Citation : 2025 Latest Caselaw 3418 Bom
Judgement Date : 24 March, 2025
2025:BHC-AS:14727-DB
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
CIVIL APPELLATE JURISDICTION
WRIT PETITION NO.7183 OF 2019
1. Vikas-Ratna Dilip Rao Mane Vividh Karykari ]
Seva Sahakari Society Ltd., Solapur ]
2. Mardi Bruhat Vividh Karykari Seva Sahakari ]
Society Ltd., Solapur ]
3. Karamba Vividh Karyakari Seva Sahakari ]
Society Ltd., Solapur ]
4. Banegaon Vividh Karykari Seva Sahakari ]
Society Ltd., Solapur ] .. Petitioners
Versus
1. State of Maharashtra, ]
Through Department of Co-operation ]
2. The Hon'ble Principal Secretary, ]
Department of Co-operation ]
3. The Hon'ble Commissioner for Co-operation ]
and Registrar of Co-operative Societies, Pune ]
4. The Reserve Bank of India, Mumbai ]
5. The Solapur District Central Co-operative ]
Bank, Solapur ]
6. The State Co-operative Election Authority, Pune ] .. Respondents
ALONG WITH
INTERIM APPLICATION NO.15886 OF 2023
( Not on Board )
IN
WRIT PETITION NO.7183 OF 2019
Babasaheb Sukhdev More, ]
Member of Sakat Vividh Karyakari Sahakari ] .. Applicant /
Society, Sakat, Tal. Barshi, Dist. Solapur ] Intervener
ALONG WITH
WRIT PETITION NO.6553 OF 2021
1. Bawachi Vividh Karykari Seva Sahakari Society Ltd., ]
At Post Bawachi, Tal. Mangalwedha, Dist. Solapur ]
2. Bhalawani Vividh Karykari Seva Sahakari Society ]
Ltd., Bhalawani, Tal. Mangalwedha, Dist. Solapur ]
3. Mundhewadi Vividh Karykari Seva Sahakari Society ]
Ltd., Mundhewadi, Tal. Mangalwedha, Dist. Solapur ] .. Petitioners
1/6
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Versus
1. State of Maharashtra, ]
Through Department of Co-operation ]
2. The Hon'ble Principal Secretary, ]
Department of Co-operation ]
3. The Hon'ble Commissioner for Co-operation ]
and Registrar of Co-operative Societies, Pune ]
4. The Solapur District Central Co-operative ]
Bank, Solapur ]
5. The State Co-operative Election Authority, Pune ]
6. The Reserve Bank of India, Mumbai ] .. Respondents
ALONG WITH
WRIT PETITION NO.10957 OF 2023
1. Sakahrewadi Vividh Karykari Seva Sahakari ]
Society Ltd., Sakharewadi, Tal. N. Solapur, Dist. Solapur ]
2. Soregaon Vividh Karykari Seva Sahakari Society ]
Ltd., Soregaon, Tal. North Solapur, Dist. Solapur ] .. Petitioners
Versus
1. State of Maharashtra, ]
Through Department of Co-operation ]
2. The Hon'ble Principal Secretary, ]
Department of Co-operation ]
3. The Hon'ble Commissioner for Co-operation ]
and Registrar of Co-operative Societies, Pune ]
4. The Solapur District Central Co-operative ]
Bank, Solapur ]
5. The State Co-operative Election Authority, Pune ] .. Respondents
Mr. Sarang Aradhye with Ms. Gauri Velankar and Mr. Shantanu Gurav,
Advocates for the Petitioners in WP 6553/2021.
Mr. Abhijit Kulkarni with Mr. Chinmay Patil and Mr. Prasad Bode,
Advocates for the Petitioners in WP 7183/2019 and WP 10957/2023.
Mr. B.V. Samant, Additional Government Pleader with Mr. R.A. Salunkhe,
Assistant Government Pleader for the Respondent-State of Maharashtra.
Ms. Aditi Phatak with Mr. Vijay Salokhe, Advocates, i/by BLAC Co., for
Respondent No.4.
Mr. Bhushan Walimbe with Mr. Mayank Tripathi, Advocates for
Respondent No.5 in WP 7183/2019.
