Mumbai: The Supreme Court has dismissed a Special Leave Petition filed by the managing committee (MC) of Matunga’s Kapol Co-operative Housing Society, challenging a Bombay High Court order directing an urgent special general body meeting (SGM) to decide on the redevelopment of the society’s 84-year-old building.
The HC, on March 13, directed the SGM while hearing a plea by 37 society members accusing three MC members—Dr Vijay Shah, Dr Meena Shah, and Girish Chauhan—of stalling the project.
Justice Sandeep Marne observed that although the trio had the right to contest their removal from the MC, the redevelopment could not be delayed any further. Given the “peculiar facts and circumstances” of the case, the HC adopted an “unusual course of action” by ordering the SGM.
The conflict began on September 5, 2023, when the assistant registrar disqualified the three MC members under Section 78A (ower of registrar to supersede the MC or remove any member thereof) of the Maharashtra Co-operative Societies (MCS) Act for unilaterally terminating M/s Vallabh Developers, the approved developer, without the general body’s consent.
However, on June 13, 2024, the divisional joint registrar (DJR) overturned this decision. This led 37 members to approach the HC, contending that 45 of 51 eligible members supported the redevelopment and alleging the disqualified MC members were obstructing the project for personal motives.
In November 2024, the HC quashed the DJR’s order, clearing the path for redevelopment. The petitioners also accused the MC of arm-twisting the developer and misusing their authority.
Before the HC, the MC argued that the petitioners had an alternative remedy under the MCS Act, by approaching the co-operation minister. However, the court acknowledged the urgency, noting BMC’s warning of potential disconnection of water and electricity due to the building’s poor condition.
The redevelopment saga dates back to August 14, 2022, when an SGM approved the project with 28 members voting in favour—crossing the 51% threshold. The MC later disputed the quorum, insisting deceased members and those owning multiple flats should be counted, which would invalidate the approval.
Dismissing the MC’s plea, the SC bench of Justices Dipankar Datta and Manmohan, on April 4, said, “We are not inclined to interfere with the impugned judgment(s) and order(s) of the High Court; hence, the special leave petitions are dismissed.”