Bombay High Court
H B P NARAYANGIRI MAHARAJ SHELI MENDHI PALAN SAH SANSTHA MARYADIT THR ITSversusTHE STATE OF MAHARASHTRA THR THE PRINCIPAL SECRETARY AND OTHERS
- Disposal
- DISPOSED OFF
Holding
The Court held that the writ petitions are maintainable, the minister’s revision orders are quashed for violating natural justice, and the interim stay is restored, allowing the societies to participate in the pending appeals.
Summary
Forty‑two cooperative societies registered under the Maharashtra Cooperative Societies Act, 1960, were ordered to be liquidated and wound up by the Assistant Registrar under Section 102(1) based on a 2022 circular and a ministerial direction, without any hearing. The societies filed writ petitions under Articles 226 and 227, challenging the liquidation, the minister’s revision that set aside a stay, and alleging violation of natural justice, lack of jurisdiction, and political motive. The State argued that the societies had a statutory remedy under Section 104 and that the Assistant Registrar was empowered to act. The Court held that the writ petitions were maintainable despite pending appeals, that the minister’s revision order was invalid for being passed without hearing, and that the interim stay granted by the Joint Registrar should be restored. Consequently, the Court partially allowed the writs, quashed the minister’s revision orders, directed that the societies may participate in the pending appeals, and left the voters‑list objections to the competent authority.
Issues considered
- The writ petitions are maintainable notwithstanding pending appeals under Section 104 of the Maharashtra Cooperative Societies Act.
- Whether the Assistant Registrar had jurisdiction to pass liquidation orders under Section 102 of the Act.
- Whether the principles of natural justice were violated in the interim liquidation order and the minister’s revision order.
- Whether the minister’s revision order under Section 154 is valid without affording a hearing to the affected societies.
- Whether the interim stay granted by the Joint Registrar should be restored.
Legislation cited
- Constitution of India — s. 226, 227
- Maharashtra Cooperative Societies Act, 1960 — s. 102, 103, 104, 154
Subjects
- cooperative societies
- liquidation
- winding up
- natural justice
- jurisdiction
- statutory appeal
- Section 102
- Section 104
- ministerial revision
- writ petition
- Article 226
- Article 227
- election
- voters list
Judgment
2026:BHC-AUG:40526
42-MATTERS-WP-11376-2026-SPK.odt
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
BENCH AT AURANGABAD
924 WRIT PETITION NO. 11376 OF 2026
Amrut Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its Chairman
Ramkrushna S Kakad
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
925 WRIT PETITION NO. 11377 OF 2026
Kanifnath Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Mina Kailas Ranmale
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
947 WRIT PETITION NO. 11399 OF 2026
Kanifnath Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Balasaheb K Badhe
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
948 WRIT PETITION NO. 11400 OF 2026
Jagdamba Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Shekhar T Wagh
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
949 WRIT PETITION NO. 11401 OF 2026
Vanlaxmi Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Annasaheb B Shinde
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
Sunny Thote 1/23
This order has been modified by speaking to the minutes of the order dated 4 th September, 2026.
42-MATTERS-WP-11376-2026-SPK.odt
WITH
950 WRIT PETITION NO. 11402 OF 2026
Laxmi Mata Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Gangadhar V Chavhan
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
951 WRIT PETITION NO. 11403 OF 2026
Gayatri Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its Chairman
Nanasaheb G Shinde
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
952 WRIT PETITION NO. 11404 OF 2026
Shetkari Vikas Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Vitthal R Hase
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
953 WRIT PETITION NO. 11405 OF 2026
Vanlaxmi Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Babasaheb N Gayakar
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
976 WRIT PETITION NO. 11517 OF 2026
Dattakrupa Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Somnath M Gunjal
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
977 WRIT PETITION NO. 11518 OF 2026
Mhalasakant Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Kailas D Khatal
Sunny Thote 2/23
This order has been modified by speaking to the minutes of the order dated 4 th September, 2026.
