Summary: The Bombay High Court canceled the orders for splitting and transferring property rights of Jay Anand Co-operative Housing Society (CHS) because the process was not followed correctly and the society was not given a fair chance to present their side.
The Case Begins
In 2020, Jay Anand Co-operative Housing Society (CHS) in Borivali, Mumbai, entered a legal dispute against the State of Maharashtra and others. The society challenged two orders: one for splitting the society into two and another for transferring property rights to a newly formed society, Jay Anand Bungalow CHS.
Splitting Issues
- Order Details: On November 3, 2018, an order was issued to split Jay Anand CHS under specific sections of the Maharashtra Co-Operative Societies Act (MCS Act).
- Society's Argument: The society argued that the split was done without their agreement and without a proper chance to be heard, which was unfair.
Property Rights Controversy
- Order Details: On November 5, 2020, property rights were given to Jay Anand Bungalow CHS.
- Society's Argument: Jay Anand CHS claimed this was wrong since they were already given property rights in 2016, making the new order unnecessary.
Court's Findings
- Process Mistakes: The court found that the society was not given a fair chance to speak before the split order, which was against the rules.
- Wrong Order for New Society: The permission to form a new society was given under the wrong rule, which should have been used for existing societies.
Key Dates and Events
- September 2021: Court ordered that nothing should change regarding the land involved in the property rights transfer.
- January 30, 2026: The judgment was given by Justice R.I. Chagla, canceling the orders due to mistakes in the process and lack of authority.
Summary of Verdict
The court sided with Jay Anand CHS, canceling the orders for splitting and transferring property rights. The judgment highlighted the need for fairness and correct application of the law, marking a significant win for the society.
