Housing Society Issues and solutions FAQ

FAQ

Question. I am chairman of my society, i have 155 flat in my society. Strength of Managing Committee is 10 then what would be the quorum for a committee meeting?

Ans. It simple majority i.e. 6.

Question. For contesting elections in the Managing Committee, a member having more than two children is he qualified as per MCS Amendment ACT 2019?  OR

What is rule for Disqualification of Committee and its Members if having more than 2 kids? OR

Have more than two kids? You cannot be part of your society committee, is it right? OR

If I have three children i can not contest of society election, what is government rule?

Ans. There are many confusion among the member of society for two kid policy , member will be disqualified from managing committee if he/she have more than 2 children? This amendment applicable or not? confusion is there because of  ambiguity in 2019 amendment. In page number 3 of MCS Amendment ACT 2019 as mentioned below: Click here to continue

Question. Real estate agent can be a committee member? Can a Real Estate Agent or his Family member be part of CHS Committee?

Ans. As per MCS ACT Amendment 2019 -  154B-23(1)(ii)  says No person shall be eligible to be appointed, nominated, elected or co-opted for being Member of the Committee, if he carries on business of letting, sub-letting and selling of flats in the housing society of which he is a member. Click here to continue

Question. What is Flat Transfer process & check list?? OR After a flat resell what document need to submit to society to transfer / change name in Share Certificate?

Ans. CHECK LIST FOR TRANSFER OF A FLAT IN CHS

1. Notice of Intention/Application to Transfer

2. Full Agreement Copy with Deface page and Index-II (Old & New one also)

3. Transfer Fee - Rs 500 Cheque only, Bye – Law No. 38 (e ) (vii)

4. Entrance Fee - Rs 100 per member, Bye – Law No. 38 (e ) (viii)

5. Transfer Premium - Rs. 20,000 or Rs 25,000 as per society AGM, Bye – Law No. 38 (e ) (ix)

6. A form of Notice of, intention of a member to transfer his shares & interest in the capital/property of the society, Bye – Law No. 38 (a ) Click here to Continue

Question. If  managing committee don't provide balance sheet, minutes of the meeting, don't allow to inspect documents even after written request then what is maximum punishment and under which section of the bylaws?

Ans. Please refer following Section in MCS ACT & MCS ACT Amendment 2019

1. Section 154B-8(2) Sub-section (2) of MCS Act.

2. Section 154B-27, for MC's refusal to provide documents

3. Section 154B-23 for refusal to obey Dr order u/s 154B-27

4. Section 146 Sub-section (p-2) of MCS Act. It is an Offence.

5. Section 147 Sub-section (p-2) of MCS Act. Punishment ₹ 100/day, Maximum ₹ 5000/-

So you can reference the above Section in your letter and send to DR to take appropriate action against the Managing Committee.

Question. Can registrar waive off interest on society dues while hearing the matter u/s 101 of recovery of dues ?

Ans. Yes , if society has charges wrong interest, Registrar can issue a notice to committee to waive off the wrongly charges amount and interest and provide the correct bill to member.

Question. Can the office bearers ( Chairman/Secretary/Treasurer)of the society are allowed to do Brokerage in property deals in the respective Building. Does Bye Laws restrict about this?

Ans. Disqualification of Committee and its Members as per MCS Amendment Act 2019 154B-23 (2) if he carries on business of letting, subletting and selling of flats in the housing society of which he is a Member.

Question. Can an Associate Member Be a Part of Managing Committee? What are the rights of Associate Member in Co-op Housing

Ans. Associate Member means husband, wife, father, mother, brother, sister, son, daughters, son-in-law, daughters-in-law, nephew, niece, a person duly admitted to Membership of a housing society on written recommendation of a Members to exercise his rights and duties with his written prior consent and whose name does not stand in share certificate. Click here to read more...

Question. Our society managing committee not working properly, they have not done audit for last 3 year, what action can be taken?

Ans. You society committee and Secretary can be penalized Rs 5,000/- under section 146 & 144 and should be disqualified for next 5 years under section 75(5),79,81, 82.

Question. Duties and Responsibilities of a Returning Officer?

