It has been decided by the High Court of Karnataka that the Federation of Karnataka Chambers of Commerce and Industry (FKCCI) is a private body and not an instrumentality of the state as defined by Article 12 of the Constitution. As a result, a writ petition cannot be filed against the FKCCI. This case, B. L. SHANKARAPPA v. FEDERATION OF KARNATAKA CHAMBERS OF COMMERCE AND INDUSTRY(FKCCI)&others WRIT PETITION NO.7123 OF 2022
was led by learned justice Krishna S Dixit.
FACT OF THE CASES-
In its opening statement, the bench remarked on the fact that FKCCI has been around since 1938 (the year it was first formed as a firm). A limited liability company as defined by section 8 of the Companies Act of 2013 (Companies Act)
The document continued by stating that the organization had 3,000 direct members and about 2,50,00 indirect members from all areas of trade, commerce, and industry in Karnataka State. It is affiliated with national organizations like as FICCI, ASSOCHAM and petition, OVERSEAS Enterprises.
The bench also pointed out that the FKCCI represents over 2.5 million members, is a de facto monopoly, and is supported and recognized by the state. It also noted that the FKCCI interacts with foreign consulates like the Royal Thai Consulate General and has one-on-one relationships with foreign governments.
JUDGEMENT AND ORDER-
The Karnataka High Court has ruled that the Federation of Karnataka Chambers of Commerce and Industry (FKCCI) is not a state agency under Article 12 of the Constitution. This means that the FKCCI is immune to a writ petition.
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Judgement reviewed by Deepa Bajaj.