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2004 (3) TMI 802

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..... ation for a term of five years on 4-1-1997, i.e., upto 3-1-2002. On 18-10-2000, an Ordinance namely, Madhya Pradesh Sahakari Societies (Punargathan Aur Nirman) Adhyadesh, 2000, was promulgated with a view to reconstitute the existing State Co- operative Societies in the State of Madhya Pradesh by excluding their area of operation, the part of territory of the State, and to form a new body namely, Chhattisgarh State Co-operative Marketing Federation for the new State of Chhattisgarh which was to come into existence on 1-11-2000. In view of the promulgation of the aforesaid Ordinance, the new body came into existence on 30-10-2000. Annexure P-2 is a copy of certificate of registration. In view of Section 3(2) of the aforesaid Ordinance seven Directors of the Chhattisgarh area continued to remain as Directors. The petitioner assumed charge of the Office of Chairman on 30th October, 2000. Sub-section (7-A) of Section 49 of the M.P. Co-operative Societies Act, 1960 (for short 'the Act') provides that term of the Committee of a society shall be five years from the date on which the first meeting of the committee is held. Thus, in view of Sub-section (7-A) of Section 49 of the .....

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..... ontinue upto 3-1-2003, and therefore, the petitioner has prayed that a writ in the nature of certiorari be issued and quash the order dated 10-1-2002 passed by the Registrar and the Registrar may be directed to allow the committee of the society to continue in their respective offices till 3-1-2003. Return has been filed on behalf of respondent Nos. 1 and 2, in which they have mentioned that the State of Madhya Pradesh has not been arrayed as party to the petition, therefore the petition is liable to be dismissed. The State of Madhya Pradesh is a necessary party. The order of respondent No. 2 is strictly in accordance with the provisions of the Act. It is submitted that the order dated 28-10-2000 deals with the extension of the tenure of non-agricultural and non-credit Apex Societies. The nature and category of respondent No. 3 is already adjudicated by the Madhya Pradesh State Co-operative Tribunal, Bhopal, in Revision No. 18/2002. The petitioner's wife namely, Smt. Ranjit Kaur, has already moved the State Co-operative Tribunal, Bhopal, copy of which is filed as Annexure R-3, for the same relief and the subject-matter is already pending before the Tribunal, therefore the pe .....

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..... a look at the relevant provisions which are extracted hereinbelow :-- Section 49, Sub-section (7-A) (i).-- The term of the committee shall be five years from the date on which first meeting of the committee is held : Provided that where a committee superseded, suspended or removed under the Act is reinstated as a result of any order of any Court or Authority, the period during which the committee remained under supersession, suspension out of office as the case may be, shall be excluded in computing the period of the term aforesaid. (ii) The term of the representative elected by the committee of the society shall be co-terminus with the term of the committee of the society for which representative is elected : Provided that the representative of a committee shall continue to hold his office till the expiry of the term of the committee of which he is a member. (7-AA) The State Government may, by notification, for reasons to be stated therein, extend the term of the committee of a society or a class of societies from time to time, for a total period not exceeding twelve months. (7-AAA) Notwithstanding the expiry of the maximum period of eighteen months specified .....

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..... of any society from one head to another. (3) The decision of the Registrar in respect of classification of societies shall be final. Sub-section (2) of Section 3 of the Madhya Pradesh Sahakari Society (Punargathan Aur Nirman) Ordinance, 2000 (published in the Extra-ordinary Gazette, dated 18th October, 2000) reads as under :-- Notwithstanding anything contained in the Madhya Pradesh Co-operative Societies Act, 1960 (No. 17 of 1961) and Rules made thereunder, the registration of the existing societies shall not be cancelled and the office bearers, the Directors and the representatives of the existing societies shall continue in their respective offices in the reconstituted or the corresponding new societies, as the case may be, depending upon the area in which the society, represented by such an office bearer, director or representative is situated, till the expiry of their term under the provisions of Madhya Pradesh Go-operative Societies Act, 1960 (No. 17 of 1961) : Provided that in case of the Madhya Pradesh Rajya Sahakari Avas Sangh, the office bearers of existing Society shall continue to hold their respective offices in the reconstituted society for Madhya Prades .....

