As per case facts, Ashwini Heights Cooperative Housing Society Ltd. (Petitioner) challenged an order by the Divisional Joint Registrar which granted membership to Jyoti Nitin Lunia and Nitin Balchandji Lunia ...
Megha 910_wp_2241_2024_fc.odt
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
CIVIL APPELLATE JURISDICTION
WRIT PETITION NO.2241 OF 2024
Ashwini Heights Cooperative Housing
Society Ltd. ...Petitioner
V/s.
1.Jyoti Nitin Lunia
2.Nitin Balchandji Lunia
3.Deputy Registrar, Co-operative
Societies, Pune City (2)
4.Divisional Joint Registrar, Co-
operative Societies, Pune
Division, Pune. ...Respondents
________________
Mr. Akshay Kandarkar with Mr. Vignesh Ashokan i/b. Mr. Sachin H.
Deokar for the Petitioner.
Mr. Rahul Soman with Mr. Suyash M. More i/b. Mr. Vidyesh Dhamdhere
for Respondent nos.1 and 2.
Mr. Y.D. Patil, AGP for Respondent-State.
________________
CORAM: SANDEEP V. MARNE, J.
Judgment reserved on: 14 AUGUST 2026.
Judgment pronounced on: 20 AUGUST 2026.
JUDGMENT:
1) By this Petition, Petitioner-Society has challenged the Order dated
12 May 2022 passed by the Divisional Joint Registrar, Cooperative
Societies, Pune Division, Pune (Divisional Joint Registrar), allowing
Revision Application No. 126 of 2020 and setting aside order dated 6
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March 2019 passed by the Deputy Registrar, Co-operative Societies, Pune
City-2, Pune (Deputy Registrar). By his order dated 6 March 2019, the
Deputy Registrar had rejected the application preferred by Respondent
No.1 and 2 under Section 23(2) of the Maharashtra Co-operative
Societies Act, 1960 (MCS Act) for admitting them as members of the
Petitioner-Society. Thus, the effect of the impugned order of the
Divisional Joint Registrar is that Respondent Nos.1 and 2 are directed to
be admitted as members of the Petitioner-Society qua the godown
purchased by them.
2)The Petitioner is a Cooperative Housing Society registered under
the provisions of the MCS Act. Building of the Petitioner-Society was
developed by M/s Ashwini Constructions. Before formation of the
Petitioner-Society, the developer sold shop No.8 and godown situated in
the basement of the building to Mr. Prakash Balkrishna Daphalapurkar
(Daphalapurkar) by way of single registered agreement. After formation
of the Society, the Petitioner-Society issued share certificate No.45 in the
name of Daphalapurkar in respect of shop No.8 and the godown beneath
it. Daphalapurkar sold only the godown to Mr. Ramchandra Maruti
Bandal and Savita Bandal (Bandals) by Assignment Deed dated 18 August
2005 without informing the Petitioner-Society and without securing it’s
No Objection Certificate. Therefore Bandals were not admitted as
member of the Petitioner-Society. By Deed of Assignment /Transfer Deed
dated 1 April 2010, Bandals sold the godown to Respondent Nos.1 and 2
again without securing NOC of the Society. Respondent Nos.1 and 2
applied to the Society for securing membership on 30 September 2013.
The Society requested for certain documents vide letter dated 8 October
2013. Respondent Nos.1 and 2 again made application dated 4 February
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2017 for grant of membership. Thereafter Respondent Nos.1 and 2 sent
Advocate’s notice dated 4 January 2018 to the Petitioner-Society for
grant of membership. The Society responded through its Advocate’s
reply dated 17 February 2018 informing that Daphalapurkar has not
surrendered his membership/ share certificate and that therefore
Respondent Nos.1 and 2 could not be admitted as members.
3)Respondent Nos.1 and 2 filed Appeal under Section 23(2) of the
MCS Act before the Deputy Registrar seeking membership of the Society
qua godown. The Appeal was resisted by the Petitioner-Society by filing
its reply. The Deputy Registrar rejected the Appeal by order dated 6
March 2019 holding that purchase of godown was made by Bandals
without Society’s consent and similarly even purchase of godown by
Respondent Nos.1 and 2 was without consent of the Society. Aggrieved
by the order dated 6 March 2019 passed by the Deputy Registrar,
Respondent Nos.1 and 2 filed Revision Application No.126 of 2020 before
the Divisional Joint Registrar. By order dated 12 May 2022, the Divisional
Joint Registrar has allowed the Revision preferred by Respondent Nos.1
and 2 and has set aside order of the Deputy Registrar dated 6 March
2019. The Society is directed to grant membership to Respondent Nos.1
and 2 qua the godown. The Petitioner-Society has filed the present
Petition challenging the order of the Divisional Joint Registrar dated 12
May 2022. By order dated 21 February 2024, this Court has stayed the
order of the Divisional Joint Registrar. Respondent Nos.1 and 2 have
appeared in the Petition.
