JUDGMENT:- Rule, by consent of Counsel returnable forthwith. Counsel appearing on behalf of the Respondents waive service. By consent of Counsel and at their request taken up for hearing and final disposal.

2. An order passed by the Deputy Registrar, Co-operative Societies, (East) Ward on 26th September, 2006 is called into question before the Court.

3. The Deputy Registrar has held that there was a breach of the provisions of subsection (1) of Section 145 of the Maharashtra Co-operative Societies Act, 1960. On holding the Petitioner guilty, the Deputy Registrar has recorded an order of conviction and punished the Petitioners with a fine in the amount of Rs.500/-. The impugned order also contains a recommendation to the Joint Registrar to lodge a criminal prosecution.

4. The first petitioner is a partnership firm of which the Second and Third Petitioners and the Fifth and Sixth Respondents are partners. The First Petitioner claims to be the owner of certain lands at Marol. The Petition recites that two buildings were constructed thereon and the First Petitioner agreed to sell premises therein to various purchasers. The Third Respondents instituted a suit for specific performance before this Court claiming that there was an agreement to sell between him and First Petitioner. No ad-interim relief was granted in a Motion which was taken out in the suit. An appeal has been filed against the order of the learned Single Judge declining ad-interim relief. On 7th June, 2006, the Third Respondent filed an application before the Deputy Registrar seeking the appointment of an Administrator. On 13th June, 2006, the Deputy Registrar fixed the hearing of the application on 21st June, 2006. On 27th July, 2006, the Deputy Registrar issued a notice to show cause to the Petitioners as to why punitive action should not be initiated against them for a breach of the provisions of sub-Section 1 and 2 of Section 45 of the Maharashtra Co-operative Societies' Act, 1960. The gravamen of the allegation against the Petitioners was that they represented that a Cooperative Society had been formed when in fact no Co-operative Society was in existence. The Petitioners submitted a reply denying knowledge of the existence of any Co-operative Society. The Deputy Registrar passed an order on 26th September, 2006 holding that the petitioners were guilty of a misuse of the word "cooperative" and that in the process they had derived several benefits inter-alia on account of stamp duty, property taxes, water charges and electricity charges. Holding the Petitioners guilty, the Deputy Registrar imposed a fine of Rs.500/-, and recommended that the Divisional Joint Registrar, Co-operative Societies should separately launch a criminal prosecution.

5. On behalf the Petitioners, the only submission that has been urged is that the Deputy Registrar had no power to take cognisance of a Criminal offence under Chapter XII of the Maharashtra Co-operative Societies Act. 1960 and that accordingly, the order of conviction and the fine that has been imposed must be quashed and set aside.

6. Section 145 of the Maharashtra Co-operative Societies Act, 1960 falls in Chapter XII which is entitled "Offences and Penalties". Section 145 provides as follows:

"145. Prohibition of use of the word "Co-operative" - (1) No person, other than a society registered, or deemed to be registered, under this Act and a person or his successor in interest of any name or tile under which he traded or carried on business at the date on which this Act comes into force, shall with out the sanction of the State Government, function, trade or carryon business under any name or title of which the word "Co-operative", or its equivalent in any Indian language forms part.

2. Every person contravening the provisions of the foregoing sub-section shall, on conviction, be punished with fine which may extend to five hundred rupees."

7. Section 146 provides for certain offences. Section 147 lays down the punishment for offences

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