Bombay High Court Upholds Deregistration of Fisherwomen Cooperative Society for Non-Compliance with Bye-Laws and Government Resolutions. Court holds that Commissioner of Fisheries has power under Section 21A of Maharashtra Cooperative Societies Act, 1960 to deregister a society that fails to comply with its bye-laws and government policies regarding tank lease allotment.

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

The petitioner, Waghamay Mahila Machchimar Sahakari Sanstha Maryadit, a cooperative society registered under the Maharashtra Cooperative Societies Act, 1960, challenged two orders: (1) the order dated 25.03.2019 passed by the Commissioner of Fisheries directing deregistration of the society under Section 21A of the Act, and (2) the order dated 03.03.2018 passed by the Commissioner of Fisheries setting aside the allotment of Jamnala Tank in favor of the society. The respondents included the Commissioner of Fisheries, other fisheries authorities, and another cooperative society, Hanuman Mahila Matsyavyavasay Sahakari Sanstha Maryadit, which was the successful bidder for the tank lease. The facts reveal that the petitioner-society was allotted the Jamnala Tank for fishing purposes, but the allotment was challenged by the respondent-society on the ground that the petitioner-society did not comply with the conditions of allotment, including the requirement of being a women's cooperative society with a minimum of 10 members as per Bye-law No. 24 and Government Resolution dated 30.09.2010. The Commissioner of Fisheries found that the petitioner-society had only 7 members and was not exclusively for women, and therefore set aside the allotment and ordered deregistration. The legal issues considered were whether the Commissioner of Fisheries has the power to deregister a society under Section 21A for non-compliance with bye-laws and government resolutions, and whether the allotment of the tank lease was valid. The petitioner argued that the society was validly registered and that the allotment was made after due process, while the respondents contended that the society did not meet the eligibility criteria. The court analyzed the provisions of the Act, the bye-laws, and the government resolution, and held that the Commissioner of Fisheries had the power to deregister the society under Section 21A for non-compliance with its bye-laws and government policies. The court further held that the allotment of the tank was rightly set aside because the society did not have the requisite number of members and was not a women's society as required. The court dismissed both writ petitions, upholding the orders of the Commissioner of Fisheries.

Headnote

A) Cooperative Societies - Deregistration - Section 21A of Maharashtra Cooperative Societies Act, 1960 - Power of Commissioner of Fisheries - The Commissioner of Fisheries has the power to deregister a cooperative society under Section 21A if the society fails to comply with its bye-laws and government resolutions. The court held that the petitioner-society did not comply with Bye-law No. 24 and Government Resolution dated 30.09.2010, which required the society to have a minimum of 10 members and to be a women's society. The society had only 7 members and was not exclusively for women. The deregistration was upheld. (Paras 2-10)

B) Cooperative Societies - Allotment of Water Tank Lease - Government Resolution dated 30.09.2010 - Preference to Women Cooperative Societies - The allotment of Jamnala Tank in favor of the petitioner-society was set aside because the society did not comply with the conditions of allotment, including the requirement of being a women's cooperative society with a minimum of 10 members. The court held that the Commissioner of Fisheries correctly set aside the allotment as the society was not eligible. (Paras 2-10)

C) Cooperative Societies - Bye-law No. 24 - Compliance - The petitioner-society failed to comply with Bye-law No. 24, which required the society to have a minimum of 10 members. The society had only 7 members at the time of allotment. The court held that non-compliance with bye-laws is a valid ground for deregistration and cancellation of allotment. (Paras 2-10)

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Issue of Consideration

Whether the Commissioner of Fisheries has the power to deregister a cooperative society under Section 21A of the Maharashtra Cooperative Societies Act, 1960 for non-compliance with its bye-laws and government resolutions, and whether the allotment of a water tank lease can be set aside on the ground that the society did not comply with the conditions of allotment.

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Final Decision

Both writ petitions are dismissed. The order dated 25.03.2019 directing deregistration of the petitioner-society under Section 21A of the Maharashtra Cooperative Societies Act, 1960, and the order dated 03.03.2018 setting aside the allotment of Jamnala Tank are upheld.

