TEJAS CONSTRUCTIONS Vs. VANDAN KOHADE

JUDGEMENT

(1.) Heard the respective Counsel appearing for the parties.

(2.) The petitioners herein are challenging the order passed by Authorised Enquiry Officer dated 25-12-1999 thereby directing to conduct enquiry as contemplated by section 88 of the Maharashtra Co-operative Societies Act, 1960 (hereinafter referred to as "the Act"). The Enquiry Officer by rendering the impugned order has turned down the application presented by the petitioners objecting for continuing with an enquiry as contemplated under section 88 of the Act. The petitioner in Writ Petition No. 183 of 2000 is a firm entrusted with the contract of erection of the sugar factory whereas the petitioner in Writ Petition No. 815 of 2000 is a Company dealing with supply of machinery and equipments to respondent No. 2. It is needless to go into the factual aspects of the matter in this case, however, it will be suffice to note that the authorities of the Cooperative Department thought it fit to initiate an enquiry as contemplated under section 88 of the Act against the office bearers of the sugar factory. The Enquiry Officer was also of the opinion that the petitioners herein who were entrusted with the contract in respect of erection of the factory or supply of necessary plant and equipments to the factory were also responsible for certain misdeeds. The enquiry initiated by the authorities of the Co-operative Department by taking recourse to section 88 of the Act is on the basis of preliminary enquiry conducted under section 83 of the Act. The report submitted by the authorities of the Department after holding an enquiry under section 83 of the Act is stated to be a basis for initiation of the enquiry proceedings under section 88 of the Act. The petitioners herein have objected for continuation of enquiry against them on the ground that they cannot be proceeded with and also cannot be held responsible for any act or omission alleged against them in an enquiry initiated under section 88 of the Act. The petitioners contend that they are either the contractors appointed by the office bearers of the factory or the supplier of machinery in pursuance of the order placed on behalf of the society. The petitioners herein have no role to play the management or the conduct of business of the specified society. It is contended that the scope of enquiry under section 88 of the Act is totally different and the enquiry can be initiated only as against the past or . present office bearers of the society or against the persons who have taken part in the organization or management of the society. It is the contention of the petitioners that they are not the persons who have taken any part in the organization or the management of the society and as such they cannot be held responsible to answer the charges in the enquiry initiated under section 88 of the Act.

(3.) It would be appropriate to refer to the provisions of section 88 of the Maharashtra Co-operative Societies Act, 1960 and the same is quoted as under : "88. Power of Registrar to assess damages against delinquent promoters, etc. -