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DIFFERENCE BETWEEN HOUSING SOCIETY AND
APARTMENTS OWNERS
ASSOCIATION/CONDOMINIUM

The meaning of Condominium is a Building or Complex of Buildings containing a number of individually owned Apartments or houses. Though this concept is very old one of ownership for buildings in Mumbai, it is the Co-operative Housing Society model which has been and even today, is the most popular and preferred so far. Buyers who purchase premises on an 'ownership' basis require to come together to manage the building and for that purpose, one of the ways is to form a Co-operative Society, which is regulated by the Maharashtra Co-operative Societies Act, 1960.

An alternative to a Co-operative Housing Society was introduced by the Maharashtra Apartment Ownership Act, 1970, which provides for the formation of a Condominium. The buyers of premises in a Condominium are called Apartment owners who form an association known as an 'Association of Apartment Owners' in case of both i.e. residential as well as non-residential premises.

The meaning of an Apartment means an part of property intended for any type of independent use, including one or more rooms or enclosed spaces located on one or more floors in a building intended to be used for residence, office, practice of any profession or for carrying on any occupation, trade, or business or for any other type of independent use and with a direct exit to a public street, road or highway or to a common area leading to such street, road or highway.

The distinction between Apartment and Flat is that in respect of Apartment ownership, the legal title of the flat as an object, along with a proportionate share in the common areas of the building and also proportionate share in the land on which the building stands, vests in the Apartment owner. That means, the building belongs to jointly but each Apartment owner has an independent right to his Apartment to the exclusion of others. Whereas, in the case of ownership flat, the title to the building and the land vests with Co-operative Housing Society or a Limited Company and the flat owner is not an owner of the flat in real sense but he has only a right to occupy the flat. This is a species of property, which is heritable and transferable.

Although the basic purpose of both the formation is similar, there are many differences between a Society and Condominium. Some of the differentiations are as under and we advise our patrons to read carefully and understand:

1. Generally to form a Society, 10 persons would be required and each of them is to be from a different family who reside in the area of operation of the Society (within the same city) and who have purchased premises in the building. However, in case of Condominium, even one person who owns the entire building can form a Condominium provided there are at least five Apartments in the building.

2. In the case of a Society, the title of the land and the building is transferred and conveyed to the Society, which becomes the owner thereof. Buyers, upon purchase of flats, become members of the Society. In the case of a Condominium, the title of each Apartment rests with the Apartment owner, who also has a proportionate undivided interest in the land on which the building stands the common areas and facilities of the building.

3. A Society adopts the Model Bylaws periodically with changes if required but with subsequent approval from Dy. Registrar of respective ward. Similarly, while adopting the Bylaws in a Condominium, suitable changes can be made so long as the provisions of the Act are not contravened.

4. A Society issues certain shares to its members as per the Bylaws and the Share Certificate becomes an important title deed, since the allotment of the premises are related thereto. This is not so in a Condominium of Apartments/Buildings.

5. The affairs of the Society are managed by the Managing Committee which is elected by the members of the Society. The Managing Committee elects a Chairman, Secretary and a Treasurer. Similarly, the affairs of a Condominium are managed by the Board of Managers who is elected by the members of the Apartment Owners Association. The Board also elects a President, Vice-President, Secretary and a Treasurer.

6. Under the Model Bylaws, a Society can charge only Rs. 500/- as Transfer Fee with a maximum of Rs 25,000/- as a premium. In case of a Condominium, the Bylaws can be more flexible and the amount of Transfer Fee can be provided therein.

7. In a Condominium, the owner can give his Apartment on lease or leave and license basis without the approval of the Board of Managers. While in a Society, permission of Managing Committee including ‘Police Verification’ is required.

8. In a Society, every member has one vote, irrespective of the area of his premises. In a Condominium, every Apartment owner has a voting right in proportion to the value of his premises which is generally as per the area of the Apartment owned by him and which is defined while forming the Condominium.

9. In a Society, disputes are generally referred to the Registrar appointed under the Act or to a Co-operative Court, depending on the nature of the dispute. In the case of a Condominium, the Court having jurisdiction over the area in which the Condominium is located, hears the disputes.

