle Co-operative Union, Apex Societies, District Co-operative Banks and Central Societies other than the District Co-operative Banks shall elect a delegate in such a manner as may be prescribed, and all such delegates, the employees' representatives, the representative of the women members, the representatives of the members belonging to scheduled castes and scheduled tribes, the ex-officio members and the Government nominees in the managing committee of the State Co-operative Union shall constitute the general body of the State Co-operative Union. Section 90 of the Act deals with affiliation of Co-operative Societies with State Cooperative Union, which states that every Co-operative Society in the State shall, within a period of six months from the commencement of the Act or within a period of six months from the date of its registration, whichever period expires later, get itself affiliated to the State Co-operative Union. Sub-section (2) of Section 90 states that the affiliation under Sub-section (1) shall be in force for a period of one year from the date of affiliation and shall be renewed on the date of expiry of that period. Sub-section (4) of Section 90 states that if any Co-operative Society fails to affiliate to the State Co-operative Union as required by Sub-section (1) or to renew such affiliation as required by Sub-section (2), such society shall not be entitled to any of the privileges conferred on a co-operative society under Chapter V of the Act. Consequence of non renewal is therefore provided in Sub-section (4) of Section 90. Raju John's case (supra) was decided on 6.3.1991 holding that the only consequence of non affiliation or renewal of affiliation would be that the society would not be entitled to enjoy the privileges enumerated in Chapter V of the Act. Subsequent to the decision in Raju John's case, supra, it may be pointed out that an amendment was effected to Section 88 by Act 15 of 1997 published in the gazette dated 29.12.1997 with effect from 3.6.1997 of which we are concerned with Sub-section (5) of Section 88. Section 88 is extracted below for easy reference.