Ans. The Returning Officer has to exercise his authority with the knowledge of the Act, Rules and Bye-Laws. The Returning Officer must be fair and transparent while performing his duties.

His duties include - Click here to read more..

Question. Who is Returning Officer?

Ans. The Returning Officer is a person who conducts elections as per the provisions of Acts and Rules and appointed by the Managing Committee of the Society.

Question. Member (main owner) never attended AGM in last 8 years, joint owner (his wife) attended 5 AGM, then Member can he contestant the election?

Ans. Yes , he/she should not be in defaulter list

Question. Member purchased a property in the tenure of Administrator appointed by the DR, 

Can the administrator issue/ change the name on the Share certificate & give NOC, and allow him to contest the election?

Ans. Yes

Question. If member never attended the AGM/ SGM, then can he/she contest the election ?

Ans. Yes, He should not be a defaulter. 

Question. Can a member of a co-operative society effect a transfer of a flat by transferring or selling his shares without any other material consideration? Can a society raise any legal objection to such a transfer? Is it necessary to register the transfer deed with any other legal body? If so, what is the procedure? As there is no price or sale involved, will it attract stamp duty?

Ans . We are assuming that the flat in question is situated in Mumbai and forms a part of a co-operative housing society governed by the provisions of the Maharashtra Co-operative Societies Act, 1960.

From a legal perspective, there is no difference in effecting a transfer of a flat in a co-operative housing society either by a mere transfer of shares issued by such a co-operative housing society by executing a transfer form or by executing a deed whereby both the shares and the right, title and interest in the flat are transferred. While society cannot object to either of them, most people prefer the latter so as to document certain rights and other understandings between the transferor and the transferee. Click here for more details

Question. Please guide us on home tuition classes are running in our society.  They refused to stop that. It's a legal doing classes at residential flat.

Ans. There is a Supreme Court judgment which states that if a person is staying and using it for tuition or consultation then it is allowed

Question. One shop owner using society space (outside their shop area)in this case What action to be taken from the  society.  Please suggest.

Ans. Up to the Otla area(In front of their shop), shop owners can use but not to construct anything permanently. After his shop area society common area start which is society property. If he doing something in common area society can give him notice. Even after required notices it continuous then society can charge up to five times the maintenance as penalty for such usage plus you can initiate action for removal of the same

Question. Can a society raise maintenance bills to builder for unsold flats ?

Ans. Yes, Once the society is registered, then society has the right to raise bill on all the units including unsold flats / shops. Builder has to pay the maintenance charges.

Question. What will be rate of maintenance charges? In my society committee is charging maintenance at half rate to unsold flats and shops. Is it right?

 Ans. There is no specific rate as such. The maintenance charges depends on the budget of the society. Society calculate the total monthly expenditure on that basis maintenance charges (Service Charge) has decided. Second point they cannot be any disparity between sold and unsold flats.

Question. Registration of Will is mandatory ? Or Notary is sufficient to transfer the flat .

Ans. Registration of Will is not compulsory.  In fact it is not even required to be on a stamp paper.

Question. My society have not got occupancy certificate since we got possessions in 2010, please suggest how to get it now?

Ans. Builder or the landlord has the right to get the OC. If your society has got the conveyance deed done then you can appoint an architect and he will help you for getting the OC. If conveyance not done then please get that first and then apply for OC.

Question. How to calculate interest on society maintenance charges? Maximum how much society can charge on delay maintenance charges? How do you calculate interest on society maintenance charges?

Ans . The Member shall be required to pay their maintenance charges on time, if a Member do not pay the maintenance charges on time, Society can charge late payment fee on simple interest at 21% per annum as per Bye- Law No 71, or at such lower rate whatever fixed by the General Body, on the outstanding dues, from the date the amount was due as prescribed under Bye-Law No. 69, till full and final payment by the Member. Click here to check Late payment calculation in maintenance of housing society.

Question. In 2013 and 2018 in our society of 212 members applied for election to Registrar office.  Registrar had not taken election but appointed Administrator in 2018 . Administrator Order is challenged by the society before higher authority. Can society call AGM before 31st March 2022.

