High Court of Judicature at Bombay Bench at Aurangabad examines maintainability of writ petitions against provisional acceptance of Change Report under Maharashtra Public Trusts Act, 1950. Revisional remedy under Section 70A of Maharashtra Public Trusts Act, 1950 is central to the question of alternate efficacious remedy.

High Court: Bombay High Court Bench: AURANGABAD
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Case Note & Summary

The matter arose from an internal dispute among members of a Public Trust registered under the Maharashtra Public Trusts Act, 1950. Two rival groups had submitted several Change Reports under Section 22 of the Act, all of which were rejected by the Assistant Charity Commissioner, and appeals against those rejections were dismissed. Some of those matters were pending before the Bombay High Court as Writ Petition Nos. 6268/2019, 6333/2019 and 6355/2019. While those petitions were pending, one group filed Change Report No. 8/2021 on 11.01.2021 along with an application (Exh-2) under the first proviso to sub-section (2) of Section 22 of the Act. The Assistant Charity Commissioner passed an order on the same day provisionally accepting the change. The opposing group alleged that the provisional acceptance was obtained by suppressing material facts and circumstances, and filed applications Exh-17 and Exh-17A seeking to set aside or stay the order. The Assistant Charity Commissioner rejected those applications by order dated 28.01.2021. The aggrieved group filed two writ petitions before the High Court challenging both the provisional acceptance order and the subsequent rejection of recall/stay applications. The central legal issue was whether the writ petitions were maintainable under Articles 226 and 227 of the Constitution of India when a revision under Section 70A of the Maharashtra Public Trusts Act, 1950 was available as an alternate efficacious remedy. The petitioners argued that the impugned order was not a finding and therefore no appeal under Section 70 would lie, and that the High Court had ample powers in writ jurisdiction to correct illegality, especially when fundamental rights were violated. They relied on Mukesh Nashikrao Tirpude & Anr. Vs. Wamanrao Tatobaji Kombade & Ors.; 2008(4) Mh. L.J. 562 and Kashyap Odhavji Thakkar Vs. Chandrakant R. Ganatra and Others; 2019(1) Mh.L.J.102. The respondents contended that the impugned order was passed in a substantive proceeding under Section 22 of the Act, and although it did not record a finding so as to attract an appeal under Section 70, a revision under Section 70A would certainly be an efficacious remedy. They relied on Assistant Commissioner (CT) LTU, Kakinada and Others Vs. Glaxo Smith Kline Consumer Health Care Limited; 2020 SCC OnLine SC 440. The High Court heard the arguments and reserved judgment on 26.10.2021, pronouncing it on 18.11.2021. The provided judgment excerpt does not include the final operative direction or holding on maintainability.

Headnote

A) Constitutional Law - Writ Jurisdiction - Alternate Remedy - Constitution of India, Articles 226, 227; Maharashtra Public Trusts Act, 1950, Sections 22, 70, 70A - In a dispute between trustees of a registered public trust, the petitioners challenged provisional acceptance of a Change Report under first proviso to Section 22(2) and rejection of recall/stay applications. The core question was whether writ petition under Articles 226 and 227 is maintainable when a revision under Section 70A of the Maharashtra Public Trusts Act, 1950 is available as an alternate efficacious remedy. The court heard arguments from both sides citing coordinate bench decisions and a Supreme Court decision, and reserved judgment; the final holding is not included in the provided excerpt (Paras 3-8).

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Issue of Consideration

Whether a Writ Petition under Articles 226 and 227 of the Constitution of India is maintainable in view of the remedy of a revision under Section 70A of the Maharashtra Public Trusts Act, 1950 being an appropriate and efficacious remedy to challenge an order passed by the Deputy Charity Commissioner or the Assistant Charity Commissioner under the first proviso to sub-section (2) of Section 22 of the Act provisionally accepting a Change Report submitted under Section 22(1) of the Act.

