Delegations Under Different Co-Operative Laws Cannot Be Clubbed To Attract Section 21 Bar Under Karnataka State Co-Operative Societies Act: Karnataka High Court
Isabella Mariam
The High Court of Karnataka at Dharwad, Single Bench of Justice M. Nagaprasanna dismissed two writ petitions challenging the nomination of a delegate to vote in the elections of a District Central Cooperative Bank, while allowing a third petition where the delegate had already voted twice under the Karnataka Cooperative Societies Act, 1959. The dispute concerned whether prior delegations made under the Karnataka Souharda Sahakari Act, 1997 and the Multi-State Cooperative Societies Act, 2002 could be counted toward the statutory bar under Section 21 of the 1959 Act. The Court held that delegations under different enactments cannot be aggregated for this purpose, but clarified that a third delegation under the 1959 Act itself would attract the statutory prohibition.
The petitioners, who were delegates of different cooperative societies, questioned the inclusion of respondent No.6 or its delegate in the voters’ list for the ensuing elections. They contended that respondent No.6 had already exercised its right of delegation on two prior occasions and that a third nomination would violate Section 21 of the Karnataka Cooperative Societies Act, 1959.
In two petitions, it was alleged that the earlier delegations were made under different enactments, namely the Karnataka Souharda Sahakari Act, 1997 and the Multi-State Cooperative Societies Act, 2002. The petitioners argued that the statutory bar under Section 21 applied irrespective of the enactment under which the previous delegations were made. The respondents contended that the earlier delegations were not under the Karnataka Cooperative Societies Act and therefore could not be aggregated. In the third petition, it was admitted that the delegate had already voted twice under the Karnataka Cooperative Societies Act, and the dispute centered on whether a third such delegation was permissible.
The Court framed the issue and observed, “Whether delegations exercised under Cognate Cooperative Enactments are to be aggregated for the purpose of enacting bar under Section 21 of the Karnataka Cooperative Societies Act, 1959?” It further observed, "The statutory interdiction is against nominating a delegate, to more than two cooperative societies, which is intended to curb monopolization of voting power. Therefore, the rigour of Section 21 of the Act mandates that a delegate cannot vote, on more than two occasions, of a cooperative society, registered under the Cooperative Societies Act."
The Court recorded, “If all the three delegations of the present delegate is to the Societies registered under the Cooperative Societies Act, it would have been a circumstance altogether different, while it is not.” It noted that the first delegation was under the Souharda Act and the second under the Multi-State Act. It then observed, “Therefore, the three delegations are to those societies coming under three different enactments.”
The Court further stated, The cooperative societies coming under the Cooperative Societies Act, is distinct and separate, so are the societies coming under the Souharda Act and the Multi-State Act. Therefore, the delegation, the third in line, is in effect the first, to a society under the Cooperative Societies Act...It is not only the nomenclature that is different in the case at hand, the very definition of a cooperative society under the Act clearly means a society registered or deemed to have been registered under this Act. This Act would be, the Act. Section 21 bars more than two occasions voting by a delegate to a cooperative society, which would obviously mean, a society under the Cooperative Societies Act. This cannot be made applicable to every enactment, notwithstanding them being cognate".
While dealing with reliance placed on earlier decisions, the Court observed, “the judgment does not deal with delegation or interpretation of Section 21 of the Act.” It also recorded that “following the judgments quoted by the learned counsel for the petitioners, without looking into the facts of the present case, runs foul of what the Apex Court holds.”
In respect of the third petition, the Court observed, “Section 21(3) of the Act bars a member once nominated by the Board of the Co-operative Society to vote in an election twice over.” It further stated, “Therefore, the bar under Section 21(3) would kick in.”
The Court ordered, “W.P.No.107749/2025 and W.P.No.107758/2025, stand dismissed. W.P.No.107803/2025 is allowed. Impugned list as Annexure-A in W.P.No.107803/2025, so far as it relates to Sl.No.20 (delegate Form No.060) in respect of respondent No.6 and its delegate stands quashed.” Pending applications, if any, stood disposed.
Advocates Representing the Parties:
For the Petitioners: Sri G.R. Gurumath, Senior Counsel; Sri Mallikarjunswamy Hiremath, Advocate; Sri Raviraj C. Patil, Advocate; Sri Shripad J. Joshi, Advocate
For the Respondents: Smt. Nandini Somapur, AGA; Sri Gurudass Kannur, Senior Advocate; Sri Sourabh Hegde, Advocate; Sri Vishwanath Hegde, Advocate; Sri Aruna Shyam M., Senior Advocate; Sri Mallikarjunaswamy Hiremath, Advocate
Case Title: Mohan & Ors. v. State of Karnataka & Ors.
Case Number: W.P. No. 107749 of 2025 C/W W.P. No. 107758 of 2025 and W.P. No. 107803 of 2025
Bench: Justice M. Nagaprasanna