Ans. AGM is the right of the Society. You can call AGM.

Question. Hi apart from Chairman, Secretary, Treasurer, what other roles are there in a Managing Committee can we make??

Ans. Legally no, but you can distribute work like security, house keeping, gardening, cultural etc within MC so that all load will be distributed to all.

Question. Our society was registered in January 2018 , we have 150 members in our society but no one coming to joining the committee, in starting we nominated 11 members internally selected. we selected chairman, secretary and treasurer to run the society , but later no one is interested in work and meeting also. In three only I secretary working in all , mean i do chairman and treasurer work also they are not interested to do work and want resign. IN office a lot of work is pending like conveyance deed, name change on property card, property tax, lift, fire, CCTV, Genset maintenance, collecting maintenance and  recovery, audit from society establishment, making share certificate etc. Our budget is not enough to hire a full time society manager. What should i do?

Ans. At looking your question I observed from my experience something wrong in committee , might be not following the bye -law or taking decision alone not passing resolution in monthly managing committee etc , so member silently gone from committee and not interested to work with current committee. find out the reason why no one coming as your society is big 150 members. Secondly for big society you need to hire experience society manager to handle day to day work. if you think your budget not allowed then problem is here only. You have not prepared proper budget for society, society maintenance charge should be collected as per yearly expense required. Hire a good accounting consulting team who can suggest and help to make proper budget and revise your maintenance charges, otherwise all work will be delay like that. We always suggest hire a accounting company who is experience in CHS accounting as well as expertise in CHS matters & Bye Law.

Question. Can committee members add shed a solar contribution in monthly maintenance bill? if yes then how?

Ans. Without the approval of AGM or SGBM committee can not collect any additional charges of any type.

Question. One of the society member wants to gift the flat to her daughter. The member needs a NOC for gifting the flat from the society. Does society need to give NOC?

Ans. NOC not required for gifting flat to his/her son or daughter. He need to submit the document after paper work is over. Pay society membership fee as per byelaw. Transfer premium not applicable.

Question. In our society having total 28  members , the treasurer has been resigned during the year. We are planning for AGM in March 2022. Can treasurer be appointed in the AGM by the members of the housing society?

Ans. Treasurer can be appointed in MC meeting amongst other the managing committee members or co-opt one member.

Question. Can anyone provide email ID of election commission Pune?

Ans. sceapune@gmail.com

Question. Please suggest, one of member from our society doing many wrong complaint to Dy. Registrar, What managing committee can do?

Ans. Why Managing Committee worrying about complaint ? if member doing wrong complaint his/her application will be rejected. 

If Committee thinking , committee doing wrong things not following Bye - Laws then replying in written to that member for correction in wrong things and improve the working style, don't feel if you are committee member can do anything. Committee is only functional body to execute society day to day work as defined by Bye law and approved by AGM.

Committee need to reply that member in written within 15 days, in one letter along with all copies of evidence to the member and any other evidence attached to reply and copy to registrar also.

Question. Any body have that society elections new GR below 250 members rules & regulation, RO list published Sept, 2021 please provide GR.

Ans. Housing Society Election below 250 member GR

Question. Please provide panel returning officer or election officer list for Raigad, Maharashtra.

Ans. Returning Officer list Raigad, Maharashtra.

Question. Co-Owner / Joint Owner can write application to Committee? 

Ans. If primary member withdraw his rights in writing to committee then only co owner can approach to committee.

Question. Does the auditor of the co - operative housing society has to be replaced with new auditor after 3 years?

Ans. Yes it's mandatory.

Question. Can standard AGM notice format, having agenda including for election of new committee?

Ans. Election can not be held in AGM.

Question. Can Application by member is mandatory to give to secretary Or can give to any MC member or can give in society office ?

Ans. All the correspondence should be addressed to the Secretary. Ideally, to the Secretary of the society can address the latter. Anyone from society office should be accept and give acknowledgement of receipt.

Question. Can an advocate or CHS consultant appointed by a committee attend the AGM?

Ans. No provision in Bye Laws. Other than members nobody can.

Question. Can associate member or co-owner  can become part of management committee or take any important position?

