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2021 Supreme(Bom) 776

DAMA SESHADRI NAIDU
Nagesh Mukund Shet Daivajna – Appellant
Versus
Assistant Registrar, Co-operative Societies – Respondent


Advocates appeared:
A.D. Bhobe, Advocate, M. Salkar, Advocate, A. Arsekar, Advocate

JUDGMENT

Dama Seshadri Naidu, J. - Petitioner Nagesh Mukund Shet Daivajna is one of the eleven directors of the respondent no.11-Society. On 10/1/2020, the first respondent wanted all the directors to show cause why they should not be disqualified under section 61 of the Goa Co-operative Societies Act. The disqualification is said to be for their violating section 72 of the Act. To be specific, the Board of Directors has not held the Annual General Body Meetings (AGMs) for the years 2016-2017, 2017-2018, and 2018-2019 within the stipulated time; no audit reports have been submitted on time during these three years.

2. On 23 January 2020, on the date of hearing, all the directors, except Nagesh, appeared before the Assistant Registrar and orally submitted their response to the show cause notice. Nagesh absented himself on account of his illness. After taking note of Nagesh's absence, the Assistant Registrar considered the response of the other Directors, including the Chairman, and passed an order on 24/1/2020, disqualifying all the directors.

3. To be precise, the first respondent assessed the statutory impact of the alleged default committed by the Board of Directors because section

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