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2025 DAILYLAW 81788 (KAR)

BALLEKERE MILK PRODUCERS v. THE STATE OF KARNATAKA

WP/26259/2025 · 2025-09-04

R Nataraj

body2025

Judgment text

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- 1 - HC-KAR NC: 2025:KHC:34859 W.P. No.26259/2025 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 4TH DAY OF SEPTEMBER, 2025 BEFORE THE HON'BLE MR. JUSTICE R. NATARAJ WRIT PETITION NO.26259/2025 (CS-RES) BETWEEN: BALLEKERE MILK PRODUCERS CO-OPERATIVE SOCIETY LTD., REGISTERED UNDER CO-OP. SOCIETIES ACT BALLEKERE VILLAGE, ALAGHATTA POST KADUR TALUK, PIN CODE: 577 548 CHICKMAGALUR DISTRICT REPRESENTED BY ITS SECRETARY. …PETITIONER (BY SRI. A.M. MAHESHWARAPPA, ADV.,) AND: 1. THE STATE OF KARNATAKA DEPARTMENT OF CO-OPERATIVE M.S. BUILDING, BANGALORE-1 REPRESENTED BY ITS PRINCIPAL SECRETARY. 2. THE REGISTRAR OF CO-OPERATIVE SOCIETIES DEPARTMENT OF CO-OPERATIVE ALI ASKER ROAD, BANGALORE-560 001. 3. THE COMMISSIONER CO-OPERATIVE ELECTION AUTHORITY K.H. ROAD, BANGALORE-560 027. 4. THE DEPUTY COMMISSIONER Digitally signed by SUMA Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR NC: 2025:KHC:34859 W.P. No.26259/2025 CHICKMAGALUR DISTRICT CHICKMAGALUR - 577 101. 5. THE ASSISTANT COMMISSIONER RETURNING OFFICER CHICKMAGALUR SUB-DIVISION CHICKMAGALUR - 577 101. 6. THE MANAGING DIRECTOR D.C.C. BANK LTD., CHICKMAGALUR - 577 101. 7. THE ASSISTANT REGISTRAR OF CO-OPERATIVE SOCIETIES TARIKERE SUB-DIVISION CHICKMAGALUR DISTRICT-577 228. …RESPONDENTS (BY SRI. YOGESH D. NAIK, AGA FOR R1, R2, R4, R5 & R7 SRI. A. DEVARAJ, ADV., FOR R3 V/O/DTD:04.09.2025 NOTICE TO R6 D/W) THIS W.P. IS FILED UNDER ARTICLE 226 AND 227 OF THE CONSTITUTION OF INDIA, PRAYING TO ISSUE A WRIT OF MANDAMUS DIRECTING THE R6 BANK TO CONSIDER THE REPRESENTATION OF PETITIONER SOCIETY TO BECOMING THE SHARE HOLDER OF THE BANK AS PER ANNEXURE-F DATED 21.11.2024 TO THE WP. DIRECTED THE R6 BANK TO APPROVE THE MEMBERSHIP OF THE PETITIONER SOCIETY & ETC. THIS PETITION, COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE R. NATARAJ - 3 - HC-KAR NC: 2025:KHC:34859 W.P. No.26259/2025 ORAL ORDER The petitioner has sought for a writ in the nature of mandamus to direct the respondent No.6 to consider its representation to become a shareholder of the respondent No.6 and to approve its membership. 2. It appears that the petitioner is a Milk Producers Co-operative Society, which purportedly was extending loan to its members by utilizing the assistance provided by respondent No.6. The petitioner proposed to become a member of the respondent No.6. Therefore, it subscribed to the share of the respondent No.6 and a share certificate for a sum of Rs.1,000/- was issued on 31.10.1998. The petitioner however was not admitted as a member as it did not comply the other formalities. Later the respondent No.6 increased the share amount to a sum of Rs.5,000/-. Therefore, the petitioner after a resolution at 20.03.2024 approached the respondent No.6 on 20.06.2024 to become a member by subscribing the enhanced share value. In that regard, the respondent No.6 addressed a letter dated 24.07.2024 to the petitioner to furnish necessary documents. The petitioner furnished the documents to respondent No.6 on 21.11.2024. The petitioner contends that - 4 - HC-KAR NC: 2025:KHC:34859 W.P. No.26259/2025 the respondent No.6 instead of considering the representation and allowing the petitioner to become a member, addressed a letter dated 17.01.2025 calling upon the petitioner to furnish audit report and bye-laws of the society and hence returned the proposal. The petitioner is therefore before this Court, seeking for a direction to the respondent No.6 to issue the share certificate and admit it as a member. The petitioner contends that an election notification is issued proposing to hold the election on 13.09.2025. 3. Learned counsel for the petitioner reiterated the above contentions and prayed that a direction be issued to the respondent No.6 to consider their prayer. 4. Per contra, the learned Additional Government Advocate submits that the petitioner was called upon by the respondent No.6 to furnish additional documents and that the petitioner has not furnished the same. He further submits that the election notification proposing to hold elections on 13.09.2025 is withdrawn and therefore, the petitioner may be directed to furnish the documents as per the letter of respondent No.6 dated 24.07.2024. He submits that if the - 5 - HC-KAR NC: 2025:KHC:34859 W.P. No.26259/2025 petitioner furnishes the same, the respondent No.6 may be directed to consider the request of the petitioner. 5. I have considered the submissions of the learned counsel for the petitioner and the learned Additional Government Advocate for the respondent No.6. 6. The petitioner being a Secondary Co-operative Society, is entitled to become a member of the respondent No.6 by subscribing to the share capital of the respondent No.6. If the petitioner is an existing society and if its bye laws allow the petitioner to subscribe to the share capital of the respondent No.6, it is entitled to become a member of respondent No.6. However, it is for the petitioner to produce all necessary documents to establish that it is entitled to become a shareholder as well as a member of the respondent No.6. 7. In that view of the matter, this writ petition is disposed off directing the petitioner to furnish the documents as sought for by the respondent No.6 in terms of its letter dated 24.07.2024. If the petitioner furnishes the documents as per the letter dated 24.07.2024 within a period of one week - 6 - HC-KAR NC: 2025:KHC:34859 W.P. No.26259/2025 from today, the respondent No.6 shall consider the same in accordance with law within a period of two weeks thereafter. 8. Learned Additional Government Advocate as well as the learned counsel for the respondent No.3 are permitted to file a memo appearance within a period of ten days Sd/- (R. NATARAJ) JUDGE BKN List No.: 1 Sl No.: 32