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Jay Anand Bunglow Chsl Through Chiarman ... vs Jay Anand Co-Operative Housing Society ...
2026 Latest Caselaw 1037 Bom

Citation : 2026 Latest Caselaw 1037 Bom
Judgement Date : 30 January, 2026

[Cites 32, Cited by 0]

Bombay High Court

Jay Anand Bunglow Chsl Through Chiarman ... vs Jay Anand Co-Operative Housing Society ... on 30 January, 2026

Author: R.I. Chagla
Bench: R.I. Chagla
2026:BHC-OS:2675



                                                                      wp-478-2020-2936-2022-35195-2022.doc
                        jsn




                                           IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                                               ORDINARY ORIGINAL CIVIL JURISDICTION
                                                       WRIT PETITION NO. 478 OF 2020

  JITENDRA
  SHANKAR                      Jay Anand Co.operative Housing Society ...Petitioner
  NIJASURE
  Digitally signed by
  JITENDRA SHANKAR
  NIJASURE
                               Ltd.
  Date: 2026.01.30
  18:38:16 +0530


                                       Versus

                               State of Maharashtra & Ors.                         ...Respondents

                                                                   WITH
                                                      WRIT PETITION NO. 2936 OF 2022
                                                                   WITH
                                              CONTEMPT PETITION (L) NO. 35195 OF 2022
                                                                   WITH
                                                 INTERIM APPLICATION NO. 1953 OF 2021
                                                                     IN
                                                      WRIT PETITION NO. 2936 OF 2022
                                                                  ----------
                               Mr. Pravin Samdhani, Senior Counsel a/w Mr. Mayur Khandeparkar
                               i/by Mehul Shah, Mr. Yatin Khochare and Mr. Abhishek Nikharge for
                               the Petitioner.
                               Ms. Uma PalsuleDesai, AGP for the Respondent No. 1 in WP/478/20.
                               Ms. Gaurangi Patil, AGP for the Respondent No. 1 in WP/2936/22.
                               Dr. Virendra Tulzapurkar, Senior Counsel a/w Mr. Akshay
                               Deshmukh, Mr. Sanket Kadam, Mr. Sumit Chaudhary for the
                               Respondent Nos. 3 to 5 in WP/2936/22 and for the Respondent Nos.
                               4 to 6 in WP/478/20.
                                                                  ----------




                                                                    1/49




                              ::: Uploaded on - 30/01/2026                     ::: Downloaded on - 30/01/2026 22:30:32 :::
                                         wp-478-2020-2936-2022-35195-2022.doc

                           CORAM : R.I. CHAGLA J.

                           Reserved on        : 19TH SEPTEMBER, 2025.
                           Pronounced on : 30TH JANUARY, 2026.


J U D G M E N T:

-

1. The above Writ Petitions along with the Contempt

Petition were heard together as they are between the same parties as

well as concerning common issues.

2. The Writ Petition No.478 of 2020 impugns the Order

dated 3rd November, 2018 passed by Respondent No.3 by which the

Petitioner - Society has been bifurcated under Section 18(1) read

with Section 17 of the Maharashtra Co-Operative Societies Act, 1960

("MCS Act"). The Writ Petition No.2936 of 2022 impugns Order

dated 5th November, 2020 passed by Respondent No.3 by which the

Respondent No.3 has granted Deemed Conveyance in favour of Jay

Anand Bungalow Co-Operative Housing Society Ltd. ('Jay Anand

Bungalow CHS'), by issuing certificate of Deemed Conveyance. The

Contempt Petition (L) No.35195 of 2022 has been taken out in Writ

Petition No.2936 of 2022 alleging that the Respondent therein who is

the Petitioner - Society in the said Writ Petitions has violated the

wp-478-2020-2936-2022-35195-2022.doc

Order dated 28th September, 2001 passed in Interim Application

No.1953 of 2021 in Writ Petition No.2936 of 2022 whereby this

Court ordered maintaining status quo with respect to the subject land

covered by Deemed Conveyance executed pursuant to the said Order

dated 5th November, 2020.

FACTS

3. The relevant facts as taken from Writ Petition No.478 of

2020 are as under:-

(i) The Petitioner - Jay Anand Co-Operative Housing Society

Ltd. is the owner of land admeasuring 1309.80 Sq. mtrs. bearing

Plot No.105, final plot no.88, TPS (III), village Borivali, Mumbai

400 092 ("subject land"). The building of the Petitioner was

constructed on the subject land consisting of wings 'A' and 'B'

having 22 tenements. The 'A' wing comprises of ground plus two

(part), open terrace and, in all 4 tenements (construction in

1954) and B Wing comprises of stilt plus 6 storeys having 18

tenements (constructed in 1985).

wp-478-2020-2936-2022-35195-2022.doc

(ii) The Petitioner was registered as a housing society on 14th

September, 1988. The Petitioner has 22 members. A Wing has

three members viz. Dwarkadhish Joshi, Shantaben Sidhapara

(Patel) and Nanjibhai P. Sidhpara (Patel).

(iii) An Application for Deemed Conveyance was made by the

Petitioner on 11th February, 2015 against the Developer. It is

pertinent to note that the Application was also signed by

Respondent No.4.

(iv) A letter was addressed by the Respondent Nos.4 - 6 for sub

division of the land on 1st April, 2015. It is pertinent to note that

the Respondent Nos.4 - 6 admit to being members of the

Petitioner - Society and state that all FSI on the subject land was

consumed in construction of the building of the Petitioner -

Society.

(v) A letter was addressed by the Petitioner on 17th April, 2015

in response to the said letter of the Respondent Nos.4 - 6 dated

1st April, 2015 informing that the Petitioner would take a legal

opinion on the issue. It is pertinent to note that the Respondent

wp-478-2020-2936-2022-35195-2022.doc

No.4 was one of the signatories to the said letter.

(vi) A legal notice was addressed on behalf of Respondent

Nos.4 - 6 to the Secretary of the Petitioner - Society on 28th

August, 2025 calling upon it to convene a General Body Meeting

and give consent for bifurcation of the society. It is pertinent to

note that at that time the Secretary of the Petitioner - Society was

Respondent No.4.

(vii) An order of Deemed Conveyance dated 27th May, 2016

was passed by the Respondent No.3 in favour of the Petitioner.

(viii) The Respondent No.4 made a proposal for bifurcation of

the Petitioner - Society (Bifurcation Proposal) on 27th December,

2016.

