Gopal Sharan Garg vs Akhil Bhartiya Agrawal Sammelan & Anr.
- Court
- Delhi High Court
$~53
* IN THE HIGH COURT OF DELHI AT NEW DELHI
# CNR No. DLHC010413172026
+ O.M.P.(I) 12/2026 & I.A. 24077/2026
GOPAL SHARAN GARG .....Petitioner
Through: Mr. Gaurav Rathor, Adv. along
with Petitioner in person.
versus
AKHIL BHARTIYA AGRAWAL SAMMELAN & ANR.
.....Respondents
Through: Ms. Rashi Bansal and Ms.
Deepti Thapa, Adv. for R-1.
CORAM:
HON'BLE MR. JUSTICE OM PRAKASH SHUKLA
JUDGMENT(ORAL)
% 03.09.2026
1. The present Section 9 petition has been filed seeking the
following reliefs:
“a) pass ex-parte ad-interim order/direction in favour of the
Petitioner and against the Respondents thereby staying the
operation and effect of alleged amendment carried out in the
constitution of the Respondent No.1 Society in the meeting of the
National Management Committee and the National Executive
Committee of the Respondent No.1 Society shown to be held on
25.07.2026 and 26.07.2026 at Jamshedpur, Jharkhand;
b) pass ex-parte ad-interim order/direction in favour of the
Petitioner and against the Respondents thereby staying the
decision to suspend the primary membership of the Petitioner taken
in the meeting of the National Management Committee and the
National Executive Committee of the Respondent No.1 Society
shown to be held on 25.07.2026 and 26.07.2026 at Jamshedpur,
Jharkhand;
c) pass ex-parte ad-interim order/direction in favour of the
Petitioner restraining the Respondent No.1 from terminating the
primary membership of the Petitioner of the Respondent No.1
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Signed By:ANUBHAV
TRIPATHI
Signing Date:05.09.2026
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Society;
d) pass ex-parte ad-interim order/direction in favour of the
Petitioner and against the Respondents thereby staying the Show
Cause Notice dated 17.08.2026 issued by the alleged three-member
Disciplinary Committee headed by the Respondent No.2 and also
the further proceedings in pursuance thereof;
e) pass such other relief(s) and further relief(s) which this
Hon’ble Court may deem fit and proper in the facts and
circumstances of the present case in favour of the Petitioner and
against the Respondent.”
2. The facts of the matter in brief are that the Respondent No.1
Society, registered under the Societies Registration Act, 1860,
conducted elections for its national office bearers for the term 2026-31
on 25.04.2026, in which the Petitioner, the outgoing National
President, was unsuccessful and, by virtue of Rules 18, 19 and 20 of
the Society’s constitution, claims to have automatically assumed the
position of National Chairman as the Immediate Past President.
3. The Petitioner alleges that thereafter meetings of the National
Management Committee/National Executive Committee held on
29.04.2026, 18.05.2026 and 25-26.07.2026 were convened without
requisite notice to him and, in violation of the Constitution.
4. It is alleged that decisions were taken to suspend his primary
membership, and disciplinary proceedings were initiated against him.
Additionally, the respondents amended the Constitution so as to
disentitle an outgoing President who unsuccessfully contested the
election from becoming National Chairman.
5. Learned Counsel appearing for the Petitioner challenges the
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Signed By:ANUBHAV
TRIPATHI
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constitution of the Disciplinary Committee and the Show Cause
Notice dated 17.08.2026 issued by it, inter alia , on the ground that the
Committee was not validly constituted by the competent body, and
comprised allegedly interested and biased members.
6. It is further submitted that the Petitioner was not afforded an
adequate opportunity to respond.
7. It is contended that the impugned constitutional amendment is
also without authority, contrary to Rules 13 and 40, and incapable of
retrospectively divesting rights already vested in him upon declaration
of the election results on 26.04.2026.
8. According to learned Counsel for the Petitioner, the notice
published in July 2026 issue of “Aggarwal Sammelan” was allegedly
published only on or around 10.07.2026, whereas Rule 16(4) requires
thirty days’ advance notice for a meeting of the National Executive
Committee. The validity of the suspension is, therefore, seriously
disputable and requires adjudication in arbitration.
9. It is submitted that the constitution of the Disciplinary
Committee was neither discussed nor approved by the National
Executive Committee at its meeting dated 26.07.2026 and that the
Committee was instead constituted by the National General Secretary,
who, according to the Petitioner, had no independent authority under
the Constitution to constitute such a body.
10. The Petitioner relies upon Rules 13(7)(d), 13(4) and 40 of the
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TRIPATHI
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Constitution to contend that substantive amendments to the
Constitution fall within the jurisdiction of the General Body and in the
case of important amendments, require recommendation of the
th
Constitution Committee and approval by 3/5 of the members present
at a duly convened General Body meeting.
11. Learned Counsel for the Petitioner further relies on Rule 43 of
the Constitution, which provides for arbitration of disputes concerning
membership and affairs of the Society. The same is reproduced
hereinbelow:
“43. Arbitration
Disputes between the members and the sammelan or between the members
or arising out of the activities of the sammelan, such as membership or
any other dispute of any nature, shall be settled through arbitration under
the Arbitration and Conciliation Act, 1996.”
