Bombay High Court
Prabhakar Uttamrao Zod And Ors vs The State Of Maharashtra Thr. Its ... on 27 January, 2025
Author: Avinash G. Gharote
Bench: Avinash G. Gharote
2025:BHC-NAG:834-DB
WP 1568 of 2024 - Judgment.odt
1
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
NAGPUR BENCH AT NAGPUR
WRIT PETITION NO.1568/2024
PETITIONERS : 1. Prabhakar Uttamrao Zod
Aged 48 years, Occu. Service, 5
R/o 53, Gulmohar Colony, Devmali
Post Narayanpur, Tq. Achalpur,
Distt. Amravati 444 806.
2. Sanjay Tulshiram Nage, 10
Aged 48 years, Occu. Service,
R/o Gajanan Colony, Near Prabodhan
School, Sai Nagar, Daryapur, Tq. Daryapur,
Distt. Amravati.
15
3. Mangesh Arunrao Kherde,
Aged 50 years, Occu. Service,
R/o 1, 'Asha', Suraj Colony,
Tower Line Road, V.M.V. Premise,
Amravati, Tq. & Distt. Amravati. 20
4. Manoj Ramesh Anandrao Chaurpagar
Aged 53 years, Occu. Service,
R/o 'Leelai', Uttam Nagar, Benoda,
Amravati, Tq. & Distt. Amravati. 25
5. Gaurav Dhamodarpanth Kale,
Aged 36 years, Occu. Service,
R/o Ambada, Tq. Morshi,
Distt. Amravati. 30
...VERSUS...
RESPONDENTS : 1. The State of Maharashtra,
through its Secretary for Co-operative
and Textiles Department, Mantralaya,
Mumbai. 35
2. The State of Maharashtra, through
its Secretary for Law and Judiciary
Department, Mantralaya, Mumbai.
WP 1568 of 2024 - Judgment.odt
2
3. The Registrar and Commissioner of
Co-operative Societies, Maharashtra
State, Pune.
4. The Divisional Joint Registrar of 5
Co-operative Societies,
Amravati Region, Amravati.
5. The Amravati Zilla Parishad Shikshak
Sahakari Bank Ltd. Bearing registration 10
ATI/BNK/116 through its Chief Executive
Officer, Congress Nagar Road, Near
Railway Bridge, Amravati, Dist.
Amravati.
15
Res/Intervenor- 6. Umesh alias Uttam S/o Ramdas
Chunkikar.
7. Vijay S/o Pralhadrao Kothale.
20
Both are major, Members of Executive
Committee, Amravati Zilla Parishad
Shikshak Sahakari Bank Ltd. Amravati
having Office of Congress Nagar,
Near Railway Bridge, Amravati -444601. 25
(Added R-5 to 7 vide Court's order
dtd. 22/3/24)
WITH 30
WRIT PETITION NO.1163/2024
PETITIONERS : 1. Prabhakar Uttamrao Zod
Aged 48 years, Occu. Service,
R/o 53, Gulmohar Colony, Deomali
Post Narayanpur, Tq. Achalpur, 35
Distt. Amravati.
2. Mangesh Arunrao Kherde,
Aged @ 50 yrs, Occ - Service, R/o Plot No.1,
"Asha", Suraj Colony, V.M.V. Premises, 40
Amravati, Tq. & Dist. Amravati.
WP 1568 of 2024 - Judgment.odt
3
3. Sanjay Tulshiram Nage,
Aged @ 48 years, Occu. Service,
R/o Gajanan Colony, Near Prabodhan
School, Sai Nagar, Daryapur, Tq. Daryapur,
Distt. Amravati. 5
4. Manoj Ramchandrarao Chourpagar
Aged @ 53 years, Occu. Service,
R/o Leelai, Uttam Nagar, Benoda,
Amravati, Tq. & Distt. Amravati. 10
5. Gaurav Damodarpant Kale,
Aged @ 36 years, Occu. Service,
R/o Ambada, Tq. Morshi,
Distt. Amravati. 15
...VERSUS...
RESPONDENTS : 1. The State of Maharashtra,
Through its Minister for Co-operative
Marketing and Textiles Department,
Mantralaya, Mumbai. 20
2. The Divisional Joint Registrar,
Co-operative Societies,
Amravati Region, Amravati, Tq. &
Dist. Amravati. 25
3. The District Deputy Registrar of
Cooperative Societies, Amravati
District, Amravati, Tq. & Dist. Amravati.
30
4. The Amravati Zilla Parishad Shikshak
Sahakari Bank Ltd. bearing Registration
ATI/BNK/116
Through its Chief Executive
Officer, Congress Nagar Road, Near 35
Railway Bridge, Amravati, Dist.
Amravati.