(ix) The Respondent No.3 issued a letter dated 9th February,

2017 scheduling hearing on 16th February, 2017 to all members

of Jay Anand Bungalow CHS (then proposed) by Respondent

Nos.4 - 6. It is pertinent to note that the notice was not received

by the Petitioner Society.

wp-478-2020-2936-2022-35195-2022.doc

(x) A hearing was held by Respondent No.3 on 16th February,

2017 when only Respondent No.4 was present.

(xi) A bifurcation proposal was forwarded by Respondent No.3

to the Maharashtra District Housing Federation Limited for

remarks on 9th March, 2017. It is pertinent to note that there was

no draft scheme prepared prior to submission of bifurcation

proposal.

(xii) The Respondent No.3 submitted a letter to Respondent

No.1 on 9th March, 2017 to obtain special permission under

Section 157 of the MCS Act.

(xiii) Respondent No.1 sent the case of the Jay Anand

Bungalow CHS (then proposed) for bifurcation of the Petitioner -

Society to the Commissioner of Co-operative Societies and

Registrar of Co-operative Societies, Pune for his opinion on 30th

March, 2017.

(xiv) The Conveyance Deed dated 31st March, 2017 was

registered in favour of the Petitioner under Sr. No.BRL3/2941/

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2014 on 6th May 2017.

(xv) A letter was addressed by the Commissioner of

Cooperative Societies and Registrar of Cooperative Societies, Pune

to Respondent No.3 on 30th May, 2017 to inspect the property

and report.

(xvi) A site inspection report dated 6th July, 2017 stated that

there are three families that hold five flats in Jay Anand Bungalow

CHS (then proposed) and they are not from same family. It is the

Petitioner's case that this was an incorrect statement as there were

only four units held by the members of two families.

(xvii) A letter of Respondent No.3 was addressed to the

Commissioner of Cooperative Societies and Registrar of

Cooperative Societies, Pune on 7th July, 2017 sending inspection

report.

(xviii) The Commissioner of Cooperative Societies submitted

his opinion pursuant to letter dated 30th March, 2017, on 2nd

August, 2017.

wp-478-2020-2936-2022-35195-2022.doc

(xix) The Ministry of Cooperation and Industry, Government of

Maharashtra under Section 7 of MCS Act granted exemption on

8th December, 2017 for formation of new society to Respondent

No.4. It is pertinent to note that exemption was granted without

hearing / notice to the Petitioner society.

(xx) The first notice received from Respondent No.3 on 1st

February, 2018 mentioning about complaint filed for bifurcation.

(xxi) A reply was filed by the Petitioner on 9th February, 2018

in response to the said notice.

(xxii) A draft order was prepared by Respondent No.3 on 22nd

March, 2018 proposing bifurcation.

(xxiii) The Petitioner filed Appeal No.114 of 2018 challenging

the draft order before the Divisional Joint Registrar, Cooperative

Societies. The Appeal was disposed of on the ground that it was

merely a draft Order.

(xxiv) The Respondent No.3 passed an Order dated 3rd

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November, 2018 ("impugned order") for bifurcation of the

Petitioner - Society. The said Order was passed under Section

18(1) read with Section 17 of the MCS Act for bifurcation of

Petitioner - Society. It is the contention of the Petitioner that the

said Order was passed contrary to these provisions. It is pertinent

to note that the Petitioner has filed an Appeal under Section 152

of the MCS Act which is pending adjudication. The Petitioner's

contention is that the exemption Order dated 8th December, 2017

is the basis of the said impugned Order dated 3rd November,

2018.

(xxv) Writ Petition No.478 of 2020 filed by the Petitioner -

Society impugning the Order dated 3rd November, 2018 granting

bifurcation of the Petitioner - Society.

(xxvi) Jay Anand Bungalow CHS made an application No.261

of 2019 before the Respondent No.3 under the provisions of

Section 11(3) of the Maharashtra Ownership Flats Act, 1963

("MOFA") for issuance of certificate of Unilateral Deemed

Conveyance in respect of part of the property belonging to the

Petitioner Society.

wp-478-2020-2936-2022-35195-2022.doc

(xvii) Order granting certificate of Unilateral Deemed

Conveyance was passed by Respondent No.3 on 5th November,

2020.

(xxviii) Writ Petition No.2936 of 2022 filed by the Petitioner -

Society challenging the Order of Deemed Conveyance dated 5th

November, 2020.

(xxix) This Court in Interim Application No.1953 of 2021 in

Writ Petition No.2936 of 2022 vide Order dated 28th September,

2021 directed the parties to maintain status quo in respect of area

covered under the Deemed Conveyance executed pursuant to

order dated 5th November, 2020 for land admeasuring 330.30 sq.

mtrs.

(xxx) The Development Agreement was executed between the

Petitioner Society and Respondent No.9 (in Contempt Petition (L)

No.35195 of 2022) on 29th September, 2022. Under the

Development Agreement there were two scenarios provided for in

Clause 6(a) viz. Scenario (i) & (ii). As on date, Scenario II is

applicable and the entitlement of the Developer is only restricted

wp-478-2020-2936-2022-35195-2022.doc

to the extent of 979.50 Sq. mtrs. pursuant to Order dated 28th

September, 2021 passed by this Court.

(xxxi) Contempt Notice was issued by Jay Anand Bunglow CHS

Ltd. alleging violation of the said Order dated 28th September,

2021 to Respondent Nos.1 to 18 (in Contempt Petition (L)

No.35195 of 2022). Thereafter, Contempt Petition (L) No.35195

of 2022 was filed by the Jay Anand Bungalow CHS.

SUBMISSIONS IN WRIT PETITION NO.478 OF 2020

4. Mr. Pravin Samdhani, the learned Senior Counsel

appearing for the Petitioner has submitted that Ministry of

Cooperation and Industry, Government of Maharashtra has

erroneously granted exemption for formation of new society to Jay

Anand Bungalow CHS (then Proposed) under Section 7 of the MCS

Act. He has submitted that Sections 6 and 7 of the MCS Act fall under

Chapter II which covers registration of a society. It would have no

application in cases where the society is already registered. He has

submitted that legislature has made an independent provision under

Section 157 for exemptions in respect of an existing society.

wp-478-2020-2936-2022-35195-2022.doc

5. Mr. Samdhani has submitted that Section 157 of the

MCS Act is in contrast applied to an existing society in the interest of

members of 'such society'. A different mechanism with respect to

existing society is contemplated for hearing of the existing society.

6. Mr. Samdhani has submitted that Section 18 of the MCS

Act read in the context of and in conjunction with Section 17 of the

MCS Act leaves no manner of doubt that a bifurcation can only be a

general body resolution of 3/4th of the members, unless, in

exceptional cases it is in 'public interest' or 'in the interest of

members' (plural / majority) and not miniscule minority. He has in

this context placed reliance upon the judgment of the Supreme Court

in Janata Dal v. H.S. Chowdhary & Ors.1 at paragraphs 51 to 53.

