Managing committee members of a housing society cannot walk away from personal accountability simply by citing their honorary status, the Maharashtra State Co-operative Appellate Court has held, while dismissing a plea by Quantum Park Co-operative Housing Society in Khar West to drop its committee members from a ₹54.79 lakh maintenance dues dispute.
The underlying complaint was filed by the owners of Flat No. A/1401, who allege that the society wrongfully collected ₹54,79,395.10 from them as maintenance charges for the period between October 2017 and June 2024. The flat owners have sought a refund with 18% annual interest, a direction to implement earlier orders passed by the Assistant Registrar of Co-operative Societies in August 2024 and January 2025, and suspension of ten managing committee members from office for five years, alleging arbitrary conduct and failure to issue proper maintenance bills.
Rather than defend the committee’s conduct on merits, the society attempted a procedural route: it sought deletion of the ten committee members from the array of parties, arguing that they were honorary office-bearers, that maintenance charges were collected by the society as an institution, and that holding a committee position does not by itself create personal liability for the society’s actions.
The flat owners resisted this move, contending that the committee members bore direct responsibility for the alleged wrongful collection and had failed to conduct the society’s affairs prudently, causing them financial loss.
The Co-operative Court rejected the society’s application, and the society challenged that rejection through revision. The Appellate Court has now upheld the trial court’s order, holding that the complaint contains specific reliefs and express allegations directed against the committee members individually — meaning it would be inappropriate to remove them from the case at this stage.
The order signals that committee members cannot insulate themselves from a dispute merely on the basis of their honorary designation when specific allegations of arbitrary conduct and financial mismanagement are made against them. The committee members remain parties to the case, which will now proceed on merits before the Co-operative Court.
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