Case Note & Summary
The petitioners, who were the elected Board of Directors of the Agricultural Produce Market Committee, Malegaon, challenged the order of the District Deputy Registrar, Cooperative Societies, Washim, superseding the Board under Section 45 of the Maharashtra Agricultural Produce Marketing (Development & Regulation) Act, 1963. Certain complaints were made against the Directors, and a preliminary enquiry was conducted by the Assistant Registrar, who found some substance in the complaints. Based on this report, the District Deputy Registrar issued a show-cause notice under Section 45(1) asking why the Market Committee should not be superseded or the members removed. The petitioners submitted a reply, but without granting any further hearing, the District Deputy Registrar passed the impugned order superseding the Board. The court found that the show-cause notice did not specify the charges or allegations, and no opportunity of hearing was given to the petitioners. The court held that the principles of natural justice require that the notice must contain the specific charges and that a reasonable opportunity of hearing must be afforded before passing such a drastic order. The court quashed the order of supersession and directed the respondents to allow the petitioners to function as the Board of Directors of the Market Committee. The court also directed that the petitioners be paid their honorarium from the date of the impugned order.
Headnote
A) Administrative Law - Natural Justice - Show-Cause Notice - Section 45 Maharashtra Agricultural Produce Marketing (Development & Regulation) Act, 1963 - The court held that the show-cause notice under Section 45(1) must specify the charges and allegations against the committee or its members, and a reasonable opportunity of hearing must be granted before passing an order of supersession. In this case, the notice was vague and no hearing was given, rendering the order illegal. (Paras 2-5) B) Cooperative Societies - Supersession of Board - Section 45 Maharashtra Agricultural Produce Marketing (Development & Regulation) Act, 1963 - The District Deputy Registrar superseded the Board of Directors based on a preliminary enquiry report without providing the petitioners an opportunity to cross-examine witnesses or submit a detailed reply. The court quashed the order and directed reinstatement of the Board. (Paras 3-6)
Issue of Consideration
Whether the order of supersession of the Board of Directors of the Agricultural Produce Market Committee under Section 45 of the Maharashtra Agricultural Produce Marketing (Development & Regulation) Act, 1963 is valid when the show-cause notice did not specify the charges and no opportunity of hearing was granted.
Final Decision
The court allowed the writ petition, quashed the order of supersession dated 30th December 2014 passed by the District Deputy Registrar, and directed the respondents to allow the petitioners to function as the Board of Directors of the Agricultural Produce Market Committee, Malegaon. The court also directed that the petitioners be paid their honorarium from the date of the impugned order.
Law Points
- Natural justice
- show-cause notice
- opportunity of hearing
- supersession of market committee
- Section 45 Maharashtra Agricultural Produce Marketing (Development & Regulation) Act 1963