10. A Society can expel its member under certain extreme circumstances. In case of a Condominium, there is no such provision. However, if an Apartment owner fails to comply with the Bylaws or the Rules and Regulations, either damages or injunctive relief or both can be claimed against him.

11. In a Society, a member can nominate a person in whose favour shares of the Society should be transferred upon the member's death. No such facility is available in a Condominium. An Apartment can be transferred to a person to whom the Apartment owner bequeaths the same by his will or to the legal representative of the Apartment owner's estate.

12. The difference between Maharashtra Ownership Flat Act, 1963 and Maharashtra Ownership Apartment Act, 1970 is that in case of Maharashtra Ownership Flat Act there should be atleast 10 members for forming Co-operative Housing Society and in Apartment ownership there should be 5 Apartments in one or more building. In case of Ownership Flat Act or Co-operative Societies Act the assessment of the flats will be in the name of owner of the land or builder or the Society and in case of Apartment Ownership Act there will be separate assessment in respect of each Apartment and its percentage of undivided interest in common areas and facilities. In case of Ownership Flat Act, there will be registration of Co-Op Society or Pvt. Ltd Company as contemplated under Section 10 of Maharashtra Ownership Flat and in case of Apartment Ownership Act, a declaration is required to be made in prescribed form before the Magistrate as required under the Act. (See Rule 2)

A significant question here is that why the builders always tend to go for 'Apartment' formation and always try to avoid ‘Society’? The reason is that the builders have lot of vested interests in doing so which are listed below:

1) The builder is interested in using the increased FSI which will be awarded by the govt. for that area at any time in future. If the 'Society' is formed, then upon the transfer and conveyance of land in favour of the Society, the increased FSI will be owned by the Society and the builder shall not have any right over it. But if it is an Apartment, then the builder owns that increased FSI and can use it anywhere. Thus, the builder will keep taking advantage of every increase in FSI throughout in the future.

2) In an Apartment, the builder retains the ownership of the open spaces which are not included in the saleable area. Example - Terrace or any open parking/stairs space which is not included in the saleable area. But in case of Society, the builder cannot retain any right on any of these areas and has to hand over everything to the Society. The Maharashtra Apartment Ownership Act also provides for the ownership of an individual Apartment in a building and to make such Apartment heritable and transferable property.

3) Bye-laws and Rules of 'Society' are binding on all the residents and nobody can act as per his/her whims. Hence, if the Society decides to ban any objectionable commercial activities in the flats such as noise-making music classes or using the flat for catering or courier activities etc or not to rent out to bachelors etc, then all the residents have to abide by it. But if it is an Apartment, then owners can violate the Apartment Rules and the Apartment Body can just file a case in the Civil Court. However, while the Society disputes are resolved in a separate Court i.e. Co-operative Court dealing with Society matters and hence they are fast resolved whereas, the Apartment matters have to be taken to the normal Civil Court and hence they typically take years and decades to resolve.

4) When the building contemplates redevelopment after 25-30 years, the Society’s decision will be final and hence the Society members will have negotiation power with the builder at that time. But if in case of an Apartment, the consent of every Apartment-owner is required and hence it goes into an endless delay due to lack of a common decision acceptable to everybody. There are many instances in Mumbai wherein finally the dilapidated buildings had to be forcefully vacated by an eviction order from Court since they became unliveable. Thus, while the decisions are taken on a 'majority' basis in Society, the Apartment goes with rule of 'Acceptable by Everybody'. So if the builder has retained even one flat in an Apartment, he will play a veto card in his favour at the time of redevelopment.

5) Refer to a Judgment of Supreme Court of India in the Case of Zoroastrian Co-Operative v/s District Registrar Co Operative - Appeal (civil) 1551 of 2000 on 15 April, 2005 wherein regarding the rights of an individual member, the Lordships have stated: "Once a person becomes a member of a Co-operative Society, he loses his individuality qua the Society and he has no independent rights except those given to him by the Statute and the Bye-Laws". However, in case of the Apartment, the decision taking always rests with each Apartment-owner.

