Bombay High Court Dismisses Challenge to Cooperative Society Election Notification — Upholds Validity of Government Order Under Maharashtra Cooperative Societies Act, 1960. Court holds that the government order dated 30-06-2007 is valid and intra vires the Act, and the election process for the managing committee of the respondent society must proceed as per the order.

High Court: Bombay High Court Bench: AURANGABAD In Favour of Prosecution
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Case Note & Summary

The petitioner, Jalgaon Jillha Urban Cooperative Banks Association Ltd., filed a writ petition challenging a Government Order dated 30-06-2007 issued under Section 73B of the Maharashtra Cooperative Societies Act, 1960. The order pertained to the election of the managing committee of the respondent society, Satyasheel Avinash Akole. The petitioner contended that the order was ultra vires the Act and that the election should be conducted as per the society's bye-laws. The respondents, including the State of Maharashtra and the Registrar of Cooperative Societies, argued that the order was valid and necessary to ensure proper conduct of elections. The court examined the provisions of Section 73B and the facts of the case. It held that the Government Order was valid and intra vires the Act, as the Registrar has the power to issue directions for elections. The court dismissed the petition and directed that the election process be completed as per the order. The judgment was delivered by a division bench of Justices T.V. Nalawade and Sangitrao S. Patil on 13 February 2017.

Headnote

A) Cooperative Law - Election of Managing Committee - Validity of Government Order under Section 73B of Maharashtra Cooperative Societies Act, 1960 - The petitioner association challenged the Government Order dated 30-06-2007 which directed that the election of the managing committee of the respondent society be held as per the order. The court examined the scope of Section 73B and held that the order is valid and intra vires the Act. The court directed that the election process be completed as per the order. (Paras 1-10)

B) Cooperative Law - Powers of Registrar - Section 73B of Maharashtra Cooperative Societies Act, 1960 - The court held that the Registrar has the power to issue directions for the conduct of elections of cooperative societies under Section 73B. The Government Order in question was issued by the Registrar and is binding on the society. (Paras 5-8)

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Issue of Consideration

Whether the Government Order dated 30-06-2007 issued under Section 73B of the Maharashtra Cooperative Societies Act, 1960 is valid and whether the election of the managing committee of the respondent society should be held as per the said order.

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Final Decision

The court dismissed the writ petition and directed that the election process for the managing committee of the respondent society be completed as per the Government Order dated 30-06-2007.

Law Points

  • Interpretation of Section 73B of Maharashtra Cooperative Societies Act
  • 1960
  • Validity of Government Order under Section 73B
  • Election of Managing Committee of Cooperative Society
  • Powers of Registrar under the Act
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Case Details

2017 LawText (BOM) (02) 29

Writ Petition No.1304 of 2008 With Civil Application No.15469 of 2016

2017-02-13

T.V. Nalawade, Sangitrao S. Patil

Shri. N.B. Suryawanshi for petitioner, Shri. S.B. Joshi, Assistant Government Pleader for respondent Nos.1 to 4, Shri. S.M. Kulkarni for applicant in Civil Application No.15469 of 2016

Jalgaon Jillha Urban Cooperative Banks Association Ltd., Jalgaon, Through its Expert Director, Shri. J.M. Agrawal

1) The State of Maharashtra Through Chief Secretary, Mantralaya, Mumbai, 2) The Principal Secretary, Cooperation and Textile Department, State of Maharashtra, Mantralaya, Mumbai, 3) The Commissioner and Registrar, Cooperative Societies, Maharashtra State, Central Building Pune, 4) The Divisional Joint Registrar, Cooperative Societies, Nashik Division, Nashik, 5) Satyasheel Avinash Akole

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Nature of Litigation

Writ petition challenging the validity of a Government Order dated 30-06-2007 issued under Section 73B of the Maharashtra Cooperative Societies Act, 1960 regarding election of managing committee of a cooperative society.

Remedy Sought

Petitioner sought quashing of the Government Order dated 30-06-2007 and direction to hold election as per bye-laws.

Filing Reason

Petitioner contended that the Government Order was ultra vires the Act and that the election should be conducted as per the society's bye-laws.

Issues

Whether the Government Order dated 30-06-2007 issued under Section 73B of the Maharashtra Cooperative Societies Act, 1960 is valid. Whether the election of the managing committee of the respondent society should be held as per the said order.

Submissions/Arguments

Petitioner argued that the Government Order is ultra vires the Act and that the election should be conducted as per the society's bye-laws. Respondents argued that the order is valid and necessary to ensure proper conduct of elections, and that the Registrar has power under Section 73B to issue such directions.

Ratio Decidendi

The Government Order dated 30-06-2007 issued under Section 73B of the Maharashtra Cooperative Societies Act, 1960 is valid and intra vires the Act. The Registrar has the power to issue directions for the conduct of elections of cooperative societies under Section 73B, and such directions are binding on the society.

Judgment Excerpts

The petition is filed by the association of Jalgaon Zilla Urban Cooperative Banks, Credit Societies and other financial institutions registered under the Maharashtra Cooperative Societies Act 1960. It is the contention of the petitioner that the Government Order dated 30-06-2007 is ultra vires the Act. The court held that the order is valid and intra vires the Act.

Procedural History

The writ petition was filed in 2008 challenging the Government Order dated 30-06-2007. Civil Application No.15469 of 2016 was filed subsequently. The judgment was reserved on 7 February 2017 and delivered on 13 February 2017.

Acts & Sections

  • Maharashtra Cooperative Societies Act, 1960: 73B
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