Tells Registrar to hold special meeting of Ribandar-based housing society in 4 weeks
Panaji: The High Court of Bombay at Goa has held that members of a co-operative society have a statutory right to remove office-bearers through a no-confidence motion and directed the Registrar of Co-operative Societies to convene a Special General Body Meeting of the Saras Co-operative Housing Society, Ribandar, within four weeks.
The order came on a petition filed by Shrikrishna Upendrarao Kamat and 12 other members of the society.
The court rejected the contention that subsequent amendments had “eclipsed” the rights of members. It held that Sections 58, 58A and 59A of the Goa Co-operative Societies Act operate harmoniously in distinct fields.
“The management of its (co-operative society’s) affairs ultimately remains answerable to the members of the General Body. The Act itself recognises the supremacy of the General Body by conferring upon the members various statutory rights, including the right to requisition a Special General Body Meeting,” it stated.
The court further stated that “democratic accountability is the very essence of cooperative governance” and that a leadership “captain” cannot continue when the “co-sailors” have lost confidence.
The HC found that the Registrar had failed to act on a valid requisition submitted by members. It also directed the Registrar to decide a pending representation regarding the society’s vacant SC/ST committee seat.
The court refrained from expressing any opinion on the allegations of financial mismanagement, leaving those issues to the members to consider during the proposed meeting.
The dispute arose over the alleged mismanagement of the society. The petitioners alleged non-payment of electricity bills, disruption of water supply and failure to maintain facilities such as the lift and sewage treatment plant, and produced invoices and disconnection notices in support of their claims.
On January 11, more than one-tenth of the society’s members submitted a requisition seeking a Special General Body Meeting to move a no-confidence motion. According to the petition, the Managing Committee ignored the requisition and instead convened a meeting to discuss unrelated subjects.
The respondents argued that Section 59A, introduced through a 2001 amendment, had rendered Section 58A redundant and that only the Board of Directors, and not the General Body, had the power to remove office-bearers.