In case of conveyance of the Apartments, all transfers of Apartments by the sole owner or all the owners of the property (being an owner or owners who have or have executed and registered a declaration in form “A”) to an Apartment owner and subsequent transfers from an Apartment owner to his transferee shall be by a Deed of Apartment.

With regard to the parties of the Deeds of Apartments, in the case of the first Deed of Apartment the party of the first part shall be either the sole owner or all the owners of the property who has or have executed and registered the Declaration in form “A” and the party of the second part shall be the Apartment owner. In the case of subsequent Deeds of Apartment, the party of the first part shall be the Apartment owner and the party of the second part shall be his Transferee.

Hence, it is recommended to impress upon the Developers to form a Co-operative Housing Society only under the Provisions of MOFA, 1963.

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BRIHANMUMBAI MAHANAGARPALIKA
NO.AC/RE/804 Dt. 04/06/2013

NORMS TO FILE COMPLAINT WITH BMC AGAINST UNAUTHORIZED CONSTRUCTIONS

Guidelines for lodging complaints pertaining to unauthorized constructions to Zonal Level Grievances Redressal Committee (G.R.C.) in MCGM

1) Introduction:

1.1 In Writ Petition No. 2950 of 2012 Hon'ble High Court gave directives to M.C.G.M. that there should be a proper mechanism for redressal of grievances pertaining to unauthorized constructions at different level. Hon'ble M.C. decided to set up Grievance Redressal Committee (G.R.C.) in each Zone under the Chairmanship of Concerned Zonal D.M.C.

All Zonal D.M.C.s/Asst. Commissioners are hereby directed to give wide publicity to this Circular so that Citizens will be aware of the mechanism available for redressal of grievances pertaining to unauthorized construction at Zonal level.

1.2 It is essential to lay down guidelines prescribing procedure to be followed to carry out smooth functioning of the Grievance Redressal Committee (G.R.C) and in view thereof following guidelines are being issued.

2) Aim:

2.1 The forum of Zonal G.R.C. is for redressal of grievances received from the complainant in respect of action/non-action on unauthorized constructions by the Designated Officer/A.E. (Building & Factory) within time frame.

2.2 "Zonal G.R.C." will be reviewing and monitoring authority. It will analyse the factual reasons of the case in the light of Natural Justice and pass the speaking order or directions to do the needful in case of failure of taking necessary action by Designated Officer/A.E. (Building & Factory).

2.3 The "Zonal G.R.C." shall not pass any order which will stop/stay the notice action initiated by Designated Officers and the ongoing notice action will continue and brought to its logical conclusion.

3) Formation of the Zonal level Grievances Redressal Committee:

3.1 Committee Members

1 Zonal D.M.C - Chairman
2 Dy. Ch. Eng. (Building Proposal) of the Zone - Member
3 Dy. Law Officer of the Zone - Member
4 Asst. Commissioner (R.E.) - Member
5 Asst. Commissioner concerned - Member
6 A.O. to D.M.C. (Zone) - Secretary

3.2 The Concerned Ward Asst. Commissioner/Asst Law Officer/E.E. (Building Proposal) and D.C.P. Of concerned Zone will be called as a Special Invitees, as and when the grievances of their areas are being heard.

4) Mode of filing Applications:

4.1 Complainant initially is required to file his complaint in "Form A" to the concerned Designated Officer/A.E (Building & Factory) of the Ward and obtain proper acknowledgement. Concerned Designated Officer is required to take cognizance of the complaint in consideration of Sr. No. 13 of Form-A i.e. authenticity of complaint based on documentary proof. If no documents are submitted by the complainant then complaint should not be entertained and intimated accordingly. However such a complaint should be verified by the Designated Officer and his staff comes to the conclusion for necessary action should be taken or not.

In any case D.O. is required to start necessary action as early as possible from the receipt of complaint and should communicate the same to the complainant within 30 days from receipt of the complaint.

Criteria to approach "Zonal G.R.C." by Complainant:

4.2 If no reply is received or the complaint is not attended within 30 working days or if the complainant feels that the reply given/action taken by Designated Officer is not proper, then the Complainant may lodge a complaint with the Zonal Grievances Committee within two weeks after the period of 30 working days in case of reply not received/action not taken/of the receipt of the reply by him as the case may be then the complainant should submit the complaint in 'Form 6' to concerned "Zonal G.R.C."

