Page No.# 1/6 GAHC010027932025 2025:GAU-AS:4815 THE GAUHATI HIGH COURT (HIGH COURT OF ASSAM, NAGALAND, MIZORAM AND ARUNACHAL PRADESH) Case No. : WP(C)/762/2025 DILIP KR SAHA S/O- HARSHA KUMAR SAHA, RESIDENT OF VILL CHAGOLIA PT II, P.S-AGAMONI, DIST- DHUBRI, ASSAM, PIN-783335 VERSUS THE STATE OF ASSAM REPRESENTED BY THE SECRETARY TO THE GOVT OF ASSAM, COORPERATION DEPARTMENT, DISPUR, GUWAHATI-06 2:THE REGISTER OF COOP SOCIETIES ASSAM KHANAPARA GUWAHATI-22 3:THE DISTRICT DEPUTY REGISTRAR OF COOP SCCIETIES DHUBRI P.O AND DIST-DHUBRI PIN-783301 ASSAM 4:THE ASOM BAHUMUKHI SAMABAY SAMITY LTD CHAGOLIA BRANCH P.O- CHAGOLIA P.S-AGOMONI DIST-DHUBRI ASSA Advocate for the Petitioner : ROFIQUL ISLAM, T TALUKDAR Page No.# 2/6 Advocate for the Respondent : SC, CO OP, GA, ASSAM BEFORE HONOURABLE MR. JUSTICE ARUN DEV CHOUDHURY ORDER Date : 22-04-2025 1. Heard Mr. R. Islam, learned counsel for the petitioner. Also heard Ms. M. D. Borah, learned Standing Counsel, Co-operation Department representing the respondent Nos. 1, 2 and 3. None appears for the respondent No. 4. 2. The petitioner rented out his house i.e. First Floor of RCC Building as office accommodation of the respondent No. 4, namely, Asom Bahumukhi Samabai Samiti Ltd., Chagolia Branch, a Co-operative Society registered under Assam Co-operative Societies Act, 2007. Such tenancy started w.e.f. 01.04.2022. 3. The Registrar of Co-operative Societies, Assam i.e. the respondent No. 2, issued an order on 30.12.2022 in exercise of its power conferred under Section 126 of the Assam Co-operative Societies Act, 2007 (hereinafter referred to as Act, 2007) directing seizure and sealing of number of branches of respondent No. 4, including the Chagolia Branch, which is the subject matter of the present writ petition. 4. On the basis of such order dated 30.12.2022, the Deputy Registrar of Co-operative Societies, Dhubri i.e. the respondent No. 3 constituted a team and authorized the said team to seize and seal the branches of the respondent No. 4. Accordingly, different documents were seized and the First Floor of the RCC Building in question came to be placed under lock since then. It is not disputed by the respondent Co-operation Department that such Page No.# 3/6 building is under sealed as on date. However, Ms. M. D. Borah, learned Standing Counsel for the Co-operation Department submits that due to the pendency of this writ petition, they have not de-sealed the house, however, they have no objection, if direction is issued to de-seal the First Floor of the RCC Building. 5. The learned counsel for the petitioner submits that there is no power under Section 126 of the Act, 2007 to seal an immovable property and therefore, sealing of the house of the petitioner is out and out illegal, without jurisdiction which lead to violation of the petitioner’s right of livelihood protected under Article 21 of the Constitution of India without due process of law inasmuch he could not earn rental income for last almost three years as it is under the custody of the respondent Co-operation Department nor he could cancel the tenancy agreement with the respondent No. 4 and rent out it afresh. Therefore, according to him, this is a fit case, where this Court should direct the respondent authorities to pay compensation to him. 6. On the other hand, Ms. M. D. Borah, learned Standing Counsel for the Co-operation Department submits that the respondent Co-operation Department should not be fastened with any compensation inasmuch as they are willing to de-seal the First Floor of the RCC Building and the agreement of tenancy is still subsisting and therefore, if any claim is there for payment of rent, it is against the respondent No. 4 and cannot be against the Co- operation Department. 7. This Court has given the anxious consideration to the submissions advanced by the learned counsel for the parties. 8. The facts are not in dispute that the petitioner is the owner of the First Floor of the RCC Building in question and that it was rented out to the Page No.# 4/6 respondent No. 4 i.e. Asom Bahumukhi Samabai Samiti Ltd., Chagolia Branch. It is also not in dispute that the said First Floor of the RCC Building was sealed in exercise of power under Section 126 of the Act, 2007. Therefore, this Court is first to decide whether the authorities are having any power to seal an immovable property in exercise of power under Section 126 (1) of the Act, 2007. 