WITH
40
WP 1568 of 2024 - Judgment.odt
4
WRIT PETITION NO.1437/2024
PETITIONERS : 1. Virandrabhau Walmikrao Jagtap
Aged 61 years, Director of
Amravati DCC Bank, R/o At Post 5
Jawala, Tah. Chandur Rly. Distt.
Amravati.
2. Shrikant Bhimraoji Gawande,
Aged 56 years, Director of 10
Amravati DCC Bank, R/o Near
Vitthal Mandir, Dattapur, Tah. &
Distt. Amravati.
3. Aniruddha @ Bablubhau Subhanrao 15
Deshmukh, Aged 62 years, Director of
Amravati DCC Bank R/o At Post
Talwel, Tah. Chandur Bazar, Distt.
Amravati.
20
4. Ravindra Vitthalrao Gaigole
Aged 57 years, Director of Amravati
DCC Bank, R/o Wanoja, Post Chincholi,
Tah. Anjangaon Surji, Distt. Amravati.
25
5. Haribhau Yadaorao Mohod
Aged 63 years, Director of Amravati
DCC Bank, R/o At Post Asara,
Tah. & Distt. Amravati.
30
6. Dayaram Sanu Kale,
Aged 57 years, Director of Amravati
DCC Bank, R/o At Post Gaurkheda
Bazar, Chikhaldhara, Tah. & Distt.
Amravati. 35
7. Purushottam @ Balasaheb Babasaheb
Alone, Aged 62 years, Director of Amravati
DCC Bank, R/o At Post Wani
Belkheda, Tah. & Distt. Amravati. 40
8. Prakash Babarao Kalbahnde,
Aged 64 years, Director of Amravati
WP 1568 of 2024 - Judgment.odt
5
DCC Bank, R/o Near Court, Suyog
Colony Camp, Tah. & Distt. Amravati.
9. Balwant Baswantrao Wankhede
Aged 66 years, Director of Amravati 5
DCC Bank R/o At Post Lehgaon,
Daryapur Tah. & Distt. Amravati.
10. Sudhakar Narayanrao Bharsakle
Aged 62 years, Director of Amravati 10
DCC Bank, R/o At Post Shivajinagar
Banosa, Daryapur, Tah. & Distt.
Amravati.
11. Suresh Bapuraoji Sabale, 15
Aged 73 years, Director of
Amravati DCC Bank, R/o Ward
No.1, At Post Shendola (kh),
Tah. Tiwsa, Distt. Amravatia.
20
12. Monika Sanjayrao Wankhede
(Mardikar) Aged 58 years,
Director of Amravati DCC Bank,
R/o At Mardi, Post Tiwasa,
Tah. & Distt. Amravati. 25
13. Sunil Gopalrao Warhade,
Aged 58 years, Director of
Amravati DCC Bank, R/o At
Post Kamujja, Tah. & Distt. Amravati. 30
14. Surekha Surendra Thakre,
Aged 63 years, Director of
Amravati DCC Bank, R/o At Post
Jawala Shahapur, Tah. Chandur Bazar, 35
Distt. Amravati.
...VERSUS...
RESPONDENTS : 1. Divisional Joint Registrar, 40
Cooperative Societies, Sahakar Sankul,
Kantanagar, Amravati.
WP 1568 of 2024 - Judgment.odt
6
2. Shri Shankar Kumbhar,
Div. Jt. Registrar, Amravati.
3. Amravati District Central Coop. Bank
Ltd. Amravati. 5
[Added Respondent Nos.4 to 8
(pg. 4A and 4B)]
4. Nareshchandra Panjabrao Thakre, 10
aged 71 years, Occ. Agri. R/o At
Post Haturna, Tq. Warud, Distt.
Amravati.
5. Anand Nandkumar Kale, 15
aged 36 years, Occ. Agri. R/o At Post
Kushtha Bk., Tq. Achalpur, Distt.
Amravati.
6. Ajay Shankarrao Mehkare, 20
aged 61 years, Occ. Agri. R/o At Post
Kasbegavhan, Tq. Anjangaon Surji,
Distt. Amravati.
7. Jayprakash Dayaramji Patel, 25
aged 61 years, Occ. Agri. R/o At Post
Zilpi, Tq. Dharni, Distt. Amravati.
8. Sau. Chitratai Prashantrao Dahane
age 48 years, Occ. Agri. R/o At Post 30
Adgaon, Tq. Morshi, Distt. Amravati.
(Amended as per Court's order
dated 08.03.2024)
35
----------------------------------------------------------------------------------------------
Mr. S.P. Dharmadhikari, Senior Counsel a/b. Mr. S.M. Vaishnav, Counsel for the petitioners
in WP No.1568/2024 & W.P. No.1163/2024
Mr. M.V. Samarth, Senior Counsel a/b. Mr. V.P. Ingle, Counsel for the petitioners in
WP No. 1437/2024 40
Mr. S.M. Ukey, Addl.G.P. for the respondents/State,
Mr. Sharad Thakare, Counsel h/f. Mr. S.J. Kadu, Counsel for respondent No.4 in
WP No.1163/2024
----------------------------------------------------------------------------------------------
WP 1568 of 2024 - Judgment.odt
7
CORAM : AVINASH G. GHAROTE AND
ABHAY J. MANTRI, JJ.
