Bombay High Court Allows Writ Petition of Elected Member Challenging Order Setting Aside Disqualification of Defeated Candidate. Failure to Lodge Election Expenses within 30 Days under Section 16(1D) of Maharashtra Municipal Councils, Nagar Panchayats and Industrial Townships Act, 1965 Results in Automatic Disqualification for Three Years, and Belated Submission after Notice Does Not Cure Default.

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

The petitioner, Abhishek Vinod Patil, an elected member of the Amalner Municipal Council, challenged the order dated 13.4.2018 passed by the Divisional Commissioner, Nashik, which allowed Appeal No.6 of 2018 filed by the defeated candidate, respondent No.3 (Mahaveer Prakashchand Pahade), and set aside his disqualification under Section 16(1D) of the Maharashtra Municipal Councils, Nagar Panchayats and Industrial Townships Act, 1965. The election results were declared on 28.11.2016, and the limitation for tendering accounts of election expenses was 30 days, expiring on 28.12.2016. Respondent No.3 failed to lodge his accounts within this period. On 14.2.2017, the District Collector issued a notice to respondent No.3 under Section 16(1D). Respondent No.3 submitted his explanation and accounts on 23.2.2017. On 27.2.2017, the Collector passed an order disqualifying 92 candidates, including respondent No.3, for three years. Respondent No.3 challenged this order in Writ Petition No.10984 of 2017, and this Court, on 19.9.2017, set aside the Collector's order and remanded the matter for re-hearing. On 28.12.2017, the Collector again disqualified respondent No.3. Respondent No.3 appealed to the Divisional Commissioner, who allowed the appeal on 13.4.2018, setting aside the disqualification. The petitioner then filed the present writ petition. The court considered the undisputed facts and the submissions of the parties. The court held that the disqualification under Section 16(1D) is automatic upon failure to lodge accounts within 30 days, and belated submission after notice does not cure the default. The Collector's notice is only to afford an opportunity of hearing before disqualification, not to provide a fresh period for compliance. The period of disqualification is three years from the date of the Collector's order. The Divisional Commissioner erred in setting aside the disqualification on equitable grounds. The court quashed the Commissioner's order and restored the Collector's disqualification order dated 28.12.2017.

Headnote

A) Municipal Law - Disqualification - Section 16(1D) of the Maharashtra Municipal Councils, Nagar Panchayats and Industrial Townships Act, 1965 - Failure to lodge election expenses within 30 days - The petitioner, an elected member, challenged the order of the Divisional Commissioner that set aside the disqualification of the defeated candidate (respondent No.3) under Section 16(1D). The court held that the disqualification is automatic upon failure to lodge accounts within the prescribed period, and belated submission after notice does not cure the default. The Divisional Commissioner's order was quashed, and the Collector's disqualification order was restored. (Paras 4-10)

B) Municipal Law - Limitation - Section 16(1D) of the Maharashtra Municipal Councils, Nagar Panchayats and Industrial Townships Act, 1965 - The period of 30 days for lodging election expenses is mandatory and cannot be extended. The court held that the Collector's notice under Section 16(1D) does not provide a fresh opportunity to comply; it is only to afford an opportunity of hearing before disqualification. The disqualification period of three years runs from the date of the Collector's order. (Paras 5-9)

C) Municipal Law - Appellate Authority - Section 16(1D) of the Maharashtra Municipal Councils, Nagar Panchayats and Industrial Townships Act, 1965 - The Divisional Commissioner, as appellate authority, cannot set aside disqualification on grounds of equity or sympathy. The court held that the appellate authority must enforce the statutory mandate strictly. (Para 10)

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Issue of Consideration

Whether the Divisional Commissioner was justified in setting aside the disqualification of a defeated candidate under Section 16(1D) of the Maharashtra Municipal Councils, Nagar Panchayats and Industrial Townships Act, 1965, when the candidate had failed to lodge election expenses within the prescribed 30-day period and only submitted accounts after receiving a show-cause notice.

