Nafr High Court
Case Details
Digitally signed by RAGHVENDRA JAT 2025:CGHC:4196 NAFR HIGH COURT OF CHHATTISGARH AT BILASPUR WPS No. 347 of 2025 • Lalaram Chandrakar S/o Shri Shatruhan Lal Chandrakar Aged About 34 Years R/o Village Pendrai, District Bemetara, Chhattisgarh. ... Petitioner(s) versus 1. State Of Chhattisgarh Through The Secretary, Department Of Co-Operative, Mahanadi Bhawan, New Raipur, District Raipur, Chhattisgarh. 2. Registrar Co-Operative Societies Chhattisgarh, Block -3, Second And Third Floor, Indravati Bhavan, Raipur, Chhattisgarh. 3. Divisional Joint Registrar Cooperative Societies, Durg Division, District Durg, Chhattisgarh. 4. Prescribed Authority/ Prescribed Officer Sewa Sahkari Samiti Maryadit, Umariya, Branch Dadhi, District Bemetara, Chhattisgarh. 5. Deputy Registrar Cooperative Societies Bemetara, District Bemetara, Chhattisgarh. 6. Chief Executive Officer District Cooperative Central Bank, District Durg, Chhattisgarh. ... Respondent(s) For Petitioner(s) :
Legal Reasoning
Mr. Animesh Tiwari, Advocate. For Respondent(s)/State : Ms. Akanksha Verma, Panel Lawyer. Hon’ble Mr. Justice Amitendra Kishore Prasad Order on Board 23/01/2025 1. Heard on I.A. No. 01/2025, which is an application for exemption from filing typed copy. 2. On due consideration and for the reasons mentioned in the application, I.A. No. 01/2025 is allowed. 3. By way of this petition, the petitioner has prayed for following reliefs:- “i. That, the Hon'ble Court may kindly be pleased to call for the relevant records pertaining to the instant matter. ii. That, the Hon'ble Court may kindly be pleased to quash/set aside the order dated 21.02.2024 (Annexure P/1) and direct the respondent authorities to reinstate the petitioner along with all the consequential benefits. iii. Any other relief, which this Hon'ble court deems, fit in the facts and circumstances may also be granted in favor of the petitioner.” 4. Brief facts of the case, is that, the petitioner was appointed as a Peon/Watchman in the respondent department on 28.12.2010. Since his appointment, the petitioner has diligently and faithfully discharged his duties with dedication. Recognizing his commitment and performance, he was subsequently promoted to the post of Assistant Society Manager. It is submitted that during a General Inspection of the Committee, Umaria, conducted by the Inspection Team of the respondent No. 5, it was found that the petitioner, being Assistant Committee Manager, had issued fake Kisan Credit Cards (KCC) in the names of farmers and transferred Rs. 9,46,000/- to his personal savings account. The petitioner contends that these allegations are baseless and that the impugned order was issued without conducting a proper inquiry. It is submitted that the petitioner, under duress and coercion, was compelled to admit the allegations through his letter dated 15.01.2024 and was forced to refund the alleged amount of Rs. 9,46,000/- to the bank. The petitioner was threatened and pressured into compliance, depriving him of any opportunity to present his defense or contest the accusations. Thereafter in the Committee Directors' Meeting dated 21.02.2024, a resolution was passed to suspend the petitioner with immediate effect, based solely on this forced admission, without conducting a fair inquiry or following due process. The entire process was arbitrary, unjust, and violative of the petitioner's rights. The petitioner has also submitted a representation on 20.05.2024 before Divisional Joint Registrar, requesting the cancellation of the suspension order and reinstatement in service, but no decision has been taken till date. Despite being under suspension for over nine months, no charge-sheet has been served on the petitioner, nor has been granted any subsistence allowance. This prolonged inaction and denial of subsistence allowance have caused the petitioner severe financial hardship, further compounding the arbitrariness and injustice of the suspension order which is in violation of the law laid down in Ajay Kumar Choudhary v. Union of India (2015) 7 SCC 291 wherein the Hon'ble Supreme Court while interpreting the period of suspension in the touch stone of Article 21 has held that the currency of the suspension order should not extend beyond three months if within this period, the memorandum of charges/charge sheet is not served delinquent officer/employer. In accordance with the provisions set forth in Section 48(8) of the Chhattisgarh Cooperative Societies Act, 1960, the Board of Directors of the aforementioned cooperative society has been officially superseded. This action was undertaken by the State Government, acting through the Registrar of Cooperative Societies, following