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With a view to ensure transparency in Societies seeking to undertake redevelopment projects, the Government of Maharashtra had issued a Circular bearing No. CHS 2007/CR554/14-C, Co-operation, Marketing and Textiles Department Date: 3rd January 2009 this contains a Directive under Section 79 (A) of Maharashtra Co-operative Societies Act 1960 for all the Co-operative Housing Societies in the State of Maharashtra regarding the Redevelopment of Buildings of Co-operative Housing Societies. These guidelines are applicable wherever the buildings of Co-operative Housing Societies in the State of Maharashtra are being redeveloped on a large scale.

It is implied that these guidelines are to be followed stringently before any step or idea of redevelopment is mooted by the Managing Committee amongst the members of the Society. In the following article, I have endeavoured to bring out certain vital but unnoticed areas of redevelopment aspects that have dejectedly escaped the attention of the Government while formulating these guidelines.

A new home in place of old is a dream that every resident member either tenanted or owner of the flat share. Wrecked buildings often on the threshold of collapse are a depressing reality for thousands of Housing Societies across Mumbai city and its suburbs. With structural strength already poorly affected and conditions deteriorating further with each passing day, week and month, sooner or later the stage arises when members start aggressively exploring the possibility of redevelopment as the only option for their properties rather than spending lakhs after cosmetic repairs and yet, the buildings remain as old as ever.

However, deciding and implementing a venture of changeover from an old dilapidated building to new and specious houses with stable structure is a Himalayan Task. With imperfect or ambiguous information creating friction among members with no knowledge and poor leadership of office bearers of the Societies lead to diffident situation at a later date or during the tenure of redevelopment project making it difficult to achieve the desired results.

The non-availability of conveyance from the old owners/Builders renders the Societies liable the entire process of redevelopment break down instantly. Identifying the right kind of Builder or Developer is another challenge. There are various reasons due to which the redevelopment of old buildings has become a common cause of serious concern for the thousands of Housing Societies across Mumbai. It is the calamitous need of the hour that those Societies standing on the threshold of redevelopment and want to ensure the successful completion of redevelopment task without any imperil; get genuine advice and educate themselves by the redevelopment experts and counsellors having both, the experience and expertise.

It is said that Co-operative Movement is a Socio-Economic and Moral Movement. It is to fulfil the Constitutional Goal of the community that it is encouraged by the Government. It is neither a profit making activity nor is it a device for building power politics. Its candid role cannot be forgotten or else it will lose its sanctity and reliability.

It should be ensured that any activity of redevelopment of Housing Society should not compromise the rights of members and must safeguard the existence of the Society. In case the dissenting members fail to abide by the resolutions passed at the meetings then it is not the Developer to use his power but the Managing Committee of the Society who has to initiate appropriate action against those dissenting members under the recourse of law.

In most of the redevelopment projects one world is always missing i.e. “Co-operation” by all members of the Society. Some members in minority disapprove the decision of redevelopment merely because they manage to survive as opposition. However, their opposition must be acknowledged if it is judiciously established that their disagreement to issue of redevelopment is due to non-transparency, criminal conspiracy, underhand dealings or undesired favouritism to the Developer by the Members of their Managing Committee, fraud or misrepresentation or due to some statutory prohibitions.

The rule of supremacy of majority in Society’s affairs should prevail in cases where proper process of redevelopment is followed up, emphasize is given to the cooperative nature of Society’s deal by discussing each and every aspect of redevelopment openly in General Body Meetings and considering the suggestions in its true spirit, transparency in negotiations with the Developer thereby maintaining an equivalence among members.

The Govt. Guidelines have clearly spelt the process of calling meeting for redevelopment and business of such meetings, process of selection of Developer, appointment of an authorized officer from Dy. Registrar’s office, deliberations on the terms of Development Agreement and so on. However, in light of various observations made, it is a matter of thought whether these Guidelines for redevelopment of Society buildings and its process need thorough reconsideration and revision by the Government.