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..... Sub-section (7-AA) of Section 49 of the Act by the erstwhile State of M.P. was not adopted by the State of Chhattisgarh, therefore on that count also the Board of Marketing Federation was not entitled to continue upto 3rd January, 2003. He further argued that the Marketing Federation is an agricultural and credit Apex Society, therefore, the petitioner can not derive the benefit out of the notification dated 28-10-2000 as the same was applicable in the case of only non-agricultural and non-credit societies. The learned Counsel for the petitioner further argued that in view of Sub-section (f) of Section 2 of the M.P. Reorganisation Act, 2000 (for short 'the Act, 2000'), law includes any enactment, ordinance, regulation, order, bye-law, rule, scheme, notification or other instrument having, immediately before the appointed day, the force of law in the whole or in any part of the existing State of Madhya Pradesh. It is true that as per Sub-section (f) of Section 2 of the Act, 2000, all the laws including any enactment, ordinance, regulation, order, bye-law, rule, scheme, notification or other instruments which were having the force of law before the appointed day in th .....

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..... tion has been put at item No. (11) in the category of Processing Society. Therefore, the Marketing Federation being the Processing Society is not an agricultural or credit society. This argument of the learned Counsel for the petitioner, prima facie on the face of it, looks to be attractive and impressive, but when we put it to scrutiny then the argument is misconceived. If we look into the classification made by the Registrar under Section 10 of the Act, he has not classified the Societies in the category of agricultural or credit societies or non-agricultural or non-credit societies. Therefore, in order to decide the question as to whether the Marketing Federation is a non-agricultural and non-credit society, we have to look into the bye-laws of the Society. Bye-law No. 3 lays down the objects of the Marketing Federation, viz., to develop and assist the activities of the Co-operative Marketing Federation, co-operative fruit and vegetable production, marketing of the same, co-operative cold storage, monitoring and supervision of the Societies. The objects of the Society also include the sale of the agricultural produce, fruits and vegetables. The objects further include the collec .....

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..... of the committee, the committee of the society shall appoint returning officer who shall conduct the election of the committee within 180 days from the date of the expiry of the term. Sub-section (8) (ii) of Section 49 of the Act, lays down that if the committee fails to hold election and has not handed over the charge on expiration of the term, under Sub-section (7- A) or extended term under Sub-section (7-AA) to the Registrar or any officer authorized by him on his behalf, all the members of the committee shall be deemed to have vacated their seats and the Registrar shall assume charge and hold election as early as possible. In this connection, we may look into the petition to find out whether in the situation, the Board of the Marketing Federation requested the Registrar ninety days before the expiration of the term of the Board, i.e., 3-1-2002. As has been discussed and held above, the Marketing Board and the petitioner were not entitled to continue under the notification dated 28-10-2000, whereby the period of one year was extended to the non-agricultural and non-credit societies. Therefore, under these situations, the term of the Board of Directors of the Marketing Federat .....

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..... hat no letter dated 27-9-2001 (Annexure A-1) was ever received in the Office of the Registrar, Co-operative Societies, Raipur, at any point of time, for holding the elections. Therefore, on affidavit it has been made clear by the Steno to the Registrar that no request was received for holding the elections. Even if we look into that request dated 27-9-2001 (Annexure A-1) same was not made by the Board of Directors/Committee, but only by the petitioner and his wife. In the main body of the petition it has not been mentioned that any request was made by the petitioner ninety days before the expiry of the term. Therefore, in this petition, the petitioner has failed to establish that the Board of Directors made any request for holding elections ninety days before 3-1-2002. It is further clear from the pleadings of this petition as well as W.P. No. 2230/2001 that the petitioner convened meeting of the Board on many occasions, but quorum was never complete and in all such meetings, out of 14 Directors only two or three Directors were present and the petitioner as the Chairman was not able to transact the business of the Board on account of non-co-operation of other Directors. Therefor .....

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