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Bombay High Court

MAHESH CHAUMAL AND ANRversusTHE STATE OF MAHARASHTRA THRU SECRETARY AND ORS

Decided
Disposal
Disposed Off

Holding

The Court held that the writ petition is not maintainable where an alternative revision remedy exists, and therefore stayed the order appointing the Authorised Officer.

Summary

The petitioners, Mahesh Chaumal and another, challenged an order dated 31 August 2026 by the Deputy Registrar appointing an Authorised Officer over their cooperative society under Section 77A of the Maharashtra Co-operative Societies Act, 1960. They feared the appointment would lead to the society’s bank accounts being frozen, which had already occurred. The petition raised a procedural issue regarding the quorum of the Managing Committee, noting that three reserved‑category members could not be counted for quorum under Section 154‑B(22) of the Act, but the committee still met the required number. The Court observed that an alternative remedy of filing a revision before the Divisional Joint Registrar existed and therefore declined to entertain the writ. It granted a stay on the impugned order, directed that the bank freeze be lifted, and allowed the petitioners liberty to file an appeal, ordering the Divisional Joint Registrar to decide the stay application within six weeks. The writ petition was consequently disposed.

Issues considered

  • Whether the order appointing an Authorised Officer under Section 77A of the Maharashtra Co-operative Societies Act, 1960 is maintainable before this Court.
  • Whether the petitioners have an alternative remedy of filing a revision before the Divisional Joint Registrar.
  • Whether the Managing Committee met the quorum requirement under Section 154‑B(22) of the Act.

Legislation cited

Subjects

  • Co-operative Societies
  • Authorised Officer
  • Quorum
  • Stay of order
  • Bank account freeze
  • Writ petition
  • Revision remedy
  • Interim relief

Judgment

Neeta Sawant                                        501-Writ Petition No.11815-2026.docx


         IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                     CIVIL APPELLATE JURISDICTION
                     WRIT PETITION NO. 11815 OF 2026


Mahesh Chaumal & Anr.                                        …..Petitioners
        : Versus :
The State of Maharashtra, through
the Secretary & Ors.                                         ….Respondents


Mr. Karl Tamboly with Mr. Savish Shetye, Mr. Karan Singh, Mr. Krish Shah
     i/b. Jenil N. Shah, for the Petitioners.
Mr. S.H. Kankal, AGP for State.



                                       CORAM : SANDEEP V. MARNE, J.
                                       DATED :     3 SEPTEMBER 2026.
P.C :

1)             The petition challenges order dated 31 August 2026 passed
by the Deputy Registrar appointing Authorised Officer over the Society
under the provisions of Section 77A of the Maharashtra Co-operative
Societies Act, 1960 (the Act).

2)             There is an alternate remedy of filing Revision against the
impugned order before the Divisional Joint Registrar against the order
dated 31 August 2026. However, the present petition is filed expressing
an apprehension that the Authorised Officer would take over the charge
of the society. My attention is invited to the letter of the bank of the
Petitioner-society freezing the accounts of the Society based on
impugned order dated 31 August 2026.

_____________________________________________________________________________
                                PAGE NOS. 1 of 2
                             Thursday, 3 September 2026
                      Neeta Sawant                                        501-Writ Petition No.11815-2026.docx


                      3)             Prima-facie, it appears that for 123 members, the strength
                      of Managing Committee is 13 out of which 3 posts are for reserved
                      category. Since 3 reserved category members are not elected on the
                      Committee, under the provisions of Section 154-B(22) of the Act they
                      cannot be computed for the purpose of determining the quorum. Thus,
                      for the strength of Managing Committee of 10 members, the requisite
                      quorum would be 6.66 which can be rounded off to 7. It appears that
                      there were 7 members on the Managing Committee who co-opted the
                      eighth member in December 2025. However, subsequently in February
                      2026, the Chairman came to be disqualified.            Thus, the Managing
                      Committee still has 7 members to fulfill the requisite quorum.

                      4)             Since there is an alternate remedy of filing Appeal against
                      the order, I am not inclined to entertain the petition. The Writ Petition
                      is accordingly disposed of granting liberty to the Petitioner to file Appeal
                      against the order dated 31 August 2026 before the Divisional Joint
                      Registrar. In order to enable the Petitioner to seek interim relief before
                      the Divisional Joint Registrar, the impugned order dated 31 August 2026
                      shall not be implemented till the disposal of the application for stay. The
                      Divisional Joint Registrar shall make an endeavour to decide the
                      application for stay within a period of 6 weeks.    All contentions of the
                      parties are left open.

                      5)             Since the impugned order is being stayed, the freeze imposed
                      on Society’s bank Account shall be lifted forthwith. Needless to observe
                      that the Appeal shall be decided without being influenced by
                      observations made in the order. The Writ Petition is accordingly
                      disposed of.

         Digitally
         signed by
         NEETA
NEETA    SHAILESH
SHAILESH SAWANT
SAWANT   Date:
         2026.09.03
                                                               [SANDEEP V. MARNE, J.]
         20:41:13
         +0530        _____________________________________________________________________________
                                                     PAGE NOS. 2 of 2
                                                   Thursday, 3 September 2026


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