Shyam Vasant Kale And Another vs The Learned Assistant Charity Commissioner- Ii, Nagpur And Others

2026:BHC-NAG:7666-DB
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IN THE HIGH COURT OF JUDICATURE AT BOMBAY
NAGPUR BENCH, NAGPUR.
WRIT PETITION NO. 4116 OF 2026
Shri Shyam Vasant Kale,
1.
Aged about 62 Yrs., Occu.: Service,
R/o. C/o. Shri Durga Devi Sarvajanik
Deostham, Pratap Nagar, Nagpur-22
Shri Vijay Janardhan Bhat,
2.
Aged about 74 Yrs., Occu.: Retired,
R/o. 62, Durga Krupa Apartment,
Pratap Nagar, Nagpur
...PETITIONER
// V E R S U S //
The Learned Assistant Charity
1.
Commissioner-II, Nagpur
Shri Ramchandra Krushnarao Kelapure
2.
Aged about 76 yrs,
R/o. Plot No. 23, ‘Anand’, Pratap
Nagar Road, Near Union Bank,
Ashok Colony, Khamla, Nagpur-25
Sau. Swati Chintaman Sathe,
3.
Aged 76 Yrs.,
R/o. Plot No. 28, Postal Audit
Colony, Behind Durga Mandir,
Pratap Nagar, Nagpur-22
Shri. Vishal Vilasrao Deshpande,
4.
Aged : Major,
R/o. C/o. Shri Durga Devi Sarvajanik
Deostham, Pratap Nagar, Nagpur-22

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Shri Shakal Prakash Shukla,
5.
Aged : Major,
R/o. C/o. Shri Durga Devi Sarvajanik
Deostham, Pratap Nagar, Nagpur-22
RESPONDENTS
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Mr S. D. Abhyankar, Advocate for the petitioner/s
Mr P. P. Pendke, AGP for respondent No.1/State
Ms Dipti V. Khanorkar, Advocate for respondent Nos. 2 and 3
Mr A. J. Pathak, Advocate for respondent Nos. 4 and 5
-----------------------------------------------------------------------------------------------
CORAM : ANIL S. KILOR AND RAJ D. WAKODE, JJ.
th
DATED : 10 JUNE , 2026 .
O R A L J U D G M E N T : (PER : ANIL S. KILOR, J.)
1. Heard.
2.
RULE. Rule made returnable forthwith and heard
finally with the consent of learned counsel for the parties.
3.
The question, whether in a proceedings under Section
41A of the Maharashtra Public Trusts Act, 1950 (for short ‘the Act
of 1950’) the Assistant Charity Commissioner is empowered to
interfere with the election process in the middle of the same, is
involved in this petition.
The brief facts of the present case are as under :

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4.
The respondent Nos.2 and 3 approached the Assistant
Charity Commissioner-II, Nagpur by filing Application No. 160 of
2026 filed under Section 41A of the Act of 1950 with a grievance
that they are appointed trustees of the public trust ‘Shree Durga
Mandir Sarvajanik Devasthan Vishwasta Mandal, Nagpur’ and the
persons having interest under the modified scheme in inquiry No.
485 of 2004, vide order dated 30/08/2007.
5.
The petitioners/non-applicant Nos. 1 and 2 claimed to
be the President and Secretary of the Trust, respectively. It is stated
that the election due from 2010 onwards have been conducted in
accordance with the approved scheme. The elections allegedly held
in the year 2010 and 2013 were disputed and Change Reports in
respect of the same came to be rejected. It is further submitted that
the Change Reports pertaining to elections of 2017, 2019 and 2022
are pending for adjudication.
6. It is further stated that the election notice dated
29/03/2026 proposing to conduct elections on 24/04/2026 is
without lawful authority and in violation of the procedure

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prescribed under the modified scheme, particularly when the
legality of existing Managing Committee is under serious doubt.
7.
Accordingly, under section 41A of the Act of 1950
notice dated 29/03/2026 is sought to be quashed and set aside and
permission to manage the day-to-day affairs of the Trust as
caretakers was prayed for.
8. The petitioners by filing reply denied all the allegations
about illegality of election and further opposed the application on
the ground that once the election programme is issued, the elections
cannot be interfered with.
9. The learned Assistant Charity Commissioner after
hearing both the parties passed the impugned order dated
24/04/2026 quashing and setting aside the election notice dated
29/03/2026 and the petitioners and all concerned are directed to
conduct fresh election of the Managing Committee strictly in
accordance with the approved scheme within 90 days from the date
of the order. Further, it is directed that till such election the existing

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committee shall continue as caretaker body for day-to-day
administration and shall not take major policy decisions or create
any third party rights.
10.
We have the learned counsel for the respective parties.
11. A vital ground on which a challenge is raised to the
impugned order dated 24/04/2026 passed by the Assistant Charity
Commissioner-II, Nagpur is that under Section 41A of the Act of
1950 the Assistant Charity Commissioner does not have any
authority to interfere in the election matters or to quash and set
aside the election programme/notice.
12. In reply, the learned counsel for the respondent Nos. 2
and 3 pointed out the observations made in the order justifying
such interference in the election, more particularly para 24 to 26.
13. According, to the learned Assistant Charity
Commissioner legality and continuity of the Managing Committee
is under serious doubt and in absence of legally accepted managing
body, initiation of election process lacks valid foundation. Thus, it

