Case Note & Summary
The judgment concerns four writ petitions filed by cooperative societies against the order of the Collector, Gondia, who rejected their applications for inclusion in the provisional voters' list for the election of the Gondia District Central Cooperative Bank Ltd. The petitioners were member societies of the Bank. The Collector rejected their applications on the ground that they had not paid their dues to the Bank. The petitioners challenged this order, arguing that non-payment of dues does not disqualify them from voting under the Maharashtra Cooperative Societies Act, 1960 or the bye-laws of the Bank. The Court examined the relevant provisions and found that the right to vote is a statutory right, and disqualification can only be imposed if the bye-laws specifically provide for it. Since the bye-laws did not contain any such provision, the Collector's order was based on an extraneous consideration. The Court allowed the petitions, quashed the Collector's order, and directed the respondents to include the petitioners' names in the final voters' list. The Court also clarified that the Bank may recover its dues through appropriate proceedings but cannot use non-payment as a ground to deny voting rights.
Headnote
A) Cooperative Law - Election - Voters' List - Inclusion of Members - The petitioners, being member societies of the respondent Bank, applied for inclusion in the provisional voters' list for the Bank's election. The Collector rejected their applications on the ground that they had not paid their dues to the Bank. The Court held that the right to vote is a statutory right under the Maharashtra Cooperative Societies Act, 1960 and the bye-laws, and non-payment of dues does not automatically disqualify a member unless the bye-laws specifically provide for such disqualification. The Collector's order was set aside as it was based on an extraneous consideration not supported by the Act or bye-laws. (Paras 4-8) B) Cooperative Law - Membership vs. Voting Rights - Distinction - The Court distinguished between the right to become a member under Section 27 of the Act and the right to vote, which is governed by the bye-laws. It held that once a society is admitted as a member, it is entitled to exercise voting rights unless disqualified under the bye-laws. The Collector's reliance on non-payment of dues was not a valid ground for exclusion from the voters' list in the absence of a specific bye-law provision. (Paras 6-8) C) Cooperative Law - Returning Officer - Powers - The Court held that the Returning Officer (Collector) cannot refuse inclusion of a member's name in the voters' list based on alleged dues without a proper determination under the Act. The order was quashed as it was arbitrary and without jurisdiction. (Paras 7-8)
Issue of Consideration
Whether the Collector, as Returning Officer, was justified in rejecting the applications of the petitioner cooperative societies for inclusion of their names in the provisional voters' list for the election of the Gondia District Central Cooperative Bank Ltd. on the ground that they had not paid their dues to the Bank.
Final Decision
The Court allowed the petitions, quashed the order dated 26/5/2011 passed by the Collector, Gondia, and directed the respondents to include the names of the petitioners in the final voters' list for the election of the Gondia District Central Cooperative Bank Ltd. The Court further directed that the Bank may recover its dues through appropriate proceedings.
Law Points
- Membership rights under Section 27 of the Maharashtra Cooperative Societies Act
- 1960 are distinct from voting rights under the bye-laws
- non-payment of dues does not automatically disentitle a member from inclusion in the voters' list unless bye-laws specifically provide for such disqualification
- the Collector as Returning Officer cannot refuse inclusion based on alleged dues without a proper determination under the Act.