7. Mr. Samdhani has submitted that the present case does

not fall within the defined criteria of 'public interest' or in the

'interest of members' as it is not in larger interest of members apart

from majority of the society having opposed bifurcation. He has in

this context placed reliance upon judgment of this Court in Bombay

Catholic CHS Ltd. v. V.B. Mathankar & Ors2.

1 (1992) 4 SCC 305.

2 2000 (3) Mh.L.J. 273.

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8. Mr. Samdhani has submitted that the Petitioner was not

heard prior to passing of the impugned order of bifurcation. This has

been admitted by Respondent Nos.4 to 6. There was no personal

hearing which was granted to the Petitioner as according to

Respondent Nos.4 - 6, the impugned Order passed is "Ministerial

Function".

9. Mr. Samdhani has submitted that Section 157 of the

MCS Act provides "...provided that, no order to the prejudice of any

society shall be passed, without an opportunity being given to such

society to represent its case ." He has in this context placed reliance

upon the judgment of the Supreme Court State Bank of India & Ors.

v. Rajesh Agarwal & Ors3. at paragraphs 87, 93 and 95.

10. Mr. Samdhani has submitted that in the alternative to the

above submission, in any event, the Notification of 10th March, 1995

for exemption from minimum 10 members for registration of a

cooperative housing society has not been complied with by Jay

Anand Bungalow CHS (then proposed) and therefore, the Order of

bifurcation which is based on exemption is bad in law. He has

3 (2023) 6 SCC 1.

wp-478-2020-2936-2022-35195-2022.doc

submitted that the said Notification provides for grant of exemption

on 2 conditions (i) Plinth area of each flat should not be more than

700 Sq. ft.; (ii) no balance FSI should be available for utilization at

the time of formation of society. He has submitted that the impugned

Order / the purported NoC as such is liable to be set aside as the

sanctioned plan of 5th November, 1988 shows the bungalow

structure in existence comprising of single tenement on ground floor,

one tenement on first floor, both more than 900 sq. ft. in carpet area.

Further, the sanctioned plan dated 5th November, 1988 records FSI

available is 14,016.3 sq. ft. which after construction of wing B, 12.10

sq. ft. of FSI was still available. He has submitted that by change in

FSI rule on the date of the application for exemption, concept of TDR

was introduced where 1 TDR could be loaded on the said land and

Government of Maharashtra issued a notification dated 6th January,

2012 introducing the concept of fungible FSI by which additional FSI

of 25% to 35% can be allowed.

11. Mr. Samdhani has submitted that the NoC for bifurcation

of unit at first floor of the bungalow was granted by Respondent No.4

as the Secretary of the Petitioner.

wp-478-2020-2936-2022-35195-2022.doc

12. Mr. Samdhani has submitted that the explanation to

Section 6 of the MCS Act has not been taken into consideration in

passing of the impugned Order. The explanation reads as,

"Explanation - For the purposes of this section and Section 8, the

expression "member of a family" means a wife, husband, father,

mother, son or unmarried daughter". He has submitted that the

bungalow has only two families i.e. Patel family and Joshi family. 2

names are added viz. i) Snehal Joshi (son of Dwarkadish Joshi) & ii)

Jignesh Patel (son of Nanjibhai Patel) to mislead the Authority. Patel

also uses "Siddhpara" as their surname. The report of the

Commissioner of Cooperative Societies incorrectly records that there

are 3 members.

13. Mr. Samdhani has submitted that even otherwise, the

report of Commissioner of Cooperative Societies opines that in light

of only 3 members, incorporation of a proposed society is not proper.

This report has been ignored and no reasons in that regard are

recorded in the impugned Order.

14. Mr. Samdhani has submitted that the reliance by

Respondent Nos.4 - 6 on an Appeal preferred under Section 152 of

wp-478-2020-2936-2022-35195-2022.doc

MCS Act and that the Petitioner cannot avail of concurrent remedies

is misplaced. He has submitted that Writ Petition has been correctly

filed as there is no appeal against the Order passed under Section 7

provided for in Section 152 of the MCS Act. He has submitted that

since the Order under Section 7 is the basis of the bifurcation Order

under Section 18 in the present Writ Petition, both orders are

challenged. He has accordingly submitted that the Writ Petition is

maintainable. He has submitted that it is settled law that right of

appeal is statutory and in the absence of statute permitting appeal

the only remedy is Writ Petition.

15. Mr. Samdhani has submitted that in the alternative,

existence of an alternative statutory remedy does not operate as an

absolute bar where the impugned order is ex-facie without

jurisdiction, arbitrary or passed in breach of principles of natural

justice. He has in this context placed reliance upon judgment of the

Supreme Court in Harbanslal Sahnia v. Indian Oil Corporation Ltd 4,

Paragraph 7.

16. Mr. Samdhani has submitted that in the present case, the

4 (2003) 2 SCC 107.

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procedure as prescribed under Section 18 when read with Section 17

and Rule 17 of the MCS Act and Rules, is not followed. There was no

draft scheme which was prepared, when only thereafter the

Federation has to be consulted. The draft order is prepared on 22nd

March, 2018 even prior to the Consultation of Federation, when the

response of the federation is on 6th September, 2018. He has

submitted that basic necessity to prescribe the division of assets and

liabilities is not even considered by Respondent No.3 in this

impugned Order. Thus, it cannot be said that the Court lacks

authority to entertain the Writ Petition against impugned Orders

dated 8th December, 2017 and 3rd November, 2018.

17. Mr. Samdhani has submitted that the impugned Order of

bifurcation dated 3rd November, 2018 is in violation of the procedure

prescribed above and in any event, is also vitiated as it is not in

consonance with the substantive purpose and object of the Section 18

of the MCS Act. The impugned Order is unreasoned and also fails to

even fulfil the basic ingredients for an order under Section 18 of the

MCS Act.

18. Mr. Samdhani has submitted that the Order of exemption

wp-478-2020-2936-2022-35195-2022.doc

is in any event also vitiated by gathering the alleged reports /

affidavits ex-parte without any opportunity to the Petitioner Society.

He has submitted that the order of exemption is also unreasoned and

is against the opinion of the Commissioner, without even indicating

as to why the Commissioner's report is not acceptable. He has in this

context placed reliance upon the judgment of this Court in

Cosmopolitan III CHS Ltd. v. Hon'ble Minister, Cooperation. 5,

paragraphs 16, 18 to 28.

