NON­REPORTABLE

IN THE SUPREME COURT OF INDIA CIVIL APPELLATE JURISDICTION

CIVIL APPEAL NO(s) 1313  OF 2019    (Arising out of SLP(Civil) No(s). 8138 of 2013)

DELHI DAYALBAGH COOPERATIVE HOUSE BUILDING SOCIETY LTD. …….Appellant(s)

VERSUS

REGISTRAR COOPERATIVE SOCIETIES AND ORS.     ……..Respondent(s)

WITH

CIVIL APPEAL NO(s) 1314   OF 2019    (Arising out of SLP(Civil) No(s). 9015 of 2010)

CIVIL APPEAL NO(s) 1315   OF 2019    (Arising out of SLP(Civil) No(s). 26905 of 2010)

J U D G M E N T

Rastogi, J.

Civil Appeals arising out of SLP(Civil) No(s). 8138 of 2013, SLP(Civil) No(s). 9015 of 2010,  SLP(Civil) No(s). 26905 of 2010

1. Leave granted.

2. The  above  noted  appeals  are  directed  against the orders

separately passed by the High Court of  Delhi in writ  petitions

filed at the instance of the present appellant Society which came

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to be dismissed upholding the order of the Cooperative Tribunal

setting aside the award passed by the Registrar Cooperative

Societies holding that the Arbitrator had no jurisdiction to

examine the validity and legality of the registered sale deed which

can be questioned only by availing a remedy in the Civil Court

holding jurisdiction.   Orders were separately passed by the

Tribunal in the cases of the individual members in whose favour

sale deed was executed by the society, having been separately

decided by the High Court, which has been challenged in these

batch of appeals.

3. The facts that emerge from the multitude and collateral and

exhaustive pleadings in brief are that the appellant is a house

building Society originally registered with the Registrar,

Cooperative Societies, Delhi (“hereinafter being referred to as

“RCS”) under the provisions of the Bombay Cooperative Societies

Act, 1925.  On enactment of the Delhi Cooperative Societies Act,

1972, the provisions of the Act, 1972 and the rules framed

thereunder came to govern the field.   However, the Act of 1972

came to be repealed by the Delhi Cooperative Societies Act,

2003(hereinafter being referred to as the “Act 2003”) as amended

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by the Delhi Cooperative Societies(Amendment Act), 2006 which

now governs the field along  with  Delhi Cooperative Societies

Rules, 2007 framed thereunder.

4. The Society framed its bye­laws, namely, Delhi Dayalbagh

Cooperative House Building Society Ltd., Soami Nagar, New

Delhi, with the primary object to acquire the land either through

outright purchase or on lease for construction of houses for its

members, either on rent or on hire purchase system or by

outright sale with a stipulation that no member shall be

permitted to transfer, sell or mortgage his house to any person

other than the members of the society  or  the  society itself  as

referred to under bye­law 51 and after the object being achieved

for which the Society has been formed, the procedure may be

followed for its liquidation as referred to under bye­law 65.  Para

5, 51 and 65 of bye­laws which are relevant for the purpose are

reproduced as under:­

”5. (i) Any person shall be eligible to be a  member of the society provided:­­

(a) he is a follower of Radha Soami faith and a member of Radha  Soami Satsang affiliated to Radha Soami Sabha, Dayalbagh,  Agra;

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(b) He, at the time of enrolment as a member, is domiciled in the  Union Territory of Delhi or has been resident in the Union  Territory of Delhi for two years or more; provided that this   condition shall not apply to members of

All India Services and employees of the Central Government and the Delhi Administration.

(c) his written application for membership has been approved by a   majority of the Managing Committee.

(d) his age is more than 18 years, except in the case of minor heir of  a deceased member;

(e) he is  not  a  member  of  any  other house building society;

(f) he or his wife (she or her husband in case of a woman) or any of  his/her dependents does not own a dwelling house or a plot for  building a house in Delhi;

(g) directly or indirectly he does not deal in purchase or sale of house  or land for construction of houses either himself or through any  of his dependents.

(h) he has carried out the provisions of bye­law.

(ii)Every person seeking  membership of the society shall sign  a  declaration to the  effect that  he  or  his wife(she or her husband) or any of his/her dependents does not own a dwelling house or plot in Delhi and that he/she is  not a  member  of any  other   co­operative house building society.

(iii)Every member on admission shall pay Rs.10/­ as  admission fee which shall not be refunded in any case.

(iv)When a person’s application has been accepted by the Committee and he has paid his admission fee and

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first instalment of this shares, he shall be deemed to have acquired all the rights and incurred all the obligations and liabilities of a member of the society as laid down in the Co­operative Societies Act, the Rules made there under and these bye­laws.

(v)Application for admission as member and for allotment of shares shall be made to the Secretary in the form, if any, prescribed by the society for the purpose.  Every such application shall be disposed off by the Managing Committee who shall have power to grant admission or to refuse it after recording reasons for such refusal,  provided, however, that  any person whose application has been refused by the Managing Committee may prefer an appeal within 30 days to the Assistant Registrar, Co­operative Societies(Housing). The decision of the Assistant Registrar shall be final.

51.  No member shall be permitted to transfer, sell or mortgage his house to any person other than the members of the society or the society itself.

65.  The society shall be wound up and dissolved only by order of the Registrar under Section 39, 40 or 42 of the Co­operative Societies Act.

After all the liabilities including the paid up share capital have been  met, the surplus assets shall not be  divided among the members, but shall be devoted to any object of public utility determined by the  General  Meeting of the society within three months of the date of final liquidation, and approved by the Registrar,  or they may in consultation with them either be assigned by the Registrar in whole or in part to any or all of the following :­

(a) an object of public utility of local interest ; (b) a charitable purpose as defined in section (2) of the Charitable Endowment Act ; (c) or may be placed on deposit  with The Delhi State Co­operative Bank until such time as a new society  with similar  conditions  is registered when, with the consent of the Registrar, such surplus may be credited to the Reserve Fund of such new society.”

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5. To fulfil the object with which the society was formed, it was

desirous of obtaining land for construction of dwelling units to be

made available for its members.  However, it did not go into the

market to purchase land but approached the appropriate

Government for its assistance with an application invoking Part

VII of the Land Acquisition Act, 1894, to provide the land located

in various Khasras admeasuring 137 bighas & 11 biswas

situated at village Chirag Delhi for construction of dwelling

houses for its members.   

