Q. The decisions regarding due payments taken by the special general body meeting and AGM are not implemented by the previous secretary and treasurer in the entire FY 2024- 25 despite repeated follow up by the managing committee members. Would it have any implications on the present managing committee during the audit or by the deputy registrar?
Dinakar Shetty, Goregaon A. The society operates through its managing committee, which is responsible for fulfilling its obligations, duties, and responsibilities as outlined under the MCS Act, rules, and bye-laws. One of the key duties of the managing committee is to implement decisions made during the special general body meeting (SBGM) or annual general meeting (AGM). In cases where there is a failure to implement these decisions, the registrar has the authority to issue suo motu directions to ensure compliance or execution of the orders.
Additionally, the present committee can report such non-compliance to the registrar. During audits, the auditor may raise queries regarding such non-compliance. Since this matter pertains to the tenure of the previous committee, the present committee can justify its position accordingly. The secretary must report member payment defaults to the committee for action. The committee should recover dues by issuing demand notices and may declare persistent defaulters as defaulters if necessary.
Q. What happens if the quorum is not present in the special general body meeting called to decide upon the redevelopment of society?
Anuj Nadkarni, Dadar A. A quorum of two-thirds of the total members is required for the special general body meeting where the redevelopment of the society will be decided. If the meeting fails to achieve the required quorum, it shall be postponed for seven days. If the quorum is still not met in the subsequent meeting, the meeting will be called off, indicating that the members are not interested in the redevelopment of the society. In such a case, the society cannot reconsider the redevelopment issue in a special general body meeting for the next three months.
Q. I wish to obtain an education loan for my child by mortgaging my flat with a bank. The bank asked for a NOC from the society. My application is pending with the society for a month now. No action has been taken on my application by the committee. How can I proceed in this regard?
Kavita Mathur, Vakola A. It is the responsibility of the managing committee to decide on your application for a No Objection Certificate (NOC) for obtaining a loan within 30 days from the date of receipt. The committee must also inform you of its decision within 15 days of making it. If the society fails to take action on your application, fails to inform you of its decision, or rejects your application, you can file an appeal with the registrar for appropriate relief.
The appeal must be filed within three months of submitting the application or two months from the society’s rejection, whichever is earlier. The registrar must hold a hearing and resolve the appeal within 60 days. This applies to inaction or rejection of applications for obtaining a certificate for the sale of a flat or for any other purpose. (Section 156B-27 of the MCS Act)
The questions are answered by Sharmila Ranade, a legal expert associated with Mumbai Grahak Panchayat. The questions, in brief, may be sent to fpjchs@gmail.com
