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2023 Supreme(Bom) 1330

IN THE HIGH COURT OF JUDICATURE AT BOMBAY BENCH AT AURANGABAD
KISHORE C. SANT, J.
Vinayak Ukharam Chavhan - Appellant
Versus
Divisional Joint Registrar, Co-Operative Societies – Respondent
Writ Petition No. 521 of 2023
Decided on : 03-08-2023

Advocates:
Advocate Appeared:
For the Appellant : Mr. Kamalakar J. Suryawanshi
For the Respondents: Ms. D.S. Jape, Mr. L.H. Kawale, Mr. R.V. Gore

Headnote:

Maharashtra Co-Operative Societies Act, 1960 - Section 77A (b (1), 74 - Dissolving Board of Directors - Resignations not accepted by Society - Challenged order passed by Divisional Joint Registrar, thereby, dissolving Board of Directors and appointing an authorized Officer from office of Additional Registrar - Held, It is Society who has to take decision on resignations of members - In Registrar’s order as alleged, it is found that Registrar only had called persons who have lodged Writ Petition and by recording their statements declared that resignations are accepted - From said order it also appears that it was clearly stated by Secretary of respondent No. 4 that after election to post of Chairman, resignations were received by him and thereafter he proceeded to pass order - By Laws were duly passed and were accepted by passing orders by respondent No.2 - Meeting was scheduled to be held - It is before that meeting action is taken - Technically no resignations were accepted till that date as it was for Society to take decision on resignations - Impugned order, therefore, deserves to be set aside - Petition is allowed.

JUDGMENT :

KISHORE C.SANT, J.

1. The petitioner is elected as Chairman to the Respondent No. 4 Society. He has challenged the order dated 08.04.2022 passed by the Divisional Joint Registrar, Co- Operative Societies, Aurangabad in Revision Application No. 5 of 2022, thereby, dissolving the Board of Directors and appointing an authorized Officer from the office of Additional Registrar, Co-Operative Societies, Kannad, as Authorized Officer under Section 77A (b (1) of the Maharashtra Co-Operative Societies Act, 1960, (hereinafter referred to as "the said Act").

2. Respondent No. 1 is an authority, who has passed the impugned order. Respondent No. 2 is the Assistant Registrar, whose order was challenged before respondent No.1. Respondent No. 3 is the an administrator, appointed on Respondent No. 4 Society and Respondent No. 4 is the Co- Operative Society. Respondent No. 5 to 10 are the respondents added by an order passed, on the application for intervention bearing No. 634 of 2023 in Writ Petition No. 521 of 2023 filed by them. Respondent Nos. 11 to 14 are also the interveners, who have filed application No. 4628 of 2023 in Writ Petition No. 521 of 2023.

3. The facts in short, giving rise to the present petition are that respondent No. 4 is a Wadner Vividh Karyakari Seva Sahakari Sanstha Ltd. The term of the earlier Committee of the Society expired in 2021. Therefore an election for Managing Committee of the Society was conducted on 19.12.2021. The Petitioner and 11 other members came to be elected. After the election was over an authorized officer called the meeting of the members of the Managing Committee on 19.01.2022 for conducting election to the post of Chairman. The petitioner was elected as Chairman to the Society. However, on the same day, six members of the Committee gave resignations on 19.01.2022 itself. Thereafter, the petitioner and the Secretary of the Society issued notices on 27.01.2022 and called the monthly meeting on 02.02.2022. In the said meeting the subject number 4 was in respect of resignations tendered by the members. In the meeting dated 02.02.2022, only six members out of twelve were present, therefore, a meeting was again called on 16.02.2022 by issuing fresh notices on 09.02.2022 of the said meeting. However, before that, respondent No. 2 passed an order on 08.02.2022 removing the Managing Committee by appointing an Authorized Officer under Section 77A (b) (1) of the Act. The petitioner, therefore, filed a Revision Application No. 5 of 2022 before the Divisional Joint Registrar, Co-Operative Societies, Aurangabad, who has passed an impugned order on 08.04.2022.

4. The learned Advocate for the petitioner submits that in view of the By-Law No. 9 in respect of the Committee is that the Managing Committee will be of 13 members, out of these members, 8 members are from the General Account Holders. One post is reserved for Scheduled Caste and Scheduled Tribes candidate. Two members from the Ladies Constituency, one from Other Backward Class, One from VJNT and Special Backward Class. In addition to these two Expert Members can be taken and one Working Director can be nominated. As regards the resignations, the By-Law provides that the resignations are to be tendered in hand writing and signed by the concerned persons. He submits that no proper procedure is adopted in accepting the resignations. The Registrar, before resignations were accepted has moved the Committee, which is illegal. Section 77A 8(2) Proviso is not applicable in case the resignations. In view of Section 78A (ii) proviso, the provision of Section 77, 8A are not applicable as respondent No. 4 does not received Government grants or funds. In the present case Rule 74 of the Election Rules should have been made applicable, that provides for filling up of casual vacancies. The Assistant Registrar has thus, exercised the powers not vested in him and therefore, the impugned order is illegal. He submits that in the meeting the resignations were yet to be

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