Case Note & Summary
The petitioner, S. Rudrappa, a retired cashier of The Mysore Merchants Co-op. Society Ltd., was compulsorily retired on 16.09.1986. He challenged the order by filing a dispute under Section 70 of the Karnataka Co-operative Societies Act, 1959. The Departmental Arbitrator upheld the order, and the Karnataka Appellate Tribunal and a learned Single Judge also dismissed his challenges. However, in Writ Appeal No.2470/1997, the Division Bench allowed the appeal on 23.06.2000 and remanded the matter to the Departmental Arbitrator. During the remand proceedings, a compromise was reached between the petitioner and the respondents, and the respondents handed over a pay order for Rs.2,30,000/- to the petitioner. The compromise was accepted and recorded by the Departmental Arbitrator. Despite this, the petitioner filed the present writ petition in 2014 seeking to set aside the orders of the Departmental Arbitrator dated 30.12.2006 and the Karnataka Appellate Tribunal dated 21.9.2013. The High Court held that the writ petition was not maintainable because the dispute had been compromised and the petitioner had accepted the benefits. Additionally, the petition suffered from gross delay and laches, as the challenge was to an order of compulsory retirement passed in 1986, and the petitioner had not diligently pursued his remedies. The court dismissed the petition with no order as to costs.
Headnote
A) Constitutional Law - Writ Jurisdiction - Delay and Laches - The High Court declined to entertain a writ petition filed after 28 years challenging a compulsory retirement order, as the petitioner had earlier compromised the dispute and accepted benefits, and the petition suffered from gross delay and laches. (Para 4)
B) Co-operative Societies - Compromise - Binding Effect - A compromise entered into before the Departmental Arbitrator and acted upon by the parties is binding and cannot be reopened in writ proceedings. (Para 3)
C) Service Law - Compulsory Retirement - Challenge after Compromise - Once a dispute regarding compulsory retirement is settled by compromise and the employee accepts monetary benefits, the challenge to the original order is not maintainable. (Para 3-4)
Issue of Consideration
Whether the writ petition challenging the order of compulsory retirement passed in 1986 and the subsequent orders of the Departmental Arbitrator and the Karnataka Appellate Tribunal is maintainable after a compromise was entered into and after an inordinate delay of nearly 28 years.
Final Decision
The writ petition is dismissed. No order as to costs.
Law Points
- Delay and laches
- Compromise decree binding
- Writ jurisdiction discretionary
- Co-operative Societies Act dispute resolution
Case Details
2014 LawText (KAR) (03) 39
Writ Petition No.7640/2014 (S-RES)
The Secretary, The Mysore Merchants Co-op. Society Ltd., The President, The Mysore Merchants Co-op. Society Ltd., The Joint Registrar of Co-operative Societies
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Nature of Litigation
Writ petition under Articles 226 and 227 of the Constitution of India challenging orders of compulsory retirement and subsequent appellate orders.
Remedy Sought
Petitioner sought to set aside/quash the orders of the 3rd respondent (Joint Registrar) dated 30.12.2006 and the Karnataka Appellate Tribunal dated 21.9.2013.
Filing Reason
Petitioner was compulsorily retired on 16.09.1986; his challenge through dispute under S.70 of the Act was unsuccessful before the Departmental Arbitrator, Tribunal, and Single Judge; Writ Appeal was allowed and matter remanded; compromise was entered into and accepted; petitioner still sought to challenge the orders.
Previous Decisions
Departmental Arbitrator upheld compulsory retirement; Karnataka Appellate Tribunal dismissed appeal; learned Single Judge dismissed petition; Writ Appeal No.2470/1997 allowed on 23.06.2000 and matter remanded; compromise recorded by Departmental Arbitrator.
Issues
Whether the writ petition is maintainable after a compromise was entered into and acted upon?
Whether the writ petition suffers from delay and laches?
Submissions/Arguments
Petitioner argued that the orders of the Departmental Arbitrator and the Tribunal were erroneous and sought their quashing.
Respondents contended that the matter was compromised and the petitioner accepted the benefits, and the petition is barred by delay and laches.
Ratio Decidendi
A writ petition challenging an order of compulsory retirement is not maintainable when the dispute has been compromised and the petitioner has accepted the benefits thereunder. Additionally, the petition is liable to be dismissed on the ground of gross delay and laches, as the challenge is to an order passed in 1986 and the petitioner did not diligently pursue the remedy.
Judgment Excerpts
An order of compulsory retirement passed against the petitioner on 16.09.1986 by the respondents, when questioned in a dispute filed under S.70 of the Karnataka Co-operative Societies Act, 1959 having not been interfered with by the learned Departmental Arbitrator, Karnataka Appellate Tribunal and the learned Single Judge, W.A.No.2470/1997 filed by the petitioner was allowed by a Judgment dated 23.06.2000.
The case having been remanded to the Departmental Arbitrator and a compromise petition having been filed and the respondents having handed over to the petitioner a pay order for `2,30,000/-, the compromise was accepted and the dispute was disposed of.
In the instant case, the order of compulsory retirement was passed on 16.09.1986. The petitioner has approached this Court in the year 2014. The petition suffers from gross delay and laches.
Procedural History
Petitioner was compulsorily retired on 16.09.1986. He filed a dispute under S.70 of the Karnataka Co-operative Societies Act, 1959. The Departmental Arbitrator upheld the order. Appeals to the Karnataka Appellate Tribunal and a learned Single Judge were dismissed. Writ Appeal No.2470/1997 was allowed on 23.06.2000 and the matter was remanded. During remand, a compromise was reached and the dispute was disposed of. Petitioner then filed the present writ petition in 2014 challenging the orders of the Departmental Arbitrator dated 30.12.2006 and the Tribunal dated 21.9.2013.
Acts & Sections
- Karnataka Co-operative Societies Act, 1959: Section 70
- Constitution of India: Articles 226, 227