In Brief
A private company leased a cotton mill from a co-operative society and later sued for recovery of money. The society was subsequently wound up. The company had to seek the Registrar's permission to continue the suit under the Co-operative Societies Act. The Registrar refused permission, holding the suit was not tenable for lack of statutory notice. The Supreme Court held that determining whether a suit is tenable is a judicial function exclusively within the Civil Court's domain. The Registrar's power is limited to administrative considerations like protecting the society's assets during liquidation. The Registrar cannot refuse leave based on the suit's legal tenability or merits. The Court allowed the appeal and directed the Registrar to reconsider the application afresh without examining the suit's tenability.
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