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2025 DAILYLAW 3272 (BOM)

AKOLA DISTRICT LABOUR COOPERATIVE SOC. FEDERATION LTD., AKOLA THR. DIRECTOR, PRDHUMMNA P. GADAGE v. STATE OF MAHA., THR. SECRETARY, MINISTER OF COOP., MARKETING AND TEXTILE, MUMBAI AND ORS.

WP/7578/2025 · 2026-07-27

Shri Anil S Kilor, Shri Raj D Wakode

body2025

Judgment text

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1 13) WP 7578-2025-J.odt IN THE HIGH COURT OF JUDICATURE AT BOMBAY, NAGPUR BENCH AT NAGPUR WRIT PETITION NO. 7578 OF 202 5 Akola District Labour Cooperative Society Federation Limited, Akola, bearing Regd. No.AKL/GNL/107, Through its Director Prdhummna S/o Prakash Gadage, Aged about 30 years, Occupation - Director, Akola Dist. Labour Societies Federation, Office at:- Near Usman Azad Urdu School, Ratanlal Plot Akola, Tah. and District – Akola. ... PETITIONER // VERSUS // 1. State of Maharashtra, Through its Secretary, Minister of Cooperation, Marketing and Textile Department, Mantralaya, Mumbai - 400 032. 2. Section Officer, Minister of Cooperation, Marketing and Textile Department, Mantralaya, Mumbai - 400 032. 3. Commissioner of Co-operative and Registrar, Co-operative Societies, Pune. 2026:BHC-NAG:9901-DB 2 13) WP 7578-2025-J.odt 4. Additional Registrar, (Pat Sanstha) Cooperative Societies, 2nd floor, New Central building, Pune- 411001 5. Divisional Joint Registrar, Co- operative Societies, Amravati, Office at Sahakar Sankul, Kantinagar, Amravati ... RESPONDENTS ------------------------------------------------------------------------------- Shri Akshay Naik, Senior Advocate a/b. Shri P.K. Mohta, Advocate for petitioner. Shri P.P.Pendke, AGP for respondent/State. Shri S.S.Sarda, Advocate for Intervenor. -------------------------------------------------------------------------------- CORAM : ANIL S. KILOR AND RAJ D. WAKODE , J J . DATED : J UL Y 27, 2026. ORAL JUDGMENT : (Per : Anil S. Kilor, J) 1. Heard. 2. RULE. Rule made returnable forthwith. Heard finally by consent of the learned counsel for the respective parties. 3. A small issue involved in the present petition is whether the order passed by the Additional Registrar (Pat 3 13) WP 7578-2025-J.odt Sanstha), Co-operative Societies, Pune directing to hold an inquiry into the working of the petitioner/Federation, is permissible under the provisions of law, more particularly, under the provisions of the Maharashtra Co-operative Societies Act, 1960 (for short, “the Act of 1960”). 4. Few facts, which are relevant, are as under:- (i) The elections of the petitioner/Federation were conducted, and the results were declared on 12/06/2025. Thereupon, the Managing Committee of the society took the charge of the society. (ii) Thereafter, within three months, one of the members labour society along with the other labour societies who were not the members of the petitioner/Federation approached the Hon’ble State Minister with a letter of the local Member of Legislative Council (MLC), requesting the Hon’ble State Minister to conduct an inquiry into the functioning of the petitioner/Federation, considering the allegations and the complaints made by the above referred labour societies. 4 13) WP 7578-2025-J.odt (iii) Thereupon, the Hon’ble State Minister, on 29/10/2025, put a handwritten note on it addressing the Commissioner and Registrar, Co-operative Societies, Pune, directing him to conduct an inquiry and submit a report within one month. (iv) Thereupon, the Desk Officer, Government of Maharashtra, on 07/11/2025, wrote a letter to the Commissioner and Registrar, Co-operative Societies, Pune to hold an inquiry, which culminated into issuance of order dated 14/11/2025 by the Additional Registrar (Pat Sanstha) Co-operatives Societies, Pune issuing direction to hold an inquiry against the petitioner/Federation by appointing a Committee of five members, which would be headed by the Assistant Registrar, Co-operative Societies, Nandgaon Khandeshwar, District Amravati. Hence, this petition. 5. Mr. Naik, learned senior counsel a/b. Shri P.K. Mohta, learned counsel appearing for petitioner/Federation argues that the provision for conducting an inquiry by the 5 13) WP 7578-2025-J.odt Registrar into the constitution, working and financial conditions of the Society, is provided under Section 83 of the Act of 1960. He submits that such inquiry could be initiated by three modes i.e. (i) the Registrar may suo-motu conduct an inquiry or (ii) on the application of the one-fifth members of the society or (iii) on the basis of Special Report under the third proviso to sub-section (5B) of Section 81 of the Act of 1960. It is submitted that in the present matter, none of such contingencies arose while issuing direction to hold an inquiry. In short, his submission is that the Hon’ble State Minister without jurisdiction or authority under the law issued a direction to hold an inquiry and thereby exceeded its jurisdiction. He, therefore, submits that such inquiry is not permissible. 