High Court of KeralaSingle JudgeWrit petition allowed; Ext.P1 and Ext.P5 quashe...

W.P.(C)No.17721/2022

Case / Petition Number:W.P.(C)No.17721/2022

Case Details & Bench

Court
High Court of Kerala
Hon'ble Judges
  • T. R. Ravi
Judgment Date
2022-11-15
Court Decision / Holding
Ext.P1 notice and Ext.P5 order quashed; writ petition allowed; however, respondents may pursue action under Rule 16(3) if the factual situation warrants; elections should be conducted per interim orders issued in earlier W.P.(C) No. 24563/2021. The relief granted is limited to due process and does not preclude future lawful removals.
Final Disposition
Writ petition allowed; Ext.P1 and Ext.P5 quashed; right to remove under Rule 16(3) preserved if facts warrant; relief not extended to other members; elections to be conducted as per interim orders previously issued.

Parties to the Case

Appellants / Petitioners

  • George Kutty C

Respondents

  • Deputy Director, Dairy Development Department Kollam District
  • Dairy Extension Officer, Dairy Development Department, Chathannoor, Kollam District
  • Chirakkara Ksheerolpadaka Sahakarana Sangham Ltd
  • The Administrator, Chirakkara Ksheerolpadaka Sahakarana Sangham Ltd

Legal Representation & Advocates

Counsels for Petitioners

  • • K.S.Mohamed Hashim

Counsels for Respondents

  • • Jaffer Khan, Senior Government Pleader
  • • S. Sreekumar (Kollam)

Case Synopsis & Summary

The writ petition by George Kutty C challenges Ext.P1 notice dated 10 December 2021 and Ext.P5 order dated 15 March 2022 issued by the Deputy Director, Dairy Development Department, Kollam, removing him from membership of Chirakkara Ksheerolpadaka Sahakarana Sangham Ltd (3rd respondent). The Society has been under Administrator since 12 October 2021; petitioner joined in 2019. It is contended that only 31 active members exist and that Ext.P1/Ext.P5 refer to membership ineligibility under Rule 16 of the Kerala Cooperative Societies Rules, 1969. The respondents contend that membership is governed by the Kerala Co-operative Societies Act, 1969 and the Rules, with eligibility criteria in Sections 2(l) and 16 and byelaws permitting removal of ineligible members under Rule 16, including Rule 16(3) and Rule 16(4). They cite Kunhiraman Nair v. Joint Registrar (2002 KHC 393) and Gopinathan Nair v. Joint Registrar (2002 KHC 515) to support powers to remove. The court analyzes whether Rule 16(4) is applicable (ineligibility discovered after admission) or whether Rule 16(3) (action by the Committee/Administrator) should govern. It notes there was no Committee in office to initiate Rule 16(3) action and that there is no evidence of ineligibility at admission or subsequent dual membership. Consequently the petition is allowed; Ext.P1 and Ext.P5 are quashed, though action under Rule 16(3) may be taken if factual circumstances warrant. The court clarifies this does not prevent future lawful removals.

Provisions of Law Cited

Kerala Co-operative Societies Act, 1969 - Section 2(l) - definition of a memberKerala Co-operative Societies Act, 1969 - Section 16 - eligibility of a memberKerala Co-operative Societies Rules, 1969 - Rule 16(1)(c)Kerala Co-operative Societies Rules, 1969 - Rule 16(2)(b)Kerala Co-operative Societies Rules, 1969 - Rule 16(3)Kerala Co-operative Societies Rules, 1969 - Rule 16(4)Byelaws of Chirakkara Ksheerolpadaka Sahakarana Sangham Ltd - Clause 3.1(1)

Submissions & Arguments

Contentions of Appellants / Petitioners

The petitioner submits that Ext.P1 and Ext.P5 invoke Rule 16(4) without following the due process under Rule 16(3). There is no evidence that the petitioner was ineligible at the time of admission or that he acquired ineligibility subsequently (e.g., residence outside the Society’s jurisdiction or dual membership). There is no Committee in office to initiate action under Rule 16(3); interim orders in W.P.(C) No. 24563/2021 directed the Administrator not to take policy decisions or conduct elections; the notices seek to remove membership in absence of a proper procedure, risking arbitrary action and undermining the right to elections. The petitioner seeks quashing of Ext.P1 and Ext.P5 and a direction to act under Rule 16(3) only when a proper Committee/adjudicator exists. The relief should not extend to other members without their aggrieved status being established.