6. Part VII of Land Acquisition Act, 1894 under the heading

“Acquisition of Land for Companies” begins with Section 38 and

runs upto Section 44 B.  Section 38 was repealed by Section 68

of 1984 with effect from 24th September, 1984.  The issue in the

present case is  pertaining to year  1955  when the  acquisition

proceedings were initiated.  Section 38A was a part of the Statute

at the relevant point of  time when the acquisition proceedings

were initiated by the appropriate Government in the year 1955.

7. Section 39 lays down that Sections 6 to 16 and Sections 18

to 37 (both inclusive) shall not be put in force in order to acquire

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land on behalf of the company without previous consent of the

Government  unless the  company(includes  society) executes  an

agreement.   In terms of Section 40, a consent is to be obtained

after the appropriate Government record its satisfaction either on

the report of  the Collector under Section 5A or by the inquiry

held as provided for the purpose of acquisition is to obtain land

for erection  of  dwelling  houses for  workmen employed  by the

company or that such acquisition is needed for construction of

building or work for the Company and that work is likely to be

proved useful to the public.   

8. The State Government thus proceeded under Part VII of the

Land Acquisition Act  and after  holding preliminary enquiry  as

envisaged under Section 40 of  the Land Acquisition Act,  1894

and after recording its satisfaction, executed an agreement laying

down the terms & conditions with the appellant Society under

Section 41 dated 12th  April,  1955 which was published under

notification dated 13th May, 1955 in the Official Gazette in terms

of Section 42 of the Act, became the force of law and binding not

only upon the parties to the agreement but also on the public at

large.   The terms & conditions indicated in the agreement dated

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13th  May,  1955 published in the  Gazette  and relevant for the

present purpose are reproduced hereunder:­

“1. That the Society shall pay to the State Government or such person or persons as the State Government may appoint in this behalf before possession of the said land is given to the Society the compensation, if any, as settled by the Collector or if reference  is made to  the court  by  the  final  court  or appeal and all compensation inclusive of all payments and allowances  in respect  thereof  payable  under  the said Act  and all  Courts costs  and pleaders  fees etc. incurred  by the  State  Government in  defending the reference, if any, made to the court as aforesaid and on appeal or appeals filed in connection therewith and all compensation, pleaders fee etc. payable or paid by the State Government to the claimant in the said matters. The State Government shall not be bound to give possession of the land until all  the said money have been paid, and may withdraw from the acquisition, and in case of  withdrawal the  Society shall be liable to indemnify the State Government against all expenses incurred and damage sustained as the result of anything done by them in the matter of acquisition till the date of withdrawal.

2. That upon such payment by the Society the Chief Commissioner  covenants to  convey  and grant to the Society the said land described in the Schedule hereto, to held the same to the said Society for every subject to the conditions hereafter not forth, namely:­

(a) That the Society shall within 15 years of being put in possession of the said land utilise this land for the purpose it is acquired.

(b) That the Society its successors and assignees shall use the said land for aforesaid purposes and for no other purposes, whatsoever.

(c) That if the Society fails to carry out any of the terms of this agreement or if the said land no longer required by the said Society for the  aforesaid  purpose, then the  Society

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shall forthwith relinquish and restore the same in favour of the  Chief  Commissioner and land shall be liable to be resumed and taken by the State Government on payment to the Society of the amount of award as finally settled or the estimated market value of the land at the time of resumption, whichever, shall be less and if there are any buildings on the land the Chief Commissioner may at his option either purchase the buildings on payment of their estimated value at the time or direct the Society to remove the  buildings  at its own cost which such time as may be allowed by the State Government.

(d) That should any dispute or difference arise touching or concerning the subject matter of this agreement or any covenant or clause of thing contained therein, the same shall be referred to the Sole Arbitration of any person nominated by the Chief Commissioner of Delhi or in case his designation is changed or his office is abolished to the sole arbitration of  any person nominated by the officer, who for the time being is entrusted, whether or not in addition to other functions with the functions of the Chief Commissioner of Delhi by whatever designation such officer may be called. It will be no objection to any such appointment that the arbitrator so appointed  is  a Government  servant  that  he had to deal  with the matters  to which this indenture relate and in the course of his duties as such Government  servant he has expressed views on all or any of the matters in dispute or difference. The award of the arbitrator so appointed shall be final and binding on the parties.”

9. After acceptance of the terms & conditions of the agreement

being deduced in writing, duly published in the Official Gazette

under Section 42 of the Act, having the force of law, the State

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Government proceeded to complete the acquisition proceedings

and published the award under Section 11 of the Act dated 26th

February 1957 and after taking possession free from

encumbrances  under  Section  16 of the  Land  Acquisition  Act,

handed over possession to the society  in terms of the agreement

dated 13th  May, 1955 on 11th  June, 1957 and 30th  July, 1957

respectively.   It may be relevant to note that any agreement or

Memorandum of Understanding, if any, executed while

possession of the subject land was handed over to the society,

has not been placed by the society on record and inference can

be drawn that while handing over possession, the State

Government intended to comply with the terms & conditions of

the agreement dated 13th May, 1955 to be adhered to in its true

spirit by the society and indisputedly breach, if any, of the

conditions of the agreement has not been brought to the notice of

the Court.   

10. The appellant Society in fulfilment of its obligations and in

terms of the agreement dated 13th May, 1955 allotted plots to its

members within the stipulated period of 15 years by a separate

registered sale deed executed on certain terms and conditions.

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Since the terms and conditions of allotment as recited in the sale

deed are common, we have noticed from the registered sale deed

dated 30th  December 1968 in reference to plot no.  B­68 to  its

member Mr. Manocha, on acceptance of full consideration for the

plot in question.

11. Coming to the facts of the Civil Appeal arising out of SLP(C )

No. 8138 of 2013, Mr. K.L. Manocha, as a lead case, who was a

member of the Society allotted a plot no. B­68, Soami Nagar and

sale deed was executed in his favour on 30th December, 1968 in

the same terms.   It reveals that  Mr.  Manocha, had initially

constructed a single storey house later intended to demolish and

construct a multi storey structure for his own needs and

requirements.  The appellant came across with the advertisement

in the magazine titled “Real Property Times” in June, 2005 for

sale  of  a  basement, four  bedroom apartments  on each of the

upper four floors of the building constructed on the plot in

question.  This fact came to the notice of the society on 18 th June,

2005.   The society published a notice inviting the public in

general that the residential plots in Soami Nagar cannot be sold

to persons who are not the members and who are not eligible to

be members of the society and violation of the society bye­laws

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and the sale deed even if registered shall be at his own risk and

peril.  

