Bombay High Court Allows Petition Challenging Election of Managing Committee Members in Cooperative Society — Violation of Section 73CA of Maharashtra Cooperative Societies Act, 1960. Court holds that election of members who are not eligible under the Act is void and sets aside the election of respondent nos. 4 to 19.

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

The petitioner, Gopal Kashinath Pawar, a shareholder and member of the Amravati Zilla Parishad Shikshak Sahakari Society Limited (respondent no. 3), a cooperative society registered under the Maharashtra Cooperative Societies Act, 1960, filed a writ petition challenging the election of respondent nos. 4 to 19 as members of the managing committee. The petitioner contended that the election was in violation of Section 73CA of the Act, which mandates that members of the managing committee must be elected from among the members of the society. The respondents argued that the election was conducted in accordance with the by-laws and that the petitioner had no locus standi. The court, after hearing the parties, examined the provisions of Section 73CA and found that the election of respondent nos. 4 to 19 was indeed in contravention of the statutory requirement. The court held that the election was void ab initio and set it aside. The court further directed that fresh elections be conducted in accordance with the Act and the by-laws. The petition was allowed with no order as to costs.

Headnote

A) Cooperative Law - Election of Managing Committee - Section 73CA of Maharashtra Cooperative Societies Act, 1960 - Validity of Election - The petitioner challenged the election of respondent nos. 4 to 19 as members of the managing committee of the respondent no. 3 Cooperative Society on the ground that they were not eligible under Section 73CA of the Act. The court held that the election was void as it violated the statutory requirement that only members of the society can be elected to the managing committee. The court set aside the election and directed fresh elections. (Paras 2-5)

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Issue of Consideration

Whether the election of respondent nos. 4 to 19 as members of the managing committee of the respondent no. 3 Cooperative Society is valid under Section 73CA of the Maharashtra Cooperative Societies Act, 1960.

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Final Decision

The court allowed the writ petition, set aside the election of respondent nos. 4 to 19 as members of the managing committee, and directed fresh elections in accordance with the Act and by-laws.

Law Points

  • Election of managing committee members must comply with Section 73CA of Maharashtra Cooperative Societies Act
  • 1960
  • which requires that members of the managing committee be elected from among the members of the society
  • any election in violation of this provision is void.
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Case Details

2017 LawText (BOM) (12) 120

Writ Petition No. 3442/2015

2017-12-15

Z.A. Haq

Shri A.M. Gordey, Sr. Advocate a/b Ms V.S. Gordey and Ms R.D. Raskar for petitioner; Shri N.H. Joshi, A.G.P. for respondent nos. 1 and 2; Shri A.M. Ghare for respondent nos. 3 and 14; Shri S.J. Kadu for respondent nos. 4 to 13

Gopal S/o Kashinath Pawar

The State of Maharashtra, Department of Cooperation; The Divisional Joint Registrar, Cooperative Societies, Amravati; The Amravati Zilla Parishad Shikshak Sahakari Society Limited, Amravati; Shri Gokul Shriramji Raut; Shri Rajpal Kashiram Wankhede; Shri Haribhau Janraoji Kawale; Shri Rajesh Dadarao Sawarkar; Shri Kiran Vinayakrao Patil; Shri Manohar Rajdhar Salkar; Shri Anil Sudhakar Deshmukh; Shri Sanjay Bapurao Bhele; Sheikh Biram Sheikh Yakub (Guruji); Shri Pandit Kisanrao Deshmukh; Shri Nandkishor Pundlik Raut; Shri Ramdas Sheshrao Kadu; Shri Sharad Rajaramji Lade; Shri Vijay Punjabrao Deshmukh; Smt. Archana Dilip Rahate; Shri Sanjay Shantaram Babre; Shri M.D. Datey

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Nature of Litigation

Writ petition challenging the election of managing committee members of a cooperative society.

Remedy Sought

Petitioner sought to set aside the election of respondent nos. 4 to 19 as members of the managing committee of respondent no. 3 society.

Filing Reason

Petitioner alleged that the election was in violation of Section 73CA of the Maharashtra Cooperative Societies Act, 1960.

Issues

Whether the election of respondent nos. 4 to 19 as members of the managing committee of respondent no. 3 society is valid under Section 73CA of the Maharashtra Cooperative Societies Act, 1960.

Submissions/Arguments

Petitioner argued that the election violated Section 73CA of the Act. Respondents argued that the election was conducted as per by-laws and petitioner had no locus standi.

Ratio Decidendi

The election of managing committee members must comply with Section 73CA of the Maharashtra Cooperative Societies Act, 1960, which requires that members be elected from among the members of the society; any election in violation is void.

Judgment Excerpts

The respondent no.3 is a Cooperative Society registered under the provisions of the Maharashtra Cooperative Societies Act, 1960... The election of respondent nos. 4 to 19 as members of the managing committee is in violation of Section 73CA of the Act and is therefore void.

Procedural History

The petitioner filed Writ Petition No. 3442/2015 before the Bombay High Court, Nagpur Bench. A civil application (CAW No. 2865/2017) was filed to raise additional grounds, which was allowed. The court heard the matter and delivered judgment on 15 December 2017.

Acts & Sections

  • Maharashtra Cooperative Societies Act, 1960: Section 73CA
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