High Court of Judicature at Bombay
B.R. GAVAI, J.
The New India Co-operative Housing Society Ltd.
Versus
The State of Maharashtra & Another
Writ Petition No. 4567 of 2007
Decided on: 01-02-2013
Notification dated 9.8.2001, stipulating uniform rates to be charged for transfer of tenements is applicable to all Co- operative Housing Societies including Tenants Owner’s Co- operative Society. - In so far as municipal corporations are concerned, the premium has been determined as Rs. 25,000/-. It is to be noted that clause (2) of the said notification specifically provides that the said charges are towards transfer of member’s tenement/flat and his share and rights in t he share capital property in the said society. The perusal of the said notification dated 9th August, 2001 would reveal that the said notification is applicable to all co-operative housing societies. Court is unable to accept the contention of counsel for the petitioner that the said notification is not applicable to the Tenants Owners Co-operative Housing Society. The observations made by the Division Bench in the case of Mont Blanc Co- operative Housing Society Ltd. v. State of Maharashtra, 2007 (3) All MR 32 would equally be applicable to the facts of the present case. In order to grab exorbitant money from the new members, who are trying to become member of the society, they are being subjected to exploitation at the hands of the society.
Maharashtra Co-operative Societies Act, 1960 - Sections 22, 23 and 79-A - Transfer of share.
Since payment of Transfer fees of Rs. 25,000/- is fixed by Notification issued by State Government hence refusal to transfer society plot as non-payment of transfer fee of Rs. 2 Crores as per by Laws of Society, not sustainable. - It is, thus, clear that the main ground for refusing to transfer the membership in favour of respondent No. 2 by the petitioner is non-payment of Rs. 2 crore as transfer fee and offering to pay only Rs. 25,000/-. The petitioner was bound to comply with the directions issued by the State Government under Section 79-A of the said Act and could not have charged premium more than Rs. 25,000/-.
Maharashtra Co-operative Societies Act, 1960 - Sections 22, 23 and 79-A - Transfer of share.
Since direction of State Government under Section 79-A of Act are binding on society hence Society cannot charge transfer fees more than Rs. 25,000/- as determined by Municipal Corporation. - In so far as the contention of Shri Dani that since the Deputy Registrar has approved the by-laws of the society subsequent to the notification dated 9th August, 2001, the by-laws will have to be given more weight age than the directions under Section 79-A is concerned, Court is unable to accept the said contention. No doubt, Shri Dani is right in contending that when an official act is done by a senior officer of the State it should be presumed to be valid. However, such presumption cannot be to such an extent that the officer of the State in ignorance of statutory directions issued by the State Government under Section 79-A does something which is contrary to the directions issued by the State Government. As has been stated hereinabove, in view of the judgment of the Division Bench the directions issued by the State Government under Section 79-A are binding on all the societies including that of petitioner society.
The petitioner society takes exception to the concurrent orders i.e. order dated 10th May 2007 passed by the Divisional Joint Registrar, Co-operative Societies, Mumbai, thereby dismissing the revision application filed by the petitioner and upholding the order passed by Deputy Registrar, Co-operative Societies dated 7th August 2006 thereby allowing the application filed by respondent No.2 for declaring him as deemed member in respect of plot No.25 in the petitioner society.
2. The facts, in brief, giving rise to the present petition are as under:
The petitioner society is originally registered under the Bombay Co-operative Societies Act, 1925 and, now, deemed to be registered under the Maharashtra Co-operative Societies Act, 1960 (hereinafter referred to as the “said Act”). The petitioner executed lease-deed in favour of one Dr. Randip O. Shah. By registered deed of assignment said Dr. Randip Shah assigned lease to one Harshad Patel on 14th June 1979. It appears that on account of nonpayment of municipal charges, the Bombay Municipal Corporation put the said plot along with building thereon for auction. The respondent No.2 was tenant of one of the apartments in the building, namely, Jivanjyot constructed on the said plot. He, therefore, negotiated the matter with said Harshad Patel. It further appears that there was litigation before the Bombay City Civil Court by virtue of Suit No.5393/2004 i.e. suit filed by one M/s. Shubham Construction Co. against Municipal Corporation; Harshad Patel and respondent No.2. In the said suit, consent decree was passed wherein said Harshad Patel agreed to sell plot No.25 to respondent No.2 for an amount of Rs.25 lakh. Accordingly, a deed of assignment was registered by said Harshad Patel on 10th December 2004 in favour of respondent No.2. The original member i.e. Harshad Patel and respondent No.2 applied to the petitioner society for transfer of share Nos.116 to 120 and certificate No.24 with right in plot No.25 in favour of respondent No.2 on 30th March 2005. The said applications, undisputedly, were made in the requisite form annexed to the Maharashtra Co-operative Societies Rules, 1961 (hereinafter referred to as the “said Rules” for short). Along with application form, a demand draft of Rs.25,000/- was also submitted. On 14th April 2005, a communication was addressed by the petitioner-society to respondent No.2 basically stating therein that the transfer fee offered was inadequate in view of regulation 6A of the Society. It was informed that on the face of it the application was not acceptable, however, the same would be kept before the Managing Committee. It is the case of the petitioner that the communication was addressed to Harshad Patel on 25th April 2005 stating therein that the Managing Committee had fully endorsed the views expressed in the letter dated 14th April 2005 and further authorised him to take necessary action so that society's interest is not harmed.
3. It appears that further communication was addressed to respondent No.2 by the Secretary of the petitioner-society on 11th November 2005 pointing out to him that he was already informed vide communication dated 14th April 2005 that his application has been rejected. On the basis of this communication, it appears that an application is filed by respondent No.2 on 14th December 2005 to the Deputy Registrar, Co-operative Societies for grant of deemed membership. However, another proceeding purported to be an appeal came to be filed by respondent No.2 before the Deputy Registrar. The Deputy Registrar vide order dated 7th August 2006 held that respondent No.2 had become a deemed member of the petition-society. Being aggrieved thereby a revision was preferred by the petitioner before Divisional Joint Registrar which also came to be dismissed. Being aggrieved thereby present writ petition is filed by the petitioner.
4. Heard Shri Dani, learned counsel for the petitioner and Shri Govilkar, learned counsel for respondent No.
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