JAY CO OPERATIVE HOUSING SOCIETY LTD Vs. STATE OF WEST BENGAL
LAWS(CAL)-1994-6-15
HIGH COURT OF CALCUTTA
Decided on June 10,1994

JAY CO-OPERATIVE HOUSING SOCIETY LIMITED Appellant
VERSUS
STATE OF WEST BENGAL Respondents

JUDGEMENT

Ruma Pal, J - (1.) The application has been filed by seven petitioners. The first writ petitioner Is a Co-operative Society, of which the petitioner Nos. 2 to 7 claim to be the Directors. The challenge in this writ application is to an order dated 16th March, 1994 issued by the State Government by which an administrator has been appointed for managing the affairs of the society.
(2.) The factual background to the case is necessary to be stated in order to appreciate the allegations made by the parties. The society was formed in 1978. A Board of Directors was elected. The Board of Directors continued till 1985. In 1985, a second Board of Directors was appointed. On 18th August, 1989, an order v, as passed by the Registrar, being respondent No. 4 appointing an administrator being the respondent No. 5 in place of the Board. The Administrator continued in office for a period of about three years. The terms of the office expired on 19th August, 1992. On 25th January, 1994, an order was passed by the Registrar of Co-operative Societies in exercise of power under section 25(l)(a) of the West Bengal Co-operative Societies Act, 1983 (referred to as 'the Act'), nominating the petitioner Nos. 2 to 7 as the Board of Dirertors of the Society. The order which appointed the petitioners 2 to 7 states that the maximum tenure of the nominated Board would be one year from the date of taking over/ assuming charge. Within that period the nominated Board was required to regularise membership and arrange election to constitute a validly elected Board for running the day to day functioning of the said Society. On 8th February, 1994, the nominated Board assumed charge and according to them they kept the essential services of the society going. However, the erstwhile administrator did not make over charge to the nominated Board nor did he hand over the documents lying with him. The petitioners have stated in paragraph 16 of the petition that they had lodged an FIR in the Gariahat Police Stition end also informed the D.C. (D D.) regarding the handing over the documents by the erstwhile administrator. It is further stated that the Registrar of the Societies was all along kept intimated of the steps taken by the petitioners to obatain records from the erstwhile administrator.
(3.) The impugned order, according to the petitioners, was not communicated to the petitioners but was merely put up on the notice board by the society. The impugned order reads as follows: "Whereas in this Deptt. Notification No. 3404-Coop/A/3P-27/88 dated 18 8.89 the Governor, was pleased in exercise of the power conferred by section 30(2) of the WBCS Act, 1983, to dissolve the then board of directors of Joy Co-operative Housing Society Ltd., 11A Dover Lane, Calcutta-29 (Regd. No. 13/Cal of 1978) (hereinafter referred to as the said society) with immediate effect and to appoint Sri Abja Keshab Chatterjee sol of Shri Aurobinda Chatterjee, 80, Park Street, Calcutta-17, as the administrator of the said society with immediate effect and until further order ; And whereas section 30(2) of the WBCS Act, 1983 clearly stated that the maximum period of tenure of the administrator appointed in terms of section 30(2) ibid is for three years and thereby the terms of administratorship of Shri Abja Keshab Chatterjee automatically expired on 17.8 92 ; And whereas in the office order No. 896 dated 25 1 94, the Registrar of Co-operative Societies, West Bengal, in exercise of the power conferred by sec'ion 25(l)(a) of the WBCS Act, 1983 appointed a nominated board of administrators from the members of the said Society for a period of one year ; And whereas it has been reported to this Deptt. that the nominated board of directors of the aforesaid Society, appointed by the Registrar of Co-operative Societies, West Bengal vide his Order No. 896 dated 25.1.94 has not been able to take full charge of the said Society, namely due to non-making over of the related books of records, etc , by Shri Abja Keshab Chatterjee whose tenure has automatically expired on 17.8.92 and "serious allegations of malpractices have been made against some members of the aforesaid nominated board of directors of the said society by some general members of the some Society ; And whereas the Governor is of the opinion that the aforesaid business of the said Society having virtually came to standstill due to presistent default and negligence in the performance of duties, the responsibilities of management of the said Society should be entrusted to an independent person capable to take objective and neutral view of the entire situation In order to restore normalcy in the affairs of the said Society ; Now, therefore, in exercise of the power conferred by section 7(a) of the WBCS Act, 1983, the Governor is pleased to grant exemption in favours of the said Society from operation of section 30(2) of the WBCS Act in so far as it relates to the tenure of the administrator appointed by the State Government for a period of one year with immediate effect and to appoint Shri Dilip Kumar Banerjee, IAS (Retd ) 11/3 Old Ballygunge, 2nd Lane, Calcutta-700019 as the sole administrator for managing the affairs of the said Society for a period of one year with immediate effect in the interest of the members of the said Society. He should take all possible steps for constitution of a board of directors of the said Society in a regular way during the period of one year ; This Cancels Order No. 896 dated 25.1.94 passed by the Registrar of Co-operative Societies, West Bengal.";


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