There should be an absolute transparency and integrity from the Developer’s side in executing the Development agreement. In most of redevelopment projects, the Managing Committee passes the resolution in favour of a Developer and set out vital commercial terms of Development Agreement. The Managing Committee thereafter negotiates these terms with the Developer and signs the agreement on behalf of the Society. There are certain very crucial and imperative questions on the practice of incorporating these terms/clauses which silently, provide rights to the Developer in the property of the Society in the so called “Development Agreement”.

Very often, the clauses in the Development Agreement between the Society and the Builder/Developer are such that all rights of the Society in the land including the benefits attached to the same in the form of existing/future FSI etc. are surrendered to the Builder/Developer. Thus, the Society not only looses the existing structure and building completely but is divested of its right and title in the land itself. If all such arrangements are accepted at their face value, then, the existence of the Co-Operative Housing Society itself is threatened.

For example, in the Development Agreement, many times under the head of “Developer’s Area Entitlement” it is quoted that ‘save and except the flat areas agreed to be allotted to the members of the Society under this Development Agreement besides the Society’s areas and all additional premises/areas constructed, shall belong solely to the Developer including the increase in future FSI of the Society by virtue of its enhancement declared by the Government as a policy decision’.

Is it not giving away the “Rights in Property” rather than assigning only the “Development Rights”? Every Managing Committee needs to be prudent and cautious while negotiating the terms and principles that are governing the Development Agreement. The market practice of adding such clauses as giving away the absolute right and authority to consume future FSI in Development Agreement creates rights in the property itself in favour of Developer.

These are the deceptive trade tricks of the Developers to create their ownership rights over the property of the Society. The Managing Committee of every Society must ensure to protect the title of property which exclusively belongs to the Society and such wicked and manipulative clauses are not supposed to be entertained or contemplated while approving the draft of Development Agreement.

It must be remembered that in case of negotiating and agreeing to the terms of Development Agreement, the Developer has to act only as an agent of the Society, purchase TDR in Society’s name, obtain various permissions in Society’s name and enter into Society’s premises as a licensee for developing the property and lieu of these performances, he gets his profitable consideration by way of selling his designated portion in the redeveloped area proportionately available to him out of additional FSI.

The Developer’s assignment of redevelopment comes to an end the moment the Occupancy Certificate is issued by the competent authority and handed over to the Society. It is needless to mention that the Society always remains the owner of its entire property including the future enhancement in FSI.

It is very essential here to pronounce that the Government Guidelines issued vide its circular dated 3rd January, 2009 should have covered the aspects of TDR/FSI and other rights attached to the land and property of the Society. Going through the fine print of these guidelines indicate that several vital aspects are lost sight of and the rights of the members are not given serious consideration.

The Government directives do not deal with the aspect of TDR/FSI and other rights attached to the land and how they have to be dealt with. Therefore, in case the Society desires to assign the development rights in the property to the Developer by way of executing the Development Agreement then the nature of such rights should be adequately documented by the Government with a view not to allow the Developer s to encroach or establish their future claims in the property of any Society.

The Government guidelines should also emphasis strongly on the discussions are to be held at the General Body Meeting of the Society on all the agreed terms of Development Agreement between the Developer and Managing Committee as the present guidelines of the Government do not provide for approval of draft Development Agreement at General Body Meeting and hence in case Managing Committee innocently or without understanding its implications, creates such rights in Society’s property in favour of the Developer and then the entire Development Agreement becomes vulnerable to such clauses and is exposed to risks of ownership of Society’s property.

All the members of the Society must read the fine prints of the Development Agreement containing the vital terms and offer their thoughtful and solicitous comments and observations before getting the draft Development Agreement approved in the General Meeting as here is a question of handing over of their hard earned shelters to the Developer.

