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NON-REPORTABLE

IN THE SUPREME COURT OF INDIA

CIVIL APPELLATE JURISDICTION

CIVIL APPEAL  No(s). 7421  OF 2018 (Arising out of SLP(C)No.22402 of 2014)

TAMIL NADU CHAMBER OF COMMERCE AND  INDUSTRY REPRESENTED  THR. ITS HONY. SECRETARY AND ANR. Appellant(s)

                               VERSUS

P MAHENDRAVEL AND ORS.                       Respondent(s)

J U D G M E N T

KURIAN, J.

Leave granted.

(2) The crucial issue raised in this appeal pertains to the

steps  taken  by  the  appellant-Association  for  expulsion  of

certain members from its membership.

(3) The aggrieved respondents had taken up the matter before

the civil court which went in their favour.  This order was

challenged before the First Appellate Court as well as before

the  High  Court  and  both  orders  are  in  favour  of  the

respondents;  and  thus  appellant-Association  is  before  this

Court.

(4) The categorical finding in all the judgments is that steps

taken by the appellant-Association for expulsion of its members

were in violation of the principles of natural justice.  There

is also a contention on jurisdiction.

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(5) When the matter came up for hearing before this Court on

14th July, 2017, the following order was passed :

“Learned  senior  counsel  appearing  for  the

petitioners  submits  that  the  issue  regarding  the

expulsion can be decided by a retired District Judge,

in case the opposite side also agrees.

The respondents are directed to get instruction

on the above submission.

List on 24.07.2017.”

(6) On 24th July, 2017, the Court passed the following order:  

“When  this  matter  came  up  before  this  Court,  on

14.07.2017, this Court passed the following order:-

“Learned  senior  counsel  appearing  for  the petitioners  submits that  the issue  regarding the  expulsion  can  be  decided  by  a  retired District Judge, in case the opposite side also agrees.

The  respondents  are  directed  to  get instruction on the above submission.

List on 24.07.2017.”

Learned counsel on both sides submit that a former

Judge of the High Court would be better in the fitness of

things.   

Therefore,  we  appoint  Hon'ble  Mr.  Justice  A.R.

Ramalingam, Former Judge of the High Court of Madras for

the purpose.

We  leave  it  to  the  Hon'ble  Judge  to  fix  his

remuneration.  The expenses and the remuneration will be

shared  by  the  petitioners  and  the  respondents  in  the

proportion of 67:33 per cent.

The expelled members will file their reply to the

show cause notice dated 5.3.2009, within four weeks.

The  Hon'ble  Judge  is  requested  to  send  a  Report

within four months thereafter.

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List after five months.”

(7) Hon’ble Mr. Justice AR Ramalingam, Former Judge of the

High Court of Madras, has accordingly conducted an inquiry and

submitted a report to this Court.  We do not propose to go into

the merits of the said Report. In case the respondents are

of the view that the said Report is otherwise faulty, it is for

them to pursue their remedies in appropriate proceedings before

the appropriate forum.

(8) However, we hasten to make it clear that the objection

that  the  said  Report  cannot  override  the  judgment  of  the

court(s),  cannot  be  appreciated  since  all  the  parties

voluntarily agreed to refer the dispute to Hon’ble judge for an

appropriate  inquiry  after  complying  with  the  principles  of

natural justice.

(9) We also make it clear that this judgment shall not stand

in  the  way  of  the  respondents  otherwise  taking  appropriate

recourse open to the respondents under the law for membership

in the appellant-Association.

(10) It  will  also  be  open  to  the  respondents  to  offer  an

unconditional  apology  for  whatever  inappropriate  conduct  on

their part and seek membership in the appellant-Association in

which  case  we  are  sure  that  the  appellant-Association  will

magnanimously consider their applications.

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(11) We further make it clear that we have otherwise considered

the matter on merits.

(12) The appeal is accordingly disposed of.  

..........................J.                 (KURIAN JOSEPH)

..........................J.         (SANJAY KISHAN KAUL)

NEW DELHI, AUGUST 1, 2018.