We are a building complex with 8 conjoined wings in Mumbai Maharashtra, registered as ONE society under Regn No.MUM/WR/HSG/TC/11923/2003/18.01.2003, and having adopted Model Bye Laws 2014.
We are not registered for wing wise maintenance. In addition to the regular society funds mandated in the bye laws, we have also 8 separate a/cs for each individual wing. Maintenance charges from members are apportioned partly to society a/cs for common maintenance and partly to the respective member’s wing a/c for wing maintenance. Repair funds for common repairs are raised in the General Body meetings and assigned to various society a/cs. Repair funds for individual wings are raised in 8 separate batches, at 8 different locations , at 8 different times and in 8 varying amounts according to wing requirement, at wing meetings of ordinary, nonelected wing members, thru their own wing resolutions. These wing meetings are called by the managing committee. These funds in each wing a/c are owned, controlled and managed by the General Body , even though a large number General Body members are non – contributors to these individual wing a/cs, and often dictate terms. thru resolutions and the society managing committee are as to how wing funds are to utilized and disbursed. Kindly address the following –
1) Is such a system of society fund management legally valid? Are not Co-Operative principles, the law of Equity and the principles of Natural Justice in violation here? If yes, please enumerate the legal provisions under which this system can be challenged.
2). Specifically, can wing repair funds be raised in this piece-meal manner, outside of the General Body, and then owned, controlled and disbursed by other third party, non- contributing entities, without the consent of the contributing members to that wing fund?
3). Should not one society have only common a/cs, where all member’s contributions get pooled in, and then are used to cater to all members requirements in accordance with MCS Act 1960, MCS Rules 1961 and Society adopted Bye Laws 2014?
I do appreciate the time and effort you take to address our queries.
I C Naik
Your CHS must amend bye law on apportionment of Society Charges incorporating the data you sent me.