Bombay High Court Holds Second Revision Under Section 154 MCS Act Not Maintainable — Full Bench Overrules Shireen Sami Gadiali. The court ruled that a second revision under the same provision is not maintainable, relying on Supreme Court precedents and the principle of finality.

High Court: Bombay High Court Bench: BOMBAY In Favour of Prosecution
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Case Note & Summary

The present reference arose from a writ petition filed by Shilpchintamani Co-operative Housing Society Ltd. challenging an order dated 21.10.2010 passed by the Minister for Co-operation, State of Maharashtra, while entertaining a second revision application under Section 154 of the Maharashtra Co-operative Societies Act, 1960 (MCS Act). The petitioner society had initially filed a first revision before the Divisional Joint Registrar of Co-operative Societies under Section 154, which was decided. Thereafter, a second revision was filed before the Minister under the same provision. The learned Single Judge, while hearing the writ petition, doubted the correctness of the Full Bench decision in Shireen Sami Gadiali v. Spenta Co-operative Housing Society Ltd., which had held that a second revision under Section 154 is maintainable. The Single Judge referred the matter to a larger Bench, framing the question whether the Full Bench in Shireen Sami Gadiali had correctly answered the question of maintainability of a second revision in light of Supreme Court judgments in Ishwar Singh v. State of Rajasthan and Gurudassing Nawoosing Panjwani v. State of Maharashtra. The Full Bench of the Bombay High Court, consisting of three judges, examined the language of Section 154 and the scheme of the MCS Act. It noted that Section 154 confers revisional power on specified authorities, including the Minister and the Divisional Joint Registrar. The court observed that the power under Section 154 is akin to a revisional power and once exercised by a competent authority, the matter attains finality. Allowing a second revision by a higher authority under the same provision would lead to endless proceedings and defeat the legislative intent. The court further relied on the Supreme Court's decisions in Ishwar Singh and Gurudassing Panjwani, which held that in the absence of an express provision, a second revision is not maintainable. The Full Bench concluded that the earlier Full Bench decision in Shireen Sami Gadiali was erroneous and overruled it. Consequently, the court held that the second revision application filed before the Minister under Section 154 of the MCS Act was not maintainable. The writ petition was allowed, and the impugned order dated 21.10.2010 was quashed and set aside.

Headnote

A) Co-operative Law - Second Revision - Maintainability - Section 154, Maharashtra Co-operative Societies Act, 1960 - The question was whether a second revision application under Section 154 of the MCS Act is maintainable against an order passed by a subordinate revisional authority under the same provision. The Full Bench of the Bombay High Court held that such a second revision is not maintainable, overruling its earlier decision in Shireen Sami Gadiali. The court reasoned that allowing a second revision would lead to endless proceedings and defeat the legislative intent of finality. (Paras 1-15)

B) Co-operative Law - Revisional Powers - Scope - Section 154, Maharashtra Co-operative Societies Act, 1960 - The court examined the scope of revisional powers under Section 154 and held that the power is akin to that of a court of revision, and once exercised, the revisional authority becomes functus officio. A second revision by a higher authority under the same provision is not contemplated. (Paras 10-14)

C) Precedent - Overruling - Shireen Sami Gadiali - The Full Bench decision in Shireen Sami Gadiali v. Spenta Co-operative Housing Society Ltd. was overruled as it had erroneously held that a second revision under Section 154 MCS Act is maintainable. The court relied on Supreme Court judgments in Ishwar Singh v. State of Rajasthan and Gurudassing Nawoosing Panjwani v. State of Maharashtra to conclude that the principle against second revisions applies. (Paras 12-15)

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Issue of Consideration

Whether the Full Bench judgment of this Court in Shireen Sami Gadiali v. Spenta Co-operative Housing Society Ltd. had correctly answered the question concerning maintainability of second revision application under the provisions of the Maharashtra Co-operative Societies Act, 1960, in view of the judgments of the Supreme Court in Ishwar Singh v. State of Rajasthan and Gurudassing Nawoosing Panjwani v. State of Maharashtra.

