THE MAHARASHTRA STATE CO-OP. HOUSING FINANCE COOPERATION LTD. Vs. THE HONBLE MINISTER FOR COOPERATION, MAHARASHTRA STATE AND ORS.

JUDGEMENT

(1.) AT the outset, the Learned Counsel for the Petitioner seeks deletion of the Respondent No. 9 from the array of Respondents, as the Respondent No. 9 is only a formal party in the context of the challenge raised in the above Petition. The said Respondent No. 9 to accordingly stand deleted.

(2.) RULE , with the consent of the Learned Counsel for the parties made returnable forthwith and heard.

(3.) IT is not necessary to burden this order with unnecessary details having regard to the nature of the directions to be issued. In keeping with the mandate of the 97th amendment to the Constitution of India, the State Government through the Registrar, Co -operative Societies issued directions to the co -operative societies to bring their bye laws in consonance with the approvals of the amended Act which amendments were also carried out having regard to the mandate of the 97th amendment to the Constitution of India. In keeping with the said mandate, the Petitioner herein made amendments to its bye laws and sent them for approval to the Registrar, Co -operative Societies. The controversy in the instant matter relates to bye law No. 56(I) of the bye laws applicable to the Petitioner society. The Petitioner society can be said to be a Federal Society whose area of operation is throughout the State and who has members in all the districts of the State. The object of the Petitioner society is to grant loans or advances to the co -operative housing societies registered in the State of Maharashtra and loans and advances are made on the particular society becoming its member. In so far as bye law No. 56(I) is concerned, it prescribes the composition of the Board of Directors of the Petitioner society. In the context of the present challenge, it is required to be noted that as per the said bye law No. 56(I), prior to its amendment each district was to have one representative and there were to be 8 representatives from the reserved category etc. to make a total of 43 directors of the Petitioner society. The said bye law was in operation till the present amendments were proposed and for which approval was sought from the Registrar of Co -operative Societies. In so far as the composition of the Board of Directors of the class to which the Petitioner society belongs by Section 73AAA, the maximum number of directors prescribed is 21 which includes the nominated and reserved category directors. In view of Section 73AAA that the Petitioner society felt the need to amend its bye law No. 56(I) so as to bring it in consonance with the mandate of Section 73AAA. A meeting of the Board of Directors was therefore convened on 16.04.2013 in which meeting the amendment to bye law No. 56(I) was proposed and the proposed representation on the Board of Directors was accordingly to be 16 from the general category and 5 members from the nominated and reserved category making a total of 21 so as to be within the outer limit prescribed by Section 73AAA. The said amendment to bye law No. 56(I) was approved in the Meeting of the Board of Directors. The amendment of bye law No. 56(I) was thereafter placed before the general body of the Petitioner society in its meeting held on 05.05.2013 and in the said general body meeting also the amendment to bye law No. 56(I) providing for 16 directors from the general category and 5 directors from the nominated and reserved category came to be approved. The Petitioner society thereafter sent the proposal for amendments of the bye laws which include bye law No. 56(i) to the Registrar of Co -operative Societies. The Additional Registrar (Inspection & Election), Co -operative Societies by his order dated 24.04.2014 has granted approval to the amendments which have been carried out to the Petitioner society to its bye laws which includes the amended bye law No. 56(i)(a).