42-MATTERS-WP-11376-2026-SPK.odt
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
978 WRIT PETITION NO. 11519 OF 2026
Vikas Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its Chairman
Prabhakar K Gopale
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
979 WRIT PETITION NO. 11520 OF 2026
Kalamajadevi Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Sopan A Varpe
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
980 WRIT PETITION NO. 11521 OF 2026
Vanrai Sheli Mendhi Palan Sahakari Sanstah Maryadit Thr Its Chairman
Suresh B Borhade
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
981 WRIT PETITION NO. 11522 OF 2026
Ahilyadevi Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Bhagwat Nana Kadnar
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
982 WRIT PETITION NO. 11523 OF 2026
Sidhhik Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its Chairman
Sunil
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
Sunny Thote 3/23
This order has been modified by speaking to the minutes of the order dated 4 th September, 2026.
42-MATTERS-WP-11376-2026-SPK.odt
WITH
999 WRIT PETITION NO. 11554 OF 2026
Gurudeo Datta Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Ramesh D Mandlik
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
1003 WRIT PETITION NO. 11558 OF 2026
H B P Narayangiri Maharaj Sheli Mendhi Palan Sah Sanstha Maryadit Thr
Its
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
1004 WRIT PETITION NO. 11559 OF 2026
Avajinath Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Vijay K Ranmale
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
1005 WRIT PETITION NO. 11560 OF 2026
Kalika Mata Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Ashok S Varpe
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
1008 WRIT PETITION NO. 11564 OF 2026
Shivneri Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its Chairman
Subhashrao B Gunjal
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
1009 WRIT PETITION NO. 11565 OF 2026
Sunny Thote 4/23
This order has been modified by speaking to the minutes of the order dated 4 th September, 2026.
42-MATTERS-WP-11376-2026-SPK.odt
Yashoda Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its Chairman
Santosh B Varpe
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
1010 WRIT PETITION NO. 11566 OF 2026
Bharatratn Babasaheb Ambedkar Sheli Mendhi Palan Sah Sanstha Thr Its
Chairman Dilkhush I Shaikh
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
1011 WRIT PETITION NO. 11567 OF 2026
Gahininath Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Shivaji V Jondhale
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
1012 WRIT PETITION NO. 11581 OF 2026
Jay Durgamata Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Rahul A Kharde
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
1020 WRIT PETITION NO. 11589 OF 2026
Gowardhan Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Ramdas L Bhagwat
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
1021 WRIT PETITION NO. 11590 OF 2026
Datta Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its Chairman
Tabaji R Ghadage
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
Sunny Thote 5/23
This order has been modified by speaking to the minutes of the order dated 4 th September, 2026.
42-MATTERS-WP-11376-2026-SPK.odt
WITH
1022 WRIT PETITION NO. 11591 OF 2026
Chaitanya Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Ranjitsinh V Deshmukh
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
1023 WRIT PETITION NO. 11592 OF 2026
Vasudha Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its Chairman
Vilas S Kawade
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
1027 WRIT PETITION NO. 11596 OF 2026
Shram Safalya Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Yogesh R Sonawane
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
1028 WRIT PETITION NO. 11597 OF 2026
Charapatinath Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Ganapat P Sangale
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
1029 WRIT PETITION NO. 11598 OF 2026
Mhalasakant Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Bhausaheb B Aher
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
1030 WRIT PETITION NO. 11599 OF 2026
Khandoba Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Deoram Kisan Gulave
Sunny Thote 6/23
This order has been modified by speaking to the minutes of the order dated 4 th September, 2026.
42-MATTERS-WP-11376-2026-SPK.odt
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
1031 WRIT PETITION NO. 11600 OF 2026
Pandurang Krupa Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Vilas G Shinde
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
1033 WRIT PETITION NO. 11602 OF 2026
Vanlaxmi Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Prakash V Kotkar
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
1034 WRIT PETITION NO. 11603 OF 2026
Mhalasakant Sheli Mendhi Palan Sahakari Santha Maryadit Thr Its
Chairman Kisan R Supekar
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
1035 WRIT PETITION NO. 11604 OF 2026
Dudhdhan Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Gorakh V Kute
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
1036 WRIT PETITION NO. 11618 OF 2026
Mahatama Phule Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Ramnath N Abhang
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
Sunny Thote 7/23
This order has been modified by speaking to the minutes of the order dated 4 th September, 2026.