Date of reserving the Judgment : 20/01/2025
Date of pronouncing the Judgment : 27/01/2025 5
JUDGMENT:
(PER : AVINASH G. GHAROTE, J.)
1. Rule. Rule made returnable forthwith. Heard finally
with the consent of the learned Counsels for the parties.
2. The respondent Nos.6 and 7, have filed a pursis on 10
record dated 12/08/2024, in terms of which, it has been stated that
they do not wish to contest the claim of the present petitioners and
want their names to be deleted from the array of respondents, on
account of which none appears for them.
3. Writ Petition No.1568/2024 challenges the minutes of
the special meeting dated 04/01/2024 (pg.138), in which the Motion
of No Confidence raised in pursuance to a requisition given by the
committee members has been passed and the petitioners have been
removed as members of the Managing Committee on that count. It is 20
also necessary to note that challenge to the constitutional validity of
the provisions of the Maharashtra Co-operative Societies Act, 1960 as
WP 1568 of 2024 - Judgment.odt
raised in this petition, the same was given up, which stands recorded
in the order dated 06/08/2024.
4. Mr. S.P. Dharmadhikari, learned Senior Counsel with
Mr. S.M. Vaishnav, learned Counsel for the petitioners invites our 5
attention to the provisions of Section 73-1D(1) of the Maharashtra
Co-operative Societies Act, 1960 (hereinafter referred to as the "MCS
Act"), the language of which, according to him, would dis-entitle the
Managing Committee from considering such a Motion of No
Confidence. According to learned Senior Counsel, such a motion can 10
only be considered by the electoral College, which has elected the
petitioners to the Managing Committee and not otherwise. He
specifically relies upon the phrase "who are entitled to vote at the
election of such officer" occurring in Section 73-1D(1) of the MCS
Act. He further submits, that such an argument is supported by the 15
language of Rule 57-A of the Maharashtra Co-operative Societies
Rules, 1961 (hereinafter referred to as the "MCS Rules"), which
relates to Motion of No Confidence against the officers of the society.
The learned Senior Counsel further submits, that since the election to
the Managing Committee is from different constituencies, it is only 20
that constituency which has elected a person to the Managing
Committee, which would have the authority to consider the Motion of
WP 1568 of 2024 - Judgment.odt
No Confidence and none other, for which purpose he relies upon the
declaration dated 07/07/2022 issued by the Election Office (pg. 32),
which according to him, demonstrates that the petitioners have been
elected to the Managing Committee from different constituencies as
indicated therein, the names of the petitioners being at Sr. Nos.4, 7, 5
9, 18 and 19. The learned Senior Counsel also relies upon the
definition of "Committee" as occurring in Section 2(7) of the MCS Act
in support of his contention. He further submits, that since the
election of a person to the Managing Committee is by a particular
constituency, to contend that such a person can be removed only by 10
the Managing Committee members, by way of requisition, would not
only be absurd but would negate the will of the constituency, which
had elected him to the said post. There are 21 members in the
Managing Committee as against which there are total 8174 members
of the society, all of whom, vote to elect a person to the Managing 15
Committee based upon the constituency which are either open or
reserved. It is, therefore, contended relying upon Vipulbhai M.
Chaudhary Vs. Gujarat Cooperative Milk Marketing Federation
Limited and others (2015) 8 SCC 1, paras 16, 18 to 20, that the
Motion of No Confidence, which has been passed by the Managing 20
Committee, in fact, is legally infirm and cannot be sustained.
WP 1568 of 2024 - Judgment.odt
5. In Writ Petition No.1437/2024, Mr. M.V. Samarth,
learned Senior Counsel for the petitioners submits, that the notice of
No Confidence Motion which was moved by 14 out 21 Managing
Committee members, has been rejected to be put to vote by the
Divisional Joint Registrar-respondent No.1 by the order dated 5
20/2/2024 (pg.41), on the ground that, it ought to have been moved
not by the members of the Managing Committee, but by the Electoral
College, which had elected the person to be a member of the
Managing Committee (pg.44). Learned Senior Counsel by relying
upon Gokuldas s/o Shriramji Raut & Ors. Vs. The Divisional Joint 10
Registrar Co-operative Societies, Amravati and others [Writ Petition
No.2451/2023, decided on 09/11/2023 (pg.31)] submits, that the
issue has already been decided, by holding that the definition of the
word "officer" as contained in Section 2(20) of the MCS Act would
include a duly elected director of the Managing Committee and 15
therefore, the provisions of Section 73-1D of the MCS Act would be
equally applicable to him, on account of which, the order dated
20/02/2024 (pg. 41) passed by the respondent No.1 cannot be
sustained.
