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State Of Kerala vs Sulthan Bathery Co-Operative Urban ...
2024 Latest Caselaw 15260 Ker

Citation : 2024 Latest Caselaw 15260 Ker
Judgement Date : 5 June, 2024

Kerala High Court

State Of Kerala vs Sulthan Bathery Co-Operative Urban ... on 5 June, 2024

Author: Amit Rawal

Bench: Amit Rawal

            IN THE HIGH COURT OF KERALA AT ERNAKULAM
                             PRESENT
             THE HONOURABLE MR. JUSTICE AMIT RAWAL
                                &
             THE HONOURABLE MR. JUSTICE EASWARAN S.
 WEDNESDAY, THE 5TH DAY OF JUNE 2024 / 15TH JYAISHTA, 1946
                      WA NO. 1680 OF 2016
AGAINST THE ORDER/JUDGMENT DATED 09.08.2016 IN WPC NO.12728
OF 2013 OF HIGH COURT OF KERALA
APPELLANT/PETITIONER:

            KALPETTA CO-OPERATIVE URBAN SOCIETY LTD
            NO.W228, KALPETTA, WAYANAD, REP. BY ITS
            SECRETARY.
            BY ADV SRI.P.C.SASIDHARAN


RESPONDENTS/RESPONDENTS:

    1       JOINT REGISTRAR OF CO-OPERATIVE SOCIETIES
            (GENERAL), OFFICE OF THE JOINT REGISTRAR OF CO-
            OPERATIVE SOCIETIES, WAYANAD-673121.
    2       THE ASSISTANT REGISTRAR OF CO-OPERATIVE SOCIETIES
            (GENERAL) OFFICE OF THE ASSISTANT REGISTRAR OF
            CO-OPERATIVE SOCIETIES, SULTHANBATHERY, VYTHIRI,
            WAYANAD, PIN-673121
    3       SULTHANBATHERY CO-OPERATIVE URBAN BANK LIMITED
            SULTHANBATHERY, WAYANAD-673 121,REP. BY ITS
            SECRETARY
OTHER PRESENT:

            SR GP SRI T K VIPINDAS; SRI.P.N.MOHANAN FOR R3
     THIS    WRIT   APPEAL   HAVING    BEEN   FINALLY   HEARD   ON
05.06.2024, ALONG WITH W.A.Nos.1683, 1684, 2005 & 2222 of
2016, 930 of 2017 and 326 of 2022, THE COURT ON THE SAME DAY
DELIVERED THE FOLLOWING:
 W.A.Nos.1680/2016

                                   2

              IN THE HIGH COURT OF KERALA AT ERNAKULAM
                                PRESENT
                THE HONOURABLE MR. JUSTICE AMIT RAWAL
                                   &
               THE HONOURABLE MR. JUSTICE EASWARAN S.
  WEDNESDAY, THE 5TH DAY OF JUNE 2024 / 15TH JYAISHTA, 1946
                          WA NO. 326 OF 2022
AGAINST THE ORDER/JUDGMENT DATED 7.12.2021 IN WP(C) NO.2745
                    OF 2021 OF HIGH COURT OF KERALA
APPELLANT/PETITIONER:
          THE CHERUVATHUR FARMERS SERVICES CO-OPERATIVE
          BANK LIMITED
          CHERUVATHUR (PO) KASARAGOD DISTRICT, PIN-671 313.
          REPRESENTED BY ITS MANAGING DIRECTOR MR VINAYA
          KUMAR.
          BY ADVS.
          JAWAHAR JOSE
          CISSY MATHEWS
          JAISON ANTONY
RESPONDENTS/RESPONDENTS:
    1     THE STATE OF KERALA
          REPRESENTED BY ITS SECRETARY, DEPARTMENT OF
          COOPERATION, GOVERNMENT SECRETARIAT,
          THIRUVANANTHAPURAM, PIN-695 001.
    2     THE REGISTRAR OF COOPERATIVE SOCIETIES,
          JAWAHAR SAHAKARANA BHAVAN, D.P.I. JUNCTION,
          THYCAUD (PO), THIRUVANANTHAPURAM, PIN-695 014.
    3     THE JOINT REGISTRAR OF COOPERATIVE SOCIETIES,
          CIVIL STATION, VIDYANAGAR (PO) KASARAGOD, PIN-671
          121
    4     THE THIMIRI SERVICE COOPERATIVE BANK
          REPRESENTED BY ITS SECRETARY, THIMIRI (PO)
          CHERUVATHOOR (VIA), KASARAGOD DISTRICT , PIN 670
          581.
          BY SR GP SRI T K VIPINDAS
       THIS    WRIT   APPEAL   HAVING   COME   UP   FOR   ADMISSION   ON
05.06.2024, ALONG WITH WA.1680/2016 AND CONNECTED CASES, THE
COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
 W.A.Nos.1680/2016

