Chagla, C.J.

[1] One Bhagwansingh Advani was the managing trustee of a public charitable trust known as the Basantsingh Amil Dhramada (Chari-ties) Trust. This trust was a member of the defendant co-operative society. The trust advanced a sum of Rs. 4,00,000 to the defendant society. The plaintiffs are the present trustees of the trust and they have filed the present suit to recover the sum of Rs. 4,00,000 from the defendant society. A notice of motion was taken out by the defendants to stay the suit on the ground that under Section 54, Bombay Co-operative Societies Act the dispute could only be adjudicated upon by arbitration as provided by that section. The learned Judge below dismissed the notice of motion. It is from that order that this appeal has been preferred.

[2] Now, the contention urged by Mr. Banaji is that within the meaning of Section 54 this is a dispute touching the business of the society between the society and its member. The learned Judge below has taken the view that there was no dispute at all inasmuch as the loan was admitted by the defendant society. In our opinion, with respect, that is riot the correct view, because although the loan was admitted by t