Karavali Credit Co. Operative Society Ltd. Vs… — Writ and Judicial Review | Karnataka HC (2025)

Karavali Credit Co. Operative Society Ltd. Vs… — Writ and Judicial Review | Karnataka HC (2025)

What the court decided

AI extract

Outcome

Writ petition allowed: order dated 06.12.2024 in No.JRM/DDS/02/2022-23 (Annexure-A) passed by respondent No.2 quashed; application dated 04.09.2024 (Annexure-J) allowed, granting the petitioners a time-bound opportunity to cross-examine respondent No.1 without adjournments, failing which the benefit of the order is lost.

Issue for consideration

Whether the petitioners (Society) should be permitted an opportunity to cross-examine respondent No.1 (PW.1) in the Section 70 dispute pending before respondent No.2, notwithstanding their earlier failure to cross-examine her and the adjournments taken, and if so on what terms. +1 more

Court's answer

The petitioners' lack of diligence in cross-examining respondent No.1 cannot be a ground to deny them the right to cross-examine her, as serious allegations are made against her; cross-examination of PW.1 will enable respondent No.2 to dispose of the dispute on merits; accordingly, a chance to cross-examine respondent No.1 is given to the petitioners, but in a time-bound manner.

Ratio / Principle

The order dated 06.12.2024 in No.JRM/DDS/02/2022-23 passed by respondent No.2 (Annexure-A) is quashed.

Key takeaways

Consequently, the application dated 04.09.2024 (Annexure-J) is allowed.ratio¶47
Whenever respondent No.2 fixes the date for cross-examination of respondent No.1, the petitioners shall proceed and complete the cross-examination without seeking any adjournment; if they seek an adjournment and do not cross-examine respondent No.1, they shall not be entitled to the benefit of this order.ratio¶48

Detailed headnote1 paragraphs

Karnataka HC (Mrs. Justice M G Uma) allowed W.P. No. 168 of 2025 (CS-RES) filed under Article 226 by Karavali Credit Co-operative Society Ltd. (registered under the Society Registration Act 1959), seeking certiorari against the Joint Registrar of Cooperative Societies, Mysore District's order dated 06.12.2024 in No.JRM/DDS/02/2022-23 (Annexure-A) rejecting the Society's application dated 04.09.2024 (Annexure-J) in the Section 70, Karnataka Co-operative Societies Act, 1959 dispute raised by its employee (respondent No.1) against her demotion and transfer by order dated 12.03.2022 (Annexure-B). An earlier writ (WP.No.13799/2023, disposed 18.07.2023) had directed respondent No.2 to dispose of the dispute within two months; in the ensuing inquiry respondent No.1 was examined as PW.1 but not cross-examined, and her evidence was closed. The Court held that the Society's non-diligence was no ground to deny cross-examination given the serious allegations against respondent No.1, and that cross-examination of PW.1 would enable disposal of the dispute on merits. Held: petition allowed; impugned order quashed; Annexure-J application allowed; cross-examination to be completed on dates fixed by respondent No.2 without adjournment, failing which the petitioners lose the benefit of the order.

1 -

NC: 2025:KHC:50378 WP No. 168 of 2025

HC-KAR

IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 3^RD DAY OF DECEMBER, 2025

BEFORE

THE HON'BLE MRS. JUSTICE M G UMA

WRIT PETITION NO. 168 OF 2025 (CS-RES)

BETWEEN:

KARAVALI CREDIT CO OPERATIVE SOCIETY LTD., REPRESENTED BY THE PRESIDENT, GANIGA BHAVAN, ATTAVAR, MANGALORE, D.K.-575001

KARAVALI CREDIT COOPERATIVE SOCIETY LTD., REPRESENTED BY CHIEF EXECUTIVE OFFICER GANIGA BHAVAN, ATTAVAR, MANGALORE, D.K.-575001 PETITIONERS SOCIETY IS REGISTERED UNDER SOCIETY REGISTRATION ACT 1959.

