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2018 Supreme(Cal) 744

IN THE HIGH COURT OF CALCUTTA
Biswanath Somadder, Arindam Mukherjee, JJ.
Sudipta Lodh (Shome) - Appellant
Vs.
Registrar Of Co-Operative Societies and Others - Respondents
M A T No. 1256 of 2018, C A N No. 8686 of 2018
Decided On : 05-12-2018

Advocates Appeared:
Malay Kumar Roy, Adv., Raja Saha, Adv., Subhendu Bandyopadhyay, Adv., Ashit Kumar Chakraborty, Adv., Sunanda Mohan Ghosh, Adv.

The cooperative society is liable to transfer the share or interest of a member in the name of the nominee, provided there is a valid nomination, and the role of a nominee is essentially that of a trustee with no relevance to the issue of title between inheritors or successors.

Headnote:

Co-operative Society - Membership Rights - West Bengal Co-operative Societies Act, 2006, Rule 117, Section 70, Section 76

Fact of the Case:

The appeal arose from a judgment allowing the writ petitioner to continue occupying and enjoying membership benefits of a cooperative society, without formally directing the society to transfer the share or interest of the deceased member in the name of the nominee.

Finding of the Court:

The court found no infirmity in the impugned judgment and ordered the cooperative society to transfer the share or interest of the deceased member in the name of the nominee after scrutinizing all documents, clarifying the role of a nominee as a trustee with no relevance to the issue of title between inheritors or successors.

Issues: Interpretation of statutory provisions regarding nomination of transferee, disposal of deceased member's share or interest, and nomination by member under the West Bengal Co-operative Societies Act, 2006.

Ratio Decidendi: The cooperative society is liable to transfer the share or interest of a member in the name of the nominee, provided there is a valid nomination. The role of a nominee is essentially that of a trustee and has no relevance to the issue of title between the inheritors or successors to the property of the deceased.

Final Decision: The appeal and the application for stay were disposed of accordingly, with the order for the cooperative society to transfer the share or interest of the deceased member in the name of the nominee after scrutinizing all documents and clarifying the role of a nominee as a trustee with no relevance to the issue of title between inheritors or successors.

JUDGMENT :

Biswanath Somadder, J.

1 Let the affidavit of service filed in Court today be taken on record.

2. By consent of the parties, the appeal is treated as on day's list and taken up for consideration along with the application for stay.

3. The instant appeal arises out of a judgment and order dated 7th August, 2018, passed by a learned Single Judge in W. P. 26658 (W) of 2016 with CAN 5539 of 2018 (Dr. Sudipta Lodh [Shome] vs. Registrar of Co-operative Societies & Ors.).

4. By the said order, the learned Single Judge, while allowing the application, being CAN 5539 of 2018, which was filed by the writ petitioner seeking amendment of the writ petition in order to suggest that the writ petitioner's father had not died intestate but had left a Will and the writ petitioner had applied for a probate in respect of the said Will, proceeded to dispose of the writ petition as follows:-

"In the facts of the case, the following order of this Court would serve the interest of all parties concerned including the two other sisters claiming rights in the Society.

The writ petitioner shall continue to occupy and enjoy all benefits of the membership upon payment of current and arrear dues of the Society. The petitioner may make whatever changes, alterations and/or additions in the flat under her occupation. Each and everyone of the above actions shall abide by the result of the pending civil suits, the probate proceedings and the final order of the Registrar in the proceedings before him. The Society shall also accept all dues, past and present, without prejudice to their rights and contentions in law."

5. The instant appeal has been preferred by the writ petitioner.

6. According to the learned advocate for the appellant, under the applicable statutory provision, his client Dr. Sudipta Lodh (Shome), being the nominee of her late father ought to have been admitted as a member of the concerned cooperative society in place and stead of her deceased father. In this context, the learned advocate for the appellant refers to Rule 117 of West Bengal Co-operative Societies Rules, 2011 and sections 70 and 76 of West Bengal Co-operative Societies Act, 2006, which read as follows:-

"Rule 117:-

Nomination of transferee (1) A member of a co-operative society may in accordance with the provision of section 76 nominate in writing any person belonging to his family to whom the share or interest or the value of such share or interest shall, on his death, be paid or transferred under the provision of the Act. Nomination shall be made in Form XXVIIIB:

Provided that if a member has no family he may nominate any person to whom such share or interest or the value of such share or interest shall be paid or transferred :

Provided further that such member may, from time to time, revoke such nomination and make a fresh nomination.

(2) Every co-operative society shall keep a register of all persons so nominated.

(3) In case the nominee of a member dies, the member shall report the death of such nominee to the society and make a fresh nomination if he so desires.

Explanation. For the purpose of this rule a family shall have the same meaning as given in the Explanation to sub-section (3) of section 16 and shall include major sons and daughters irrespective of marital status.

Section 70:-

Disposal of deceased member's share or interest. (1) On the death of a person who is a member of Co-operative society, his share or interest in the Co-operative society shall, subject to the provisions of section 58 and 72 and to the further provisions of this section, be transferred

(a) to the nominee, if any; made under section 76; or

(b) if there is no nominee or if the existence or residence of the nominee cannot be ascertained by the board or if the nominee does not claim possession of such share or interest or if for any other reason, the transfer cannot be made within one year from the date of death, to the person who (subject to the production by such person of probate, letter of administration or













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