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Law Points

  • Writ jurisdiction under Articles 226 and 227
  • alternate remedy of revision under Section 70A
  • distinction between appeal and revision
  • provisional acceptance under Section 22(2) first proviso
  • availability of appeal under Section 70 only against findings
  • revision power of Charity Commissioner
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Case Details

2021 LawText (BOM) (11) 9

Writ Petition No. 3788 of 2021 and Writ Petition No. 10498 of 2021

2021-11-18

Mangesh S. Patil

R.N. Dhorde, Senior Advocate instructed by V.S. Kadam; Rajendra S. Deshmukkh, Senior Advocate instructed by Sudhir K. Chavan; K.B. Jadhavar, A.G.P.; N.B. Khandare; S.V. Adwant; D.J. Choudhary

Anand s/o Sheshrao Bharose (Writ Petition No. 3788 of 2021); Rajendra s/o Gulabrao Adhav and others (Writ Petition No. 10498 of 2021)

Rahul Vedprakash Patil and others; Assistant Charity Commissioner, Parbhani and others

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Nature of Litigation

Writ petitions under Articles 226 and 227 of the Constitution challenging provisional acceptance of a Change Report under Section 22(2) of the Maharashtra Public Trusts Act, 1950 and subsequent refusal to recall or stay that order.

Remedy Sought

Petitioners sought setting aside or staying of the provisional approval order dated 11.01.2021 and the rejection of applications Exh-17 and Exh-17A dated 28.01.2021.

Filing Reason

Allegation that the provisional acceptance of Change Report No. 8/2021 was obtained by suppressing material facts; also challenge to jurisdictional maintainability in light of alternate remedy.

Previous Decisions

Assistant Charity Commissioner provisionally accepted Change Report No. 8/2021 on 11.01.2021; rejected recall/stay applications Exh-17 and Exh-17A on 28.01.2021; earlier Change Reports were rejected, appeals dismissed, and related writ petitions remained pending.

Issues

Whether a writ petition under Articles 226 and 227 of the Constitution is maintainable when a revision under Section 70A of the Maharashtra Public Trusts Act, 1950 is available as an alternate efficacious remedy? Whether an order provisionally accepting a Change Report under the first proviso to Section 22(2) of the Act is appealable under Section 70 or revisable under Section 70A of the Act?

Submissions/Arguments

Petitioners argued that the impugned order is not a finding and no appeal under Section 70 of the Act would lie; the High Court has ample writ powers to correct illegality, especially when fundamental rights are violated; relied on Mukesh Nashikrao Tirpude and Kashyap Odhavji Thakkar decisions. Respondents argued that the impugned order is an order passed in a substantive proceeding under Section 22 of the Act and although it does not record a finding so that an appeal under Section 70 would lie, a revision under Section 70A would certainly be an efficacious remedy available to the petitioners; relied on Glaxo Smith Kline Consumer Health Care Limited decision.

Judgment Excerpts

the matters revolve around the only question as to whether a Writ Petition under Articles 226 and 227 of the Constitution of India would be maintainable in view of the remedy of a revision under Section 70A of the Maharashtra Public Trusts Act, 1950 the impugned order is not a finding and no appeal under Section 70 of the Act would lie. since the impugned order is an order passed in a substantive proceeding under Section 22 of the Act in the form of a Chang Report enquiry, though it does not record a finding so that an appeal under Section 70 would lie, a revision under Section 70A of the Act would certainly be an efficacious remedy available to the petitioners.

Procedural History

Change Report No. 8/2021 filed on 11.01.2021 along with application Exh-2 under first proviso to Section 22(2) of the Maharashtra Public Trusts Act, 1950; Assistant Charity Commissioner passed provisional acceptance order on the same day. Petitioners filed applications Exh-17 and Exh-17A to recall or stay the order, which were rejected on 28.01.2021. Petitioners filed Writ Petition Nos. 3788/2021 and 10498/2021 before the High Court. The High Court issued Rule, made it returnable forthwith, and heard the matters finally at the stage of admission on 26.10.2021; judgment was reserved and pronounced on 18.11.2021.

Acts & Sections

  • Maharashtra Public Trusts Act, 1950: Section 17, Section 22, Section 22(1), first proviso to Section 22(2), Section 22(3), Section 70, Section 70A
  • Constitution of India: Article 226, Article 227
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