4)Mr. Kandarkar, the learned counsel appearing for the Petitioner-
Society submits that the Divisional Joint Registrar has grossly erred in
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allowing the Revision preferred by Respondent Nos.1 and 2. That what is
purchased by Respondent Nos.1 and 2 does not qualify as a ‘flat’ within
the meaning of Section 154B-1(13) of the MCS Act. That godown is a part
and parcel of shop No.8. That Daphalapurkar had purchased shop No.8
and godown as a composite unit. That in the sanctioned plan also, both
the structures are indicated as a composite unit. That there is no
independent access for the godown and the that the godown can be
accessed only through the shop.
5)Mr. Kandarkar further submits that under the statutory scheme of
MCS Act, membership cannot be granted unless the flat is approved in
the sanctioned plan. That under Section 154B-5 of the MCS Act, there is
a statutory restriction to number of membership, which could not exceed
the sanctioned plan. He submits that Respondent Nos.1 and 2 have
procured illegal documents in the form of personal occupation
certificate. That there is no provision for issuance of personal occupation
certificate. That in any case, changes to sanctioned plan cannot be
effected without consent of the Society. That the so called occupation
certificate procured by Respondent Nos.1 and 2 are doubtful since
occupation certificate is shown to have been issued on 10 March 2021
whereas the revised commencement certificate is sought later on 6 July
2021. That it is impermissible to directly take into consideration the
material, which was never produced before the Deputy Registrar. In
support, he relies on judgment of this Court in Usha Kiran Cooperative
Housing Society & And Ors . V/s. The State of Maharashtra & Ors.
1
He
also relies on judgment of this Court in Uday Dalal and Others V/s.
Divisional Joint Registrar
2
in support of his contention that only the flat
1Writ Petition No.15438 of 2025, decided on 18 November 2025.
22025 SCC OnLine Bom 5202
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which is reflected in the sanctioned plan can be taken into consideration
for award of membership. He submits that the godown has not been
sanctioned independently in the sanctioned plan. That Daphalapurkar
still continues to be the member of the Society qua the entire structure.
He also invites attention of this Court to bye-law No.46 in support of his
contention that no additions or alterations in the plans or structures can
be made without the consent of the Society. He also submits that
transaction of Respondent Nos.1 and 2 is clearly illegal due to absence of
NOC from the Society. He accordingly prays for setting aside order of the
Divisional Joint Registrar.
6)Per contra, Mr. Soman, the learned counsel appearing for
Respondent Nos.1 and 2 opposes the Petition submitting that the
Divisional Joint Registrar has taken into consideration the occupation
certificate in respect of the godown thereby indicating that the godown
is sanctioned as a separate unit. That the godown is also separately
assessed to taxes. That under Section 154B-1(13) the definition of the
term ‘Flat’ has now been widened and even ‘godown’ is included in the
definition of the term ‘Flat’. That Daphalapurkar purchased the shop and
the godown and just because purchase was made by one document, the
same does not mean that there is a unified structure. That there is an
independent access to the godown. He submits that statutory scheme
relating to cooperative housing society is entirely different in relation to
acquisition of interest in the property under Section 154B-7 as compared
to Section 29 of the MCS Act. He also relies on judgment of this Court in
Uday Dalal (supra). He submits that in the original structure plan
godown was indicated as a separate structure. He therefore prays for
dismissal of the Petition.
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7)Rival contentions urged on behalf of the parties, now fall for my
consideration.
8)The case involves a unique conundrum where Daphalapurkar
purchased from the developer shop No.8 and the godown vide
Agreement dated 6 August 1994. The Agreement effects purchase of
following property:-
Shop No.8 on Ground Floor admeasuring about 17.84 sq.mtrs i.e.
192.0 sq.ft. of built-up area and godown in basement of about 25.27
sq.mtrs. i.e. 272.09 sq.ft. of built-up area.
9)Thus, by a common Agreement, Shop No.8 on the ground floor
admeasuring 192 sq.ft. and the Godown admeasuring 272.09 sq.ft. were
purchased by Daphalapurkar. It appears that since a single owner
purchased both the structures and since the Society believes that
godown is a part of shop No.8 it issued only share certificate in favour of
Daphalapurkar. Daphalapurkar retained shop No.8 but decided to sell
only the godown and accordingly executed a Deed of Assignment on 18
August 2005 with Bandals and thereby sold only the godown. In clause
12 of the Deed of the Assignment, Daphalapurkar gave an undertaking
as under:-
सदर गोडाउनमिळकत ज्या इमारतीचा भाग आहे त्या इमारतीमधील फ्लॅ ट धारकांची
सहकारी संस्था स्थापन झालेली असून सदर सोसाटीचे नाव अश्विनी हाईट्स सहकारी
गृहरचना संस्थामर्यादित
'
असे आहे
.
