Cooperative Society – Modern Cooperative Group Housing Society had approved strength of 211 members – 27 members were expelled including the present contempt petitioners – 15 new members including the alleged contemnors were inducted against the vacancies – Expulsion of those 27 members was challenged and finally Supreme Court accepted their claim and directed their adjustment against the unallotted flats – Newly inducted members including the alleged contemnors approached Supreme Court – Directed to move the Administrator/Registrar,Cooperative Societies – Registrar, Cooperative Societies vide order dtd. 24.02.12 set aside the allotment of flats to them and directed re-admission of 14 persons as members of the Society – Order challenged before the High Court – Rejected – Special leave petitions dismissed by Supreme Court, however liberty granted to the petitioners to file undertakings to vacate the apartments in their occupation – Undertakings filed – Present contempt petitions filed alleging that despite undertakings the alleged contemnors failed to vacate the apartments in question – Order passed by Supreme Court on 10.01.19 – Affidavits filed by the alleged contemnors indicating their willingness to deposit Rs.30 lakhs, for construction of a new building in the society, as stated in the said order – Held: Contemnors violated the orders passed by Supreme Court as despite having furnished the undertakings they failed to vacate and hand over possession – But there are certain equities in their favour – They were inducted as members not clandestinely but against the resultant vacancies after expulsion of certain members, they paid all the instalments in time, on the basis of such instalments paid by the members including the alleged contemnors, the construction was completed and they were put in possession of the apartments soon thereafter –In view of the reports made by the Architect a new building can be constructed with 18 apartments– Alleged contemnors to vacate their respective apartments – Apartments so vacated be allotted to those persons who were directed to be re-admitted as members in order dtd. 24.02.12 – Each of the alleged contemnors, if he or she desires to have a new apartment in the newly erected building, shall deposit Rs.10 lakhs with the Administrator,Cooperative Societies – Further directions passed.
Disposing of the Contempt Petitions, the Court HELD: 1.1 The alleged contemnors violated the orders passed by Supreme Court and despite having furnished appropriate undertakings, failed to vacate and hand over possession. But there are certain equities in their favour; in that they were inducted as members not clandestinely but against the resultant vacancies after expulsion of certain members, that they had paid all the instalments in time, that on the basis of such instalments paid by the members including the alleged contemnors the construction was completed, and that they were put in possession of the apartments soon thereafter. It is only as a result of the expulsion orders of the contempt petitioners getting set aside that the alleged contemnors have to vacate their apartments and make way for the contempt petitioners. The society had raised amounts and was benefited from two sets of persons that is the alleged contemnors as well as the contempt petitioners and the fact of the matter is that the society is presently having funds to the tune of more than Rs.4 crores. Going by the reports made by the Architect a new building can be constructed with 18 apartments, which means that after satisfying the requirements of all the alleged contemnors there will still be some apartments left, from the sale of which money for construction can be garnered. Furthermore, according to the Architect, within the FAR available to it, the society can construct such new building. The Municipal Corporation of Delhi has also in principle agreed that if FAR is available, the authority would not have any objection to grant permission for construction of a new building. [Paras 10, 11] [519-A-F]
1.2 In the circumstances, ends of justice would be met, if following directions are passed:- a) All the alleged contemnors shall vacate their respective apartments on or before 31.08.2019. The apartments so vacated shall thereafter be allotted to those persons who were directed to be re-admitted as members in terms of para 9 of the order passed by the Registrar, Cooperative Societies on 24.02.2012. The allotment shall be done in the presence of an Official from the Office of the Registrar, Cooperative Societies in a manner known to law. b) Each of the alleged contemnors, if he or she desires to have a new apartment in the newly erected building, shall deposit a sum of Rs.10 lakhs with the Administrator of the Modern Cooperative Group Housing Society Limited on or before 31.10.2019. Along with such deposit, an appropriate affidavit shall be filed by such person (s) undertaking that in case any further amount (s) are to be deposited towards the cost of construction, he or she shall abide by such requisition scrupulously. c) Upon such deposit and furnishing of an affidavit every such person shall be re-admitted in the Society as a Member. d) Within one month from the date of this order, the Administrator shall prefer an appropriate application annexing therewith all the required documents including plans and drawings and seek permission to erect a new building with 18 apartments. Such application shall be preferred with the concerned appropriate Authorities including Municipal Corporation of Delhi. (e) Municipal Corporation of Delhi which has agreed in principle that the permission for erecting a new building can be granted, shall consider said application and take appropriate decision in the matter within one month from the date when the application is preferred. (f) After the construction has begun, the Administrator shall be entitled to initiate the process for having new members admitted who are willing to deposit such sums as are required towards the cost of construction of an individual apartments which could then be allotted to them. (g) The Administrator shall also be entitled to have a fresh draw of lots in the presence of an Official from the Office of Registrar, Cooperative Societies in respect of the building to be constructed so that each of those 18 apartments could be allotted to the concerned persons including the alleged contemnors herein. (h) The alleged contemnors shall have to find new or transit accommodation till they are finally put in possession of the apartments so allotted to them after completion of construction. The cost and charges in that behalf shall be borne by the alleged contemnors and they shall not be entitled to have any amount reimbursed either from the society or from any of the members. (i) Whether the cost of construction must come entirely from the allottees of apartments in the new building to be constructed or whether the society would like to contribute in that behalf, is a matter which ought to be decided by the society. The alleged contemnors had made their contribution and as a matter of fact the society has funds to the tune of more than Rs.4 crores available with it. In our view, the directions as aforesaid would not only ensure that the contempt petitioners are put in possession of the apartments to which they have been found to be entitled to but will also take care of the interests of the alleged contemnors who are required to vacate the apartments only because of the setting aside of the expulsion of the contempt petitioners. [Paras 12, 13] [519-G-H; 520-A-H; 521-A-D]
As published in the Supreme Court Reports, Supreme Court of India. Text from the Indian Supreme Court Judgments open data set (Dattam Labs), CC BY 4.0.
This page is for informational and research purposes only and does not constitute legal advice. Consult a qualified advocate for advice specific to your situation.