Case Note & Summary
The petitioners, Shree Gopalkrishn Multipurpose Co-operative Society Ltd. and Mr. Prabhanjan Kinjwadekar, filed a writ petition under Articles 14 and 226 of the Constitution of India before the High Court of Bombay at Goa. They sought a writ of mandamus directing the Registrar of Co-operative Societies (Respondent No. 2) to replace the Committee of Administrators of the Goa State Co-operative Bank Ltd. (Respondent No. 3) with representatives from the Member Societies and for other reliefs. The background of the case is that on 22.09.2017, the Registrar passed an order under Section 67A(1)(e) of the Goa Co-operative Societies Act, 2001, holding that a contingency existed and appointed three persons as a Committee of Administrators for a period of six months. Subsequently, on 23.03.2018, the Registrar extended the term of the Committee for another six months from 25.03.2018 to 24.09.2018, with a direction to make arrangements to constitute a new Board of Directors within that extended period. However, the Committee continued even after 24.09.2018 without any further extension order. The petitioners argued that the continued administration beyond the statutory maximum period of six months under Section 67A(2) of the Act was illegal and that the Registrar must be directed to hold elections for a new Board. The respondents, including the State of Goa and the Registrar, opposed the petition, contending that the extension was valid and that the Committee was still functioning. The court analyzed the provisions of Section 67A, particularly sub-section (2), which states that the Committee of Administrators shall hold office for a period not exceeding six months. The court noted that the initial appointment was for six months and the extension for another six months was beyond the statutory limit. The court held that the continued administration beyond the maximum period of six months is without authority of law and directed the Registrar to take immediate steps to constitute a new Board of Directors within six weeks from the date of the order. The court allowed the petition and disposed of it accordingly.
Headnote
A) Constitutional Law - Writ of Mandamus - Article 14 and 226 of Constitution of India - Petitioner sought direction to Registrar to replace Committee of Administrators with representatives from Member Societies - Court held that continued administration beyond statutory period of six months under Section 67A(2) of the Goa Co-operative Societies Act, 2001 is impermissible and directed constitution of new Board within six weeks (Paras 1-10). B) Co-operative Societies - Appointment of Administrators - Section 67A(1)(e) and 67A(2) of Goa Co-operative Societies Act, 2001 - Registrar appointed Committee of Administrators for six months and extended for another six months - Court held that total period of administration cannot exceed six months as per Section 67A(2) and extension beyond that is without authority of law - Directed Registrar to take steps for election of new Board within six weeks (Paras 2-10).
Issue of Consideration
Whether the continued appointment of a Committee of Administrators for the Goa State Co-operative Bank Ltd. beyond the maximum period of six months as prescribed under Section 67A(2) of the Goa Co-operative Societies Act, 2001 is valid and whether the Registrar can be directed to replace the Administrators with a democratically elected Board of Directors.
Final Decision
The High Court allowed the writ petition and directed the Registrar of Co-operative Societies to take immediate steps to constitute a new Board of Directors for the Goa State Co-operative Bank Ltd. within six weeks from the date of the order. The petition was disposed of accordingly.
Law Points
- Article 14
- Article 226
- Section 67A(1)(e) of Goa Co-operative Societies Act
- 2001
- Section 67A(2) of Goa Co-operative Societies Act