6. The learned Additional Government Pleader for the State
submits, that if the language of Section 73-1D(1) of the MCS Act in
WP 1568 of 2024 - Judgment.odt
conjunction with Rule 57A of the MCS Rules is considered, it would
be apparent that it is the Managing Committee members who would
be entitled to move the Motion of No Confidence and consider it,
either for accepting or rejecting it rather than the Electoral College,
which has elected the members to the Managing Committee. 5
7. The relevant provisions of the Maharashtra Co-operative
Societies Act, 1960, which require consideration are quoted as
under :
"Section 2(7) "committee" means the committee of 10
management or board of directors or the governing body or
other directing body of a co-operative society, by whatever
name called, in which the management of the affairs of a
society is entrusted;
Section 2(20) "officer" means a person elected or appointed by
a society to any office of such society according to its bye-laws;
and includes any office bearer such as a chairman, vice-
chairman, president, vice-president, managing director,
manager, secretary, treasurer, member of the committee and 20
any other person, by whatever name called, elected or
appointed under this Act, the rules or the bye-laws, to give
directions in regard to the business of such society;
Sec.73-1D. Motion of no-confidence against officers of societies 25
--
(1) An officer who holds office by virtue of his election to that
office shall cease to be such officer, if a motion of no-
confidence is passed at a meeting of the committee by two-
third majority of the total number of committee members who 30
are entitled to vote at the election of such officer and his office
shall, thereupon be deemed to be vacant.
(2) The requisition for such special meeting shall be signed by
not less than one-third of the total number of members of the
WP 1568 of 2024 - Judgment.odt
committee who are entitled to elect the officer of the
committee and shall be delivered to the Registrar. The
requisition shall be made in such form and in such manner as
may be prescribed :
Provided that, no such requisition for a special meeting 5
shall be made within a period of six months from the date on
which any of the officers referred to in sub-section (1) has
entered upon his office.]
(3) The Registrar shall, within seven days from the date of
receipt of the requisition under sub-section (2), convene a 10
special meeting of the committee. The meeting shall be held on
a date not later than fifteen days from the date of issue of the
notice of the meeting.
(4) The meeting shall be presided over by the Registrar or such
officer not below the rank of an Assistant Registrar of Co- 15
operative Societies authorised by him in this behalf. The
Registrar or such officer shall, when presiding over such
meeting, have the same powers as the President or Chairman
when presiding over a committee meeting has, but shall not
(5) The meeting called under this section shall not, for any
reason, be adjourned.
(6) The names of the committee members voting for and
against the motion shall be read in the meeting and recorded in
(7) If the motion of no-confidence is rejected, no fresh motion
of no-confidence shall be brought before the committee within
a period of one year from the date of such rejection of the
motion.
Rule 57A. Motion of no-confidence against the officers of the 30
society -
(i) The requisition to call the special meeting of the committee
of a society to consider a motion of no-confidence against the
President, Vice-President, Chairman, Vice Chairman, Secretary,
Treasurer or other officer of the society, by whatever 35
designation called, who holds office by virtue of his elections to
that office, shall be made in Form M-18. The requisition shall
be accompanied by:-
(a) the grounds of no-confidence;
(b) the text of the motion of no-confidence to be moved; 40
(c) the name of the committee members who shall move the
motion of non-confidence;
WP 1568 of 2024 - Judgment.odt
(d) a list of members of the committee specifying their full
names, and address who are, for the time being, entitled to sit
and vote at any meeting of the committee;
(e) signatures of the members of the committee who are
signing the requisition duly attested by the Chief Executive 5
Officer of the society or Special Executive Magistrate or
Executive Magistrate or any Gazetted Officer of the
Government.
(2) The requisition referred to in sub-rule (1) shall be delivered
in person to the Registrar. Such requisition or requisitions shall 10
be delivered in duplicate in each case. The Registrar on
ascertaining that the requisition or requisitions as the case may
be, have been signed by not less than 1/3rd members of the
committee who for the time being are entitled to sit and vote in
(a) receive and acknowledge the requisition under his
signature with date and time.
(b) issue notice, within 7 days from the date of receipt of the.
requisition, convening, the special meeting for that purpose
specifying therein place, date, time, name and designation of 20
the officer who shall be presiding over such meeting, to all the
members of the committee, the presiding officer and the
Managing Director, General Manager, Manager, Paid Secretary,
Group Secretary or such employee of the society, to whom the
Registrar has directed to produce minute book of committee 25
meetings of the society. This notice of no-confidence shall also
be issued, to the Officer or officers against whom the motion of
no-confidence is being moved, and shall be accompanied by the
copy of the requisition alongwith enclosures and agenda.
