Mandatory pre-deposit under the Karnataka Co-operative Societies Act cannot be waived by procedural discretion

Section 105 of the Karnataka Co-operative Societies Act, 1959 requires a 25% deposit of the award amount as a mandatory pre-condition for filing an appeal under Section 441. The Appellate Tribunal has no discretion to dispense with or waive that statutory deposit by invoking Section 151 of the Code of Civil Procedure, 1908. The document states that the requirement is mandatory and that the Tribunal cannot override it through inherent procedural powers.

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Issues: Whether the Appellate Tribunal was justified in rejecting the request to dispense with the statutory deposit of 25% of the award amount while entertaining the appeal.

Analysis: The appeal arose from proceedings under Section 441 of the Karnataka Co-operative Societies Act, 1959. The Court noted that Section 105 of the Act makes deposit of 25% of the award amount a statutory pre-condition for filing the appeal. Since the requirement is mandatory, the Tribunal had no discretion to waive or exempt the deposit by invoking Section 151 of the Code of Civil Procedure, 1908.

Conclusion: The rejection of the application seeking waiver of the pre-deposit was upheld.

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