NON GAZETTED GOVERNMENT EMPLOYEES CO OPERATIVE BUILDING SOCIETY LIMITED VIJAYAWADA Vs. K RADHAKRISHNA MURTHY

JUDGEMENT

(1.) This revision-petition is directed against the order dated 9-11-1989 in E.A. No. 1076/88 in E.P. No. 578/87 in O.S. No. 1338/84 on the file of the Additional District Munsif, Vijayawada.

(2.) Petitioner is the defendant in the suit, O.S. No. 1338/84, filed by the respondent. The suit was for recovery of Rs. 7,328/-, being the balance amount deposited by the respondent-plaintiff, along with interest. Petitioner is the Non-Gazetted Government Employees Co-operative Building Society Limited, Vijayawada. The object of the petitioner-society is to carry on for the benefit of its members the trade of buying and building, selling, hiring and developing of lands in accordance with the co-operative principles and to give loans to its members for construction of new dwelling houses. Respondent is one of the members of the petitioner-society and he was allotted a plot bearing No. 18 situated at Shyamnagar, NGOs colony, Labbipet, Vijayawada. As per bye-law No. 28 (d) of the society, the society has to sue or be sued represented by its President. In this case, the respondent-plaintiff though was aware of the bye-laws deliberately filed the suit against the society represented by its Secretary, instead of President. The Secretary, one Venkateswara Reddy, seems to have colluded with the respondent-plaintiff after filing the written statement and remained ex parte permitting the decree to be passed. The Court below passed the decree on 31-7-1987 hearing the learned Counsel for the respondent-plaintiff - the petitioner/defendant having been set ex parte.

(3.) While so, the respondent-plaintiff having obtained ex parte decree filed E.P.No. 578/87 before the I Additional District Munsif's Court, Vijayawada. At that stage, the petitioner-society, being represented by its President, filed an application -E.A.No. 1076/88 -under Section 47 of the Civil Procedure Code for a declaration that the decree passed on 31-7-1987 is null and void, inexecutable, unenforceable and without jurisdiction. The ground urged by the petitioner-society before the Court below was that in terms of Section 61 (b) of the A.P. Co-operative Societies Act, any dispute between a member and the society is to be referred to the Registrar of the Co-operative Societies and that the dispute should be decided only by the Registrar and not by any other forum. It was further contended that the dispute between the respondent-plaintiff and the petitioner-society is one in the nature relating to the management and business of the society and, therefore, Civil Court is barred from entertaining suits to resolve the controversy which is directly hit by Section 61 (b) of the Co-operative Societies Act.