19. Mr. Samdhani has submitted that the opinion of the

Federation is based on the exemption Order under Section 7. He has

submitted that process required to be followed under Rule 17 is

completely violated in the present case. He has placed reliance upon

the judgment of the Supreme Court in Hemant Vimalnath Narichania

v. Anand Darshan CHS Ltd.6, at paragraphs 16 and 17.

20. Mr. Samdhani has submitted that Section 7 of the MCS

Act is for registration of a new society and any exemption required

for the existing society, for example bifurcation, is Section 157, which

rightly makes a provision for hearing. Thus, Sections 7 and 157 5 2025 SCC OnLine Bom 1829.

6 (2016) 6 SCC 142:2016 SCC OnLine SC 182.

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operates in different fields.

21. Mr. Samdhani has submitted that the contention of the

Respondent Nos.4, 5 and 6 is that the judicial review of

administrative action is intended to prevent arbitrariness,

irrationality, unreasonableness, bias and malafides. Further, that its

purpose is to check whether the choice or decision is made 'lawfully'

and not to check whether the choice or decision is sound.

22. Mr. Samdhani has submitted that this contention on

behalf of these Respondents and their reliance placed on Tata

Cellular v. Union of India 7., paragraphs 77 to 93 in the present case is

misplaced. He has submitted that judicial review of an administrative

decision can be reviewed and interfered with in Writ Jurisdiction

where the process is fundamentally defective or violation of

mandatory procedure as well as there is non application of mind to

expert / technical advice and reasons are absent or perverse. He has

submitted that in the instant case every step smacks of impropriety.

The impugned decision is completely arbitrary and patently illegal.

He has placed reliance upon the judgment of the Supreme Court in

7 (1994) 6 SCC 651 @ 677.

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Epuru Sudhakar and Anr. v. Govt of A.P. & Ors8, at paragraph 34.

23. Dr. Virag Tulzapurkar, the learned Senior Counsel

appearing for the Respondent Nos.4 to 6 has raised the preliminary

issue of maintainability of Petition on the ground that the Petitioner

has filed an Appeal against both the impugned Orders under Section

152 of the MCS Act. He has submitted that the Petitioner cannot avail

concurrent remedies in different forum. This is a case of forum

shopping and they have approached this Court having failed to get

any stay on the impugned Orders challenged before the appellate

authority. He has submitted that the Petition is liable to be rejected

on this ground in limine.

24. Dr. Tulzapurkar has submitted that the challenge to the

Order dated 8th December, 2017 passed by the Respondent No.1

(referred to as the exemption order) is not sustainable on facts or in

law. The exemption Order was passed in the proceedings for

registration of a society on an application made by these Respondents

who are occupying flats in a separate structure viz. the bungalow

which is different from the building in which other members are

8 (2006) 8 SCC 161.

wp-478-2020-2936-2022-35195-2022.doc

occupying. He has submitted that the Petitioner was not party to the

application. In processing the said application, the Registrar noticed

that the proposed society could not be registered as the society

consisted of less than 10 members. Therefore, the Registrar wrote a

letter dated 9th March, 2017 to Respondent No.1 setting out facts on

the basis of which application is made for registration of a society of

Respondent No.4 and others and pointing out that exemption was

required to be granted for registration of a society of less than 10

members. He has submitted that the Deputy Registrar had carried out

inquiry as to whether the Applicants of the proposed society are

members of one family and thereafter submitted a report. It was

upon receipt of the report and information supplied that the

Commissioner had concluded that there are 3 members and

therefore, it will not be proper to form a society of 3 members. The

Respondent Nos.4 to 6 have also submitted a report dated 14th

October, 2017 of the concerned authorities.

25. Dr. Tulzapurkar has submitted that after considering the

entire matter, the facts verified by visits and the documents on

record, Respondent No.1 passed the order dated 8th December, 2017

granting exemption. He has submitted that proper procedure was

wp-478-2020-2936-2022-35195-2022.doc

followed, relevant material was taken into consideration and for

valid reasons, the exemption order was passed. He has submitted

that in view thereof, the said exemption order is not liable to be

reviewed by this Court. He has submitted that judicial review is

limited only for finding out whether the process adopted or the

decision made is malafide or arbitrary or irrational or no responsible

authority acting reasonably and in accordance with the relevant law

could have reached. He has submitted that the exemption order is

valid and ought to be sustained in the facts of the case.

26. Dr. Tulzapurkar has submitted that it is contended by the

Petitioner that before passing the exemption order no hearing was

given to the Petitioner. He has submitted that the provisions of

Section 7 of the MCS Act do not provide for any hearing being given.

This is a matter between the Applicant, the Registrar and the

Government. The Petitioner is not concerned with the said

application. As against this, the provisions of Sections 17 and 18

require a hearing to be given before a bifurcation order is passed. He

has submitted that bifurcation Order affects the society which is

bifurcated and therefore there is an express provision for giving

notice of hearing. Thus, the legislature whenever it wanted to

wp-478-2020-2936-2022-35195-2022.doc

provide specific notice of hearing to be given, a specific provision to

that effect is made.

27. Dr. Tulzapurkar has submitted that the provisions of

Sections 157 are not applicable and it is a general provision. He has

submitted that this case is specifically covered by Section 7 which

provides for exemption from the requirements of Section 6 whenever

a society is to be registered. He has submitted that the special

provision overrides the general provision. He has placed reliance

upon the judgment of the Supreme Court in Maharashtra State Board

of Secondary and Higher Secondary Education v. Paritosh

Bhupeshkumar Sheth9, paragraph 20. It has been held that it is a well

established doctrine of interpretation that the provisions contained in

a statutory enactment or in the rules / regulations framed thereunder

have to be so construed as to be in harmony with each other and that

where under a specific section or rule a particular subject has

received special treatment, such special provision will exclude the

applicability of any general provision which might otherwise cover

the topic. He has also placed reliance upon the judgment of the

Supreme Court in Managing Director, Chhatisgarh State Co Op. Bank

9 (1984) 4 SCC 27 @ 47.

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Maryadit v. Zila Sahakari Kendrya Bank Maryadit10, at paragraphs 33

to 35 in this context.

28. Dr. Tulzapurkar has submitted that there is no illegality

in the Order. Respondent No.1 has understood correctly the law that

regulates its decision making power and has given effect to it. There

is no irrationality and there is no procedural impropriety.

29. Dr. Tulzapurkar has submitted that judicial review of

administrative action is intended to prevent arbitrariness,

irrationality, unreasonableness, bias and mala fide. He has in this

context placed reliance upon the judgment of the Supreme Court in

Jagdish Mandal v. State of Orissa11, paragraph 22.

