LAWS(GJH)-2020-11-27

MEHSANA DISTRICT COOPERATIVE MILK PRODUCERS UNION LIMITED Vs. REGISTRAR, CO-OPERATIVE SOCIETIES, GUJARAT STATE

Decided On November 06, 2020
Mehsana District Cooperative Milk Producers Union Limited Appellant
V/S
Registrar, Co-Operative Societies, Gujarat State Respondents

JUDGEMENT

(1.) RULE. Learned Assistant Government Pleader, Mr. Vinay Vishen waives service of rule on behalf of the Respondent No.1 - State and learned Advocate, Mr. Shivang P. Jani waives service of rule on behalf of the Respondent Nos. 2, 3 and 4.

(2.) This petition was initially filed challenging the issuance of the Show Cause Notice dated 27-07-2020 under Section-81 of Gujarat Co-operative Societies Act, 1961, which raises 13 charges against the petitioner - Society and its Committee Members. Pending the petition, as the respondent No.1 proceeded to render the decision, that the Show Cause Notice and the amendment caused in the petition and the petitioner also seeks to challenge such decision of the respondent No.1 dated 05-09-2020 Submissions of the Learned Senior Advocate, Mr. Mihir Joshi, assisted by Mr. Dipen Desai for the Petitioners- Milk Union

(3.) Learned Senior Advocate for the petitioners - Milk Union submitted that as per Section-74(C)(2) the term of the Managing Committee is five years from the date of election and therefore the term is to expire en 27.11.2020. Therefore, since the election is due, the impugned action for appointment of administrator is taken so that the elections are held under the aegis and supervision of the State appointed administrator who can control the elections. It is submitted that as per the bye-laws, more particularly bye-law no.35(1)(c), one Director is a representative nominated by the Registrar in the managing committee. Therefore, one of the Board member is a nominee of the Registrar and hence, the Registrar cannot initiate proceedings against the Board of Directors of which his own nominee is a member. It is submitted that Section 81 of the Act which provides that where the Registrar is member of the Managing Committee of the Society, the State Government shall have power to invoke Section 81 of Gujarat Co-operative Societies Act, 1961 and in respect of other societies, the Registrar would have power to invoke Section-81 of Gujarat Co-operative Societies Act, 1961. The Registrar being a member of the Committee of Management, the Registrar had no power to initiate the proceedings under Section-81 of Gujarat Co-operative Societies Act, 1961.