Case Note & Summary
The dispute arose from redevelopment of a cooperative housing society, respondent No.9 Bandra Trishul Premises Cooperative Housing Society Limited. Petitioners, members of the newly elected managing committee, challenged three orders passed by the Deputy Registrar of Cooperative Societies, H-West Ward, Mumbai, and the Divisional Joint Registrar. The predecessor managing committee initiated redevelopment, and a Special General Body Meeting on 10 July 2023 resolved to commence the process. An Administrator was appointed on 29 November 2023 and took charge on 18 December 2023. Elections were held on 25 August 2024, and the new committee assumed charge on 1 September 2024. The new committee continued redevelopment, and Special General Body Meetings were held on 9-10 October 2024 and 16 October 2024, shortlisting MIC/LLP and Narang Realty as developers. A managing committee meeting on 24 October 2024 considered appointing MIC/LLP as developer. On 8 November 2024, complaints were filed with the Deputy Registrar alleging that voting in the SGBM of 16 October 2024 violated directives issued under Section 79A of the Maharashtra Cooperative Societies Act, 1960, as incorporated by Government Resolution dated 4 July 2019. Show-cause notices were issued on 18 December 2024, replies were filed, and rejoinder was filed on 16 January 2025. By order dated 11 February 2025, the Deputy Registrar disqualified the petitioners from the managing committee for six years under Section 79A(3) of the MCS Act. Petitioners filed revision under Section 154 on 17 February 2025. The Divisional Joint Registrar passed an interim status quo order on 20 February 2025. On the same day, the Deputy Registrar appointed respondent No.2 as Administrator under Section 77A of the MCS Act. Petitioners received handover notice on 23 February 2025 and objected on 24 February 2025. The writ petition was filed on 4 March 2025 under Article 227. On 6 March 2025, the High Court granted ad-interim relief staying the administrator appointment until 20 March 2025 and directed respondent No.1 to file a personal affidavit explaining non-compliance with the binding precedent in Writ Petition No.8732 of 2021. The affidavit was filed on 18 March 2025, and on 27 March 2025, the Court noticed certain assertions in paragraph 19 of the affidavit which appeared to rely upon further material. The provided text does not include the final decision or operative directions beyond these interim orders.
Headnote
A) Constitutional Law - Writ Jurisdiction under Article 227 - Supervisory Jurisdiction over Cooperative Society Orders - Constitution of India, 1950, Article 227 - Petitioners challenged three orders of Deputy Registrar under Maharashtra Cooperative Societies Act, 1960 before High Court; High Court exercised writ jurisdiction and granted ad-interim relief staying administrator appointment - Held that interim protection was necessary to preserve subject matter pending final disposal (Paras 1, 9).
B) Cooperative Society Law - Disqualification of Managing Committee Members - Section 79A(3) Maharashtra Cooperative Societies Act, 1960 - Deputy Registrar disqualified petitioners for six years for violating binding directives under Section 79A and GR dated 4 July 2019; challenge pertained to voting process in SGBM of 16 October 2024; Court directed personal affidavit from respondent No.1 for ignoring binding precedent of coordinate Bench - Held that authority must follow binding precedent (Paras 1, 4-6, 9).
C) Cooperative Society Law - Appointment of Administrator - Section 77A Maharashtra Cooperative Societies Act, 1960 - Order appointing Authorized Officer under Section 77A passed on 20 February 2025 despite status quo order by revisional authority; High Court stayed operation of administrator order until 20 March 2025 - Held that appointment during subsistence of status quo order was prima facie improper (Paras 1, 8-9).
D) Cooperative Society Law - Revision and Status Quo - Section 154 Maharashtra Cooperative Societies Act, 1960 - Revisional authority passed interim status quo order on 20 February 2025; appointment of administrator same day challenged as violating status quo; Court noted subsistence of status quo order and directed no coercive steps (Paras 7-8).
E) Cooperative Society Law - Redevelopment Procedure - Compliance with Government Resolution dated 4 July 2019 under Section 79A - Complainants alleged voting in SGBM of 16 October 2024 violated binding directives; show-cause notices and inquiry conducted; Court to examine validity of directives and compliance - Held that procedural safeguards in redevelopment must be strictly followed (Paras 4-6).
Issue of Consideration
Whether orders passed by Deputy Registrar under Sections 79A(3) and 77A of Maharashtra Cooperative Societies Act, 1960 and interim status quo order by revisional authority were legal, valid, and proper; whether disqualification of managing committee members was justified for violation of directives; whether appointment of administrator was valid during pendency of revision and status quo.