30. Dr. Tulzapurkar has submitted that the exemption order

cannot be faulted. He has submitted that the contention of the

Petitioner that no hearing was given to the Petitioner is also not

sustainable. He has submitted that neither the act or the rules

provide for giving hearing. He has submitted that Section 7 is the

provision specifically dealing with exemption against the provisions 10 (2020) 6 SCC 411 @ Pgs. 42.

11 (2007) 14 SCC 517 @ 531.

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contained in Section 6 which provides for conditions requiring 10

members to be there for registration of a society. He has submitted

that the contention that hearing was not given before passing the

exemption order is totally baseless.

31. Dr. Tulzapurkar has submitted that the Petitioner is not

an aggrieved person at all in the present case regarding exemption

under Section 7. He has submitted that the Petitioner has no locus to

challenge the exemption order as it does not pertain to the Petitioner

nor does it affect the Petitioner. It was a matter between the person

who applied for registration of a society and the Government and

therefore, the Petition is liable to be rejected in limine.

32. Dr. Tulzapurkar has submitted that the contention of the

Petitioner that the provisions of Section 157 are applicable is also not

correct. The exemption Order is not passed under Section 157 of the

MCS Act but under Section 7 of the MCS Act. The provision

contained in Section 157 are for general application to societies.

Whereas the provisions contained in Section 7 are specific and / or

special provision relating to exemption from conditions of

registration mentioned in Section 6 of the MCS Act. When there is a

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specific provision dealing with a specific situation the general

provisions do not apply.

33. Dr. Tulzapurkar has submitted that there is no merit in

the challenge to the Order of bifurcation under Section 18 of the

MCS Act. He has submitted that there was factually a need for

bifurcation of the societies and he has placed reliance upon the

application for bifurcation which has been preferred by Respondent

Nos.4 to 6. He has submitted that it is a factual position that the

bungalow existed prior to the construction of the building. When the

newly constructed building came into being it was decided to form

one society and only for the sake of convenience, the occupants of

the bungalow decided to joint in the society to basically avail of the

benefit of togetherness. Unfortunately, the members of the bungalow

never got any benefits of the society as received by the members

staying in the building. He has submitted that accordingly request

was addressed by Respondent Nos.4 to 6 calling for general body

meeting of the Petitioner - Society for their consent for bifurcation of

the two societies. It is thereafter that the application was made for

bifurcation under Section 18 on 27th December, 2016. The Petitioner

had by its letter dated 6th February, 2018 raised false contentions.

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34. Dr. Tulzapurkar has submitted that the impugned Order

of bifurcation notes that the bungalow and the building have

separate and independent water supply and also separate electric

supply and independent entrances. For the purpose of members, it

recorded that to avoid irregular activities in the management and to

prevent and protect the property and considering the interest of the

members, bifurcation was required. This will also avoid frictions

among the members and the supply of amenities, repairs will be

carried out without complaints.

35. Dr. Tulzapurkar has submitted that the impugned Order

of bifurcation is a well reasoned order recording all material facts.

There is no irregularity in procedure as proper hearing has been

given. He has submitted that there is neither illegality nor there is

any irrationality or procedural impropriety. He has submitted that the

impugned order is well reasoned and there is no reason to interfere

with the same. He has accordingly submitted that the Petition is

liable to be dismissed with costs.

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SUBMISSIONS IN WRIT PETITION NO.2936 OF 2022

36. Mr. Mayur Khandeparkar, the learned Counsel appearing

for the Petitioner has submitted that under the provisions of Section

11 of MOFA read with Rules 8 and 9 of MOFA Rules, the Society

could seek directions against the promoter to convey the title of the

property for which the flat purchasers had constituted the society as

per Section 10 of MOFA. He has submitted that in the present case

the Petitioner - Society was incorporated by the flat purchasers in

1988-89. The property was conveyed to the Petitioner society having

22 members under the provision of MOFA after notice to the

promoter and District Deputy Registrar. He has submitted that upon

granting an Order of Deemed Conveyance to the Petitioner society,

the competent authority seized to have any further powers and could

not entertain a second application for the same cause of action at the

instance of a party who was not a society incorporated within the

provisions of Section 10 of MOFA but was infact a representation

made by the two family members who had called for exemption

letter from the State.

37. Mr. Khandeparkar has relied upon the judgment of this

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Court in Vaidehi Akash Housing Pvt. Ltd. v. New D.N. Nagar Co-Op.

Housing Society Union Ltd. and Ors 12, Paragraphs 86-90 in support of

his submission that where a building is constructed by developers, it

cannot be said that such a building was caused to be constructed by

the Society within the meaning of Section 2(c) of the MOFA. Further,

there is no case to treat the society who is merely in the position of

an owner vis-a-vis the third party purchasers, as a 'promoter' within

the meaning of MOFA and foist the obligations of a promoter on the

society in relation to the purchasers.

38. Mr. Khandeparkar has also relied upon the judgment of

this Court in Goregaon Pearl CHS Ltd. v. Dr. Seema Mahadev

Paryekar & Ors13, paragraphs 7 to 9 which has followed the judgment

of this Court in Vaidehi Akash (Supra) and held that the Society is

not to be treated as 'promoter' under RERA as the definition of

'promoter' under RERA is on similar lines as MOFA. In that case it

was held that it is nobody's case that the Appellant society is such

specified promoter in the online registrations. Besides, grievance, if

any, in this behalf must be addressed to the regulatory authority

thereunder and not to a civil court.

12 2014 SCC OnLine Bom 5068.

13 2019 SCC OnLine Bom 3274.

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39. Mr. Khandeparkar has also relied upon the order of the

Division Bench of this Court in Deepak Prabhakar Thakoor v. MHADA

& Ors14. It has been held that third party purchasers would have no

privity of contract with the Society and the Society would in no way

be responsible for any claim made by such purchasers against the

society under their respective agreements for sale.

40. Mr. Khandeparkar has submitted that the bifurcation of

Jay Anand CHS into Jay Anand Bungalow CHS was not done in

accordance with Section 17 and Section 18 of MCS Act, 1960. He has

submitted that assets were not divided as mandated, rendering

subsequent transactions and orders defective.

