**Mumbai: Bombay High Court Stays Disqualification of Dadar Housing Society Committee, Terms Action ‘Wholly Disproportionate’**

The Bombay High Court has stayed the disqualification of the managing committee of a Dadar-based housing society, along with the appointment of an administrator. The court described the action as “wholly disproportionate.”

**Petitioner Challenges Disqualification and Appointment Orders**

The petition was filed by Dhananjay Raghunath Daund, the secretary of Desai Harmony Co-Operative Housing Society. Daund challenged two orders — one that disqualified the managing committee, and another that appointed an authorized officer to take over the society’s administration.

**Complaint Led to Committee’s Disqualification**

The committee was disqualified following a complaint by one of the society’s members. After the disqualification, Daund appealed before the appellate authority, which admitted his appeal but refused to grant interim relief. Consequently, he approached the Bombay High Court.

**Arguments Presented and Court’s Observations**

The complainant’s advocate argued that the matter had already been heard by the appellate authority and a decision was expected shortly. However, Justice Amit Borkar refused to adjourn the hearing, observing that, “To defer the matter would result in perpetuation of a manifest injustice, which the law does not countenance.”

**Court Highlights Excessive Punishment**

The judge noted that the committee faced disqualification solely for failing to submit two financial statements: an unaudited statement of affairs and an income and expenditure account. Moreover, even the show-cause notice referred to different documents.

Calling the punishment excessive, the court stated, “The disqualification of the entire committee and supersession of its elected mandate on the basis of non-furnishing of two financial statements, without establishing mala fides, fraud, or misappropriation, runs contrary to the spirit of the co-operative movement.”

**Emphasis on the Principle of Proportionality**

Justice Borkar emphasized that elected bodies should not be superseded for “minor procedural lapses.” He reiterated the principle of proportionality, stating that the punishment must be commensurate with the lapse.

**Interim Relief Granted**

The Bombay High Court has stayed the disqualification and appointment orders until the appellate authority delivers its decision. Even if the appellate authority rules against the committee, the interim relief will continue for six weeks to provide adequate time for further appeals.

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https://www.freepressjournal.in/mumbai/bombay-hc-stays-disqualification-of-dadar-housing-society-committee-calls-action-wholly-disproportionate