Law Points
- Writ jurisdiction under Article 227
- Disqualification under Section 79A(3) MCS Act
- Appointment of Administrator under Section 77A
- Status quo order under Section 154
- Compliance with Government Resolution dated 4 July 2019
- Binding precedent of coordinate Bench
Case Details
2025 LawText (BOM) (06) 11
Writ Petition No.3433 of 2025
Mayur Khandeparkar, Himalaya Choudhari, Rahul Singh, Pranali Raut, V.R. Raje, Girish Godbole, Rohit Gupta, Nitya Shah, Kinnar Shah, Aditi Bhargava, Brijesh Nittekar
Harish Arora, Venetia Palia, Phiroze Karmali, Khalid Omar Wakani, Nafees Khan, Vinay Wadhera
The Deputy Registrar of Cooperative Societies, H-West Ward, Mumbai; Devdas A. Aroskar; Aarti Gupta; Sneha Rajani; Uday Shetty; Bennie Philips; Parmvir S. Parmar; Bobbie Phillips; Bandra Trishul Premises Cooperative Housing Society Limited; The Divisional Joint Registrar, Coop. Societies, Mumbai
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Nature of Litigation
Writ petition under Article 227 of Constitution challenging three orders of Deputy Registrar Cooperative Societies: disqualification of managing committee members under Section 79A(3), appointment of Administrator under Section 77A, and interim status quo order by revisional authority under Section 154.
Remedy Sought
Petitioners sought quashing/setting aside of orders dated 11 February 2025, 20 February 2025 (appointment of administrator), and 20 February 2025 (interim status quo), and protection of their elected managing committee rights.
Filing Reason
Deputy Registrar disqualified petitioners for six years; subsequently appointed administrator despite status quo order; petitioners apprehended further prejudice and had no efficacious remedy.
Previous Decisions
Deputy Registrar order dated 11 February 2025 disqualifying petitioners under Section 79A(3); Deputy Registrar order dated 20 February 2025 appointing respondent No.2 as Administrator under Section 77A; Divisional Joint Registrar interim order dated 20 February 2025 directing status quo in revision; High Court ad-interim order dated 6 March 2025 staying administrator order until 20 March 2025 and directing personal affidavit.
Issues
Whether the Deputy Registrar had jurisdiction and acted per Section 79A(3) to disqualify managing committee members for alleged violation of directives in Government Resolution dated 4 July 2019.
Whether the voting process in Special General Body Meeting held on 16 October 2024 was in violation of binding directives under Section 79A and Government Resolution dated 4 July 2019.
Whether appointment of Administrator under Section 77A on 20 February 2025 was valid in light of subsisting status quo order by revisional authority.
Whether respondent No.1 ignored binding precedent of coordinate Bench in Writ Petition No.8732 of 2021.
Whether the writ petition under Article 227 is maintainable and whether interim protection should be granted.
Submissions/Arguments
Petitioners argued that respondent No.1 failed to consider binding precedent from Writ Petition No.8732 of 2021.
Petitioners argued that appointment of administrator was contrary to status quo order.
Petitioners argued that redevelopment process was proper and within directives.
Respondents/complainants argued that voting process in SGBM on 16 October 2024 violated directives under Section 79A and Government Resolution dated 4 July 2019.
Respondents/complainants argued that resolutions were illegal, null and void ab initio.
State/respondent No.1 supported the orders passed by the Deputy Registrar.
Judgment Excerpts
By way of the present petition instituted under Article 227 of the Constitution of India, the petitioners, who were members of the managing committee of respondent No.9-Society, have assailed the legality, validity, and propriety of three separate but interrelated orders passed by respondent No.1, the Deputy Registrar, Cooperative Societies.
the disqualification was based on the finding that the petitioners had violated binding directives issued under Section 79A of the Act, specifically those relating to redevelopment procedures.
On 6th March 2025... this Court was pleased to grant ad-interim relief in favour of the petitioners... the order dated 20th February 2025 appointing respondent No.2 as Administrator of respondent No.9-housing society shall not be acted upon and shall remain in abeyance until 20th March 2025.
respondent No.1 had failed to take into account the binding precedent laid down by a coordinate Bench of this Court in Writ Petition No.8732 of 2021.
Procedural History
Predecessor managing committee initiated redevelopment process; SGBM on 10 July 2023 resolved to commence redevelopment. Administrator appointed on 29 November 2023 and took charge on 18 December 2023. Elections held on 25 August 2024; new committee assumed charge on 1 September 2024. SGBMs held on 9-10 October 2024 and 16 October 2024 shortlisted developers; managing committee meeting on 24 October 2024 considered MIC/LLP as developer. Complaints received by Deputy Registrar on 8 November 2024; show-cause notices issued on 18 December 2024; petitioners replied; rejoinder filed on 16 January 2025. Deputy Registrar passed disqualification order dated 11 February 2025 under Section 79A(3). Petitioners filed revision under Section 154 on 17 February 2025; revisional authority passed interim status quo order on 20 February 2025. Same day Deputy Registrar appointed Administrator under Section 77A. Petitioners received handover notice on 23 February 2025; communicated objection on 24 February 2025. Revision adjourned to 7 March 2025. Writ petition filed on 4 March 2025. High Court granted ad-interim relief on 6 March 2025 staying administrator appointment until 20 March 2025 and directed personal affidavit; affidavit filed on 18 March 2025; on 27 March 2025 Court noted certain assertions in paragraph 19 of affidavit.
Acts & Sections
- Constitution of India: Article 227
- Maharashtra Cooperative Societies Act, 1960: Section 79A(3), Section 77A, Section 154, Section 73