41. Mr. Khandeparkar has submitted that Deemed

Conveyance once granted by Respondent No.2 against the promoter

could not be reopened on the alleged ground of bifurcation of society

in respect of the very same property which was incorporated under

the PR Card. The proceedings before Respondent No.2 are not

maintainable. Respondent No.2 lacks the authority to exercise any

jurisdiction on any application by any applicant once the Order dated

14 Writ Petition (L) No.1776 of 2023 dated 12th October, 2023.

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27th May, 2016 was passed granting the Deemed Conveyance for the

very same plot (part of the entire plot) to the Petitioner Society.

42. Mr. Khandeparkar has submitted that Section 11 of the

MOFA cannot be used to cure defects in the Order dated 3rd

November, 2018, which failed to comply by the statutory requirement

of division of assets when read with Sections 17 and 18 of the MCS

Act.

43. Mr. Khandeparkar has submitted that subject property on

which Jay Anand Bungalow and building CHSL was constructed and

sold by the promoter, already stood transferred in favour of the

Petitioner society by virtue of the conveyance duly registered. The

Application by Respondent No.3 in the above Writ Petition for

Deemed Conveyance in 2019 is void ab initio. He has submitted that

the provision of Deemed Conveyance is unknown under the Transfer

of Property Act and it is only provided for under MOFA as amended.

He has submitted that the Authority did not have the requisite right

to entertain a second application once a certificate was issued for

unilateral deemed conveyance in favour of Petitioner Society which

was executed, registered and title was transferred in favour of the

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Petitioner Society incorporated by the purchasers who have become

owners and not promoters. He has submitted that the provisions

under Section 11(3) of MOFA would thus not apply.

44. Mr. Khandeparkar has submitted that A and B wings of

the building and bungalow, were interconnected with one another.

He has submitted that it appears that the certificate of architect

issued to Jay Anand Bungalow CHS was fabricated and manipulated.

He has submitted that it is not possible or practical to divide the

property. This despite the fact that Jay Anand Bungalow CHS did not

have minimum requirement of Society members to become a society.

45. Mr. Khandeparkar has submitted that the Deputy

Registrar passed the impugned Order overlooking the order of this

Court in Writ Petition No.478 of 2020.

46. Dr. Tulzapurkar, the learned Senior Counsel appearing

for the Respondent No.3 has submitted that the challenge of the

Petitioner to the impugned Deemed Conveyance order dated 5th

November, 2020 under MOFA on the ground that there was already a

Deemed Conveyance in favour of the Petitioner society vide an Order

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passed on 30th March, 2017 and therefore there cannot be a further

order requires to be rejected. He has submitted that the earlier Order

of Deemed Conveyance was passed in respect of the entire property

consisting of plots 88 and 89. The Deemed Conveyance Order dated

5th November, 2020 pertains to plot 88 on which there is a

bungalow. He has submitted that the occupants of the bungalow and

members of the Jay Anand Bungalow CHS are entitled to get

conveyance after bifurcation of the society. The bifurcation having

been done, the members of the new society are entitled to apply for

conveyance.

47. Dr. Tulzapurkar has submitted that the contention of the

Petitioner that the said Application for Deemed Conveyance was not

maintainable as the Petitioner society who had already got the larger

property consisting of plot Nos.88 and 89 conveyed by way of

Deemed Conveyance, are not promoters is unsustainable. He has

submitted that the Petitioner is an assignee from the promoter who

was also a party to the said application. Under the definition of

'Promoter' under MOFA, an assignee of the promoter is liable under

Section 11 to convey the property. He has submitted that any other

interpretation results in enabling a dishonest promoter to alienate the

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property to a third party. He has submitted that the definition of

promoter includes an assignee.

48. Dr. Tulzapurkar has placed reliance upon the judgment

in Arunkumar H. Shah, HUF v. Avon Arcade Premises Co Operative

Society Ltd15, in support of his submission that the competent

authority exercises summary power and the parties are at liberty if

aggrieved by the order to file a civil Suit on the basis of title. He has

submitted that the Order of Deemed Conveyance is perfectly valid

and the Petition is liable to be dismissed with compensatory costs.

SUBMISSION IN CONTEMPT PETITION (L) NO.35195 OF 2022

49. Dr. Tulzapurkar, the learned Senior Counsel appearing

for the Petitioner in the above Contempt Petition has submitted that

the Respondents have violated Order dated 28th September, 2001

passed in Interim Application No.1953 of 2021 in Writ Petition

No.2936 of 2022. He has submitted that by the said Order both the

parties i.e. Petitioner and Respondents were ordered to maintain

status quo with regard to the land covered by the Deemed

15 (2025) 7 SCC 249.

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Conveyance executed pursuant to Order dated 5th November, 2020.

50. Dr. Tulzapurkar has submitted that the Respondents have

committed breach of the said order by creating rights in respect of

property covered by the Deemed Conveyance pursuant to the order

dated 5th November, 2020. The rights are created by entering into a

Development Agreement by Respondent Nos. 1 to 8 in favour of

Respondent No. 9 dated 29th September, 2022.

51. Dr. Tulzapurkar has submitted that the Development

Agreement includes the bungalow property covered by the Deemed

Conveyance order which admeasures 330.30 sq. mtrs. (referred to as

the Petitioner's property). He has submitted that the entire property

has been described in the said Development Agreement to consist of

the area of 1309.80 sq. mtrs. The combined property viz. the

adjoining plots of the two cooperative societies are referred to in the

said agreement as the said property. He has submitted that by the

reason of the provisions of the Development Agreement, it is clear

that the Respondents have altered the Petitioner's property which

forms part of the said property and have thus violated the order. He

has placed reliance upon the provisions of the Development

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Agreement.

52. Dr. Tulzapurkar has submitted that the Respondent Nos.1

to 8 have created rights in favour of Respondent No.9 in respect of

the Petitioner's property. He has referred to the two Scenarios

described in the Development Agreement. Scenario (1) refers to the

area 1309.80 sq. mtrs i.e. the said property and Scenario (2)

describes the area admeasuring 979.50 sq. mtrs. i.e. the property of

the building and excludes the Petitioner's property. He has submitted

that except for describing the property covered in Scenario 1 and 2,

there is no other provision in the agreement that the agreement does

not cover the Petitioner's property. He has submitted that the

description in Scenario 1 and 2 is only to create a cloud or a ruse to

get out of the order of status quo.

53. Dr. Tulzapurkar has submitted that the entire agreement

read as a whole clearly shows that Respondent No.9 by virtue of the

said agreement has become entitled to develop the said property

which includes the Petitioner's property, demolish the structure on

the Petitioner's property, use FSI and all benefits arising from the

Petitioner's property and also mortgage the Petitioner's property.

