Some of the important questions of fact and law are as under:
 

Q.1	Object & purpose of New Model Bye-Law. What is the definition of Bye-law?
Q.2	Is there similarity between Bye-laws under the co-operative Societies Act and Articles of Association under Companies Law?
Q.3	What are the major amendments or changes in the New Bye-law which came into force on 15th August 2001?
Q.4	What is the procedure for amending the bye-laws of co-operative Society?
Q.5	Whether it is mandatory for the Co-operative Housing Society to adopt amended bye-laws? Can the Registrar of Co-operative Societies force the Society to accept the new bye laws?
Q.6	What are the powers conferred upon the registrar of the Co-operative Societies?
Q.7	What are consequences if the new bye-laws are not accepted?
Q.8	What kind complaints can be lodged before the Registrar of Co-operative Societies ?
Q.9	What kind of Complaints can be filed before Co-operative Court?
Q.10	What kind of complaints can be filed before Bombay City Civil Court?
Q.11	What kind of complaints can be filed before Municipal Corporation and other Local Authority?
Q.12	What kind of complaints can be filed before Inspector of Police?
Q.13	What kind of complaints can be filed before General Body of society?
Q.14	What kind of complaints can be filed before Federation of Co-op. Societies?

 

Q.1.	Object & purpose of New Model Bye-Law. What is the definition of Bye-law?
Ans.	Bye-laws are the rules and regulations for running the business and management of the Society. Bye-law has been defined in sub section (5) of Section 2 of the Maharashtra Co-operative Societies Act, 1960 bye-law means bye-laws registered under this Act and for the time being in force and includes registered amendments of such bye-laws. Though there are model bye-laws every housing society may have modifications or changes according to their needs, objectives however, these bye-laws should not be inconsistent or contrary to the provisions of Maharashtra Co-operative Societies Act, 1960 and rules there under. Top
Q.2.	Is there similarity between Bye-laws under the co-operative Societies Act and Articles of Association under Companies Law?
Ans.	Bye-laws are to a co-operative society what articles of Association is to a Joint-Stock Company or what rules and regulations are to society registered under the Societies Registration Act, 1980. Bye-laws include the objects of the Society and completely define and restrict the society's activities. But the rights and liabilities of members are determined by the Act and Rules and not by the bye-laws as such. Bye-laws must be construed in manner so as to reflect intention of its framers as also to make them effective and workable – (Wasudeo Gulabrao Deshmukh Vs. State of Maharashtra - 1995(2) Mah. L J 160). Top
Q.3.	What are the major amendments or changes in the New Bye-law which came into force on 15th August 2001?
Ans.	Some of the important changes are made in respect of the bye laws are as under : The Chief Promoter is newly defined {3 (iii)} it states that the Chief Promoter means person who is elected by the promoter in the first meeting or subsequent meeting etc. Definition of flat is enlarged. New Definition includes Coaching Class, Palna Ghar, Beauty Parlor etc. {3 (vi)} Definition of parking space is retained as it is but additional bye-law No.78  (a) and (b) has been added which refers to purchase of parking space/stilt which has resulted in controversy. Different meaning is given to the Promoter, Promoter means a person who signed the application for the Registration of the Society.  New definition is given to the Builder & Promoter this two words are joined together. In original bye-laws there was no word builder. Definition of Major Repairs Funds is expanded Definition of member of the Family has been widened and includes married daughter, son-in-law, brother-in-law, grand son and other relatives Mode of raising funds of the society is changed. The donations from transferor and transferee have been excluded. Sinking fund amount can be spent for major repairs with prior permission of registration authority.  Bye-Laws No. 14 C Eligibility for membership which was restricted of not having house for him or his family in the area of operation of the society has been removed. {17(a)} Rights of joint members would be recognized  (Bye-Laws 30) The admission of a person to society's membership subject to collectors approval is also required now in case of CIDCO & MHADA  The procedure for nomination by a member and its revocation is modified. The acknowledgement of nomination by the Secretary shall deemed to be the acceptance of nomination by the secretary. The acknowledgement of variation in nomination / subsequent nomination by the Secretary shall deemed to be the cancellation of earlier nomination. {32} Transfer of Share and Interest of the deceased member in the capital/property of the society to the nominee recognizes the ownership right of a person purchasing the flat jointly with first member and admitted in the society as an associated member. According to the New bye-law in the event of death of the member, nominee/nominees shall submit the application for membership within 6 months from the death of a member. {34}  New Bye-Law states that the transferor or transferee shall Submit additional documents to make the compliance. Stamp