(c) The Registrar shall direct the Managing Director, General 30
Manager, Manager, Paid Secretary, Group Secretary or any
other employee to deliver in person the minute book Of the
committee meetings on the date, time and place of the
meeting, to the Presiding Officer.
(d) The Registrar shall send a notice under certificate of 35
posting, to all the persons concerned. However, he shall serve
or cause to be served the notice on the officer or officers
against whom the motion of no-confidence is proposed to be
moved through the special messenger or the officer or officers,
as the case may be, or in his or their absence on any adult 40
member of his or their families at the place of residence. If for
some reason it is not possible to serve the notice, the
authorised person in this behalf, shall in presence of two
WP 1568 of 2024 - Judgment.odt
witnesses, affix such notice on any conspicuous place of the
residence.
(e) copies of this notice shall be displayed on the Notice Board
of the Registrar, the Presiding Officer and the society. Such
display of the notice on the notice board of the Registrar and 5
the Presiding Officer shall be the conclusive proof that such
notice has been served on all concerned.
(3) Notwithstanding anything contained in the bye-laws of the
society regarding the procedure for convening and holding
meeting and recording of minutes, the procedure adopted by 10
the Registrar, the Presiding Officer and the Authorised Officer
under sub-rule (2), shall be deemed to be the proper procedure
under the provisions of bye-laws of the society.
(4) If the Registrar deems it necessary, he shall require any
Officer of the society to furnish any information to him and it 15
shall be obligatory on the part of such officer to furnish such
information. On failure of the officer to furnish the
information, the Registrar may get it through any person
authorising in that behalf. This failure on part of the officer of
the society shall be construed as non-compliance of provisions 20
as contemplated under sub-section (1) of Section 79. However,
in case of the officer of the society who holds that office by
virtue of his election, including the member of the committee
of management, it shall be construed as breach of provisions
under sub-section (1) of Section 79 and negligence of 25
performance of duties imposed by the Registrar as
contemplated under subsection (1) of Section 78.
(5) The time of the meeting shall be between Office hours of
the authorised officer. The meeting shall be held either in the
office of the society or at any other place which may, as far as 30
possible, be public place or any other place specified by the
District Deputy Registrar.
(6) No other subject, except the motion or motions of no-
confidence shall be kept on the agenda.
(7) The Registrar or the officer authorised to preside over the 35
meeting shall,
(a) announce or cause to be announced the commencement of
the meeting,
(b) take possession of the minute book of the committee
meetings from the officer of the society. However, for some 40
reasons, if it is not possible for him to take possession of the
minute book of the committee meetings of the society, at the
commencement of the meeting, he shall record proceedings in
WP 1568 of 2024 - Judgment.odt
the register kept for that purpose in his office. The text of the
minutes of the meeting recorded in the minute book kept in the
office of the Registrar shall be incorporated in the minute book
of the society.
(c) record the date, time, place, names of members of the 5
committee present at the commencement of the meeting, in the
minute book of the society or kept by him, as the case may be,
in his own hand and cause all the members of the committee
who are present, to sign it and it shall be obligatory on their
part to do so. The signature of the members on the minute 10
book shall be the concrete proof of their attendance.
(d) not allow any other person to enter the place of meeting
except the person or persons appointed to assist him, the
officer of the society who has produced the minute book, the
officer or officers against whom the motion of no-confidence is 15
moved, the members of the committee who are for the time
being entitled to sit and vote in any meeting of the committee,
who are present at the commencement of the meeting and
police officer or officers if called by him to maintain the law
(e) record or cause to be recorded, the proceedings of the
meeting and thereafter allow those members who desire to sign
the proceedings. Signature of the members on the minute book
shall be the conclusive proof of their attendance.
(f) not allow the discussions on any other subject than the 25
subject on agenda.
(g) declare the motion or motions as rejected and take a note
to that effect with reasons, in the minute book under the
following circumstances;--
(ii) none of the members of the committee, who are present
refuse to sign the requisition;
(iii) 2/3rd members are not present at the commencement of
the meeting (i) 2/3rd is fraction, it shall be rounded to next
(h) (i) read or cause to be read the text and grounds of no-
confidence motion and allow any of the member, who have
signed the requisition to move the motion and to speak in
support of the motion.
(ii) allow the member against whom no-confidence motion is 40
moved or any other member on his behalf to defend.
(i) put the motion to vote and declare the results as laid down
in sub-section (6) of Section 73ID.
WP 1568 of 2024 - Judgment.odt
(j) the Presiding Officer shall not speak or give any decision on
the merit or otherwise of no-confidence motion.
(k) issue certificate in Form M-19 in favour of the society."