                                   3


              IN THE HIGH COURT OF KERALA AT ERNAKULAM
                                PRESENT
                THE HONOURABLE MR. JUSTICE AMIT RAWAL
                                   &
               THE HONOURABLE MR. JUSTICE EASWARAN S.
  WEDNESDAY, THE 5TH DAY OF JUNE 2024 / 15TH JYAISHTA, 1946
                          WA NO. 930 OF 2017
AGAINST THE ORDER/JUDGMENT DATED 09.08.2016 IN WPC NO.37829
OF 2015 OF HIGH COURT OF KERALA
APPELLANT/PETITIONER:

              MANANTHAVADY CO-OPERATIVE URBAN SOCIETY,
              REPRESENTED BY ITS SECRETARY, LATIN CHURCH
              BUILDING, MANANTHAVADY, WAYANAD DISTRICT.
              BY ADVS.
              SRI.P.K.RAMKUMAR
              SMT.ANITHA MENON


RESPONDENTS/RESPONDENTS:

      1       REGISTRAR OF CO-OPERATIVE SOCIETIES,
              THIRUVANANTHAPURAM - 695 001.
      2       JOINT REGISTRAR OF CO-OPERATIVE SOCIETIES
              (GENERAL), WAYANAD DISTRICT, P.O.KALPETTA,
              WAYANAD-673121.
      3       SULTHAN BATHERY CO-OPERATIVE URBAN BANK LIMITED
              NO.D2034, SULTHAN BATHERY, REPRESENTED BY ITS
              SECRETARY, P.O. SULTHAN BATHERY, WAYANAD DISTRICT
              - 673 592.
              BY ADVS.
              SMT.NAMITHA JYOTHISH
              SRI.T.A.SHAJI SR.,
              SR GP SRI T K VIPINDAS
       THIS    WRIT   APPEAL   HAVING   COME   UP   FOR   ADMISSION   ON
05.06.2024, ALONG WITH WA.1680/2016 AND CONNECTED CASES, THE
COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
 W.A.Nos.1680/2016

                                   4


              IN THE HIGH COURT OF KERALA AT ERNAKULAM
                                PRESENT
                THE HONOURABLE MR. JUSTICE AMIT RAWAL
                                   &
               THE HONOURABLE MR. JUSTICE EASWARAN S.
  WEDNESDAY, THE 5TH DAY OF JUNE 2024 / 15TH JYAISHTA, 1946
                         WA NO. 1683 OF 2016
AGAINST THE ORDER/JUDGMENT DATED 9.8.2016 IN WPC NO.925 OF
2016 OF HIGH COURT OF KERALA
APPELLANT/4TH RESPONDENT:

              KALPETTA CO-OPERATIVE URBAN SOCIETY LTD.NO.W228
              KALPETTA, WAYANAD, REPRESENTED BY ITS SECRETARY.
              BY ADV SRI.P.C.SASIDHARAN
RESPONDENTS/PETITIONER & RESPONDENTS 1 TO 3 & 5:

      1       SULTHAN'S BATTERY CO-OPERATIVE URBAN BANK LTD.
              NO.D2034, SULTHAN BATHERY, WAYANAD DISTRICT
              673592, REPRESENTED BY ITS GENERAL MANAGER.
      2       STATE OF KERALA
              REPRESENTED BY THE PRINCIPAL SECRETARY TO
              GOVERNMENT, CO-OPERATION (C) DEPARTMENT,
              THIRUVANANTHAPURAM, PIN:695001.
      3       THE JOINT REGISTRAR (GENERAL) OF CO-OPERATIVE
              SOCIETIES, WAYANAD, P.O. KALPETTA, PIN:673121.
      4       THE REGISTRAR OF CO-OPERATIVE SOCIETIES
              THIRUVANANTHAPURAM, PIN:695001.
      5       MANANTHAVADI CO-OPERATIVE URBAN SOCIETY LTD.
              NO. W-221, LATIN CHURCH BUILDINGS, WAYANAD
              DISTRICT, REPRESENTED BY ITS SECRETARY,
              PIN:670645.
              BY ADV SRI.T.A.SHAJI SR.,
              SMT.NAMITHA JYOTHISH FOR R1;
              SR GP SRI T K VIPINDAS; SRI.P.K.RAMKUMAR FOR R5
       THIS     WRIT   APPEAL   HAVING    BEEN   FINALLY   HEARD   ON
05.06.2024, ALONG WITH WA.1680/2016 AND CONNECTED CASES, THE
COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
 W.A.Nos.1680/2016

