MALLIDI TRIPUYYAGARI VENKATA REDDY CO OPERATIVE RURAL BANK LTD Vs. A P CO OPERATIVE TRIBUNAL VISAKHAPATANAM

JUDGEMENT

(1.) LARGE number of irregularities were noticed in the functioning of Sri Mallidi tirupayyagari Vankata Reddy Co-operative rural Bank Limited, East-Godavari District (for short 'the Society' ). Inquiry under section 51 of the Andhra Pradesh Co-operative Societies Act, 1964 (for short 'the act') was ordered by the Deputy Registrar of Co-operative Societies, Amalapuram, east-Godavari District. A report was submitted by the Inquiry Officer on 6-10-2003. It was pointed out that the Ex-President, Secretary and Members of the society are responsible for large-scale defalcation of its funds, in one form or the other.

(2.) THE Society as well as the concerned authorities of the department have decided to initiate proceedings under Section 60 of the Act. However, by that time, the Secretary of the Society died. A doubt was entertained as to whether it is permissible to initiate surcharge proceedings against the legal representatives of the deceased-employee. In view of this uncertainty, the Society thought it fit to initiate proceedings against the Ex-President, Members of the Managing committee, as well as the legal representatives of the deceased-Secretary, under Section 61 of the Act, before the deputy Registrar of Co-operative Societies. The same was taken up as A. R. C. No. 87 of 2003-04. During the pendency of the A. R. C. , the Deputy Registrar ordered attachment of the properties of the Ex-President, in exercise of powers under Section 73 of the act. Through his order dated 28-5-2005, the deputy Registrar of Co-operative Societies determined the liability against the various individuals mentioned therein.

(3.) THREE separate appeals under Section 76 of the Act were preferred before the A. P. Co-operative Tribunal, Visakhapatnam (for short 'the Tribunal'), being O. A. Nos. 46,77 and 78 of 2006, by the Ex-President, members, and the legal representatives of the Secretary, respectively. In addition to that, Ex-President filed O. A. No. 136 of 2004 against the order of attachment, dated 17-12-2006. Through separate orders dated 27-4-2007, the Tribunal had allowed the o. As. W. P. Nos. 22255, 22269 and 22445 of 2007 are filed against the orders in o. A. Nos. 46, 77 and 78 of 2006, respectively, by the Society. The Ex-President filed w. P. No. 21741 of 2007, complaining that, despite the orders of the Tribunal in o. A. No. 136 of 2004, the attachment was not raised.