APEX COURT HELD THAT
1. LOCUS STANDI — NON-PARTY AFFECTED PERSON
Appeal — Locus standi — Person not impleaded in writ proceedings — Where impugned judgment operates in rem and prejudicially affects rights of co-operative societies not heard, such affected persons are “aggrieved” and entitled to maintain appeal — Non-impleadment does not bar challenge.
(Paras 13 to 13.2)
2. MAINTAINABILITY — WRIT AGAINST CO-OPERATIVE SOCIETIES
Constitution of India — Article 226 — Maintainability — Co-operative societies — Where societies are autonomous member-driven bodies, neither “State” under Article 12 nor discharging public duty, and dispute relates to internal management and electoral process, writ jurisdiction is not maintainable — High Court erred in entertaining writ petitions.
(Paras 14 to 14.9)
3. ALTERNATIVE REMEDY — STATUTORY BAR
Rajasthan Co-operative Societies Act, 2001 — Sections 58, 60, 100, 104–107 — Election disputes — Where statute provides complete adjudicatory mechanism before Registrar for disputes relating to elections, management and validity of bye-laws, writ petition bypassing such efficacious remedy is not maintainable in absence of exceptional circumstances — High Court erred in bypassing statutory scheme.
(Paras 15 to 15.12)
4. STATUTORY SCHEME — ROLE OF BYE-LAWS IN ELECTIONS
Co-operative Societies — Elections — Section 32 of Act, 2001 — Where statutory scheme integrates Act, Rules and bye-laws as composite framework governing elections, bye-laws validly regulate society-specific aspects including eligibility and participation, subject to consistency with statute — Exclusion of bye-laws from election process is impermissible.
(Paras 17 to 17.2)
5. RIGHT TO VOTE VS RIGHT TO CONTEST
Elections — Co-operative societies — Distinction — Where right to vote and right to contest are distinct statutory rights, right to contest being subject to qualifications and eligibility conditions, regulation of candidature does not affect right to vote — High Court erred in conflating both.
(Paras 18 to 18.7)
6. ELIGIBILITY VS DISQUALIFICATION
Co-operative Societies Act, 2001 — Section 28 — Bye-laws — Eligibility criteria — Where bye-laws prescribe objective conditions relating to performance, participation and functional engagement, such provisions constitute eligibility criteria and not disqualifications — Absence of eligibility does not attract statutory disability — High Court erred in treating them as disqualifications.
(Paras 19 to 19.7)
7. VALIDITY OF BYE-LAWS — WITHIN STATUTORY FRAMEWORK
Co-operative societies — Bye-laws — Validity — Where bye-laws prescribing conditions such as audit classification, continuity of operations and minimum supply of milk are rational, uniformly applicable and within statutory powers under Act, 2001, they are valid and consistent with object of ensuring efficiency and active participation — High Court erred in striking them down.
(Paras 6.1, 17, 19)