                                   5


              IN THE HIGH COURT OF KERALA AT ERNAKULAM
                                PRESENT
                THE HONOURABLE MR. JUSTICE AMIT RAWAL
                                   &
               THE HONOURABLE MR. JUSTICE EASWARAN S.
  WEDNESDAY, THE 5TH DAY OF JUNE 2024 / 15TH JYAISHTA, 1946
                         WA NO. 1684 OF 2016
AGAINST THE ORDER/JUDGMENT DATED 09.08.2016 IN WPC NO.925 OF
2016 OF HIGH COURT OF KERALA
APPELLANT/5TH RESPONDENT:

             MANANTHAVADY CO-OPERATIVE URBAN SOCIETY
             REPRESENTED BY ITS SECRETARY VINOJ K.J.,
             AGED 35 YEARS, KUNNATH HOUSE, EDAVAKA VILLAGE,
             MANANTHAVADY TALUK, WAYANAD DISTRICT.

             BY ADVS.
             SRI.P.K.RAMKUMAR
             SMT.ANITHA MENON


RESPONDENTS/PETITIONER & RESPONDENTS 1 TO 4:

      1      THE SULTHAN BATHERY CO-OPERATIVE URBAN BANK LTD.
             NO:D2034, SULTHAN BATHERI, REPRESENTED BY ITS
             SECRETARY P.O., SULTHAN BATHERI,
             WAYANAD DISTRICT-673592.

      2      STATE OF KERALA
             REPRESENTED BY THE PRINCIPAL SECRETARY TO GOVT.,
             CO-OPERATION (C) DEPARTMENT,
             THIRUVANANTHAPURAMPIN:695001.

      3      JOINT REGISTRAR OF CO-OPERATIVE SOCIETIES
             (GENERAL), WAYANAD DISTRICT, P.O. KALPETTA,
             WAYANAD DISTRICT, PIN:673121.

      4      THE REGISTRAR OF CO-OPERATIVE SOCIETIES
             THIRUVANANTHAPRUAM, PIN:695001.
 W.A.Nos.1680/2016

                                   6

      5       KALPETTA CO-OPERTIVE URBAN SOCIETY LTD.NO.W-228
              LATIN CHURCH BUILDING CALICUT ROAD, WAYANAD
              DISTRICT, REPRESENTED BY ITS SECRETARY, PIN-
              670645.
              BY ADVS.
              SMT.NAMITHA JYOTHISH
              SRI.T.A.SHAJI SR. FOR R1;
              SRI.P.C.SASIDHARAN FOR R5;
              SR GP SRI T K VIPINDAS
       THIS     WRIT   APPEAL   HAVING   BEEN   FINALLY   HEARD   ON
05.06.2024, ALONG WITH WA.1680/2016 AND CONNECTED CASES, THE
COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
 W.A.Nos.1680/2016

                                  7


              IN THE HIGH COURT OF KERALA AT ERNAKULAM
                               PRESENT
                THE HONOURABLE MR. JUSTICE AMIT RAWAL
                                  &
               THE HONOURABLE MR. JUSTICE EASWARAN S.
  WEDNESDAY, THE 5TH DAY OF JUNE 2024 / 15TH JYAISHTA, 1946
                         WA NO. 2005 OF 2016
AGAINST THE ORDER/JUDGMENT DATED 9.8.2016 IN WPC NO.925 OF
2016 OF HIGH COURT OF KERALA
APPELLANTS/RESPONDENTS 1 TO 3:

      1      STATE OF KERALA
             REPRESENTED BY THE PRINCIPAL SECRETARY TO
             GOVERNMENT, CO-OPERATION(C)DEPARTMENT,
             THIRUVANANTHAPURAM-695001.

