KAMASAMUDRA VYAVASAYA SEVA SAHAKARA SANGHA LTD v. THE STATE OF KARNATAKA

The Petitioner in W.P.No.20877/2024 is before this Court seeking for the following reliefs: a. Call for records in related to the proceedings bearing No. CO.100CCB2024 dated 29.07.2024; b. c. Issue writ in the nature of certiorari to quash the letter dated 29.07.2024 in CO.100CCB2024 issued by the R1 as per Annexure-K and order passed by the R2 Joint Registrar of Co-operative Societies dated 30.7.2024 JRB/AA.MAM.RA/28- in No. A(5)/21/2023-24 as per Annexure-L Issue any other appropriate writ or order or direction as this Hon’ble Court deems fit and proper in the facts and circumstances of the case and allow this writ petition in the ends of justice and equity.

The Petitioner in W.P.No.23569/2024 is before this Court seeking for the following reliefs: i. Call for records in related to the proceedings bearing No. CO.100CCB2024 dated 29.07.2024; ii. Issue writ in the nature of certiorari to quash the letter dated 29.07.2024 in CO.100CCB2024 issued by the R1 as per Annexure-K and order passed by the R2 Joint Registrar of Co-operative Societies dated 30.7.2024 JRB/AA.MAM.RA/28- in No. A(5)/21/2023-24 as per Annexure-L - 5 - NC: 2025:KHC:18132 WP No. 20877 of 2024 C/W WP No. 23569 of 2024 iii. Issue any other appropriate writ or order or direction as this Hon’ble Court deems fit and proper in the facts and circumstances of the case and allow this writ petition in the ends of justice and equity. FACTS IN W.P. No.20877/2024:

The Petitioner claims to be a primary society and a member of the Respondent No.4-Kolar and Chikkaballapur Co-operative Bank [hereinafter referred to as ‘DCC Bank’]. The term of the elected body of DCC Bank expired on 17.11.2023; consequent upon the expiry, the Deputy Registrar of Co-operative Societies, Bangalore District, [hereinafter referred to as ‘DRCS’] appointed an Administrator in terms of Section 28A(5) of the Karnataka Co-operative Societies Act, 1959 [hereinafter referred to as ‘KCS Act’].

Elections were required to be held, and a resolution of the Board was passed on 23.03.2023 to that effect. The Board had on 08.05.2023 called for information to provide for a Group-A officer to be appointed as the returning officer. Meanwhile, the - 6 - NC: 2025:KHC:18132 WP No. 20877 of 2024 C/W WP No. 23569 of 2024 term of the Managing Committee expired on

17.11.2023. Prior to such expiry, the Assistant Commissioner, Kolar Sub-division was designated as its returning officer.

The process of election being taken up, the preparation of voters list was going on, due to the intervention of the Parliamentary election in the year 2024, the election of all Co-operative societies was postponed a Government Order

06.06.2024.

Upon the expiry of the period of postponement, elections were required to be held. However, it is contended that the Administrator appointed in terms of Section 28A(5) was lethargic and did not complete the process of election. Hence, the DCC Bank had approached this court in WP No. 23677 of 2023 and sought for directions to complete the process of election in a time bound manner. The said writ petition came to be disposed on 03.07.2024 with a direction the State Co-operation Election - 7 - NC: 2025:KHC:18132 WP No. 20877 of 2024 C/W WP No. 23569 of 2024 Authority, Regional Commissioner, Bangalore Division and the Apex Co-operative Societies Election Officer to continue the process of election in respect of the DCC Bank from the stage it was halted.

The District Election Officer was directed to ensure that the process of election shall be continued and ensure the election will conclude as expeditiously as possible, at any rate, within a period of three months from the date of receipt of a copy of the order. While doing so, this Court also referred to an earlier order in W.P. No. 15653 of 2024, which was disposed of on 19.06.2024, when a similar direction had been issued to the State Co-operative Election Authority, Regional Commissioner, Bengaluru Division and Apex Co-operative Societies, Election Officer to continue the process of election.

In pursuance of the said directions, a revised notification in Form No.11 was notified by the - 8 - NC: 2025:KHC:18132 WP No. 20877 of 2024 C/W WP No. 23569 of 2024 election authorities for the Federal societies on

10.07.2024 in terms of Rule 14(1) of the Karnataka Co-operative Societies Rules, 1959 [hereinafter referred to as ‘KCS Rules’].