careful consideration and evaluation of the prevailing circumstances surrounding the society's management. In light of these developments, the State Government has deemed it necessary to appoint Mr. Loknath Maheshwari as the prescribed authority to oversee and govern the day-to-day activities of Seva Sahkari Samiti Maryadit. It is essential to highlight the explicit guidelines set forth in Clause 17 of the 2018 service regulations, which meticulously outline the procedure for suspending an employee within the primary society. This provision underscores that any employee facing suspension for serious misconduct must first obtain prior approval from the Divisional Joint Registrar. This prerequisite not only ensures accountability but also safeguards the integrity of the suspension process. Once the necessary permission is secured, the Board of the Society is empowered. to proceed with the suspension, thereby maintaining a structured and transparent approach to disciplinary actions. This systematic framework reinforces the society's commitment to upholding ethical standards and the principles of natural justice. The rule further states that such order of suspension has to be mandatory be in written format and should also be enclosed in the personal file of the said employee. For ready reference rule 17 (1) has been reproduced below (A) There has to be action being taken against the said employee for a serious misconduct. (B) Prior permission from the Divisional Joint Registrar of Cooperative Societies shall be taken (C) The board of the society would be competent to issue the orders for suspension. It is respectfully submitted that the three critical preconditions for issuing a suspension order by the competent authority have not been satisfied in this case. First, the Board of the society, which typically holds the authority to impose such actions, has been dissolved and replaced by the prescribed authority under Clause 49(8) of the Cooperative Societies Act, as previously noted in this petition. Consequently, any suspension order should emanate from the prescribed authority exercising powers under Rule 17, rather than the dissolved Board. Second, the allegations of serious misconduct are unfounded, as neither the inquiry conducted by the District Cooperative Central Bank nor the formation of a three-member committee to investigate irregularities under the Branch Manager's supervision references the present petitioner as a wrongdoer. This absence of mention in both communications clearly indicates that no action is being proposed against the petitioner. Third, the essential requirement of obtaining prior permission from the Divisional Joint Registrar of Cooperative Societies has been entirely overlooked. Therefore, the suspension order is illegal, executed with mala fide intentions, and is non-est in the eyes of the law, warranting its quashing. In view of these clear violations of statutory provisions, procedural norms, and principles of natural justice, the petitioner respectfully prays for the quashing of the suspension order dated 21.02.2024. The petitioner also seeks restoration to their rightful position, along with all consequential benefits, to remedy the manifest injustice and harm caused by the unlawful suspension. 5. Learned counsel for the petitioner submits that the order of suspension has been passed against the Primary Krishi Sakh Sahkari Society Seva Niyam, 2018. According to petitioner before passing order of suspension Rule 17 was required to be followed and it can only be passed after getting approval from the Divisional Joint Registrar, however, that has not been done and thereafter the suspension would not be for more than 3 months and it is required to be extended it could not be extended more than 6 months. However, in the present case nothing has been done and the petitioner is suspended since 21.02.2024 as such the order dated 21.02.2024 is required to be quashed and the authorities are required to be directed to revoke the suspension of the petitioner forthwith. 6. On the other hand, learned counsel for the respondent/State submits that though rules have not been followed but looking to the acts committed by the petitioner he has rightly been suspended. 7. Since the order impugned is contrary to Rule 17 of the Service Regulations Act, 2018 as such prima facie it seems that the impugned order has been passed in an illegal and arbitrary manner without following Rule 17 of the Service Regulations Act, 2018 as such without issuing notice to respondent No. 6, the impugned order dated 21.02.2024 is hereby quashed. 8. According, the instant petition is allowed. Sd/- (Amitendra Kishore Prasad) Judge Raghu Jat