प्रस्तुतच्या तबदिलपत्रानंतरमी सदर संस्थेतील
सभासदत्वाचा राजीनामा देऊन सभासदत्व व शेअर्ससर्टिफिके ट तुमचे नावे हस्तांतरित
करून देईन
.
त्याबाबत टाळाटाळ करणार नाही
.
त्यासाठी लागणाऱ्या सर्वसह्या
,
संमत्यामी
विनामोबदला देण्याच्या आहेत
.
10)It is the contention of the Society that its consent was not secured
for execution of the transaction between Daphalapurkar and Bandals.
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Therefore, Bandals were never admitted as members of the Petitioner-
Society. By Deed of Assignment dated 1 April 2010, Bandals have sold
and transferred the godown to Respondent Nos.1 and 2. The Society
contends that even for this transaction, its consent was not obtained.
11)The Society initially did not grant membership to Respondent
Nos.1 and 2-Jyoti Nitin Lunia and Nitin Balchandji Lunia (Lunias) mainly
on the ground of non-procurement of its consent for the transaction. It
appears that the Society initially did not raise the objection of godown
being a part of shop No.8. When the application for membership was
made by Respondent Nos.1 and 2-Lunias on 30 September 2013, the
initial reaction of the Petitioner-Society was to merely demand copies of
the documents. When Respondent Nos.1 and 2 issued Advocate’s notice
dated 4 January 2018, Society’s Advocate responded on 17 February 2018
once again raising the issue of Daphalapurkar not securing permission of
the Society for the transaction. Response of the Society was as under:
सदर सोसायटीतमे
.
अश्विनी कन्स्ट्रक्शन्स यांनी दुकान व गोडाऊन क्र
.
८ हीमिळकत
श्री.
प्रकाश बाळकृष्ण डफळापूरकर यांनाविक्री करण्यात आलेली असून श्री
. प्रकाश
बाळकृष्ण डफळापूरकर यांचे नावे सोसायटीने भाग खाते न
.
४५ हादिनांक
१०/६/
२०१० रोजीमॅनेजिंग कमिटीच्या ठरावानुसार समंत करण्यात आलेला असून
आजतागायत तो त्यांचेच नावे आहे
.
परंतु श्री
.
प्रकाश बाळकृष्ण डफळापूरकर यांनी
सोसायटीकडून कोणत्याही प्रकारची नाहरकत प्रमाणपत्र तसेच अर्जहा के लेंला नव्हता
व नाही
.
त्यामुळे सदर भाग दाखला खाते न
.
४५ हा इतर कोणाचेही नावे वर्गके लेला
नाही.
अथवा त्यांनी सभासदत्वाचा राजीनामा हीदिलेला नाही
.
सबब त्यांचा भाग खाते
न.
४५ हा इतर कोणासही म्हणजेच तुमचे अशिलांचे नावे करण्याचा संबंधच येत नाही
.
12)Even when application was made before the Deputy Registrar, the
Petitioner-Society did not raise the issue of shop and godown being
composite property and opposed the application only on the ground of
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non-securing of its permission. The Society's response to the said
application before the Deputy Registrar reads thus:-
(२)
प्रस्तुत जाबदेणार यांचे पुढे असे म्हणणे आहेकि
,
सदरमिळकतमे
. अ
श्विनी
कन्स्ट्रक्शन्स यांनी दुकान व गोडाऊन क्र
.
८ हीमिळकत श्री
.
प्रकाश बाळकृष्ण
डफळापूरकर यांनाविक्री करण्यात आलेली असून श्री
.
प्रकाश बाळकृष्ण
डफळापूरकर यांचें नावे सोसायटीने भाग खाते न
.
४५ हादिनांक १०
/६/२०१०
रोजीमॅनेजिंग कमिटीच्या ठरावानुसार समंत करण्यात आलेला असून आजतागायत
तो त्यांचेच नावे आहे
.
परंतु श्री
.
प्रकाश बाळकृष्ण डफळापूरकर यांनी
सोसायटीकडून कोणत्याही प्रकारची नाहरकत प्रमाणपत्र तसेच अर्जहा के लेला
नव्हता व नाही
.
त्यामुळे सदर भाग दाखला खाते न
.
४५ हा इतर कोणाचेही नावे वर्ग
के लेला नाही
.
अथवा त्यांनी सभासदत्वाचा राजीनामा हीदिलेला नाही
. सदर
सभासदत्व आजही अबादित आहे
.
तसेच सदर गोडाऊन संदर्भात श्री
. प्रकाश
बाळकृष्ण डफळापूरकर यांनीविक्रीसंदर्भात
(संस्थेकड
ून
)
जाबदेणार कडून
नाहरकत प्रमाणपत्र कधीही घेतलेलं नव्हते व नाही
.
