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SALIENT FEATURES OF THE NEW BYE - LAWS ( STATE OF MAHARASHTRA )

Vinod S. Sampat
Advocate High Court, Mumbai
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There are about 50,000 housing Societies in the state of Maharashtra. Crores of residents are residing in these Housing Societies. The bye - laws that have been prevailing as of date have of date have not been amended since 5-10-1984. After about 18 years the same are being revised. this will help in uniformity, simplicity and clarity. An attempt has been made to incorporate new definitions combined with some forms. This will ensure simplicity. These attempts deserve to be appreciated by one and all. The salient features of the same as per information made available to us are as under.

  • As per bye - law No. 38 (d) No Objection Certificate (NOC) of the Society would not be required at the time of transfer flat. This will reduce the work of Estate Agents. At times the Office Bearers of the Society are harassing the members when they wanted to transfer their rights. These provision deserves to be appreciated by one and all.
  • One uniform set of bye -laws for open plot societies, housing societies as well as premises societies.
  • Rights of joint members would be recognized.
  • Sinking Fund amount can be spent for major repairs.
 
Limit for sanction of Managing Committee for repairs and maintenance linked to number of members. This limit is proposed to be increase from Rs. 25,000/- to Rs. 1,00,000/- as under. For expenses above the said limit permission of General Body is required.   Limit for making payments by Account Payee cheques increased as under.

 

 
Upto 25 members Rs. 25,000/- Upto 20 members Rs. 1,500/-
26 to 50 members Rs. 50,000/- 21 to 50 members Rs. 3,000/-
51 and above upto Rs 1,00,000/- Above 50 members Rs. 4,500/-
  • Premises Society will also get benefit of recovery u/s. 101 of Maharashtra Co-operative Societies Act.
  • Housing Societies need not maintain pass Books.
  • Entrance fee has been raised from Rs. 10/- to Rs. 100/-
  • Transfer fee has been raised from Rs. 50/- to Rs. 500/-
  • The amount payable as premium at the rate to be fixed by the General Body Meeting but within the limits as prescribed under the circular issued by the Dept of Co-operation / Govt of Maharashtra from time to time.
  • A member shall cease to be member of the Society in his whereabouts are known for a period of 7 years and if his shares and interest in the property / capital of the Society is not claimed by anybody else.
  • Structural Audit to be conducted by Architects on the panel of Municipal Corporation for Societies situated in Municipal limits. In other cases structural audit to be carried out by Government approved Architects. Structural audit to be done as under.
a) For buildings ageing between 15 to 30 years Once in 5 years
b) For buildings ageing above 30 years Once in 3 years
  • Non - occupancy charges not to believed if the incoming member occupies the flat. In other cases negligible amount to be recovered as non - occupancy charges.
  • Nominee has to apply for membership of the Society within six months from the date of the death of the member. Married daughters also included in the definition of family.
  • A member could be expelled if he has made change of user without the permission of the competent authority of the Society.
  • Internal leakage responsibility would now be on the member. As per old bye - laws the responsibility of internal as well external leakage was on the Society.
  • Every application made to the Society should be acknowledged by the Society.
  • Recognition of car parking space sold by builders.
  • Car parking spaces to be allotted by society by "lot" on yearly basis.
  • Government of Maharashtra will issue circular as regards quantum of premium to be taken by the Society with regards to parking of vehicles.
  • Auditor to be appointed from the Panel of Auditors maintained by the Registrar.
  • The tenure of the Managing Committee increased from three years to five years.
  • the post of Treasurer has been included as an Office - bearer of the Society. Old bye - laws did not have the post of Treasurer.
  • In matters related to No Confidence Motion the meeting has to be presided by an Officer of the Co-operative Department not below the rank of Assistant Registrar.
  • Chairman / Secretary / Treasurer's registration will be effective only after its acceptance and handling over of the charge to the newly elected Chairman / Secretary / Treasurer as the case may be.
  • Insurance of the building against risk of fire earthquake made compulsory.
  • An attempt has been made to guide the members as to which authority they should approach for their complaints. The list of the same is as under.

