The Supreme Court has observed that a question whether a suit is tenable under Section 167 of the Co-operative Societies Act for want of notice under the said provision is a question within the exclusive competence of a Civil Court, reports Livelaw.in.
Registrar of Cooperative Societies has no jurisdiction to decide whether the suit is tenable for want of notice or not. A company had been refused permission to continue the suit filed by it before the City Civil Court.
Though the Single Bench of the High Court quashed the order of Registrar, the Division Bench on appeal restored that order. The company approached Apex Court.
Directing the registrar to decide the question afresh, the highest court said it is not the business of the Registrar to consider the merits and in particular the tenability of a pending suit and hold it to be untenable and thereupon refuse leave to continue the suit. The Civil Court is perfectly competent to decide whether the suit before it is tenable or not, the court said.
