Bombay High Court Upholds Disqualification Of Co-operative Housing Society Managing Committee Members For Deliberate Failure To Supply Documents

The Bombay High Court has upheld the disqualification of members of the managing committee of a co-operative housing society for deliberately failing to furnish documents sought by another member of the society within the time prescribed under the Maharashtra Co-operative Societies Act, 1960. The Court held that while substantial compliance with the statutory requirement may, in appropriate cases, avoid disqualification, the benefit cannot be extended where there is a deliberate refusal to supply documents despite repeated directions from the statutory authorities.

Justice Sandeep V. Marne was hearing a writ petition filed challenging concurrent orders of the Deputy Registrar, the Joint Registrar and the Minister (Co-operation) disqualifying the petitioners under Section 154B-23(1)(iii) of the Maharashtra Co-operative Societies Act, 1960. The dispute arose after another elected committee member sought copies of the minutes of thirteen managing committee meetings held between April 2022 and March 2023, as well as the video recording of the Annual General Meeting held on 24 September 2023. Although the member enclosed cheques towards copying charges and repeatedly requested the documents, they were not furnished within the statutory period, resulting in proceedings before the Deputy Registrar.

The petitioners contended that the respondent, being a member of the managing committee, was already entitled to inspect the records and had sought the documents only to secure their disqualification. They further argued that the documents had ultimately been supplied, that there had been substantial compliance with the statutory requirement, and that the power to order disqualification ought to have been exercised sparingly.

The Court rejected these submissions. It held that once the respondent had submitted written applications along with cheques towards copying charges, the statutory period under Section 154B-8(2) commenced. The society could not avoid its obligation by choosing not to encash the cheques.

The Court found that the petitioners failed to furnish the requested documents within forty-five days and continued to withhold them despite repeated communications and directions issued by the Deputy Registrar. It further found no material to support the petitioners' claim that the respondent had refused to accept the documents, observing that the record only showed that the documents were eventually supplied through the Deputy Registrar after considerable delay.

The Court highlighted that the legislative object behind Section 154B-8 is to ensure transparency in the functioning of co-operative societies and that disqualification follows only after the Registrar determines responsibility for the default. While acknowledging that substantial compliance may, in an appropriate case, save a committee member from disqualification, the Court held that the present case involved not a minor or technical delay but a deliberate refusal to furnish documents.

The Court also noted that although the video recording of the AGM was not one of the documents enumerated under Section 154B-8(1), the minutes of the managing committee meetings clearly fell within the provision, and their non-supply attracted the consequences under Section 154B-23(1)(iii).

Accordingly, finding no reason to interfere with the concurrent findings of the three authorities, the Court dismissed the writ petition and upheld the petitioners' disqualification.

Case Title: Shashikant M. Ramane v. Joint Registrar Co-operative Societies, SRA/MHADA [Writ Petition No. 7757 of 2026]

Citation: 2026 LiveLaw (Bom) 307

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