The Bombay High Court has held that registration of a housing society cannot be cancelled, granted or refused on the grounds that illegal or unauthorised construction has been carried out by its occupants. Justice RD Dhanuka — while quashing and setting aside an order passed by the Secretary of Co-operation and Textiles Department on January 20, 1999 that de-registered Jogeshwari-based Shiv Co-op Housing Soc Ltd — held the order to be perverse, and contrary to the provisions of the Maharashtra Co-operative Societies Act, 1960, and also to the provisions of the Mumbai Municipal Corporation Act, 1888. The developer of the building — Haresh Desai, partner of Bhavna Constructions — had challenged the order passed by the Deputy Registrar Co-operative Societies saying that allowing the registration of the society wherein the members had carried out unauthorised alterations in their flats would amount to sanctioning of such unauthorised and illegal construction works. The judge said, "In my view, registration of society granted under the provisions of the Maharashtra Co-operative Societies Act, 1960 cannot be set aside on the ground that there were unauthorised construction works carried out by few members of the petitioner society in the flats of the building owned by the society." He said, "If any unauthorised construction works are carried out by members of any society or by the society itself, the municipal corporation is empowered to take appropriate action against such unauthorised construction works under the provisions of the Mumbai Municipal Corporation Act, 1888. Such inaction on the part of the Municipal Corporation cannot be a ground for setting aside the order of registration of the society."