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2003 DIGILAW 646 (KAR)

FRIENDS ASSOCIATION v. REGISTRAR OF SOCIETIES

2003-08-06

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( 1 ) THE petitioner is a registered Society under the provisions of the Karnataka Societies Registration Act, 1960. It is claimed that the Society is in existence ever since 1910 and had been registered under the Mysore Companies Regulation No. III of 1904 in the name and style of M/s. Friends Union; that it has been re-registered as M/s. Friends Association in the year 1985 and which is now registered under the Karnataka Societies Registration Act, 1960. ( 2 ) THE grievance of the petitioner is that though the Secretary of the Society has filed before the Registrar a copy of the audited balance sheet of the income and expenditure for the year 2000-2001 and also a list of the members of the managing Committee of the Society, the respondent has not issued acknowledgment for the same. ( 3 ) THE act of non-acknowledging the filing of the audited accounts for the year 2000-2001 and also non-recognition of the names of the members of the managing Committee of the Society has resulted in harassment to the petitioner Society, by the Police Authorities who are saying that the petitioner Society cannot continue to function, as its registration has not been renewed and that they will action against them. ( 4 ) PETITIONER has produced an acknowledgment issued by the respondent for the year 1999-2000, a copy of which is produced at Annexure-D. Along with the acknowledgment a fee of Rs. 100/- has been received. ( 5 ) SRI. Shyam Sundar, learned Counsel for the petitioner submits that the respondent is under a legal duty under Section 13 of the Act, to acknowledge the receipt of such audited accounts of the Society as in the earlier year and also of the filing of the names of the members of the managing Committee of the Society and the acknowledgment as such constitutes a piece of evidence for the Society to demonstrate is registration being current, which enables the petitioner Society to claim that it is so recognized by the Registrar of Societies. Learned Counsel submits that the inaction on the part of the respondent has resulted in considerable difficulty and harassment to the petitioner Society. Learned Counsel submits that the inaction on the part of the respondent has resulted in considerable difficulty and harassment to the petitioner Society. Therefore, prays that the respondent may be directed to issue an acknowledgment in favour of the petitioner pursuant to the filing of the returns and filing of the annual audits accounts and the list of the members of the managing Committee etc. , as required under Section 13 of the Act. ( 6 ) STATEMENT of objections has been filed on behalf of the respondent. It is inter alia asserted that the petitioner has not approached the Court with clean hands and the petition deserved to be dismissed in limine, that the petitioner has concocted certain documents for the purpose of this case and to create evidence in favour. It is averred that Annexure-E, F and G are such created documents for the purpose of the case Paragraph 4 containing such averments reads as follows:- the respondent submits that the documents which the petitioner referred at Annexure E, F and G are created for the purpose of this case in Order to create documentary evidence in this regard. ( 7 ) HOWEVER, the next paragraph indicates that the petitioner Society has in fact submitted that balance sheet for the year ending 31-3-1999 and list containing the names of the members of the Executive Committee for the year 2000-2001 and the same was submitted by the Secretary of the Association on 16-5-2000. It is also averred that this has not been responded to or acknowledged, as there is an allegation by the Circle Inspector of Police, Gubbi Town, vide his letter dated 25-2-2002 stating that there is some illegal activities being carried on in the Association, resulting in disturbance of public peace and tranquility in the area and that the Police Authorities have requested the Registrar of Societies to cancel the registration of the Association. It is further averred that though the Registrar called the Police Inspector to submit a detailed report as per his letter dated 25-2-2002, there was no response and as such a further letter was addressed to the Circle Inspector, who by his reply dated 25-5-2002 has reported that the location of the Society known as Friends Association Club, Gubbi Town, being in the midst of a public library, it is causing nuisance to school going children and also to persons attending Court work, that the club is likely to cause an adverse impact on the residents in the vicinity of the club and as there is increase in thefts in Gubbi Town and as there is a possibility of such anti-social elements seeking shelter in the club, the registration