4.3 Submission of Document by complainant:-

Aggrieved complainant may file his/her complaint in "Form B" to secretary of zonal G.R.C. along with copies of following documents:

a) Xerox copies of "Form A", acknowledgment by the office of Designated Officer
b) Xerox copies of the replies received if any from the Designated Officer.
c) Undertaking stating that the matter is not sub-judiced.
d) Copy of photo Identity Proof of the Complainant, like Aadhar Card/Pan Card etc.

4.4 Acceptance of Documents by Secretary of G.R.C:-

All the above documents, are required to be submitted by the complainant to the Secretary of G.R.C. i.e. A.O. to Concerned Zonal D.M.C.

5) Duty of Secretary of "Zonal G.R.C":

After acceptance of the complaint, the Secretary should check all above documents submitted as above and then enter the grievance in the register along with all particulars and give acknowledgement to the complainant. After verification of documents, information from concerned Designated Officer should be collected and report should be submitted to Chairman i.e. Zonal D.M.C. with regard to grant hearing or not to grant hearing. After approval of Chairman, the same should be communicated to complainant within 15 days after receipt of the complaint by the Secretary. If the hearing is denied then, the Chairman shall specify the reasons/justification for the denial.

6) Hearing Procedure:

6.1 For hearing, complainant must remain present personally on due date and time. No representative will be allowed to represent the case.

6.2 Request from the Complainant to postpone the hearing will not be entertained. However, the Chairman may in special circumstances grant postponement.

6.3 If complainant is not remained present during the hearing, the Committee will be at liberty to take ex-parte hearing and take decision on the same. The decision taken should be communicated to the complainant and complaint should be disposed off.

6.4 At the time of hearing, full opportunity shall be given to the complainant by following the principles of natural justice. No new documents, proofs will be entertained at the time of hearing as it was required to be submitted initially by the complainant to Designated Officer. If, the Committee comes to the conclusion that the new documents produced by the complainant are authentic, then the committee may direct the complainant to produce the same before the Designated Officer and the complaint before the committee shall be disposed off.

G.R.C. shall pass speaking orders within 10 working days from the date of hearing after considering the provisions of M.M.C./M.R.T.P Act's and as per Rules, Regulations and Policies of the M.C.G.M.

6.5 To follow the principles of natural justice, owner/occupier against whom complaint/notice is made/issued, may be called to attend the hearing as per the requirement of the case. In such case, failure of owner/occupier to attend hearing of GRC, chairman will pass ex-parte order.

6.6 Proceedings of the hearing should be properly noted by the Secretary at the time of hearing along with attendance sheet.

7) Meetings:

7.1 The Zonal G.R.C. shall hold hearings from time to time. At least one meeting should be conducted in every month.

7.2 At least 7 days prior to the proposed meeting, the Member Secretary should circulate a report on all complaint in tabulated format to all the Members of G.R.C. inform well in advance of the date on which the matter is listed for hearing.

8) General:

8.1 Period of notice as mentioned in various sections of MMC and MRTP Acts, as per procedural circulars will be final and it cannot be altered/extended by G.R.C.

8.2 Forum of Zonal G.R.C. is for redressal of grievances received from complainants. Pending hearing at G.R.C. shall not be construed as the stay granted to the notice action initiated by concerned Designated Officer/A.E. (Building & Factory).

8.3 In case of any clarification is needed on the guidelines/procedures/policy etc., it may be obtained from D.M.C (R.E.).

8.4 Copy of each order passed by the G.R.C.s should be forwarded to A.C.R.E. office for compilation of the report and further report to higher authorities.

All Zonal G.R.C.s should start functioning effective from…….

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AC (RE)

Law Officer,

DMC (RE),

A.M.C.

(City) M.C.

FORM "A"

(For every single unauthorized structure separate form should be submitted)
To,
Designated Officer, A.E. (Building &Factory) ____Ward
Subject: - Complainant of unauthorized construction.