Contentions of Respondents

The respondents contend that membership is defined by the Act, Rules, and byelaws; the Registrar/Administrator have power to remove an ineligible member. A report found several members not residing within the Society’s jurisdiction and some with dual memberships; notices were issued to test eligibility. They rely on Kunhiraman Nair v. Joint Registrar and Gopinathan Nair v. Joint Registrar to justify that removal powers exist. They submit that Rule 16(4) applies to ineligibility discovered post admission; action under Rule 16(3) is a matter for the Committee/Administrator, which, in this case, is governed by the Rules and the byelaws. The absence of a functioning Committee does not erase the legal framework, and the court should permit due process-based actions under Rule 16(3).

Cited Precedents (2)

Case NameCitationTreatmentExplanation
Kunhiraman Nair v. Joint Registrar2002 KHC 393PositiveCited to support that removal can be based on ineligibility and that power exists under the statutory framework; used to justify the respondents’ position on removal powers.
Gopinathan Nair v. Joint Registrar2002 KHC 515PositiveCited to support power of Registrar/Administrator to remove a member; used to justify authority to remove under the Act/Rules.

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Extracted Judgment Text

Exact text extracted from official judgment records.

W.P.(C)No.17721/2022 1 ## **IN THE HIGH COURT OF KERALA AT ERNAKULAM** ## **PRESENT** ## **THE HONOURABLE MR. JUSTICE T.R.RAVI** ## **TUESDAY, THE 15[TH] DAY OF NOVEMBER 2022 / 24TH KARTHIKA, 1944** ## **WP(C) NO. 17721 OF 2022** ## **PETITIONER:** MR.GEORGE KUTTY C AGED 62 YEARS S/O. G. CHACKO, THENGUVILATHEKKETHIL VEEDU, VARINJAM, KARAMCODE P.O, KOLLAM DISTRICT, PIN - 691579. BY ADV K.S.MOHAMED HASHIM ## **RESPONDENTS:** - 1 THE DEPUTY DIRECTOR, DAIRY DEVELOPMENT DEPARTMENT KOLLAM DISTRICT, MUNDAKKAL, KOLLAM, PIN - 691001. - 2 DAIRY EXTENSION OFFICER, DAIRY DEVELOPMENT DEPARTMENT, CHATHANNOOR, CHATHANNOOR P.O, KOLLAM DISTRICT, PIN - 691572. - 3 CHIRAKKARA KSHEEROLPADAKA SAHAKARANA SANGHAM LTD, NO. Q 352(D), APCOS, CHIRAKKARA, CHIRAKKARA P.O, KOLLAM DISTRICT, PIN - 691578, REPRESENTED BY ITS SECRETARY, - 4 THE ADMINISTRATOR, CHIRAKKARA KSHEEROLPADAKA SAHAKARANA SANGHAM LTD, NO. Q 352(D), APCOS, CHIRAKKARA, CHIRAKKARA P.O, KOLLAM DISTRICT, PIN - 691578, BY SRI JAFFER KHAN, SENIOR GOVT.PLEADER ADV SRI S.SREEKUMAR (KOLLAM) THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 28.6.2022, THE COURT ON 15.11.2022 DELIVERED THE FOLLOWING: W.P.(C)No.17721/2022 2 ## **T.R. RAVI, J.** **--------------------------------------------** W.P.(C)No.17721 of 2022 -------------------------------------------Dated this the 15th day of November, 2022 ## **JUDGMENT** The writ petition has been filed praying for quashing Ext.P1 notice and Ext.P5 order, whereby the petitioner has been removed from the membership of the 3[rd] respondent Society. The petitioner became a member of the Society in the year 2019. From 12.10.2021 the Society has been governed by an Administrator. According to the petitioner, there are only 31 active members in the Society in terms of the byelaws. The first respondent issued Ext.P1 notice on 10.12.2021, calling upon the petitioner to show cause why he should not be removed from the membership. It is stated that similar notices were issued to 24 other persons mentioned in Ext.P7. Ext.P4 is the explanation submitted by the petitioner to Ext.P1 notice. By Ext.P5 order dated 15.3.2022, the first respondent removed the petitioner from the membership by invoking Rule 16 of the Kerala Cooperative Societies Rules, 1969 (hereinafter referred to as the Rules), on the complaint submitted by the Administrator of the Society. The first respondent has also removed 24 others, whose names have been mentioned in Ext.P7. The petitioner contends that Ext.P1 and Ext.P5 are in defiance of the interim order dated 6.12.2021 and the W.P.(C)No.17721/2022 3 judgment dated 15.3.2022 issued in W.P.