42-MATTERS-WP-11376-2026-SPK.odt
WITH
1037 WRIT PETITION NO. 11619 OF 2026
Biroba Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its Chairman
Prabhakar S Kandalkar
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
1038 WRIT PETITION NO. 11620 OF 2026
Rajiv Gandhi Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Somnath V Pawase
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
1039 WRIT PETITION NO. 11621 OF 2026
Nizarneshwar Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Arun Janku Jondhale
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
WITH
1044 WRIT PETITION NO. 11626 OF 2026
Jagdamba Sheli Mendhi Palan Sahakari Sanstha Maryadit Thr Its
Chairman Balasaheb V Rahane
VERSUS
The State Of Maharashtra Thr The Principal Secretary And Others
...
Mr.Avinash R.Borulkar for the Petitioners.
Dr.Kalpalata Patil Bharaswadkar, Addl. G.P. for the Respondents/State in
the respective Petitions.
Mr.Kishor S. Patil, Ms.Vaishali Chaudhar, Ms.Deepali Jape & Ms.Preeti
Diggikar, AGPs for the Respondents/State in the respective Petitions.
Mr.S.K. Kadam for Respondent No.4 in the respective Petitions.
…
CORAM : MANJUSHA DESHPANDE, J.
DATE : 02.09.2026
PER COURT :
1. The Petitioners in this group of Writ Petitions are registered
Societies, registered under the Maharashtra Cooperative Societies Act,
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1960 (the ‘Said Act’) on different dates. They have completed their
financial audits and have also conducted elections for the term 2024 to
2029. Liquidation proceedings have been initiated against them by
Respondent No.5/Assistant Registrar Cooperative Societies (Dairy)
Ahilyanagar, District Ahilyanagar. The order of liquidation is issued by the
Assistant Registrar relying on the Government Circular dated 1 st August,
2022; on the directions issued by the Hon’ble Minister of Cooperation
dated 29th April, 2026; as well as the complaint filed by one Dipak
Shivram Patare on 11th February, 2026. The Petitioners/Societies have
been taken into liquidation invoking Section 102(1) of the Said Act and
also an order of winding up of the Societies has been issued by
Respondent No.5 by way of an interim order.
2. The Petitioners herein have submitted their response to the
order of liquidation upon notice being issued by Respondent No.5. After
hearing the respective Petitioners, the final order under Section 102(2) of
the Said Act has been passed, confirming the interim order of liquidation
as well as order of winding up. Being aggrieved by this order, the
Petitioners/Societies have approached the Appellate Authority under
Section 104 of the Said Act by filing respective Appeals, raising challenge
to the order passed by Respondent No.5, on the ground that the same is
politically motivated. The impugned order have been passed without
affording any opportunity of hearing to the Petitioners/Societies. It is also
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assailed on the ground that the circular dated 1 st August, 2022 based on
which the Commissioner of Cooperation and Special Registrar
Cooperative Societies has issued direction to take action against the
Societies, was not in operation. In fact it was issued only for a limited
period, its validity was from 13th August, 2022 to 15th September, 2022.
3. During the pendency of the Appeals, the Petitioners have
filed interim applications for stay to the impugned order before the Joint
Registrar Cooperative Societies, on the ground that the order impugned is
passed without granting any opportunity of hearing. After hearing the
Petitioners/Societies, the order has been passed granting interim stay to
the impugned order passed by the Assistant Registrar dated 23 rd June,
2026 vide order dated 17th July, 2026. The substantive Appeals filed by
the Petitioners were directed to be listed for hearing on 25 th August,
2026.
4. After the stay was granted by the Divisional Joint Registrar,
i.e., Respondent No.4 herein, the complainant at whose behest the action
on liquidation and winding up has been initiated, filed Revision
Application before the Minister (Animal Husbandry & Environment)
Maharashtra State, Mantralaya, Mumbai under Section 154 of the Said
Act. After filing of the Revision Application, an order has been passed by
the Minister allowing the Revision Application filed by the complainant,
thereby the interim stay granted by the Divisional Joint Registrar,
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Cooperative Societies, vide order dated 17th July, 2026, has been quashed
and set aside further directing that the pending Appeals that were
scheduled for hearing shall proceed, and heard on its own merits.