1 Name of the Complainant:
2 Adhar Card No of the complainant/Details of photo ID proof
3 Address of the Complainant
4 Office/Business address of the complainant if any:
5 Contact No: Residential Landline No., Office/Business landline No., Persona! Mobile No., Office/Business Mobile No:
(Please mark preferred contact No:)
6 E-Mail ID: personal/Office/Business
(Please mark preferred E-Mail ID.)
7 Address of the complaint structure: _
8 Electoral Ward in which complaint structure is located
9 Name of the owner/Occupier of the complaint structure
10 Relation of the owner/Occupier of the complaint structure with complainant, if any
11 If the Complainant is directly affected, the reasons there of
12 Complete details of the unauthorized work such as nature of work, No. of unauthorized floors /rooms with approx. area etc
13 Reasons/ground/evidence on the basis of which the said construction is illegal/unauthorized. (Documents/proofs must be submitted)

I hereby declare that the details given above are true and correct.

I hereby declare/undertake that this Complaint/Petition/Subject matter is not sub-judiced in any court.

Date…………….

(Signature of Complainant)

FORM “B”

Subject:-Complaint against unauthorized construction.

1 Name of the Complainant:
2 Adhar Card No of the complainant/Details of photo ID proof:
3 Address of the Complainant:
4 Office/Business address of the complainant if any:
5 Contact No: Residential Landline No._ Personal Mobile No._ (Please mark preferred contact No.)
6 E-Mail ID: personal_
(Please mark preferred E-Mail ID.)
7 Address of the complaint structure:
8 Name of the owner/Occupier of the complaint structure
9 Complete details of the unauthorized work such as nature of work, No. of unauthorized floors/rooms with approx. area etc:
10 Details of Designated Officer with whom complaint was filed initially:
11 Reply of Designated Officer, if any:
12 Reason for complaint against designated officer:

I hereby declare that the details given above are true and correct.

I hereby declare/undertake that this Complaint/Petition/Subject matter is not sub-judiced in any court.

Date…………….

(Signature of Complainant)

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THE FIRST EVER ORDER PASSED FOR DEEMED CONVEYANCE

A specimen of the first ever order of Deemed Conveyance passed by the Competent Authority & District Deputy Registrar, Mumbai City (3) is reproduced for the information of our readers.

BEFORE THE DISTRICT DEPUTY REGISTRAR, COOPERATIVE SOCIETIES, MUMBAI CITY (3) COMPETENT AUTHORITY UNDER SECTION 5A OF MAHARASHTRA OWNERSHIP FLATS (REGULATIONS OF THE PROMOTION OF CONSTRUCTION, SALE, MANAGEMENT AND TRANSFER) ACT, 1963 (MOFA, 1963)

Application No. 124 of 2012

APPLICANT: Roop Darshan Co-operative Housing Society Limited, Juhu Lane, Behind Costa Coffee, Andheri (West), Mumbai 400056

REPRESENTED BY: .....................ADVOCATE

ORDER
(FOR DEEMED CONVEYANCE)

In exercise of the powers conferred on me under Section 11(3) of the Maharashtra Ownership Flats (Regulations of the Promotion of Construction, Sale, Management and Transfer) Act, 1963, I, Subhash Patil, the Competent Authority and District Deputy Registrar of (3) Mumbai, do hereby confirm that the Deemed Conveyance Application bearing No. 124 of 2012 filed by the Applicant is a fit case for grant of Unilateral Deemed Conveyance and Certificate for entitlement of the Society to register the same. Accordingly, I am issuing a Certificate for grant of Unilateral Deemed Conveyance.

I, further direct the Applicant that to prepare draft of Unilateral Deemed Conveyance and submit the same with the Authority on the basis of the Certificate for grant of Unilateral Deemed Conveyance and the property described therein. Similarly, I direct the Sub-Registrar of Assurances and any other Registering Authority under the Registration Act, 1908 after the adjudication of Unilateral Deemed Conveyance by the Collector of Stamps on the property as described in the Certificate to register the same and to transfer the right, title and interest of the Promoter in the property in favour of the Applicant.

This order is passed under my seal and signature on 1.2.2013.

