Citation : 2023 Latest Caselaw 10367 Ker
Judgement Date : 30 September, 2023
C. R.
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE SATHISH NINAN
SATURDAY, THE 30TH DAY OF SEPTEMBER 2023 / 8TH ASWINA, 1945
WP(C) NO. 31797 OF 2023
PETITIONER:
RAJAN.K.
AGED 56 YEARS, S/O K. KRISHNAN NAIR,
SWARAMANJERI, ANJUMUKKU COVIL ROAD, MUTTADA.P.O.
THIRUVANANTHAPURAM, PIN - 695025
BY ADVS.
B.S.SWATHI KUMAR
HARISANKAR N UNNI
RESPONDENTS:
1 THE JOINT REGISTRAR OF CO-OPERATIVE SOCIETIES (G)
JAWAHAR SAHAKARANA BHAVAN, JAGATHY, THIRUVANANTHAPURAM, PIN -
695014
2 THE CENTRAL GOVERNMENT EMPLOYEES
& WORKERS CO-OPERATIVE CREDIT SOCIETY LTD.NO. T. 1413, USRA-
17, UDARASIROMANY ROAD, VAZHUTHACAUD, THIRUVANANTHAPURAM
REPRESENTED BY ITS PRESIDENT, PIN - 695010
* ADDL. RESPONDENT NO.3
ADDL. R3 AMBAREESH NAIR R.S., AGED 32 YEARS,
S/O SREEKUMAR, OFFICE OF GARRISON ENGINEER (ARMY), THIRUMALA
POST, TRIVANDRUM-695006.
* [ADDL. RESPONDENT NO.3 IS IMPLEADED AS PER ORDERS OF THIS COURT
DATED29.09.2023 IN I.A. NO.1/2023].
BY ADVS.
SMT.SHEEJA C.S., SR. GOVT. PLEADER
T.P.PRADEEP
P.K.SATHEES KUMAR
MINIKUMARY M.V.
R.K.PRASANTH
JIJO JOSEPH
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON
30.09.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
C. R.
SATHISH NINAN, J.
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W.P.(C) No.31797 of 2023
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Dated this the 30th day of September, 2023
J U D G M E N T
Order under Rule 16 (4) of the Co-operative
Societies Rules, 1969, removing the petitioner from the
membership of the second respondent Society, is under
challenge in this writ petition.
2. As per the bye-laws of the Society, any employee
of a Central Government establishment situated within
Trivandrum District, who has completed one year
continuous service, is entitled to be a member of the
Society. On satisfaction of the condition as above, the
petitioner acquired membership in the Society. Later,
the petitioner was transferred to Kochi. The additional
third respondent moved the first respondent - Joint
Registrar, for removal of the petitioner from the
membership contending that, since the petitioner is not
working within the area of operation of the Society viz. W.P.(C) No.31797 of 2023
Trivandrum District, he has lost his eligibility for
membership.
3. I have heard Sri.Swathi Kumar B.S., learned
counsel for the petitioner, Sri.T.P.Pradeep, the learned
counsel for the third respondent, and Smt.Sheeja C.S.,
the learned Senior Government Pleader.
4. The fact that the petitioner is presently
employed beyond Trivandrum District, the area of
operation of the Society, is not in dispute.
5. The contention of the petitioner is that, the
bye-law of the Society specifically prescribe the
conditions under which a person ceases to be a member.
Transfer and shifting of residence beyond the area of
operation of the Society is not a ground mentioned
therein for cessation of membership. Once membership has
been acquired, the transfer of the member to any place
beyond the area of operation of the Society does not
result in losing of membership, it is contended. W.P.(C) No.31797 of 2023
6. The bye-laws does not prescribe that membership
ceases if a member is transferred beyond the area of
operation of the Society. Clause 11 of the bye-laws
reads thus:-
"11. A person ceases to be a member(i) on death; (ii) when his resignation is accepted by the Managing Committee; (iii) on expulsion (iv) when he retires from service. A past member shall be liable for the debts due by the society on completion of repayments of the existing liability."
However, for reasons given hereunder, I am unable to
uphold the contention of the petitioner that the
transfer and consequential employment of a member beyond
the area of operation of the Society does not result in
cessation of membership.
7. Rule 16 stipulates the conditions to be complied
with by a person for admission as a member. Rule (1)(c)
requires fulfillment of the conditions in the Act,
Rules, and bye-laws of the Society. In the case at hand, W.P.(C) No.31797 of 2023
the bye-laws imposes two conditions for eligibility for
membership viz. (i) he must be an employee in a Central
Government establishment within the Trivandrum District
and (ii) he has completed one year continuous service.