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Respondent No.1 has further agreed to execute conveyance and

documents for transfer of "the said property" which includes the

Petitioner's property. He has submitted that the said Development

Agreement contains an obligation on the part of the members and

society to handover vacant and peaceful possession of the said

property within 30 days of obtaining IOD by Respondent No.9 to

enable Respondent No.9 to demolish the structures on the said

property for redevelopment. Respondent No.9 becomes entitled to

load TDR FSI on the said property. Respondent No.9 are entitled to

submit plans for development of the said property.

54. Dr. Tulzapurkar has accordingly submitted that there is a

clear violation of the said Order dated 28th September, 2021.

55. Dr. Tulzapurkar has submitted that the redevelopment

plan claims incentives as per Table 12 of Regulation 33(7) (B) of the

DCPR, which provides a 50% FSI on rehabilitation component

amounting to 10 sq. mtrs. equal to 107.64 sq. ft. per consenting

member. The Respondent No.9 has based the calculation on 110

members, yielding 1100 Sq. mtrs. of incentive FSI. This includes four

members of the Petitioner. As per the Conveyance Deed of

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Respondent No.1, the total membership comprises 22 members, 18

from Respondent No.1 society and 4 from the Petitioner society.

There are two other societies. He has submitted that inclusion of

additional 10 sq. mtrs. pertaining the Petitioner's property results in

entitlement to a portion of incentive FSI which pertains to the

Petitioner's property. Thus, this clearly shows that the Respondents

have violated the status quo order. Once this FSI pertaining to the

Petitioner's property is dealt with by Respondent No.9, it will cause a

perpetual loss to the Petitioner's Society.

56. Dr. Tulzapurkar has submitted that it is crystal clear that

rights are created after the said order and particularly the premium

has been paid by Respondent No.9 to MCGM on the basis of the

entire property, resulting in the forfeiture of the right to load TDR on

the Petitioner's property in future.

57. Dr. Tulzapurkar has submitted that unless the

Respondents purge themselves of the contempt, they are not entitled

to proceed with the main Petition. He has submitted that as a general

rule, the Respondents are required to clear their contempt before

they can be heard. This is not a case falling in any exceptions to the

wp-478-2020-2936-2022-35195-2022.doc

said rule because the order of which violation has taken place is not

sought to be challenged by the Respondents or the Respondents are

not merely defending any proceedings but are seeking assistance

from the court on their own. He has in this context placed reliance on

the judgments of this Court in Extrusion Processes Pvt. Ltd. v.

Goregaon Electrical Industries Pvt. Ltd16, at paragraphs 455, 456, 457

& 458 and Nenshi Monji (Bombay) v. State of Maharashtra 17, at

paragraphs 402, 403 and 404.

58. Dr. Tulzapurkar has submitted that the Respondents are

guilty of violating the Order dated 28th September, 2021 by

breaching the order of status quo and creating rights in favour of

Respondent No.9 who was aware of the said Order. Respondent No.1

is not entitled to proceed with Writ Petition No.478 of 2020 without

purging the contempt and all the Respondents are liable to be dealt

with in accordance with law for the violation of the said Order.

59. Mr. Mayur Khandeparkar has relied upon 'Proforma I" of

the sanctioned plan which is annexed to the Affidavit in Reply of

Respondent No.18. He has submitted that from Proforma I it is clear 16 (LXVII) Bom. L.R. Page 453.

17 2015 (5) Mh.L.J. 397.

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that there is a deduction of 330.30 Sq. mtrs. from the total plot area

prior to calculation of FSI. He has submitted that there is no

utilization of any FSI, TDR, incentive FSI or fungible FSI or any form

of FSI on the area admeasuring 330.30 Sq. mtrs. Thus, there is

compliance with the said Order dated 28th September, 2021 in

maintaining status quo. He has submitted that there is non utilization

of FSI of the status quo area as per Order dated 23rd September,

2021 covered under Conveyance Order dated 5th November, 2020.

60. Mr. Khandeparkar has submitted that scenario 1 and

Scenario 2 are not a cloud. In fact the Index II (Compilation page 1)

categorically records the ambit as of date to the extent of 979.50 sq.

mtrs. is contemplated.

61. Mr. Khandeparkar has submitted that amalgamation of

the plot can never be termed as violation or breaches as what is

granted under Deemed Conveyance Order dated 5th November, 2020

is the undivided portion and in no manner can the amalgamation of

larger plot be termed as breach.

62. Mr. Khandeparkar has accordingly submitted that the

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Contempt Petition be dismissed with costs.

FINDINGS

63. Having considered the submissions in the above two Writ

Petitions and Contempt Petition, since a preliminary objection has

been raised by Dr. Tulzapurkar to the hearing of the Writ Petition

No.478 of 2020 on the ground that the Petitioner is alleged to be

guilty of violating the order dated 28th September, 2021 i.e. by

breaching the order of status quo and creating rights in favour of

Respondent No.9 by entering into Development Agreement which

covers the property of the Jay Anand Bungalow CHS, it would be

pertinent to first deal with this preliminary objection.

64. I have perused the Recitals as well as the relevant

Clauses of the Development Agreement. Recital (O) specifically

discloses the status quo order dated 28th September, 2021 and

Clause (6) (a) though referring to the entire property admeasuring

1309.80 Sq. ft. mentions Scenarios (1) and (2) i.e. in Clause 6(b)

and 6(c) respectively. It is provided in Clause 6(c) that Scenario 2 is

applicable in view of the status quo order and the entitlement of the

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developer is only restricted to the extent of 979.50 Sq. mtrs. This can

be read with the clause 6(d) which defines the said property ("entire

property") and provides that currently Scenario 2 shall be applicable

where the development rights of the Developer are restricted to the

extent of 979.50 sq. mtrs. (excluding the portion of 330.30 sq. mtrs.

pursuant to Order dated 28th September, 2021). Further clause 6(h)

defines the total Constructible Area, where Scenario 2 of the said

property is applicable and FSI available on 979.50 Sq. mtrs. is

claimed. Clause 6(m) defines total saleable area which shall be

constructed on utilization of FSI that is available on 979.50 Sq. mtrs.

only. Further, Clause 32 grants development rights in respect of the

said property which allows the developer to only utilize FSI available

on 979.50 Sq. mtrs. Schedule II of Development Agreement

specifically talks about Scenario 2 where the Development rights are

also restricted to the extent of 979.50 Sq. mtrs. Further, Proforma I of

the sanctioned plan shows deduction of 330.30 sq. mtrs. from the

total plot area prior to calculation of FSI. Thus, by entering into the

Development Agreement the Petitioner cannot be said to have

violated the status quo Order dated 28th September, 2021.

