M N NARASAMMA Vs. H C M SOCIETY

JUDGEMENT

(1.) The petitioners are the legal representatives of one Mr. Lakshmikantayya, the accountant of the 1st respondent-Society. In an enquiry under Section 51 of the A. P. Co-operative Societies Act, he was found to have misappropriated an amount of Rs. 8,484/-. Thereafter, three proceedings were taken against the petitioner, viz., taking disciplinary action by keeping him under suspension, referring the matter to the popice for investigation and filing a charge sheet Under Section 409, I. P. C. and then taking arbitration proceedings under Section 61 of the Co-operative Societies Act. The Criminal Court, ultimately, in appeal, had acquitted the accused. In the enquiry under Section 61, he was found liable for the payment 6f the amounts, against which, an appeal was filed, and in the appeal, the Same was confirmed. Pending appeal, he died. His legal representatives were brought on record. After the disposal of the appeal, execution was laid. On the petitioners becoming ware of it, they sought to be implead. They filed a revision before this Court, and this Court set aside the award of the appellate Court, remitting the matter to the appellate Court for disposal afresh. Assailing the legality thereof, this writ petition has been filed.

(2.) The contention of Shri Sivarama Sastry, learned counsel for the petitioner, is that once the delinquent has been acquitted by the Criminal Court, the Tribunal below has no jurisdiction to go into the question for the recovery of the amount, since the order of acquittal is on merits. It is now well settled that the findings of the Criminal Court is not binding on the Civil Court. The liability here is one of civil in nature. Therefore, but for Section 61, it is a matter triable by a Civil Court.

(3.) Therefore, merely because the Criminal Court has acquitted the delinquent, the jurisdiction of the Civil Court is not taken away to go into the question of determining the civil liability of the delinquent-accountant.