8. What is necessary to note is that Section 2(20) of the 5
MCS Act defines the word 'officer', in an inclusive manner, and
includes within its scope and ambit a person elected to any office of
such society according to its bye-laws and includes any member of
the committee also. Thus a member elected to the Managing
Committee from any constituency or electoral college, whatsoever, 10
would be an officer within the meaning of the word as defined in
Section 2(20) of the MCS Act.
9. Section 73-1D of the MCS Act, speaks of a Motion of No
Confidence against officers of societies, which would thus also mean 15
a vote of no-confidence against a member of the Managing
Committee, in view of the definition of the word 'officer', as
contained in Section 2(20) of the MCS Act. Section 73-1D(1) of the
MCS Act, uses the expression 'An officer who holds office by virtue of
his election to that office', which expression would also include a 20
person elected as a member of the Managing Committee, to which he
is duly elected by the Electoral College of the constituency from
which he has contested, for, a member elected to the Managing
WP 1568 of 2024 - Judgment.odt
Committee, would equally be an officer of the Society, within the
meaning of the word 'officer', as defined in Section 2(20) of the MCS
Act. Section 73-1D(1) of the MCS Act, further contemplates the
passing of a Motion of No Confidence against such officer, at a
meeting of the Managing Committee, by two-third majority of the 5
total number of committee members. Section 73-1D(3) mandates the
Registrar to convene a special meeting of the Committee, which
would mean the Managing Committee, to consider such Motion of No
Confidence against an officer of the Society. Further Section 73-1D
(4) mandates that the Registrar has to preside over such meeting and 10
while doing so, shall have the same powers as the President or
Chairman when presiding over a Committee meeting has, vote.
Section 73-1-D (6) then requires the reading of the names of the
Committee members voting for and against the motion in the meeting
and recorded in the minute book of committee meetings. All this 15
would indicate that the Motion of No Confidence as contemplated by
the provisions of Section 73-1D of the MCS Act, has to be moved by
the Managing Committee members, considered and put to vote in the
special meeting of the Managing Committee, to be held by the
Registrar for this purposes and read and recorded in the minute book 20
of the Committee meetings. This would unequivocally demonstrate
that the meeting for no-confidence of a member of the Managing
WP 1568 of 2024 - Judgment.odt
Committee of the Society, in terms of the mandate of Section 73-1D
of the MCS Act, has to be considered and voted for in the special
meeting of the Managing Committee, itself and is not required to be
put before or considered by the constituency or the electoral College,
which had elected such 'officer', to be a member of the Managing 5
Committee.
10. The above position is fortified by the language of
Rule 57A of the MCS Rules which delineates how such Motion of No
Confidence is to be considered. Rule 57A(1) provides that the Motion 10
of No Confidence is to be considered in the special meeting of the
Committee of a Society, which in view of the definition of the word
'Committee', as occurring in Section 2(7) of the MCS Act, would
mean the Managing Committee alone and none else. It further
provides that such a requisition for no confidence against an officer of 15
the Society has to be accompanied by the names of the Committee
members, who have moved the Motion of No Confidence [Rule 57A
(1) (c) of the MCS Rules, 1961] ; a list of members of the Committee
specifying their full names, address, who are for the time being
entitled to sit and vote at any meeting of the Committee [Rule 57-A 20
(1)(d)]; signatures of the members of the Committee who are signing
the requisition duly attested by the CEO of the Society [Rule 57A (1)
WP 1568 of 2024 - Judgment.odt
(e)]. Rule 57A (2) requires the Registrar to verify that the requisition
have been signed by not less than 1/3rd members of the Committee,
who for the time being are entitled to sit and vote in any meeting of
the Committee of the Society. Rule 57A (2) (b) of the MCS Rules,
1961 requires the Registrar to issue notice for convening a special 5
meeting of the Committee, to be given to all members of the
Committee and other officers as specified therein. Rule 57A (2)(c)
empowers the Registrar to issue directions for delivery of the minute
book of the Committee meetings to the Presiding Officer. Rule 57A
(2)(d) requires the Registrar to send a notice to all concerned and 10
ensure its service. Rule 57A (3) gives precedence and validity to the
procedure adopted under Rule 57A (2), over any procedure which
may have been prescribed by the bye laws of the Society. Rule 57A
(7)(c) enjoins on the Registrar to record the date, time, place, names
of members of the committee present at the commencement of the 15
meeting in the minute book of the society and cause all members who
are present to sign it, as proof of their attendance. Rule 57A (7)(d)
enjoins upon the Registrar to ensure only the committee members
and other persons as indicated therein to be present in such meeting
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11. Thus, a combined reading of the provisions of Section
73-1D of the MCS Act and Rule 57-A of the MCS Rules would indicate
that the Motion of No Confidence against an officer of the Society,
who is a member of the Managing Committee, can only be considered
and voted for in the special meeting of the Managing Committee of 5
the Society and nowhere else.
