EDAPPAL SERVICE CO OPERATIVE BANK Vs. GENERAL MANAGER

JUDGEMENT

(1.) The Judgment Debtor in an Arbitration Award is the revision petitioner. The question posed for decision in the case is whether a civil court can execute an award passed by an Arbitrator under the Cooperative Societies Act when the Judgment Debater-Society itself is under liquidation.

(2.) The respondent in the revision obtained a decree against the petitioner Society. Petition was filed before the Sub Court, Tirur for executing the said award by attachment and sale of the Society's properties. The Judgment Debtor Society resisted the move and pointed out that since it is under liquidation, the civil court has no jurisdiction to proceed with the matter. It was also pointed out that under the Cooperative Societies Act the Liquidator alone is the person competent to handle and distribute the assets and liabilities of the Society. Continuance of the execution proceedings before the Civil Court was thus resisted.

(3.) The Court below considered the content and noted that the Liquidator had himself filed a written statement in the Arbitration Proceeding wherein the claim of the creditors had not been disputed. The contention raised was only relating to the matter of future interest and the like. The Execution Court found that the awards passed by the Arbitrator are not liable to be challenged except in the manner provided in the Act and as such only an appeal would lie before the Tribunal if liability under the award is to be challenged. It was therefore further found that a contention of the present nature cannot be raised in the execution proceedings.