As per case facts, an original claimant sought plot allotment as a member of a Co-operative Housing Society. The Arbitrator and Tribunal upheld his claim, directing plot allotment. The Society ...
2026 INSC 927
Civil Appeal Nos.10693-10694 of 2026 Page 1 of 17
REPORTABLE
IN THE SUPREME COURT OF INDIA
CIVIL APPELLATE JURISDICTION
CIVIL APPEAL NOS.10693-10694 OF 2026
SHRI PRAKASH NARAIN SHARMA APPELLANT
DEAD THROUGH LEGAL
REPRESENTATIVE
VERSUS
M/S. BURMAH SHELL CO -OPERATIVE RESPONDENT S
HOUSING SOCIETY (REGD) THROUGH
MANAGING COMMITTEE MEMBER SH.
P. JINDAL AND OTHERS
J U D G M E N T
ATUL S. CHANDURKAR, J.
1. Interference caused by the High Court of Delhi
1 in the writ
petition preferred by the first respondent under Articles 226 and
227 of the Constitution of India resulting in setting aside the order
passed by the learned Arbitrator under Section 61 of the Delhi Co-
operative Societies Act, 1972
2 as affirmed in appeal under Section
76 of the Act of 1972 by the Delhi Co-operative Tribunal
3 has been
questioned by the appellant in these civil appeals. While the
1
For short, ‘the High Court’
2
For short, ‘the Act of 1972’
3
For short, ‘the Tribunal’
Civil Appeal Nos.10693-10694 of 2026 Page 2 of 17
appellant contends that the High Court exceeded its writ
jurisdiction while setting aside the concurrent orders, the first
respondent justifies such interference as the said concurrent
orders failed to consider various relevant aspects resulting in
miscarriage of justice that was set right by the High Court.
2. The present proceedings have a chequered histo ry. It is
however not necessary to refer to the same in detail. Suffice it to
mention that Mr. S.N. Sharma
4 claimed to be a member of M/s
Burmah Shell Co-operative Housing Society
5, the first respondent
herein and was, thus, entitled to allotment of a plot. Complaining
of illegal deprivation in the matter of allotment of a plot, the
claimant filed a dispute before the Joint Registrar, Co-operative
Societies, Delhi, that was referred to an Arbitrator. The Society
questioned the appointment of the Arbitrator by filing a civil suit.
Despite a restraint order being passed in the civil suit, the
Arbitrator proceeded with the arbitration proceedings and passed
an ex-parte award. The Arbitrator upheld the claim of the claimant
for allotment of a plot. The said proceedings ultimately reached
this Court at the instance of the legal heir of the original claimant
in Prakash Narain Sharma vs. Burmah Shell Co -op. Housing
4
For short, ‘the original claimant’
5
For short, ‘the Society’
Civil Appeal Nos.10693-10694 of 2026 Page 3 of 17
Society Ltd
6. This Court by its judgment dated 21.08.2002 set
aside the ex-parte award and directed continuation of the
arbitration proceedings from the stage the Society was set ex-parte.
The original Arbitrator having expired in the meanwhile, he was
replaced by another Arbitrator, the Registrar, Co-operative
Societies, Delhi
7, the second respondent.
3. After remand, the Registrar concluded the arbitration
proceedings. He passed an award on 07.10.2003 holding that the
original claimant was a member of the Society and that despite
performing his duties and obligations towards the Society for
getting the plot, he was deprived of the same. The legal heir of the
original claimant, Mr. Prakash Narain Sharma was, thus, entitled
to allotment of a plot. The arbitrator accordingly accepted the claim
of the original claimant and directed the Managing Committee of
the Society to give a plot to the legal heir of the original claimant
on making full payment towards cost of the land. The said order of
the Arbitrator was challenged by the Society by preferring an
appeal under Section 76 of the Act of 1972. The Tribunal by a short
order dated 18.03.2004 upheld the Registrar ’s order and
dismissed the appeal.
