Research › Browse › Judgment

Karnataka High Court · body

1989 DIGILAW 270 (KAR)

KALIDASA KURUBARA SANGHA v. DEPUTY COMMISSIONER AND DISTRICT REGISTRAR OF SOCIETIES

1989-08-09

M.P.CHANDRAKANTARAJ

body1989
M. P. CHANDRAKANTHARAJ, J. ( 1 ) PETITIONER is a Trust. Originally it was represented by its President, When the petition was filed, the Court pointed out that a Trust cannot maintain a suit by only one of the trustees. Thereafter by i. A. I 4 others who claim to be trustees asked to be impleaded as interveners. ( 2 ) THE prayer in the writ petition is to quash the order of the Deputy Commissioner in his capacity as District Registrar of Societies. The impugned order is at annexure-E. It states that the petitioner- trust ought not to use in its correspondence its nomenclature as Trust as it is a society registered under the Karnataka societies Registration Act, 1960. Aggrieved by that order as at Annexure-E, the trust has prayed for quashing of the same. ( 3 ) THAT the Kurubara Community did not form a Society to provide for the welfare and education of the students belonging to the community in the name and style of "kurubara SANGHA, CHANNAPATNA" is not disputed- It has constructed a hostel from the liberal contributions received from the members of the community. Later on, the hostel was thrown up to the members of all communities. It claims that the Bye-laws of the society were amended permitting it to convert itself into a Trust. It is further alleged that at the General Body Meeting held on 26-12-1982, it was resolved to convert the society into a Trust so that there may be no scope for bickerings in future. In other words, the need for conversion had arisen on account of the misunderstandings among the members of the society. ( 4 ) IN the mean while the Deputy commissioner had directed an inquiry under Section 25 (1) of the Karnataka societies Registration Act into the affairs of the society. It is in that circumstance that the petitioner-Trust has now come forward claiming that there is no society which is required to be investigated under section 25 (1) as the society has become a Trust as evidenced by Annexure-C, a true copy of the deed of Trust. ( 5 ) ONCE a body of persons incorporate themselves under Section 3 of the Act in accordance with the provisions contained therein, then that body of persons will be governed by the provisions of law which regulate the conduct of such a body incorporated under the Act. ( 5 ) ONCE a body of persons incorporate themselves under Section 3 of the Act in accordance with the provisions contained therein, then that body of persons will be governed by the provisions of law which regulate the conduct of such a body incorporated under the Act. Section 22 of the Act provides for dissolution of societies and adjustment of its affairs. It reads as follows : -"22 Provision for dissolution of societies and adjustment of their affairs:- Any number not less than three-fourths of the members of any society may determine that it shall be dissolved and thereupon it shall be dissolved forthwith, or at the time then agreed upon, and all necessary steps shall be taken for the disposal and settlement of the property of the society, its claims and liabilities, according to the rules of the said society applicable thereto, if any, and if there are no such rules, as the governing body shall find expedient, provided that, in the event of any dispute arising among the said governing body or the members of the society, the adjustment of its affairs shall be referred to the principal court of original civil jurisdiction of the district in which the registered office of the society is situate; and the court shall make such order in the matter as it shall deem requisite: provided that no society shall be dissolved unless three-fourths of the members shall have expressed a wish for such dissolution by their votes delivered in person, or where proxies are allowed, by proxy, at a special general meeting convened for the purpose : provided further that whenever the state Government is a member of, or a contributor to or otherwise interested in any society registered under this Act, such society shell not be dissolved without the consent of the State Government. " ( 6 ) FROM the provision made in Section 22, it is clear particularly from the proviso that unless 3/4th's of the members express a wish to dissolve the society at a special general meeting, either voting by person or by proxy, society shall continue to be in existence. No material has been placed before the Court so far that such a dissolution had taken place. No material has been placed before the Court so far that such a dissolution had taken place. The allegation that at the meeting held on 26-12- 1982, a resolution was passed to convert it into a Trust does not amount to dissolution of the society under Section 22. Therefore, this Court must come to the conclusion that the society continues to be in existence and it will not be open to some members to constitute a Trust and deem that the society has been dissolved and act as such. Therefore, the respondent Deputy commissioner is justified in directing the society not to use the name 'trust' in its correspondence particularly when he has directed investigation into its affairs of the society under Section 25 of the Act ( 7 ) THE petition is misconceived, therefore, it is rejected without expressing any view about the validity of the Trust created by the deed of Trust produced as at Annexure-C to the petition. Writ petition rejected. --- *** --- .