Case Note & Summary
The petitioner, Mr. Dilawar Hakim Shah, challenged an order dated 22.2.2005 passed by the Divisional Joint Registrar, Co-operative Societies, Konkan Division, refusing to accept his revision application against a recovery certificate issued on 30.8.2003 by the Chiplun Urban Cooperative Bank Ltd. The revision was filed beyond the limitation period of two months, and the petitioner applied for condonation of delay. However, the Divisional Joint Registrar rejected the revision solely on the ground that the petitioner had not deposited 50% of the total recoverable dues as required under Section 154(2A) of the Maharashtra Co-operative Societies Act, 1960, without considering the application for condonation of delay. The High Court examined whether the mandatory pre-deposit under Section 154(2A) applies even at the stage of considering the condonation of delay. The Court noted that Section 154(2A) states that no application for revision shall be entertained unless the applicant deposits 50% of the recoverable dues. The Court interpreted the word 'entertained' to mean 'proceeded to consider on merits' and not 'received or filed'. Relying on the principle that procedural provisions should not be construed to defeat the right of appeal or revision, the Court held that the bar of pre-deposit applies only to the hearing of the revision on merits, not to the preliminary stage of considering condonation of delay. Therefore, the Divisional Joint Registrar ought to have first considered the application for condonation of delay without insisting on the pre-deposit. If the delay is condoned, then the revision can be entertained only after the petitioner makes the required deposit. The Court set aside the impugned order and directed the Divisional Joint Registrar to consider the application for condonation of delay afresh, without requiring the pre-deposit at that stage.
Headnote
A) Co-operative Law - Revision - Pre-deposit - Section 154(2A) Maharashtra Co-operative Societies Act, 1960 - The question was whether the mandatory pre-deposit of 50% of recoverable dues under Section 154(2A) is required before considering an application for condonation of delay in filing a revision against a recovery certificate. The Court held that the bar under Section 154(2A) applies only to entertaining the revision application on merits, not to considering the application for condonation of delay. The revision application can be considered for condonation of delay without pre-deposit, but once delay is condoned, the revision can be entertained only after the pre-deposit is made. (Paras 4-6)
Issue of Consideration
Whether the bar of pre-deposit of 50% of recoverable dues under Section 154(2A) of the Maharashtra Co-operative Societies Act, 1960 applies even for considering an application for condonation of delay in filing a revision application against a recovery certificate.
Final Decision
The impugned order dated 22.2.2005 is set aside. The Divisional Joint Registrar is directed to consider the application for condonation of delay afresh, without requiring the pre-deposit of 50% of the recoverable dues at that stage. If the delay is condoned, the revision application shall be entertained only after the petitioner makes the required deposit under Section 154(2A). Rule made absolute accordingly.
Law Points
- Pre-deposit under Section 154(2A) is mandatory for entertaining revision application on merits
- but not for considering application for condonation of delay
- Revision application can be considered for condonation of delay without pre-deposit
- Once delay is condoned
- revision can be entertained only after pre-deposit



