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Bombay High Court

RUKHSANA MOHD. HUSSAIN FALLAH AND ORSversusTHE DIVISIONAL JOINT REGISTRAR CO OP. SOC. PUNE AND ORS

Decided
Disposal
Disposed Off

Holding

The order of disqualification under Section 75(5) of the Maharashtra Cooperative Societies Act is unsustainable and is set aside.

Summary

The petitioners, members of a cooperative society's Managing Committee, challenged a June 24, 2024 order by the Deputy Registrar that disqualified them and barred their appointment for six months under Section 75(5) of the Maharashtra Cooperative Societies Act, 1960. The Registrar’s finding noted compliance with core statutory requirements but based the disqualification on an alleged irregularity in the appointment of the society's auditor, which the court held was not a ground contemplated by Section 75. The Revisional Authority had dismissed the petitioners' revision, relying on a subsequent election under Section 77A, but the court found that the disqualification issue remained unresolved on its merits. The court concluded that, in the absence of any breach falling within Section 75, the Registrar could not lawfully invoke its powers to disqualify the entire Managing Committee. Consequently, the disqualification order was set aside and the writ petitions were allowed. No costs were awarded.

Issues considered

  • Whether the Deputy Registrar could disqualify Managing Committee members under Section 75(5) of the Maharashtra Cooperative Societies Act for an alleged irregularity in auditor appointment.
  • Whether the alleged irregularity in auditor appointment falls within the scope of Section 75 of the Act.
  • Whether the Revisional Authority was correct in dismissing the revision on the basis of a subsequent election under Section 77A.
  • Whether the order of disqualification is legally sustainable in the absence of a breach contemplated by Section 75.

Legislation cited

Subjects

  • disqualification
  • cooperative societies
  • Managing Committee
  • Section 75
  • Section 77A
  • revision
  • writ petition
  • auditor appointment

Judgment

                                                                            903-wp-14844-2025.doc


                      Shabnoor
                                 IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                                         CIVIL APPELLATE JURISDICTION

                                       WRIT PETITION NO.14844 OF 2025

                      Rukhsana Mohd. Hussain Fallah & Ors.          … Petitioners
SHABNOOR                         V/s.
AYUB                  The Divisional Joint Registrar,
PATHAN
                      Cooperative Societies Pune & Ors.             … Respondents
Digitally signed by
SHABNOOR AYUB
PATHAN
Date: 2026.02.12
16:29:11 +0530
                                                   WITH
                                       WRIT PETITION NO.14871 OF 2025

                      Rukhsana Mohd. Hussain Fallah & Ors.          … Petitioners
                                 V/s.
                      The Divisional Joint Registrar,
                      Cooperative Societies Pune & Ors.             … Respondents

                      Mr. Aadesh Patil, for the Petitioners.
                      Mr. A. C. Bhadang, AGP, for the State – Respondent Nos.1 and 2
                      in WP/14844/2025.
                      Mr. O. S. Deshmukh, AGP, for the State – Respondent Nos.1 and
                      2 in WP/14871/2025.
                      Mr. Tukaram Shendge, for Respondent No.3 in both WPs.
                      Mr. S. S. Panchpor a/w Mr. P. J. Gavhane, for Respondent No.4.



                                                   CORAM       : AMIT BORKAR, J.

                                                   DATED       : FEBRUARY 12, 2026
                      P.C.:

                      1.      The present petitions arise out of proceedings initiated under
                      Section 75(5) of the Maharashtra Cooperative Societies Act, 1960
                      (“the MCS Act”). By an order dated 24 June 2024, the Deputy
                      Registrar disqualified the petitioners from continuing as members



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                                                      903-wp-14844-2025.doc


of the Managing Committee and further restrained them from
being appointed for a period of six months from the date of the
order.

2.       While passing the said order, the Deputy Registrar recorded a
finding that the petitioners had complied with all core compliances
under the Act. However, the only ground on which the petitioners
appear to have been disqualified is that the auditor appointed by
the Society was allegedly not appointed through a proper
Resolution of the Managing Committee. Such ground does not fall
within the scope of Section 75 of the MCS Act. In the absence of
any breach contemplated under Section 75, the Authority could
not have exercised powers under Section 75(5), much less against
the entire Managing Committee.

3.       The Revisional Authority dismissed the Revision Application
mainly on the ground that an order under Section 77A of the MCS
Act was passed and thereafter elections have been conducted.
However, the issue of disqualification remained stayed and not
adjudicated on merit.

4.       In the absence of fulfillment of the ingredients contemplated
under Section 75, the impugned order dated 24 June 2024 passed
under Section 75(5) is unsustainable in law. Accordingly, the
disqualification of the petitioners is set aside.

5.       The petitions stand allowed in the aforesaid terms. No order
as to costs.


                                               (AMIT BORKAR, J.)




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