      2      THE JOINT REGISTRAR OF CO-OPERATIVE SOCIETIES
             (GENERAL)
             WAYANAD.P.O, KALPETTA,PIN-673121.

      3      THE REGISTRAR OF CO-OPERATIVE SOCIETIES
             THIRUVANANTHAPURAM-695001.

             BY ADV SRI T K VIPINDAS, SR.GOVERNMENT PLEADER


RESPONDENTS/PETITIONER & RESPONDENTS 4 & 5:

      1      SULTHAN BATHERY CO-OPERATIVE URBAN BANK
             LTD.D.2034, SULTHAN BATHERY, WAYANAD DISTRICT-
             673592, REPRESENTED BY ITS GENERAL MANAGER.

      2      KALPETTA CO-OPERATIVE URBAN SOCIETY LTD.NO.W-228
             LATIN CHURCH BUILDING, CALICUT ROAD,
             P.O.MANANTHAVADI, WAYANAD DISTRICT, REPRESENTED
             BY ITS SECRETARY, PIN-670645.

      3      MANANTHAVADI CO-OPERATIVE URBAN SOCIETY LTD.NO.W
             W-221, LATIN CHURCH BUILDING, WAYANAD DISTRICT,
             REPRESENTED BY ITS SECRETARY, PIN-670645.
 W.A.Nos.1680/2016

                                   8

              BY ADVS.
              SMT.NAMITHA JYOTHISH FOR R1
              SRI.P.K.RAMKUMAR FOR R3
              SRI.P.C.SASIDHARAN FOR R2
              SRI.T.A.SHAJI SR.
       THIS     WRIT   APPEAL   HAVING   BEEN   FINALLY   HEARD   ON
05.06.2024, ALONG WITH WA.1680/2016 AND CONNECTED CASES, THE
COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
 W.A.Nos.1680/2016

                                   9


              IN THE HIGH COURT OF KERALA AT ERNAKULAM
                                PRESENT
                THE HONOURABLE MR. JUSTICE AMIT RAWAL
                                   &
               THE HONOURABLE MR. JUSTICE EASWARAN S.
  WEDNESDAY, THE 5TH DAY OF JUNE 2024 / 15TH JYAISHTA, 1946
                         WA NO. 2222 OF 2016
AGAINST THE ORDER/JUDGMENT DATED 9.8.2016 IN WPC NO.15889 OF
2013 OF HIGH COURT OF KERALA
APPELLANT/PETITIONER:

              MANATHAVADY CO-OPERATIVE URBAN SOCIETY
              REPRESENTED BY ITS SECRETARY, LATIN CHURCH
              BUILDING, CALICUT ROAD MANANTHAVADY P.O. WAYANAD.
              BY ADVS.
              SRI.P.K.RAMKUMAR
              SMT.ANITHA MENON
RESPONDENTS/RESPONDENTS 1 TO 3:

      1       THE REGISTRAR OF CO-OPERATIVE SOCIETIES
              THIRUVANANTHAPURAM - 695001
      2       JOINT REGISTRAR OF CO-OPERATIVE SOCIETIES
              (GENERAL); WAYANAD DISTRICT, P.O. KALPETTA,
              WAYANAD DISTRICT - 673121.
      3       THE SULTHAN BATHERI CO-OPERATIVE URBAN BANK
              LIMITED NO. D2034, SULTHAN BATHERI, REPRESENTED
              BY ITS SECRETARY, P.O. SULTHAN BATHERI, WAYANAD,
              DISTRICT - 673592.
      4       WAYANAD DIST. CO- OPERATIVE BANK LTD., P.B.NO.7,
              KALPETTA NORTH. P.O, WAYANAD - 673122,
              REPRESENTED BY ITS GENERAL MANAGER.
              BY ADV SRI.MILLU DANDAPANI FOR R4;
              SR GP SRI T K VIPINDAS
       THIS     WRIT   APPEAL   HAVING    BEEN   FINALLY   HEARD   ON
05.06.2024, ALONG WITH WA.1680/2016 AND CONNECTED CASES, THE
COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
 W.A.Nos.1680/2016

                             10

          AMIT RAWAL & EASWARAN S., JJ.
            ------------------------------------
   W.A.Nos.1680, 1683, 1684, 2005 & 2222 of 2016,
             930 of 2017 and 326 of 2022
            -------------------------------------
         Dated this the 5th day of June, 2024

                      JUDGMENT

Easwaran S.,J.

