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CDJ 2025 JKHC 274 print Preview print Next print
Court : High Court of Jammu and Kashmir
Case No : WP.(C). No. 3065 of 2025 & CM. No. 8198 of 2025
Judges: THE HONOURABLE MR. JUSTICE SANJAY DHAR
Parties : Mohammad Latief Dar Versus Union Territory of J & K & Others
Appearing Advocates : For the Petitioner: Tasaduq H. Khawaja, Sr. Advocate, Naseer, Advocate. For the Respondents: Faheem Shah, GA.
Date of Judgment : 23-12-2025
Head Note :-
Subject
Summary :-
1. Statutes / Acts / Rules Mentioned:
- J&K Cooperative Societies Act, 1989

2. Catch Words:
- interim relief
- competence
- appointment
- election
- Managing Director
- Board of Directors
- writ petition

3. Summary:
The petitioner challenged an order appointing Ms. Ulfat Jabeen as interim Managing Director of the State Cooperative Bank, arguing the Government lacked authority in the absence of a Board. The Court noted the bank currently has no Board and prior orders reinstating the petitioner as Managing Director with limited powers remain in force. While acknowledging the need for day‑to‑day management, the Court declined to stay the impugned order to avoid hardship to the bank and its customers. The petition was admitted for further hearing, with directions for filing counter‑affidavit and rejoinder. The main petition is listed for hearing on 26‑02‑2026.

4. Conclusion:
Relief Denied
Judgment :-

1. The petitioner through the medium of present writ petition has challenged Order No.49-JK(Coop) of 2025 dated 14.10.2025, whereby Ms Ulfat Jabeen, Special Secretary to the Government, Cooperative Department has been given charge of interim Managing Director of the State Cooperative Bank in addition to her own duties pending further developments and decision of the competent authority, including holding of elections for a new Board of Directors.

2. Heard learned counsel for the parties on the question of grant of interim relief and perused record of the case.

3. The contention of learned Sr.Counsel appearing for the petitioner is that the impugned order has been issued by the Government without any authority or competence, inasmuch as, the nominated Board of Directors of J&K Cooperative Bank has outlived its life and at present there is no Board of Directors, either nominated or elected in place. Therefore, the Government of UT of Jammu and Kashmir does not have any authority or competence to pass any order with respect to the aforesaid Cooperative Bank. On this ground it has been urged that the impugned order is non-est in the eyes of law.

4. There is no dispute to the fact that at present the Jammu & Kashmir State Cooperative Bank is without any Board of Directors, either nominated or elected. The attempts of the respondents to extend the life of nominated Board met with rejection from this Court in terms of Judgment dated 07.04.2023 passed in WP(C) No.174/2023, which was upheld by the Division Bench.

5. The petitioner, who was the Managing Director State Cooperative Bank, was removed in terms of Order No.22/DIVK of 2020 dated 16.05.2020 and was attached to the office of Divisional Commissioner, Kashmir. Thereafter, vide Order No.02 of 2021 dated 21.05.2021, the nominated Board of Management in its 8th meeting re-instated the petitioner but with the condition that he shall not be assigned any sensitive assignment. It was further provided that only certain non-sensitive specific portfolio as mentioned in the said order would be assigned to the petitioner. The said order is still in force and has not been modified.

6. It seems that vide order dated 16.05.2020 (supra) of the Divisional Commissioner, as an interim arrangement, appointed Shri Tasaduq Hussain Mir, Additional Commissioner Kashmir as Managing Director of the Bank in addition to his own duties. It seems that after the Board of Directors ceased to exist, the Additional Commissioner Kashmir was transferred and in his place another person was posted as Additional Commissioner, but by virtue of order dated 18.04.2025 passed in WP(C) No.832/2025 the said person was refrained from acting as Managing Director of the Bank, as there was no order from any authority in his favour to act as a Managing Director. The Court further directed the respondents to take steps for holding elections for constitution of Board of Directors/Management in accordance with provisions of J&K Cooperative Societies Act, 1989.

7. Learned counsel for the respondents has submitted that the process of elections was set into motion, but nomination papers of the candidates came to be rejected by the Returning Officer and the said issue has landed before this Court in another writ petition, as a result of which, the election process could not be taken to its logical conclusion. Learned counsel for the respondents has further submitted that an application has already been made by the respondents in the said writ petition seeking permission to make alternative arrangements. It seems that in the mean time the impugned order has been passed by the Government giving additional charge of interim Managing Director of the Bank to Ms Ulfat Jabeen.

8. While the petitioner raises important question of law regarding competence of the Government to appoint the Managing Director of the State Cooperative Bank in absence of a nominated or elected Board, it has to be borne in mind that the day-to-day functions of Managing Director have to be performed by some person for smooth functioning of the Bank. The petitioner has been allowed to function as Managing Director but only with condition that he cannot be assigned any sensitive portfolio. The said order is still in force and has not been put to challenge by the petitioner. In fact, the said order can be modified only by the Board of Management which is not in place. In the face of this situation when there is a necessity of taking care of day-to-day functions of the Bank, if the impugned order is stayed it will cause great hardship to the customers as well as to the Bank, which will not be in the interest of anyone. Therefore, this Court refrains from passing any interim order staying the impugned order at this stage.

9. The writ petition is, however, admitted to hearing. The respondents shall file counter affidavit within four weeks with advance copy to learned counsel for the petitioner, who shall file his rejoinder by next date of hearing.

10. Main writ petition be listed on 26.02.2026.
 
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