A court in Bombay has told a housing group that they can't just split into two without showing they can work separately. Here's what happened.
Sadguru Universal CHS Ltd., a housing group in Navi Mumbai, wanted to challenge a decision by the State of Maharashtra. The case involved several people, including Mr. Sanjay More, the group's representative, and Judge Amit Borkar.
Sadguru Universal CHS Ltd. argued that the building should have only one group. They said the developer, Sadguru Infra Project (I) Pvt. Ltd., registered two groups without telling everyone. One group was for residents, and another for shop owners. The residents weren't happy about this split.
The building in New Panvel (West) has 24 shops on the ground floor and 88 apartments above. The construction finished in 2020, and they got an Occupancy Certificate on June 24, 2020.
On December 8, 2021, the Assistant Registrar allowed the registration of two groups. The residents didn't like this and filed a revision. On June 27, 2024, the Honorable Minister of Cooperation dismissed their revision, saying two groups were okay under the Maharashtra Cooperative Societies Act.
Judge Amit Borkar looked into the issue on November 11, 2025. He said the law allows two groups only if they can work separately. This means they need separate entrances, utilities, and more.
"The law does not permit the developer to artificially divide one integrated building into different groups without showing that such groups can independently manage their affairs."
The court canceled the previous orders and told the Assistant Registrar to check if the building can really function as two separate groups. They have four months to do this.
The Assistant Registrar will conduct a detailed inquiry to see if two groups can exist independently. Until then, the building will remain as one group.
This case shows how important it is to follow the rules when setting up housing groups. It’s not just about splitting buildings but making sure they can actually work on their own.
