Bombay High Court Dismisses Petition Challenging Cooperative Society's Bye-Law Amendment and Registration of Sub-Lease. Registrar's power to register sub-leases under Section 22 of the Maharashtra Cooperative Societies Act, 1960 upheld.

High Court: Bombay High Court Bench: BOMBAY
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Case Note & Summary

The petitioner, a cooperative housing society, filed a writ petition challenging the order of the Deputy Registrar of Cooperative Societies dated 15.10.2024, which allowed the registration of a sub-lease in favor of respondent No.4, and also challenged the amendment of bye-law 37A requiring prior consent of the society for sub-lease. The petitioner contended that the Registrar had no power to register the sub-lease and that the amendment was invalid. The respondents argued that the Registrar had jurisdiction under Section 22 of the Maharashtra Cooperative Societies Act, 1960, and that the amendment was valid. The court examined the provisions of the Act and the bye-laws, and held that the Registrar has the power to register sub-leases under Section 22, and the amendment of bye-law 37A was within the powers of the society. The court also found that the petitioner was given adequate opportunity to be heard and there was no violation of natural justice. The petition was dismissed.

Headnote

A) Cooperative Law - Bye-law Amendment - Validity - Section 22, Maharashtra Cooperative Societies Act, 1960 - The petitioner challenged the amendment of bye-law 37A requiring prior consent of the society for sub-lease. The court held that the amendment was valid and within the powers of the society, and the Registrar had jurisdiction to register the sub-lease under Section 22. (Paras 5-10)

B) Cooperative Law - Registration of Sub-lease - Power of Registrar - Section 22, Maharashtra Cooperative Societies Act, 1960 - The court held that the Registrar has the power to register a sub-lease under Section 22, and the registration of the sub-lease in favor of respondent No.4 was valid. (Paras 11-15)

C) Natural Justice - Quasi-Judicial Proceedings - Opportunity of Hearing - The petitioner alleged violation of natural justice. The court found that the petitioner was given adequate opportunity to be heard and there was no violation of principles of natural justice. (Paras 16-18)

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Issue of Consideration

Whether the Registrar of Cooperative Societies has the power to register a sub-lease under Section 22 of the Maharashtra Cooperative Societies Act, 1960, and whether the amendment of bye-laws requiring prior consent of the society for sub-lease is valid.

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Final Decision

The writ petition is dismissed. The order of the Deputy Registrar dated 15.10.2024 is upheld.

Law Points

  • Registrar's power to register sub-leases under Section 22 of the Maharashtra Cooperative Societies Act
  • 1960
  • Bye-law amendment requiring prior consent of society for sub-lease
  • Natural justice in quasi-judicial proceedings
  • Maintainability of writ petition against cooperative society
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Case Details

2025:BHC-AS:49963

Writ Petition No.8631 of 2025

2025-11-20

2025:BHC-AS:49963

Tanvi’s Diamond a Cooperative Housing Society Ltd.

State of Maharashtra, Divisional Joint Registrar of Cooperative Societies, Deputy Registrar of Cooperative Societies, T & M Services Consulting Pvt. Ltd.

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Nature of Litigation

Writ petition challenging the order of Deputy Registrar allowing registration of sub-lease and validity of bye-law amendment.

Remedy Sought

Petitioner sought quashing of the Deputy Registrar's order dated 15.10.2024 and declaration that bye-law 37A amendment is invalid.

Filing Reason

Petitioner challenged the registration of sub-lease in favor of respondent No.4 and the amendment of bye-law requiring prior consent of society.

Previous Decisions

Deputy Registrar allowed registration of sub-lease on 15.10.2024.

Issues

Whether the Registrar has power to register a sub-lease under Section 22 of the Maharashtra Cooperative Societies Act, 1960? Whether the amendment of bye-law 37A requiring prior consent of society for sub-lease is valid? Whether there was violation of principles of natural justice?

Submissions/Arguments

Petitioner argued that Registrar has no power to register sub-lease and bye-law amendment is invalid. Respondents argued that Registrar has jurisdiction under Section 22 and amendment is valid.

Ratio Decidendi

The Registrar has the power to register sub-leases under Section 22 of the Maharashtra Cooperative Societies Act, 1960, and the amendment of bye-laws requiring prior consent of the society is valid. No violation of natural justice.

Judgment Excerpts

The Registrar has the power to register sub-leases under Section 22 of the Maharashtra Cooperative Societies Act, 1960. The amendment of bye-law 37A is valid and within the powers of the society.

Procedural History

The Deputy Registrar passed an order on 15.10.2024 allowing registration of sub-lease. The petitioner filed a writ petition before the High Court challenging the order and the bye-law amendment.

Acts & Sections

  • Maharashtra Cooperative Societies Act, 1960: 22
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