Payangadi Urban Co‑op Bank Award Quashed

Authority: High Court of Kerala at Ernakulam

Order Date: 16 March 2017

Case Overview

• Petition filed by Payangadi Urban Co‑operative Bank Ltd (represented by its Secretary) challenging the award dated 11‑03‑2013 in ID No.1/2009 passed by the Labour Court, Kannur.
• Respondent: V.K. Prashob, employee of the bank.
• The dispute concerned the Labour Court’s adjudication of an employee‑employer matter.
• The Court referred to the larger bench decision in Chirayinkeezhu Service Co‑operative Bank Ltd. v. Santhosh (2015 (4) KLT 163 (L.B.)), holding that Labour Courts lack jurisdiction over disputes between co‑operative banks and their employees.

Final Outcome

• The award and all proceedings in ID No.1/2009 are quashed and set aside.
• The respondent may file a claim before the competent authority under Section 69 of the Kerala Co‑operative Societies Act, 1969; the authority must hear both parties and decide within four months of filing.
• No costs are awarded to either party.

Topics: Co‑operative Banking, Labour Court Jurisdiction