OBC reservation cap: Supreme Court says Maharashtra local body polls can proceed but...

The Supreme Court on Friday clarified that the local body elections in Maharashtra can proceed as scheduled but that the poll results will be subject to the final verdict in a case filed over allegations that the State has exceeded permissible limits while extending reservations for Other Backward Class (OBC) candidates [Rahul Ramesh Wagh vs. The State of Maharashtra & Ors.].

The Court was hearing pleas concerning Maharashtra’s decision to implement a fresh OBC reservation matrix for local body elections based on the Banthia Commission’s findings.

It is alleged that the new reservations exceed a reservation limit fixed by the top court in earlier cases.

A Bench of Chief Justice of India (CJI) Surya Kant and Justice Joymalya Bagchi today decided to refer the matter to a three-judge Bench of the Court and listed it for further hearing on January 21, 2026.

It noted that according to information submitted by the Maharashtra State Election Commission, there are 40 municipal councils and 17 Nagar Panchayats where the reservations extended to oppressed groups (SC/ ST/ OBC) have extended the limit of 50 per cent.

The Court further observed that there were two municipal corporations as well where such a reservation cap is said to have been flouted.

The Court proceeded to order that while the local body elections in these areas can continue as scheduled, the final poll results will be subject to the outcome of the present case.

"Taking into consideration issues that are likely to arise, let the matter be listed before a 3-judge Bench in the second week of January 2026. Meanwhile, elections to the Municipal Councils, Nagar Panchayats may take place as per notified schedule, but the results of the 40 Municipal Councils and 17 Nagar Panchayats (where the reservation cap is said have been breached) shall be subject to final outcome of these proceedings. As far as Municipal Corporations are concerned, we are told only two exceed 50 per cent (reservation limit). Let the elections be held and results shall be subject to the outcome of these proceedings ... Wherever reservation is not exceeding 50 per cent , those results shall also be subject to the proceedings of this case," the Court's order said.

Notably, in 2021, a Constitution Bench of the Court in Vikas Kishanrao Gawali v State of Maharashtra struck down the earlier 27 per cent OBC quota and laid down the “triple test” for local body reservations.

Under that test, the State was required to set up a dedicated commission to collect empirical data on OBC backwardness body-wise, fix the quota based on that data, and ensure that the combined reservation for Scheduled Castes (SC), Scheduled Tribes (ST) and OBC candidates does not cross 50 per cent.

Maharashtra later constituted the Banthia Commission to carry out this exercise. The Commission’s report and the State’s attempt to implement a revised reservation matrix on its basis are now under scrutiny before the Supreme Court.

In an earlier hearing of the matter, the Court had made it clear that the State cannot cross the 50 per cent cap on total reservations for upcoming polls on January 31, 2026.

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