(a) REGISTRAR

Complaints to be made to the Registrar Matters pertaining to following issues :-
  • Registration of Society on Misrepresentation
  • Non-issuance of the Share Certificates.
  • Refusal of membership
  • Non-registration of Nomination by the socket
  • Non-Occupancy charges.
  • Demand of excess premium for transfers
  • Non supply of the copies of record and documents.
  • Tampering, suppression and destruction of the record of the society.
  • Defaulter/Disqualified member on the committee
  • Reconciliation of Accounts
  • Non conducting of election before expiry of the committee
  • Non calling of General Body meeting within prescribed period.
  • Resignation by the Committee
  • Non acceptance of the cheques or any other correspondence by the committee.
  • Non maintenance or incomplete maintenance of records and books of the society.
  • Non preparation of the annual accounts / report, within the prescribed period.
  • Misappropriation / Misapplication of the funds of the society.
  • Investment of funds without prior permission
  • Audit
  • Rejection of Nomination
  • Non calling of Managing Committee as prescribed in Byelaws
  • Any other like matters which falls within jurisdiction of Registrar

(b) CO-OPERATIVE COURT

Complaints to be made to the Co-operative Court
Disputes between the members and/or the members and society, which falls under Section 91of the act, such as:-
  • Resolutions of the Managing committee and General Body
  • Repairs, including Major Repairs, internal repairs, leakages
  • Allotment of Flats/Plots
  • Appointment of developers/Contractors, Architect
  • Excess recovery of dues from the members
  • The elections of the Managing Committee, except the Rejection of Nominations, as provided under section 152-A of the Act
  • Parking
  • Escalation of construction cost
  • Unequal water supply
  • Any other like disputes which falls within jurisdiction of the Co-operative Court

(c) CIVIL COURTS

Disputes pertaining to:-
Complaints to be made to the Civil Court.
  • Non compliance of the terms and conditions of the agreement by and between the Builders/developers
  • Conveyance
  • Any other like disputes which falls within jurisdiction of the Civil Court
  • Substandard Constructions
  • Escalation of construction cost,

(d) CORPORATION LOCAL AUTHORITY

Matters pertaining to:-
Complaints to be made to the corporation/local Authority
  • unauthorized constructions/additions alterations made by builder / member / occupation of the flat
  • change of use by the members/occupants
  • Inadequate water supply to the society
  • Any other like disputes which falls within jurisdiction of the Corporation/Local authority

(e) POLICE

Matters pertaining to:-
Complaints to be made to the Police
  • Nuisance carried by the unauthorized use of the flat / Shop/ Parking space / Open space in the society by the members, builders, occupants or any other persons.
  • Any other like matters which falls within jurisdiction of the Police.
  • Threatening / Assault by or to the members of the society.

(f) GENERAL BODY

 

Matters pertaining to:-
Complaints to be made to the General Body of the Society
  • Non-maintenance of the property of the society by managing committee
  • Levy of excess fine, by the Managing Committee act of the member which is in violation of the Bye Laws
  • Non insuring the property of the society by the managing committee.
  • All other, like disputes which falls within jurisdiction of the General Body
  • Non display of Board of the name of the society
  • Not allowing the authenticated use of the available open spaces of the society, by the managing committee
  • Appointment of architect

 

 

(g) FEDERATION

Matter pertaining to:-
  • Non allowing of the entry to the secretary of the society by the member
  • All other like matters.
  • Non acceptance of any communication by the member/Managing Committee

  • If a Co-operative Society wants to amend its Bye-laws then the same has to be approved by the Society at the Annual General Body Meeting or Special General Body Meeting.  The Bye-Laws should be approved by 2/3" majority of the members present in the meeting. Once the Registrar approves the bye-laws then the same are applicable

  • The above said bye-laws have been finalized after constitutions with representatives of various concerned Associations.

For CO-OPERATIVE SOCIETIES RESIDENTS & USERS ASSOCIATION