Date: 01/02/2013

Place: Bandra, Mumbai

Sd/-
SubhashPatil
Competent Authority & District Deputy Registrar,
Co-operative Societies,
Mumbai City (3)

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BEFORE THE DISTRICT DEPUTY REGISTRAR, COOPERATIVE SOCIETIES, MUMBAI CITY (3) COMPETENT AUTHORITY UNDER SECTION 5A OF MAHARASHTRA OWNERSHIP FLATS (REGULATIONS OF THE PROMOTION OF CONSTRUCTION, SALE, MANAGEMENT AND TRANSFER) ACT, 1963

Application No. 124 of 2012

APPLICANT: Roop Darshan Co-operative Housing Society Limited, Juhu Lane, Behind Costa Coffee, Andheri (West), Mumbai 400056

REPRESENTED BY: ...................... ADVOCATE

CERTIFICATE
(FOR DEEMED CONVEYANCE)

In exercise of the powers conferred on me under Section 11(4) of the Maharashtra Ownership Flats (Regulations of the Promotion of Construction, Sale, Management and Transfer) Act, 1963, I, Subhash Patil, the Competent Authority and District Deputy Registrar of (3) Mumbai, do hereby certify that Deemed Conveyance Application bearing No. 124 of 2012 filed by Roop Darshan Co-operative Housing Society Limited having address at Juhu Lane, behind Costa Coffee, Andheri (West), Mumbai 400056, a Society registered under the Maharashtra Co-operative Societies Act, 1960 read with the Rules of 1961 thereto under Sr. No. BOM/K- WEST/HSG/TC/713/94-95 on 18.9.1984 is a fit case for Deemed Conveyance in favour of the Applicant and registration of the Deemed Conveyance as a Unilateral Deemed Conveyance under the Registration Act, 1908 by the Sub-Registrar of Assurances or any other authority, land bearing Survey No. 270A, HissaNo.2(part), Survey No.207C, Survey No.207D, HissaNo.1, Survey No.207D, Hissa No.2, Survey No.282 (part), Survey No.286, Hissa No. 1(Part), CTS No. 519C, Mouza Vile Parle, Taluka Andheri, Mumbai Suburban District, admeasuring 3207 sq. meters and the buildings known as Roop Darshan‘C’ and Roop Darshan ‘D’ and to transfer all the right, title and interest in favour of the Applicant Society.

Place: Bandra, Mumbai

Sd/-
SubhashPatil
Competent Authority & District Deputy Registrar,
Co-operative Societies,
Mumbai City (3)

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PROCEDURE FOR OBTAINING DUPLICATE SHARE CERTIFICATE FROM HOUSING SOCIETY

In case of the Original Share Certificate is misplaced, lost or stolen, the complete procedure for obtaining Duplicate Share Certificate from Housing Society is given hereunder:

1. Initially, the member shall file FIR on plain paper with Local Police Station stating that the Original Share Certificate issued by the Society containing Five Shares pertaining to the member’s flat situated in the same Society has been misplaced, lost or stolen. The member shall keep an acknowledged copy of the FIR. The draft of such FIR is given hereunder.

2. The member shall make an application to the Society on plain paper that the said Original Share Certificate issued by the Society has been misplaced, lost or stolen and in lieu of which, a Duplicate Share Certificate be issued to him. An acknowledged copy of the FIR shall be attached with the application letter. The draft of such application is given hereunder.

3. The member shall submit an Indemnity Bond on Stamp Paper of Rs.200/- to the Society agreeing to indemnify the Society for all cost, expenses that with regards to the issue of a Duplicate Share Certificate. Original Indemnity Bond duly notarized shall be attached with the application letter. The draft of such Indemnity Bond is given hereunder.

4.On receipt of application, the Secretary shall call a Managing Committee Meeting and get its approval for issuance of Duplicate Share Certificate to the member.

5.. The Society thereafter shall issue a Public Notice in two Local News Papers as also shall affix a Notice on the Notice Board of the Society inviting objections within fifteen days with regard to the issuance of Duplicate Share Certificate in lieu of original one being misplaced/lost or stolen by the applicant member.

