Legal Question in Real Estate Law in India

Respected Sir

At the AGM of our society in Mumbai held on 4-8-13 it was decided to collect Rs.50/- per month for celebrating annual day every year and this fund will be credited to welfare fund account.

. I understand that such charges (for celebrating annual day) cannot be included in the monthly bill even though resolution is passed at the AGM of the society.

In my opinion Such expenses should be met through voluntary contribution i.e payable by interested participant members. Why the non interested members be forced to pay the above charges

In response to my query our society has informed that they have collected above charges under Bye law No.69(a) (xiv) which covers �Any other charges as may be decided by the general body of the society at its meeting�.

Kindly advise if stand taken by the society is in order. And can such expenses be collected from non interested members

Is there any ruling/circular /Notification in connection with the above charges .

Thanking you and Awaiting to hear from you


Asked on 3/15/14, 6:20 am

1 Answer from Attorneys
Fca Prashant Chavan Expert Edge LLP

23.03.2014

Dear Sir / Madam,

The decision of the General Body may be subsequently vetoed by a simple majority of members signing against the collection of the charges for Annual Day celebration. A representation may also be made to the Dy. Registrar of Co-operative Housing Societies to restrain the Society from such fixed collection should members "feel the pinch" of such collection. Yes, you are right. Most Societies in Mumbai involuntarily collect just Rs. 200/- to Rs. 300/- from each member towards Annual Day Celebrations, a fortnight or a month prior to the Annual Day Celebrations; so the amount of Rs. 600/- per member just for Annual Day celebrations being compulsorily collected by your Society, is certainly on the higher side. Unfortunately, till date, to the best of my knowledge, there is no ruling/circular.Notification in connection with the Annual Day Celebration charges.

Regards,

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Answered on 3/23/14, 7:09 am


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