12. Though Section 73-1D(1) also uses the expression 'who
are entitled to vote at the election of such officer', based upon which,
it is contended that such Motion of No Confidence can only be 10
considered by the constituency or electoral college from which the
officer/member came to be elected, We, however, find that the said
expression has to be construed and understood in light of the scheme
and purpose for which Section 73-1D of the MCS Act is enacted. As
discussed above, the provisions of Section 73-1D of the MCS Act and 15
Rules 57A of the MCS Rules, in clear and specific words indicate the
intention of the Legislature that any Motion of No Confidence of an
officer of the Society, has to be requisitioned, considered and passed
or rejected in the special meeting of the Committee, the aforesaid
expression, will have to be read in a harmonious and purposeful 20
manner, in consonance with the intent and purpose for the removal of
an officer by a no-confidence motion. It is equally necessary to bear in
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mind that the no-confidence is for the purpose of removing the officer
from the Managing Committee, to which such officer, has been
elected and such a motion, therefore, has to be necessarily be
considered by the Managing Committee and none else. To hold that
such a motion, has to be considered by the Constituency or the 5
Electoral College, from which such officer was elected to the
Managing Committee, would mean that such removal has only to be
on a referendum by such Constituency or the Electoral College, which
is not the intent and purpose of Section 73-1D of the MCS Act and
Rules 57 A of the MCS Rules, as is spelt out from a reading of the 10
language of these provisions. Had it been so, the Legislature would
not have repeatedly used the word 'committee' in Section 73-1D of
the MCS Act and Rules 57 A of the MCS Rules, as it cannot be said to
be oblivious of the definition of the word, as defined in Section 2(7)
13. Though Section 73-1D(2) of the MCS Act mandates that
the requisition for such special meeting for considering the Motion of
No Confidence has to be signed by not less than one-third (1/3rd) of
the total members of the Committee, who are entitled to elect the 20
officer of the committee, the same reasoning as is spelt out in para
supra, while considering the expression 'who are entitled to vote at
WP 1568 of 2024 - Judgment.odt
the election of such officer', as occurring in Section 73-1D(1) will
equally apply.
14. There is no other provision in the MCS Act or the Rules
framed thereunder, which shed any light on the issue and support the 5
contention raised by Mr. Dharmadhikari, learned Senior Counsel for
the petitioners in Writ Petition No.1568/2024, which has been
brought to our notice.
15. We have also perused the objects and reasons of the 10
Maharashtra No.XX of 1986, by which Section 73-1D came to be
inserted in the MCS Act, by virtue of Section 28 of the amending Act.
It also supports our conclusion above, as it states that Section 73-1D
makes provisions for removal of office bearers of the Societies on a
Motion of No Confidence passed by the Committee. 15
16. Though reliance has been placed on Vipulbhai M.
Chaudhary (supra) by Mr. Dharmadhikari, learned Senior Counsel for
the petitioners in Writ Petition No.1568/2024, to contend that the
Courts cannot add to or delete from the Statute, however, in 20
Vipulbhai M. Chaudhary (supra) the Hon'ble Apex Court was
considering a situation where there was absence of procedure in the
WP 1568 of 2024 - Judgment.odt
State law, for removal of a member on account of a Motion of No
Confidence against such member, and therefore had issued the
following directions :
"52.2. Having regard to the set-up in local self-governments
prevailing in many of the States as above, we direct that in the 5
case of cooperative societies registered under any Central or
State law, a motion of no-confidence against an office-bearer
shall be moved only after two years of his assumption of office.
In case the motion of no-confidence is once defeated, a fresh
motion shall not be introduced within another one year. A 10
motion of no-confidence shall be moved only in case there is a
request from one-third of the elected members of the Board of
Governors/Managing Committee of the cooperative society
concerned. The motion of no-confidence shall be carried in case
the motion is supported by more than fifty per cent of the 15
elected members present in the meeting."
It is however equally necessary to note that at the same time,
this is also what has been said :
"51. The cooperative society registered under the Central or the
State Act is bound to function as a democratic institution and 20
conduct its affairs based on democratic principles. Democratic
functioning on democratic principles is to be reflected in the
respective Acts or Rules or bye-laws both on the principle and
procedure. If not, it is for the court to read the democratic
principles into the Act or Rules or bye-laws. If a procedure is 25
prescribed in any Act or Rule or bye-law regarding election of an
office-bearer by the board, as defined under Article 243-ZH(b) of
the Constitution of India, and for removal thereof, by way of a
motion of no-confidence, the same procedure has to be followed.
In case there is no express provision under the Act or Rules or 30
bye-laws for removal of an office-bearer, such office-bearer is
liable to be removed in the event of loss of confidence by
following the same procedure by which he was elected to office."
