our society is not registered and body is not furnishing any of the details like account of expenses etc.We stopped paying mantinance after asking many time for the details. secretary and few unscrouplous members issued us a threat letter on disconnecting the lift services, security services etc.
we have sent the body a legal notice which is below.Pls guide us how to resolve the issues and take legal actions if they dont register the society.
Sangath Silver Owners Association
Motera, Sabarmati, Ahmedabad- 380005.
Ref.No. Letter no.Sangath Silver/2/2009
Sub: Democratic Appeal of Protest.
Under instruction of my clients _________________ having its residence at __________________ I hereby give the reply come request letter as follows ;
My clients would like to place certain observations & personal exclusions on board so as, not to be found party to any disruption in society operation at any future date. Pls note that these are simple observations and exclusions which are highlighted so that the same can be taken on records for further discussions & responsibility fixation, as also for the betterment of the society and clarity of accounts.
1. At the outset it is placed on record that my client have not recd any intimation of the above held GBM and neither any call to serve as a voter for the election of the said “Executive Body”. Therefore he does not take any recognition for the rules & regulations firmed up and recorded by the said body. My client feels that no rules have been followed in the true spirit of democracy and as laid down by the law in as per the Co-operative Societies Act. It may be noted that with less than 50% representation executive body can not be appointed. It has to be through proper elections with at least 3 nominees for the each position of executive body. For further reference pls consult the rules and guidelines of the Registrar of Societies, Gujarat.
2. Secondly according to Society Registration Act, the body which has to be formed has to be a Society by constitution & registered with the registrar of societies. Presently the body is just an “Association of Persons” which is not recognized as per Societies Act. Any group of persons belonging to the same association can form such an A of P. My client strongly suggest getting a separate society registered & elections to be held in a democratic manner thru secret ballots. Bank acc also has to be opened presumably in the society’s name which is the general practice in most of the states including Gujarat.
3. Thirdly before finalization of the maintenance amount lot of due diligence has to be done as to the operational expenses & all accounts for last 2 yrs from the builder should be made public. A Chartered Acc of necessary caliber & registered with ICAI has to first audit the same & suggest if the accs are in proper shape & derive the maintenance amount out of it in a logical mathematical manner. Rs. 1000/- as derived by the body is not acceptable unless you share the working for the same with one & all & publish the same publicly.
4. Fourthly the collection of Rs. 800/- as one time repair charges for GSPC gas pipeline is also an unexplained amount mathematically. Please clarify whether GSPC has given any working/calculations for the same? Who will account for this expense? Whether 3-4 work quotations are obtained and discussed internally on the best quote about the proposed repair work?
5. Fifth, the recovery of the maintenance amount of 24 lacs should be done at one stroke and any installment facility is not agreeable unless the return on investment is more than 18% i.e. builder should pay interest @18% for availing the installment facility.
6. Sixth, on my approaching the municipal authorities for the payment of property tax they have conveyed that since the builder is still to finish the registration formalities for the building property, the corporation is not in a position to raise the bill for property tax for the same & give the owner of the property a receipt for the same. Need clarification on the ownership papers here, as it hampers some financial dealing of my clients.
7. Last but not the least the articles of constitution(By laws/Peta Niyam) of the formation of the Sangath Silver Maintenance Society should be listed down first i.e How the formation of the society & the executive body will take place, they will operate under what legalized situation, they will be subject to what rules & regulations in office etc.
8. Apart from all this to maintain absolute transparency & camaraderie I suggest that all matters related to money be discussed only after full papers & audit reports are in and at least 25% of the members who understand such topics, by virtue of their qualification/experience certify the same.
It is hoped all senior members would appreciate the direct approach & transparent observations. All these practices are necessary towards fulfillment of a cheerful society. Unless all the above points are made clear my cients request not to put undue pressure on the payment of the sum as desired in the letter on any member. Still on my clients personal front and to show the intention is not to avoid payment my clients are attaching the cheque of the required amount strictly “UNDER PROTEST”. It is stated that all liabilities in accounts as of the loss would be of the committee and non compliance of process and or deviation against the interest of the society would be the liability of the said committee note of which be taken.
CC: To All members.