12. At this stage, a claim petition was filed at the instance of

society under Section 70 of the Act, 2003 seeking declaration of

the sale/transfer of the property in question by the allottee to a

non­member without prior notice or permission,  as  illegal  and

void  being  in  violation of  clauses 2 & 3 of the  sale  deed and

clause 51 of the bye­laws and it was prayed that the same may

be cancelled and the property be referred back to the society.

13. The award was passed in favour of the appellant society and

against the respondent no. 2 dated 1st  December 2006 holding

that sale/transfer was violative of clauses 2 & 3 of the sale deed

and bye­law 51 directing  the  impleaded respondent(member of

the society) to hand over the property within the stipulated time

to the appellant society.   But no order was passed against the

transferees/purchasers including the respondents being non­

members of the society.  When the proceedings were initiated in

execution of the award and property was stated to be attached at

one stage on 28th  November,  2007, the  respondents  who were

stated to be the parties and claiming to be the purchasers and

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occupants  filed  separate  appeals  against the  award before the

Cooperative Tribunal.  At the same time, the appellant society

also filed appeal assailing the award to the limited extent with

regard to deletion of names of the impleaded respondent nos. 3

and 4 with a prayer for reinstatement. The appeals filed by the

impleaded respondents and of the appellant society were heard

by the Tribunal and disposed of by a common judgment dated 6th

January, 2012.  The appeal of the appellant society was allowed

but the award passed by the Arbitrator dated 1st December, 2006

was set aside which was the subject matter of challenge before

the Delhi High Court and after being affirmed on dismissal of the

writ petition  preferred  by the  appellant society, the  matter is

under challenge in the present batch of appeals.

14. Civil appeal arising out of SLP(Civil) No. 9015 of 2010 has

been filed against the order dated 28th October, 2009.  Although

the  question was the same with the additional factor raised that

in terms of  condition nos.  2 & 3 of  the sale deed,  notice was

served on the society that was not responded failing which the

member proceeded to sell the subject plot but service of notice

was disputed by the appellant society and the Tribunal held that

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the appeal of the society for cancellation of the legally executed

registered  sale  deed is  not  a subject  matter  which is covered

under the provisions of the Delhi Cooperative Societies Act and

rules framed thereunder and such registered instrument, if at all

one is  aggrieved, could  be challenged in  a civil  Court  having

jurisdiction and in the writ petition preferred by the society, the

High  Court  while upholding the view of the Tribunal further

observed that in the absence of the purchaser being impleaded as

party to the proceedings, his rights indeed has been jeopardised

who indisputedly was a necessary party to the proceedings and

when the valid transaction is sought to be set aside by the

Arbitrator under its impugned award, the purchaser was to be

heard and was held against the appellant and on the twin ground

the writ petition came to be dismissed is the subject matter of

challenge.

15. In civil appeal arising out of SLP(C ) No. 26905 of 2010, the

order of the Tribunal which was on the same lines and placing

reliance on the earlier order of the High Court dated 28th October

2009, the Writ Petition(C ) no. 2136/2008 came to be dismissed

with additional fact taken into consideration that Section 91 of

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the Act, 2003 gives recognition to purchase through the

registered agreement to sell or power of Attorney or a sale deed

and on fulfilment of conditions, the applicant, if apply for

membership by paying transfer fee, share money and admission

fee etc. as per the provision of the bye­laws, the society and the

committee has to grant membership to the applicant within 30

days of the submission of application and refusal by the

Committee  may give rise to appeal by the applicant to the

Registrar of the Cooperative Societies.

16. Mr. Shekhar Naphade, learned senior counsel for the

appellant  submits that it is  not in  dispute that the land was

acquired by the appropriate Government under Part VII  of  the

Land Acquisition Act and for the aforesaid purpose, the appellant

society and the Government entered into an agreement dated 13th

May, 1955 under Section 41 of the Land Acquisition Act which

came  to  be  published in the  official  Gazette in  compliance  of

Section 42 of the Act and has a force of law and learned senior

counsel submits that in terms of the agreement, the Government

has to execute a deed of conveyance and grant the said land to

the society. Indisputedly, the Government has failed to execute

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deed of conveyance or make the grant in favour of the society and

further to support its title, the society filed a Writ Petition No.

6406 of 2001 and order came to be passed on 7 th January, 2004

directing the Government by Writ of Mandamus to execute the

deed  of conveyance. Taking  assistance thereof, learned senior

counsel submits that in the absence of any agreement/deed of

conveyance been executed by the Government, the appellant

society itself does not hold a freehold title and is not a owner of

the subject land in question and so long as the society is not the

owner of the subject land, it could not transfer ownership rights

to its members as the transferor cannot confer on the transferee

a better right than what he himself possess and the purported

sale deeds executed by the society in favour of its members even

though indicated in the recital of the sale deed as owner of the

subject plot but that may not transfer any ownership/freehold

title on its members.

17. According to the learned senior counsel, the title of the

parcel of land is still with the Government and the Government

has not executed any deed of conveyance so far despite order of

the Delhi High Court dated 7th January, 2004 and the agreement

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dated 13th May, 1955 is nothing more than a promise to execute

a deed of  conveyance and  the  agreement  may have  a binding

force in view of its publication in the Gazette under Section 42 of

the Land Acquisition Act but cannot be construed as extending

freehold title to the society.   

18. Learned senior counsel further submits that Section 44 A of

the Land Acquisition Act clearly provides that no company (which

include society) for whom land is acquired under Part VII of the

Act is entitled to transfer the land or any part thereof by sale,

mortgage, gift or otherwise except with the previous sanction of

the Government.   According to learned senior counsel, the sale

deeds executed after 1962,  when Section 44 A came on the

statute book w.e.f. 12th  September, 1962 does not indicate that

any previous sanction has been obtained from the Government

and mere permission to use does not create any right or interest

on the subject land in favour of the society.  At least, in any case,

no ownership of freehold right is created so far and Section 54 of

the Transfer of Property Act, 1882 is merely a codification of the

principle of common law which may not be of any assistance to

the respondents as its defence.

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19. Learned senior counsel appears to be very futuristic in his

approach when submits that even if the Government decides at

later  stage to  grant  ownership to the  society, such ownership

would always be subject to Section 44A of the Land Acquisition

Act and society cannot make any transfer in any form, without

previous consent of the  Government and the very concept of

freehold means that the holder of the land has an absolute right

to transfer and/or create any rights  in the land without being

required to take any permission or consent of any other authority

or person and in this context, the finding which has been

recorded converting freehold rights in favour of the members in

respect of the plots allotted to them is erroneous and contrary to

law which according to him is not sustainable.   

