* IN THE HIGH COURT OF DELHI AT NEW DELHI % Reserved on: 06^th October, 2025 Pronounced on: 09^th April, 2026 Date of Uploading: 09^th April, 2026 + W.P.(C) 8167/2024 & CM APPL. 33543/2024, CM APPL.

37609/2024 GOVERNMENT SERVANTS COOPERATIVE HOUSE BUILDING SOCIETY LTD.

THROUGH GP. CAPT. (DR.) RAVINDER CHHATWAL, SECRETARY KALYAN KENDRA, 9 PASCHIMI MARG, VASANT VIHAR, NEW DELHI – 110057 .....PETITIONER Through: Mr. Neeraj Grover, Mr. Mahir Malhotra, Ms. Smriti Pareja, Ms. Prerna Choubey and Ms. Nitya Vig, Advocates.

versus

1. STATE (GOVT OF NCTD OF DELHI)

THROUGH DEPARTMENT OF LAW, JUSTICE &

LEGISLATIVE AFFAIRS

8^TH LEVEL, C WING, DELHI SECRETARIAT PLAYERS BUILDING, IP ESTATE NEW DELHI – 110002 …RESPONDENT NO.1

2. REGISTRAR OF COOPERATIVE SOCITIES OLD COURT BUILDING, PARLIAMENT STREET, NEW DELHI …RESPONDENT NO.2

3. PREMIUM ESTATES PRIVATE LIMITED

76, PASCHIMI MARG, VASANT VIHAR, NEW DELHI – 110057 …RESPONDENT NO.3 Through: Ms. Avni Singh, Panel Counsel for GNCTD with Mr. Vaibhav Sharma, Advocate for respondents no. 1 and 2.

Mr. S.K. Sharma, Advocate for respondent no. 3 along with AR.

CORAM:

HON’BLE MR. JUSTICE NITIN WASUDEO SAMBRE HON’BLE MR. JUSTICE ANISH DAYAL

JUDGMENT

NITIN WASUDEO SAMBRE, J.

CHALLENGE

1. The petitioner, a Government Servants Cooperative House Building Society Ltd., having its address at 9 Paschimi Marg, Vasant Vihar, New Delhi-110057 has approached this Court through its authorized signatory i.e. Secretary, authorized through resolution dated 06^th April, 2024, questioning the order dated 12^th January, 2024, passed in exercise of review jurisdiction thereby confirming the order dated 09^th December, 2021, passed by the respondent no.1/Financial Commissioner in exercise of revisional jurisdiction.

FACTS

2. The facts which are necessary for deciding the petition are as under:-

a) The respondent no.1 is State Government, respondent no.2 is the Registrar of Cooperative Societies, and the respondent no.3 a Private Limited Company.

b) Respondent no.3 claimed to have purchased property bearing no.

76 Paschimi Marg, Vasant Vihar, New Delhi from one M/s RM Textiles.

c) Based on title deed, respondent no.3 applied for membership of the petitioner- society on 11^th January, 2019.

d) The request of respondent no.3 was considered by the petitioner-

society in the light of the prevailing byelaws, which were approved by the respondent no.2 in 2013, and rejected the prayer for grant of membership vide order dated 30^th January 2019 for the following reasons:-

i. That respondent no.3, is not eligible to be a member of the society as per byelaw no.5(1);

ii. A person cannot be admitted to be a member as he is not eligible, since he deals with the sale and purchase of immovable properties, either as a principal or as an agent, as provided in Rule 20(ii) of Delhi Co-operative Societies Rules, 2007 (‘DCS Rules’).

e) The respondent no.3 feeling aggrieved by the aforesaid order of the petitioner dated 30^th January, 2019, rejecting the prayer of respondent no.3 to be enrolled as a member, approached the respondent no.2/Registrar of Cooperative Societies by invoking the remedy available under Section 91 of the DCS Act in the form of an appeal.

f) The respondent no.2 allowed the said appeal vide impugned order dated 12^th July, 2019, whereby directions were issued to the petitioner-Society to transfer the membership in favour of the respondent no.3.

g) Since the petitioner-society was aggrieved by the order dated 12^th July, 2019, a recall/revision was preferred before the Financial Commissioner questioning the aforesaid order of the respondent no.2.

h) The said revision came to be dismissed by the Financial Commissioner i.e. State Government vide its order dated 09^th December, 2021, with an observation that respondent no.3 would drop the disputed clause viz.“Dealing with sale and purchase” from the Memorandum of Association and Article of Association of respondent no.3. In turn, the petitioner was directed to allow the request of respondent no.3 for grant of membership.

i)