(C)No.24563 of 2021. It is contended that since this Court had directed the Administrator not to take any policy decision and further directed to conduct the election to the Managing Committee, orders removing persons from the membership should not have been issued. It is submitted that the intention is to avoid election. 2. The first respondent has filed a counter affidavit. It is submitted that Section 2(l) of the Kerala Co-operative Societies Act, 1969 (hereinafter referred to as the Act) defines a "member" as a person who has been admitted to membership in accordance with the Act, Rules and the byelaws. Section 16 of the Act provides for the eligibility of a member. One of the mandates is that only persons who reside within the area of operation of the Society shall be admitted as a member of the Society. It is submitted that under Rule 16(1)(c) a person intended to become a member of a Society has to satisfy all the conditions laid down in the Act, Rules, and byelaws. As per Rule 16 (2)(b), no person shall be eligible to become a member, if he is not a resident or does not own or possess land within the area of operation of the Society. Clause 3.1(1) of the byelaws of the Society also says that membership shall only be to persons who are residing within the area of operation of the Society. The relevant pages of the byelaws have been produced as an exhibit along with the counter affidavit. It is stated that the second respondent, after taking note of W.P.(C)No.17721/2022 4 a complaint regarding the inclusion of ineligible members in the Society, had conducted an enquiry and submitted the report before the first respondent for further action. The report is produced along with the counter affidavit. As per the report, 34 persons had obtained membership in the Society in violation of the Act, Rules, and byelaws. It is stated in the report that the said persons are not residing within the jurisdiction of the Society. It is also submitted that some of the members among the said 34 persons are holding dual membership. The counter affidavit of the first respondent refers to the judgment in **Kunjiraman Nair vs. Joint Registrar [2002 KHC 393]** , wherein it is held by this Court that a person becomes ineligible for both the reasons of dual membership either at the time of admission in the Society or subsequent acquisition of membership in a Society. Reference is also made to the decision in **Gopinathan Nair v. Joint** **Registrar [2002 KHC 515]** , to submit that the Registrar as well as the Administrator/ Administrative Committee have the necessary power to remove a person from membership. It is further stated that notice was issued to the 34 members asking them to prove their eligibility to continue as members. Ext.R1(e) produced along with the counter affidavit is the reply submitted by the petitioner. Ext.R1(f) is the information received from the Elamkulam-Nadakkal Ksheerolpadaka Cooperative Society stating that 3 persons who have membership in the 3[rd] respondent Society are also members of the W.P.(C)No.17721/2022 5 said Society. Ext.R1(g) is the information received from the Varinjam Milk Producers’ Co-operative Society wherein it is stated that 10 persons including the petitioner in the writ petition are members of the Society. It is seen that the membership of the petitioner is with effect from 11.5.2016. That is to say, the petitioner was a member of the said Society at the time he was inducted as a member of the 3[rd] respondent Society. The 3[rd] respondent has also filed a counter affidavit, in line with the contentions stated in the counter affidavit of the 1[st] respondent. 3. Heard the counsel for the petitioner, Sri Jaffer Khan, Senior Government Pleader for respondents 1 and 2 and Sri S.Sreekumar (Kollam) on behalf of respondents 3 and 4. 