BELGAUM DISTRICT CENTRAL CO-OPERATIVE BANK LTD. v. REGISTRAR
2003-06-03
N.K.PATIL
body2003
DigiLaw.ai
( 1 ) THE petitioner assailing the correctness of the order dated 18th January 2001 passed by the Karnataka Appellate Tribunal, Bangalore, (hereinafter referred to as the Tribunal) in Appeal No. 451/2000, has presented this writ petition. The respondents 3 to 12 herein have filed the appeal before the Tribunal in Appeal No 451/2000, feeling aggrieved by the orders passed by the Joint Registrar of Co-operative Societies, Belgaum dated 12th May 2000 regarding attachment of immovable property as provided under Section 103 of the Karnataka Co-operative Societies Act (hereinafter referred to as the Act) which was subsequently confirmed by the second respondent by his order dated 9th June 2000. ( 2 ) THE appeal filed by the respondents 3 to 12 before the Tribunal had come up for consideration on 18th January 2001. After considering the oral and documentary evidence and after hearing both the parties, the Tribunal has allowed the appeal and set aside the impugned order passed by the second respondent on the ground that the matter was pending adjudication before the second respondent and observed that the dispute under Section 70 of the Act is to safeguard the interest of the society and this aspect of the matter has been completely overlooked by the Joint Registrar of Co-operative Societies and accordingly, allowed the appeal filed by the respondents 3 to 12. Feeling aggrieved by the said impugned order, passed by the Tribunal, the petitioner herein Bank has presented this writ petition. ( 3 ) THE principal submission canvassed by the learned counsel appearing for the petitioner is that, the impugned order passed by the Tribunal is contrary to the material on record. As a matter of fact, the petitioner has challenged the impugned order passed by the Joint Registrar of Co-operative Societies, Belgaum dated 12th May 2000 and the same was confirmed on 9th June 2000 for attachment of immovable properties of the respondents 3 to 12. The Tribunal ought to have set aside the order dated 12th may 2000 only so far as the attachment of immovable properties is concerned and ought not to have set aside the confirmation order dated 9th June 2000. Therefore, the Tribunal has erred in passing these impugned order.
The Tribunal ought to have set aside the order dated 12th may 2000 only so far as the attachment of immovable properties is concerned and ought not to have set aside the confirmation order dated 9th June 2000. Therefore, the Tribunal has erred in passing these impugned order. Further, he vehemently submitted that the order passed by the Joint Registrar of Co-operative Societies, Belgaum for attachment of immovable property as provided under Section 103 of the Act against respondents 3 to 12 has been made taking into consideration that respondents 3 and 4 are making an attempt to alienate the property to the third parties and create the third party rights inspite of a charge already in existence, namely entry in the RTC records an also entry in the encumbrance certificate before the concerned Sub-Registrar Office. If this aspect of the matter is taken into consideration, the Tribunal ought not to have allowed the appeal filed by respondents 3 to 12 and reversed the order passed by the Joint Registrar of Co-operative Societies, Belgaum. Therefore, it is submitted that the impugned order passed by the Tribunal is liable to be set aside. ( 4 ) PER contra, the learned counsel appearing for the contesting respondents 3 to 12, inter alia, contended and justified that the Tribunal has rightly allowed the appeal and set aside the order passed by the Joint Registrar of Co-operative Societies, Belgaum by holding that the order passed by the Joint Registrar of Co-operative Societies is not supported by any genuine reasons and hence the order passed suffers from various infirmities The Tribunal has rightly interfered and passed the said order. Further, he submitted that the respondents 3 and 4 or the respondents 5 to 12 are not making any attempts to alienate the property Merely on an apprehension, the petitioner Bank has approached this Court and hence the said writ petition is liable to be dismissed. ( 5 ) I have heard the learned counsel appearing for the petitioner and the learned counsel appearing for the respondents for considerable length of time and re-evaluated the entire material available on record. After carefully perusing the impugned order passed by the Tribunal, I do not find any error of law, or illegality committed by the Tribunal.
( 5 ) I have heard the learned counsel appearing for the petitioner and the learned counsel appearing for the respondents for considerable length of time and re-evaluated the entire material available on record. After carefully perusing the impugned order passed by the Tribunal, I do not find any error of law, or illegality committed by the Tribunal. The Tribunal has given its specific finding that the Joint Registrar of Co-operative Societies, has drawn wrong inference contrary to the material on record and without following the relevant provisions of the Act has invoked the extraordinary provisions. Before exercising the said power, the Joint Registrar of Co-operative Societies ought to have taken due caution and has not made any sincere efforts to find out whether there is any attempt as such made by the respondents 3 to 12 to alienate the property in respect of the suit schedule property hypothecated to the petitioner Bank. Therefore, the Tribunal held that when the matter was pending adjudication under Section 70 of the Act, before the second respondent herein, the Joint Registrar of Co-operative Societies ought not to have passed the order, attaching the immovable property as provided under Section 103 of the Act. Therefore, in my considered view, the order passed by the Tribunal is a well considered order Because, in the instant case, it is not disputed by the learned counsel appearing for the petitioner that here is no charge as on this date. He fairly submitted that there is a charge and inspite of that there is likelihood of the respondents 3 and 4 to alienate the property which has been hypothecated to the petitioner Bank To the respondents 3 and 4. Further, he fairly submitted that by directing the respondents 3 and 4 not to alienate the suit schedule property to any third parties, it would safeguard the interest of the petitioner Bank. The learned counsel appearing for the respondents 3 to 12 inter alia contended and submitted that the said submission made by the learned counsel appearing for the petitioner that respondents 3 and 4 are likely to alienate the property which has been hypothecated to the petitioner Bank is only an apprehension. In my view, there is considerable force in the submission of the learned counsel appearing for the respondents.
In my view, there is considerable force in the submission of the learned counsel appearing for the respondents. Merely on the basis of an apprehension, he cannot seek a relief from this court and interfere with the well considered order passed by the Tribunal. Therefore, having gone into the matter in detail as stated above, I do not find any justification to interfere with the impugned order passed by the Tribunal. ( 6 ) HAVING regard to the facts and circumstances of the case, as stated supra, and taking into consideration the factual legal aspects of the matter, I do not find any good grounds to interfere with the impugned order passed by the Tribunal. Hence, the writ petition is liable to be dismissed. Accordingly it is dismissed. However, the second respondent is directed to dispose of the dispute as expeditiously as possible after affording an opportunity to respondents 3 to 12. Further, the respondents 3 and 4 are hereby directed not to make any attempt to alienate the property or create any third party rights in respect of the suit schedule property which has been hypothecated to the petitioner Bank, pending disposal of the dispute before the second respondent. ( 7 ) WITH these observations, the writ petition stands disposed of. ( 8 ) SRI. M. Keshava Reddy, learned Government Pleader is given four weeks time to file his memo of appearance. --- *** --- .