6
2002 INSC 345
7
For short, ‘the Arbitrator’
Civil Appeal Nos.10693-10694 of 2026 Page 4 of 17
4. The Society, being aggrieved by the said adjudication ,
preferred a writ petition under Articles 226 and 227 of the
Constitution of India
8 before the Delhi High Court. It was urged on
behalf of the Society that relevant material indicating the fact that
the original claimant had not been admitted as a member of the
Society had been ignored. The original claimant had in fact given
up his membership voluntarily. The High Court by its judgment
dated 06.10.2010 found that neither the Registrar nor the learned
Presiding Officer of the Tribunal had considered the relevant
material on record, which if taken into account would have
concluded the matter in favour of the Society. It was found that
the claim of membership made by the original claimant was of the
year 1952 but he was never granted any membership. He had in
fact given up his membership in the year 1951 by resigning from
the same. It was, thus, held that the original claimant was not
entitled to allotment of any plot inasmuch he had not been
admitted as a member of the Society. It was also found that there
were four members, who had a prior claim than the original
claimant for allotment of a plot. The allotment of a plot bypassing
the claim of other senior members was also not equitable. On these
8
For short, ‘the Constitution’
Civil Appeal Nos.10693-10694 of 2026 Page 5 of 17
grounds, the orders passed by the Registrar and the learned
Presiding Officer of the Tribunal were set aside. The writ petition
preferred by the Society was, accordingly, allowed. The legal heir
of the original claimant being aggrieved has, thus, come up in
these appeals.
5. Mr. Jitendra Mohan Sharma, learned Senior Advocate for the
appellant submitted that the High Court in exercise of jurisdiction
under Articles 226 and 227 of the Constitution was not justified in
interfering with the orders passed by the Registrar under Section
61 and the Tribunal in appeal under Section 72 of the Act of 1972.
All relevant aspects including the fact that the original claimant
was a member of the Society and was, thus, entitled to allotment
of a plot had been considered by the Registrar in the arbitration
proceedings. It was correctly held that the original claimant had
performed all his duties and obligations towards the Society for
being allotted a plot. He continued to be a member of the Society
till his death and his name was always shown in the list of
members. Referring to various documents on record that had been
taken into consideration by the Arbitrator as well as the Tribunal,
it was submitted that the direction to allot a plot to the son of the
original claimant had been rightly issued. The availability of land
Civil Appeal Nos.10693-10694 of 2026 Page 6 of 17
for such allotment was also not in issue in view of the findings
recorded by the trial Court in its judgment dated 31.03.1965 that
was subsequently affirmed by the High Court on 21.07.1972.
Without considering these aspects in a proper perspective, the
High Court erred in interfering with the said orders. The finding
recorded by the High Court that the original claimant ceased to be
a member of a Society was without appreciating the true content
of the documents on record. Referring to the decision of this Court
in Shalini Shyam Shetty and another Vs. Rajendra Shankar
Patil
9, it was submitted that the High Court committed an error in
interfering with the order passed by the Registrar and the Tribunal.
He also referred to various affidavits placed on record to
substantiate his contention that vacant plots were in fact available
for allotment. He, therefore, submitted that the impugned
judgment of the High Court be set aside and the award passed by
the Registrar in the dispute as filed, be restored.
6. On the other hand, Mr. Ashim Vachher, learned Senior
Advocate for the Society supported the impugned judgment. He
submitted that the Registrar as well as the Tribunal had failed to
examine the relevant documents on record. It was clear that the
9
2010 INSC 422
Civil Appeal Nos.10693-10694 of 2026 Page 7 of 17
membership of the original claimant had ceased in the year 1951.
Fresh membership was again sought by the original claimant in
the year 1952. The same was, however, not granted to him. No
share certificate was ever issued to the original claimant in 1952
or thereafter. Referring to various documents placed on record, it
was submitted that the High Court rightly found that if the
authorities under the Act of 1972 would have taken the same into
consideration, a decision in favour of the Society would have been
recorded. Since it was found by the High Court that relevant
documentary material was ignored by the Registrar as well as by
the Tribunal, it rightly interfered with the orders passed by the said
authorities. Moreover, the assumption that by paying a sum of
₹15,000/- in the year 1952, the original claimant would be entitled
to allotment of a plot was incorrect, especially when there were
other members seeking allotment, whose claim was prior to the
claim of the original claimant. To substantiate these contentions,
the learned Senior Advocate placed reliance on the decisions in
Pasupuleti Venkateswarlu Vs. The Motor and General
Traders
10, Special Reference No.1 of 2002
11, Raj Kumar Dey
10
1975 INSC 75
11
2002 INSC 445
Civil Appeal Nos.10693-10694 of 2026 Page 8 of 17
and others Vs. Tarapada Dey and others
12 to urge that the High
Court rightly interfered in the matter. It was, thus, submitted that
since the High Court on the basis of relevant documentary material
available on record found that the original claimant had ceased to
be a member of the Society, no case had been made out for the
impugned judgment to be set aside. It was, thus, prayed that the
civil appeals be dismissed.