should be cancelled. A copy of this letter is produced as Annexure R-1. It is not indicated as to what subsequent action has been taken by the Registrar, on receipt of this letter dated 25-5-2002. ( 8 ) UNDER the Societies Registration Act, it is incumbent upon every Society to file all the names and addresses of the members of the governing body and also to file the balance sheet of income and expenditure accounts by persons competent to do so, to be filed on or before 14 days from the date of holding of an annual general body meeting of the Society. It is the case of the petitioner, as submitted by its learned Counsel that the Society has been diligently submitting such returns and list of names of the members all along and for the year 1999-2000 also it has been filed and it is duly approved and it is only there after in the year 2000-2001, there has been problems and the respondent has refused to acknowledge receipt of the same and issue a receipt as at Annexure-D which had been issued for the year. ( 9 ) HOWEVER, statement of objections filed on behalf of the respondent indicates that the respondent has not issued such a receipt and acknowledgment, acting on the information received from the police officials. The returns filed under Section 13 has to be accepted by the Registrar and if at all the Registrar finds anything wrong, he could hold an enquiry. The returns filed under Section 13 has to be accepted by the Registrar and if at all the Registrar finds anything wrong, he could hold an enquiry. Even with regard to any illegal activities being carried on, in the premises of the Society, the Registrar is competent to hold an enquiry in this regard and cancel the registration as provided under Section 27 of the Act. In the instant case, the Registrar has neither acknowledged the returns filed under Section 13 of the Act nor has he initiated any action as per Section 27 of the Act proposing cancellation of the registration of the Society on the premise that the Society is indulging in illegal activities. ( 10 ) STATEMENT of objections filed, itself reveals that it has been filed in a very casual and very irresponsible manner. While in paragraph 4, the petitioner is accused of concocting the documents, in the very next paragraph, there is an admission that the returns for the year 2000-2001 has been filed, but, it is the respondent who has not acknowledged the same, in view of certain information received from the Police Authorities. The very statement of objections indicates that it is the respondent who has been stating facts incorrectly and has sworn to an affidavit in support of such incorrect statement of objections filed on his behalf. Court proceedings are treated in a very casual and irresponsible manner. Statement of objections containing the correct facts are filed without bestowing any thought and allegations of serious nature are made, even when there is dereliction on the part of the Registrar both in complying with the requirement of Section 13 by acknowledging the returns filed and also in not taking action as per Section 27, if there was any truth at all in the report of the Inspector of Police. It is also a fact, as submitted by the learned Counsel for the petitioner, that no criminal case is filed, against the Society or its members so as to be charged of any offence. Even the so called letter of the Inspector Police, copy of which is produced at Annexure R-1 is rather vague and seeks to generalize and does not pin point anything as against the Society or any of its illegal activities or even on the part of its members. Even the so called letter of the Inspector Police, copy of which is produced at Annexure R-1 is rather vague and seeks to generalize and does not pin point anything as against the Society or any of its illegal activities or even on the part of its members. The respondent, who is conferred power under the Act, is expected to exercise that power in accordance with the statutory provisions and in conformity with fair play and justifiable reasons. The manner in which the respondent has filed the statement of objections only betrays lack of diligence and shows total lack of responsible attitude in discharging his duties. This Court can only deprecate such conduct on the part of the respondent and wishes that there will a better response to the Court proceedings and no irresponsibility on the part of the respondent in the discharge of the Official duties. ( 11 ) THIS writ petition is allowed. The respondent is directed to acknowledge the returns filed by the petitioner for the year 2000-2001 and also to issue a receipt on collecting the proper fee as he has done for the earlier year. Having regard to the negligent and irresponsible manner in which the respondent has responded to this petition the case, the respondent is mulcted with costs in a sum of Rs. 5,000/ -. Rule issued and made absolute. --- *** --- .