Case Note & Summary
The petitioners, 12 members of the Management Committee of Shri Shivaji Sindhi Cooperative Housing Society Ltd., challenged the order dated 6.4.2009 passed by the Taluka Deputy Registrar, Cooperative Societies, Aurangabad (respondent No. 3) superseding the Management Committee under Section 77 of the Maharashtra Cooperative Societies Act, 1960. The petitioners contended that the show-cause notice issued to them did not specify the grounds on which supersession was proposed, and they were not given an opportunity to submit their explanation. The court examined the show-cause notice and found that it merely stated that the committee was not functioning properly and that the Registrar was satisfied that supersession was necessary, but did not set out any specific grounds. The court held that the principles of natural justice require that a show-cause notice must specify the grounds for the proposed action to enable the affected party to effectively respond. Since the notice failed to do so, the subsequent order of supersession was vitiated. The court quashed the order dated 6.4.2009 and directed the Taluka Deputy Registrar to issue a fresh show-cause notice specifying the grounds and to pass a fresh order after giving an opportunity of hearing to the petitioners. The writ petition was allowed.
Headnote
A) Cooperative Law - Supersession of Management Committee - Natural Justice - Section 77 Maharashtra Cooperative Societies Act, 1960 - Show-cause notice must specify the grounds on which supersession is proposed - The Taluka Deputy Registrar issued a show-cause notice that did not mention the grounds for supersession, and the petitioners were not given an opportunity to submit their explanation - Held that the order of supersession is vitiated for non-compliance with principles of natural justice (Paras 1-6).
Issue of Consideration
Whether the order of supersession of the Management Committee passed by the Taluka Deputy Registrar under Section 77 of the Maharashtra Cooperative Societies Act, 1960 is vitiated for non-compliance with principles of natural justice, specifically for failure to specify the grounds in the show-cause notice.
Final Decision
The writ petition is allowed. The order dated 6.4.2009 passed by respondent No. 3 is quashed and set aside. Respondent No. 3 is directed to issue a fresh show-cause notice specifying the grounds on which supersession is proposed and to pass a fresh order after giving an opportunity of hearing to the petitioners.
Law Points
- Natural justice
- Show-cause notice must specify grounds
- Supersession of management committee
- Section 77 Maharashtra Cooperative Societies Act 1960
- Opportunity of hearing