6. Shri Pendke, learned AGP submits that it’s a just inquiry and it will not cause prejudice to the petitioner. He, therefore, suggests the petitioner to face the inquiry. According to him, there is no illegality committed by the 6 13) WP 7578-2025-J.odt Hon’ble State Minister. He further submits that the allegations are so serious, and considering such allegations, the Hon’ble State Minister deemed it fit to interfere in the matter and to issue directions to the Commissioner and Registrar, Co-operative Societies, Pune to conduct an inquiry. 7. Shri Sarda, the learned counsel appearing for the Intervenors i.e. the labour societies who made the complaint, submits that the present petition is not maintainable as alternate remedy is available by way of revision before the Hon’ble Minister. 8. He submits that the complaints were made directly to the Registrar and also to the Government. While pointing out the letter of the Desk Officer, he states that the Desk Officer referred their complaints in his letter. He, therefore, submits that it can be said that an inquiry was initiated by the Registrar on the complaints of the Labour Societes. 9. Having heard the rival submissions and gone through the record, at the outset, we reject the preliminary 7 13) WP 7578-2025-J.odt objection about the maintainability, for the reason that the revision is provided before the Hon’ble Minister at whose instance the inquiry in the present matter was initiated. Thus, such remedy is illusory. 10. Further, since it is the case of the petitioner/Federation that the Hon’ble Minister exceeded its jurisdiction and, without any authority and jurisdiction, directed the Commissioner and the Registrar, Co-operative Societies to conduct an inquiry into the functioning of the petitioner/Federation, the petitioner can maintain the present petition. 11. The language of Sub-section 1 of Section 83 of the Act of 1960, which relates to inquiry by the Registrar, is very clear and it is evident from the language of said provision that the Registrar may conduct an inquiry into the constitution, working and financial conditions of the society in the following three contingencies:- (i) Suo-motu or 8 13) WP 7578-2025-J.odt (ii) on the application of the one-fifth members of the society or (iii) on the basis of Special Report under the third proviso to sub-section (5B) of Section 81 of he Act of 1960. 12. Admittedly, in the present matter, on a request made by the Labour Societies to the local MLC, one of whom is a member of the petitioner/Federation, the local MLC requested the Hon’ble Minister to conduct an inquiry into the affairs of the petitioner/Federation. 13. The impugned order issued by the Additional Registrar does not disclose application of mind by him to conduct any suo motu inquiry, or it does not say that he received any application from one-fifth members of the society or even there is no mention of third contingency i.e. about the Special Report. 14. Thus, it is apparent from the above referred discussion that the inquiry in this case was initiated against the petitioner/Federation pursuant to the direction of the Hon’ble State Minister. 9 13) WP 7578-2025-J.odt 15. Though it is the contention of the learned AGP that it is a just inquiry and it will not cause any prejudice to the petitioner/Federation, we do not find favour to such argument, for the reason that, any inquiry which is not permissible and which is not in accordance with the provisions of the statute, is nothing but harassment for such society. 16. The legislature has provided remedy in cases of any complaint by the member societies against the Federation like petitioner. Bypassing such remedy and directly approaching the Hon’ble Minister to initiate inquiry, certainly will cause prejudice. 17. This is for the simple reason that it amounts to interfere with the smooth working of the Managing Committee of the petitioner/Federation, which is constituted in a democratic way under the statute and managing the affairs to achieve the purpose and object of the Act of 1960. 18. The principle in Taylor v. Taylor (1875) 1 Ch D 426 10 13) WP 7578-2025-J.odt is that where a statute provides that a thing is to be done in a particular manner, it must be done in that manner or not at all. 19. Having held so, we have no hesitation to hold that the Hon’ble State Minister has exceeded its jurisdiction and, without any authority or power under the statute, issued direction to the Commissioner and Registrar, Co-operative Societies to conduct an inquiry against the petitioner/Federation. Hence, we pass the following order:- ORDER i) The Writ Petition is allowed. ii) The letter/order dated 14/11/2025 issued by the respondent no. 4/Additional Registrar (Pat Sanstha) Co-operative Societies, Pune and letter/order dated 26/11/2026 issued by the respondent no. 5 appointing five members Committee, are hereby quashed and set aside. Consequently, the order dated 29/10/2025 issued by the Hon’ble State 11 13) WP 7578-2025-J.odt Minister directing the Commissioner and Registrar, Co-operative Societies, Pune to hold an inquiry against the petitioner, is set aside. The Rule is made absolute accordingly. No order as to costs. (RAJ D. WAKODE, J.) (ANIL S. KILOR, J.) Khapekar