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Final Decision

The court allowed the writ petition, quashed the order of the Divisional Commissioner dated 13.4.2018, and restored the order of the District Collector dated 28.12.2017 disqualifying respondent No.3 under Section 16(1D) of the 1965 Act for a period of three years.

Law Points

  • Disqualification under Section 16(1D) of the Maharashtra Municipal Councils
  • Nagar Panchayats and Industrial Townships Act
  • 1965 is automatic upon failure to lodge election expenses within 30 days
  • belated submission after notice does not cure the default
  • the period of disqualification is three years from the date of the Collector's order
  • the Divisional Commissioner cannot set aside disqualification on equitable grounds.
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Case Details

2020 LawText (BOM) (02) 20

WRIT PETITION NO.11477 OF 2018

2020-02-27

RAVINDRA V. GHUGE, J.

Shri Deshmukh Ajinkya h/f Shri Hon Ashwin V. for Petitioner; Shri Shinde A.S. AGP for Respondents 1 & 2; Shri Kothari P.P. h/f Shri Kasliwal Anil H. for Respondent 3

Abhishek Vinod Patil

The Divisional Commissioner, Nashik; The Collector, Jalgaon; Mahaveer Prakashchand Pahade

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Nature of Litigation

Writ petition challenging the order of the Divisional Commissioner setting aside the disqualification of a defeated candidate under Section 16(1D) of the Maharashtra Municipal Councils, Nagar Panchayats and Industrial Townships Act, 1965.

Remedy Sought

The petitioner, an elected member of the Amalner Municipal Council, sought quashing of the Divisional Commissioner's order dated 13.4.2018 and restoration of the Collector's disqualification order.

Filing Reason

The petitioner was aggrieved by the Divisional Commissioner's order allowing the appeal of the defeated candidate and setting aside his disqualification for failure to lodge election expenses within the prescribed period.

Previous Decisions

The District Collector disqualified respondent No.3 on 27.2.2017; this Court set aside that order and remanded on 19.9.2017; the Collector again disqualified respondent No.3 on 28.12.2017; the Divisional Commissioner allowed the appeal on 13.4.2018.

Issues

Whether the Divisional Commissioner was justified in setting aside the disqualification under Section 16(1D) of the 1965 Act when the candidate failed to lodge election expenses within 30 days. Whether belated submission of accounts after receipt of notice cures the default under Section 16(1D).

Submissions/Arguments

Petitioner argued that the disqualification under Section 16(1D) is automatic upon failure to lodge accounts within 30 days, and belated submission does not cure the default. Respondent No.3 argued that he submitted accounts before the disqualification order and that the Divisional Commissioner rightly set aside the disqualification on equitable grounds.

Ratio Decidendi

The disqualification under Section 16(1D) of the Maharashtra Municipal Councils, Nagar Panchayats and Industrial Townships Act, 1965 is automatic upon failure to lodge election expenses within the prescribed 30-day period. The notice issued by the Collector is only to afford an opportunity of hearing before disqualification, not to provide a fresh period for compliance. Belated submission of accounts after receipt of notice does not cure the default. The period of disqualification is three years from the date of the Collector's order. The appellate authority cannot set aside the disqualification on equitable grounds.

Judgment Excerpts

The disqualification under Section 16(1D) of the 1965 Act is automatic upon failure to lodge accounts within 30 days. Belated submission after notice does not cure the default. The period of disqualification is three years from the date of the Collector's order.

Procedural History

Election declared on 28.11.2016; 30-day period for lodging expenses expired on 28.12.2016; Collector issued notice on 14.2.2017; respondent No.3 submitted accounts on 23.2.2017; Collector disqualified on 27.2.2017; this Court remanded on 19.9.2017; Collector again disqualified on 28.12.2017; Divisional Commissioner allowed appeal on 13.4.2018; present writ petition filed.

Acts & Sections

  • Maharashtra Municipal Councils, Nagar Panchayats and Industrial Townships Act, 1965: 16(1D)
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