Case Note & Summary
The case involves three Letters Patent Appeals filed by Pune District Central Co-operative Bank Ltd. against orders of a Single Judge dismissing its writ petitions challenging the appointment of Bank Inspectors by the Assistant Registrar, Co-operative Societies, Indapur. The appellant bank is a body corporate registered under the Maharashtra Co-operative Societies Act, 1960. The respondents include various cooperative societies (Harshwardhan Patil Vividh Karyakari Seva Sahakari Sanstha Maryadit, Kalbhairavnath Vividh Karyakari Seva Sahakari Sanstha Maryadit, and Yashraj Vividh Karyakari Seva Sahakari Sanstha Maryadit) and the concerned Registrar. The bank challenged the appointment of a Bank Inspector for the societies, arguing that the appointment was made without giving the bank a hearing and that the Inspector was biased. The Single Judge dismissed the writ petitions on the ground that the appointment under Section 79 of the Act is an administrative function and that the bank had an alternative remedy under Section 152 of the Act. In the appeals, the Division Bench considered whether the appointment of a Bank Inspector is quasi-judicial and whether a writ petition is maintainable. The court held that the appointment is purely administrative and does not require a prior hearing. It further held that the bank should have availed the alternative remedy of approaching the Cooperative Court under Section 152, which has jurisdiction to decide disputes touching the constitution, management, or business of a society. The court dismissed all three appeals, upholding the Single Judge's order, and directed the bank to approach the Cooperative Court if it still wishes to challenge the appointment. The court also disposed of the civil applications.
Headnote
A) Cooperative Law - Appointment of Bank Inspector - Section 79 of Maharashtra Co-operative Societies Act, 1960 - Administrative Function - The appointment of a Bank Inspector under Section 79 is an administrative function and not quasi-judicial. The court held that no prior hearing is required before such appointment, and the remedy lies under Section 152 of the Act by way of dispute resolution, not by writ petition under Article 226. (Paras 4-6) B) Constitutional Law - Maintainability of Writ Petition - Article 226 of Constitution of India - Alternative Remedy - The court held that a writ petition under Article 226 is not maintainable when an alternative statutory remedy under Section 152 of the Maharashtra Co-operative Societies Act, 1960 is available. The appellant bank failed to avail of the alternative remedy. (Paras 5-6) C) Cooperative Law - Dispute Resolution - Section 152 of Maharashtra Co-operative Societies Act, 1960 - Jurisdiction of Cooperative Court - Any dispute touching the constitution, management, or business of a society, including appointment of a Bank Inspector, falls within the jurisdiction of the Cooperative Court under Section 152. The court directed the appellant to approach the Cooperative Court for redressal. (Paras 5-6)
Issue of Consideration
Whether the appointment of a Bank Inspector under Section 79 of the Maharashtra Co-operative Societies Act, 1960 is a quasi-judicial function requiring prior hearing, and whether a writ petition under Article 226 of the Constitution is maintainable against such appointment.
Final Decision
The Division Bench dismissed all three Letters Patent Appeals, upholding the Single Judge's order. The court held that the appointment of a Bank Inspector under Section 79 is an administrative function and not quasi-judicial, and that the appellant bank had an alternative remedy under Section 152 of the Act. The court directed the bank to approach the Cooperative Court if it still wishes to challenge the appointment. The civil applications were also disposed of.
Law Points
- Appointment of Bank Inspector under Section 79 of Maharashtra Co-operative Societies Act
- 1960 is an administrative function
- not quasi-judicial
- no prior hearing required
- writ petition under Article 226 not maintainable against such appointment
- alternative remedy under Section 152 of the Act available.
