TMI Blog2017 (7) TMI 1403X X X X Extracts X X X X X X X X Extracts X X X X ..... take such action as is mandated under the Act. When a depositor complains that a society has not honoured its financial commitment which it was legally bound to do, it would be open to the concerned statutory authorities to take such action, as is warranted and mandated under the provisions of the Act and the Rules, to ensure that the society either honours such commitments or that resources are created through due procedure, either by liquidation of the assets of the society or through such other methods, for the purpose of clearing and honouring such liabilities. When such a duty is cast upon the statutory authorities and since such authorities are also in the party array of the respondents in this writ petition, it cannot be concluded ho ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n various precedents in an attempt to garner force for this contention, I find, as I will presently say, in the absence of any dispute regarding liability in repayment and in view of their express and unequivocal admission of such liability, to hold against it and to order this writ petition. 2. The petitioner is also a co-operative society registered under the provisions of the Kerala Co-operative Societies Act and the Rules, who are engaged, inter alia, in banking business. The petitioner says that it is a Class I Special Grade Bank having deposits of more than Rupees One Crore and that it has deposited certain surplus amounts with it in other co-operative institutions as well as in the District Co-operative Bank. The petitioner says ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... has been filed on behalf of the first respondent stating that they are taking all efforts to refund the fixed deposits of the various depositors, including the petitioner, without any delay. The first respondent, however, maintains that it has been unable to make payment on account of its precarious financial position, which they claim is primarily on account of the fall in the price of rubber latex from ₹ 250/-, all the way down to ₹ 125/- in the open market. They also say, in their pleadings on record, that several amounts are due to them from various persons and institutions and that they will be able to repay the fixed deposits if all those amounts are recovered. 6. The first respondent thereafter filed an additional coun ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nder Section 69 thereof. 8. In Association of Milma Officers' (supra), this Court has declared that writ petitions against Co-operative Societies are maintainable when the action complained of amounts to statutory violations and that when the action of the Society, as alleged, falls in a public domain or relates to breach of statutory or public duty, a writ petition can be entertained. In John (supra), a Full bench of this Court reiterated a similar view that a writ will lie against a society only when the duty owed by such society is of a public nature or when there is infringement of any statutory Rule by such Society. As regards Thalappalam Service Co-op. Bank Ltd. (supra) is concerned, the Hon'ble Supreme Court was consideri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as been raised by the Society against payment of the amounts. In Exhibit R1(d) judgment also, it is obvious that the facts involved are completely different. The facts noticed in the said judgment clearly show that there were disputes raised by the Society in that case regarding repayment. It is solely noticing the specific disputes raised by the Society in making payment that the Division Bench relegated the petitioner to invoke statutory remedies. 10. In the present case, there is no such dispute and on the contrary there is full and unqualified admission of liability to make payment of the amounts covered by the fixed deposits. The ratio in all the judgments seen above is indisputable that a writ petition against a Co-operative Societ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the respondents in this writ petition, I am unable to see how the Society can maintain that this writ petition cannot lie, especially since this Court can always modulate the reliefs to be granted, including by issuing directions to the competent statutory authorities to take action against the Society if they fail in their statutory and legal duties. I, therefore, cannot find myself to be in agreement with the submissions of the learned Standing Counsel for the Society that this writ petition is not maintainable and I, therefore, repel the same. 12. Since the Society has admitted the liability and since the only defence taken by them against repayment of the amounts covered by fixed deposits is that they have no fiscal resources to do ..... X X X X Extracts X X X X X X X X Extracts X X X X
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