6.For issuance of Duplicate Share Certificate, the Society shall charge to the member the cost of issuance of Public Notice in News Papers before allotting a Duplicate Share Certificate.

7.If no objections are received within fifteen days from the date of issue of Public Notice as also after affixing the Notice on the Notice Board then the Society shall finally proceed ahead to issue a Duplicate Share Certificate.

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Application for lodging a FIR with Local Police station

From:

(Name, Address, Contact nos. & e-mail ID of member)

Date:

 

To,

The Police Officer in-charge,

Address (Local Police station)

 

Respected Sir,

Re: Loss of my Original Share Certificate

I, ___________________, the undersigned, am the registered member of _________________Co-operative Housing Society situated at _________________ I am residing in flat no. _________ in the said Society.

The said Society had issued me a Share Certificate no. ______________ dated _________ in original containing five shares of Rs. Fifty each bearing Nos. ______ to _______. I hereby further declare that the said Share Certificate in original has been misplaced, lost or stolen and is not traceable.

Sir, to avoid any misuse of my said Share Certificate in original, I seek your help and request you to kindly register my FIR in the subject matter as the same is required to enable the said Society to issue me a Duplicate Share Certificate for my record.

For your ready reference I enclose herewith a copy of ______________ as my ID proof. Please acknowledge receipt on the copy and oblige.

 

Thanks and regards

Yours Sincerely

(Signature & Name)

 

(Note: The member should get the copy of FIR duly signed by Police Officer in-charge with his name and designation, Police Station Address & Stamp.)

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Request letter from the member for issuance of Duplicate Share Certificate

From:

Date:

(Name, Address, Contact nos. & e-mail ID of member)

 

Re: Issuance of Duplicate Share Certificate.

To,

The Secretary,

Name & Address of the Society

 

Dear Sir,

I, ___________________, the undersigned, am the registered member of our _________________Co-operative Housing Society situated at _________________ I am residing in flat no. _________ in our Society and wish to state as under:

The said Society had issued me Share Certificate No. ______________ dated _________ containing Five Shares of Rs. Fifty each bearing Nos. ______ to _______ I hereby further declare that the said Share Certificate in original has been misplaced/lost or stolen and the same is not traceable.

I request you to please issue me Duplicate Share Certificate in lieu of original one with due formalities undertaken at the earliest.

I have already filed FIR with _____________ Police Station on _________________. I hereby submit an Indemnity Bond in original on Rs.200/- Stamp Paper duly notarized for your perusal.

I attach herewith the following documents for your perusal and action.

1. Copy of FIR.

2. Original Indemnity Bond on Rs.200/- Stamp Paper duly notarized.

Please acknowledge receipt on the copy of this application and oblige.

 

Thanking you,

Yours faithfully

(Signature & Name)

Encl: As stated.

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(Indemnity Bond duly notarized to be furnished by a member on stamp paper of Rs. 200/-).

INDEMNITY BOND

I, the undersigned _______________, am the registered member of our ____________Co-operative Housing Society Ltd., situated at ______________ I am residing in flat no. _________ in our said Society.

I hereby solemnly declare and affirm that I have purchased Five Shares of Rs. Fifty each of the above mentioned Society bearing Nos. ______ to _______ with its Share Certificate No: ________________ dated _________

I hereby further declare that the said Share Certificate in original issued to me by the said Society has been misplaced/ lost or stolen and the same is not traceable.

I hereby further state that I have not transferred the said Share Certificate to any other person/persons nor have created any charge or mortgage on it in favour of any bank, financing agency, employer or any other person or persons.

In consideration of the said Society issuing at my request a Duplicate Share Certificate, I do hereby undertake to indemnify the Society and bind myself, my legal heirs, executors and administrators to pay all claims, charges, costs, damages, demands, expenses and losses that may sustain/incur and liable to be paid to the said Society for the consequence of having complying with my above request.

I, _________________, the undersigned certify that the above facts are true to the best of my knowledge and enforceable under the governing laws of the land. I hereby undertake to surrender the Original Share Certificate to the Society if traced subsequently.