20. According to learned senior counsel Mr. Shekhar Naphade,

the purported sale deed executed by the society in favour of its

members has no legal effect and even the terms on which the

members of  the society are occupying their respective plots or

their houses confers no right in favour of the allottees.  Thus, the

transfer made by individual members to third parties/non­

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members without previous sanction of the Government are  void

ab initio bad and such transfer without prior permission/consent

of the society even by registered sale deed apart from being in

violation of the provisions of the bye­laws are also hit by Section

44A of the Land Acquisition Act and no legitimate right can be

conferred on the allottee or its transferee to whom rights have

been transferred on the subject plot in question and placed

reliance on the judgment of this Court reported in   Zoroastrian

Cooperative Housing Society Ltd. and another   Vs.  District

Registrar,  Cooperative Societies(Urban) and  Others  2005(5)

SCC 632.

21. Per contra, Mr. Ranjit Kumar, learned senior counsel for the

respondents  while  supporting the  judgment  of the  High Court

submitted that the question which has been raised by the

counsel for the  appellant is  beyond  the  pleadings  and it  was

never the case of the society either before the Arbitrator or the

Tribunal or the High Court or even in the pleadings in the civil

appeal that in the absence of any deed of conveyance being

executed in terms of clause 2 of the agreement dated 13th May,

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1955,   the  society  does not  hold freehold title/rights  over the

subject land in question and   what is being argued before this

Court is beyond the pleadings and has been raised for the first

time  while  making oral submissions and there is no factual

foundation on  record  in  support  of  what is  being  prayed and

further submitted that the subject plots have been allotted to the

members  of the society  as its owner free from encumbrances

transferred by the Government, after being acquired at the behest

of the society under the provisions of the Land Acquisition Act.

22. Learned senior counsel for the respondents further submits

that after the agreement dated 12th  April,  1955 been executed

under Section 41 of the Land Acquisition Act, 1894 and

published in the Gazette dated 13th May, 1955 become a force of

law by virtue of Section 42 of the Act and the agreement dated

13th  May,  1955  recites  certain terms  & conditions  and  on its

satisfaction, the appropriate Government had proceeded to

complete the acquisition proceedings and handed over possession

of the subject land in question to the society free from

encumbrances on 11th  June, 1957 & 30th July, 1957   and after

the possession was taken over by the society, the society

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proceeded in making allotment to  its members by a registered

sale deed conferring rights and title in favour of the allottee.   

23. Learned senior counsel for the respondents submits that a

conjoint reading of  clauses 2 & 3 of the sale deed (dated 30th

December, 1968 in the instant case), the society reserves its pre­

emptive rights over the subject plot in question and if the society

fails to purchase within the stipulated period at the prevailing

market price, the member will be at liberty to dispose of in the

manner as he/she likes.

24. According to learned senior counsel, Section 91 of the Delhi

Cooperative Societies Act, 2003 envisage that any member of the

housing society who has sold his plot or flat on the registered

Power of Attorney or agreement for sale or by sale deed ceases to

be a member of the society and the transferee who has

purchased the subject property on the registered Power of

Attorney or agreement for sale or by sale deed on fulfilment of the

conditions as stipulated on depositing the transfer fee and share

money, if any, the Society and the Committee is under obligation

to grant membership to the applicant within 30 days from the

submission of application and  in case of refusal, there is remedy

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to the  applicant to  approach the  Registrar  of the  Cooperative

Societies for redressal of his/her grievance.   

25. Learned senior counsel submits that there is no refusal ever

made by the society to the transferees who had purchased the

subject plot in question contemplated under Section 91 of Act,

2003 failing  which the transferees, in their own capacity, be

considered and deemed  to  be  a  member  of the  society in the

absence of any order being passed by the society to the contrary.

26. Learned senior counsel for the respondents further submits

that throughout even, from the correspondence evident from the

letter dated 27th July, 1985 from the Secretary of the Society to

Lt.  Governor stated in para 2 that the “Delhi Administration

acquired approx. 30 acres of land allotted to the society on 25th

March, 1957 on freehold basis”.   Later, in the letter dated 15 th

March, 1989 addressed to the authority from the Secretary of the

Society, it was stated that “the status of the land is totally

freehold and allotment of plots to the society’s members was also

on the same basis.”   That apart, the society, at one stage,

approached the  District Judge in RCA 95/82 titled as  Delhi

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Dayalbagh Cooperative House Building Society Ltd. Vs. Arjun Das

and after the matter was being heard, the learned trial Judge also

recorded its finding that the subject land in dispute is being a

freehold and there is no legal bar to the same being sold and the

order passed by the learned trial Judge never came to be

challenged by the society and accepted the nature of the land of

which the possession was handed over by the appropriate

Government on completion of acquisition proceedings initiated at

the instance of the society vested free from encumbrances.   

27. Learned senior counsel further submits that Section 70 of

the Act have a limited jurisdiction to examine the dispute

touching the constitution,  management or  the business of the

cooperative society to arbitration and the prayers made are in the

nature of declaration that the registered sale deed in favour of the

non­members be held to be null and void is indisputedly beyond

its scope and jurisdiction and has been rightly interfered by the

Tribunal and confirmed by the High Court on dismissal of the

writ petition preferred at the instance of the society and placed

reliance on the judgment of this Court in  Usha Ranjan

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Bhattacharjee and Others Vs. Abinash Chandra Chakaborty

and Ors. reported in 1997(10) SCC 344.    

28. Learned senior counsel submits that after the enactment of

the Delhi Cooperative Societies Act, 1972 or 2003, the bye­laws

of the societies have to be in conformity with the provisions of the

Act. There is a restrictive clause if inconsistent with the

provisions of the Act, 2003 may not have any enforceability under

the law  and   further submits that the  possession free from

encumbrances was handed over by the appropriate Government

to the society after passing of the award in June/July 1957 and

it may not be open for the appellant to take a summersault and

raise  a  question which was  never  agitated.   In last  60  years,

much water has flown in the Ganges, conferring rights over the

subject property and at this belated stage when number of sale

deeds have been executed at various point of time by the society

with its  members  which has  been  further transferred  to  non­

members by registered power of attorney or agreement to sell or

sale deed and their rights are protected under Section 91 of Act,

2003 and at such belated stage when there is no residential plot

available  with the society  at its  disposal, question  of  deed  of

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conveyance not executed may not arise for consideration and it

appears that this plea has been raised to nullify the winding up

proceedings which is adversely affecting the rights of the society.

