The Kerala High Court has intervened in a contentious dispute at the Karassery Cooperative Bank in Kozhikode, ordering a two-week status quo on the bank's administration. This interim order effectively freezes any changes to the bank's management following the removal of its elected committee by the registrar of cooperative societies.
Court Halts Registrar's Order
Justice P Gopinath issued the interim order on a petition filed by Surendra Lal, an elected member of the bank's committee. Lal challenged the order issued by the joint registrar of cooperative societies in Kozhikode, which had removed the entire elected committee from its position.
The petitioner's core argument is that the joint registrar acted beyond his authority. The elected committee's tenure is supposed to last until November 2027. Lal contended that instead of following the proper procedures outlined in Rule 43A of the Kerala Cooperative Societies Rules, which govern no-confidence motions, the registrar simply superseded the elected body.
Allegations of Illegal Membership Grants and Forgery
The petition paints a picture of internal conflict and alleged malpractice. It claims that the bank's president, N K Abdu Rahman, a former KPCC member, colluded with members of the CPM due to differences with other elected members.
The alleged scheme involved an illegal attempt to transfer control of the society. This was done, according to the petition, by granting 'A' class membership to numerous individuals without convening a required committee meeting or passing resolutions as mandated by Rule 16 of the society's rules.
The petition raises serious allegations of data manipulation. It states that the president, along with politically influential individuals, manipulated bank records, software systems, and computer entries. This manipulation allegedly made it appear that more than 800 memberships had been granted, despite the total 'A' class membership being only 771.
Adding weight to these claims, employees of the bank have filed a separate police complaint alleging forgery of computer entries using their login IDs. Lal has filed an additional petition on this specific issue of alleged forgery, which is also pending before the High Court.
Legal Process Moves Forward
In response to the petition, the court has issued formal notices to all respondents, including bank president N K Abdu Rahman. The court has scheduled the next hearing for both the main petition and the related forgery petition on December 17 for further consideration.
The two-week status quo period ordered by Justice Gopinath will maintain the current administrative setup until the court can examine the complex allegations in greater detail. This case highlights the tensions that can arise within cooperative societies and the critical role of the judiciary in upholding procedural integrity.