7. We have heard the learned Senior Advocates for the parties
at length and we have gone through their written submissions
placed on record. We have also perused the relevant documentary
material forming part of the record before the Arbitrator as well as
the Tribunal. Having given our thoughtful consideration to the
entire matter, we are of the considered opinion that no case has
been made out for this Court to interfere with the impugned
judgment of the High Court.
8. The core issue that requires consideration is with regard to
membership of the original claimant of the Society. While the
original claimant claims to have been inducted as a member of the
Society in the year 1952 after which he discharged necessary
obligations in that regard, the Society contends that the original
12
1987 INSC 248
Civil Appeal Nos.10693-10694 of 2026 Page 9 of 17
claimant having resigned from his membership in the year 1951,
he was never inducted as a member thereafter. The Arbitrator as
well as the Tribunal have proceeded on the basis that having been
inducted as a member of the Society, it had to be presumed that
he continued to be a member of the Society during his lifetime,
especially as his name was shown in the list of members. The High
Court, in exercise of jurisdiction under Articles 226 and 227 of the
Constitution, however, found that the documents on record
indicated that the claim of membership as made by the original
claimant since 1952 was without any basis, as such claim was
never accepted by the Society but was in fact categorically rejected.
The question that, thus, arises for consideration is whether the
High Court, in exercise of certiorari jurisdiction, was justified in
interfering with the orders passed by the Arbitrator and the
Tribunal or whether it exceeded its jurisdiction in doing so?
9. For seeking an answer to the aforesaid question, it would be
first necessary to refer to the orders passed by the Arbitrator and
the Tribunal. As noted above, in the earlier round of litigation the
proceedings were remanded to the Arbitrator under Section 61 of
the Act of 1972 to decide the dispute as raised by the original
claimant with regard to his membership and consequent
Civil Appeal Nos.10693-10694 of 2026 Page 10 of 17
entitlement to allotment of a plot. According to the Arbitrator, the
original claimant had been admitted as a member. His offer of an
amount of ₹15,000/- for a larger plot of land was not accepted by
the Society, thus, leading to filing of the dispute. It was held that
the plea of resignation from membership as well as subsequent re-
entry for settlement of accounts was not tenable as said contention
was not supported by any reason nor by law. The Arbitrator, thus,
proceeded to presume that the original claimant continued to be a
member of the Society during his lifetime and his name was shown
in the list of members. On that basis, the Society was directed to
allot a plot to the legal heir of the original claimant on the condition
that the legal heir would apply for transfer of membership and
make full payment towards the cost of the land.
10. The Society challenged this order by preferring an appeal
under Section 76 of the Act of 1972. The Tribunal in its short order
held that though the original claimant ha d resigned from
membership in 1951, the Managing Committee of the Society
decided to admit him as a member as a special case for clearing
the suspense items as the accounts had to be settled. It also
referred to the fact that the name of the original claimant figured
in the list provided by the Society to the Civil Court in 1965 as well
Civil Appeal Nos.10693-10694 of 2026 Page 11 of 17
as in the High Court in 1972. The Tribunal, therefore, refused to
interfere with the order of the Arbitrator.
11. In the writ petition preferred by the Society, the High Court
noted that the decisions of the Arbitrator as well as of the Tribunal
were cryptic and almost bereft of reasoning. It found that the claim
of membership made by the original claimant was of the year 1952,
which indicated that his resignation from membership in 1951 was
not in issue. It found that the list of membership relied upon by
the legal heir of the original claimant was of the year 1951. It,
therefore, upheld the stand of the Society that since an amount of
₹25/- was lying in the suspense account of the Society, the name
of the original claimant was shown as a non-plot holder member.