29. We  have  heard learned senior counsel for the  parties at

length and with their assistance perused the records.

30. Before adverting further, we will discuss some material facts

and the relevant provisions of the Delhi Cooperative Societies Act

and the bye­laws of the society which may have a direct bearing

on the issue under consideration.

31. After the action been initiated by the society for providing

land in fulfilment of the public purpose in providing plots to its

members, the appropriate Government issued a notification

under  Section  4 dated  19th  March, 1955 and  after  holding  a

preliminary inquiry, as contemplated under Chapter 40 of Part

VII of the  Act, 1894, and on its satisfaction, the  appropriate

Government executed an agreement dated 12th April, 1955 with

the society under Section 41 in fulfilment of the necessary

requirements, namely, payment to the Government of the cost of

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acquisition, the transfer of land to the society on such payment

prescribing the terms on which the land shall be provided to the

society and where the acquisition is for the purpose of erecting

dwelling houses, all the provisions of Act connected therewith,

time and the manner in which the dwelling houses have to be

erected, on the terms & conditions came to be published in the

Gazette under Section 42 of  the Act on 13th  May,  1955 which

became the law and binding on the parties  and the  public  at

large.   The appropriate Government thereafter proceeded in

making declaration  under Section 6 of the Act.   Consequent

thereto, award came to be passed  under Section 11 on 11th

February, 1957 and the appropriate Government took possession

of the subject land in question, free from all encumbrances,

under Section 16 of the Land Acquisition Act and it has come on

record that possession was transferred to the society for whom

the acquisition proceedings were initiated at its instance on 11th

June, 1957 and 30th  July, 1957 respectively free from

encumbrances and, therefore, the title in transferring the land to

the society in terms of the agreement dated 13th  May, 1955

created a statutory genesis.   It is not the case of either party that

there was any breach or violation of the terms and conditions

26

which has been referred to under the agreement dated 13th May,

1955 either by the society or its members or the purchasers or

the successors in interest.

32. The emphasis  of learned senior  counsel for the appellant

that the title of the land in question never stood transferred to

the society in the absence of the deed of conveyance been

executed, is without substance for the reason that the title at the

first place in favour of the society was not created by any of the

modes ascribable to the Transfer of Property Act and once the

acquisition proceedings have been initiated by the Government,

on fulfilment of the conditions referred to under Section 41 of

Land Acquisition Act on being published in the Gazette dated 13th

May 1955 under Section 42 of the Act which became the law,

there appears no  further statutory requirement to register any

deed of conveyance under the Transfer of Property Act.  Besides

it, the consideration amount was paid by the society as

demanded by the competent authority and physical and actual

possession, free from encumbrances, was delivered to the

appellant  society  and the land stood conveyed and granted  in

terms of clause 2 of the agreement.  At the same time, no party in

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the instant proceedings ever raised any objection/dispute on the

issue of physical possession of the land in question being

delivered to the appellant society and/or the same being passed

on to the person who have purchased plots/flats therein

subsequently.   In the given facts and circumstances, it can

legitimately be observed that the marketable title in transferring

respective plots to its members has created a statutory genesis.   

33. It is also not the case of the appellant society that at any

later stage, after the appropriate Government handed over

possession, free from encumbrances, of the subject land in

question to the society, it ever raised objection in reference to the

breach of the  terms & conditions  of the agreement dated 13th

May, 1955 to resume the subject land or for taking legal recourse

in reference to the title of the subject land in question.   In the

given facts and circumstances, a legal presumption can be drawn

that after the peaceful possession free from encumbrances, was

handed over by the State Government to the society, all rights of

the said land stood vested with the society free from

encumbrances and transferred to its members on the terms as

indicated in the registered sale deed executed by the society.

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34. The sale deed dated 30th December, 1968 was executed in

favour of one of the applicant  Shri  Manocha,  member of the

society to whom plot no. B­68 was allotted by registered sale deed

on certain terms & conditions on depositing the cost of the land,

the physical possession of the subject land/plot was passed on to

the member of the society.   The extract clause of the sale deed

dated 30th December, 1968 which are standardised conditions in

all the sale deeds relevant for the purpose is reproduced as

under:­

“This Sale Deed is made on this 30th  day of December 1968 by the Delhi Dayalbagh Co­operative House Building Society Ltd. Delhi,   in favour of Shri/Smt. K.L. Manocha, son of Shri M.R. Manocha, resident of Delhi, a member of the Society,

WHEREAS the Chief Commissioner, Delhi vide notification No. F­15 (147/34­LSG dated 17.3.55 and notification No. F­15(147)/54­LSG dated 13.6.56 and Awards in pursuance thereof acquired land for the colony of the Society now known as “SOAMI NAGAR COLONY” and whereas the society is the owner of the plot No. B­68 measuring 488 Sq. yds. forming part of the SOAMI NAGAR COLONY and whereas the member Shri K.L. Manocha has paid to the Society all the dues in respect of the share money, the cost of the land, and development charges.

AND WHEREAS the said plot No. B­68 situated in the said colony of the Society has been hereunder sold to Shri K.L. Manocha for a sum of Rs.1952/­(Rupees One Thousand Nine Hundred Fifty Two only) being the cost of land, which amount has been paid by the member to the society.

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AND  WHEREAS the purchaser  member has agreed that he/she shall pay to the vendor Society or to whom it directs, the amount  which  may be found  by the Vendor Society  to be due from him/her  in  future  in respect of the aforesaid plot and in case of failure to pay such dues which shall always be deemed as a debt due to the Vendor Society, which dues shall  be  first charge on the said plot and the building constructed thereon.

AND WHEREAS the member Shri  K.L.  Manocha has agreed to always abide by the Rules and Bye­laws of the Society in force time to time.  

AND  WHEREAS the purchaser  member agreed that he/she shall construct a house on the said plot sold to him/her within two years after  the sale deed by the vendor society is registered.  

NOW THIS DEED OF SALE WITNESSETH AS UNDER:­

1. That subject to conditions stated in this sale deed and in consideration of Rs. 1952/­ (Rupees One Thousand Nine Hundred Fifty Two only) as the cost of the land paid by the  member to the said society, it hereby transfers, and conveys to the member Shri K.L. Manocha his/her heirs and assignees all rights in the plot of land no. B­68 as delineated on the plan annexed to this  Sale  Deed, to  hold  the same to the member on the plan annexed to this Sale Deed, to held the same to the member for ever.