4. The main contention raised by the counsel for the petitioner is that Rule 16(4) of the Rules applies to persons who have become ineligible, subsequent to being admitted as member. Both Exts.P1 and P5 refer only to Rule 16(4). At the same time, the finding is that the petitioner was not eligible for membership even at the time he was inducted as member. It is hence submitted that the respondents could not have taken action under Rule 16(4), but only under Rule 16(3). It is further submitted that in the case of Rule 16(3), it is for the Committee of the Society to remove him from the membership. Admittedly, there is no Committee in office. Nor has the Committee issued any notice to the petitioner or any other person. W.P.(C)No.17721/2022 6 The counsel for the petitioner submits that the decisions relied on by the 1[st] respondent cannot apply in the case of the petitioner since the very action is not authorised as per the Rules. 5. I find considerable force in the submission made by the counsel for the petitioner. True, going by the decisions in **Kunhiraman Nair (supra)** and **Gopinathan Nair (supra)** , there is power available to remove a person from membership, if he was ineligible at the time of becoming a member or subsequently. However, the Rules also lay down the procedure for taking action. In the case on hand, no action is taken by the Committee or the Administrator administering the Society under Rule 16(3), on the ground that the petitioner was ineligible even at the time of being admitted as member. There is no case that the petitioner became ineligible subsequent to obtaining membership in the 3[rd] respondent Society. The specific allegation in Ext.P1 notice is that the membership was obtained illegally, since the petitioner was not a person residing within the jurisdiction of the Society. There is no case for the respondents that the petitioner subsequent to obtaining membership in the 3[rd] respondent Society had changed residence or that he had obtained dual membership after becoming a member of the 3[rd] respondent Society. In such cases, the power necessarily has to be exercised under Rule 16(3) and not under Rule 16(4). 6. For the aforesaid reasons, the writ petition is allowed. W.P.(C)No.17721/2022 7 Ext.P1 notice and Ext.P5 order, are quashed. This judgment will not in any way affect the right of the respondents to take action to remove the petitioner from the membership if the fact situation warranting action under Rule 16(3) is available. Even though the petitioner has prayed for allowing the other persons mentioned in Ext.P7 also to continue as members, as there is no challenge raised by the said persons, who alone can be considered as the aggrieved persons, the relief cannot be granted in the present writ petition, and the request is rejected. **Sd/-** **T.R. RAVI JUDGE** dsn W.P.(C)No.17721/2022 8 ## **APPENDIX OF WP(C) 17721/2022** PETITIONER EXHIBITS Exhibit P1 A TRUE COPY OF THE NOTICE DATED 10-12-2021 ISSUED BY THE 1ST RESPONDENT TO THE PETITIONER. Exhibit P2 A TRUE COPY OF THE ORDER DATED 06-12-2021 IN W.P.(C) NO. 24563/2021. Exhibit P3 A TRUE COPY OF THE JUDGMENT DATED 15-03-2022 IN W.P.NO. 24563/2021. Exhibit P4 A TRUE COPY OF THE EXPLANATION DATED 22-122021 SUBMITTED BY THE PETITIONER BEFORE THE 1ST RESPONDENT. Exhibit P5 TRUE COPY OF THE ORDER DATED 15-03-2022 PASSED BY THE 1ST RESPONDENT. Exhibit P6 A TRUE COPY OF THE REPRESENTATION DATED 23.03.2022 SUBMITTED BY THE PETITIONER BEFORE THE 1ST RESPONDENT. Exhibit P7 A TRUE COPY OF THE RECEIPT DATED 24-03-2022 ISSUED BY THE 1ST RESPONDENT. RESPONDENT EXHIBITS EXHIBIT R1(a) TRUE COPY OF THE RELEVANT PAGES OF BYE-LAW OF THE 3RD RESPONDENT SOCIETY. EXHIBIT R1(b) TRUE COPY OF THE REPORT OF THE DAIRY EXTENSION OFFICER DATED 22.11.2021. EXHIBIT R1(c) TRUE COPY OF THE REPORT OF THE DAIRY EXTENSION OFFICER DATED 01.01.2022. EXHIBIT R1(d) A COPY OF THE JUDGMENT REPORTED IN 2002 KHC 393. EXHIBIT R1(e) TRUE COPY OF THE REPLY GIVEN BY THE PETITIONER. EXHIBIT R1(f) TRUE COPY OF THE LIST ISSUED BY THE ELAMKULAM - NADAKKAL KSHEEROLPADAKA COOPERATIVE SOCIETY DATED 29.12.2021. EXHIBIT R1(g) TRUE COPY OF THE REPLY GIVEN BY THE VARINJAM MILK PRODUCER'S CO-OPERATIVE SOCIETY EXHIBIT R1(h) TRUE COPY OF THE JUDGMENT REPORTED IN 2002 KHC 515. Exhibit R3(A) TRUE COPY OF THE KERALA GAZETTE NO. 3340 DATED 14/11/2021 W.P.(C)No.17721/2022 9 Exhibit R4(B) TRUE COPY OF THE BYE LAW OF THE KSHEEROLPADAKA SAHAKARANA SANGHAM