तसेच अर्जदारांनीमागणी
सभासदत्वासाठीमूळता ज्याचेकडून खरेदी घेतले त्यांचे नावे
(संस्थेकडे)
जाबदेणारांकडे सभासत्व कधीच नव्हते व नाही
.
३)
प्रस्तुत जाबदेणार यांचे पुढे असे म्हणणे आहेकि
,
प्रस्तुत वर नमूदमालमत्तेच्या
पहिल्यामालकाने म्हणजेच श्री
.
डफळापूरकर यांनी त्यांच्यामालमत्तेतीलमिळकत
इतर व्यक्तीस हस्तांतरित करते वेळी जाबदेणार यांचे कोणतीही नाहरकत घेतलेली
नव्हती व नाही
.
तसेच त्यांनी आपल्या नावे असलेला सोसायटीचा भाग खाते न
. ४५
हा चा राजीनामाही आजतागायतदिलेला नव्हता व नाही
.
त्यामुळे प्रस्तुत अर्जदारांनी
के लेलामहाराष्ट्रसह
.
अधिनियम१९६० चे कलम२३
(२)
अन्वये के लेला अर्ज
फे टाळण्यात यावा
.
13)Even before the Divisional Joint Registrar, the Society did not raise
the issue of godown and shop being part of same premises. However, in
the present Petition, the main ground of challenging order of the
Divisional Joint Registrar is that the godown is a part of shop and the
same cannot be bifurcated for the purpose of treating only the godown as
a ‘flat’ for the purpose of grant of membership to Respondent Nos.1 and
2.
14)To decide the controversy, it would be necessary to make a quick
reference to the statutory scheme of the MCS Act. Under Section 154B-
1(13) of the MCS Act, the term ‘Flat’ is defined as under:
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154B-1. Definitions
13) "Flat" means block, chamber, dwelling unit, apartment, office,
showroom, shop, godown, premises, suit, tenement, unit or by any other
name, means a separate and self-contained part of any immovable
property, including one or more rooms or enclosed spaces, located on
one or more floors or any part thereof, in building or on a plot of land,
used or intended to be used for any residential or commercial use such
as residence, office, shop, showroom or godown or for carrying on any
business, occupation, profession or trade, or for any other type of use
ancillary to the purpose specified;
15)Under Section 154B-2 of the MCS Act a tenant co-partnership
housing society cannot be registered unless five persons or at least 51%
of total number of flats as per sanctioned plan join the registration
proposal. Sub-section (1) of Section 154B-2 of the MCS Act provides
thus:-
154B-2. Registration of co-operative societies.—
(1)No tenant co-partnership housing society shall be registered
under this Act, unless it consists of at least five persons (each of
such persons being a Member of different family) or at least fifty
one per cent. (of total number of flats as per sanctioned plan) flat
purchasers or intending Members and who are qualified to
become Member under this Act, whichever is higher, joins the
registration proposal of housing society to be registered.
(emphasis added)
16) Section 154B-5 of the MCS Act deals with limit on memebership
and provides thus:-
154B-5. Limit on Membership
A housing society shall not admit to its Membership persons
exceeding the number of flats or plots, as the case may be, available
for allotment in that co-operative housing society.
Provided that, a plot owners co-operative housing society may admit
to its Membership an organisation (co-operative housing society,
company, association, etc.) of flat purchasers, in case the plot owner
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had constructed and sold flats as per prevailing rules, in place of
original plot owner Member.
Thus, under the statutory scheme of the MCS Act, for becoming member
of a co-operative housing society, one must own a flat, which is approved
in the sanctioned plan and the membership in a cooperative housing
society cannot exceed the number of flats. This follows that the number
of flats referred to in Section 154B-5 means the flats as sanctioned in the
development permission. The place in the building which is not
sanctioned in the development permission as one of the enumerated
premises while defining the term ‘flat’ under Section 154B-1(13) cannot
be taken into consideration for allotment of membership in a
cooperative housing society. This would mean that a person claiming
rights in respect of only a parking space or staircase or veranda in the
building cannot be admitted as society’s member. Also true is the
position that a flat cannot be artificially bifurcated for creation of two
membership. In case the bifurcation of a singular flat is made, such
bifurcation must be sanctioned by the planning authority. To illustrate,
purchase of a larger premises is done for accommodation of a large
family during construction of a building and one flat is accordingly
sanctioned by the planning authority. However after passage of time,
such large premises are not needed and the purchaser decides to
bifurcate the premises into two flats, he can apply to the planning
authority and get the same bifurcated. There is no prohibition on
bifurcation of one flat into multiple flats provided the planning authority
sanctions such bifurcation as per the planning norms.