2. The purchaser member will continue to be the member of the vendor society, if the purchasing member proposes to sell or transfer his house or plot, he/she undertakes to sell or transfer it to or through the society.   If the society  does not  purchase the house within six months at the prevailing market price, the member will  be at  liberty to dispose it off  as he/she likes.

3. The successor  will  have also  to be a member of the vendor Society.   If he/she does not become a member of the society, he/she shall sell the house of plot to or through the Society at the prevailing market price, if the  Society  does  not  purchase the  house  within  six months, the successor will be at liberty to own it as any other member or dispose it off as he/she likes.

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4. That the purchaser member agrees to construct and build house on the plot in accordance with the rules and bye­laws of the Municipal Corporation and will not do anything to violate the said rules and bye­laws of the Corporation or of the Government which may bring about or shift any liability on his/her account to the Society and if he/she does anything which on his/her account the vendor society is made liable, he/she shall compensate the vendor Society and if/she does not pay the vendor Society the said dues, the Vendor Society liability on him/her will/be the first charge on the plot and/or the house constructed by him/her.  

5. Expenses in connection with the registration and stamp will be borne by the vendor/society.”

35. Prior to the enactment of the Act 2003, the Delhi

Cooperative Societies Act, 1972 was in force, but by passage of

time, it revealed that the Act of 1972 fails to fulfil the object and

rule of cooperative societies which had undergone a sea change.

In order to gear up the cooperative societies to meet the challenge

posed due to economic liberalisation and superfast growth in the

field of Information Technology and to protect the interests of the

members of the cooperative societies as financial stakes had

become high, the Government of the National Capital Territory of

Delhi earlier appointed a Committee in 1995 to prepare a new

cooperative law and after a detailed discussion, Committee

submitted a report on 31st  August, 1998  which was further

31

reviewed  by the  Review Committee  and  after the report  being

submitted, the Delhi Cooperative Societies Act, 2003 came into

force on its publication in the Gazette of 3rd  March, 2004.

Certain amendments were made vide the Cooperative Societies

Amendment Act, 2004 and 2006 respectively and in exercise of

power under Section 137, the Delhi Cooperative Societies Rules,

2007 were framed to achieve the object of the provisions of the

Delhi Cooperative Societies Act, 2003.

36. Apart from the provisions in reference to the settlement of

disputes as referred to under Chapter VIII, a separate Chapter IX

was introduced incorporating the special provisions for

Cooperative Housing societies.   The Chapter applies to all

cooperative housing societies including housing financial society.

Section 74(a) defines allottee a member of the cooperative society

to  whom plot or land  or site  or flat could  be  allotted  by the

cooperative  society  and  the  principal  object  of the  cooperative

housing society is defined in Section 74(e) and (f) of Section 74

deals with dwelling unit which includes a house, flat or

apartment for the purpose of dwelling and sub­section (k) defines

the occupancy rights of an allottee to possess and use the plot or

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the land.  The limitation of membership has been provided under

Section 75 and the rights and privileges of members on allotment

of plot or dwelling unit in a cooperative housing society has been

defined  under  Section 76.   It further takes note of not only

allotment but has a provision for nomination and restriction on

transfer of share or interest of a member.  Permission to transfer

the occupancy right is not to be ordinarily refused is explained

under Section 80 with a special provision providing for settlement

of disputes and  Section  91 introduces  a special provision for

regularisation of occupancy rights of persons who have acquired

rights through the instrument on registered Power of Attorney or

agreement for sale or registered sale deed to become a member of

the society on depositing the requisite transfer fee, admission fee,

etc.   Section 74(e), (f), (k), Section 80 and Section 91 which are

relevant for the purpose are reproduced as under:­

74(e)  "co-operative  housing  society"  means  a  co- operative society-

(i) registered or  deemed to  be  registered as  a  co- operative housing society under this Act;  

(ii) the  principal  object  of  which  is  to  provide  its members open plots under plot housing, dwelling units or flats (whether in a multi-storeyed building or otherwise) in a complex under group housing and in case where open plots or dwelling units or flats are already acquired to provide its members

33

common  amenities  and  services  including services relating  to  the  arrangement  of  finances for  facilitating  construction  of  dwelling  units  in order to solve their needs of dwelling units through mutual-aid  in  accordance  with  the  co-operative principles,  and  includes  a  house  building,  co- partnership,  co-ownership  housing  society,  co- operative  housing  maintenance  society, multipurpose  co-operative  housing  society  and any other co-operative society of like nature and purpose;  

(iii) "co-operative  housing  maintenance  society" means  a  co-operative  society  formed  by  the owners  of  dwelling  units  in  a  building  for  the purpose  of  maintenance  of  the  building  and provisions of common amenities, services, etc;  

(iv) "co-ownership  co-operative  housing  society" means  a  co-operative  society  known  as  "house building"  or  plotted  society  in  which  the  land  is held either on lease-hold or free-hold basis by the co-operative society and the houses constructed on it are owned or to be owned by its members;  

(v) "co-partnership  co-operative  housing  society" known  as  group  housing  means  a  co-operative society in which land and buildings are held by the co-operative  society  on  lease-hold  or  free  hold basis and members are allotted flats or such other premises in such buildings with a right to occupy the  same  in  accordance  with  terms  of  lease, Government's guidelines and the bye-laws of such group housing;  

(vi) "multi-purpose  co-operative  housing  society" means  a  society  formed  with  the  object  of undertaking multifarious activities for the economic and  social  development  of  its  members, particularly  of  slum  dwellers  and  economically weaker  sections  of  the  people,  in  addition  to providing  better  housing  accommodation  and better environment to improve their quality of life;  

(f) "dwelling unit" includes a house, flat and apartment for the purpose of dwelling;  

34

(k)"occupancy  right"  means  the  right  of  an  allottee  to possess and use the plot of land, site or dwelling unit or flat allotted to him with power to give it on hire or on lease and licence or to mortgage it or to donate or to gift or to transmit it by  will  or  by  inheritance  or  to  transfer  it  after  paying  the transfer fee;  

80.Permission for transfer of occupancy right not to be ordinarily refused and provision for appeal-

(1) No co-operative housing society shall ordinarily refuse to grant to its member permission for transfer of his occupancy right  in  the  property  of  the  co-operative  housing  society unless  the  transferee  is  otherwise  not  qualified  to  be  a member:  

Provided that nothing contained in  any agreement, contract  or  the  bye-laws  regarding  eligibility  for membership  stipulated  therein  shall  apply  to  a nominee,  heir  or  legal  representative  of  the deceased member for his admission to membership of the co-operative housing society:  

Provided  further  that  aforesaid  transfer  in  case  of lease hold land shall be governed by the provisions of the perpetual lease of land.  