On the same day, another notification had been issued there being certain contradictions, the same

was challenged by the DCC Bank in WP No. 18829 of 2024, which came to be disposed of on 16.07.2024 directing the District Election Officer to comply with the direction issued by the Co-operative Election Authority in terms of the communication dated

15.07.2024, having regard to the earlier orders passed in WP No. 20454.

At stage, the Secretary Co-operation Department, vide letter dated 29.7.2024, recommended that the Regional Commissioner, Bangalore Region, appointed Administrator. Respondent No.2 - Joint Registrar of Co-operative Societies [hereinafter referred to as ‘JRCS’] passed an order on 20.7.2024, appointing - 9 - NC: 2025:KHC:18132 WP No. 20877 of 2024 C/W WP No. 23569 of 2024 the named officer, who the Regional Commissioner, as the Administrator of Respondent No.4.

It is aggrieved by the said appointment of the Regional Commissioner, Bangalore Division as the Administrator that the Petitioners are before this court.

WP No. 23569 has also been filed for similar reliefs. The facts as stated therein are more or less identical to those stated in W.P. No.20877 of 2024.

Sri. M.R. Rajagopal, learned Senior Counsel appearing for the Petitioner in W.P. No. 20877 of 2024, would submit that;

13.1. Respondent No.4-JRCS has not applied his independent mind, but has acted on the instruction of Respondent No. 1, Secretary. A letter having been issued by the Secretary on

29.07.2024, JRCS has issued appointment order on 30.07.2024. There is no requirement for the JRCS to have issued such - 10 - NC: 2025:KHC:18132 WP No. 20877 of 2024 C/W WP No. 23569 of 2024 an order of appointment. Firstly, there is no independent application of mind, secondly, a senior IAS officer could not be appointed as an administrator by the JRCS who is junior in rank.

13.2. The term of the elected members having expired on 17.11.2023, the elected members having taken steps for holding of elections prior to the expiry of the term, it was only on account of the intervention of the parliamentary election that the election was postponed. The elected members were not responsible for the delay, irrespective of which an administrator under Section 28A(5) has been appointed. Now when the elections are required to be held, an administrator of an IAS officer cadre has been appointed only to delay the matter. The dates etc. having been fixed, it indicates that the State by such appointment at such a belated stage wishes only to delay the election. - 11 - NC: 2025:KHC:18132 WP No. 20877 of 2024 C/W WP No. 23569 of 2024

13.3. A junior officer cannot appoint a senior officer as an administrator since the said Administrator is required to act under the supervision of the Registrar who is a junior officer. In this regard he relies upon the decision of the Hon’ble Apex Court in Air Line Pilots' Assn. of India v. DGCA 1, more particularly para nos. 26 to 28 thereof, which are reproduced hereunder for easy reference:

The contention was raised before the High Court that the Circular dated 29-5-2008 has been issued by the authority having no competence, thus cannot be enforced. It is a settled legal proposition that the authority which has been conferred with competence under the statute alone can pass the order. No other person, even a superior authority, can interfere with the functioning of the statutory authority. In a democratic set-up like ours, persons occupying key positions are not supposed mortgage their discretion, volition and decision- making authority and be prepared to give way to carry out commands having no sanctity in law. Thus, if any decision is taken by a statutory authority at the behest or on suggestion of a person who has no statutory role to play, the same would be patently illegal. (Vide Purtabpore Co. Ltd. v. Cane Commr. of Bihar [(1969) 1 SCC 308 : AIR 1970 SC 1896] , Chandrika Jha v. State of Bihar [(1984) 2 SCC 41 : AIR 1984 SC 322] , Tarlochan Dev Sharma v. State 1 (2011) 5 SCC 435 - 12 - NC: 2025:KHC:18132 WP No. 20877 of 2024 C/W WP No. 23569 of 2024 ORDER i. Writ Petition Nos. 20877/2024 and 23569/2025 are dismissed. - 76 - NC: 2025:KHC:18132 WP No. 20877 of 2024 C/W WP No. 23569 of 2024 ii. The Administrator is directed to conduct the elections as expeditiously as possible in terms of the calendar of events filed before the contempt court and ensure that the election is carried out and conducted in a free, fair, transparent, lawful and peaceful manner. Sd/- (SURAJ GOVINDARAJ) JUDGE LN, List No.: 1 Sl No.: 35