- 1 - HC-KAR NC: 2025:KHC:22276 WP No. 20605 of 2023 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 25TH DAY OF JUNE, 2025 BEFORE THE HON'BLE MR JUSTICE ANANT RAMANATH HEGDE WRIT PETITION NO. 20605 OF 2023 (L-RES) BETWEEN: TEACHERS CO-OPERATIVE BANK LTD., HEAD OFFICE, BALIGA TOWERE, NEAR BUS STAND, UDUPI - 576101 REPRESENTED BY ITS GENERAL MANAGER, (THE PETITIONER SOCIETY IS REGISTERED UNDER KARNATAKA CO-OPERATIVE SOCIETIES ACT 1959) …PETITIONER (BY SRI DEVI PRASAD SHETTY, ADVOCATE) AND: 1. THE STATE OF KARNATAKA, DEPARTMENT OF COOPERATION, M S BUILDING, BENGALURU - 560001, REPRESENTED BY ITS PRINCIPAL SECRETARY. 2. THE LABOUR OFFICER AND THE CONTROLLING AUTHORITY UNDER THE PAYMENT OF GRATUITY ACT 1972, LABOUR OFFICE, UDUPI SUB DIVISION, RAJATHADRI, 1ST FLOOR, A201, MANIPAL, UDUPI - 576104, UDUPI DISTRICT. 3. SRI RAJASHEKAR MADHYASTA, S/O U KUPPANAM, AGED ABOUT 67 YEARS, R/O SATYA, MASTI KATTE. MOODABIDRE - 574227, DAKSHINA KANNADA DISTRICT. …RESPONDENTS (BY SMT PRATHIBHA R K, AGA FOR R1 AND R2, SRI B S SACHIN, ADVOCATE FOR R3) Digitally signed by C HONNUR SAB Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR NC: 2025:KHC:22276 WP No. 20605 of 2023 THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASHING THE ORDER PASSED BY THE R-2 DTD 13.04.2022 IN NO.PGA/CR-26/2021 PRODUCED AS ANNX-B. THIS PETITION COMING ON FOR ORDERS THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR JUSTICE ANANT RAMANATH HEGDE ORAL ORDER This petition is filed against the order dated 13.04.2022. In terms of the said order, the petitioner's contention that the Controlling Authority has no jurisdiction to adjudicate the dispute between the petitioner and respondents is rejected. 2. Aggrieved by the said order, the petitioner is before this Court. 3. Third respondent who is the employee of the petitioner approached the Controlling Authority to claim gratuity from the petitioner. The petitioner is a Cooperative Bank registered under the Karnataka Cooperative Societies Act, 1959 (for short 'Act, 1959'). - 3 - HC-KAR NC: 2025:KHC:22276 WP No. 20605 of 2023 The petitioner raised a contention that since the respondent is an employee of the bank registered under the Act, 1959, the dispute between the petitioner and respondents is covered under Section 70 of Act, 1959. 4. Third respondent who is the petitioner before the Controlling Authority submits that Payment of Gratuity Act, 1972 (for short 'Act, 1972') is a self contained Code and it has jurisdiction to decide on question of Payment of Gratuity existing under Section 70 of the Act, 1959. 5. Learned counsel for the petitioner would submit that Section 70 of the Act, 1959 prevails over the provisions of the Payment of Gratuity Act, 1972 and the Controlling Authority erred in rejecting the contention relating to the jurisdiction. It is his further submission that the petitioner Bank has already raised a dispute under Section 70 of the Act, 1959 contending that 3rd respondent employee is not entitled to claim on certain earned leave and to recover excess amount paid. Thus, he would - 4 - HC-KAR NC: 2025:KHC:22276 WP No. 20605 of 2023 contend that the Controlling Authority has no jurisdiction to decide the question relating to Payment of Gratuity claimed by 3rd respondent. 6. Learned counsel for respondents on the other hand would rely upon the judgment of the coordinate Bench of this Court in The Manager vs. The Deputy Registrar of Co-Op. Societies, Belgaum1. 7. The coordinate Bench of this Court has taken a view that dispute relating to gratuity payable to an employee of a cooperative society registered under the Act, 1959 is also coming under the purview of Act, 1972. This being the position, this Court is of the view that the Controlling Authority is justified in rejecting the petitioner's contention. 8. As far as the contention raised by the petitioner that it has raised a dispute relating to excess payment made on account of erroneous calculation made relating to 1 2007 1 AIR Kar. 139. - 5 - HC-KAR NC: 2025:KHC:22276 WP No. 20605 of 2023 earned leave. It is made clear that said dispute is to be adjudicated by the Registrar of Cooperative Societies Act before whom the dispute is pending. 9. Both disputes pending before the Controlling Authority and before the Assistant Registrar of Cooperative Society are different and have to be decided by the respective authorities. 10. Under these circumstances, this writ petition is dismissed. Both the parties shall cooperate for early disposal of the application pending before the Controlling Authority. Sd/- (ANANT RAMANATH HEGDE) JUDGE CHS List No.: 1 Sl No.: 8