DIPAKBHAI PRAHLADBHAI PATEL Vs. STATE OF GUJARAT

JUDGEMENT

(1.) In first two petitions, notice dated 24.11.2015 issued by the District Registrar under section 23 of the Gujarat Cooperative Societies Act, 1961 ("the Act") is challenged. Pending these two petitions, the State Registrar issued show cause notice dated 5.12.2015 under Section 11 of the Act to the petitioners. The petitioners, therefore, preferred the other two petitions challenging the said show cause notice dated 5.12.2013 issued by the State Registrar.

(2.) By notice issued under section 23(1) of the Act, the petitioners are asked to show cause as to why they should not be removed as members of respondent No.3 Mehsana District Central Cooperative Bank Limited ("the Bank"). In other two petitions, the petitioners are asked to state as to why they should not be removed as members of the Bank as they became members of the Bank contrary to bye-law 5(8) of the bye-laws of the Bank.

(3.) Learned Senior Advocate Mr. Mihir Joshi appearing with learned Advocate Mr. Dipan Desai for the petitioners submitted that the notice issued under Section 23 to the petitioners is without jurisdiction as the notice issued is not on the ground that the petitioners became members of the Bank by making false declaration. Mr. Joshi submitted that what is alleged in the notice is that the petitioners were inducted as members contrary to bye law No.5(8) of the Bye laws of the Bank for which powers are available under section 23 of the Act. Mr. Joshi submitted that the petitioners were inducted as members under the resolution passed by the Managing Committee and approved by the General Body of the Bank and, therefore, the only remedy available against the petitioners is to file a suit under section 96 of the Act by any of the members of the society challenging the resolution passed by the society inducting the petitioners as members of the bank. Mr. Joshi submitted that there is no false declaration on the part of the petitioners while applying for membership of the Bank. Mr. Joshi submitted that unfortunately the application seeking membership is being considered as false declaration and except the application made by the petitioners, there is no other false declaration pointed out as being alleged against the petitioners. Mr. Joshi submitted that giving membership to the petitioners was the unanimous decision of the managing committee of the society and over such decision, even if believed to be contrary to the bye laws, the Registrar has got no supervisory powers so as to annul such decision at any point of time. Mr. Joshi submitted that the action being taken is mala fide and is for collateral purposes just to see that the petitioners may not take part in the ensuing elections. Mr. Joshi therefore referred to various proceedings taken out one after another till 24.11.2015 so as to point out that the only aim behind the impugned action is with political agenda to restrain the petitioners from participating in the elections.