Mumbai: The Bombay High Court has asked the divisional joint registrar (DJR) to “expeditiously” examine the records of an 84-year-old building in Matunga, whose redevelopment is stuck in limbo due to dispute among society members.
The HC was hearing a plea by 37 members of the Kapole co-operative housing society, challenging the DJR's decision to quash the appointment of M/s Vallabh Developers to redevelop the dilapidated buildings.
Senior Advocate Simil Purohit, representing the petitioners, argued that there were 62 flats in the society and three members owned two flats each. Moreover, seven members had expired and their legal heirs had not applied for transfer of membership. Hence, there were only 52 members in the society. He claimed that at the special general meeting (SGM) held on August 14, 2022, 39 members were present, meeting the two-third quorum requirement. Of them, 28 members voted in favour of the redevelopment, satisfying the 51% criteria, argued Purohit.
However, Senior Advocate Dinyar Madan, representing the managing committee and other members, countered that the quorum should be calculated based on 62 members, requiring 42 members to be present at the SGM. Since only 39 members attended the meeting, there was no quorum hence the 51% criteria was not met, argued Madan.
Justice Sharmila Deshmukh observed that the DJR had not examined the society's records to determine the number of members as on the meeting date. The court hence remanded the matter back to the DJR. It directed the society to produce the register of members and list of members present at the SGM before the DJR.
The authority now has to examine the society records to determine whether there were enough members to establish the quorum and the 51% criteria was met for the redevelopment process.
“After the said exercise, if the quorum is met and the criteria of 51% is satisfied, the DJR's order of December 29, 2022, (nixing the appointment of Vallabh Developers) is to be withdrawn,” ruled the HC. Otherwise, the order will continue to stand, it added.
The members have already submitted necessary documents before the DJR, who has scheduled the matter later this week.
