IMPORTANT POINT
The Registrar has the authority to exercise suo-moto power under Section 32 of the Adhiniyam, 1973 to initiate an inquiry into the constitution, working, and financial conditions of a society, even without specific material or reasons.

JUDGMENT :

1. By way of this petition, the petitioner, which is a society of minority community registered under the Registration Act, 1860 has questioned the legality and propriety of the order dated 25.10.2011 (Annexure P-1) passed by Respondent No.2-Registrar, Firms and Societies, Raipur by submitting inter alia that Respondents No. 5 to 8, who are not the members of the petitioner’s society, yet the complaint made by them with regard to the constitution and financial source of the Society was taken into consideration and, accordingly, the said authority has passed the order impugned under Section 32 of the Chhattisgarh Societies Registrikaran Adhiniyam, 1973 (hereinafter referred to as “The Adhiniyam, 1973”). The petitioner has, thus, prayed for the following reliefs:-

“10.a. This Hon’ble Court may be pleased to quash the order dated 25.10.2011 (Annexure P-1) passed by respondent No.2 in the interest of justice.

10.b. Cost of proceedings.

10.c. Any other relief as this Hon’ble Court may be pleased to grant.”

2. From perusal of the entire averments made in the petition, it appears that the main contention of the petitioner is that since the Respondents No.5 to 8 were not the members of the petitioner’s society, therefore, the Respondent No.2-Registrar, Firms and Societies, Raipur ought not to have taken the congnizance of the complaint lodged by them in order to pass the order impugned under the said Adhiniyam, 1973. The entire approach of the respondent no.2 is, therefore, liable to be quashed.

3. It, however, appears from perusal of the record that the Registrar in exercise of its suo motu power provided under sub-section (1) of Section 32 of the said Adhiniyam, 1973 has authorised the Deputy Registrar, Firms and Societies vide order dated 09.02.2010 to conduct an enquiry with regard to the constitution, working and financial conditions of the said Society. The said order referred to in the order impugned has been placed by Respondents No.5 to 8 on record as Annexures R- 5-8/9, which is relevant for the purpose reads as under:-

4. A bare perusal of the aforesaid order would show that certain complaints lodged against the society were came to the notice of Respondent No.2, therefore, while exercising its suo-moto power, a direction was issued to the said authority i.e., the Deputy Registrar, Firms and Societies, to consider those points also as mentioned in the alleged complaint while holding an inquiry.

5. It is, now, to be noted at this juncture, the provision prescribed under Section 32 of the Adhiniyam, 1973, which provides as under:-

“32. Enquiry and settlement of disputes :-(1) The Registrar may, on his own motion or on an application made under sub-section (2) either by himself or by a person authorized by him, by order in writing, hold an enquiry into the constitution, working and financial conditions of a society.

(2) An enquiry of the nature referred to in subsection (1) shall be held on (the application together with an affidavit in support of its contents) of-

(a) a majority of the members of the governing body of the society; or

(b) not less than one third of the total number of members of the society.

(3) The registrar or the person authorized by him under sub-section (1) shall for the purpose of an enquiry under this section have the following powers, namely:-

(a) he shall at all times have free access to the books, accounts, documents, securities, cash and other properties belonging to, or in the custody of, the society and may summon any person in possession, or responsible for the custody of any such books, accounts documents, securities, cash or other properties to produce the same, if they relate to the head office of the society at any place at the headquarter thereof and if they relate to any branch of the society, at any place in the town wherein such ranch thereof is located or in his own office;

(b) he may summon any person who he has reason to believe has knowledge of any of the affairs of the society to appear