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Section 128-A and Article 19(1)(C), Act: Karnataka Cooperative Societies Act, 1959

Section 128-A and Article 19(1)(C)

Act: Karnataka Cooperative Societies Act, 1959

Details:

  • Section 128-A: This provision, introduced in 2023, granted the Registrar of Cooperative Societies extensive powers to control the recruitment, transfer, and disciplinary actions of employees in cooperative societies. Essentially, it gave the Registrar almost complete authority over the human resources management of these societies.

  • Article 19(1)(C): This constitutional provision guarantees the right to form associations or unions. It is a fundamental right that allows individuals to associate for various purposes, including the formation of cooperative societies.

Comparisons:

  • Scope: Section 128-A directly interfered with the internal management of cooperative societies, specifically in the area of human resources. Article 19(1)(C) is a more general right that encompasses the formation of associations for various purposes.

  • Intent: Section 128-A was intended to provide the Registrar with greater control over cooperative societies. Article 19(1)(C) is intended to protect the freedom of individuals to associate for various purposes, including the formation of cooperative societies.

  • Relationship: The Karnataka High Court held that the right to form a cooperative society under Article 19(1)(C) includes the right to manage its internal affairs, including employee management. Therefore, Section 128-A was deemed to be inconsistent with this constitutional provision.

Key Arguments and Court's Reasoning:

  • Petitioners' Arguments: The petitioners argued that Section 128-A violated their rights under Article 19(1)(C) by infringing on their ability to manage their internal affairs, including the recruitment, transfer, and discipline of their employees.

  • State's Arguments: The State contended that cooperative societies, as non-citizen entities, cannot claim fundamental rights and that the State has the power to regulate their affairs.

  • Court's Reasoning: The Court rejected the State's argument, finding that cooperative societies have a right to autonomy in managing their internal affairs, including employee management. The Court held that Section 128-A was an excessive restriction on this fundamental right and was therefore unconstitutional.

Conclusion:

The Karnataka High Court's ruling striking down Section 128-A as unconstitutional is a significant victory for cooperative societies in Karnataka. It reaffirms their right to self-governance and protects them from excessive government interference in their internal affairs. The decision also has broader implications for the autonomy of cooperative societies across India and highlights the importance of balancing government regulation with the fundamental rights of citizens.


Disclaimer:

This information is intended to provide a general overview of the legal issues involved and is not a substitute for professional legal advice. Please consult with an attorney for specific advice regarding your legal situation.

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