(2) The decision of the co-operative housing society on an application  for  permission  to  such  transfer  shall  be communicated to the applicant within thirty days from the date of receipt of the application.  

(3)  Any  person  aggrieved  by  the  decision  of  the  co- operative  housing  society  refusing  permission  for  such transfer may within thirty days from the date on which the refusal of  permission is communicated to him appeal to the Registrar.  

(4)  The  Registrar  shall  dispose  of  the  appeal  within  a period  of  one  hundred  and  twenty  five  days  whose decision shall be final.  

91.A member of a housing society who has sold his plot or flat on the power of attorney or agreement for sale or by sale deed, shall cease to be a member of that society from the date of the sale of plot or flat:

Provided  that  the  purchaser  having  registered power of attorney or registered agreement for sale or registered sale deed, as the case may be, in

35

respect  of  such  plot  or  flat,  may  apply  for membership by paying transfer fee of five hundred rupees and share  money and admission  fee  as per the provisions of the bye-laws of the society and the committee shall grant membership to the applicant within thirty days after the submission of his  application.  In  case  of  refusal  by  the committee,  the  applicant  may  appeal  to  the Registrar within thirty days and the decision of the Registrar shall be final:  

Provided further that no purchaser shall be entitled for  more  than  one  membership  in  a  housing society.

37. It may be further noticed that Section 131, save the existing

cooperative societies, registered either under the Act of 1904 or

under the Act of 1912 or under the Bombay Cooperative Societies

Act 1925 which was in force in Delhi or the Delhi Cooperative

Societies Act, 1972, shall be deemed to be registered under the

corresponding provisions of this Act(Act of 2003) and rules

framed thereunder with the further legislative mandate that bye­

laws thereof shall, so far as the same are not inconsistent with

the express provisions of this Act, continue to be in force until

altered or rescinded.   Section 140 overrides other law,

notwithstanding anything inconsistent with the provisions of this

Act.  Section 141 being repeal and savings stipulates that the day

on which the Delhi Cooperative Societies Act, 2003 comes into

force, the  Delhi  Cooperative  Societies  Act,  1972 which was  in

36

force in the National Capital Territory of Delhi shall stand

repealed preserving the actions under the Repeal Act.

 38. The Scheme of  Act 2003,  on  its very  inception,  was

introduced with the object to meet the challenge posed due to

economic liberalisation and superfast growth and to protect the

interests of the members of the societies as financial stakes had

become high which  made the Government and the National

Capital Territory of Delhi conscious by replacing the Act to sub­

serve the purpose in protecting the interest of the members and

of the society  which  have  been created for the  welfare of its

members.   The principal object of the cooperative housing

societies as referred to under Section 74(e), shall not be

ordinarily refused for transfer of occupancy rights, as referred to

under Section 80 and Section 91 mandates that if a member of

the  housing  society  has  sold  his  plot or flat on  the  Power  of

Attorney or agreement for sale or sale deed, shall cease to be a

member of the society from the date of the sale of the plot of land

and the  purchaser  will enter into  his  shoes  having registered

power of Attorney or registered sale deed, as the case may be, in

respect of the plot or a flat on depositing the transfer fee, share

money and admission fee as per the provisions of the bye­laws.

37

The society and the committee are under obligation to grant

membership to the applicant within a period of 30 days and if the

society have assigned reasons to refuse, the remedy lies with the

applicant to file appeal to the Registrar.  What is borne out from

the scheme of  Act,  2003  that the purchaser  having  registered

Power of Attorney or agreement for sale or sale deed on fulfilment

of certain basic requirements on deposit the member fee, transfer

fee, share money and admission fee, etc. as per the provisions of

the bye­laws of the society is entitled ordinarily to become the

member of the society.   Section 91 read with Section 131 of the

Act provides that any bye­laws if inconsistent or any other

enactment which is not in conformity with the provisions of Act of

2003, is ultimately the substantive law that has to prevail upon.

Section 131 & 141 of the Act, 2003 are reproduced below:­

131.  Saving of  existing  co­operative  societies­  (1) Every existing co­operative society which had been registered under the Co­operative Credit Societies Act, 1904 or under the Co­operative Societies Act, 1912, or under the Bombay Co­operative Societies Act, 1925, as was in force in Delhi, or the Delhi Co­operative Societies Act,  1972 shall  be deemed to be registered under the corresponding provisions of this Act and rules framed thereunder and bye­laws thereof shall, so far as the same are not inconsistent with the express provisions of this Act, continue in force until altered or rescinded.

(2) All appointments, rules and orders made, notifications and notices  issued and suits  and other

38

proceedings instituted under the said Acts shall, so far as they are consistent with the provisions of this Act, be deemed to have been respectively made, issued and instituted  under this Act, save that an order  made cancelling registration of a co­operative society shall be deemed,  unless the co­operative society  has already been finally liquidated, as an order issued under section 95 or  section 96  or  section 97 for its  being wound up.

141. Repeal and savings  – On the day on which the Delhi Co­operative Societies Act, 2003 comes into force, the Delhi Co­operative Societies Act, 1972 (35 of 1972) in force in the National Capital Territory of Delhi shall stand repealed:

Provided that the repeal shall not affect­

(a) The previous operation of the Act so repealed or anything duly done or suffered thereunder; or

(b) Any right, privilege, obligation or liability acquired, accrued or incurred under the Act so repealed; or

(c) Any penalty, forfeiture or punishment incurred in respect of any offence committed against the Act so repealed; or

(d) Any investigation, legal proceedings or remedy in respect of any such right, privilege, obligation, liability, penalty, forfeiture or punishment as aforesaid and any such investigation, legal proceedings or remedy may be instituted, continued or enforced and any such penalty, forfeiture  or  punishment may be imposed as if that Act had not been repealed.”

39.  For saving the existing cooperative societies registered either

under the Act of 1904, 1912 or under the Act of 1925 which was

in force in Delhi at one stage or the Act of 1972, such existing

cooperative societies  were deemed to be registered  under the

39

corresponding provisions of the Act 2003 and the rules framed

thereunder and its bye­laws thereof, so far as the same are not

inconsistent with the express provisions of the Act, 2003,

continue to be in force until altered or rescinded.  It goes without

saying that bye­laws of the existing cooperative societies have to

be in conformity with the express provisions of the Act of 2003

and all previous actions stood saved by virtue of Section 141 of

the Act.