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is further observed that permitting the election process to continue
would defeat the very object of the Scheme and undermine lawful
administration of the Trust.
14.
It is important to note that while recording such
findings by the Assistant Charity Commissioner, in the operative
order, the same Managing Committee is directed to conduct further
election and further to continue as a caretaker body for day-to-day
administration of the Trust.
15. Be that as it may, the core question as we have noted in
the beginning of the judgment is to be considered in light of the
provisions of Section 41A of the Act of 1950, which reads thus :
“41A. Power of Commissioner to issue directions for proper
administration of the trust.
(1) Subject to the provisions of this Act, the Charity
Commissioner may from time to time issue directions to any
trustee of a public trust or any person connected therewith,
to ensure that the trust is properly administered, and the
income thereof is properly accounted for or duly
appropriated and applied to the objects and for the purposes
of the trust; and the Charity Commissioner may also give
directions to the trustees or such person if he finds that any
property of the trust is in danger of being wasted, damaged,
alienated or wrongfully sold, removed or disposed of.

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Provided that, if any application is made by the
trustee of any trust for seeking directions under sub-section
(1), the Charity Commissioner shall decide such application
within three months from the date of its receipt and if it is
not practicable so to do, the Charity Commissioner shall
record the reasons for the same.
2) It shall be the duty of every trustee or of such person to
comply with the directions issued under sub-section (1).
16. From the language of Section 41A of the Act of 1950 it
is evident that the said provision empowers the Assistant Charity
Commissioner to issue directions to the Trustees to ensure that the
Trust is properly administered and the income thereof is properly
accounted and applied to the object and for the purposes of the
Trust. The power conferred by Section 41A of the Act of 1950 is
thus an administrative power which is to be exercised in the interest
of the management of the trust and its finances.
17.
The Hon’ble Supreme Court of India in the case of N.

P. Ponnuswami .vs. The Returning Officer, Namakhal Constituency,
Namakkal, Salem Dist., and others, reported in AIR 1952 SC 64,
has held that it is now well recognised that where a right or liability

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is created by a statute which gives special remedy for enforcing it,
the remedy provided for by that statute only must be availed of.
18.
The expression ‘administration of the trust’ involves
managing the daily affairs of the trust strictly in accordance with the
objects of the trust, fulfilling the statutory requirements, conducting
regular meetings, maintaining record as per the statute, safeguarding
and handling trust’s movable and immovable properties, bank
accounts, prepare a budget estimating annual income and
expenditure, ensure regular payment of salaries and allowances to
employees and staff, maintain accounts, to ensure that income and
property utilized only for the object of the trust, furnish information
to the authorities as mandated by the statute etc.
19.
Any deviation from such functions may amount to
mismanagement of the trust or non-accounting of income properly
or not applying the income properly to the object and for the
purpose of the trust. Such deviation will give power to the Charity
Commissioner to take cognizance and issue necessary direction
under Section 41A of the Act of 1950 to ensure that the trust is

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properly administered and income thereof is properly accounted
and applied to the object and for the purpose of the trust.
20.
A question, whether the Managing Committee, which
is administering the affairs of the trust, is legal or not, would fall
within the scope of Section 22 of the Act of 1950 and can be gone
into while deciding the Change Report relating to the change
occurred due to the entry recorded in the register maintained under
Section 17 of the Act of 1950. Such finding can be given only after
conducting inquiry as contemplated under the said provision.
21.
While making such inquiry under Section 22 of the Act of
1950, if any objection is raised as regards the validity of the election
on the ground of fairness in conducting the election, illegality, if
any, committed in preparing the voters list, the authority of the
Managing Committee to hold elections etc. can be gone into.
However, in any case, challenge to validity of election notice, under
Section 41A of the Act of 1950 is beyond the scope of election
dispute as it is outside the purview of such powers as envisaged
under Section 41A of the Act of 1950.

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22.
Having held so, the scope of Section 41A of the Act of 1950
cannot be permitted to expand by interpreting the expression
“properly administered” used in it to include any issue relating to
the election, once it is commenced.
23. Admittedly, in the present matter the prayer under
Section 41A of the Act of 1950 was to quash and set aside the
election notice. This shows that the election process was
commenced and after such commencement of the election process
the application under Section 41A of the Act of 1950 came to be
filed.
24. The learned Assistant Charity Commissioner vide
impugned order has held that the existing Managing Committee
which has issued election notice is not as per the modified scheme
approved by the Charity Commissioner. While recording so, the
Assistant Charity Commissioner has failed to appreciate that the
original applicants-respondent Nos. 2 and 3 are the part of the
Managing Committee since the year 2010 and after 2010 at least

