- 1 - HC-KAR NC: 2025:KHC:29192 WP No. 19219 of 2025 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 29TH DAY OF JULY, 2025 BEFORE THE HON'BLE MR. JUSTICE B M SHYAM PRASAD WRIT PETITION NO. 19219 OF 2025 (GM-KSR) BETWEEN: 1. SRI. KALIDASA KURUBARA JANAGADA KSHEMABHIVRUDDI SANGA (R) GADDIGE CIRCLE, H.D KOTE TALUK AND SARAGURU TALUK, MUSURU DISTRICT - 571 114, REPRESENTED BY ITS PRESIDENT. 2. SRI. KALIDASA KURUBHA JANAGADA KSHEMABHIVRUDDI SANGHA (R) GADDIGE CIRCLE, H.D KOTE TALUK AND SARAGURU TALUK, MUSURU DISTRICT - 571 114, REPRESENTED BY ITS CHIEF SECRETARY PETITIONERS' SOCIETIES ARE REGISTERED UNDER THE SOCIETY REGISTRATION ACT-1960 …PETITIONERS (BY SRI. SANDESH T.B, ADVOCATE) Digitally signed by VANAMALA N Location: High Court of Karnataka - 2 - HC-KAR NC: 2025:KHC:29192 WP No. 19219 of 2025 AND: THE DEPUTY REGISTRAR OF CO OPERATIVE SOCIETIES AND DISTRICT REGISTRAR OF SOCIETIES MYSURU DISTRICT - 570 001. …RESPONDENT (BY SRI. RAHUL CARIAPPA, AGA) THIS WP IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASHING THE INTIMATION LETTER DATED 06.05.2025, IN SERIAL BEARING NO. DRM/C- 12/1/SANGHA-SAMSTHE/CR-03/2025-26 PASSED BY THE RESPONDENT VIDE ANNEXURE-J AND ETC., THIS PETITION, COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE B M SHYAM PRASAD - 3 - HC-KAR NC: 2025:KHC:29192 WP No. 19219 of 2025 ORAL ORDER The petitioner – a society registered under the Karnataka Society Registration Act, 1960 [for short 'the Act'] - is aggrieved by the respondent's Communication dated 06.05.2025 [Annexure-J]. The respondent, by his Communication 06.05.2025, has informed the petitioner that audited returns have not been filed for the years 2021-2022 to 2023-2023 [three consecutive years] with necessary approval from the AGM. 2. Sri Sandesh T.B., the learned counsel for the petitioner and Sri Rahul Cariappa, the learned Additional Government Advocate for the respondent, are heard for the final disposal of the petition in the backdrop of Section 13 of the Act, which reads as under: "13. Balance sheet and annual list of governing body to be filed with Registrar.- On or before the fourteenth day succeeding the day on which the annual - 4 - HC-KAR NC: 2025:KHC:29192 WP No. 19219 of 2025 general meeting of a society is held, there shall be filed with the Registrar a list of the names, addresses and occupations of the members of the governing body then entrusted with the management of the affairs of the society and a copy of the balance sheet and income and expenditure account audited by a person who under section 226 of the Companies Act, 1956 [Central Act 1 of 1956], can act as an auditor of companies registered in the State of Karnataka. Provided that if for any sufficient reason a society has not filed the list of members of governing body and a copy of balance-sheet and income and expenditure account on or before the fourteenth day of the Annual General Body meeting of the Society it may make an application to the Registrar to condone the delay and permit to file the records and the Registrar may if he is satisfied that there are sufficient reasons for the delay in filing such records, condone the delay and permit the society to file such records subject to payment of fine as may be prescribed and where no sufficient reasons - 5 - HC-KAR NC: 2025:KHC:29192 WP No. 19219 of 2025 are shown, he may after giving an opportunity of being heard to the society reject the application and return such records to the society: Provided further that, where a society has failed to file such records for a consecutive period of five years, the Registrar, may after giving a reasonable opportunity of being heard to the society, by an order cancel the registration of such society and direct dissolution of the society, and thereupon the assets of the society shall be distributed, and the liabilities discharged in the same manner as if the society had been dissolved under section 22. Explanation: - For the purpose of this proviso, where the application filed by a society to condone the delay in filing records for any year is rejected and the records are returned under the first proviso, such society shall be deemed to have failed to file records for that year.]" 3. This Court must opine, given the first proviso to Section 13 of the Act, that if a Society - 6 - HC-KAR NC: 2025:KHC:29192 WP No. 19219 of 2025 has failed to file its balance sheet and the list of members of the governing body, the Registrar can condone the delay in exercising the powers under Section 13 of the Act. If the default is for a period of five years and more, the consequence of cancellation of the registration is invited, but that must also be after an opportunity. In the present case, according to the petitioner, the members of its previous Managing Committee, for reasons, had not filed the Books of Accounts and the list of members of the governing body, but with the New Managing Committee being constituted, the accounts are completed and approved by the AGM. 4. This Court must opine that, in view of the law and the circumstances pleaded, the respondent ought to have examined whether there could be a condonation as provided under the first proviso to Section 13 of the Act and the failure to examine has resulted in an improper to exercise of statutory duty. Therefore, there is reason for - 7 - HC-KAR NC: 2025:KHC:29192 WP No. 19219 of 2025 interference. This Court opines that the petition must be allowed-in-part calling upon the respondent, within a period of 15 days from the date of receipt of a certified copy of this order, to extend an opportunity of hearing to the petitioner and decide on the condonation of delay and approval of the balance sheet. It will be needless to observe that this disposal cannot foreclose any enquiry that would be permissible under Section 25 of the Act against those who could be responsible either for alleged misappropriation or any other default. The petition is partly allowed with directions as aforesaid. Sd/- [B M SHYAM PRASAD] JUDGE VM List No.: 2 Sl No.: 6 CT: BHK