5. Being aggrieved by this order common passed by the
Minister, the Petitioners/Societies who are 42 in number have
approached this Court.
6. The learned Advocate, Mr.Borulkar, has taken exception to
the impugned order of liquidation and winding up of the Societies passed
by Respondent No.5, as well as the order passed by the Minister dated 4 th
August, 2026, on the following grounds :
(a) The interim order passed by Respondent No.5 has
been passed in exercise of power under Section 102(1) of the Said
Act, which was further confirmed on 23 rd June, 2026, is without
any authority. The power to pass an order under Section 102 lies
only with the Registrar, therefore, The Assistant Registrar was not
empowered to pass the impugned order.
(b) The direction issued by the Additional Commissioner
and Special Registrar, Cooperative Societies, Pune dated 20 th
February, 2026 addressed to the District Deputy Registrar,
Cooperative Societies, Ahilyanagar, directing him to take action
against the Societies is a politically motivated action taken by the
State Authorities.
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(c) The interim order dated 29th April, 2026 was passed
without granting any opportunity of hearing to the Petitioners,
though it is necessary to follow principles of natural justice, even
before passing any interim order of winding up and liquidation
under Section 102 of the Said Act. Reliance is placed on the
decision of this Court in the case of Chandrapur Zilla Shahakari
Krushi and Gramin Bahuudeshiya Development Bank Ltd. and etc.
V/s. State of Maharashtra and others, etc., reported in AIR 2003
BOMBAY 502, where this Court has taken a view that even before
passing of an interim order, an opportunity is required to be given
to the Societies that are likely to be affected.
(d) The order of the Minister is challenged on the ground
that it is passed without hearing the Petitioners, therefore, there is
non-adherence of principles of natural justice, which has resulted
in drastic consequences of stalling the work of those Societies.
The stay order, which was running in favour of the Petitioners has
been quashed and set aside, by this order without granting any
opportunity of hearing to the Petitioners, which has caused them
great prejudice.
(e) The Revision filed by a person who was not party to
any of the proceedings is also not maintainable. The Minister
should not have entertained the Revision Application by a third
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42-MATTERS-WP-11376-2026-SPK.odt
party, to quash and set aside the order of stay, that was granted in
favour of the Petitioners.
(f) He submits that all these orders along with the action
of liquidation and winding up has been taken on the verge of the
elections of the Ahilyanagar District Central Cooperative Bank. As
a result of which the Societies have been deprived of their right to
participate in the election process and cast their votes through
their representatives.
(g) It is also submitted that just because the Appeals filed
by the Petitioners under Section 104 of the Said Act are pending,
same would not preclude this Court from entertaining the Writ
Petitions under Article 226 and 227 of the Constitution of India.
Particularly, in view of the election process that is set in motion by
declaring the election programme by District Cooperative Election
Officer. In support of his submission, he would rely on the
decision of this Court at the Coordinate Bench, where a similar
situation has arisen. While deciding the group of Writ Petitions,
this Court has refused to entertain the objection regarding the
availability of alternate remedy by way of Appeals available under
Section 104 of the Said Act. Thus, according to him, since the case
of the Petitioners is also similarly placed, same ratio would apply
in case of the Petitioners. Additionally he also relied on Writ
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42-MATTERS-WP-11376-2026-SPK.odt
Petition No.2522 of 2026 along with group of Writ Petitions
decided at Circuit Bench at Kolhapur vide Judgment dated 12 th
August, 2026.
