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Can a member of a co-operative society be expelled by court order?

(Querist) 28 June 2012 This query is : Resolved 
This query is with respect to Maharashtra only. Under Sec: 35 of the Maharashtra Co-operative Societies Act, 1960 a member can be expelled by the General Body. It has also been held that a co-operative court has no jurisdiction to entertain the question about validity of expulsion by the General Body.[K. V. Sundaram vs. Raja Rajeshwar Housing Society Ltd. 1980 Mah.L.J.4] My query is in the opposite direction. If a General Body fails to expel an undesirable member, has a co-operative court or other civil court the jurisdiction to expel him? Is it that if the General Body does not act, other members have no alternative but to suffer the undesirable member?
Nadeem Qureshi (Expert) 29 June 2012
Dear Querist
you should contact a lawyer in your area
AMAR RANU (Expert) 29 June 2012
If majority of AGM/SGM of any co-operative housing society want to suffer the ignominy of such a public nuisance,what an individual member can do in such a pitiable situation?
Move an independent resolution to this effect before AGM/SGM by giving advance notice to MC and see what happens and thereafter,some solution may emerge.
Dr. MPS RAMANI Ph.D.[Tech.] (Querist) 30 June 2012
"If majority of AGM/SGM of any co-operative housing society want to suffer the ignominy of such a public nuisance,what an individual member can do in such a pitiable situation?"

Unfortunately that is the situation in this country. A majority of the people are either cowards, indifferent or pacifists. In fact that is the reason many heinous crimes go unpunished in this country.

Criminals get elected to parliament and assemblies and claim the people's court has acquitted them.
In the Tansi case against Jayalalitha, the Supreme Court held that court decision will supercede the so called people's verdict. How it can be otherwise in this case?
Even normally Society members are indifferent and do not attend General Meetings. Mostly meetings have to be held with no quorum.
If the agenda is about expulsion of a member people will not attend due to fear also. On the other hand the delinquent member will bring his own supporters by bribing, wining and dining. To cap it all the expulsion resolution has to be passed with a three-fourth majority. How all these are possible? For this reason only I did not heed the advise of our lawyer to call an EGM. Instead I requested him to file a case in the court. He has not told me 'No' so far. But I myself scanned through the relevant acts and previous judgments and I got this doubt. What I want to know is that if it is not possible in a co-operative court can one go to a civil court or High Court?
ajay sethi (Expert) 30 June 2012
one practical solution . i am secretary of my society for number of years . in our Society in respect of 50%flats members are not staying permanently .

inroder to encourage mebers to attned AGM in the notice circulated to members i clearly mention taht we shall be serving dinner for members and their faimiles attending the meeting .

the members attend with theri family members as it is a good chance to have get together . also serve drinks .

you will get good attendance . problem of quorum will be solved .

as far as explusion of member is concerned dont take a drastic step . issue show cause notice to member . let member reply to SCN . place the issue for necessary action before AGm . a reprimand from all members works wonders .
Dr. MPS RAMANI Ph.D.[Tech.] (Querist) 30 June 2012
To Mr. Ajay Sethi
You idea to ensure attendance at a general meeting is a good one. I am making note of it.
As regards drastic step the case is as under.
The member has been using his ground-floor residential flat as a shop from day one. After trying everything else we filed a case in the co-operative court in 2010. The member came to the court pleaded guilty and gave an undertaking that he would restore the flat to residential use. He also complied with the undertaking. But after a few months he resumed misuse of the flat. Our lawyer advised expulsion procedure. I thought that if the EGM fails to expel him, we would lose the advantage of court undertaking and thereafter we would also lose our moral authority. Our lawyer advised us to file a case again and it has been filed in the same court. Now he is repeating what he did in 2010, i.e. offering to give a similar undertaking. Thus this looks like a game.
The flat has an external door, as per the original approved plan 60 years ago, which facilitates use of the flat for commercial purposes. The member is stoutly resisting the closure of the door. No other groundfloor flat has such a door. We want to pray to the court for his expulsion only as a threat to make him agree to close the external door.
AMAR RANU (Expert) 30 June 2012
Regarding unlawful alterations in building approved plans,you can involve BMC in the aforesaid matter.
Secondly,if violation of court undertaking involves,file a contempt proceedings instead of expulsion.
I think aforesaid cumulative and simultaneous two actions on your part may provide some respite in the said sordid saga.
Dr. MPS RAMANI Ph.D.[Tech.] (Querist) 30 June 2012
(1) Regarding BMC, he had already purchased the corrupt BMC staff and we had hell of a time to get the actions reversed thanks to RTI Act 2005
(2) The Contempt of Court Act is a toothless law. All lawyers here advised me against it and they were right. There is no punishment if the accused apologises (that is what he is doing now) and maximum punishment is 6 months simple imprisonment. This is termed as a civil contempt case and punishment. if any, is much less than in criminal contempt.
ajay sethi (Expert) 30 June 2012
in case member has repeated use of flat for commerical premises in breach of undertaking you have taken wise stpe of moving court again .

you can also in AGM lay down guidelines for imposition of penalty . pass a resolution that if member converts residential flat into commercial penalty of rs ________ will be levied . if inspite of penalty member persisits in using premises for commercial purposes Society shall expel the member after follwing procedure . it may act as a detterent

Dr. MPS RAMANI Ph.D.[Tech.] (Querist) 30 June 2012
The title of my query is the query itself. It expects an yes or no answer with or without any elaboration, that may be necessary. I have not received it so far.
AMAR RANU (Expert) 01 July 2012
In contempt law,civil or criminal,no apology is accepted by the court if the accused is habitual offender.

If contempt law is so "toothless",as claimed by you,then no judiciary can function in this country.
Regrading yes or no answer,it is well settled that expulsion issue will be dealt with by the Registrar of the societies and co-operative court has no jurisdiction in the matter.

If you are directly affected and genuine aggrieved party in the aforesaid matter,then file a writ petition in HC by making all concerned including society and BMC as party.


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