Ans. There is only one membership per flat in CHS. One flat one vote. So main owner (Name is first in sale agreement) or joint owner or associate member. They should decide who will represent and give in writing to society. The he can get elected and join mc too after completing official formalities.

Question. The society has less than 200 members. Need guidance on how to carry out the election process in the present situation?

Ans. Societies with less than 250 members ( E class societies) can conduct elections under supervision of returning officer. Society should appoint a panel returning officers who will conduct the election. Detailed procedure is available in government circular on this topic. Please read and follow. You may contact your ward registrar office to appoint one in case you cannot appoint on your own. Once you appoint RO, he will handle everything. Click here to check election process.

Question. Can society committee take/pass resolution/ decision by circulating among members of committee instead of calling a general body?

Ans. No

Question. Can we use WhatsApp for sending official communication and notices or should we stick to notice board and emails ?

Ans. WhatsApp could be an option for communication, but can not make it mandatory. As it requires smartphone and any old age person can deny as they don't use smart phone. It is advisable to publish communications through notice board as official communication and e-mails as this is a official mode of communication.

Question. Can society charge Fine for not attending AGM ?

Ans. Not at all! Though its in the interest of members to attend AGM or not attend, there is no compulsion under any law.

Question. If 1/3  majority not attending the AGM, So committee can wait for more 30-45 minutes for members and after that can start the scheduled AGM which given 15 days notice too?

Ans. Yes, can start. 

Question. For taking action against the defaulter 101 notice, does it require GENERAL Body Meeting or just a committee meeting is ok?

Ans. The committee meeting resolution is ok.

Question. If a member of the society has nominated their own family member to attend AGM is it authentically correct?

Ans. Yes, He/She from his family can attend the AGM with written consent from the Owner. Or Joint member or associate member also can attend the AGM.

Question. Is there any rule according to bye-law can Secretary move out of India for his official work for more than 1-6 months?

Ans. There is nothing mentioned in the bye-law that can prevent any office-bearer from staying away from society for a longer period of time, If Secretary is away then Chairman should take over the Secretary's responsibilities on basis of mutual consent.

However, bye-law 118 says that committee members automatically disqualified if he/she remains absent for 3 consecutive managing committee meetings. So if the committee thinking society work is affecting can remove the members if he/she absent continue 3 MCM.

Question. If a flat is owned jointly by husband and wife and during the filling up nomination form, what is the procedure to fill the nomination, the wife should be co-owner or declared as the first nominee, because both names are already written in the owner's column?

 

Ans. If their names are written on the sale agreement as well as on the share certificate then they are joint owners and each one can file a separate nomination and nominate anybody they want.

Question. What is share capital in housing society? how to know our society share capital? What is Authorized share capital?

Ans. Share capital, funds created out of profits, and money raised by borrowing or by any other means. Generally collected by builder Rs 500 per member and deposited by the builder in The Maharashtra Co-Operative bank. This amount is share capital also Rs 100 for membership it also collected by the builder and deposited at the same bank. You can check your share capital amount which is mentioned in your society bye-laws book bye-law No 8.

Question. Dear Sir, I have the following query please help with this

1. I stay in premises where the Building got CC in 2014 & society got registered & formed in April 2017, but without any conveyance deed done to date.

2. I purchased a flat from the builder directly in Sept 2018 along with builder now as conveyance wasn't done bank accepted & passed loan as well.

3. My agreement with the builder got executed in Sept 2018 & I got possession by the end Oct 2018

4. I started paying regularly maintenance from Sept 2018 to society to date, in between, I came to know about a dispute between the builder & society for which maintenance is due from April 2017 to Aug 2018 (property unsold period by builder) The builder hasn't paid it to date & society is asking me to push builder or else later I will have to clear dues along with interest.

My question is as I wasn't the owner of the property prior to Sept 2018 as per the agreement, how am I liable to pay dues for someone's else when logically I

wasn't a member during the period & how are they linking it with me?

Due to maintenance is pending on my flat prior to my occupation period, they ask me to push the builder to pay whose representative when I follow up they 

say we will talk with society but it's been 1.5yrs no outcome came, currently society is saying if this isn't settled I have to make payment along 

with accumulated interest for which society office isn't allowing me any kind of NOC or assistance till dues are cleared.