There was no resolution granting membership to the original
claimant pursuant to his application in 1952 nor could the original
claimant produce any membership certificate. The amount of
₹15,000/- was not accepted by the Society from the original
claimant as he was not a member. It, thus, noted that arguments
raised by the Society had not been considered at all. It, therefore,
held that the Arbitrator was not justified in proceeding on the
presumption that the original claimant continued to be a member
during his lifetime. It also examined the aspect of equities in favour
Civil Appeal Nos.10693-10694 of 2026 Page 12 of 17
of the parties and held that merely on the basis of contributing
₹25/- in the year 1952, a claim for allotment of a plot was not
justifiable, especially when there were prior claimants also seeking
allotment of a plot. The conclusion recorded by the High Court
while explaining the reason for its interference as contained in
paragraph 13 of the impugned judgment reads as under:
“13. In view of the above, we accept the writ petition and set aside the
orders of both the authorities below inasmuch as they are not only cryptic
but they fail to discuss the relevant facts and the issues, and which if would
have been done the same would have resulted in a decision in favour of the
petitioner society. We, therefore, set aside the impugned order dated
18.3.2004 passed by the DCT and Award dated 7.10.2003 and dismiss the
claim petition as filed by respondent No.l and his father for grant of a plot
in the petitioner society. The parties are left to bear their own costs.”
12. Before proceeding to examine whether the High Court , in
exercise of certiorari jurisdiction, could have set aside the
concurrent orders of the Arbitrator and the Tribunal, it would be
advantageous to refer to a few decisions in this regard. In General
Manager, Electrical Rengali Hydro Electric Project, Orissa and
others Vs. Sri Giridhari Sahu and others
13, this Court examined
in detail the permissibility of exercise of certiorari jurisdiction.
After referring to the decision of the Constitution Bench in Hari
Vishnu Kamath Vs. Syed Ahmad Ishaque and others
14 as well
13
2019 INSC 1020
14
1954 INSC 122
Civil Appeal Nos.10693-10694 of 2026 Page 13 of 17
as various other decisions, it has been held as under:
“29. On the conspectus of the decisions and material, we would hold
as follows:
The jurisdiction to issue writ of certiorari is supervisory and
not appellate. The Court considering a writ application of
Certiorari will not don the cap of an Appellate Court. It will not
reappreciate evidence. The Writ of Certiorari is intended to
correct jurisdictional excesses. A writ of prohibition would issue
when a Tribunal or authority has not yet concluded its
proceedings. Once a decision is rendered by a body amenable to
Certiorari jurisdiction, certiorari could be issued when a
jurisdictional error is clearly established. The jurisdictional
error may be from failure to observe the limits of its jurisdiction.
It may arise from the procedure adopted by the body after validly
assuming jurisdiction. It may act in violation of principles of
natural justice. The body whose decision which comes under
attack may decide a collateral fact which is also a jurisdictional
fact and assume jurisdiction. Such a finding of fact is not
immune from being interfered with by a Writ of Certiorari. As far
as the finding of fact which is one within the jurisdiction of the
court, it is ordinarily a matter ‘off bounds’ for the writ court. This
is for the reason that a body which has jurisdiction to decide the
matter has the jurisdiction to decide it correctly or wrongly. It
would become a mere error and that too an error of fact.
However, gross it may amount to, it does not amount to an error
of law. An error of law which becomes vulnerable to judicial
scrutiny by way of Certiorari must also one which is apparent
on the face of the record. As held by this Court in Hari Vishnu
Kamath (supra), as to what constitutes an error apparent on the
face of the record, is a matter to be decided by the court on the
facts of each case. A finding of fact which is not supported by
any evidence would be perverse and in fact would constitute an
error of law enabling the writ court to interfere. It is also to be
noticed that if the overwhelming weight of the evidence does not
support the finding, it would render the decision amendable to
certiorari jurisdiction. This would be the same as a finding
which is wholly unwarranted by the evidence which is what this
Court has laid down [See M/s. Perry and Co. Ltd (supra)].”
In Central Council for Research in Ayurvedic Sciences
and another Vs. Bikartan Das and others
15, this Court reiterated
15
2023 INSC 733
Civil Appeal Nos.10693-10694 of 2026 Page 14 of 17
that a finding of fact based on no evidence or purely on surmises
or conjectures could be regarded as an error of law. In paragraphs
63 and 64, it was held as under:
“63. However, we may clarify that findings of fact based on ‘no evidence’ or
purely on surmises and conjectures or which are perverse points could be
challenged by way of a certiorari as such findings could be regarded as an
error of law.