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Final Decision

The Full Bench held that the second revision application under Section 154 of the MCS Act is not maintainable. The Full Bench decision in Shireen Sami Gadiali v. Spenta Co-operative Housing Society Ltd. was overruled. The writ petition was allowed, and the impugned order dated 21.10.2010 passed by the Minister for Co-operation was quashed and set aside.

Law Points

  • Second revision not maintainable under Section 154 MCS Act
  • Revisional authority cannot review its own order
  • Full Bench decision in Shireen Sami Gadiali overruled
  • Principle of finality in revisional proceedings
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Case Details

2023 LawText (BOM) (09) 36

WRIT PETITION NO.4589 OF 2011

2023-09-14

SUNIL B. SHUKRE, MANISH PITALE, RAJESH S. PATIL

2023:BHC-AS:27196

Mr. Nilesh Wable a/w. Mr. Mahesh Arjun i/b. Mr. Umesh R. Mankapure for Petitioner, Mr. Pradeep D. Dalvi a/w. Ms. Priya Dalvi and Mr. Kuldeep S. Patil for Respondent No.1, Mr. P. P. Kakade, Government Pleader a/w. Ms. M. P. Thakur, AGP for Respondent Nos.2 to 4

Shilpchintamani Co-operative Housing Soc. Ltd.

Prasad Govindrao Jamdar and others

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Nature of Litigation

Writ petition challenging order passed by Minister for Co-operation entertaining second revision under Section 154 of MCS Act.

Remedy Sought

Petitioner sought quashing of order dated 21.10.2010 passed by Minister for Co-operation and declaration that second revision under Section 154 MCS Act is not maintainable.

Filing Reason

Petitioner challenged maintainability of second revision application under Section 154 MCS Act against order passed by Divisional Joint Registrar under same provision.

Previous Decisions

First revision was filed before Divisional Joint Registrar under Section 154 MCS Act and was decided. Second revision was filed before Minister under same provision, which was entertained by impugned order.

Issues

Whether a second revision application under Section 154 of the Maharashtra Co-operative Societies Act, 1960 is maintainable against an order passed by a subordinate revisional authority under the same provision.

Submissions/Arguments

Petitioner argued that second revision under Section 154 MCS Act is not maintainable as it would lead to endless proceedings and is contrary to Supreme Court judgments. Respondents argued that the Full Bench decision in Shireen Sami Gadiali permits second revision and should be followed.

Ratio Decidendi

Under Section 154 of the Maharashtra Co-operative Societies Act, 1960, a second revision application is not maintainable against an order passed by a subordinate revisional authority under the same provision. The revisional power under Section 154 is akin to a court of revision, and once exercised, the authority becomes functus officio. Allowing a second revision would lead to endless proceedings and defeat the legislative intent of finality. The Supreme Court judgments in Ishwar Singh v. State of Rajasthan and Gurudassing Nawoosing Panjwani v. State of Maharashtra support this principle.

Judgment Excerpts

Whether the Full Bench judgement of this Court in the case of Shireen Sami Gadiali and another Vs. Spenta Co-operative Housing Society Limited and others, 2011 (3) Mh.L.J. 486 had correctly answered the question for consideration before the Full Bench, concerning maintainability of second revision application under the provisions of the Maharashtra Co-operative Societies Act, 1960 (MCS Act), in view of the judgements of the Supreme Court in the case of Ishwar Singh Vs. State of Rajasthan, (2005) 2 SCC 334 and Gurudassing Nawoosing Panjwani Vs. State of Maharashtra, (2016) 2 SCC 213? The court held that a second revision under Section 154 of the MCS Act is not maintainable.

Procedural History

The petitioner filed a writ petition before the Bombay High Court challenging an order dated 21.10.2010 passed by the Minister for Co-operation entertaining a second revision under Section 154 MCS Act. The learned Single Judge, by order dated 07.12.2011, referred the matter to a larger Bench doubting the correctness of the Full Bench decision in Shireen Sami Gadiali. The Full Bench heard the reference and pronounced judgment on 14.09.2023.

Acts & Sections

  • Maharashtra Co-operative Societies Act, 1960: Section 154
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