Case Note & Summary
The petitioners, members of JVPD Sterling CHS Ltd., challenged orders dated 13th January 2023 passed by the Deputy Registrar, Co-operative Societies, removing them from the managing committee and disqualifying them for one term, and appointing an authorized officer under Section 78A of the Maharashtra Co-operative Societies Act, 1960. The appeals before the Divisional Joint Registrar and the revision before the Hon'ble Minister were also dismissed. The petitioners contended that the orders were passed without proper inquiry and in violation of natural justice. The court examined the facts, including the formation of the society, the development agreement, and the transfer of membership. The court held that the Deputy Registrar's order was valid as the petitioners failed to comply with the statutory requirements under Section 78A. The court also noted that the alternative remedy of revision was not an absolute bar to the writ petitions, but the petitions were entertained due to the substantial questions involved. The court dismissed the petitions, upholding the removal and disqualification.
Headnote
A) Co-operative Law - Removal of Managing Committee Members - Section 78A of the Maharashtra Co-operative Societies Act, 1960 - The Deputy Registrar passed an order removing the petitioners from the managing committee and disqualifying them for one term, and appointed an authorized officer. The court upheld the order, finding that the petitioners failed to comply with the statutory requirements under Section 78A, and that the principles of natural justice were not violated. (Paras 1-10)
B) Co-operative Law - Alternative Remedy - Writ Jurisdiction - The court held that although an alternative remedy of revision was available, the petitions were entertained due to the involvement of substantial questions of law and the failure of the revisional authority to consider the petitioners' contentions. (Paras 1-10)
C) Co-operative Law - Disqualification - One Term - The disqualification of the petitioners from being managing committee members for one term was upheld as being in accordance with Section 78A of the MCS Act. (Paras 1-10)
Issue of Consideration
Whether the orders passed by the Deputy Registrar under Section 78A of the MCS Act removing the petitioners from the managing committee and disqualifying them for one term, and the subsequent appellate and revisional orders, are sustainable in law.
Final Decision
The court dismissed both writ petitions, upholding the orders of the Deputy Registrar, Divisional Joint Registrar, and Hon'ble Minister.
Law Points
- Section 78A of the Maharashtra Co-operative Societies Act
- 1960
- Removal of managing committee members
- Disqualification for one term
- Appointment of authorized officer
- Scope of writ jurisdiction under Article 226
- Alternative remedy not an absolute bar
- Natural justice
- Compliance with statutory provisions
Case Details
2025 LawText (BOM) (2) 210
Writ Petition No.5312 of 2024 and Writ Petition No.5111 of 2024
Mr. Vishal Kanade with Mr. Bhavesh Magam for Petitioners in WP 5111/2024; Mr. Sagar G. Talekar for Petitioner in WP 5312/2024; Mr. Sharan Jagtiani, Senior Advocate with Mr. Kunal Dwakadas, Mr. Siddharth Joshi, Mr. Nitesh Ranavat, Mr. Akshit Dedhia and Mr. Minhas Joshi i/by M/s Wadia Gandy for Respondent No.4; Ms. S. A. Prabhune, AGP for Respondent/State in WP 5312/2024; Mr. Tanu Bhatia, AGP for Respondent/State in WP 5111/2024
Parvath Shetty (in WP 5312/2024) and Yogesh Shetty & Ors. (in WP 5111/2024)
State of Maharashtra & Ors.
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Nature of Litigation
Writ petitions challenging orders of removal from managing committee and disqualification under Section 78A of the MCS Act.
Remedy Sought
Petitioners sought quashing of orders dated 13th January 2023 passed by Deputy Registrar, order dated 2nd May 2023 passed by Divisional Joint Registrar, and order dated 1st March 2024 passed by Hon'ble Minister.
Filing Reason
Petitioners were removed from managing committee and disqualified for one term under Section 78A of the MCS Act.
Previous Decisions
Deputy Registrar passed order on 13th January 2023; appeal dismissed by Divisional Joint Registrar on 2nd May 2023; revision dismissed by Hon'ble Minister on 1st March 2024.
Issues
Whether the Deputy Registrar's order under Section 78A of the MCS Act removing petitioners from managing committee and disqualifying them for one term is valid.
Whether the appellate and revisional orders are sustainable.
Whether the writ petitions are maintainable despite alternative remedy.
Submissions/Arguments
Petitioners argued that the orders were passed without proper inquiry and in violation of natural justice.
Respondents contended that the orders were valid and in accordance with Section 78A.
Ratio Decidendi
The Deputy Registrar's order under Section 78A of the MCS Act removing the petitioners from the managing committee and disqualifying them for one term was valid as the petitioners failed to comply with statutory requirements. The principles of natural justice were not violated, and the alternative remedy did not bar the writ petitions due to substantial questions of law.
Judgment Excerpts
Petitioners have filed these petitions challenging the orders dated 13th January 2023 passed by the Deputy Registrar, Co-operative Societies removing them from the post of managing committee members and disqualifying them from being managing committee members for the next one term and appointing authorized officer to look after day-to-day affairs of the society under provisions of Section 78A of the Maharashtra Co-operative Societies Act, 1960 (MCS Act).
Procedural History
Deputy Registrar passed order on 13th January 2023 removing petitioners from managing committee and disqualifying them for one term. Appeal before Divisional Joint Registrar was rejected on 2nd May 2023. Revision before Hon'ble Minister was rejected on 1st March 2024. Petitioners then filed writ petitions before the High Court.
Acts & Sections
- Maharashtra Co-operative Societies Act, 1960: Section 78A
