Case Note & Summary
The petitioners, The Jalna People's Cooperative Bank Ltd. and its General Manager Nandkishore Tank, challenged an order/notice dated 12.08.2010 passed by the Divisional Joint Registrar, Cooperative Societies, Aurangabad. The impugned order directed that as soon as petitioner no.2 (Shri Tank) is served with a show cause notice or receives it, he should be removed from the services of the Bank. The petitioners contended that this direction was contrary to Section 79A(3)(b) of the Maharashtra Cooperative Societies Act, 1960, which requires the Registrar to give a reasonable opportunity of being heard to the person concerned and to consult the federal society before making any order under that subsection. The court heard arguments from the petitioners' counsel and the Assistant Government Pleader for the respondents. The court examined the proviso to Section 79A(3)(b) and found that the direction to remove the employee before any hearing was in clear violation of the statutory mandate. The court held that the impugned order could not be sustained and quashed it. The writ petition was allowed, and rule was made absolute with no order as to costs.
Headnote
A) Cooperative Law - Removal of Employee - Section 79A(3)(b) Maharashtra Cooperative Societies Act, 1960 - Natural Justice - The Divisional Joint Registrar directed removal of petitioner no.2 as soon as he received show cause notice, without prior hearing - Held that such direction violates the proviso to Section 79A(3)(b) which mandates reasonable opportunity of hearing before any order under that subsection - Impugned order quashed (Paras 4-5).
Issue of Consideration
Whether the direction to remove petitioner no.2 from service immediately upon receipt of show cause notice, without affording reasonable opportunity of hearing, is contrary to Section 79A(3)(b) of the Maharashtra Cooperative Societies Act, 1960.
Final Decision
The writ petition is allowed. The impugned order/notice dated 12.08.2010 passed by the Divisional Joint Registrar, Cooperative Societies, Aurangabad is quashed. Rule is made absolute. No order as to costs.
Law Points
- Natural justice
- reasonable opportunity of hearing
- Section 79A(3)(b) Maharashtra Cooperative Societies Act
- 1960
- removal before show cause notice
- consultation with federal society
Case Details
2011 LawText (BOM) (09) 18
Writ Petition No.8059 of 2010
Mr. Anand Chawre for petitioners, Mr. D.R. Kale, A.G.P. for respondents
The Jalna People's Cooperative Bank Ltd. and Nandkishore s/o Kachrulalji Tank
The State of Maharashtra, The Commissioner & Registrar, Cooperative Societies, and The Divisional Joint Registrar
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Nature of Litigation
Writ petition challenging an order/notice of the Divisional Joint Registrar directing removal of petitioner no.2 from service upon receipt of show cause notice.
Remedy Sought
Quashing of the impugned order/notice dated 12.08.2010.
Filing Reason
The impugned order directed removal of petitioner no.2 as soon as he received show cause notice, which was contrary to Section 79A(3)(b) of the Maharashtra Cooperative Societies Act, 1960.
Issues
Whether the direction to remove petitioner no.2 from service immediately upon receipt of show cause notice, without affording reasonable opportunity of hearing, is contrary to Section 79A(3)(b) of the Maharashtra Cooperative Societies Act, 1960.
Submissions/Arguments
Petitioners' counsel argued that the impugned direction to remove petitioner no.2 as soon as he receives show cause notice is contrary to the proviso to Section 79A(3)(b) which mandates reasonable opportunity of hearing before any order under that subsection.
Respondents' counsel (A.G.P.) waived service of rule and did not make specific submissions.
Ratio Decidendi
The proviso to Section 79A(3)(b) of the Maharashtra Cooperative Societies Act, 1960 requires the Registrar to give a reasonable opportunity of being heard to the person concerned before making any order under that subsection. A direction to remove an employee immediately upon receipt of show cause notice, without any hearing, violates this statutory mandate and cannot be sustained.
Judgment Excerpts
Learned Counsel has invited my attention to proviso to clause (b) and submits that before making any order under this subsection, the Registrar shall give a reasonable opportunity of being heard to the person or persons concerned and consult the federal society to which the society is affiliated.
Therefore, according to the learned Counsel for petitioners, such direction issued by the Divisional Joint Registrar to remove petitioner no.2 from the services of petitioner no.1 – Bank as soon as he receives the show cause notice is contrary to the mandate of provisions of Section 79A (3)(b) of the Maharashtra Cooperative Societies Act, 1960.
Procedural History
The petitioners filed Writ Petition No.8059 of 2010 before the Bombay High Court, Aurangabad Bench, challenging the order/notice dated 12.08.2010 passed by the Divisional Joint Registrar, Cooperative Societies, Aurangabad. The court heard the matter on 22nd September 2011 and allowed the petition.
Acts & Sections
- Maharashtra Cooperative Societies Act, 1960: Section 79A(3)(b)
