When it comes to property ownership and maintenance within cooperative housing societies, members often face practical issues that are not always clearly addressed in the bye-laws. This week’s queries highlight two such common situations — one involving the transfer of ownership when a member passes away without leaving a Will or nomination, and another concerning maintenance charges after amalgamating two plots.
In the first case, the question pertains to how legal heirs can establish ownership of a flat when the deceased member has neither named a nominee nor executed a Will. The second query addresses whether a cooperative housing society (CHS/the Society) can continue to levy maintenance charges for two separate plots even after they have been officially merged into one with a single construction.
Both cases highlight the importance of adhering to due process and understanding the remedies available under the cooperative housing society regulations.
Transferring Ownership of a Flat When There Is No Nominee or Will
Question: My father owned a flat in a CHS and was also a member of the managing committee. He passed away in 2021. There was no nominee declared in the Society records and no Will was executed. How do I go about transferring the flat?
Answer: If any legal heir of your father wishes to own the flat, your mother, along with all her children, should execute a ‘release deed’ on Rs500 non-judicial stamp paper purchased in your mother’s name. All signatures should be witnessed by two witnesses. If your father’s wife and all children wish to be joint-owners of the flat with equal shares, they should instead execute a ‘declaration deed’ on Rs500 non-judicial stamp paper. Before proceeding, all legal heirs should decide whether the flat should stand in the name of one heir or all of them jointly.
Maintenance Charges after Plot Amalgamation
Question: I have two adjacent non-agricultural (NA) plots in a CHS. I obtained permission from Pune metropolitan region development authority (PMRDA) for the amalgamation of the two plots and for constructing a bungalow on the combined plot. Now, the Society is asking me to pay maintenance charges for both plots, even though I have amalgamated them and constructed only one bungalow. Please guide.
Answer: File a complaint with the deputy registrar of cooperative societies (DR-CS) against your Society under bye-law no. 174(A)(xxii). Attach proof of the amalgamation of the two plots into one and evidence of constructing a single bungalow. The DR will issue an order directing your society to charge maintenance for only one plot.
Action against Financial Mismanagement by a Society’s Managing Committee
Question: A committee member has submitted two fake proposals for the Society's accounting services so that the work can be given to his friend. In our 14-member Society, the committee is paying Rs50,000 per annum to the accountant. When we asked for clarification, they ignored our queries. Similarly, they paid Rs65,000 to someone from Society funds, claiming it was for consultant fees, but provided no explanation when asked. The committee members seem to have formed their own lobby and are misusing the Society funds for their convenience. What can be done in this situation?
Answer: With proof of these irregular payments, make a complaint against the society to the DR-CS under bye-law no. 174(xii). The DR will appoint an auditor to review the Society’s expenditure. If any discrepancies are found and the managing committee fails to provide a proper explanation, the DR can dissolve the managing committee, appoint an authorised officer to rectify the financial mismanagement and conduct fresh elections for the Society.
NOTE
We will not be answering queries posted in the comments. Only questions sent through the Moneylife Foundation's Legal Helpline will be answered. If you want to seek guidance or ask questions to Mr Shanbhag, kindly send it through Moneylife Foundation's Free Legal Helpline. Here is the link: https://www.moneylife.in/lrc.html#ask-question
Disclaimer: The guidance provided in these columns and on our Legal Helpline is on the sole basis of the facts provided by the reader/questioner and does not amount to formal legal advice in any form whatsoever.
(Shirish Shanbhag has an MSc in Organic Chemistry, a Diploma in Higher Education, and a Diploma in French and has completed his LL.B. in first class in 2021. Before his retirement, he was a junior college teacher at Patkar College from July 1980 to May 2012, teaching theoretical and practical chemistry. Post-retirement in 2012, he started providing guidance and counselling to people on several issues, specifically focusing on cooperative housing society-related matters. He has over 30 years of hands-on experience in all matters about housing societies and can provide out-of-box solutions for any practical issue.)
