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Bombay HC: Bifurcation Quashed for Natural Justice Violation and Non-Compliance with MCS Act

Case Law Details

TaxGuru Citation
2026 taxguru.in 10628
Case Name
Jay Anand Co.operative Housing Society Ltd. Vs State of Maharashtra & Ors. (Bombay High Court)
Date of Judgement/Order
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Jay Anand Co.operative Housing Society Ltd. Vs State of Maharashtra & Ors. (Bombay High Court)

The Bombay High Court disposed of Writ Petition No.478 of 2020, Writ Petition No.2936 of 2022 and Contempt Petition (L) No.35195 of 2022 concerning the bifurcation of Jay Anand Co-Operative Housing Society Ltd., an exemption granted for formation of a new society, a subsequent deemed conveyance, and alleged violation of a status quo order.

The petitioner society owned land measuring 1309.80 sq. mtrs. bearing Plot No.105, Final Plot No.88, TPS (III), Borivali, Mumbai. Its building comprised Wings A and B with 22 tenements, and the society was registered on 14 September 1988 with 22 members. The petitioner had applied for deemed conveyance on 11 February 2015, and an order of deemed conveyance was subsequently passed in its favour on 27 May 2016.

Respondent Nos.4 to 6 later proposed bifurcation of the society. The proposal was made on 27 December 2016. A hearing was held by Respondent No.3 on 16 February 2017, and the bifurcation proposal was forwarded to the Maharashtra District Housing Federation for remarks. The Ministry of Cooperation and Industry, Government of Maharashtra granted an exemption on 8 December 2017 under Section 7 of the Maharashtra Co-Operative Societies Act, 1960 (MCS Act) for formation of the proposed new society. The petitioner contended that the exemption was granted without notice or hearing.

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Author Info

CA Sandeep Kanoi
Qualification: CA in Job / Business
Company: Taxguru Consultancy
Location: Mumbai, Maharashtra
Articles Published: 19,782

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