Allowed

Thiruvananthapuram Regional Co. -Operative Milk Producers Union Ltd. No.T 177(D) Apcos v. Registrar of Dairy Co-Operative Societies/Director of Diary Development

Kerala HC16 Sept 2020WP(C)/9662/2020

Case brief

AI extract

What is this about?

Challenge against Registrar's directions to amend bye-laws regarding Recruitment Committee convener. Court challenged authority under Section 66A of Co-operative Societies Act. Held directions valid to ensure regular appointment. Granted two months to amend bye-laws.

What did the court decide?

Petition dismissed but granted two months time to amend bye-laws.

Thiruvananthapuram Regional Co. -Operative Milk… — Cooperative Societies | Kerala HC (2020)

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IN THE HIGH COURT OF KERALA AT ERNAKULAM

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PRESENT

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THE HONOURABLE MR. JUSTICE SATHISH NINAN

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WEDNESDAY, THE 16TH DAY OF SEPTEMBER 2020 / 25TH BHADRA, 1942 WP(C).No.9662 OF 2020(G)

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PETITIONER:

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THIRUVANANTHAPURAM REGIONAL CO -OPERATIVE MILK PRODUCERS UNION LTD NO.T 177(D) APCOS REPRESENTED BY CHAIRMAN, KHEERA BHAVAN, PATTOM, THIRUVANANTHAPURAM. (CORRECTED)

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BY ADV. SRI.P.N.MOHANAN

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RESPONDENT:

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1 REGISTRAR OF DAIRY CO-OPERATIVE SOCIETIES/ DIRECTOR OF DIARY DEVELOPMENT DIRECTORATE OF DIARY DEVELOPMENT DEPARTMENT, THIRUVANANTHAPURAM-695 004.

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**** ADDL. R2 IMPLEADED**

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2 THE VAKKANAD KSHEEROLPADAKA SAHAKARANA SANGHAM(LTD.)NO. Q 288(D) APCOS, VAKKANAD.P.O., KOLLAM-691509, REPRESENTED BY ITS SECRETARY.

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*** “THE BOARD OF DIRECTORS OF” IS ADDED CORRECTED IN THE CAUSE TITLE OF PETITIONER AS PER ORDER DATED 16-07-2020 IN IA 2/2020 IN WP(C) 9662/2020**

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**** (ADDL. R2 IS IMPLEADED AS PER ORDER DATED 16-07-2020 IN IA 1/2020 IN WP(C) 9662/2020).**

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R1 BY SPL. GOVERNMENT PLEADER SRI.MOHAMMED HASHIM R2 BY ADV. M.SASINDRAN

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THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 16.09.2020, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

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SATHISH NINAN, J.

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= = = = = = = = = = = = = = = = = = W.P.(C) No.9662 of 2020

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= = = = = = = = = = = = = = = = = = Dated this the 16^th day of September, 2020

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JUDGMENT

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Exts.P3 and P4 orders of the Registrar of Dairy Co-operatives/Director of Dairy Development, directing the petitioner Society to initiate steps for amendment of clause 21.2.15 of the bye-laws and to appoint Managing Director to the Society, is under challenge in this writ petition.

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Heard Sri.P.N.Mohanan, learned counsel for the petitioner, Sri.Mohammed Hashim, learned Special Government Pleader and Sri.M.Sasindran, learned counsel for the second respondent.

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Clause 21.2.15 of Ext.P1 bye-laws of the petitioner Society, which deals with the constitution of the recruitment committee for appointment of Managing Director, reads thus:-

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Clause No.21.2.15 Recruitment Committee for appointment of Managing Director.

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For selection and recruitment of Managing Director, the Recruitment Committee shall consist of the following members.

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W.P.(C) No.9662 of 2020

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:- 2 :-

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Chairman of the Regional Co-operative Milk Producers' Union.

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Secretary to Government for Dairy Development. 3. Managing Director of the Kerala Co-operative Milk Marketing Federation.

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Regional Director/Head of the National Dairy Development Board.

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The Chairman of the Union shall be the Convener of the above said Recruitment Committee and the Managing Director so selected shall be appointed from the select list by the Chairman of the Union with the approval of the Board.