Please suggest & advise me how to go about it as I am in a fix in spite of paying regular maintenance, I am been treated as if I am a defaulter & 

they say we will be issuing 3 notices to pay if still unsettled we will take action, this logic applies to all 18flats who got sold after society

got registered in 2017.

Answer. First of all, if society had been formed you should check either builder or society for any dues for the particular flat. Anyway, many first buyers do this mistake because we do not know these things, you need to write a written application to society for this issue, and once you got a reply from society (in written ) than again you have to write a letter to the builder and attached society reply with this. and follow to the builder to pay previous dues if builder not ready to pay then consult any Advocate for legal action.

Question: What are non-occupancy charges and how to calculate it as per bye-laws?

Answer:non-occupancy charges levied by society should not be more than 10 percent of the service charges as per bye-laws.Society can charge only FIXED 10% extra charges for rented flats owners. Society can not charges beyond or over 10%  as "Non-Occupancy Charges".

For example, if the service charges in the monthly bill are Rs 1500 then non-occupancy charges would be Rs 150 

(10% of Rs 1500) per month.

Question: What is a succession certificate or How to get a succession certificate?

Answer: If the property owner demises without Will or Nominee, In the absence of a Will or nominee, the legal heirs of the deceased would have to submit several documents to banks, financial institutions, insurance companies, etc, to get assets transferred in their name. Legal heirs would need to obtain a succession certificate/letter of administration from the court. It is a document that gives authority to the person who obtains it, to represent the estate of the deceased, to collect the assets, and distribute it to all legal heirs as per the laws of succession. It establishes the authenticity of the heirs and gives them the authority to have securities and other assets transferred in their names.

A person requiring the succession certificate needs to file an application with the district court or high court within whose jurisdiction the asset is located. The name and relationship of the person obtaining this certificate, names of all legal heirs, details about the date and place of death, details of the assets to be transferred should be mentioned in the application. A copy of the death certificate has to be attached. The court typically issues a notice in the newspapers for a given period (generally 45 days). If no one contests the petition, then on the expiry of this period, the court passes an order for the issuance of a succession certificate. For more detail, How to get a succession certificate

Question: What action can be taken if society's office bearers are not paying the maintenance charge for a long time?

Answer: All members in society are equal so like other members send them to notice to pay, however, he/she not paying they can not be in the committee complaint to the registrar and pass a resolution in MCM to remove him from the committee. Eligibility for Committee Member Bye - Law 116

Question: What if a member has given cheque for maintenance and bounce?

Answer: Society can charge interest on late payment as well as cheque bounce charge whichever bank has taken ( check society bank passbook/statement), charges that amount to members.

Question: If a single member owns multiple flats, can he make separate nominations for different flats which he owns?

Answer: Yes, the Nomination form consists of a particular flat only, so he can fill different nomination forms for different flats.

Question: How to create a housing society mail id for communication to all members?

Answer: It's a very basic question which I got a query on my WhatsApp, so replying here to see by all. So here is my suggestion suppose your society name apex CHS then create email like chairman.apexchs@gmail.com, secreatary.apexchs@gmail.com, tresurer.apexchs@gmail.com, helpdesk.apexchs@gmail.com.

Question: Is it compulsory to have a society bank account in a co-operative bank?

Answer: Yes, one account is Maharashtra district cooperative bank/district the cooperative bank is compulsory where society share capital amount will be deposited, another account managing for day to day activity can be open in any nationalized bank.

Question: I am chairman of the society, one flat owner expired left his wife and 2 kids, her wife does not have a marriage certificate. She has only PAN and Adhar can society transfer the share to her?

Answer: If nomination filed by a diseased member, then ask her to apply for membership to transfer of shares, and if the nomination is not filed then provide an heirship/succession certificate by the court. Society can ask for a death certificate/Pension Card and other govt identification papers also for verification.