It is largely observed that the draft of Development Agreement is presented by the Developer to the Society, is always found “Developer Friendly Draft” which has to be restructured by the Society with in-depth study and ensure that all protections are available under the law and make it “Society Friendly Draft” to avoid any litigation at a later date.

Apart from maintaining the absolute transparency in Development Agreement, one of major impediments that contribute in redevelopment process is the allegation of discrimination among the members of the Society and underhand dealings including receiving illegal gratifications from the Developer s particularly by the Managing Committee. The allegations of underhand dealings if any should be probed thoroughly before execution of Development Agreement.

The conflict of supremacy of Society’s resolution and rule of majority v/s Individual interest in redevelopment may sometime be fatal. Merely because some members in minority disapprove of the decision cannot be the basis to negate the decision of the General Body. As per the present Government guidelines on redevelopment, the rule of supremacy of General body is unquestionable, yet the valid objections of minority should not be ruled out and there should be a mechanism where their objections are adequately and expeditiously resolved.

The issue of conflict between collective interest and individual interest should be clearly addressed in the Government guidelines as otherwise; the minority will always feel subjugated and dispirited in such redevelopment work and in all probability the pace of redevelopment will suffer.

The Government guidelines are silent over a crucial issue and that is in case the non-cooperating member does not vacate, the Society should be delegated with powers of getting the resolution passed against the non-cooperating member and expel him with at least ¾ majorities since getting the order against him for eviction through Cooperative Court is costly, tedious and time consuming.

The Developer cannot initiate process of evicting dissenting member under the shelter of Development Agreement as the agreement never establishes privity of contract with the individual member or a dissenting member and hence for getting peaceful possession of the Society’s property, the Society has to take appropriate action against the dissenting member. The Government guidelines do not provide any efficient mechanism to solve such hindrance and handover peaceful possession of Society’s property to Developer to carry out redevelopment.

At times, the perception of safety over vital issues affecting the redevelopment can itself be a key point of litigation by dissenting members. The penalty and termination clauses in a Development Agreement are not enough protection to Society members in case the construction does not proceed or for some reason is halted or stopped. Further, many times, a Development Agreement doesn’t provide for termination of the agreement since such clauses cause discomfort to a Developer and hence the only remedy left with the Society is to go for prolong litigation of termination of the agreement and/or wait for getting penalty for delay in handing over of new structure.

Under such circumstances, there is no certainty of getting the redeveloped houses within agreed time and the existence of the Society itself is in danger. The Government guidelines provide some more protections like time bound completion of redevelopment project, providing financial Bank Guarantee of 20% of the project cost and non transferability of the development rights etc.

Here, one more issue requires serious concern that as per the Government guidelines, if the Developer provides a financial Bank Guarantee of 20% of the project cost as security, what about the unsecured portion of remaining 80%? In case the Developer abandons the redevelopment project leaving the Housing Society high and dry, whether cashing of the financial Bank Guarantee of 20% of the project cost is sufficient to complete the project and re-house the existing members in new premises?

The Government guidelines are alarmingly deficient and lack in the matter of such lifetime security issue of individual member who surrenders his shelter to remain in main stream. The Housing Societies must ensure to demand financial Bank Guarantee of 100% of the construct cost of at least the total residential area to reconstruct the premises belong to their existing members.

Looking to the enormous need of redevelopment in the city, a regulatory body should be created to oversee effective execution of redevelopment projects and quick remedy of Society’s and member’s grievances. Further, the safety of Society in redevelopment process needs to be reconsidered in the Government guidelines.

To sum up, though the Government guidelines for redevelopment of Housing Societies has tried to thrust and maintain transparency by the Housing Societies in the process of redevelopment. However, apart from above mentioned issues raised, the following issues also need to be given due concern to incorporate in the revised guidelines as soon as possible to safe guard the corporate interest of Housing Societies for more efficient redevelopment:

a) After the finalization of draft tender form and in order to get competitive quotations from experienced, reputed and reliable Developers, the Society should publish an advertisement in at least three leading News Papers of the city and invite offers rather than Society’s members to be entitled to furnish information about the Developer known to them.