65. Having arrived at a finding that there is no violation of

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the status quo Order dated 28th September, 2021. I then proceed to

consider the challenge to the exemption order and bifurcation order

in Writ Petition No.478 of 2020 as well as the challenge to the Order

of Deemed Conveyance in favour of Jay Anand Bungalow CHS in

Writ Petition No.2936 of 2022.

66. The Ministry of Cooperation and Industry, Government

of Maharashtra had granted exemption for formation of new society

to Respondent No.4 under Section 7 of the MCS Act vide exemption

Order dated 8th December, 2017. However, from the plain language

of this section, it provides for registration of a new society. In the

present case, the Petitioner Society had already been granted a

Deemed Conveyance on 27th May, 2016. Thus, the Petitioner Society

was already an existing society to whom the Deemed Conveyance

had been granted. The exemption order is the pre-requisite for

granting the bifurcation order and unless the exemption to form the

society had been granted, there could have been no bifurcation of the

Petitioner Society. I find much merit in the submission of Mr.

Samdhani on behalf of the Petitioner that Section 157 of the MCS Act

is applied on an existing society in the interest of members of 'such

society'. Whereas Sections 6 and 7 of the MCS Act fall under Chapter

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II which governs registration of a society and hence would have no

application in cases where the society is already registered, as in the

present case.

67. Thus, in my considered view the exemption could, if at

all, have been granted under Section 157 of the MCS Act which is a

specific provision for an existing society. Under the said Section, the

Petitioner was required to be heard prior to the passing of the

impugned Order of exemption. The Respondent Nos.4 to 6 have

admitted that the impugned Order was passed without granting

personal hearing to the Petitioner on the ground as stated by them,

namely that the order passed is "Ministerial Function". This in my

view is stated to be rejected. The exemption Order having formed the

basis of the bifurcation order, the Petitioner was necessarily required

to be heard. Section 157 of the MCS Act provides, "...provided that,

no order to the prejudice of any society shall be passed, without an

opportunity being given to such society to represent its case." The

principles of Audi alteram partem are necessarily required to be

followed as has been held by the Supreme Court in State Bank of

India & Ors. v. Rajesh Agarwal & Ors. (Supra).

wp-478-2020-2936-2022-35195-2022.doc

68. Accordingly, the exemption order having been passed

without granting an opportunity of hearing to the Petitioner, is in

violation of the principles of natural justice and hence on this ground

alone requires to be set aside.

69. On merits of the exemption order, also, the Notification

dated 10th March, 1995 for exemption from minimum 10 members

for registration of a cooperative housing society has not been

complied with. The two conditions viz. (i) Plinth area of each flat

should not be more than 700 Sq. ft., (ii) no balance FSI should be

available for utilization at the time of formation of society have also

not been met. This in view of bungalow structure in existence

comprising of single tenement on ground floor, one tenement on first

floor, both more than 900 sq. ft. in carpet area. Further, there being

12.10 sq. ft. of FSI still available for utilization at the time of

formation of the society. For this reason too the impugned Order of

exemption is liable to be set aside.

70. Further, explanation to Section 6 of the MCS Act was

required to be taken into consideration and which provided that

"member of a family means a wife, husband, father, mother, son or

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unmarried daughter". The bungalow has only two families i.e. Patel

family and Joshi family. The Report of Commissioner of Cooperative

Society had incorrectly recorded there were three members. Even

otherwise, the said Report opines that in light of only 3 members

incorporation of the proposed society was not proper. This Report has

been ignored and no reasons for departure are recorded in the

impugned Order. The impugned Order of exemption is thus in

violation of Section 6 of the MCS Act.

71. In view of the exemption order being contrary to law the

bifurcation of the Petitioner society could never have been granted. It

is provided in Section 18 of the MCS Act read with Section 17 of the

MCS Act that a bifurcation can only be a general body resolution of

3/4th of the members, unless, in exceptional cases it is in 'public

interest' or 'in the interest of members' (plural / majority) and not

miniscule minority. This has been held by the Supreme Court in

Janata Dal v. H.S. Chowdhary & Ors. (Supra). I find from the facts of

the present case that it does not fall within the defined criteria of

'public interest' or in the 'interest of members' as it is not in larger

interest of members apart from the majority of the members having

opposed bifurcation. Further, the judgment relied upon by the

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Petitioner viz. Bombay Catholic CHS Ltd. (Supra) is apposite.

72. I do not find any merit in the preliminary objection

raised by Dr. Tulzapurkar namely that the Petitioner has preferred an

Appeal under Section 152 of the MCS Act and thus cannot avail the

concurrent remedy. The impugned Order of exemption being under

Section 7 of the MCS Act, is not appellable and hence writ is

appropriate remedy. Further, as held above the impugned Order is ex-

facie without jurisdiction, arbitrary and / or passed in breach of

principles of natural justice and hence in any event writ is the only

appropriate remedy.

73. The impugned bifurcation order is not made in

accordance with the procedure prescribed under Section 18 read

with Section 17 of the MCS Act and Rule 17 of the MCS Rules,

particularly since there is absence of draft scheme prepared prior to

consultation with the Federation. The opinion of the federation is

based on the exemption order under Section 7 and as held, the

exemption order is required to be set aside.

74. Accordingly, the impugned exemption order dated 8th

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December, 2017 and impugned bifurcation Order dated 3rd

November, 2018 are quashed and set aside. Writ Petition No.478 of

2020 is made absolute in terms of prayer Clause (a).

75. In so far as the order of Deemed Conveyance dated 5th

November, 2020 passed by the Deputy Registrar, CS, Dadar, Mumbai

which has been impugned in Writ Petition No.2936 of 2022 is

concerned, I find much merit in the submissions of Mr. Mayur

Khandeparkar that Section 11 (3) of the MOFA cannot apply where

in the present case, the Petitioner Society has already been granted

Deemed Conveyance and by virtue of which the competent authority

seized to have any further powers and could not have entertained a

second application for Deemed Conveyance by a party who was not a

society incorporated under Section 10 of MOFA.

76. Having held that the exemption order as well as

bifurcation order are set aside, the resultant Deemed Conveyance

order itself is required to be set aside. Section 11 of MOFA cannot be

used to cure defects in the bifurcation order dated 3rd November,

2018 which has failed to comply with the statutory requirement of

division of assets.

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77. In view thereof, Writ Petition No.2936 of 2022 is also

made absolute in terms of prayer Clause (a).

78. The Contempt Petition and Writ Petitions are accordingly

disposed of.

79. Interim Application No.1953 of 2021 does not survive

and is also disposed of accordingly.

[ R.I. CHAGLA J. ]

 
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