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1994 Supreme(Bom) 525

IN THE HIGH COURT OF BOMBAY
(AURANGABAD BENCH)
N.P. Chapalgaonker, J.
Kapurchand Jivraj Jain, since deceased by his heirs .... Appellants.
Versus
Datta Co-operative Housing Society Ltd., Amalner and others .... Respondents.
Second Appeal No. 388 of 1981 (Bom.) S.A. No. 15 of 1989 (Aur.), decided on 21-9-1994.
Advocates appeared :
S.C. Bora, for appellants.
P.R. Patil, for respondent Nos. 3, 6, 8, 9 and 11.

Headnote:Section 9.

       See Maharashtra Co-operative Societies Act, 1961-Section 91 (1).

       

JUDGMENT - N.P. CHAPALGAONKAR, J. :---This Second Appeal raises a question whether the dispute about the removing a member from the membership of a proposed Society which arose before the Society was registered could be decided by the Civil Court or it will to go before the machinery created under the Maharashtra Co-operative Societies Act, 1960 (hereinafter referred to as "Co-operative Societies Act" for the purpose of brevity).

2. Plaintiff/appellant Kapurchand Jain filed Regular Civil Suit No. 187/1968 in the Court of Civil Judge (Junior Division), Amalner, against 13 persons describing them to be the members of Shri Dutta Co-operative Housing Society Ltd., Amalner (District : Jalgaon), for the following reliefs :---

(A) That, it be declared that the plaintiff is a member of the defendant Institution,

(B) Defendant Institution be directed to give accounts and amount of the profit.

(C) He be given 1/14th share of the land described in para 3 of the plaint by effecting partition, and

(D) In the alternative, Rs. 2,000/- for the costs along with interest thereon.

It is the case of the plaintiff that the plaintiff is the member of the defendant Institution and the defendant Institution has purchased land for dividing it into the plots and distributing to the members for building houses and accordingly permission for non-agriculture use was obtained and land was divided into different plots. Plaintiff further contended that according to the bye-laws, plaintiff has paid in all Rs. 1,481/-. Though one time he had paid Rs. 230/-, defendant raised a false dispute the plaintiff has paid only Rs. 200/- and not Rs. 230/ as required and on this pretext, defendants intimated to the plaintiff that he is dismembered and an amount of Rs. 1,481/- was sent to him by a cheque. However, this cheque was returned by the plaintiff and he demanded ¼ th share in the land purchased by the Institution. Plaintiff also approached to the District Deputy Registrar of the Co-operative Societies who replied to the plaintiff on 18th October, 1965 that the Society is not registered and, therefore, he has no jurisdiction to give any relief. Since the defendants did not respond to the request of the plaintiff, plaintiff filed the suit claiming his share in land Survey No. 801/1 admeasuring 30 Gunthas and another agricultural land Survey No. 736/1 admeasuring 1 Acre 22 Gunthas. Defendant raised a plea of jurisdiction in para No. 5 of the written statement and contended that the claim of the plaintiff can only be entertained under section 91 of the Co-operative Societies Act and the Civil Court has no jurisdiction to entertain the suit. They point out that defendant Society is registered as a Co-operative Society on 24th November 1967 and prayed for the dismissal of the suit.

3. The learned trial Judge was pleased to hold that the defendant No. 1 Society is a Co-operative Society properly incorporated with the limited liability and that the Civil Court has no jurisdiction to entertain this suit. Recording this finding, the learned Judge ordered the return of the plaint for presentation to the proper Court having jurisdiction by his order dated 24th Feburary, 1981. Challenging this order in Regular Civil Suit No. 187/1968, an appeal was preferred before the learned District Judge at Dhule. The learned District Judge was pleased to hold that the primary and alternative claim made by the plaintiff were not within the competence of the Civil Court and dismissed the appeal vide his order dated 20th March, 1992. This Second Appeal challenges this judgment and order.

4. Admittedly when the dispute arose between the plaintiff and rest of the members of the proposed Housing Society, the Society in question was not registered one. In the plaint, the date of cause of action is mentioned, to be 18th October, 1965. The suit came to be filed on 2nd August, 1968 i.e. subsequent to the date of registration of the defendant Society (i.e. 24th November, 1967). Exhibit 73 is the certificate











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