Case Note & Summary
The petitioner, Uttam Jagannath Lungare, a founder member of the Gurujan Cooperative Housing Society Ltd. (respondent No. 5), challenged his expulsion from the society. The society was formed in 1968 and registered in October 1971. The petitioner claimed to have paid amounts towards land purchase in 1969. His membership was cancelled by the society under section 35 of the Maharashtra Cooperative Societies Act, 1960, by a resolution dated 4.4.1999. The petitioner challenged this resolution and subsequent orders of the Deputy Registrar (28.6.1995), Divisional Joint Registrar (12.10.1999), and the Secretary (22.1.2001) in revision. The High Court had granted interim stay in 2001. The court examined whether the expulsion was valid. The petitioner argued that he was not given a proper hearing and that the society's action was malafide. The respondents contended that the petitioner had violated bye-laws by not paying dues and that he was given an opportunity to show cause. The court noted that the petitioner had been given a show cause notice and a personal hearing. The court held that the society's action was in accordance with its bye-laws and the principles of natural justice were followed. The court also held that in a writ petition under Article 226, it cannot re-appreciate evidence or interfere with findings of fact unless they are perverse or without jurisdiction. The court found no such perversity. Accordingly, the writ petition was dismissed and the interim relief was vacated.
Headnote
A) Cooperative Law - Membership Expulsion - Section 35 of Maharashtra Cooperative Societies Act, 1960 - Validity of Expulsion - The petitioner, a founder member, was expelled by the society for non-payment of dues and violation of bye-laws. The court held that the society's action was in accordance with its bye-laws and the principles of natural justice were followed. The writ petition was dismissed. (Paras 1-15) B) Cooperative Law - Natural Justice - Opportunity of Hearing - Section 35 of Maharashtra Cooperative Societies Act, 1960 - The court found that the petitioner was given an opportunity to show cause and a personal hearing before the expulsion, thus principles of natural justice were complied with. (Paras 8-12) C) Constitutional Law - Writ Jurisdiction - Article 226 of Constitution of India - Scope of Interference - The court held that in a writ petition, it cannot re-appreciate evidence or interfere with findings of fact unless perverse or without jurisdiction. The expulsion was found to be valid. (Paras 13-15)
Issue of Consideration
Whether the expulsion of the petitioner from the respondent cooperative society was valid and in accordance with the provisions of the Maharashtra Cooperative Societies Act, 1960 and the principles of natural justice.
Final Decision
The writ petition is dismissed. The interim relief granted earlier stands vacated. No order as to costs.
Law Points
- Membership cancellation under section 35 of Maharashtra Cooperative Societies Act
- 1960
- Principles of natural justice in expulsion
- Validity of bye-laws
- Scope of writ jurisdiction under Article 226