12. Thus, in these circumstances, the Petitioner has invoked Section
1
9 of the Arbitration and Conciliation Act, 1996 seeking interim
protection against the operation of the impugned suspension and
constitutional amendment.
13. After a prima facie perusal of the Constitution, following points
are deduced -
i. Mandatory notice prescribed under Rule 16(4) was not given
to the Petitioner while suspending him.
ii. Under Rules 18, 19 and 20, Petitioner was entitled to
1
“the Act”, hereinafter
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TRIPATHI
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participate in the relevant governing bodies, yet decisions
adverse to him were taken in his absence.
iii. Rule 13(7)(d) specifically vests the power to amend the
Constitution in the General Body of Respondent No.1-
Society, while Rule 13(4) mandates thirty days’ advance
notice for convening a meeting of the General Body.
iv. Rule 40, provides that an important amendment to the
Constitution can become effective only upon the
recommendations of the duly constituted Constitution
th
Committee being approved by at least 3/5 of the members
present in a meeting of the General Body.
14. Thus, it is prima facie made out that the impugned amendment
materially alters the constitutional structure and affects the entitlement
attached to the office of Immediate Past President/National Chairman
and, therefore, cannot reasonably be treated as a mere minor or
administrative amendment.
15. Needless to state, the jurisdiction under Section 9 of the
Arbitration and Conciliation Act, 1996 is essentially protective and
preservative in nature and is intended to safeguard the subject matter
of arbitration and preserve the efficacy of the arbitral remedy pending
constitution of the Arbitral Tribunal.
16. In these circumstances, if impugned actions of the Respondents
are permitted to attain finality before constitution of the Arbitral
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TRIPATHI
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Tribunal, it may cause irreversible prejudice to the Petitioner’s
membership rights and claimed status as Immediate Past
President/National Chairman.
17. The balance of convenience also lies in preserving the existing
position for a limited period, since such protection would not prevent
the Respondents from administering the affairs of the Society or from
placing their case before the Arbitral Tribunal, whereas denial of
interim protection may render the arbitral remedy ineffective if the
Petitioner is expelled or deprived of his claimed status.
18. In these circumstances, suspension of the Petitioner’s
membership be kept in abeyance and Respondents are restrained from
taking any final or irreversible action pursuant to the impugned
disciplinary proceedings or the disputed constitutional amendment.
19. At this stage, Ms. Rashi Bansal, learned Counsel appears on
behalf of Respondent No.1 on advance notice and submits that she has
no objection for the appointment of Arbitrator.
20. Accordingly, there is no dispute with regard to the existence of
a valid arbitration clause between the parties.
21. Further, petitioner and Respondent No.1 are ad idem that the
present dispute can be referred to arbitration for adjudication of the
disputes.
22. Accordingly, Mr. Sharath Sampath, Advocate-On-Record,
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Signed By:ANUBHAV
TRIPATHI
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Supreme Court, (Mob. No.9818903313) is appointed as a learned Sole
Arbitrator to adjudicate the disputes arisen between the parties. The
learned Sole Arbitrator shall enter upon the reference within two
weeks from today.
23. The learned Sole Arbitrator will proceed to the arbitration
proceedings subject to furnishing requisite disclosures as required
under Section 12(2) of the Act within two weeks of entering reference.
24. The arbitration shall be carried under the rules and aegis of
Delhi International Arbitration Centre (“DIAC”). The learned
Arbitrator shall be entitled to fees as per the Schedule of Fees
maintained by the DIAC.
25. It shall be open to the parties to raise all pleas, including
objection as to arbitrability and jurisdiction, before the learned Sole
Arbitrator who shall decide the same in accordance with law.
26. The learned Sole Arbitrator shall adjudicate the disputes
independently and on their own merits, uninfluenced by any
observations contained in the present order.
27. The Registry is directed to send a receipt of this order to Mr.
Sharath Sampath, learned Arbitrator through all permissible modes
including email.
28. Upon constitution of the Arbitral Tribunal, the present petition
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Signed By:ANUBHAV
TRIPATHI
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shall be treated as an application under Section 17 of the Act and shall
be placed before the learned Sole Arbitrator for consideration in
accordance with law.
29. The learned Arbitrator is requested to decide the Section 17
application within two weeks upon entering reference.
30. The interim arrangement directed by this Court vide this order
shall continue until the learned sole arbitrator considers the matter and
passes appropriate orders thereon.
31. It shall be open to the learned Arbitrator, upon consideration of
the matter on its own merits, to continue, modify, vary or vacate the
aforesaid interim arrangement.
32. All rights and contentions of the parties are left open and
nothing contained in this order shall be construed as an expression of
opinion on the merits of the disputes.
33. The petition is disposed of in the aforesaid terms. Pending
application(s), if any, also stand disposed of.
OM PRAKASH SHUKLA, J
SEPTEMBER 3, 2026/ gunn
Signature Not Verified
Signed By:ANUBHAV
TRIPATHI
Signing Date:05.09.2026
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