Authority: High Court of Odisha, Cuttack
Order Date: 07.08.2026
Case Overview
- Petitioner: Sampoch Primary Agricultural Cooperative Society (PACS) Ltd., Boudh.
- Respondents: State of Odisha & Others; Opponent No.3: Auditor General of Cooperative Societies, Odisha, Bhubaneswar.
- Nature of petition: Writ Petition seeking direction for a re‑audit of the Society’s FY 2017‑18 accounts following a surcharge demand of Rs 50,58,728 issued vide Notice No.381 dated 31.03.2023 in Surcharge Proceeding No.29/2023.
- Allegations: The surcharge demand is alleged to be inconsistent with a subsequent audit that revealed a surplus; petitioner is prepared to deposit the cost prescribed under Section 66 of the Orissa Cooperative Societies Act, 1962, to facilitate a just decision.
- Legal basis: The Act confers a right to seek an enquiry by the Registrar at the instance of a person against whom a demand for alleged shortage of funds has been raised, subject to deposit of the prescribed cost.
Final Outcome
- The Court disposes of the petition at the admission stage and directs Opponent No.3 (Auditor General) to consider the representation and conduct an enquiry reconciling the audit report for the year in which the shortage was detected with the subsequent audit report showing a surplus.
- The Auditor General must afford the petitioner an opportunity of hearing and complete the entire enquiry within two (2) months from the date of the order.
- If necessary, the Auditor General may requisition relevant records from the Vigilance Department for examination.
Topics: Cooperative Audit, Court Order