Friday, October 1, 2010

Amendments of Bye

Part 2

v     Amended Bye-Laws :  Interpretation & Applicability
The question regarding interpretation and applicability of the amended bye-law can be settled only by the Court in a dispute under section 91 of the Act.  [Wadala Shriram Industrial Premises Co-operative Society Limited, Mumbai v. Kotecha and Company, 2001(4) Mh. L.J. 616]

v     Challenge to Amendment of bye-law
Amendment to the bye-law of Petitioner Society.  Order was passed u/s. 13 Mah. Co-op. Societies Act registering the amendment of bye-laws. There is no express provision to limit the scope of appeal only against an order refusing to register the amendment to limit the scope of appeal only against an order refusing to register the amendment of bye-laws and not against an order registering the same. Appeal against any order passed under section 13 of the Act, either registering or refusing to register the amendment, is amenable to appeal u/s 152 of the Act at the instance of the aggrieved person(s).

[Wadala Shri Ram Industrial Premises Co-operative Society Limited v. Kotecha & Company and Ors.2001 (3) All MR 26; 2001(4) Mh.L.J. 616; 2001(4) Bom.C.R.365]


v     The legality of the Bye-laws
The approval by the Registrar would not validate the void provisions of the bye-laws as it only ensures completion of the formalities in adopting the amendment to the bye-laws of the society and the legality of the bye-laws can only be challenged in the Co-operative Court under the provisions of Section 91 of the Act.

No question arises in relation to approaching the Registrar for that purpose as it is clear that the Registrar is an authority only to approve of the recommendation and is not competent to consider the legality of the bye-laws vis-à-vis the members of the society.

Case law at the end
A.    I. Umrani & Ors. V. Saraswat S. C.H.S. Ltd. v. Anr. 1985 C.T.J. 357 ( M.S. C. Appellate Court )

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.