Handling “not received maintenance bill” issue

Mayank Desai

I am a member of a Society in Goregaon (West) North West Mumbai Maharashtra.

I would like to know as to what is the procedure in case of a member refusing to pay the maintenance on the reason that he has not been receiving the maintenance bills as he stays in Delhi.

We have mailed him quite few times on payment of the overdue which now are more than 8 months.

The Managing Committee is at their wits end as to how do they recover the dues since the member is quite adamant and in spite of knowing that the overdue are quite substantial (which includes interest as well) he refuses to pay on the pretext of the same reason.

I C Naik

1.Member should provide address for sending bills or else the Society shall deposit Bills in his flat. Non-receipt of invoice is no excuse for evading the liability, If genuine reason is established for non-receipt waiver of default interest can be considered.

2.Please take steps as listed under:

3.A CHS is never formed for making profits instead it collects and disburses the contributions from its members towards common facilities and services enjoyed by its members. It is the duty of every member to pay dues properly & on time for ensuring the smooth functioning of the society. Disputes with the society cannot be mixed or made a reason for nonpayment.

The procedure for recovery of dues is as under:

• If a member fails to pay the dues after issue of the notice for a period exceeding three months is termed as a defaulter as per the Maharashtra Co-operative Societies Act 1960 and as per Bye-laws of the society.

• Issue a notice for payment of dues (including up to 21% interest) to the defaulter, with a warning therein that on failure to make payment of the same, an application would be made to the Assistant Registrar/ Deputy Registrar under section 101 of MCS Act, 1960 for recovery of the outstanding dues.

• Pass the resolution to recover the dues in the Managing Committee Meeting.

• Issue a final notice to the defaulter

• Apply to the Assistant. Registrar/ Deputy Registrar for the recovery of dues.

• Pay the prescribed fee (Rs 15 to 1000 max) through a challan payable at the Reserve Bank of India.

•  The Assistant Registrar/ Deputy Registrar would issue a Recovery Certificate for the amount due, after making a hearing and a summary inquiry on the basis of the affidavits filed by the disputant and the respondent.

•  On receipt of the Recovery Certificate, the Recovery Officer shall prepare demand notice for being sent to the Sale-Officer for attaching the movable property of the member concerned.

•  The Sale Officer, on receipt of recovery paper from the Recovery Officer, shall visit the flat of the member concerned for preparing an inventory of the movable property and handover such list to the member concerned and serve the demand notice on the defaulter member.

•  If the amount not paid by the member concerned immediately on service of the demand notice, the Sale Officer will seize the movable property.

•  Thereafter, the Sale Officer will fix the date, time and place for such auction of the movable property seized and auction out the same and pay the sale proceeds thereof to the Society, in satisfaction of the outstanding dues payable by the defaulting member to the society.