9. The Section 126(1) of the Act, 2007 being the bone of contention and purported source of power for the impugned action, is re-produced herein below:- “….126(1) Power to seize records of society- If the Registrar or any person authorized by him in this behalf, while making audit, inspection, inquiry or supervision, as the case may be believe or has reason to believe that the registered society is not keeping or maintaining the accounts, books and records of the society properly or finds or reasonably suspects gross negligence of duties misappropriation or misuse of fund of the society irregularity in recording proceeding or keeping accounts or books he shall have power to take possession of any or all books, registers or documents, cash in hand or accounts books of the society and remove such seized property as may be directed by the Registrar. 10. From reading of the aforesaid provision of law, there is no doubt in the mind of this Court that the Registrar of the Co-operative Societies or any person authorized by him in this behalf, is empowered to seize record of a society. Under such provision they shall also have power to take possession of any or all books, registers or documents, cash in hand or accounts books of the society and remove such seized property as may be directed by the Registrar, when the Registrar of Co-operative Society or the person authorized by him is having reason to believe, while doing audit, carrying out Page No.# 5/6 inspection, inquiry or supervision that the registered society is not keeping or maintaining the accounts, books and records of the society properly or if the Registrar or his authorized person reasonably suspects gross negligence of duties, misappropriation or misuse of fund of the society etc. 11. 11. Thus, bare reading of the aforesaid provision, leaves no room of doubt that the power of the Registrar of Co-operative Society or any person authorized by him while exercising power under Section 126(1) of the Act, 2007, would not include sealing and seizure of any immovable property. The power in this regard is the power to seize what is enumerated in the Section 126(1) of the Act, 2007 i.e. all books, registers, documents, cash in hand or accounts books of the society etc. and by no stress of imagination, such power of seizure can be extended to seal an immovable property used as an office of such defaulting society. This Court, after reading of the provision of Section 126 of the Act, 2007 is having no iota of doubt in its mind that the Registrar or his authorized person, under Section 126(1) of the Act, 2007, shall not have any right to seal an immovable property. 12. Thus, it is held that the sealing of the immovable property i.e. First Floor of the RCC Building in question, which was rented out to the respondent No. 4 i.e. Asom Bahumukhi Samabai Samiti Ltd., is an high handed action without jurisdiction and therefore illegal and not sustainable in law. Accordingly, it is directed that the immovable property in question be de- sealed forthwith. 13. This court cannot remain oblivious of the fact that for such illegal act of the department, the petitioner has immensely suffered inasmuch as the immovable property has been under custody of the Registrar of the Cooperative Societies for which the petitioner was deprived of his right of possession without following due process of law. Thus, the aforesaid illegal Page No.# 6/6 action of the respondent authorities has violated the right of the petitioner under Articles 21 and 300A of the Constitution of India and therefore, in the considered opinion of this Court, this is a fit case, where cost should be imposed upon the department for illegal and highhanded action and the aforesaid cost is quantified @ Rs. 1.00 lakh. However, such compensation shall not debar the petitioner to seek damages and compensation before the appropriate forum. Such payment be made to the petitioner by the Registrar of Co-operative Society, Assam within a period of six weeks from furnishing of a certified copy of this order before it by the petitioner. 14. This disposes the writ petition. 15. The instruction dated 04.04.2025 furnished by Ms. M. D. Borah, learned Standing Counsel for the Co-operation Department is kept on record. JUDGE Comparing Assistant