7. Mr.Borulkar would further submit that winding up of the
Petitioners/Societies and appointing liquidator under Sections 102 and
103 of the Said Act, is a highly disproportionate penal action. A final
winding up order extinguishes the Societies existence, amounting to civil
death of the institutions. This action has been undertaken by the
Authorities without any investigation into the active, day-to-day
functioning of the Petitioners/Societies, thereby violating the doctrine of
proportionality, which is contrary to the very object of cooperative
movement in the State. Similarly, the appointment of a liquidator without
evaluating any avenues for the Petitioners revival or granting any
opportunity to rectify the alleged defects is in direct teeth of Article 43-B
of the Constitution of India. He submits that the underlying order
vacating the stay operating in favour of the Petitioners is in flagrant
violation of the principles of audi alteram partem. It is an ex-parte order
vitiated with malice, hence, according to him there is a grave
jurisdictional error committed by Respondent No.5, as well as the
Minister of Cooperation, by initiating mass liquidation without granting
any opportunity of hearing to the respective Societies who are affected by
the impugned orders. The loss of the Petitioners/Societies is irreparable
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42-MATTERS-WP-11376-2026-SPK.odt
and cannot be compensated in the terms of money.
8. He further submits that the District Cooperative Election
Officer had issued a communication calling upon the Societies in the
Ahilyanagar District to send their representatives to be included in the
provisional voters list. However, the name of the Petitioners/Societies was
not included in the list, despite being eligible on 1st June, 2026.
9. On instructions, he also makes a statement that the
Petitioners have raised objection to the non-inclusion of their name in the
voters list before the Competent Election Authority. He, therefore,
submits that the impugned order passed by Respondent No.5 dated 23 rd
June, 2026 as well as the order passed by Respondent No.2/Minister
dated 4th August, 2026 deserves to be quashed and set aside.
10. Par-contra, the learned Addl. G.P. has strongly opposed the
maintainability of Writ Petitions itself, it is submitted that the Petitioners
have an substantive alternate remedy as provided under Section 104 of
the Said Act, by way of statutory Appeal. She also submitted that no
Appeals are maintainable against the order passed under Section 102(i)
(ii) or (iii)(c) (1) of Section 102 of the Said Act, therefore, the interim
relief granted by the Appellate Authority itself was not valid. Thus the
order of the Minister does not deserve any interference. It is also
submitted that the Assistant Registrar while passing the order under
Section 102 of the Said Act, was in fact exercising powers of ‘Registrar’,
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42-MATTERS-WP-11376-2026-SPK.odt
hence there is no substance in the contention of the Petitioners that
Respondent No.5 is not empowered to pass an order of winding up and
liquidation by invoking powers under Section 102 of the Said Act. Hence,
according to her the Writ Petitions are not maintainable and deserve to be
dismissed.
11. Respondent No.4/Divisional Joint Registrar, Cooperative
Societies cum District Cooperative Election Officer, Nashik Division,
Nashik is represented by the learned Advocate, Mr. Kadam who would
submit that as far as the election part of the challenge to the impugned
order is concerned, the programme for preparation of voters list was
already issued in the month of June itself, calling upon the respective
Society to submit the names of their representatives before 16 th July,
2026 and the provisional voters list has already been prepared on the
basis of the names sent by the respective Societies. He is not aware as to
whether the names of the representatives Petitioners/Societies has been
send by them. Upon which a statement being made, by the learned
Advocate for the Petitioners submits that they have already send the
names of their representatives. However, the name of the
Petitioners/Societies was not included in the provisional voters list
despite their eligibility on 1st June, 2026.
12. Respondent No.6, who is the complainant at whose instance
the order came to be passed by Respondent No.2/Minister, has filed a
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42-MATTERS-WP-11376-2026-SPK.odt
caveat in the matter. The learned Advocate appearing for the caveator,
however, orally submits that he does not wish to contest the present Writ
on the basis of caveat. A purshis to that effect is filed by him which is
taken on record. Respondent No.7, though added as a party Respondent
is a formal party. Hence, no notice is necessary to Respondent No.7. So
far as other Respondent Nos.1 to 5 are concerned, they are represented
by the State and arguments have been advanced for the contesting
Respondents/State Authorities by the Government Advocate.
13. After hearing the parties and perusing documents placed on
record, it is evident that a complaint is filed by Respondent No.6 in the
present Writ Petitions to the Minister of Cooperation alleging that many
of the Cooperative Societies in the District of Ahilyanagar are only
existing on paper. When in fact there is no work carried out by them nor
there are any financial transactions. The audit of these Societies is not
conducted, even their elections have not been conducted. Hence,
considering the various irregularities and deficiencies in respect of the
Societies, a survey needs to be conducted and if the Societies are found to
be not in working condition, action needs to be taken against such
Societies by the Commissioner of Cooperation.
