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Issues: Whether the petitioner was entitled to continue as Chairman of the Marketing Federation beyond the original tenure on the strength of the notification extending the term of non-agricultural and non-credit apex societies, and whether the Registrar lawfully assumed charge after expiry of the term.
Analysis: The relevant provisions of Section 49 of the M.P. Co-operative Societies Act, 1960 required the outgoing committee to hold elections before expiry of the term and permitted the Registrar to assume charge only if the committee failed to hold elections and failed to hand over charge on expiry of the term. The Court also examined the effect of Section 3(2) of the Madhya Pradesh Sahakari Societies (Punargathan Aur Nirman) Ordinance, 2000, and Sections 2(f) and 79 of the M.P. Reorganisation Act, 2000, and held that the statutory and adapted regime continued to operate in Chhattisgarh. On the facts, the Federation's bye-laws showed that it was engaged in agricultural and financial activities and therefore did not fall within the category of a non-agricultural and non-credit society covered by the notification dated 28-10-2000. The petitioner also failed to establish that the Board had made a valid request for holding elections ninety days before expiry of the term. The challenge based on non-availability of an alternative remedy was rejected because the matter turned on legal interpretation.
Conclusion: The petitioner was not entitled to continue beyond the original term, and the Registrar's assumption of charge was upheld.
Final Conclusion: The writ petition failed on merits, and the impugned action was sustained, resulting in dismissal of the challenge.
Ratio Decidendi: A committee cannot claim continuation beyond its term on the basis of an extension notification that applies only to a different class of societies, and in the absence of a valid pre-expiry request for elections the Registrar may assume charge after the term expires.