17) Chapter -XIII-B has been inserted in the MCS Act for making
special provisions relating to co-operative housing societies. After the
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amendment, Section 154B-1(13) defined the term ‘Flat’ in a expansive
manner and the term ‘Flat’ now includes even a godown or self-
contained part of immovable property. Going strictly by definition of the
term ‘Flat’ under Section 154B-1(13) of the MCS Act, godown purchased
by Respondent Nos.1 and 2 can be treated as a flat.
18) The next requirement is that a flat must be sanctioned in the
development permission issued by the Planning Authority. In Uday
Dalal (supra) this Court, after examining statutory scheme of the MCS
Act, has held that the sanctioned plan is the first and most important
document, which the Registrar must take into consideration while
deciding membership application. This Court has held in paragraphs 18
to 24, 26 and 40 as under:
18. Section 23 creates the right of open membership. It prevents a
society from refusing membership without sufficient cause. However,
this right applies only to persons duly qualified under the Act and the
bye laws. The phrase “duly qualified” is the key. In a housing society
governed by Chapter XIII-B, qualification for membership is not
determined by mere physical possession of premises. It depends on
whether the applicant owns or intends to own a flat recognised in the
sanctioned plan. Even the deemed membership mechanism in
Section 23(1A) cannot override the statutory ceiling under Section
154B-5. A deemed membership arises only if the applicant is
otherwise eligible. Eligibility, in turn, depends on the sanctioned
plan. The appellate power under Section 23(2) is supervisory. The
Registrar cannot treat a structure as a flat unless it appears in the
sanctioned plan or a sanctioned modification proves its independent
existence.
19. The definition of “flat” in Section 154B-1(13) widens the scope of
premises that may be treated as flats. However, this wider definition
operates within the larger statutory framework. A structure may be
physically capable of being used as a flat. But unless the sanctioned
plan recognises it as a separate and self contained unit, the law does
not recognise it as a flat for granting membership. The definition
describes the characteristics of a flat. Sections 154B-2, 154B-3 and
154B-5 determine whether such a flat qualifies for membership. Thus,
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the sanctioned plan acts as the filter that converts physical structures
into legally recognised flats.
20. Section 154B-2 makes the sanctioned plan an essential condition
for registration. A housing society cannot be registered unless at least
fifty one per cent of the flat purchasers as per sanctioned plan join
the proposal. This demonstrates that the sanctioned plan is not a
technical document. It decides the basic identity of the society, the
number of flats, and the minimum number of members. When the
law requires flats “as per sanctioned plan”, it excludes any room,
garage, outhouse or extension not recognised in the sanctioned plan.
The society’s membership begins where the sanctioned plan begins,
and ends where the sanctioned plan ends.
21.Section 154B-3 further strengthens the scheme. It obligates the
promoters to produce commencement or completion certificates and
to place the sanctioned plan before the Registrar. The Registrar must
verify whether the number of flats mentioned in the registration
proposal matches the sanctioned plan. This statutory verification
ensures that no extra flats are created later by private arrangements.
It also ensures that no part of an existing flat can later be claimed as
an independent unit unless the sanctioned plan is amended by the
competent authority. Registration itself is founded upon the
sanctioned plan, showing that any later deviation without sanction
has no legal effect.
22. Section 154B-5 imposes a strict limit on membership. A housing
society cannot admit more members than the number of flats
available for allotment “in that society”. The expression “in that
society” refers to the flats recognised at the time of registration and
appearing in the sanctioned plan. This provision leaves no discretion
to the general body, the managing committee or even the Registrar.
Membership is tied entirely to the number of flats as per the
sanctioned plan. No sale deed, gift deed, family arrangement,
inspection report or general body resolution can enlarge the number
of flats. Only a sanctioned modification by the planning authority can
do so. This section is the statutory safeguard against manipulation of
voting strength by creating artificial flats.
23. When these provisions are read together, the legal position
becomes clear. The sanctioned plan is the foundation of membership.
It determines (a) how many flats exist, (b) how many members a
society may have, (c) who is eligible for membership, and (d) whether
a premises qualifies as a “flat” for membership purposes.
24. In disputes like the present one, the sanctioned plan is therefore
the first and most important document. Before deciding membership,
the authority must verify whether the disputed premises appears in
the sanctioned plan as an independent flat. Without such
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verification, no order under Section 23(2), and no resolution of the
general body, can be legally sustained.
xxx
26. A cooperative society is a body created by its members. It
functions according to the Act and its own bye laws. Courts do not
interfere in every internal matter of a society. The law expects
societies to manage their affairs on their own. This autonomy,
however, is not absolute. It must operate within the limits fixed by
the statute. When the bye laws lay down how a person should apply
for membership and how the managing committee must consider
such an application, that process must be strictly followed. These
safeguards ensure fairness and prevent misuse of power. If there are
allegations that documents have been fabricated, or that an existing
flat has been deliberately split into artificial parts to create new
memberships, the court cannot remain silent. Such acts, if proved,
would strike at the very foundation of cooperative functioning and
would affect the rights of all members. The court must step in to
protect the integrity of the society.
