M/S. Lambason Hotel and Restaurant Services Pvt. Ltd. vs District Deputy REGISTRAR-1 Co-Op Soc. and Ors. — Bombay HC (2025) — LawSathi Research

M/S. Lambason Hotel and Restaurant Services Pvt. Ltd. vs District Deputy REGISTRAR-1 Co-Op Soc. and Ors. — Bombay HC (2025) — LawSathi Research

What the court decided

AI extract

Outcome

Certificate dated 17 October 2022 issued under Section 154B-29 and the order of the revisional authority confirming it set aside; matter remitted to the Deputy Registrar, Cooperative Societies, Mumbai for fresh proceedings with notice to both sides and reasonable opportunity; both parties to appear before the Deputy Registrar on 15.12.2025 at 10:30 a.m.; proceedings under Section 101 of the MCS Act to be decided within four weeks from the date the parties appear; the amount deposited by the petitioner to abide by the final outcome of the Section 101 proceedings.

Issue for consideration

Whether the certificate dated 17 October 2022 issued under Section 154B-29 of the Maharashtra Cooperative Societies Act, confirmed by the revisional authority, is vitiated by non-service of notice on the petitioner and violates the principles of natural justice.

Court's answer

Service of notice is the foundation of every adjudicatory act; if the person affected is not informed, he cannot defend himself, and any order passed in such circumstances becomes legally fragile and fails on the touchstone of natural justice.

Ratio / Principle

When the statute confers power to impose civil consequences, the authority must follow fair procedure.

Key takeaways

On examination of the original record, the Deputy Registrar placed no material to show that notice was issued or served on the petitioner; there was no acknowledgment, service report or contemporaneous record of an opportunity to be heard.ratio¶18
Absence of service of notice vitiates the certificate dated 17 October 2022 issued under Section 154B-29; it cannot be allowed to stand.ratio¶21
The certificate issued by the Deputy Registrar and the order of the revisional authority confirming it are set aside.

Detailed headnote1 paragraphs

Natural justice - Certificate under S. 154B-29, Maharashtra Cooperative Societies Act - Writ petition by M/s. Lambason Hotel And Restaurant Services Pvt. Ltd. challenging certificate dated 17 October 2022 issued by the Deputy Registrar and confirmed by the revisional authority - Original record contained no material showing notice issued or served; no acknowledgment, no service report, no contemporaneous record of opportunity to be heard - Held: service of notice is the foundation of every adjudicatory act; where a statute confers power to impose civil consequences, fair procedure is mandatory; absence of service vitiates the certificate - Certificate and revisional confirming order set aside - Matter remitted to Deputy Registrar, Cooperative Societies, Mumbai for fresh adjudication after notice to both sides; parties to appear on 15.12.2025; decision under S. 101 MCS Act within four weeks of appearance; petitioner's deposit to abide final outcome - Petition disposed of.

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Gokhale

IN THE HIGH COURT OF JUDICATURE AT BOMBAY CIVIL APPELLATE JURISDICTION

CIVIL WRIT PETITION NO. 13432 OF 2024

M/s. Lambason Hotel And Restaurant Services ..Petitioner Pvt. Ltd.

Versus

District Deputy Registrar-1 Co-Op Soc. Mumbai & ..Respondents Ors.

ATUL

GANESH

KULKARNI

Digitally signed by ATUL GANESH KULKARNI Date: 2026.01.07 17:21:18 +0530

__________ Mr. Chaitanya Nikte a/w. Swapnil Sangle i/b. Prajit Sahane for Petitioner.

Mrs. V. S. Nimbalkar, AGP for State/ Respondent Nos.1,2 & 4. Mr. Prashant P. Kulkarni for Respondent No.3.

CORAM : AMIT BORKAR, J. DATE : 04 DECEMBER 2025

PC :

The petitioner questions the certificate issued under Section 154B-29 of the Maharashtra Cooperative Societies Act. His grievance is simple. He states that he was never served with notice of the proceedings. He asserts that the authority proceeded behind his back. He therefore seeks to set aside the certificate on the ground that the order violates principles of natural justice.

I have examined the original record. The Deputy Registrar has placed no material to show that notice was issued or served on the petitioner. There is no acknowledgment. There is no

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report of service. There is no contemporaneous record that can satisfy the conscience of the Court that the party was given an opportunity to be heard. Service of notice is the foundation of every adjudicatory act. If the person affected is not informed, he cannot defend himself. Any order passed in such circumstances becomes legally fragile. The order then fails on the touchstone of natural justice. It is settled that when the statute confers power to impose civil consequences, the authority must follow fair procedure. In the present case, absence of service vitiates the certificate dated 17 October 2022 issued under Section 154B-29. It cannot be allowed to stand.

The certificate issued by the Deputy Registrar and the order of the revisional authority confirming it are set aside.

The matter is remitted to the Deputy Registrar, Cooperative Societies, Mumbai. He shall conduct the proceedings afresh. He shall issue notice to both sides. He shall give reasonable opportunity to place material and advance submissions. He shall then decide the matter on its own merits.

Both parties shall appear before the Deputy Registrar on 15.12.2025 at 10:30 a.m .

The Deputy Registrar shall decide the proceedings under Section 101 of the MCS Act within four weeks from the date the parties appear.

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The amount deposited by the petitioner shall abide by the final outcome of the proceedings under Section 101 of the Act.

The petition is disposed of.

(AMIT BORKAR, J.)

Note : This order is modified as per order dated 7 January 2026 to carry out corrections in paragraphs 4, 5 and 6. The correction is shown in italicize.