64. Thus, from the various decisions referred to above, we have no
hesitation in reaching to the conclusion that a writ of certiorari is a high
prerogative writ and should not be issued on mere asking. For the issue of
a writ of certiorari, the party concerned has to make out a definite case for
the same and is not a matter of course. To put it pithily, certiorari shall issue
to correct errors of jurisdiction, that is to say, absence, excess or failure to
exercise and also when in the exercise of undoubted jurisdiction, there has
been illegality. It shall also issue to correct an error in the decision or
determination itself, if it is an error manifest on the face of the proceedings.
By its exercise, only a patent error can be corrected but not also a wrong
decision. It should be well remembered at the cost of repetition that
certiorari is not appellate but only supervisory.”
13. From the aforesaid decisions, it is evident that though the
scope for interference in exercise of certiorari jurisdiction would be
limited, an error of law evident from the record is open to correction
by the High Court. If a finding is recorded without there being any
evidence on record or a finding is recorded without any supporting
document, whatsoever, a case for interference would be made out
since such finding would amount to an error of law. In Shalini
Shyam Shetty and another (supra), the distinction between the
jurisdiction under Article 226 and Article 227 was explained and
it was held that the powers conferred operated in different fields.
The ratio of the said decision is not applicable as the writ petition
Civil Appeal Nos.10693-10694 of 2026 Page 15 of 17
before the High Court was under both the Articles.
14. When the material on record is examined in the aforesaid
context, it becomes clear that the Registrar as well as the Tribunal
glossed over relevant documentary material on record. The High
Court in the impugned judgment has indicated the same which
according to us is the correct position obtaining from the record of
the case. These documents include the resignation of the original
claimant and its acceptance as recorded in the Minutes of the
Managing Committee Meeting held on 05.05.1951 followed by
transfer of the share of the original claimant to another member
on 18.08.1951, the rejection of the original claimant’s application
for membership as per the Minutes of the Managing Committee
Meeting dated 05.11.1952 as well as the rejection of the request of
the original claimant to permit him to pay the deposit for a plot of
land as late as on 04.11.1979. The Arbitrator failed to consider
these documents that were available on record , which if
considered, would have resulted in only one finding, that the
original claimant was not a member of the Society. Instead, it
proceeded on the assumption that the original claimant continued
to be a member during his lifetime. The perversity in the finding of
the Registrar is evident from the following observations made in
Civil Appeal Nos.10693-10694 of 2026 Page 16 of 17
his order dated 07.10.2003 which read as under:
“…The plea of resignation of Sh. S. N. Sharma and his subsequent re-entry
to settle some accounts are· not tenable as they are neither supported by
any reason nor by the law. It has to be presumed that he continued to be a
member of the society till the end of his life and his name continued to be
shown in the list of members…”
15. The Tribunal in its cryptic order consisting of six paragraphs
affirmed this finding. In our view, the High Court was fully justified
in causing interference with these orders by observing that if the
relevant documents had been taken into consideration, the same
would have resulted in a decision in favour of the Society. We,
therefore, hold that no fault can be found with the exercise of
certiorari jurisdiction by the High Court.
16. The High Court also rightly, in our view, took into account
equitable considerations while interfering in exercise of certiorari
jurisdiction. In the light of the fact that there were four prior
claimants seeking allotment of a plot, the claim of the original
claimant was rightly disregarded. This is another reason not to
interfere with the High Court’s adjudication.
17. Since we have found that the original claimant was never
admitted as a member of the Society and, thus, not entitled to seek
allotment of a plot, it is not necessary to go into the issue as
regards actual availability of a plot. Though learned Senior
Civil Appeal Nos.10693-10694 of 2026 Page 17 of 17
Advocates for the parties addressed the Court on this aspect, it is
not necessary to record any finding in that regard as the original
claimant had not been admitted to the membership of the Society
and, hence, the question of allotment of a plot would not arise at
all.
18. For all the aforesaid reasons, we are not inclined to interfere
with the impugned judgment of the High Court. Consequently, the
Civil Appeals are dismissed with no orders as to cost. Pending
Interlocutory Applications are also disposed of.
…...………………………..J.
[ UJJAL BHUYAN ]
.…..………………………..J.
[ATUL S. CHANDURKAR]
NEW DELHI,
AUGUST 31, 2026.
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