Bombay High Court at Goa Allows Writ Petition Challenging Appointment of Administrator to Co-operative Society Without Notice. Appointment of Administrator under Section 77 of the Goa Co-operative Societies Act, 2001 set aside for violation of principles of natural justice.

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

The petitioners, members of Models Legacy Co-operative Housing Maintenance Society Limited, challenged the appointment of an Administrator by the Assistant Registrar of Co-operative Societies under Section 77 of the Goa Co-operative Societies Act, 2001. The petitioners contended that the appointment was made without any notice or opportunity of hearing to the managing committee, violating principles of natural justice. The respondents argued that the appointment was necessary due to alleged mismanagement. The court analyzed Section 77 and held that while the Registrar has power to appoint an Administrator, such power must be exercised in accordance with natural justice. Since no notice was given to the committee, the appointment was set aside. The court allowed the writ petition and quashed the impugned order.

Headnote

A) Administrative Law - Principles of Natural Justice - Right to be Heard - Section 77 Goa Co-operative Societies Act, 2001 - Appointment of Administrator - The court considered whether the appointment of an Administrator to a co-operative society without notice to the managing committee violates natural justice - Held that any order appointing an Administrator without hearing the committee is unsustainable as it affects the rights of the elected body (Paras 1-10).

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Issue of Consideration

Whether the appointment of an Administrator to a co-operative housing society without affording an opportunity of hearing to the managing committee members is valid in law.

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Final Decision

Writ petition allowed. Impugned order appointing Administrator quashed. The court held that the appointment violated principles of natural justice.

Law Points

  • Principles of natural justice
  • Right to be heard
  • Section 77 Goa Co-operative Societies Act
  • 2001
  • Appointment of Administrator
  • Co-operative society management
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Case Details

2019 LawText (BOM) (06) 181

WRIT PETITION NO. 196 OF 2019

2019-06-13

2019:BHC-GOA:1491-DB

Mr. Rohit Bras de Sa with Ms. V.V. Shet for Petitioners; Mr. Pravin N. Faldessai, Additional Govt. Advocate for Respondents

Neville Colaso and others

Irudayam Savari Muthu and others

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Nature of Litigation

Writ petition challenging appointment of Administrator to a co-operative housing society.

Remedy Sought

Petitioners sought quashing of the order appointing Administrator and restoration of the managing committee.

Filing Reason

Appointment of Administrator without notice or hearing to the managing committee.

Issues

Whether the appointment of Administrator under Section 77 of the Goa Co-operative Societies Act, 2001 without hearing the managing committee violates principles of natural justice.

Submissions/Arguments

Petitioners argued that no notice or opportunity of hearing was given before appointing Administrator. Respondents contended that appointment was necessary due to mismanagement.

Ratio Decidendi

The power under Section 77 of the Goa Co-operative Societies Act, 2001 to appoint an Administrator must be exercised in conformity with principles of natural justice. Any order passed without hearing the affected party is unsustainable.

Judgment Excerpts

The appointment of an Administrator without notice to the managing committee is violative of natural justice.

Acts & Sections

  • Goa Co-operative Societies Act, 2001: 77
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