Xxx
40. Therefore, unless the disputed premises find place in the
sanctioned plan as an independent flat, they cannot be treated as
such for the purpose of granting membership. The authorities ought
to have examined the sanctioned plan, municipal records and earlier
public documents before reaching their conclusion. Their failure to
do so strikes at the root of the decision and cannot be sustained.
(emphasis added)
19) It is therefore necessary to examine whether the godown is
sanctioned as an independent unit in the sanctioned plan or is it a part
and parcel of Shop No. 8. Mr. Kandarkar has placed on record copies of
original sanctioned plan relating to ground and basement floors of the
building. Ground floor plan sanctioned by the Pune Municipal
Corporation on 25 June 1993 would indicate that shop No.8 has been
sanctioned therein with a loft. Similarly, in the basement floor plan, a
godown beneath shop No.8 has been sanctioned for storage of ‘non-
combustible material’. The plan does not indicate presence of any
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internal staircase from shop to the godown. On the other hand, godown
is accessible from adjoining common staircases. Thus, a separate
common staircase is available to access basement floor and going strictly
by the sanctioned plan, no separate individual staircase is sanctioned
from shop No.8 for accessing the godown. The sanctioned plan thus
clearly indicates that the godown has been sanctioned separately from
that of shop No.8.
20) Mr. Kandarkar has attempted to suggest that whenever premises
are sanctioned, they are given specific numbers by the planning
authority. He states that the shop is assigned number ‘8’ where there is
no corresponding number to the godown beneath it. In my view, this
omission in the plan would make no difference. There is one more
godown adjacent to the godown of Respondent Nos.1 and 2, which also
does not bear any particular name/number. Above that godown, is shop
No.1. This Court enquired with Mr. Kandarkar as to whether owners of
Shop No.1 and owners of godown beneath it are same or different or
whether there is separate membership for the two structures. Mr.
Kandarkar fairly responded that the two are separate structures with two
different memberships. Thus, the godown below Shop No.1, though same
is not assigned a specific number, is sold to a person different than the
owner of shop No. 1 and the godown occupant /owner is admittedly a
member of the Society. I do not find a valid reason as to why a separate
treatment needs to be given to the person, who owns godown beneath
shop No. 8.
21) Mr. Kandarkar has contended that godown does not have
independent access and that the same is required to be accessed only
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through an internal staircase going through shop No.8. The contention
however does not appear to be correct at least from the sanctioned plan,
which does not show presence of any internal staircase passing through
shop No. 8 to the godown. On the other hand, godown apparently needs
to be accessed from a common staircase going from ground floor to the
basement floor.
22) In the present case, confusion is apparently created on account of
purchase of shop No.8 and godown beneath it by same person-
Daphalapurkar. Merely because he purchased both the structures by
common agreement, the Society issued common share certificate to
Daphalapurkar and he was granted only one membership. This does not
mean that there was any restriction for Daphalapurkar from segregating
his ownership qua basement godown and to sell it to an outsider.
Ordinarily, Society ought to have issued two separate share certificates to
Daphalapurkar in respect of shop No.8 and godown as is done in the case
of shop No.1 and godown beneath it. Be that as it may. Society found it
more convenient to give single membership to Daphalapurkar, who has
purchased shop No.8 and godown beneath it by a common document.
23) Thus, as per sanctioned plan, it clearly appears that godown and
shop are independently sanctioned and godown does not appear to be a a
part of shop No.8. The case does not involve deliberate bifurcation of a
single structure into two structures as was the case in Uday Dalal (supra)
wherein servant quarter attached to the flat was sought to be converted
into an independent unit. Here two premises are located on different
floors and are separately sanctioned in the plan.
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24) To put any doubt to rest, Respondent Nos.1 and 2 have procured
separate occupation certificate dated 10 March 2021 qua only the
godown. They have also secured a separate commencement certificate
qua the godown on 6 July 2021. The said commencement certificate
dated 6 July 2021 sanctions the godown as was done in the original
sanctioned plan dated 25 June 1993. The godown is now assigned a
number, which was lacking in the original plan. The comparative
difference in the description of the godown in the original and revised
sanctioned plans is as under:-
Description in the sanctioned plan
dated 25 June 1993
Description in the Revised
sanctioned plan dated 6 July 2021
GODOWN for NON COMBUSTIBLE
MATEIRAL
22’-8’ X 11’-0’’
272.09 SQFT B/UP
GODOWN NO. FOR NON
COMBUSTIBLE MATERIAL
22’ - 8’’x 11’- O”=272.09 sq.ft. B/UP
25) Thus, in the revised sanctioned plan, the godown is assigned a
separate number (Godown No. 1) since the Society was attempting to
confuse the godown as a part of shop No.8. Thus, in the original plan
itself godown was always a separate structure of shop No.8. To quell any
doubts, the revised sanctioned plan now identifies godown as a separate
structure by assigning it a separate number.