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17. In the instant matter, we have in terms of Section 73-1D
of the MCS Act and Rule 57-A of the MCS Rules a complete special
procedure prescribed by the Statute and Rules for removal of an
'officer' by way of a Motion of No Confidence and therefore, such
18. Though it is also contended that the decision dated
04/01/2024, by which the Motion of No Confidence has been
accepted by the Committee, has been set aside by the General Body,
in the Annual General Meeting said to have been held on 10
18/08/2024, by way of Resolution No.18/2, We find that neither the
provisions of Section 73-1D of the MCS Act nor the procedure
prescribed in Rule 57A of the MCS Rules, mandate any approval of
the General Body for the acceptance of the Motion of No Confidence
to be approved or accepted by the General Body, in any Annual or 15
Special Meeting. There is no Statutory mandate for this, in absence of
which in our considered opinion, nothing turns upon the decision of
the General Body as taken in the Annual General Meeting, dated
18/08/2024. In fact, Rule 57-A(3) of the MCS Rules mandates that
the procedure as provided in Rule 57-A(2) of the Rules shall be 20
deemed to be the proper procedure under the provisions of the bye-
laws of the Society, which, in turn would mandate that whatever is
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done in terms of Section 73-1-D of the MCS Act and Rule 57-A of the
MCS Rules will have an overriding effect over what has been stated in
the bye-laws of the Society and will be the correct procedure for all
purposes. This, in turn, necessarily mandates that what has been
done in terms of the provisions of Section 73-1-D of the MCS Act and 5
Rule 57-A of the MCS Rules, cannot be undone by the Society by
following any procedure under its bye-laws. Thus, what we have said
above regarding the decision of the General Body as taken in the
Annual General Meeting, dated 18/08/2024, stands. The position in
Writ Petition No.1163/2024 is also similar, as is evinced by the 10
removal of petitioners by a No Confidence Motion passed in the
meeting of the Committee.
19. We, therefore, find that the removal of the petitioners in
Writ Petition No.1568/2024 and Writ Petition No.1163/2024, are 15
after following the procedure as prescribed in terms of Section 73-1D
of the MCS Act and Rule 57-A of the MCS Rules, which cannot be
faulted with, in light of which, we do not see any reason to interfere
in the minutes of the special meeting dated 04/01/2024 (pg.138), in
which the Motion of No Confidence raised in pursuance to a 20
requisition given by the Committee members has been passed and the
petitioners have been removed as members of the Managing
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Committee on that count. Writ Petition No.1568/2024 and Writ
Petition No.1163/2024 are therefore dismissed.
20. Insofar as Writ Petition No.1437/2024, is concerned, the
notice of No Confidence Motion which was moved by 14 out 21 5
Managing Committee members, has been rejected to be put to vote
by the Divisional Joint Registrar/respondent No.1 by the order dated
20/02/2024 (pg.41), on the ground that, it ought to have been
moved not by the members of the Managing Committee, but by the
Electoral College, which had elected the person to be a member of 10
the Managing Committee (pg.44).
21. Though Gokuldas Shriramji Raut (supra), has been relied
upon by Mr. Samarth, learned Senior Counsel for the petitioners in
Writ Petition No.1437/2024, we find that it was decided on a 15
different premise altogether, wherein the consideration was whether
an elected Director of a Bank was an 'officer' within the meaning of
the definition as contained in Section 2(20) of the MCS Act, which
was answered in the affirmative. In the instant matter, that is not the
controversy at all, on account of which, no benefit can be derived by 20
Mr. Samarth, learned Senior Counsel from Gokuldas Shriramji Raut
(supra).
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22. However, in light of the discussion we have made above,
in relation to Writ Petition No.1568/2024 and Writ Petition
No.1163/2024 and the conclusion which we have arrived, that a
Motion of No Confidence against an 'officer', of the Society, has to be
considered and decided by the Committee as defined in Section 2(7) 5
of the MCS Act, in view of the mandate of Section 73-1D of the MCS
Act and Rule 57-A of the MCS Rules, the impugned order, dated
20/02/2024 (pg.41 of Writ Petition No.1437/2024)) by the
respondent No.1, therein cannot be sustained and is hereby quashed
and set aside and the respondent No.1 is directed to proceed with the 10
consideration of the notice of no-confidence in terms of the provisions
of Section 73-1D of the MCS Act and following the procedure as
provided in Rule 57-A of the MCS Rules. Writ Petition No.1437/2024,
is allowed in the above terms.
23. Rule is made absolute in the aforesaid terms. Considering
the circumstances, there shall be no order as to costs.
(ABHAY J. MANTRI, J.) (AVINASH G. GHAROTE, J.) 20
Adgokar/Wadkar
Signed by: S.S. Wadkar (SSW)
Designation: PS To Honourable Judge
Date: 28/01/2025 14:39:01
