1997 (3) TMI 612 - SC - Indian Laws

Summary

Issues Involved:
1. Membership Disqualification u/r 25(1)(c)(iii) of the Delhi Co-operative Societies Rules, 1973.
2. Interpretation of sub-rule (2) of Rule 25 and Rule 28 of the Delhi Co-operative Societies Rules, 1973.
3. Validity of the Registrar's Order and subsequent orders by the Lt. Governor and Delhi High Court.

Summary:

1. Membership Disqualification u/r 25(1)(c)(iii):
The appellant was a member of Dronacharaya Co-operative Group Housing Society since August 9, 1980, and later became a member of Tribal Co-operative Housing Society Ltd. on November 29, 1983. The Registrar, Co-operative Societies issued a notice on October 22, 1992, stating that the appellant filed a false affidavit to become a member of the Tribal Co-operative Housing Society Ltd., thereby incurring disqualification u/r 25(1)(c)(iii) and ceasing to be a member of both societies u/r 25(2). The appellant argued that he resigned from the Tribal Co-operative Housing Society Ltd. on June 7, 1991, prior to the notice, and was unaware of the rule prohibiting dual membership.

2. Interpretation of sub-rule (2) of Rule 25 and Rule 28:
The appellant contended that sub-rule (2) of Rule 25 should be interpreted to mean cessation of membership only from the subsequent society where disqualification was incurred, not both societies. The respondents argued that the rules should be read together, indicating cessation from both societies to prevent land and flat grabbing. The court emphasized the principle of harmonious construction, stating that sub-rule (2) of Rule 25 and Rule 28 should be interpreted to allow both provisions to operate without conflict. The court concluded that deemed cessation u/r 25(2) pertains only to the society where disqualification was incurred, not both societies.

3. Validity of the Registrar's Order and subsequent orders:
The Registrar's order dated February 23, 1993, the Lt. Governor's revisional order dated August 25, 1993, and the Delhi High Court's judgment dated March 20, 1996, were challenged. The court found that the Registrar erred in interpreting sub-rule (2) of Rule 25, leading to the wrongful cessation of the appellant's membership from both societies. The court quashed the impugned orders, holding that the appellant ceased to be a member of the Tribal Co-operative Housing Society Ltd. from November 1983, but his membership in Dronacharaya Co-operative Group Housing Society remained unaffected.

Conclusion:
The appeal was allowed, and the court directed the Dronacharaya Co-operative Group Housing Society Ltd. to allot a flat to the appellant, as per the interim order dated July 11, 1996, upon satisfying any other required conditions. No order as to costs was made.