Dismissed

Akshaypuram Sahkari Awas Samiti Ltd. Meerut and 5 Others v. State of U.P. and 3 Others

Allahabad HC10 Nov 2020WRIC/17218/2020

Case brief

AI extract

What is this about?

Writ petition challenging an order classifying society members as 'nominal members' without voting rights. Court held the Registrar acted under bye-laws as a guide, not under Section 27 regarding expulsion, thus no hearing was due. Petition dismissed.

What did the court decide?

Writ petition dismissed; classification of petitioners as nominal members with no voting rights upheld.

Akshaypuram Sahkari Awas Samiti Ltd. Meerut and 5… — Cooperative Societies | Allahabad HC (2020)

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Court No. - 34

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Case :- WRIT - C No. - 17218 of 2020 Petitioner :- Akshaypuram Sahkari Awas Samiti Ltd. Meerut & 5 others Respondent :- State Of U.P. And 3 Others Counsel for Petitioner :- Jagdev Singh,Chandra Bhusan Kushwaha Counsel for Respondent :- C.S.C.,Sunil Kumar Misra

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Hon'ble Mrs. Sunita Agarwal,J. Hon'ble Jayant Banerji,J.

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Learned counsel for the petitioners prays for and is granted permission to delete the petitioner no.1 from the array of the parties within the course of the day. This petition is being maintained on behalf of petitioner nos. 2 to 6.

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Heard learned counsel for the parties and perused the record.

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The present petition is directed against the order dated 17.08.2020 passed by the Housing Commissioner/Registrar, U.P. Sahakari Awas Evam Vikas Parishad (Co-operative Department), Lucknow, whereby he has directed that the petitioners herein, who have been inducted as members of the Society in contemplation of allotment of land/plot/house, shall be termed as nominal member under the bye-laws of the Society and will not have a right to vote in the elections of the Committee of Management of the Society. The finding recorded in the order impugned that none of the petitioners herein are allottees of a plot/house/building or bhawan by the Society is not disputed by the learned counsel for the petitioners.

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The submission is that neither under the Act nor under the bye-laws, the category/classification of membership can be changed by the Registrar, inasmuch as, he is bereft of no such power. Under Section 27 of the U.P. Co-operative Societies Act, 1965 (in short, ' the Act') for removal or

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expulsion of a member (in accordance with the procedure provided therein), the Registrar is obliged to afford reasonable opportunity of hearing to the person concerned. The submission is that admittedly no such opportunity has been given to the petitioners herein and as such, the order impugned cannot be sustained.

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Referring to the Bye-laws of the Society, it is submitted by learned counsel for the petitioners that 'bhawan' (building) defined therein includes a house and flat in a multi-storey building. The contention is that the Housing society has already constructed a multi-storey building wherein flats are to be allotted to the petitioners herein.

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With the above submissions, it is vehemently argued that from each angle, in any case, the order impugned cannot be allowed to sustain.

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Sri Sunil Kumar Misra, learned counsel for the respondent no.2, on the other hand, defends the order impugned for the reasoning given therein. He further submits that the petitioners cannot fall in the category of ordinary members of the Society who were inducted under clause- '6' of the bye-laws. The order impugned is merely in the nature of correction of category/classification of members of the Society within the meaning of the bye-laws and is well within the jurisdiction of the Registrar.

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Having gone through the submissions of the learned counsel for the parties and perused the record, we find that the dispute, essentially, is not about removal or expulsion of members of the Society i.e. the petitioners. The petitioners herein are actually aggrieved by the decision of the Registrar whereby he has given effect to the bye-laws of the Society, which clearly provides for two categories of membership in Clauses '6' & '7' are reproduced as under:-

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" 6 . समिम ि तति की समदस्याये िनिम्न ि ल ि खखिति होगीः-

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िजिन्होंनिे समिम ि तति के िनिबन्धनि प्राथरनिा पत्र पर हस्तिाक्षर िकये हों।

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जिो िनिबन्धनि के पश्चाति् इनि उपिव ि धधयों के अधीनि समदस्य बनिाये जिाये।

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समिम ि तति के समदस्यों का फोटो अिनिविधायर रुप समे रहेगा, िजिसम पर उसमका पहचानि निम्बर िदया जिायेगा, समाथ ही समदस्य समंख्या, आव ि धंटति भूखिण्ड/भविधनि समंख्या आिद को उल्लेखि होगा।

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7 . इनि उपिव ि धधयों मिते समे िकसमी बाति के होतिे हुए भी समिम ि तति िनिम्न ि ल ि खखिति शर्तिो के अधीनि िकसमी ऐसमे व्यिक्ति को, जिो भारति का निागिरक हो तिथा भारति मिते ही रहतिा हो, या व्यापार करतिा हो और िजिसमके समाथ समिम ि तति व्यापार करतिी हो, या व्यापार करनिे का िविधचार रखितिी हो/निामित मितात्र समदस्य बनिा समकतिी है।

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निामित मितात्र समदस्य को समिम ि तति के कायरकलिखापों मिते मि त देनिे का तिथा समदस्यतिा के अन्य कोई अिधकार प्राप्त नि होंगे, िसमविधाय इसमके िक उसम समिम ि तति के िकसमी समदस्य के िलिखए उतिनिी धनिरािशर् तिक जिो उसमे ऋण स्विधरुप दी जिाये तिथा समिम ि तति को प्राप्त िकसमी अन्य धनिरािशर् तिक, जिो उक्ति समदस्य के िजिम्मिते है, प्रितिभू बनिनिे की अनिुम ि तति दी जिायेगी।