This orders of ours shall dispose of these seven writ

appeals.

2. The facts leading to W.A.No.1680/2016, which arises

from WP(C) No.12728/2013, are dealt with. The writ

appellant was the petitioner in the writ petition. The writ

petition was filed for a writ of certiorari calling for the

records leading to Ext.P9 and for restraining the 1 st

respondent from registering the amended bye-law of the 3 rd

respondent Society, since according to the appellant, the

said amendment would be in violation of Section 7(1)(c) of

the Kerala Co-operative Societies Act, 1969. The writ

petition was considered, along with a batch of writ petitions

challenging the constitutional validity of Section 7(1)(c) of

the Kerala Co-operative Societies Act, 1969, since it is a

fundamental right under Article 19(1)(c) of the Constitution

of India to carry out the business. The learned Single Judge

by the judgment impugned in these writ appeals had

declared Section 7(1)(c) of the Kerala Co-operative Societies

Act, 1969 as ultra vires and unconstitutional, since it falls

foul of Article 19(1)(c) of the Constitution of India. In

arriving at the said finding, the learned Single Judge had

relied on the provisions contained in the 97 th amendment of

the Constitution of India. While holding Section 7(1)(c) of

the Kerala Co-operative Societies Act, 1969 as ultra vires to

the 97th Constitutional amendment, the learned Single Judge

had not touched the other core issues raised in the writ

petitions. Further, a direction was issued to the authorities

to consider the applications for registration without

reference to the constitutional invalidated Section 7(1)(c) of

the Kerala Co-operative Societies Act, 1969. It is in this

context, the various Co-operative Societies, who have

questioned the registration of new societies, have come up

in these writ appeals.

3. W.A.No.2005/2016 is also preferred by the State

Government aggrieved by the judgment of the learned

Single Judge in having declared the provisions of Section

7(1)(c) of the Kerala Co-operative Societies Act, 1969 as

ultra vires and unconstitutional.

4. When the matter was taken up for consideration

today, Sri.Vipindas, the learned Senior Government Pleader

appearing for the appellants in W.A.No.2005/2016 pointed

out the judgment of the Hon'ble Supreme Court in Union of

India v. Rajendra N. Shah [AIR 2021 SC 4905], wherein

the Hon'ble Supreme Court has upheld the judgment of the

Gujarat High Court to the extent of striking down Part-IXB of

the Constitution of India.

5. We have perused the judgment of the Supreme

Court and are of the considered view that the learned Single

Judge had completely erred in declaring Section 7(1)(c) of

the Kerala Co-operative Societies Act, 1969 as ultra vires to

the 97th amendment to the Constitution of India. Even at

the time of consideration of the writ petitions, it was the

specific case of the appellant in W.A.No.1680/2016 that the

judgment of the Gujarat High Court was holding the field

insofar as the 97th amendment to the Constitution of India is

concerned.

6. In normal circumstances, all the writ petitions

should have to be dismissed, insofar the challenge to

Section 7(1)(c) of the Kerala Co-operative Societies Act,

1969 is concerned, but Sri. Vipindas, learned Senior

Government Pleader, would submit before us that the other

issues raised in the writ petition have not been considered

by the learned Single Judge in view of the striking down of

Section 7(1)(c) of the Kerala Co-operative Societies Act,

1969.

7. In view of the above, we hereby allow all these Writ

Appeals following the judgment of the Supreme Court in

Rajendra N. Shah (supra) and set aside the judgment of

the learned Single Judge, which are under challenge in these

writ appeals, holding Section 7(1)(c) of the Kerala Co-

operative Societies Act, 1969 as ultra vires. The challenge

to the constitutional validity of Section 7(1)(c) of the Kerala

Co-operative Societies Act, 1969 is hereby thus rejected.

8. Resultantly, all the writ petitions, the judgment of

which are under challenge in these writ appeals, are

restored back to the file and Registry is directed to list these

writ petitions before the learned Single Judge as per roster

for consideration of other issues raised therein, except the

challenge to Section 7(1)(c) of the Kerala Co-operative

Societies Act, 1969.

These Writ Appeals are allowed. No order as to costs.

Sd/-

AMIT RAWAL JUDGE

Sd/-

EASWARAN S. JUDGE jg

 
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