14. Based on aforementioned communication, the Commissioner
of Cooperation and Special Registrar, Cooperative Societies has issued
directions to the District Deputy Registrar Cooperative Societies,
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42-MATTERS-WP-11376-2026-SPK.odt
Ahilyanagar to carry out a survey and take action against those Societies,
who are found not to be functioning in conformity with the rules; or not
functioning at all; action is directed against even those Societies who
have failed to conduct the audit and have committed financial
irregularities. Based on this communication dated 20 th February, 2026,
Respondent No.5 appears to have taken immediate action and has passed
an interim order of liquidation and winding up of the Petitioners’
Societies in Ahilyanagar District, without granting any opportunity of
hearing to the respective Societies, without issuing any show-cause notice
or any communication bringing to their notice the irregularities or
deficiencies, based on which such drastic action of liquidation and
winding up has been taken by the Assistant Registrar Cooperative
Societies, Ahilyanagar.
15. Upon going through the order, it is evident that the same has
been passed without adhering to the principles of natural justice, thereby
causing prejudice to the rights of the Petitioners. Although, the
Petitioners’ Societies have filed their say subsequently the interim order is
confirmed by passing final order by the Assistant Registrar Cooperative
Societies, Ahilyanagar vide order dated 23rd June, 2026.
16. So far as the order passed by Respondent No.2 is concerned,
admittedly it is passed in the Revision Application filed by Dipak Shivram
Patare, who is Respondent No.6 in the present Writ Petition and though
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he is the complainant, he was not a party in the proceedings for
liquidation or even in the Appeal filed by the Petitioners under Section
104 of the Said Act. A Revision Application before the Minister under
Section 154 of the Said Act was entertained without hearing the
Petitioners, who are the affected parties. When a order is passed in the
Revision Application, which effectively vacates the stay, that was
operating in favour of the Petitioners, it was expected of the Respondent
No.2 Minister to grant opportunity of hearing to the Petitioners, before
passing any orders adverse to the Petitioners who are affected by it. The
Minister has merely recorded that notices have been issued to the
Petitioners without waiting for the appearance of the Petitioners herein.
The order adverse to the interest of the Petitioners has been passed by
setting aside the order of ‘stay’ granted in favour of the Petitioners, as a
result of which the order of winding up and liquidation passed against
the Petitioners vide order dated 23 rd June, 2026, has been revived.
Although the statutory Appeal before the Divisional Joint Registrar is
pending, as a consequence of the impugned order passed by the
Respondent No.2 Minister, the rights of the Petitioners have been
adversely affected. They are deprived of their business of their Societies,
the whole business is brought to a stand still. They are also deprived from
participating in the election process of the Ahilyanagar District Central
Cooperative Bank of which the Petitioners/Societies are the members. A
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Division Bench of this Court in case of Chandrapur Zilla Shahakari Krushi
and Gramin Bahuudeshiya Development Bank Ltd. and etc. (supra), had
an occasion to deal with the interim order passed for winding up of the
Society. While deciding the said issue, this Court has made following
observations :
“16. It is, therefore, obvious that there is neither pre-
decisional hearing before the interim order is passed nor
such order is allowed to be appealed against. There is only
post-interim decisional hearing before the final order is
passed to vacate or confirm the interim order. Section 103
further empowers the Registrar to appoint a Liquidator of
the Society, even after the interim order of winding up of
the Society. It further mandates that after the interim order
is passed the Society shall hand over to the Liquidator the
custody and control of all the property, effects and
actionable claims to which the Society is entitled and the
whole record pertaining to the business of the society and
thereafter the Society will have no access to the same. Such
is the drastic and draconian provision empowering the
Registrar to issue an interim order to the Society to be
wound up. There is no appeal also against the interim
order. Can it be legitimately inferred that there is no
implicit provision of hearing and compliance of the
principles of natural justice before passing of such a very
harsh and drastic action of ordering the winding up of the
very running existing society? The consequence of such an
interim order to hand over to the Liquidator virtually the
entire Society. Can it be construed that the Legislature
intended to put such a draconian power to wind up or wipe
out any Society in the hands of a Registrar without hearing
before passing an interim order, the consequence and effect
of which is not less injurious or harmful than a final order?
