DANGETI GANAPATI RAO Vs. STATE OF A P

JUDGEMENT

(1.) Rule 22-A, Item 6 of the Andhra Pradesh Cooperative Societies Rules, 1964, is questioned in this writ petition. That rule was introduced by an amendment in G O.Ms. No. 340, Food and Agriculture (Co-op-IV). dated 30th July, 198 . It was made under sub-section (1)of Section 130 of the Andhra Pradesh Co-operative Societies Act, 1964 (Act 7 of 1964) read with Section 31.

(2.) Amadalavalasa Co-operative Agricultural Industrial Society Limited was registered under the Andhra Pradesh Co-operative Societies Act, 1964. It is running a Sugar Factory. Section 31 of the Andbra Pradesh Co-operative Societies Act, 1 64 (hereinafter referred to as the Act) provides for constitution of Committees. The general body of a society shall constitute a committee in accordance with the bye laws. For the purpose of electing members to a committee, the general body shall divide the number of members into constituencies and allot seats therefor, where the bye-laws so provide : in the absence of such bye-laws, if they elect from among all the members of the society. Bye-law 19 of the society provides for composition of Board of Directors. According to it, the Board shall consist of 19 Directors; 9 Directors have to be elected from supply members, of whom not less than 2 shall be from small farmers ; 1 Director to be elected from non-supply-members, 3 Directors to be nominated by the Government; 2 by the Industrial Finance Corporation ; 1 by the Life Insurauce Corporation ; 1 by the other Financing Corporation that has provided block capital loan ; 1 by the financing bank that has provided working capital and 1 Director to be elected from among the workmen members. It means, there will be all elected Directors and & nominated Directors.

(3.) Now according to Rule 22-A (Item 6) the Constitution of a committee of a Co-operative Sugar Factory should be as follows : The total number of seats is 23, out of which 14 are to be elected by members ; 1 to be by non-seasonal workers ; 3 are Government Directors and 5 are representatives of financing Institutions. Out of 14 elected seats, 2 are reserved for Scheduled Castes ; 1 for Scheduled Tribes and 2 for Backward Classes; and the remaining 9 are open to all. Out of the 9 seats kept open to all, 2 seats shall be reserved, one for selection of a small farmer and the other for the election of a non-supply member in respect of constituencies having the largest number of small farmers and non-supply members respectively.