Society can not transfer flat on the basis of PAN and Adhar card. Please check the following Bye-law in both cases :

1. Transfer of shares and interest of the deceased Member in the capital/property of the Nominee

2. Transfer of shares and interest of the deceased Member in the capital/property of the Society to the heir

Question: Is there any guideline issued for AGM 2021? Should we need to take permission from Dy Registrar?

Answer: No, you do not go to Dy Registrar of Societies, for seeking permission to arrange the AGM. However, prior permissions from the local Police station and Local Authority (MCGM) would be required. Moreover, the guidelines prescribed from time to time, by the Government Of India and Govt of Maharashtra need to follow, like wearing a mask, social distancing, etc. 

For conducting the election

The holding of the election for housing society, having members up to 250, the Government is yet to publish rules for the same which is holding for long. Unless and until these rules have been published, elections of such Societies having members up to 250, can't be held and till then the Existing Committee will have to continue.

Question: For a resale flat, is there a provision of two NOCs (no objection certificate) from society to a member who is selling his flat? One for No dues NOC and the second one is Bank NOC (NOC issued to purchaser for bank loan process in bank letter format).

Answer: If a member is selling his flat and request for NOC ( no objection certificate) for no dues then the committee should be given within 30 days from the request letter, the committee needs to check a particular flat has no any dues/outstanding and also check member has paid the transfer premium, once the NOC is given, you cannot go back and the member will not pay later. Bank NOC (In bank format) can also be given if members request it, as per format by Co-operation Department, to safeguard Society's interest. Download flat transfer documents checklist here

Question: Members can check accounts/bank book/cash book before AGM?

Answer: Yes, as per bye-law a member can inspect Society’s record/documents Bye-Law 23, it members right any member can check any documents, account-related things anytime. Member should intimate to same the committee and committee should provide the details to members.

Question: One member of our society passed away tragically. His flat was in his name only. Now, what is the procedure to transfer his flat to his wife or child? Please guide us.

Answer: Where a Member of the Society dies without making a nomination, or no nominee comes forward for transfer, the Society shall invite within six months from the information of his death, claims or objections to the proposed transfer of Shares and interest of the deceased Member, in the capital/property of the Society, by public notice, in the prescribed form, exhibited on the notice board of the Society. It shall also publish such notice in at least two local newspapers, having wide circulation. Read More & Download forms for Nomination

Question: Can a housing society member be employed as the society manager?

Answer: Actually, there is no law that prevents it. Such situations are called conflict of interest situations.

We will suggest no society should be to give society manager job to society members or any other post on a salary basis. Society should hire a professional society manager who should have knowledge about bye-law and legal matters related to society so society will get a good suggestion from the manager and comply with all compliance as per bye-law.

Even many societies give this job to his society member even they don't have any knowledge about society rules and regulation act. However, he will do him all job or not committee cant scold him as he is your society members, even if a manager from your society member so he can do some partiality in members also so always suggest hire from outside. 

Question: How to get duplicate share certificate from housing society?or how to Issuing a duplicate Share Certificate? or How to get a duplicate share certificate of a housing society?

Answer: Getting a duplicate share certificate is not an easy process, you need to go to society’s office and getting a duplicate copy on the same day, but there are some steps which you need to complete.  If your share certificate is lost, misplaced, or destroyed or, you can request a housing society committee to provide a duplicate share certificate. Read More...

Question: As per the bye-law of society how many core members should be there in a society of 55 flat owner?

Answer : 

11 Members in Committee

6 General Category

2 Ladies

1 SC/ST

1 VJ/NT/SBC

1 OBC

Read More - Strength of the Committee Bye - Law 113

Question: Can the audit of the last four years be done this year when the names of the committee members are not fixed or the committee does not exist?

Answer: Answer yes...after a society registration is done society needs to do an audit every year. But the question is without a committee who was collecting the maintenance charge and managing the society day to day activities. Who were authorized persons to operate bank accounts?

Finalize the accounts within 45 days of the close of every co-operative year Bye - Law 145

Question: Our committee is the newly elected Provisional Managing Committee in Jan 2021. Now one of the committee members wants to resign, can he resign?

Answer: Office Bearers can resign anytime with a valid reason, and vacancy should be filled with co-opting another member.

Resignation of Committee Member of the Society Bye - Law 129

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