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five elections were held and the Change Reports about last three
elections are pending.
25.
Having held that the Assistant Charity Commissioner
has no jurisdiction to interfere with the election of the Trust under
Section 41A of the Act of 1950, we have no hesitation to hold that
the learned Assistant Charity Commissioner has erroneously treated
such interference in the election process as necessary for the proper
administration of the Trust.
26. Hence, we are of the opinion that the Assistant Charity
Commissioner has exceeded its jurisdiction while setting aside the
election notice dated 29/03/2026, thus the petition fails.
27.
Accordingly, we pass the following order:
i. The Writ Petition is allowed.
ii. The impugned order dated 24/04/2026 passed
by the Assistant Charity Commissioner-II, Nagpur in
Application No. 160 of 2026 is hereby quash and set
aside.

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Rule is made absolute accordingly.
28. The Writ Petition stands disposed of, accordingly.
Pending application(s), if any, shall stand disposed of. No order as to
costs.
[RAJ. D. WAKODE, J] [ANIL S. KILOR, J.]
R.Raut..

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Duties and Liabilities of the Managing Committee under the Bombay Public
Trusts Act, 1950 (Maharashtra Public Trusts Act, 1950)
I. Statutory Duties of the Managing Committee
1. General duty to manage and administer the trust
Section 56N(1) provides that it is the duty of the Committee to properly
manage and administer the affairs of the endowment/trust and ensure that its
income is applied only for the objects and purposes for which it was created.
The Committee must ensure:
* Proper maintenance of the trust;
* Proper control and administration;
* Protection of trust property; and
* Application of income strictly for trust purposes.
II. Specific Duties under Section 56N(2) (a to f)
(a) Maintain records
The Committee shall maintain records relating to:
* Origin of the trust;
* Income;
* Objects; and
* Beneficiaries.
(b) Prepare annual budget
The Committee shall prepare a budget estimating annual income and
expenditure.
(c) Payment of salaries and allowances
The Committee shall ensure regular payment of salaries and allowances to
employees and staff from the Management Fund.

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(d) Maintain separate accounts
Separate accounts must be maintained for every endowment or trust under its
management.
(e) Proper application of income and property
The Committee shall ensure that trust income and property are utilized only for
the objects of the trust.
(f) Recover lost properties
The Committee must take steps to recover lost, encroached or illegally alienated
trust properties.
(g) Institute and defend legal proceedings
The Committee may initiate or defend legal proceedings concerning the trust.
(h) Furnish information to authorities
The Committee shall provide:
* Returns;
* Statistics;
* Accounts; and
* Other information sought by the State Government.
(i) Inspection of properties
The Committee shall periodically inspect trust properties.
(j) General administration
The Committee shall perform all acts necessary for the proper control,
maintenance and administration of the trust.

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III. Duties of Trustees applicable to the Managing Committee
Section 36A – Powers, duties and restrictions on trustees
Every trustee shall:
1. Administer the affairs of the trust according to:
* The trust deed;
* Usage of the institution;
* Lawful directions of the Charity Commissioner; and
* Orders of competent courts.
2. Exercise the same degree of care that an ordinary prudent person would
exercise while dealing with his own property.
3. Exercise only those powers necessary for prudent and beneficial management
of the trust.
IV. Statutory Liabilities of the Managing Committee (Section 36)
1. Liability for breach of trust
Members may become personally liable if they:
* Misappropriate trust funds;
* Divert trust property;
* Act dishonestly;
* Abuse their position; or
* Cause loss by negligence.
2. Liability for unauthorized alienation of trust property
No sale, exchange, gift, mortgage or long-term lease of immovable trust
property can be effected without prior sanction wherever required under law.

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Unauthorized transactions may be declared invalid and responsible persons
may be proceeded against.
3. Directions by the Charity Commissioner
Under Section 41A, the Charity Commissioner may issue directions for proper
administration and management of the trust.
Failure to comply may invite further action.
4. Suspension, removal or dismissal
Under Section 41D, trustees may be suspended, removed or dismissed for:
* Persistent default;
* Wilful disobedience of lawful orders;
* Breach of trust;
* Misconduct;
* Misappropriation;
* Maladministration; or
* Acting against the interest of the trust.
5. Supersession of the Committee
Under Section 56R, the State Government may supersede a Committee if:
* It is unable to perform its duties;
* Persistently defaults;
* Exceeds its powers; or
* Abuses its powers.
Upon supersession:
* Members vacate office;
* Their powers cease; and
* Management vests in the person(s) appointed by the Government.

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The Managing Committee occupies a fiduciary position and is under a
statutory obligation to administer the trust honestly, prudently and exclusively
for the objects of the trust. Any persistent default, breach of trust,
misapplication of funds, unauthorized alienation of property or
maladministration may render its members personally liable and may also invite
removal, suspension or supersession under the Maharashtra Public Trusts Act,
1950.
Signed by: Raut (RR)
Designation: PS To Honourable Judge
Date: 16/06/2026 13:33:38