Case Note & Summary
This writ petition under Articles 226 and 227 of the Constitution challenged the Divisional Joint Registrar's order dated 13 November 2014 allowing respondent No.4's application for deemed membership in the petitioner cooperative society. The dispute concerned Flat No.31, Building No.4 of Malad Co-operative Housing Society. Late Ramlal Dhanuka, the father of respondent No.4, was a joint shareholder along with Pannadevi, wife of his son D.R. Dhanuka. Pannadevi filed a title suit in 2007 claiming exclusive ownership, but after her death, her legal heirs unconditionally withdrew the suit in 2012. Respondent No.4, as one of the legal heirs of late Ramlal Dhanuka, applied for membership, but the society failed to decide for nearly a year. He then approached the Deputy Registrar who rejected the application for non-production of title documents. On revision, the Divisional Joint Registrar allowed the application, noting that respondent No.4 was in possession, the suit was withdrawn, no objections from other heirs existed, and the society had not acted on the application. The society challenged this order, arguing that the application was under the wrong bye-law (transfer instead of transmission), proper procedure was not followed, and multiple heirs existed. The High Court dismissed the writ petition. The court held that the Joint Registrar's order was well-reasoned. The unconditional withdrawal of the suit removed any dispute over title. The society's failure to process the application and its acceptance of maintenance charges militated against its objections. The absence of objections from other legal heirs further supported the grant of membership. The court found no perversity in the revisional order and declined to interfere under its writ jurisdiction. Thus, the order granting deemed membership to respondent No.4 was upheld.
Headnote
A) Cooperative Societies - Membership - Transmission of Shares on Death - Bye-law 35, Maharashtra Cooperative Societies Act, 1960 - The applicant, a legal heir of a deceased member, sought deemed membership; the court found that the society's inaction and unconditional withdrawal of prior suit justified grant of membership; Held that Joint Registrar's order was proper (Paras 5-6, 8). B) Cooperative Societies - Deemed Membership - Inaction by Society - Maharashtra Cooperative Societies Act, 1960 - The society failed to respond to the membership application for nearly a year; Held that the Joint Registrar correctly declared deemed membership, and the society could not later raise procedural objections (Paras 5-6). C) Civil Procedure - Unconditional Withdrawal of Suit - Effect - Code of Civil Procedure, 1908, Order XXIII Rule 1 - A prior title suit was unconditionally withdrawn by legal heirs of a co-shareholder; Held that such withdrawal removed any cloud on the title of the original member's legal heirs (Para 5). D) Cooperative Societies - Revisionary Powers - Maharashtra Cooperative Societies Act, 1960 - The Divisional Joint Registrar set aside the Deputy Registrar's rejection order based on technical ground of non-production of title documents; Held that revisional authority correctly exercised powers to do substantive justice when applicant was in possession and no objection from other heirs (Para 8).
Issue of Consideration
Whether the Divisional Joint Registrar's order granting deemed membership to respondent No.4 was legal and proper, and whether the society could object on grounds of procedural non-compliance and existence of multiple heirs.
Final Decision
Writ petition dismissed; the order of Divisional Joint Registrar dated 13 November 2014 upheld; no interference warranted under writ jurisdiction.
Law Points
- Legal points not extracted
- deemed membership
- transmission of shares on death
- unconditional withdrawal of title suit
- society's obligation to decide membership application
- revision power under Maharashtra Cooperative Societies Act
- 1960
