‘Corrupt’ co-op members to face the music soon

The Registrar of Co-operative societies informed the court that as per the circular, action would be initiated under section 36(1) of the Tamil Nadu Co-operative Societies Act against past or present members of the board, including the presidents and vice-presidents responsible for misappropriation or fraudulent retention of any money or other property or has been guilty of breach of trust, or persistent negligence or gross mismanagement of the societies affairs. 

The inaction of the societies had got into focus after two writ petitions filed by V Muthukrishnan, ex-president, Vandavasi Primary Agricultural Co-operative Credit Society came up before Justice D Krishnakumar. The plea had sought to quash the orders of a co-operative tribunal, which upheld the Deputy Registrar’s order to collect the financial loss of Rs 30.01 lakh from Muthukrishnan. Though the case was remitted back to the tribunal as it had not impleaded the society in which the petitioner was a member, the Judge noting, “It is brought to the notice of this court that in similar matters and in several cases the co-operative department has not initiated action to disqualify the member of the board under section 36(1) of the TN Co-operative Societies Act,” directed the Registrar of Co-operative Societies to submit a report for not taking action against such members.