Housing Co-Op: Connivance of Govt and builder at work ?

Bharat

We are a Cooperative Group Housing Society. The construction started in 1988 and was to be completed in 2 years. Due to certain reasons including lack of funds and due to Builder also, construction of project extended up to 1999 and partly completed project was handed over to the Society by builder. Total 490 flats were to be built out of which when 376 were almost complete the Administrator decided to allot flats to the Members who were not defaulters.

The elected Management Committee of the Society was superseded by Delhi Govt in 1993 and it appointed its own officers as Administrators of the Society and the Administrators remained in office till July 2002.

Much of construction work took place in the regime of the Administrators. And obviously there were large scale bungling such as over-billing, payment for the works not done, double payments of same items and so on.

The Builder had a clout in Govt, he got the Administrator changed. Another Administrator was appointed by the Govt. The Arbitrator found many irregularities could not handle and resigned. Another Arbitrator was appointed and he gave the award of about Rs.8 crores in favour of the Builder in 2002.

Most of the matters were not in the knowledge of members of the Society. The Administrator filed a reference to High Court to challenge the Arbitrator findings to cover up the misdeeds knowing fully well that he had made a solid ground for the Builder to win the awarded amount.

Some members filed a suit in High Court requesting for handing over the papers on which Award was given. They also said that there is wide scale corruption and that was the reason that the first Arbitrator resigned. Despite court order the entire set of papers was not handed over.

These members filed a case based on papers that were received. The court did not hear their case due to lack of locus standi. The case filed by the Administrator was lost in May 2012 and decree awarded. The present Administrator even did not tell that the decree of about Rs.20 crores has been awarded.

Now as per High Court order elections of Management Committee(MC)  were held and the MC has been formed.

Now my Questions are:-

1. Can MC file case fresh or rule of estoppel will apply i.e. can we file appeal against the order of High Court on fresh facts that have come to our knowledge being in-charge of documents that have come in our possession now. The Administrators did not act honestly while appearing before Arbitration or in Court.

2. Can we file fresh case challenging the Arbitration award which we can prove has been based on fraud and connivance of Administrators (who are senior govt officers), Engineers of the Builder and Society who are private persons and responsible for fudging the papers.

3. Will we have possibility of delay being condoned?

I C Naik

This is an extremely serious issue to be handled through any portal. My suggestion is to consult a Senior  Counsel  practicing in the SC.

 

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