We do not think so.”
17. The observations made herein-above in the Judgment of this
Court squarely apply to the facts of the present cases. Even in the present
cases, there is failure to adhere to principles of natural justice by the
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Respondent No.5 Assistant Registrar Cooperative Societies, as well as by
the Respondent No.2 Minister of Cooperation, while passing the
impugned orders.
18. In Writ Petition No.2522 of 2026 and other group of Petitions
dated 12th August, 2026 (Anandrao Sadashiv Desai & Ors. V/s. The State
of Maharashtra Thr Secretary, Department of Cooperation & Ors.) ,
decided by the Coordinate Bench at Kolhapur, this Court has framed
points for determination. The two questions A & B that have been framed
and decided, also applies to the case of the Petitioners.
While answering the question, “whether the Writ Petitions
can be entertained in the wake of remedy of appeal under Section 104 of
the Said Act, 1960”, this Court has held as follows :
“15. Merely because 337 primary societies have
preferred appeal U/Sec. 104 of the Act would not detain
this Court to entertain the petitions under Article 226 and
227 of the Constitution of India. This Court cannot be
oblivious of the fact that a drastic action is undertaken
against the petitioners which has repercussions of their
exclusion from the election of Federal Sangh. Impugned
orders are passed onset of the election process.”
19. Similarly, while answering the issue, “whether there is
violation of principles of natural justice”, following observations are
made:
32. In the cases at hand after interim orders, final orders
of winding up are passed against the petitioners. There is
correlation between interim orders and the final orders,
which is - reasoned in further part of the judgment. The
petitioners are-primary village level societies, who have
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suffered drastic action. They are declared to be defunct
and consequently they would be excluded from
participating in the election. There is reason to infer that
they could have demonstrated the respondent authorities
that they were functional and actually following the bye-
laws of the Federation Sangh in letters and spirits. The
marginal short fall in supply of milk was rectifiable defect.
There was room for them to show that drastic action was
disproportionate. The prejudice caused to them is
substantial in nature and writ large.
33. I find that impugned order is vitiated due to violation
of principles of natural justice. I answer point B in favour of
the petitioners.”
20. Thus, the orders impugned in these Petitions that violates the
principles of natural justice deserves to be quashed and set aside. So far
as the order of the Minister directing the Divisional Joint Registrar to
conduct the hearing of the Appeals does need any interference, since the
Appeals are already pending before the Appellate Authority. So far as
order, quashing the interim stay granted by the Divisional Joint Registrar
is concerned, the same deserves to be quashed and set aside, due to
failure to adhere to the principles of natural justice. As a consequence of
setting aside the order of Respondent No.2 Minister, the order of interim
stay granted by the Appellate Authority would stand revived, making the
Petitioners/Societies eligible participate in the election of Ahilyanagar
District Central Cooperative Bank.
21. So far as the inclusion of the Petitioners/Societies in the
voters list is concerned, I do not propose to pass any order. Since the
Petitioners have already raised objections to the provisional voters list,
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which shall be decided by the Competent Authority on its own mertis and
in accordance with law. In wake of above observations, I pass the
following order :
ORDER
a) The Writ Petitions are partly allowed.
b) The order passed by Respondent No.2 in all the Revision
Applications No.1 to 42 of 2026 dated 4 th August, 2026 are quashed
and set aside to the extent it quashes the order of interim stay
granted in favour of the Petitioners passed by the Joint Registrar
Cooperative Society (Dairy) vide order dated 17th July, 2026.
c) The Petitioners shall participate in the hearing of the
Appeals filed by them before the Joint Registrar, Cooperative
Societies (Dairy), Mumbai.
d) Since the Petitioners have already raised objections to
the provisional voters list, the Competent Authority shall decide the
objections raised by the Petitioners in accordance with the provisions
of law.
e) With the aforementioned directions, these Writ Petitions
stand disposed off.
[ MANJUSHA DESHPANDE, J. ]
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