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िकसमी भी व्यिक्ति को निामित मितात्र समदस्य बनिनिे के िलिखए दसम रुपया प्रविधेशर् शर्ुल्क के समाथ िनिधारिरति प्रपत्र पर प्राथरनिा पत्र समिम ि तति के समिचविध को प्रस्तिुति करनिा होगा। समिम ि तति के समिचविध द्वारा ऐसमे व्यिक्ति को समदस्य के रुप मिते अस्थायी रुप समे स्विधीकृति िकया जिा समकतिा है परन्तिु उनिके स्थायी निामित मितात्र समदस्य होनिे के िलिखए प्रबन्ध कमितेटी की स्विधीकृिति आविधश्यक होगी।

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कोई व्यिक्ति निामित मितात्र समदस्य तिब तिक बनिा रहेगा जिब तिक िक विधह प्रितिभू या प्रितिभूितिकतिार के रुप मिते समिम ि तति के प्रिति अपनिे दाियत्विधो मिते विधह पूणरतिया मितुक्ति निहीं हो पातिा।

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निामित मितात्र समदस्यों के िव ि धधक प्रित ि न ि ध निामित िन ि दरष्ट व्यिक्ति या उत्तरािधकारी निामित मितात्र समदस्य के दाियत्विधों के प्रिति तिब तिक उत्तरदायी रहेगे जिब तिक समिम ि तति के प्रिति इसम प्रकार के दाियत्विधों समे पूणरतिया मितुक्ति नि हो जिाये।

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निामित मितात्र समदस्य की समदस्यतिा का कोई प्रमिताण पत्र निहीं जिारी िकया जिायेगा। िनिधारिरति प्रपत्र पर समिम ि तति के इसम कायर के िलिखए प्रािधकृति अिदकारो की िव ि धधविधति् हस्तिाक्षिरति प्रविधेशर् शर्ुल्क की रसमीद ही निामित मितात्र समदस्य के रुप मिते स्विधीकार कर िलिखये जिानिे का प्रमिताण होगी।

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मि त ृयु, िदविधािलिखया होनिे, लिखौटनिे की इच्छा प्रकट िकये िबनिा विधापसम नि आनिे के इरादे समे भारति छोड़कर चलिखे जिानिे अथविधा स्थायी रुप समे भारति समे िनिष्कािसमति कर िदये जिानिे पर निामित मितात्र समदस्य, समदस्य निहीं रह जिायेगा, िकन्तिु प्रितिबन्ध यह है िक विधह तिब तिक समदस्य बनिा रहेगा जिब तिक िक विधह समिम ि तति के प्रिति अपनिे स म पूणर दाियत्विधो समे मितुक्ति नि हो जिाये।

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निामित मितात्र समदस्य द्वारा िदया गया प्रविधेशर् शर्ुल्क विधापसम निहीं िकया जिायेगा और नि ही उसम पर कोई ब्याजि देय होगा।

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ऐसमे समदस्य का दाियत्विध स म ापनि की दशर्ा मिते िनियमिताविधलिखी के िनियमित 47 के प्रािवि ध ानिों के अधीनि होगा।

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समिम ि तति के अिधिनियमित तिथा िनियमिताविधलिखी के प्रािवि ध ानिों के अन्तिगरति रहतिे हुए स म बद (associate) समदस्य भी बनिा समकतिी है।"

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A careful reading of Clauses '6' & '7' of the bye-laws indicates that ordinary members are those who have been inducted under Clause '6' of the bye-laws. The categories mentioned therein are of those persons who had signed the registration application at the time of inception of the Society and others who have been inducted under the bye-laws of the Society after its registration. Clause '7' further provides that notwithstanding anything contained in the bye-laws any person who is an Indian citizen and is residing in India or is doing business and with whom Society is doing business or intends to do business can be inducted as 'Nominal Member', subject to the conditions mentioned in clauses '1' to '9' of the said clause. The petitioners herein have not been inducted in the Society at the time of its inception or as ordinary members under clause '6' of the Bye-laws as they are not doing any business with the Society nor they have been allotted any plot or house as on date. For the said reason, the petitioners herein cannot but be said to be nominal members under the bye-laws.

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A further reading of Clause '110' of the bye-laws indicates that the Registrar of the Society has to act as a friend, philosopher, guide and facilitator of the housing co-operative society and for any dispute relating to the Society, the Registrar will have power to guide.

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Having read clause '110' of the bye-laws, we are of the considered opinion that the Registrar has a power to oversee and supervise the working of the Society and take all necessary steps to give effect to the bye-laws framed by the Society. The order impugned cannot be said to have been passed under Section 27 of the Societies Act, 1965, as asserted by the petitioners, inasmuch as, there is no order for removal or expulsion of any of the petitioners from the membership of the Society. No

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opportunity of hearing as such was required.

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Under clause '7' of the bye-laws, a 'nominal member' has no right to vote in the elections of the Committee of Management and this clause has been read and interpreted by the Registrar in the operative portion of the order impugned as a guide and facilitator of the Society.

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For the above, we do not find any good ground to invoke our extraordinary jurisdiction under Article 226 of the Constitution of India to interfere with the order impugned.

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However, it is kept open that the petitioners may ventilate their grievances before the appropriate authority or may file a suit for any dispute relating to their membership. In case, any such remedy is availed by the petitioners, the observations made hereinabove will not come in their way.

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In view of the above, the writ petition is dismissed .

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Order Date :- 10.11.2020 P Kesari

Akshaypuram Sahkari Awas Samiti Ltd. Meerut and 5 Others v. State of U.P. and 3 Others

Case brief

What is this about?

What did the court decide?

Akshaypuram Sahkari Awas Samiti Ltd. Meerut and 5 Others v. State of U.P. and 3 Others

Case brief

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What did the court decide?

What the court decided

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