Cooperative societies registrar told not to take action against Railways employees society

The Sindh High Court (SHC) has restrained the assistant registrar Cooperative Societies from passing any order in pursuance of the show-cause notice issued to the Pakistan Railways Employees Cooperative Housing Society (PRECHS) till further orders.

The interim order came on a petition filed by the PRECHS that impugned the show-cause notice issued by the assistant registrar of the cooperative societies with regard to functions of the society.

A counsel for the petitioner submitted that the impugned notice was itself issued in derogation of the principles of the natural justice. He alleged that the registrar had first sought illegal gratification and upon refusal of the society’s management to give in to their unlawful demands, the registrar office issued the impugned notice.

The counsel alleged that the respondents had falsely alleged that investment from the funds of the petitioner was utilised for multiple development projects of the petitioner in violation of the cooperative societies’ rules.

He submitted that the respondents wanted to induct new members to obtain unlawful voting rights in order to gain numerical advantage for their ulterior motives. He submitted that the impugned show-cause notice clearly manifested the intent of the respondent to supersede the management of the petitioner society.

The counsel also pointed out that the impugned notice was issued under those provisions of the Co-operative Societies Act and its rules that had been repealed.

The petitioner society sought interim relief from the high court with regard to the registrar office’s show-cause notice and submitted that their right shall be prejudiced and irreparable cause may be done of the impugned notice was not set aside.

The SHC was requested to set aside the notice and restrain the registrar from taking any coercive action against the petitioner.

A division bench of the SHC headed by Justice Mohammad Shafi Siddiqui, after a preliminary hearing of the petition, issued notices to the Sindh advocate general, registrar and others, and called their comments on July 23.

The court directed the petitioner to reply to the show-cause notice but restrained the cooperative societies registrar from passing any order in pursuance of the impugned notice.