Neeta Ratnakar Salunke (Patil) v. Deputy Registrar Co-operative Societies
2018-06-20
R.D.DHANUKA
body2018
DigiLaw.ai
JUDGMENT : Rule. Mr. Kankal, learned AGP waives service for the respondent nos.1 & 3. The respondent no.2 is in liquidation. The petition is heard finally. 2. By this petition filed under Article 227 of the Constitution of India, the petitioners have impugned the order and judgment dated 19th October 2015 passed by the Divisional Joint Registrar, Nashik Division, Nashik rejecting the revision application filed by the petitioners and also the impugned order dated 12th April 2013 passed by the Deputy Registrar Co-operative Societies, Nashik imposing the condition of deposit of 50% of the alleged dues while granting leave to implead the liquidator in pending dispute filed by the petitioners against Nashik Cooperative Credit and Capital Society Limited who was the lender and admittedly was in liquidation. 3. The petitioners had applied for leave under Section 107 of the Maharashtra Cooperative Societies Act, 1960 (for short “the said Act”) before the Deputy Registrar, Nashik. Learned Deputy Registrar passed an order dated 12th April 2013 and imposed condition against the petitioners to deposit 50% of the alleged dues while granting leave to implead the liquidator in the dispute before the Co-operative Court, Nashik. The revision application filed by the petitioners came to be dismissed by the Divisional Joint Registrar, Nashik by an order dated 19th October 2015. 4. Mr. Joshi, learned counsel for the petitioners submits that the said Nashik Co-operative Credit and Capital Society Limited is admittedly under liquidation and thus without obtaining leave under Section 107 of the said Act, the petitioners could not have proceeded with the dispute filed by the petitioners against the society under liquidation. He submits that the learned Deputy Registrar Cooperative Societies, Nashik could not have imposed any condition against the petitioners and more particularly to deposit any amount as a condition precedent for grant of leave to implead the liquidator in place of Nashik Co-operative Credit and Capital Society Limited in liquidation. He cannot adjudicate upon the merit of the dispute filed by the petitioners under Section 91 of the Act. He submits that the learned Divisional Joint Registrar also has without application of mind dismissed the revision application and adopted the reasons recorded by the Deputy Registrar Co-operative Societies, Nashik. 5. Learned counsel for the petitioners invited my attention to the judgment of this Court in the case of Narayan s/o Arjunji Vighne & Ors. Vs.
He submits that the learned Divisional Joint Registrar also has without application of mind dismissed the revision application and adopted the reasons recorded by the Deputy Registrar Co-operative Societies, Nashik. 5. Learned counsel for the petitioners invited my attention to the judgment of this Court in the case of Narayan s/o Arjunji Vighne & Ors. Vs. State of Maharashtra, Department of Co-operation & Ors., 2011 (1) Mh.L.J. 149 in support of the submission that the Deputy Registrar while granting leave under Section 107 of the said Act could not have adjudicated upon the merit of the matter in view of the fact that the said power vested in the Deputy Registrar is a procedural power and not an adjudicatory power. 6. Mr.Kankal, learned AGP for the respondent nos.1 & 3 made an attempt to justify the order passed by the learned Divisional Joint Registrar, Nashik and also the learned Deputy Registrar Cooperative Societies, Nashik on the ground that the condition imposed by the Deputy Registrar for grant of leave under Section 107 of the said Act was proper and more particularly in view of the fact that the petitioners were the defaulters in repayment of loan to the Nashik Co-operative Credit and Capital Society Limited. 7. It is not in dispute that the Nashik Co-operative Credit and Capital Society Limited is in liquidation. Under Section 107 of the Maharashtra Co-operative Societies Act, 1960, permission is required to be obtained from the Deputy Registrar for proceeding against the society in liquidation in any proceeding. The petitioners had accordingly applied for such leave under Section 107 of the said Act. 8. In my view, without obtaining such leave under Section 107 of the said Act, the petitioners could not have proceeded with the dispute filed under Section 91 of the said Act before the Co-operative Court. The learned Deputy Registrar was required to verify whether the said society was in liquidation or not and could not have gone into the merit of the matter while considering such application under Section 107 of the said Act. In my view, the powers granted to the Deputy Registrar under Section 107 of the said Act are not adjudicatory powers but are the administrative powers. Learned Deputy Registrar thus could not adjudicate upon the merit of the dispute filed by the petitioners while granting leave under Section 107 of the said Act. 9.
In my view, the powers granted to the Deputy Registrar under Section 107 of the said Act are not adjudicatory powers but are the administrative powers. Learned Deputy Registrar thus could not adjudicate upon the merit of the dispute filed by the petitioners while granting leave under Section 107 of the said Act. 9. In my view, the impugned order passed by the Deputy Registrar imposing the condition of deposit of 50% of the alleged dues as a condition precedent while granting leave under Section 107 of the said Act is without jurisdiction and without application of mind. Learned Divisional Joint Registrar ought to have applied his mind to the fact that no such condition could have been imposed by the Deputy Registrar while granting leave under Section 107 of the said Act and ought to have set aside that part of the order passed by the learned Deputy Registrar. 10. This Court in the case Narayan s/o Arjunji Vighne & Ors. (supra) has held that the authority while granting leave under Section 107 of the said Act cannot adjudicate upon the merit of the case. The principles of law laid down in the case of Narayan s/o Arjunji Vighne & Ors. (supra) would squarely apply to the facts of this case. I am respectfully bound by the said judgment. 11. I therefore pass the following order :- (i) The impugned order dated 12th April 2013 passed by the Deputy Registrar, Nashik Division, Nashik is set aside to the extent the condition of deposit imposed upon the petitioners as a condition precedent for grant of leave under Section 107 of the Maharashtra Co-operative Societies Act, 1960 is concerned. (ii) The impugned order dated 19th October 2015 passed by the Divisional Joint Registrar, Nashik Division, Nashik is set aside in toto. Revision application bearing No.R-171 of 2013 filed by the petitioners impugning the order dated 12th April 2013 is allowed. (iii) Rule is made absolute in aforesaid terms. No order as to costs. (iv) The petitioners are directed to implead the liquidator in place of the respondent no.2-Society in the proceedings filed before the Cooperative Court, Nashik within two weeks from today and shall serve a copy of the amended dispute upon the liquidator's office within one week from the date of carrying out the amendment.