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Mr. Dilip Bodake, Advocate for Respondent No.5 in WP 6553/2021.
Mr. J.G. Aradwad (Reddy) with Mr. Abhijit Patil, Advocates for the
Applicant in IA/15886/2023 (Not on Board).
CORAM : A.S. CHANDURKAR &
ARIF S. DOCTOR, JJ
DATE : 24TH MARCH 2025.
ORAL JUDGMENT : { Per A.S. Chandurkar, J. }
1. Rule. Rule made returnable forthwith and heard learned counsel
appearing for the parties.
2. In these writ petitions prayer has been made to issue directions to
the State Co-operative Election Authority - respondent no.6 to take steps
to conduct elections at the Solapur District Central Co-operative Bank -
respondent no.5 forthwith. A further prayer is made to consider the
petitioners' representation dated 11th March 2019 in that regard.
3. By an order dated 29th May 2018, the Commissioner for Co-
operation & Registrar of Co-operative Societies issued an order under
Section 110-A of the Maharashtra Co-operative Societies Act, 1960 (for
short, "the Act of 1960") superseding the Board of Directors of the
respondent no.5 - Bank and appointing an Administrator. It is urged that
in terms of Section 110-A(1)(iii) of the Act of 1960, the maximum period
15-WP-7183-2019 & WP-6553-2021 & WP-10957-2023.doc Dixit
for which an Administrator can be appointed cannot exceed one year.
Since that period has now elapsed since the appointment of the
Administrator, the continuation of the Administrator is without
jurisdiction. It is therefore prayed that the appointment of the
Administrator be set aside and steps be directed to be taken to hold
elections.
4. The learned Additional Government Pleader by inviting attention to
the affidavit-in-reply on behalf of the Deputy Registrar, Co-operative
Societies, Solapur City in Writ Petition No.6553 of 2021 submits that by
invoking the provisions of Section 157 of the Act of 1960, an exemption
has been granted from the operation of the provisions of Section 110-
A(iii) of the Act of 1960. Such exemption had been granted on 3 rd June
2019 and 9th April 2021. The term of the Administrator stood extended till
2nd December 2021. With a view to improve the financial position of the
Bank, the elections were postponed till 31 st March 2022 by an order dated
27th August 2021 again by invoking powers under Section 157 of the Act
of 1960.
5. We find that under Section 110-A(iii), the maximum period for
which the Administrator can be appointed is one year. A period of more
than six years has now elapsed since the Administrator was first appointed
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on 29th May 2018. The provisions of Section 157 of the Act of 1960 cannot
be invoked in a routine manner that would defeat the spirit of Section
110-A. The last order invoking the power under Section 157 of the Act of
1960 is dated 27th August 2021. The elections of the Bank have been
postponed by invoking such power. Considering the fact that substantial
period has since elapsed from 29th May 2018, we find that this is a fit case
where the Commissioner for Co-operation could be directed to consider
whether elections to the Bank could now be held since there is no further
order continuing the appointment of the Administrator. This would ensure
that the spirit behind enactment of Section 110-A(iii) of the Act of 1960 is
complied with.
6. In view of aforesaid, the following directions are issued :-
(i) The respondent no.3 shall consider the issue as to whether the appointment of the Administrator is necessary to be continued given the fact that the initial order dated 29th May 2018 was passed under Section 110-A(iii) of the Act of 1960 and period of more than six years has since elapsed.
(ii) Such decision be taken within a period of four weeks of receiving copy of this order and if necessary, by hearing all stake-holders in the matter.
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(iii) The respondent no.6 shall thereafter consider the issue of holding elections to the respondent no.5-Bank as the said Bank is without any elected body for a period of more than six years.
7. With aforesaid directions, the writ petitions are disposed of. Pending
interim applications, if any, are also disposed of. Rule accordingly. No
costs.
[ ARIF S. DOCTOR, J. ] [ A.S. CHANDURKAR, J. ]
Digitally signed by
SNEHA ABHAY ABHAY DIXIT 15-WP-7183-2019 & WP-6553-2021 & WP-10957-2023.doc DIXIT Date:
2025.04.01 Dixit 10:00:11 +0530
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