…PETITIONERS

(BY SRI. SACHIN B.S., ADVOCATE)

AND:

Digitally signed by PRASHANTH N V Location: High Court of Karnataka

MISS. SUJATHA. B D/O LATE SHESHAPPA, KOTEKAR POST, MANGALORE - 575 022

JOINT REGISTRAR OF COOPERATIVE SOCIETIES MYSORE DISTRICT, MYSORE - 570 001

…RESPONDENTS

(BY SRI. MAHESH KIRAN SHETTY S.,ADVOCATE)

THIS WRIT PETITION IS FILED UNDER ARTICLE 226 READ OF THE CONSTITUTION OF INDIA PRAYING TO QUASH THE IMPUGNED ORDER DTD. 06.12.2024 IN NO. JRM/DDS/02/2022-23 PASSED BY

2 -

NC: 2025:KHC:50378 WP No. 168 of 2025

HC-KAR

THE R-2, AS PER ANNX-A AND CONSEQUENTLY ALLOW THE APPLICATION DTD. 04.09.2024 MARKED AT ANNX-J AS PRAYED FOR IN THE INTEREST OF JUSTICE AND EQUITY. AND ETC.,

THIS WRIT PETITION, COMING ON FOR PRELIMINARY HEARING - B GROUP, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:

CORAM: HON'BLE MRS. JUSTICE M G UMA

ORAL ORDER

The petitioner - Society has approached this Court seeking issuance of writ in the nature of certiorari to quash the order dated 06.12.2024 in No.JRM/DDS/02/2022-23 passed by respondent No.2 produced as per Annexure-A and consequently to allow the application dated 04.09.2024 produced as per Annexure-J.

Heard Sri. Sachin B S, learned counsel for the petitioners, Sri. Mahesh Kiran Shetty S, learned counsel for respondent No.1 and Sri. Yogesh D Naik, learned Additional Government Advocate for respondent No.2. Perused the materials on record.

The petitioner - Society has framed certain charge of misconduct against respondent No.1 who was working with

3 -

NC: 2025:KHC:50378 WP No. 168 of 2025

HC-KAR

the Society as an employee. The petitioner - Society has thereby conducted enquiry and passed the order dated 12.03.2022 as per Annexure-B demoting and transferring her to a different branch. The said order was challenged before respondent No.2 by raising a dispute under Section 70 of Karnataka Co-operative Societies Act, 1959, she got the interim order staying the operation of the order demoting and transferring her. Being aggrieved by the same, the petitioner - Society has approached this Court in WP.No.13799/2023. The said petition came to be disposed off vide order dated 18.07.2023, directing respondent No.2 to consider and dispose off the dispute expeditiously, at any rate within a period of two months from the date of receipt of copy of the order.

Pursuant to the same, respondent No.2 held inquiry. Respondent No.1 examined herself as a witness. The petitioners had not cross-examined respondent No.1. Respondent No.2 closed her evidence. It is thereafter, the petitioners filed the application dated 04.09.2024 as per Annexure-J, which came to be rejected by passing the order as

4 -

NC: 2025:KHC:50378 WP No. 168 of 2025

HC-KAR

per Annexure-A. The said order is called in question in the present petition.

Learned counsel for the petitioners concedes the

position that there was a direction to respondent No.2 to consider and dispose off the dispute within two months as issued by this Court while disposing off the Writ Petition No.13799/2023. However, he contends that on many occasions the matter was adjourned suo motu by respondent No.2 for no fault of the petitioners. It is noticed that the petitioners were also not diligent in cross-examining respondent No.1. However, the same cannot be a ground to deny the right of the petitioners to cross-examine respondent No.1, as serious allegations are made against her. Cross-examination of PW.1 will enable respondent No.2 to dispose off the dispute on merits. Hence, I am of the opinion that a chance may be given to the petitioners to cross-examine respondent No.1. But however, it shall be in a time bound manner. Accordingly, I proceed to pass the following.

ORDER

i) The petition is allowed .

5 -

NC: 2025:KHC:50378 WP No. 168 of 2025

HC-KAR

ii) The order dated 06.12.2024 in No.JRM/DDS/02/2022-23 passed by respondent No.2 produced as per Annexure-A is quashed.

iii) Consequently, the application dated 04.09.2024 produced as per Annexure-J is allowed.

iv) It is made clear that, whenever respondent No.2 fixes the date for cross-examination of respondent No.1 hearing, the petitioners shall proceed and complete the cross-examination without seeking any adjournment. It is also made clear that if the petitioners for any reason seeks an adjournment and do not cross-examine respondent No.1, they shall not be entitled for the benefit of this order.

SD/(M G UMA) JUDGE

PNV

CT:VS

List No.: 2 Sl No.: 8