RCS must regularize self-draw of lots conducted before 2010 if allotments are genuine and non-fraudulent.

The 28 Petitioners are residents of Delhi Pradesh CGHS Ltd. ("Society"), occupying Category ‘C’ flats. These flats were allotted following a self-draw of lots conducted by the Society’s Managing Committee in September 1995

Although the Society submitted the names to the Registrar of Cooperative Societies (RCS) for approval in December 2014 and sent subsequent reminders, the allotments remained unregularized for over a decade

The Petitioners, comprising original allottees and subsequent transferees in possession, approached the High Court seeking a mandate for regularization

1. Whether the self-draw of lots conducted by the Society without the prior approval of the RCS can be regularized at this stage

2. Whether the Petitioners are entitled to the benefit of the policy decision taken by the Lt. Governor of Delhi on September 20, 2011, regarding the regularization of self-draws

The Court primarily applied the policy decision of the Hon’ble Lt. Governor of Delhi dated September 20, 2011, which permitted the regularization of self-conducted draws held by societies before 2010 to avoid debarment of office bearers and members where no fraud was involved

It further relied on the precedents of Rajeev Saxena & Ors. v. RCS (2025) and Smt. Janak Kumari Gandhi & Ors. v. RCS (2025), which established that the RCS should take a pragmatic rather than technical view when members have been in possession for decades and the delay is attributable to administrative inaction

The Court observed that the Petitioners have been in possession of the flats for several years and that the Society had repeatedly followed up with the RCS since 2014

Relying on the Rajeev Saxena reasoning, the Court noted that the Petitioners should not be deprived of property rights due to procedural mistakes by the Society or administrative delays by the RCS

Since the Lt. Governor’s 2011 decision specifically allowed for the regularization of draws held before 2010 where the outcomes were accepted by members, the Court found the RCS’s continued insistence on technicalities to be unwarranted

The Court concluded that as the Petitioners are similarly situated to those in previous successful writ petitions, they are entitled to a verification process leading to regularization

The Court ordered the Petitioners and the Society to appear before the RCS on June 8, 2026, for document verification. Upon finding the documents genuine, the RCS is directed to forward the names to the DDA for the execution of lease deeds within two months

The holding clarifies that the RCS has the jurisdiction and obligation to regularize pre-2010 self-draws in accordance with the 2011 policy