Case Note & Summary
The petitioner, Karamshi Jethabhai Somaiya Trust, filed a writ petition under Article 226 of the Constitution of India before the Bombay High Court challenging an order passed by the District Deputy Registrar, Co-operative Societies (Respondent No.1), appointing an administrator for the petitioner-society. The petitioner contended that the impugned order was passed without any notice or opportunity of hearing being afforded to the society, thereby violating the principles of natural justice. The respondents, including the District Deputy Registrar and certain members of the society, opposed the petition. The Court examined the record and found that indeed no show cause notice was issued to the society before the appointment of the administrator. The Court held that the power under Section 77 of the Maharashtra Cooperative Societies Act, 1960 to appoint an administrator must be exercised in consonance with the principles of natural justice, and the failure to provide a hearing renders the order invalid. Consequently, the Court allowed the petition, quashed the impugned order, and directed that the society be allowed to function through its elected committee. The Court also clarified that this order would not preclude the authorities from taking fresh proceedings in accordance with law after giving due opportunity of hearing.
Headnote
A) Cooperative Law - Appointment of Administrator - Natural Justice - Section 77, Maharashtra Cooperative Societies Act, 1960 - The District Deputy Registrar appointed an administrator for the society without issuing any show cause notice or hearing the society. The Court held that such an order is violative of principles of natural justice and cannot be sustained. The petition was allowed and the impugned order was quashed and set aside. (Paras 1-3)
Issue of Consideration
Whether the order passed by the District Deputy Registrar appointing an administrator for the petitioner-society without giving an opportunity of hearing is sustainable in law.
Final Decision
The Court allowed the petition, quashed and set aside the impugned order dated 24th April 2026 passed by the District Deputy Registrar, and directed that the society be allowed to function through its elected committee. The authorities are at liberty to take fresh proceedings in accordance with law after giving due opportunity of hearing.
Law Points
- Principles of natural justice
- Right to be heard
- Section 77 Maharashtra Cooperative Societies Act
- 1960
- Article 226 Constitution of India
- Appointment of administrator
- Cooperative society management
Case Details
2026 LawText (BOM) (04) 70
Writ Petition (L) No. 13998 of 2026
Mr. Mayur Khandeparkar a/w Mr. Amogh Singh a/w Mr. Santosh Pathak a/w Nimish Lothikar a/w Devansh Shah a/w Vikas Mishra a/w Deepesh Kadam i/b Law Origin for Petitioner. Dr. Birendra Saraf, Senior Counsel a/w Mr. Gauraj Shah, Mr. Bharat Jain, Mr. Hrishikesh Tajane, Mr. Priyank Priyadarshi i/b IC Regfin Legal Partners LLP for Respondent nos. 3 to 14. Ms. Usha Rahi – AGP for Respondent nos. 1, 23, 24 – State of Maharashtra. Mr. Sharad Bansal a/w Mr. Medhavin Bhatt a/w Ms. Manashvi Shah i/b M/s. MV Law Partners for Respondent no. 2.
Karamshi Jethabhai Somaiya Trust
The District Deputy Registrar, Co-operative Societies (2) & Ors.
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Nature of Litigation
Writ petition under Article 226 of the Constitution of India challenging an order of appointment of administrator for a cooperative society.
Remedy Sought
Quashing of the order dated 24th April 2026 passed by the District Deputy Registrar appointing an administrator for the petitioner-society.
Filing Reason
The impugned order was passed without any notice or opportunity of hearing to the society, violating principles of natural justice.
Issues
Whether the order appointing an administrator without hearing the society is violative of principles of natural justice.
Submissions/Arguments
Petitioner argued that no show cause notice was issued before passing the impugned order, and the society was not heard.
Respondents opposed the petition, but the Court found no evidence of any notice or hearing.
Ratio Decidendi
The power to appoint an administrator under Section 77 of the Maharashtra Cooperative Societies Act, 1960 must be exercised in compliance with principles of natural justice. An order passed without affording the society an opportunity of hearing is invalid and liable to be set aside.
Judgment Excerpts
The present Writ Petition invokes the extraordinary jurisdiction of this Court under Article 226 of the Constitution of India.
The impugned order has been passed without any notice or opportunity of hearing being afforded to the petitioner-society.
The order dated 24th April 2026 passed by the District Deputy Registrar, Co-operative Societies, is quashed and set aside.
Procedural History
The petitioner filed a writ petition before the Bombay High Court challenging an order of the District Deputy Registrar appointing an administrator. The Court heard the matter and delivered the order on the same day.
Acts & Sections
- Maharashtra Cooperative Societies Act, 1960: 77
- Constitution of India: 226