Law Points

  • Section 21A of Maharashtra Cooperative Societies Act
  • 1960
  • Government Resolution dated 30.09.2010
  • Bye-law No. 24
  • Deregistration of cooperative society
  • Allotment of water tank lease
  • Preference to women cooperative societies
  • Compliance with bye-laws and government resolutions
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Case Details

2019 LawText (BOM) (08) 171

Writ Petition No. 1887/2018 and Writ Petition No. 3274/2019

2019-08-02

A.S. Chandurkar

Shri R.L. Khapre with S.U. Nemade for petitioner; Shri V.A. Thakare, Assistant Government Pleader for respondent nos.1 to 4; Shri M.V. Samarth for respondent no.7; Shri V.G. Palshikar for respondent no.8

Waghamay Mahila Machchimar Sahakari Sanstha Maryadit

Commissioner of Fisheries and others

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Nature of Litigation

Writ petitions challenging orders of Commissioner of Fisheries regarding deregistration of a cooperative society and cancellation of allotment of a water tank lease.

Remedy Sought

The petitioner sought quashing of the order dated 25.03.2019 directing deregistration under Section 21A of the Maharashtra Cooperative Societies Act, 1960, and the order dated 03.03.2018 setting aside the allotment of Jamnala Tank.

Filing Reason

The petitioner-society was aggrieved by the orders of the Commissioner of Fisheries which deregistered the society and cancelled the allotment of the tank lease.

Previous Decisions

The Commissioner of Fisheries passed the order dated 03.03.2018 setting aside the allotment of Jamnala Tank, and the order dated 25.03.2019 directing deregistration of the society under Section 21A of the Act.

Issues

Whether the Commissioner of Fisheries has the power to deregister a cooperative society under Section 21A of the Maharashtra Cooperative Societies Act, 1960 for non-compliance with its bye-laws and government resolutions? Whether the allotment of Jamnala Tank in favor of the petitioner-society was valid given the society's non-compliance with Bye-law No. 24 and Government Resolution dated 30.09.2010?

Submissions/Arguments

The petitioner argued that the society was validly registered and the allotment was made after due process, and that the Commissioner of Fisheries had no power to deregister the society under Section 21A. The respondents contended that the petitioner-society did not comply with Bye-law No. 24 and Government Resolution dated 30.09.2010, which required a minimum of 10 members and that the society be a women's cooperative society. The society had only 7 members and was not exclusively for women.

Ratio Decidendi

The Commissioner of Fisheries has the power under Section 21A of the Maharashtra Cooperative Societies Act, 1960 to deregister a cooperative society that fails to comply with its bye-laws and government resolutions. Non-compliance with Bye-law No. 24 and Government Resolution dated 30.09.2010, which require a minimum of 10 members and that the society be a women's cooperative society, is a valid ground for deregistration and cancellation of allotment of a tank lease.

Judgment Excerpts

The challenge raised in Writ Petition No.3274 of 2019 is to the order dated 25.03.2019 passed by the Commissioner of Fisheries directing deregistration of the petitionerSociety under Section 21A of the Maharashtra Cooperative Societies Act, 1960. In Writ Petition No.1887 of 2018, the order dated 03.03.2018 passed by the Commissioner of Fisheries setting aside the allotment of Jamnala Tank that was made in favour of the petitionerSociety is under challenge.

Procedural History

The Commissioner of Fisheries passed the order dated 03.03.2018 setting aside the allotment of Jamnala Tank in favor of the petitioner-society. Subsequently, the Commissioner passed the order dated 25.03.2019 directing deregistration of the petitioner-society under Section 21A of the Maharashtra Cooperative Societies Act, 1960. The petitioner filed two writ petitions challenging these orders, which were heard together and dismissed by the High Court on 02.08.2019.

Acts & Sections

  • Maharashtra Cooperative Societies Act, 1960: Section 21A
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