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Criminal Miscellaneous Application No.1371 of 1985, decided on 26^th November, 1986.

‑‑‑S. 561‑A‑‑Penal Code (XLV of 1860), Ss. 406 & 512/34‑‑Co‑operative Societies Act (VII of 1925), S. 63(3)‑‑Quashing of proceedings‑‑Challan submitted by Police in Court‑‑Offences under Co‑operative Societies Act, a non‑cognizable offence‑‑Sanction to prosecute not in accordance with law‑‑Petitioner not heard before granting of sanction‑‑Police having no jurisdiction to register case‑‑Proceedings quashed in circumstances.

Khanzada Hidayat Ali Khan v. Mazhar Ali Khan and others 1985 P Cr. L J 2871 ref.

Raja Qureshi for Appellant.

A . Latif Shakoor and A.A. Mohammadally, A.A. ‑G. for the State.

Date of hearing: 26th November, 1986.

A case under section 406/512/34 P.P.C. was registered against the applicant at the Aram Bagh Police Station. The Police after usual investigation challaned the applicant in the Court of learned Additional City Magistrate Karachi South. The applicant after receipt of the notice from the Court has filed this application for the quashment of the proceedings.

2. Learned counsel for the applicant has stated that the Police had no jurisdiction to register the case as the offence under the Co‑operative Societies Act is non‑cognizable and, therefore, a direct complaint in the Court of competent jurisdiction has to be filed. This contention has force. Under section 63(3) of the Co‑operative Societies Act, 1925 no prosecution shall be lodged without the previous sanction of the Registrar.

3. The learned counsel for the private respondent has referred to Annexure 'R' wherein the Registrar has given the permission to the respondent that he may proceed against the appellant after giving one more notice of one week for rendition of the accounts /settlement of the claims of the Society. First of all this sanction is not in accordance with the provisions of section 63(3) and secondly it is the contention of the learned counsel for the petitioner that the applicant was not given a reasonable opportunity of being heard before grant of such sanction.

4. The learned A.A.‑G. has also supported the contention of the learned counsel for the applicant. Learned counsel has relied upon the case of Khanzada Hidayat Ali Khan v . Mazhar Ali Khan and others 1985 P Cr. L J 2871.

5. In the result, the proceedings pending against the applicant in the Court of Additional City Magistrate Arambagh under section 406/512/34, P.P.C. are quashed but the respondent is at liberty to move the Registrar for proceeding against the applicant in accordance with the provisions of the Co‑operative Societies Act, 1925. The Registrar after giving an opportunity to the applicant may accord sanction for launching criminal proceedings against the applicant.

S.A Proceedings quashed.

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