Sant Lal Gupta & Ors vs Modern Coop. G.H. Society Ltd. & Ors

The Supreme Court held that the Delhi High Court erred in interpreting Rule 36(3) of the Delhi Co-operative Societies Rules, 1973, by deeming the Society's resolution for expulsion approved after six months, despite no such provision in the Delhi Co-operative Societies Act, 1972. The Court emphasized that the Registrar's decision must be based on the merits of the case and not on a deemed approval. Consequently, the Supreme Court allowed the appeal, setting aside the High Court's judgment and reinstating the orders of the Financial Commissioner and the Registrar.