Case Note & Summary
The petitioners, members of Malboro House Cooperative Housing Society Limited, challenged the order dated 10 October 2025 passed by the Divisional Joint Registrar, Cooperative Societies, Mumbai Division, appointing an administrator for the society and cancelling the requisitioned special general body meeting. The society had a managing committee elected in 2022. Some members requisitioned a special general body meeting under Section 78 of the Maharashtra Cooperative Societies Act, 1960 to discuss certain issues. The Registrar, without hearing the managing committee, passed an order appointing an administrator under Section 77A and Section 83 of the Act and cancelled the meeting. The petitioners contended that the order was passed in violation of principles of natural justice and that the Registrar had no jurisdiction to cancel the meeting. The respondents argued that the requisition was defective and that the committee had lost the confidence of the members. The court analyzed the provisions of the Act and held that the Registrar's order was illegal as it was passed without affording any hearing to the managing committee. The court also held that the Registrar could not pre-emptively cancel the requisitioned meeting; the validity of the requisition could be decided only after the meeting was held. The court quashed the order and directed the Registrar to allow the meeting to proceed and to reconsider the appointment of administrator after hearing all parties.
Headnote
A) Cooperative Law - Appointment of Administrator - Natural Justice - Section 77A, Maharashtra Cooperative Societies Act, 1960 - The Divisional Joint Registrar appointed an administrator for the society without issuing notice or hearing the elected managing committee. The court held that such an order is violative of principles of natural justice and the statutory scheme under Section 77A, which requires an opportunity of hearing before removal of the committee. (Paras 10-15) B) Cooperative Law - General Body Meeting - Requisition - Section 78, Maharashtra Cooperative Societies Act, 1960 - The requisition for a special general body meeting was signed by members holding more than one-fifth of the total membership. The Registrar cancelled the meeting on the ground that the requisition was not valid. The court held that the Registrar had no power to adjudicate on the validity of the requisition at that stage and the meeting should have been allowed to proceed. (Paras 16-20) C) Cooperative Law - Powers of Registrar - Section 83, Maharashtra Cooperative Societies Act, 1960 - The Registrar's power to appoint an administrator under Section 83 is a drastic power and must be exercised only after giving an opportunity of hearing to the committee. The court held that the order appointing administrator without hearing was unsustainable. (Paras 21-25)
Issue of Consideration
Whether the appointment of an administrator by the Divisional Joint Registrar without hearing the managing committee and the cancellation of the requisitioned general body meeting were legally valid and in compliance with the Maharashtra Cooperative Societies Act, 1960 and principles of natural justice.
Final Decision
The court allowed the writ petition, quashed the order dated 10 October 2025, and directed the Registrar to allow the requisitioned general body meeting to proceed and to reconsider the appointment of administrator after hearing all parties.
Law Points
- Principles of natural justice
- Right to hearing before appointment of administrator
- Validity of requisition for general body meeting
- Powers of Registrar under Maharashtra Cooperative Societies Act
- 1960
- Section 77A
- Section 78
- Section 79
- Section 83
