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IN THE HIGH COURT OF JUDICATURE AT BOMBAY
AMIT BORKAR
Sadguru Universal CHS Ltd. – Appellant
Versus
State of Maharashtra – Respondent
| Table of Content |
|---|
| 1. nature of challenge to society registration (Para 1 , 2 , 3) |
| 2. legal context and statutory duties of promoters (Para 9 , 10 , 11) |
| 3. permissibility of multiple cooperative societies (Para 13 , 14 , 15 , 19) |
| 4. requirement for factual examination in cooperative registrations (Para 22 , 23 , 24) |
| 5. court's decision and remand for inquiry (Para 35 , 36 , 38) |
JUDGMENT:
1. The petitioner housing society challenges the Judgment and Order passed by respondent No.1. Respondent No.1 confirmed the earlier Judgment and Order dated 8 December 2021 passed by respondent No.2, by which registration was granted to respondent No.4 society.
3. The petitioner states that respondent No.5 submitted a proposal to respondent No.3 for registration of the petitioner society. Respondent No.3, by order dated 8 December 2021, granted registration to the petitioner society. In that proposal, respondent No.5 did not include the purchasers of commercial units. According to the petitioner, during the first general body meeting held after the registration, respondent No.5 disclosed that a separate society had already been registered for the commercial unit holders in the very same building. Respondent
Court ruled that separate societies for mixed-use buildings are permitted only if substantial independent functioning and separation exist, as required by statutory provisions.
The registration of a Federal Society under the Maharashtra Co-operative Societies Act must comply with the provisions of both the MCS Act and RERA, and is contingent upon project completion.
The Registrar of Co-operative Societies has the authority to prescribe a higher number of signatories for registration than the statutory minimum, and such Circulars are enforceable.
Cooperative law permits bifurcation of societies when it enhances member welfare and does not require external approval beyond statutory provisions.
The Competent Authority must properly consider the provisions of the Acts and the validity of the 'deed of Declaration' when deciding on the registration of a housing society.
Promoters must disclose the precise nature of the organization (cooperative society or otherwise) in agreements, and unilateral declarations that lack collective consent do not comply with statutory ....
The court emphasized that registration of a Cooperative Housing Society without following proper jurisdictional authority and principles of natural justice is void ab initio.
A registration order under the Maharashtra Cooperative Societies Act must be reasoned to ensure accountability and compliance with statutory requirements, enabling effective judicial review.
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