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As per the above, the Chairman of the Union shall be the Convener of the Recruitment Committee for appointment of Managing Director. The same is, as per Exts.P3 and P4, recommended to be amended, by making the Secretary to Government for Dairy Development as the Convener without any change in the composition of the personnel constituting the Recruitment Committee. The same is under challenge on the ground that the Registrar lacks authority to issue such direction.

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Section 66A of the Co-operative Societies Act empowers the Registrar to issue directions to Societies in furtherance of the purpose of the Act or for implementing Government policies for the

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W.P.(C) No.9662 of 2020

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:- 3 :-

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benefit of the members and the General Public. The Registrar of Dairy Co-operatives, in the counter affidavit, has placed before this Court the fact that since 31.08.2014 till now except for a short period of approximately five and a half months viz. from 18.06.2015 to 30.11.2015, the Union did not have a full time Managing Director. Additional charge of Managing Director was being given on other occasions. The Convener of the Recruitment Committee failed to convene the Committee and to take steps for appointment of a regular Managing Director, the motive of which is questioned by the respondent.

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I do not think it necessary to go into the allegations raised regarding the motive behind the non-appointment of a regular Managing Director. Suffice to notice that as contended by the respondent, for a long period since the year 2014, there has been no regular Managing Director for the Society consequent to the failure on the part of the Convener of the Recruitment Committee to take necessary steps. Clause 22.1 of the bye-laws

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W.P.(C) No.9662 of 2020

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:- 4 :-

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specifies the duties and responsibilities of the Managing Director which includes administration, management, finance, business etc. It is not in the interests of the Society that such a responsible post is chaired by an officer-in-charge for prolonged periods. Having noticed that the failure has occurred due to non-convening of the Recruitment Committee, the Registrar in exercise of the powers under Section 66A recommended amendment of the bye-laws to make the Secretary to Government for Dairy Development as the Convener of the Recruitment Committee. This is only to see that the meeting of the Recruitment Committee is held as and when necessary. From the counter affidavit and the documents produced along with the same viz. Exts.R(d) and R(e) it is revealed that the Ernakulam and the Malabar Unions have accepted the Secretary to Government Dairy Development as the Chairman of the Recruitment Committee for the appointment of the Managing Director. Directions in Exts.P3 and P4 issued by the Registrar can only be held to be as having been issued for implementation

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W.P.(C) No.9662 of 2020 :- 5 :-

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of Government policies for the benefit of the members and the general public. Exts.P3 and P4 orders suffers from no infirmity and the challenge against the same fails.

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Learned counsel for the petitioner submits that, in the event of challenge against Exts.P3 and P4 being turned down, two months' time may be granted to take necessary steps for amendment of the bye-laws. In the present scenario of the Pandemic, I consider the request to be reasonable and grant two months' time to the petitioner Society to take necessary steps with regard to amendment of the bye-laws.

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Writ petition is disposed of as above.

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Sd/-

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SATHISH NINAN JUDGE

kns/-

//True Copy//

P.S. to Judge

WP(C).No.9662 OF 2020(G)

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APPENDIX

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PETITIONER'S/S EXHIBITS:

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EXHIBIT P1 THE RELEVANT CLAUSE 21.2.16 OF THE BYE-LAW REGARDING QUALIFICATION OF THE MANAGING DIRECTOR. EXHIBIT P2 A TRUE COPY OF THE RELEVANT RULES APPROVED BY THE RESPONDENT. EXHIBIT P3 A TRUE COPY OF THE LETTER DATED 25.1.2020 OF THE RESPONDENT. EXHIBIT P4 A TRUE COPY OF THE LETTER DATED 22.3.2020 OF THE RESPONDENT.

Thiruvananthapuram Regional Co. -Operative Milk Producers Union Ltd. No.T 177(D) Apcos v. Registrar of Dairy Co-Operative Societies/Director of Diary Development

Case brief

What is this about?

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Thiruvananthapuram Regional Co. -Operative Milk Producers Union Ltd. No.T 177(D) Apcos v. Registrar of Dairy Co-Operative Societies/Director of Diary Development

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