PADMALOCHAN PANDA Vs. STATE OF ORISSA

JUDGEMENT

(1.) The President and four other Directors of Balasore Central Co-operative Bank Ltd. (under suspension) have filed this writ application challenging the legality and propriety of the order dated April 10, 2000 passed by the Registrar, Co-operative Societies, Orissa in exercise of its power under Section 32(7) of the Orissa Co-operative Societies Act, 1962 (hereinafter referred to as to the 'Act') suspending the Committee of Management of the District Central Co-operative Bank Ltd., Balasore (hereinafter called as the 'Bank') and appointing the Deputy Registrar of Co-operative Societies, Balasore Division to manage the affairs of the said Bank in its place.

(2.) Mr. Acharya, learned Advocate appearing for the petitioners has mainly urged the following grounds assailing the impugned order of suspension :(i) The impugned order does not disclose the necessary satisfaction or formation of opinion as is required for the purpose of invoking the extraordinary power given under Section 32(7) of the Act.(ii) On the basis of the allegations as contained in the impugned order, there cannot be any bona fide opinion or satisfaction that further continuance of the Committee of Management during the proceeding for supersession would be detrimental to the interest of the Society.(iii) The impugned order is wholly mala fide and actuated by extraneous considerations and political motive.

(3.) In response to the notice of this writ application the opposite party No. 2 has filed a counter affidavit by Sri Janaki Prasad Choudhary, Deputy Registrar, Co-operative Societies (Credit). In the said counter affidavit several allegations which have not been mentioned in the impugned order as issued, have been made against the management of the Bank in support of exercise of the power of suspension under Section 32(7) of the Act. The relevant file relating to passing of the impugned order has also been placed before us.