The above is the eligibility criteria for membership.
The Society is formed to cater the needs of the
employees within its area of operation - Trivandrum
District. When a member is transferred beyond the
territorial jurisdiction of the Society, he ceases to
satisfy the eligibility criteria to be a member that is,
he no more fulfills the requirement in the bye-law to be
a member of the Society.
8. In terms of Rule 16(3) and (4), when a member
becomes ineligible for continuance of membership, he is
liable to be removed by the Managing Committee of the
Society or by the Registrar. The provisions read thus: W.P.(C) No.31797 of 2023
16. Conditions to be complied with for admission for membership.--(1) xxxxx (2) xxxxx (3) Where a person already admitted to membership is seen to have been ineligible for membership at the time he was so admitted as a member or if he subsequently becomes ineligible for membership the Committee of the Society may remove the person from membership after giving him an opportunity for making his representation if any, and the person concerned shall thereupon cease to be a member of the society.
(4) Where a member of a society becomes ineligible to continue as such, the Registrar may of his own motion or on a representation made to him by any member of the society or by the financing Bank, by an order in writing declare that he has ceased to be a member of the society from the date of his order. The Registrar shall give such person an opportunity to state his objection, if any, to the proposed action and if the person wishes to be heard, he shall be given an opportunity to be heard before passing an order as aforesaid.
That when the conditions envisaged in Rule 16(1) is
violated, such member is liable to be removed under Rule
16(3), has been held by Division Bench of this Court in W.P.(C) No.31797 of 2023
Part Time Administrator Adat Farmers Service Co-operative Bank Ltd.
No.R 689 and Another v. Vipin K. Hari (ILR 2023 (1) KER 121).
9. The petitioner, having lost the eligibility
criteria to be a member, he becomes ineligible to
continue as a member. The Committee having failed to
take steps for removal from membership, it was within
the domain of the Registrar to act on the complaint of
the third respondent and to have initiated steps for
removal of the petitioner from the membership. The
action of the first respondent has due sanction of law.
As held above, the petitioner being presently working
beyond the area of operation of the Society, has lost
the eligibility criteria to be a member and he was
rightly removed from the membership.
10. As regards the contention of the petitioner
that the bye-laws of the Society does not contemplate W.P.(C) No.31797 of 2023
for cessation of membership on a member being
transferred beyond the area of operation of the Society,
it is to be noticed that, what Clause-11 of the bye-law
provides for is, cessation of membership on death,
resignation, expulsion and retirement. Such cessation is
automatic and would not generally require any further
declaration. However, when a member loses his
eligibility criteria mandated under the bye-laws for
membership, it is a case which falls within the Rule
16(3) and (4) of the Rules where a member becomes
ineligible for membership and requires a declaration or
an order of removal from membership. Such member is
liable to be removed from the membership. Therefore, the
non-mentioning of such a contingency in Clause-11 of the
bye-laws is of no consequence.
W.P.(C) No.31797 of 2023
The order of the first respondent removing the
petitioner from membership is in accordance with law and
warrants no interference. Writ petition fails and is
dismissed.
Sd/-
SATHISH NINAN JUDGE
kns/-
//True Copy// P.S. to Judge APPENDIX OF WP(C) 31797/2023
PETITIONER EXHIBITS
Exhibit P1 TRUE COPY OF THE RELEVANT PORTION OF THE BYE-
LAW OF THE 2ND RESPONDENT.
Exhibit P2 TRUE COPY OF THE NOTICE NO. C.S. 8437/2022 DATED 25-7-2023 ISSUED BY THE 1ST RESPONDENT.
Exhibit P3 TRUE COPY OF THE EXPLANATION SUBMITTED BY THE PETITIONER BEFORE THE 1ST RESPONDENT DATED 5-8-2023
Exhibit P4 TRUE COPY OF THE EXPLANATION SUBMITTED BY THE PETITIONER BEFORE THE 1ST RESPONDENT DATED 19-8-2023
Exhibit P5 TRUE COPY OF THE NOTICE NO. C.S. 8437/2022 DATED 8-8-2023 ISSUED BY THE 1ST RESPONDENT.
Exhibit P6 TRUE COPY OF THE JUDGMENT IN W.P.(C)NO.
28662/2023 DATED 5-9-2023
Exhibit P7 TRUE COPY OF THE ORDER NO. C.S.NO. 8437/2022 DATED 21-9-2023 ISSUED BY THE 1ST RESPONDENT.
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