Bombay High Court Allows Writ Petition Challenging Rejection of Nomination for Cooperative Bank Election. Disqualification under Section 73EA of Maharashtra Cooperative Societies Act, 1960 applies to societies, not individual delegates.

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

The petitioner, Babasaheb Devidasrao Borade, was a director and member of the managing committee of respondent No. 4, Vividh Karyakari Seva Sahkari Society Ltd., a primary cooperative society. This primary society was a member of respondent No. 3, the Jalna District Central Cooperative Bank Ltd., a specified society. Elections were declared for the managing committee of the specified society. The petitioner filed his nomination as a delegatee of the primary society from the economically weaker section. The Election Officer (respondent No. 2) rejected his nomination at the scrutiny stage on the ground that the primary society was a defaulter of the specified society, and therefore the petitioner was disqualified under Section 73EA of the Maharashtra Cooperative Societies Act, 1960. The petitioner appealed to the Additional Divisional Commissioner (respondent No. 1), who dismissed the appeal, holding that since the petitioner was a director of the defaulting primary society, he was disqualified. The petitioner challenged these orders by way of a writ petition. The court considered the interpretation of Section 73EA. The petitioner's counsel argued that the disqualification under Section 73EA applies to the defaulting society itself, not to its individual delegate or director. The court agreed, holding that Section 73EA disqualifies the defaulting society from being represented, but does not disqualify the individual delegate or director from contesting the election. The court set aside the orders of the Election Officer and the Additional Divisional Commissioner and directed that the petitioner's nomination be accepted.

Headnote

A) Cooperative Law - Election Disqualification - Section 73EA Maharashtra Cooperative Societies Act, 1960 - Disqualification of Defaulting Society - The petitioner, a director and delegatee of a primary society which was a defaulter to the specified society, had his nomination rejected for election to the managing committee of the specified society. The court held that Section 73EA disqualifies the defaulting society itself from being represented, not the individual delegate or director. The rejection of nomination was set aside. (Paras 1-4)

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Issue of Consideration

Whether a delegatee of a defaulting primary society is disqualified under Section 73EA of the Maharashtra Cooperative Societies Act, 1960 from contesting election to the managing committee of a specified society.

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Final Decision

The court allowed the writ petition, set aside the orders of the Election Officer and the Additional Divisional Commissioner, and directed that the petitioner's nomination be accepted.

Law Points

  • Disqualification under Section 73EA of the Maharashtra Cooperative Societies Act
  • 1960 applies to the defaulting society and not to its individual delegate or director
  • Interpretation of Section 73EA
  • Delegatee not disqualified for contesting election as representative of defaulting society
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Case Details

2011 LawText (BOM) (06) 11

WRIT PETITION NO. 4220 OF 2011

2011-06-21

S. V. Gangapurwala, J.

Shri Vishal A. Bagal for Petitioner; Shri V. H. Dighe, A.G.P. for Respondent/State; Shri K. J. Suryawanshi for Respondent No. 3; Shri S. S. Bhise for Respondent No. 4

Babasaheb S/o Devidasrao Borade

The Additional Divisional Commissioner, Aurangabad Division, Aurangabad; The Sub Divisional Officer and Election Officer, The Jalna District Central Coop. Bank Ltd. Jalna; The Jalna District Central Coop. Bank Ltd. Jalna; Vividh Karyakary Seva Sahkari Society Ltd., Dhoksal

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Nature of Litigation

Writ petition challenging rejection of nomination for election to managing committee of a specified cooperative society.

Remedy Sought

Petitioner sought setting aside of orders rejecting his nomination and direction to accept his nomination.

Filing Reason

Petitioner's nomination was rejected on ground that he was a director of a defaulting primary society, allegedly disqualified under Section 73EA of the Maharashtra Cooperative Societies Act, 1960.

Previous Decisions

Election Officer rejected nomination; appeal to Additional Divisional Commissioner dismissed.

Issues

Whether a delegatee of a defaulting primary society is disqualified under Section 73EA of the Maharashtra Cooperative Societies Act, 1960 from contesting election to the managing committee of a specified society.

Submissions/Arguments

Petitioner argued that Section 73EA disqualifies the defaulting society, not the individual delegate or director. Respondents argued that the petitioner being a director of the defaulting society is disqualified.

Ratio Decidendi

Section 73EA of the Maharashtra Cooperative Societies Act, 1960 disqualifies the defaulting society from being represented, but does not disqualify the individual delegate or director of such society from contesting election as a delegatee.

Judgment Excerpts

The petitioner is a director and member of the managing committee of the respondent No. 4/Vividh Karyakari Seva Sahkari Society Limited... It was erroneous on the part of respondent Nos. 1 and 2 to hold that the petitioner is disqualified in view of Section 73EA of the Maharashtra Cooperative Societies Act, 1960...

Procedural History

Petitioner filed nomination for election to managing committee of respondent No. 3 specified society. Election Officer rejected nomination on ground of disqualification under Section 73EA. Petitioner appealed to Additional Divisional Commissioner, who dismissed appeal. Petitioner then filed writ petition in High Court.

Acts & Sections

  • Maharashtra Cooperative Societies Act, 1960: 73EA
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Related Judgement
High Court Bombay High Court Allows Writ Petition Challenging Rejection of Nomination for Cooperative Bank Election. Disqualification under Section 73EA of Maharashtra Cooperative Societies Act, 1960 applies to societies, not individual delegates.
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