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IN THE HIGH COURT OF JUDICATURE AT BOMBAY
G.S.KULKARNI, AARTI SATHE
Ramdas Yashwant Mandlik (Deceased) through Legal heirs Manoj Ramdas Mandlik – Appellant
Versus
B.Y. Pagare, Authorised officer and Assistant Registrar, Co-op. Societies – Respondent
JUDGEMENT :
(PER G. S. KULKARNI, J.)
1. This Letters Patent Appeal is directed against the judgment and order dated 28 July, 2006 passed by the learned Single Judge whereby Writ Petition No. 6911 of 2004 filed by the appellant/petitioner came to be dismissed. The impugned order was rendered on a batch of writ petitions. The appellant’s writ petition was one of such petitions. The Writ Petitions before the learned Single Judge impugned a common order dated 3 February 2003 passed by respondent no. 1-Authorized Officer and Assistant Registrar, Cooperative Societies under Section 88 (1)[ . Power of Registrar to assess damages against delinquent promoters, etc.] of the Maharashtra Cooperative Societies Act, 1960 (for short “MCS Act) as confirmed by the appellate/revisional authorities, whereby an individual liability was fixed on each of the writ petitioners, who (except the appellant) were elected directors of the managing committee of respondent no. 2- Society, directing them to pay an amount of Rs.21 lakhs each to respondent no.2- Society as damages/ losses suffered by respondent no.2 on account of their irregularities/illegalities.
2. Briefly the facts are : Respondent no. 2-Hindust
An expert director without voting rights cannot be held liable for damages under Section 88 of the Maharashtra Cooperative Societies Act due to lack of involvement in management decisions.
Liability under Section 68(1) of the Kerala Co-operative Societies Act must be fixed individually, not jointly, ensuring compliance with statutory provisions.
The exercise of power by the Executive Officer of a co-operative society under R. 47 (2) (ii) of the West Bengal Co-operative Societies Rules, 1974, is subject to the general control of the managing ....
The court establishes that the removal of a co-opted member from a cooperative society must adhere to Rule 43-A, failing which any subsequent actions are void.
The Registrar has jurisdiction over disputes between a cooperative society and its members, regardless of the member's capacity in relation to the dispute.
The main legal point established in the judgment is the requirement to adhere to principles of natural justice, including providing detailed reasons for decisions and ensuring proper notice and consu....
Legal action under S.78 of the Maharashtra Co-operative Societies Act must respect principles of natural justice, including the right to respond to specific charges.
The Registrar has the discretion to order an inquiry into the affairs of a society based on a complaint by a non-member, as per the provisions of the Maharashtra Cooperative Societies Act 1960.
The main legal point established in the judgment is the likelihood of conflict between the duties of a Director on the Board of a Co-operative Society and the pecuniary interest of the individual, an....
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