Disqualified members Under the SOCIETIES REGISTRATION ACT, 1860

Section 15 of the Societies Registration Act 1860 has defined a Member as a person:

1. who has been admitted therein according to the rules and regulations thereof; and

2. who has paid a subscription; and/or;

3. who has signed the roll or list of members thereof;

4. and has not have resigned in accordance with such rules and regulations;

A Disqualified Member has been defined as a person who whose subscription at the time shall have been in arrear for a period exceeding three months.

A Disqualified Member:

1. is not entitled to vote in any proceeding of the society and such a person is not to be considered a member for the purpose of any such proceedings. Since such persons are not members, no notice of any proceeding of the society is required to be issued to them. Non issuance of notice of any proceeding of the society to such members would not vitiate the proceeding.

2. Limited status of such members would be that their name would continue to be in the Roll of the Society and at best by clearing of the arrears of the membership fee in addition to any penalty or fine liable to be charged for being reinstated as valid members would survive to them.

3. Such defaulting members can apply that they are ready and willing to pay their arrears and upon such application and payment being made, their request could be considered by the appropriate officer/Committee of the Society. Till such time they would continue to remain as suspended members having no right to participate in any meeting.

The Executive Body or any other body competent under the bye-laws could take up their matter and give them a show cause notice and opportunity to save their membership by fulfilling their obligations failing which their membership would be terminated. When despite the same, they would not fulfil their obligations their membership would be declared to have been terminated.

The Supreme Court has dealt with the aforesaid / similar issue in the case titled ADV BABASAHEB WASADE & ORS. VERSUS MANOHAR GANGADHAR MUDDESHWAR & ORS. (CIVIL APPEAL No. 10846 / 2018) .

The Supreme Court in the aforesaid judgment has also observed that:-

1. Any proceedings of the society can be challenged only by members of the society and non members would have no locus to challenge such proceedings.

2. For Employee Members, their categorisation as such was dependent on them being in service. On retirement, the said signatories would cease to be employees, come out of the category of Employee Members and their membership in the Society could not have continued. Upon superannuation or cessation of their employment, such persons can be made members of the Society by a specific resolution and thereafter continued as members and paid the subscription fee(s). However, they could not have continued as members of the Society in the category of Employee Members even upon their superannuation by merely paying the yearly subscription fee thereby blocking the entry of the persons, who were still employees.`