Duty paid agreement Payment of transfer fee is Rs.500/- and Entrance fee is Rs.100/- Payment of amount of premium fixed by the General Body Meeting but within the limits as prescribed under the circular issued by the Department of Co-operation, Government of Maharashtra from time to time and other requirements mentioned in Bye-Law No.38(c). The Circumstances under which a person ceases to be a member of the society has been added by including clause (vi) and (vii). Clause (vi) states that if the where about of the member are not known for continuing seven years and if his shares and interest of a member in the property/capital of the society is not claimed by anybody else. Clause (vii) states that on cessation of right/title and interest of a member in the property of the society, by way of legal attachment or sale.  Restriction on holding more than one flat is removed subject to certain provisions of section 6 of the Act The expenses of repairs and maintenance charges will be on the basis of construction cost of each flat. {70} No new member is permitted to contest election if he has not completed two years from the date of enrollment as a member (see Rule 3 of election rules) Period of office of the Committee {116 A} In matter related to No Confidence Motion the meeting has to be presided by an Officer of the Co-operative Department not below the rank of Assistant Registrar. (Bye-Law No. 126 (b) Transfer of flats {bye-law No. 38(d)}  Structural Audit, Alterations and Repairs { bye law No.77}  Increase in entrance fees {bye law No.19B} Structure Audit Register to be maintained wherever applicable. (Bye –Law No. 143 (xx). Limit for making payments by Accounts Payee cheques increase as under (Bye-Laws No. 146) as follows:  Upto 20 members     Rs. 1,500/- 21 to 50 members    Rs. 3,000/- Above 50 members    Rs.  4,500/-  Limit for sanction of Managing Committee for repairs and maintenance linked to number of members.  For expenses above the said limit permission of General Body is required (Bye- Law No. 158 (a). The Committee shall be competent to incure expenditure on the repairs and maintenance of the society's property, if the one time expenditure does not exceed: Upto 25 members    Rs.  25, 000/- 26 to 50 members    Rs.  50,000/- 51 and above     upto Rs. 1, 00, 000/-  Special provisions for redressal of complaints {173} (There are many other important changes, which could not be included  for want of time and space). Top
Q.4.	What is the procedure for amending the bye-laws of co-operative Society?
Ans.	There are two important sections referring to the amendment of the bye-laws i.e. Section 13 and Section 14. Section 13 refers to the amendment of the bye-laws of the society and section 14 refers to power of the Registrar to direct amendment of bye-laws. Rule 12 prescribes the procedure for the amendment of bye-law. Top
Q.5.	Whether it is mandatory for the Co-operative Housing Society to adopt amended bye-laws? Can the Registrar of Co-operative Societies force the Society to accept the new bye laws?
Ans.	It must be noted that the Model Bye-laws are prepared on the basis of representation made by various members of Co-operative Societies or by Societies themselves by and large this model bye-laws are in the interest of the members of co-operative societies and development of co-operative movement. There are certain bye-laws such as open membership arising out of Section 30 of Maharashtra Co-op. Act and Rule No…. are supposed to be mandatory. According to the notification issued by the Government this bye-laws are required to be accepted before 31st October 2001. The Registrar can force the Society to accept the new bye-laws if he is satisfied that it is in interest of the members of Society. Top
Q.6.	What are the powers conferred upon the registrar of the Co-operative Societies?
Ans.	The Registrar under Co-op. Societies Act exercises the Judicial, Executive and Legislative Powers & Duties Some powers are mentioned below. a) To register a society and its bye-laws (S.9) and to direct their amendments (S.14) and to issue certificate of registration (S.10) b) To register or refuse to register amendment of bye-laws (S.13) and to direct amendment of bye-laws (S.14) c) To approve change of name of a society (S.15) d) To approve change of the liability of a society (S.16) e) To approve amalgamation, transfer division or conversion of societies (S.17) f) To direct amalgamation or reorganization of societies (S.18) g) To order cancellation of registration of a society (S.21) h) To approve resolution of expulsion of a member or sanction his re-admission (S.35) i) To call special general meeting of any society or to authorize any person to call such meetings (S.76) j) To remove the Managing Committee and to appoint another Managing Committee or administrator to remove member and appoint another (S.78) k) To enforce performance of obligation by an officer (S.79) and to inflict fine on such officer for his failure to comply with the provisions of this Act {S.79 (2)} l) To audit or cause to be audited the accounts of every society in every year (S.81) and to direct the society to remedy the defects disclosed in audit. (S.82) m) To inquire or order inquiry into the constitution, working and financial condition of a society (S.83) n) For other rights see Point No.28 to 49 Top
