NLCF: Satyanarayan joins as MD again; Registrar rules in his favour

Ruling in favour of the Ex-CE of NCUI, the Central Registrar Vijay Kumar has reinstated N Satyanarayan as the MD of the apex body of labour co-ops, National Labour Cooperative Federation, NLCF. He took charge on Monday.

In its order, Vijay Kumar, CRCS wrote, “I have heard all the parties and considered the facts and documents presented during the hearings. The powers to appoint and remove the CEO rest with the Board as per Section 49(2)(d) of the Multi-State Cooperative Societies Act, 2002. However, the meeting of the Board has to be convened properly and as per law”.

It bears recall that in January, CRCS appointed the Sole Arbitrator to find out the legality of calling the 141th board of directors meeting on 3rd December and decision taken in the meeting. In its award the Arbitrator announced that 141th BoDs was null and void.

Later on, those led by Vinay Kumar Chauhan, challenged the Arbitration award in the court. In its Judgment, the High Court also upheld the award passed by the arbitrator and restored N Satyanarayana.

In its order, Vijay Kumar further wrote “The Hon’ble High Court of Delhi vide its judgment dated 11th March, 2022 upheld the Award of the Learned Arbitrator dated 07th March, 2022 which declared the 141 Board meeting and all the business that was conducted during the said meeting as null and void including Agenda No. I to discontinue services of Mr. N Satyanarayana as Managing Director and to write to Warehousing Development and Regulatory Authority (WDRA) to repatriate Shri V. Chauhan from WDRA and promoted him to the post of Managing Director.”

“Once the entire business conducted in the 141th meeting was held to be null and void, it was not proper on part of Sh. Vinay Kumar Chauhan to issue notice dated 4th April, 2022 as Managing Director to convene the BoD meeting dated 11* April, 2022″, according to the order”, he wrote further.

Kumar further added in his order, “The NLCF should have implemented the award of the learned Arbitrator rather than proceeded further in an illegal manner in view of the orders of the Hon “ble High Court. Therefore, following directions are passed.

NLCF is directed to strictly comply with the order dated 1 It March, 2022 passed by the Hon’ble High Court of Delhi and implement the Award dated 07t March, 2022 passed by the learned Arbitrator in both letter and spirit.

“In view of the allegations of corruption and irregularities in the audit report of Financial Years 2016-17 to 2020-21, as filed during the hearings, the Audit report may be placed before the General Body of the Society for its consideration and recommendation for further action”, the order of the copy reads.

The labour federation has become a hotbed of controversies due to the internal conflicts between the board members. This started since the last elections held in the federation and still continues.