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2021 Supreme(Bom) 1017

IN THE HIGH COURT OF JUDICATURE AT BOMBAY
Bharati Dangre, J.
Mahalaxmi Shikshan Samiti - Appellant
Versus
Manikrao Kishnarao Dessai - Respondent
Second Appeal No.151 of 2013
Decided On : 08-04-2021

Advocates appeared:
J. Godinho, Advocate, Shivan Desai, Advocate, J. A. Lobo, Advocate, M. Viegas, Advocate

The main legal point established in the judgment is the requirement for proof of contents of documents and the erroneous reliance on unproven documents by the Appellate Court.

Headnote:

Reliance - Society Dispute - Societies Registration Act, 1860 - Summary of Acts and Sections: Societies Registration Act, 1860 - The court discussed the reliance on documents marked as Exhibit 76 collectively and their contents, which were not proved and exhibited in the cross-examination of P.W.1. The court highlighted the need for proof of contents of documents and the erroneous reliance by the Appellate Court on the unproven documents.

Fact of the Case:

The case involved a dispute within 'Shri Mahalaxmi Shikshan Samiti', a society registered under the Societies Registration Act, 1860. The plaintiffs sought a declaration and permanent injunction against the defendants, alleging illegal interference in the society's affairs. The trial court dismissed the suit, but the First Appellate Court partly decreed it. The defendants appealed in the Second Appeal.

Finding of the Court:

The court found that the Appellate Court erred in relying on unproven documents and allowed the Second Appeal, quashing the Appellate Court's judgment and restoring the trial court's judgment.

Issues: The issues revolved around the membership and authority of the parties within the society, misappropriation allegations, and interference with the society's functioning.

Ratio Decidendi: The court's decision was based on the erroneous reliance on unproven documents and the need for proof of contents of documents, as per the Indian Evidence Act, 1872.

Final Decision: The Second Appeal was allowed, quashing the Appellate Court's judgment and restoring the trial court's judgment.

JUDGMENT

BHARATI DANGRE, J. - On 04/12/2014, the present appeal was admitted, by framing the following substantial question of law.

"Whether the reliance by the First Appellate Court on the document marked at Exhibit 76 is erroneous when the contents of such document were not proved and such document was exhibited in the cross examination of PW 1 which is not permissible in law in the facts of the case?"

2. The said substantial question of law has its foundation in the judgment and decree passed by the District Court, North Goa at Panaji in Regular Civil Appeal No.159 of 2011, which has partly decreed the suit in favour of the plaintiffs.

3. 'Shri Mahalaxmi Shikshan Samiti' is a society registered under the Societies Registration Act, 1860 and one Mr.Manikrao Krishnarao Dessai in the capacity as Chairman of the above society, fled a suit for declaration, permanent injunction and other consequential reliefs. The society, being registered on 30/12/1975 in the office of the Registrar of Societies of the Goa, Daman and Diu, pleaded to have been formed for organizing and conducting Marathi Medium Schools and High Schools as well as to establish libraries and study circles with a perspective of enabling learners to develop their personality and imbibed in them a sense of responsibility.

4. The society compartmentalised its members in four distinct categories; (a) Members elevated from the public with high moral and cultural values, (b) Patrons who becomes members by donating Rs.500/- or more to the 'Society', (c) Life Members donating Rs.125/- or more to the 'Society' and (d) Associated Members, on payment of Rs.10/- as admission fee and annual contribution of Rs.6/- only. The bye-laws contemplated that the persons desirous of becoming society members shall apply in writing in the prescribed form and the membership should be proposed by one member and seconded by two associate members, enjoying full rights. It also contemplated payment of prescribed admission fee and the first annual contribution, which only will make him eligible to be enlisted as member of the society and then he would be bound to abide by the rules governing the said society. The Executive Body of the 'Society' as per bye-laws comprised of a Chairman, a Secretary and a Treasurer, who will be assisted by three more Members. The tenure of the Executive Committee was fixed as three years, but permitted its extension. Plaintiff No.1-Society, founded a school known as 'Honda High School' in village Honda in Taluka Sattari, which is governed by the Goa School Education Act, 1984. Plaintiff No.2 is enrolled as Patron Member of the society on 10/02/1982 alongwith other

5. members. In the subsequent years, more members were admitted, bringing the total number of members to 13. In the General Body meeting of the society held on 23/4/1982, new Committee of 7 members came to be elected as Executive Committee and plaintiff No.2-Manikrao Desai being its Chairman and Mr.Krishnarao Rane being its Vice Chairman. The minutes of the meeting were annexed with the plaint. 5. On 6/8/1982, a change was effected in the constitution of the Managing Committee and Mr.Krishnarao Rane was made a Chairman whereas plaintiff No.2 become the Vice Chairman.

Thereafter the elections to the Executive Committee were not held for a considerable period of time, as a consequence, Mr.Krishnarao Rane continued to be the Chairman of the society. A General Body meeting of the Society was held on 30/06/2006 and the registration of the Society was resolved to be renewed and further, the new Executive Body of the Society for a period of 3 years to be constituted. It is this meeting, which later on happened to be the bone of contention between the parties, the version of the plaintiffs being in the said meeting 2 members on evincing their intention to join the Society as Associate Members were introduced. This included, Mr.Pratapsingh Nimbalkar (defendant No.1), who is son-in-law of Mr.Krishnarao Dessai and one

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