Deponent

(Signature, Name & Full Address)

Place:

Date:

 

Witness No.1

(Signature, Name & Full Address)

 

Witness No.2 Signature

(Signature, Name & Full Address)

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SERVICE TAX PAYABLE BY CO-OPERATIVE HOUSING SOCIETIES

Service tax on Co-Operative Housing Societies is a litigious and debatable subject. Co-operative Housing Societies like other Co-operative Societies are mutual organizations and governed by Maharashtra Co-operative Society Act, 1960 in the State of Maharashtra.

The term, “Service” is first time given a statutory meaning from 1.07.2012 which encompasses almost all activities into its field and therefore it would be more appropriate to begin with examining the levy from 1.07.2012.

As per the definition, any unincorporated association or body of persons and a member thereof shall be treated as distinct persons. A Co-operative Housing Society and its members cannot claim benefit of mutuality in the transactions between them. Therefore, collections from members shall become liable to tax if they are in the nature of any activity carried out by the society for its members as provided in the definition.

The Housing Societies are liable to pay Service Tax on various charges, fees and other amounts collected from the members as per the clarification given by Jt. Commissioner of Service Tax, Mumbai under Ref No: V/ST/HQ/Tech/Ref-25/06/1956.

The applicable rate of tax at present is 12% plus 2% Education Cess and 1% Secondary and Higher Education Cess, aggregating to 12.36% on taxable service provided.

Service as defined in this Budget is that a service rendered by an unincorporated body or an entity registered as a society to own members by way of reimbursement of charges or share of contribution.

This is a Tax that the Society collects from each Member (Owner of the Flat or Villa), along with the Bill (e.g., Monthly Maintenance Bill). The Tax is paid to the Government on a monthly basis and returns are filed in a quarterly or half-yearly basis in Form ST‐3 i.e. for the period of April to September, the return would be required to be filed on or before 25th October and for the period October to March the return would be due by 25th of April. It is very important that the Treasurer of the Society should be aware about the entire process to collect the Service Tax from each member along with the bill and remit to the Government.  

If the billing of above charges exceeds Rs.5000/‐ per member, per month, service tax would be payable @ 12.36% and recovered in the bill. However, basic exemption is provided to any assessee for total receipt of taxable amount of Rs. 10 Lakhs (however, this exemption is optional).

Once the receipt exceeds the exemption limit, Service Tax is payable after deducting first Rs. 10 Lakhs in the subsequent year and thereafter, Service Tax is applicable every year without any exemption. However, if the tax is collected, exemption cannot be availed. If there are commercial units in the building, the Service Tax is applicable to the commercial units but has no exemption applicable. The exemption will be applicable for residential units only.  

Service Tax is payable on billing basis, i.e. even if a member does not pay the bill amount, Service tax will have to be paid by the Society.

The Society has to apply for the ST-1 and it should be filled.  It can be download the form by following the below link; http://www.servicetax.gov.in/forms/st1.pdf. The Secretary of the Society has to sign the application.

In order to complete the procedure, the following documents are required;

 Self-certified copy of the PAN of the Society/Association
A copy of Bye-Laws
A copy of resolution passed in GBM (reg. ST registration)
A brief write-up of the services provided
A Registration Certificate of the Society/Association

The following accounts are liable for Service Tax Payment

(i) Common Electricity
(ii) Repairs Maintenance of lifts
(iii) Service Charges
(iv) Car parking charges
(v) Insurance
(vi) Charges for health club, swimming pool, etc.
(vi) Use of terrace etc for functions to non-members
(vii) Sale of terrace space and compound for hoardings

The following accounts are not liable for Service Tax Payment

(i) Property Tax
(ii) Water/Sewerage Tax
(iii) Contribution to Repairs & Maintenance Fund
(iv) Major Repair Fund
(v) Contribution to Sinking Fund
(vi) Interest on defaulted charges
(vii) Repayment of loan and interest
(viii) Non-occupancy charges
(ix) Lease Rent
(x) Non-Agricultural Tax
(xi) Admission /Entrance Fees
(xii) Issue of shares
(xiii) Deposits
(xiv) Premium on Transfer of Flat
(xv) Voluntary donations

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