BENGALURU: The District Registrar of Societies, Bengaluru Urban, has come to the conclusion that there is a need to inquire into alleged irregularities in the Century Club under Section 25(1) of the Karnataka Societies Registration Act. At the same time, he has also extended the stay granted for the cancellation of the membership of S P Rakshith and A D Arjun, former office bearers of the club. The cancellation of membership of the duo was stayed by the District Registrar on May 9, 2019.
In the order passed recently, the District Registrar has said an inquiry is needed into the loss of Rs 1.01 crore suffered by the club. In its order on August 6, the High Court had directed the District Registrar to decide whether an inquiry is needed. The court’s directive came after it went through the special audit committee as well as the enquiry reports, and also objections filed by the club.
Accordingly, the District Registrar heard the arguments of the counsels of Rakshith and others, and the club, before passing the order. The counsel of the club contended that the complaints cannot be maintainable as the complainants are no longer members of the club.
In counter, the counsels of the complainants contended that their clients are not guilty as per the report of the special audit committee and the report of inquiry dated March 22, 2019, as the reports have pointed out that the office bearers and executive committee members are responsible for the alleged loss.