- 1 - NC: 2025:KHC:10682 WP No. 7299 of 2025 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 14TH DAY OF MARCH, 2025 BEFORE THE HON'BLE MR JUSTICE SURAJ GOVINDARAJ WRIT PETITION NO.7299 OF 2025 (CS-RES) BETWEEN: NO.2760 CHETTALLI PRIMARY AGRICULTURAL CO-OPERATIVE SOCIETY LIMITED (PREVIOUSLY KNOWN AS NO.2760, PRATHAMIKA KRUSHI PATHINA SAHAKARA SANGHA NIYAMITHE CHETTALLI, SOMAVARPET TALUK KODAGU DISTRICT, CHETTALLI KUSHALNAGAR TALUK KODAGU DISTRICT REPRESENTED BY THE PRESIDENT SRI.BALLARANDA. M. UTHAPPA SON OF LATE MANDANNA AGED ABOUT 65 YEARS RESIDING AT ERALEVALAMUDI VILLAGE KUSHALNAGAR TALUK KODAGU DISTRICT-571 248. IT IS REGISTERED UNDER CO-OPERATIVE SOCIETIES ACT, 1959 …PETITIONER (BY SRI. BALAKRISHNA A, ADVOCATE) AND: 1. THE ASSISTANT REGISTRAR OF COOPERATIVE SOCIETIES MADIKERI SUB-DIVISION Digitally signed by SHWETHA RAGHAVENDRA Location: HIGH COURT OF KARNATAKA - 2 - NC: 2025:KHC:10682 WP No. 7299 of 2025 MADIKERI KODAGU DISTRICT-571 248. 2. THE DEPUTY REGISTRAR OF CO-OPERATIVE SOCIETIES MADIKERI SUB-DIVISION MADIKERI KODAGU DISTRICT-571 248 …RESPONDENTS (BY SRI.YOGESH D NAIK, AGA) THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO DIRECTION AS THE CASE MAY BE AGAINST THE RESPONDENTS NO.1 AND 2 FOR DIS-OBEYING THE ORDER OF STAY DATED 28-8-2024 VIDE ANNEXURE-L PASSED IN W.P.NO.13973 OF 2024(CS) IN ACCORDANCE WITH LAW AND ETC. THIS PETITION, COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR JUSTICE SURAJ GOVINDARAJ ORAL ORDER 1. Learned AGA accepts notice for respondent Nos.1 and 2. 2. The petitioner is before this Court seeking for the following reliefs; " i) Issue an appropriate writ, order or direction to issue a Writ in the nature of Certiorari or any other Writ, Order or direction as the case may be - 3 - NC: 2025:KHC:10682 WP No. 7299 of 2025 against the respondent Nos.1 and 2 for dis- obeying the order of stay dated 28.08.2024 vide Annexure-L, passed in W.P.No.13973 of 2024(CS) in accordance with law. ii) Issue an appropriate Writ, order or direction to quash the show cause notice dated 30.09.2024 passed in No.AR35:RSR:V:64:01:2024-25 by the first respondent vide Annexure-M. iii) Issue an appropriate writ, order of direction the Notice dated:26.11.2024 vide No.AR35/ Enquiry/2024-25 issued by the First Respondent vide Annexure-O. iv) Issue an appropriate Writ, order, or direction to quash the Final Notice dated 14.02.2025 vide No.AR35/Enquiry/2024-25 issued by the First Respondent vide Annexure-P, in the interest of justice and equity." 3. The contention of Sri.Balakrishna A, leaned counsel for the petitioner is that an enquiry under Section 65 of the Karnataka Co-operative Societies Act, 1959 (for short 'Act') could not be directed to be conducted in terms of the order dated 14.02.2025 at Annexure-P. 4. His further submission is that the petitioner having challenged the notice under Section 29C of the said Act in W.P.No.13973/2024 and the said notice having been stayed by this Court in W.P.No.13973/2024 - 4 - NC: 2025:KHC:10682 WP No. 7299 of 2025 vide order dated 28.08.2024, no proceedings under Section 64 of the said Act could be taken up. 5. This issue has been dealt with by this Court in Vidyagiri House Building Co-operative Society Limited Vs. The Registrar of Co-operative Societies in Karnataka1. This court has come to a categorical conclusion that the proceedings under Section 64 of the said Act are independent of that under Section 65 of the said Act and the outcome of the Section 65 proceedings would not have any bearing on Section 64 proceedings. 6. In so far as the second contention raised by the learned counsel for the petitioner that the surcharge proceedings under Section 29C of the said Act have been stayed by this Court, I am of the opinion that the said proceedings would also have no bearing on Section 64 proceedings. An inquiry under Section 29C are insofar as disqualification. The proceedings 1 W.P.No.14468/2020, dated 12.11.2024 - 5 - NC: 2025:KHC:10682 WP No. 7299 of 2025 under Section 64 are as regards the working and financial condition of the co-operative Society. There being allegation in the present matter as regards certain embezzlement etc., of funds of the society, inquiry has been ordered by the Registrar under Section 64 of the said Act. That inquiry is completely different from the disqualification proceedings under Section 29C of the Act. As such, the stay of the 29C notice will not in any manner have any impact on the inquiry to be conducted under Section 64 of the said Act. 7. In view of the above findings, no grounds being made out, the petition stands dismissed. SD/- (SURAJ GOVINDARAJ) JUDGE NBM List No.: 1 Sl No.: 52