Q.7.	What are consequences if the new bye-laws are not accepted?
Ans.	Under the new bye-laws various amendment are made in the interest of the members of the society e.g. definition of the flat members of the family is very much widened, the provision for increase in transfer fees is made: special provisions are made for lodging complains before the co-operative society, before co-operative court, before Bombay city civil court, or other civil court, before municipal court, or other local authority, before inspector of police and federation of co-operative societies. If the new bye-laws are not adopted, the members would not get the benefit of new bye-laws. Top
Q.8.	What kind complaints can be lodged before the Registrar of Co-operative Societies ?
Ans.	Complaints that can be filed before registrar of co-operative societies :-  a) Registration of Society on Misrepresentation,  b) Non-issuance of the Share Certificates  c) Refusal of Membership  d) Non Registration of Nomination by the Society  e) Non Occupancy Charges  f) Demand of excess premium for transfers  g) Non supply of the copies of record and documents  h) Tampering, suppression & destruction of the records of the society i) Non acceptance of the cheques or any other correspondence by the committee j) Non maintenance or incomplete maintenance of records and book of the society k) Non preparation of the annual accounts/reports, within the prescribed period l) Misappropriation/Misapplication of the funds of the society m) Defaulter/Disqualified member on the committee n) Investment of funds without prior permission o) Reconciliation of Accounts p) Audit q) Non conducting of election before expiry of the term of the committee r) Rejection of Nomination s) Non calling of General Body meetings within prescribed period t) Non calling of Managing Committee meetings as prescribed in Bye-laws u) Resignation by the Committee v) Any other like matters which fall within the jurisdiction of the Registrar. Top
Q.9.	What kind of Complaints can be filed before Co-operative Court?
Ans.	Following are the Kinds Of complaints to be filed:- a) Resolutions of the Managing Committee and General Body; b) The elections of the Managing Committee, except the Rejection of Nominations, as provided under Section 152-A of the Act; c) Repairs including major repairs, internal repairs, leakages. d) Parking, e) Allotment of Flats / Plots; f) Escalation of construction cost; g) Appointment of Developer / Contractor, Architect h) Unequal water supply; i) Excess recovery of dues from the members; j) Any other, like disputes which fall within the jurisdiction of the Co-operative Court. Top
Q.10.	What kind of complaints can be filed before Bombay City Civil Court?
Ans.	Following are the Kind of Complaints to be filled:- a) Non-compliance of the terms and conditions of the Agreement, by and between the builder / developer; b) Substandard constructions; c) Conveyance d) Escalation of construction cost; e) Any other, like disputes which fall within jurisdiction of the Civil Court. Top
Q.11.	What kind of complaints can be filed before Municipal Corporation and other Local Authority?
Ans.	Following are the complaints that can be filed:- a) Unauthorized constructions/additions/alterations, made by the builder/member/occupant of the flat; b) Inadequate water supply to the society; c) Change of use by the member/occupants d) Building's structural problems e) Any other matters which fall within jurisdiction of the Corporation and local authority. Top
Q.12.	What kind of complaints can be filed before Inspector of Police?
Ans:	Following are the kinds of complaints to be filed:- a) Nuisance carried by the unauthorized use of the flats / shop / parking space / open space in the society, by the members, builder, occupants or any other persons; b) Threatening / Assault by or to the members of the Society c) Any other like matters which fall within jurisdiction of the Police. Top
Q.13.	What kind of complaints can be filed before General Body of society?
Ans.	Following are the kinds of complaints to be filed:- a) Non-maintenance of the property of the society by the managing committee; b) Non-display of Board of the name of the Society; c) Levy of excess Fine by the managing committee for act of the member, which is in violation of the bye-laws. d) Not allowing the authenticated use of the available open spaces of the society, by the managing committee. e) Non insuring the property of the society by the managing committee; f) Appointment of Architect; g) All other like matters which fall within jurisdiction of the General Body. Top
Q.14.	What kind of complaints can be filed before Federation of Co-op. Societies?
Ans.	Following are the kinds of complaints to be filed:- a) Non allowing of the entry of the secretary of the society, by the member; b) Non acceptance of any communication by the member / managing committee; Convening Special General Meeting provided under the Bye-law No.97 and Managing Committee meeting provided under Bye law No.133. c) All other like matters. Top

 NOTE : Those who have any suggestion to make should inform Mr.Prabhakar Churi of the Federation of Housing Societies or Mr.Mahabaleshwar N. Morje, the secretary of the Flat Owners Association at 3rd flr, 23, Ambalal Doshi Marg, Fort, Mumbai-23. Tel.2657291/2650284

(MAHABALESHWAR MORJE)
Gen. Secretary.