26)I am not impressed by objection of Mr. Kandarkar that the
Divisional Joint Registrar could not have relied on additional document
in the form of personal occupation certificate. It appears that the Society
had never raised the issue of two structures being common till filing of
reply in the Revision and possibly sought to raise the same during the
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course of arguments before the Divisional Joint Registrar. In any case the
Divisional Joint Registrar was under statutory duty to verify whether the
godown in the basement is a sanctioned structure or not. He has
performed the statutory duty by conducting the said verification and
cannot be criticized for placing reliance on the personal occupation
certificate.
27)Petitioner-Society has sought to raise doubts about genuineness of
the document being ‘personal’ occupation certificate. It is contended
that there is no concept of issuing a ‘personal’ occupation certificate. It is
also contended that the plans cannot be revised without the consent of
the society. However, Mr. Kandarkar does not dispute the position that
what is produced by Respondent Nos. 1 and 2 is a document issued by the
Pune Municipal Corporation. It is not a forged document. It is
accompanied by a revised commencement certificate. If Petitioner-
Society has any doubts about the power of the Pune Municipal
Corporation to issue such personal occupation certificate or in
sanctioning the revised plan without the consent of the society, the
remedy lies elsewhere. In any case, even if the said personal occupation
certificate is ignored, I am fully satisfied that the godown was separately
sanctioned in the original development permission and the same is once
again sanctioned as a separate premises in the revised commencement
certificate/development permission dated 6 July 2021. If the Society is
aggrieved by issuance of revised commencement certificate or personal
occupation certificate, it needs to challenge the same in independent
proceedings and the challenge cannot be permitted to be raised in
collateral proceedings relating to grant of membership.
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28) In my view therefore, the statutory requirement of flat being
sanctioned in the development permission is clearly met in the present
case.
29) Considering the overall conspectus of the case, in my view the
Divisional Joint Registrar has rightly set aside order passed by the
Deputy Registrar. Respondent Nos.1 and 2 are entitled to membership
qua the godown, which qualifies the description as ‘Flat’ and is as per
the approved sanctioned plan. As a matter of fact, creation of two
memberships in respect of Shop No.8 and godown beneath it enures to
the benefit of the Society rather than subjecting it to any loss. The
Society would earn two sets of service charges in respect of shop No.8
and godown, as against singular service charges, if both are treated as
part of the same structure for grant of one membership.
30)I am therefore, not inclined to interfere in the impugned order
passed by the Divisional Joint Registrar, which appears, to my mind, to
be unexceptionable. Writ Petition is devoid of merits. It is accordingly
dismissed with no order as to costs.
[SANDEEP V. MARNE, J.]
Page No. 18 of 18
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In a significant ruling, the Bombay High Court recently deliberated on crucial aspects of **Cooperative Housing Society Membership** and the interpretation of the **Maharashtra Cooperative Societies Act**. This judgment, Ashwini Heights Cooperative Housing Society Ltd. v. Jyoti Nitin Lunia & Ors. (2026:BHC-AS:34441), now prominently featured on CaseOn, provides invaluable clarity on the criteria for admitting members, particularly concerning properties like godowns that may not initially appear as independent units. The court’s decision underscores the importance of sanctioned plans and statutory definitions in determining membership eligibility, offering a precedent for similar disputes within housing societies across Maharashtra.
\nThe case stemmed from a dispute involving Ashwini Heights Cooperative Housing Society Ltd. (the Petitioner) and Jyoti Nitin Lunia and Nitin Balchandji Lunia (Respondent Nos. 1 & 2). The core issue revolved around the Lunias' application for membership in the society for a godown they purchased. Originally, a developer sold Shop No. 8 and a godown in the basement to Mr. Prakash Balkrishna Daphalapurkar (Daphalapurkar) via a single registered agreement in 1994. The Society subsequently issued one share certificate for both properties to Daphalapurkar.
\nLater, Daphalapurkar sold only the godown to a party named Bandals in 2005, and Bandals, in turn, sold it to the Lunias in 2010. Both transactions occurred without the Society's No Objection Certificate (NOC). When the Lunias applied for membership in 2013 and again in 2017, the Society denied it, primarily citing the absence of NOCs and Daphalapurkar's failure to surrender his original membership.
\n\nThe central question before the Court was whether the godown, originally sold alongside a shop but subsequently transferred independently, qualified as an independent 'flat' under the provisions of the Maharashtra Cooperative Societies Act, 1960 (MCS Act), thereby entitling its purchasers (the Lunias) to society membership. The Society argued that the godown was an inseparable part of Shop No. 8 and not an independent unit, thus not qualifying for separate membership.