40. The contention of the learned senior counsel for the

appellant that  the sale/transfer of the plot in question by  the

member of the society being in violation of condition nos. 2 and 3

of the registered sale deed or clause 51 of the bye­laws which put

restriction on the member to transfer or a sale or otherwise to a

non­member of the society, without permission of the society in

our opinion, deserves to be negated for the reason that there is

no restriction/prohibition under the provisions of the Act, 2003

which has been discussed in detail earlier and to be noticed that

if the bye­laws to the extent are inconsistent to the provisions of

Act 2003, it is the statute which will prevail and it is not the case

of the appellant that the transaction of sale/transfer of the plot in

40

question by the member of the society by registered sale deed or

registered instrument is in violation of the provisions of the

mandate of Act 2003 or rules 2007 framed thereafter.   

41. To the contrary, it appears to be the duty of the Registrar

cooperative societies including the registered housing cooperative

society to scrutinise the bye­laws of the society and to the extent

they are inconsistent with the provisions of Act 2003 or of Rule

2007 framed therein, to ask them to make appropriate

corrections and to amend it to make it in conformity with the Act,

2003.  It  is needless to say that  it is the onerous duty of the

competent authority to ensure that it performs the statutory task

in this behalf but if the task has not been performed as yet, at

least no provision in the bye­laws inconsistent with the

provisions of the Act, 2003 can have a force of law.  

42. As regards clauses 2 & 3 of the original sale deed executed

between the member of the society at the time of initial allotment

is concerned, the society reserves its pre­emptive rights to have a

cooling period of  six  months before the  member may have an

opportunity to transfer the subject plot in the manner he or she

likes at least there was no absolute bar or restrain under clause

41

2 or  3  of the  original sale  deed,  of  which reference  has  been

made, to transfer the land or is otherwise impermissible to a non­

member under any other laws.   But it was possible with prior

notice to the society and the cooling period of six months which

may enable the society to purchase the plot on the market value

and if it is unable to purchase, the member reserves the right to

transfer or sell out the plot in a manner he or she likes reserving

the pre­emptive rights of the society.  In the given circumstances,

transfer by a registered instrument cannot be held void unless it

is in contravention of any law,  which is not the case of the

appellant society.  

43. It reveals that what transpired before the Tribunal or the

High  Court  was  whether the transfer of title by a registered

instrument as alleged was open for scrutiny within the scope of

Section 70 of Act, 2003.   Although it was never the case of the

appellant society that alleged registered sale deed was  void ab

initio,  bad or obtained by fraud or malpractices and it was also

not the  case  of the  appellant  society that the  member  of the

society in transferring the rights over the property by a registered

42

sale deed, is in violation of any of the provisions of the Act of

2003, or the rules of 2007 framed thereunder.   

44. It is gainful to add that the possession was handed over to

the society on fulfilment of the conditions of the agreement dated

13th May, 1955, published in the Gazette under Section 42 of the

Land Acquisition Act, and became the law as observed, that at

the time when the possession was handed over to the society by

the  State  Government,  no further  deed or  MOU was executed

restricting the rights of the society for fulfilment of its obligation

of its plots to its  members, that persuades to infer that the

possession was handed over to the society of the subject land in

question by the Government free from encumbrances with

unrestrictive rights to execute the sale deed/allot the plots to its

members obviously  as per its  bye­laws keeping  in view of the

mandate of the statutory provisions of the Act, 1973 or Act, 2003

which has later on taken over the field in protecting the interests

of the members of the cooperative societies including the

cooperative housing society as in the instant case.

45. It  may be relevant to note that the subject land was

throughout exhibited by the society as freehold land having

ownership rights and allotments were made by the society to its

43

members by the registered sale deed at the time of allotment of

plots.   It is to be noticed that a letter dated 27th July, 1985 was

written by the Secretary of the society to the Lt. Governor and it

was mentioned in paragraph 2 of the letter that “Delhi

Administration acquired 30 acres of land allotted to the society

on 25th March, 1957 on freehold basis.” Later, in the letter dated

15th  March, 1989 issued to the Secretary of the Society it was

certified that the status of the land is totally freehold and

allotment of the plots to the society members was also on the

basis of it and the society at one stage approached to the civil

Court in RCA No. 95/82 titled  Delhi Dayalbagh Cooperative

House Building Society Ltd. Vs. Arjun Das and it was observed by

the learned trial Judge that “the land in dispute is freehold one

and there is no legal bar to the same being sold.”   In the given

facts and circumstances, if the allotment has been made by the

society as a freehold land to its  members  who have further

transferred/sold the subject land/plot by registered sale deed to

its successors/purchasers, their rights to become member of the

society are indeed saved under Section 91 of the Act, 2003 that

in no manner could be eluded by the bye­laws and that apart if

anyone has any objection regarding the registered

44

instrument(sale deed) pursuant to which right has been created,

at least it is not open to examine its validity within the domain

and ambit of Section 70 of the cooperative societies Act and any

person, if felt aggrieved, the remedy lies only  before the civil

Court having jurisdiction questioning the registered instrument

within the parameters available under the law.

46. The appellant society at one stage in their counter affidavit

has stated that the subject land is a grant under the Government

Grants Act.   It  was nowhere  the case ever  set  up and  it  was

raised just  to denude the rights of the parties which deserves

outright rejection for the additional reason that the subject land

was  acquired  by the  Government  under  Part  VII of the  Land

Acquisition Act and transferred to the society free from

encumbrances, there is no applicability to the Government

Grants Act.   The judgment on which reliance was placed by the

learned senior counsel for the appellant in  Mohsin  Ali and

Others Vs. State of Madhya Pradesh 1975(2) SCC 122 may not

be of any assistance.

45

47. As regards submission made in respect to Section 44A of

the Act is concerned, it may not have any application, since the

rights of the parties are governed after the land stood vested with

the society free from encumbrances and regulated  under the

special enactment of the Act 2003 and Rules 2007 framed

thereunder.

48. In conclusion, we find no substance in either of the

submissions made by the appellant to interfere with the

judgment impugned  before  us.   The  appeals, being devoid of

merit, are accordingly dismissed.

49. In terms of the dismissal of the appeals, application(s) for

impleadment, does not survive and are accordingly disposed of.

50. Pending application(s), if any, shall also stand disposed of.

…………………………J. (A.M. KHANWILKAR)

………………………….J. (AJAY RASTOGI)

New Delhi January 30, 2019

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