Case Note & Summary
The writ petition before the High Court of Judicature at Bombay, Bench at Aurangabad, arose from a dispute concerning disqualification of a member of a cooperative housing society under Section 73CA(1)(e) of the Maharashtra Co-operative Societies Act, 1960 read with Rule 58 of the Maharashtra Co-operative Societies Rules, 1961. The petitioners were members of respondent no.7 Kanchan Nagar Co-operative Housing Society Limited, Aurangabad. Respondent no.6 was a member of the society and had been elected to the managing committee in 2014-2016 elections. The society alleged that respondent no.6 held two plots and had constructed and sold a building of 14 flats on plot no.16 conjointly with one Mr. Abhishek Deshmukh without making the flat purchasers members of the society, causing strain on infrastructure. An application for disqualification was filed on 05.01.2019 contending that respondent no.6 was a defaulter and owed Rs.1,38,200/- to the society, and that demand notices had been issued. The Deputy Registrar by order dated 29.01.2021 disqualified respondent no.6 under Section 73CA(1)(e) after finding dues outstanding and notices served. The Joint Registrar by order dated 07.01.2022 dismissed respondent no.6's appeal and upheld the disqualification, observing that the society's audit records showed outstanding dues of Rs.1,40,160/-, Rs.2,14,120/- and Rs.3,01,000/- for the years ending 31.03.2018, 31.03.2019 and 31.03.2020 respectively. Respondent no.6 then filed a revision petition before the State Minister, who by order dated 10.06.2022 allowed the revision and set aside the disqualification orders, holding that respondent no.6 was not a defaulter and hence not disqualified to be a member of the managing committee. The petitioners challenged the Minister's order by writ petition. The legal issue was whether respondent no.6 was disqualified under Section 73CA(1)(e) of the Act as a defaulter of the society. The arguments of the parties were not fully reproduced in the extracted text. The judgment text was incomplete and did not include the final decision, ratio decidendi, or the High Court's analysis beyond the factual background and the lower authorities' orders.
Headnote
A) Cooperative Law - Disqualification of Managing Committee Member - Default in Payment of Society Dues - Maharashtra Co-operative Societies Act, 1960, Section 73CA(1)(e); Maharashtra Co-operative Societies Rules, 1961, Rule 58 - The dispute concerned whether respondent no.6, a member of a housing society, was disqualified from membership of the managing committee for non-payment of society dues. The Deputy Registrar by order dated 29.01.2021 and Joint Registrar by order dated 07.01.2022 held respondent no.6 to be a defaulter and disqualified him under Section 73CA(1)(e). The State Minister, acting in revision, by order dated 10.06.2022 set aside those orders and held respondent no.6 not to be a defaulter. The writ petition challenged the Minister's order. The extracted text did not include the final holding of the High Court (Paras 1-9).
Issue of Consideration
Whether respondent no.6 is disqualified under Section 73CA(1)(e) of the Maharashtra Co-operative Societies Act, 1960 read with Rule 58 of the Maharashtra Co-operative Societies Rules, 1961, to be a member of respondent no.7 committee, being a defaulter of the respondent no.7 housing society.
Final Decision
The final decision of the High Court is not available in the extracted text as the judgment is incomplete.
Law Points
- A member of a housing society is disqualified under Section 73CA(1)(e) of the Maharashtra Co-operative Societies Act
- 1960 if the member fails to pay the society dues within three months from the date of demand notice
- Section 9(1) of the Act governs registration of cooperative societies
- Rule 58 of the Maharashtra Co-operative Societies Rules
- 1961 is relevant to disqualification proceedings