\n\nThe Court referred to Section 154B-1(13) of the MCS Act, which provides an expansive definition of the term 'Flat.' It states that a “Flat” includes “block, chamber, dwelling unit, apartment, office, showroom, shop, godown, premises, suit, tenement, unit or by any other name, means a separate and self-contained part of any immovable property, including one or more rooms or enclosed spaces, located on one or more floors or any part thereof, in building or on a plot of land, used or intended to be used for any residential or commercial use such as residence, office, shop, showroom or godown or for carrying on any business, occupation, profession or trade, or for any other type of use ancillary to the purpose specified.” This definition explicitly includes 'godown' as a type of 'flat'.
\n\nThe MCS Act, particularly Chapter XIII-B, outlines special provisions for cooperative housing societies. Sections 154B-2 and 154B-5 emphasize the crucial role of the “sanctioned plan” in determining membership. A housing society's registration is contingent on a certain percentage of flat purchasers “as per sanctioned plan” joining the proposal (Section 154B-2). Furthermore, a society cannot admit more members than the number of flats or plots “as per sanctioned plan” (Section 154B-5). This establishes the sanctioned plan as the primary document for legal recognition of a unit as a 'flat' eligible for membership.
\n\nThe Court heavily relied on its earlier judgment in Uday Dalal and Others V/s. Divisional Joint Registrar, which clarified that while the definition of 'flat' is broad, it must still be reflected as an independent unit in the sanctioned plan. The *Uday Dalal* judgment stressed that the sanctioned plan acts as a “filter” that converts physical structures into legally recognised flats for membership purposes. It also stated that any artificial bifurcation of a single flat to create new memberships without planning authority sanction is impermissible.
\nFor legal professionals seeking swift insights into complex rulings like *Uday Dalal* and the present case, CaseOn.in offers invaluable 2-minute audio briefs. These concise summaries enable lawyers to quickly grasp the essence of judgments, understand their implications, and stay updated without sifting through lengthy documents, thereby enhancing efficiency in legal research and case analysis.
\n\nThe Society initially resisted the Lunias' membership application based on the absence of its consent for the transfers, and Daphalapurkar's continued membership for the original unit. However, the Society later introduced the argument that the godown was not an independent unit but part of Shop No. 8.
\n\nThe High Court examined the original sanctioned plan from 1993. This plan clearly showed Shop No. 8 on the ground floor and a godown in the basement. Crucially, the plan did not indicate any internal staircase connecting the shop to the godown. Instead, the godown was accessible from adjoining common staircases, suggesting it was conceived and sanctioned as a separate, self-contained unit.
\n\nWhile the godown beneath Shop No. 8 lacked a specific number in the original plan, the Court found this omission inconsequential. It noted an adjacent godown (below Shop No. 1) also lacked a specific number but had separate ownership and membership within the Society, which the Society itself acknowledged. This established a precedent within the Society for separately owned, unnumbered godowns being treated as independent units.
\n\nTo further solidify their claim, the Lunias produced a separate occupation certificate dated March 10, 2021, and a revised commencement certificate dated July 6, 2021, specifically for the godown. The revised plan explicitly assigned it “Godown No. 1.” The Court accepted these documents, clarifying that the Divisional Joint Registrar was within his statutory duty to verify if the godown was a sanctioned structure. Any doubts about the Pune Municipal Corporation's power to issue these documents or revise plans without the Society's consent would need to be challenged in separate proceedings, not collaterally in a membership application.
\n\nThe Court carefully distinguished the present case from *Uday Dalal*. In *Uday Dalal*, the issue was the deliberate bifurcation of a single, existing flat (like a servant's quarter attached to a main flat) into two independent units without planning authority sanction. Here, the shop and godown were located on different floors and were originally sanctioned as distinct, albeit related, premises. The Court concluded that this was not an artificial bifurcation but a recognition of two independently sanctioned structures.
\n\nThe High Court ultimately dismissed the Petitioner-Society's challenge, affirming the Divisional Joint Registrar's decision. It ruled that the godown qualified as a 'flat' under Section 154B-1(13) of the MCS Act and was clearly sanctioned as an independent unit in the development plans. The Court noted that granting separate membership for the godown would benefit the Society by generating additional service charges, rather than causing any loss. The initial confusion caused by Daphalapurkar purchasing both units with a single agreement did not negate the godown's independent sanctioned status.
\n\nThis judgment is a crucial read for lawyers and law students specializing in property law, cooperative housing, and administrative law for several reasons:
\nAll information provided in this article is for informational purposes only and does not constitute legal advice. While efforts have been made to ensure accuracy, readers are advised to consult with a qualified legal professional for advice pertaining to their specific circumstances. The content should not be used as a substitute for professional legal counsel.
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