Registrar Lacks Jurisdiction To Issue NOC For Change Of User In Housing Societies: Bombay HC

In a significant ruling curbing administrative overreach, the Bombay High Court has declared that the Deputy Registrar of Co-operative Societies possesses no statutory authority to bypass a housing society's autonomy by directly issuing No Objection Certificates for converting residential flats into commercial premises. Justice Sandeep V. Marne set aside orders that had permitted commercial use of a ground-floor flat, emphasizing that the Maharashtra Co-operative Societies Act, 1960 does not empower regulatory officers to usurp the functions of a society’s managing committee or general body in matters of property usage.

The Limits of Registrar's Jurisdiction

The Petitioner-society, registered under the Maharashtra Co-operative Societies Act, 1960, challenged an NOC issued by the Deputy Registrar which allowed a member to use a residential flat for commercial purposes. The Bombay High Court observed that the Deputy Registrar had acted without quoting any specific legal provision and had failed to afford the society a hearing.

The Bombay High Court noted that neither Section 79 nor the newly introduced Section 154B-27 of the Maharashtra Co-operative Societies Act, 1960 (under the Constitution of India, 1950) grants the Registrar the power to issue such certificates. The Bench relied on precedents like Siddharth Borivali Cooperative Housing Society Limited Versus. State of Maharashtra and others and Oberoi Springs Cooperative Housing Society Limited Versus. Deputy Registrar Cooperative Society to interpret the scope of these provisions.

In its reasoning, the Bombay High Court observed that "The Deputy Registrar has no jurisdiction or authority to issue such an NOC in his own capacity. The provisions of the MCS Act, do not contemplate issuance of an NOC by the Deputy Registrar for a change in the use of the premises. Even assuming arguendo that the Deputy Registrar has the power to direct the society to issue an NOC, such power cannot, by any stretch of interpretation, be construed as conferring upon him the authority to issue the NOC himself."

Background

The dispute arose when the owners of Flat No. 3 in Surya Lok Co-operative Housing Society sought to convert their residential unit into a commercial space. Despite the society's building being sanctioned exclusively for residential use and the members providing an undertaking to use the flat for residential purposes to secure membership, they approached the Deputy Registrar when the society refused an NOC. The Deputy Registrar issued the NOC without hearing the society, which was subsequently confirmed by the Divisional Joint Registrar in revision.

The Petitioner argued that the building was entirely residential and that the Registrar had usurped the society's powers. The Respondents claimed that ground floor flats were already being used commercially and that the society's refusal was arbitrary. The Bombay High Court referred to Vaibhav Industrial Premises Cooperative Society Ltd. Versus. Divisional Joint Registrar Cooperative Society and Shree Raghunandan CHS Ltd. versus. State of Maharashtra regarding the interpretation of administrative powers and the finality of society resolutions. Ultimately, the Bench found the Registrar's action "ab-initio void" and directed the parties to the Co-operative Court under Section 91 for any further adjudication.

Case Details:
Case No.: WRIT PETITION NO. 14286 OF 2018
Neutral Citation: 2026:BHC-AS:44326
Case Title: Surya Lok Co-operative Housing Society Ltd. v. Deputy Registrar of Co-operative Society & Anr.
Appearances:
For the Petitioner(s): Mr. Naushad Engineer, Senior Advocate with Ms. Neeta Jain, Mr. Aman Anand, Ms. Naina Jain & Ms. Aditi Sharma i/b K.J. Legal & Associates
For the Respondent(s): Mr. Anil Sakhare, Senior Advocate i/b Mr. Joel J. Carlos for R-2; Ms. S.D. Chipade, AGP for R-1

Source: 2026 CaseBase(BOM) 7139