It is worth to mention here that in the name of redevelopment of old housing societies in Mumbai, the various authorities, in last few years have carpeted free ground to breed rampant corruption to benefit the private builders to sub serve their illegal and deceitful objectives to garner huge profit. This is most required of the Government to impede the members of Managing Committees to enjoy the sleep with the builders for few greens and thrust redevelopment idea on the innocent and gullible members.

The corrupt members of the Managing Committees also resort to arm twisting, harassment and threatening method to the flat owners into submission as per the builder’s orders. Scared by such hounding tactics, most society members accept and offer their consent towards the redevelopment of their society without any protest and prefer to go along with whatever the members of the whole Managing Committee decides.

It is well known fact that the illegal gratifications and lavish spending by a large cartel of unscrupulous Builders entice the members of the Managing Committees of Cooperative Societies and provoke them to turn against their own members of the Society in the matter of obtaining consent and force implementation of redevelopment.

b) Members should be allowed to cast their vote through one of their family member as proxy, since many of times they may not be able to remain present in the General Body meetings held to discuss important issues and pass the resolutions;

c) Formation of high profiled Credit Rating Agency consisting of Industry Experts exclusively under the control of Housing Ministry of Central Government for Registration and fixing the grades for the Developers since in redevelopment projects of Housing Societies and SRA projects, the existence of the Society itself is challenged and it may get trapped into the community of III tire Developers’ taller claims to bag the projects beyond their means and capacity;

d) Provide for mechanism for quick action and appointment of a new Developer in case of non performing Developer;

e) Provide for stern penalty measures including imprisonment and blacklisting of Developer in case he Developer fails to execute the project in time.

f) Suitable legal action to initiate and severe action against unauthorized constructions, selling of car parking basement area as commercial, violation of rules of DCR, MMRDA, MRTP and BMC.

It has been often noticed that during the process of redevelopment, the terms of Development Agreements as agreed upon, the unhealthy attempts with ulterior motives are made by the Developers to twist and grossly violate the rules of MRTP and DCR by unlawful planning and constructing additional/unauthorized areas that are beyond their entitlement (i.e. beyond the plot FSI and the TDR/FSI loaded) for their hidden financial gains. The buyers of such unlawful flats/properties land themselves in deals that lead to litigation at a later date.

The ill- observance of MRTP/MCGM/DCR rules and guidelines are overlooked by the sympathetic officials of the MCGM and the plans so submitted, are sanctioned without verifying the eligibility or its conformity with the Development Agreements.

The Projects are completed and the Occupancy Certificates are issued without the proper inspection neither carried out by the MCGM officials nor taking pains to verify whether the actual measurement of the constructed areas tally with the final plans submitted.

It is further noticed that upon the completion of the projects, these additional/unauthorized constructions are silently regularized at the last moment by executing the Supplemental Agreements with the Office Bearers of the Societies with green handshakes/offering them handsome rewards.

g) Provision for providing financial Bank Guarantee of 100% of the total construction cost of total project cost/cost of construction for residential FSI to re-house the existing members.

h) Clarification on the applicability of Government guidelines wholly or partly in cases where a Society has only passed a resolution for appointment of Developer prior to the implementation of guidelines i.e. 3rd January 2009 and further steps are pending for ongoing negotiation of commercial terms between the Housing Society and the Developer.

I, Dilip Shah, am the author of this article and an experienced Senior Counsellor and Analyst for Redevelopment of Housing Societies since last many years with in-depth study of integral techniques with exclusively skilled in the various areas of Societies Laws and Redevelopment of Housing Societies.

There are several instances of incomplete or misleading information prevailing among the Housing Societies and flat owners as well that are planning for redevelopment. Controversial court judgments add to the confusion and such Housing Societies get stuck at some point due to lack of information, knowledge, contact with right kind of counsellors, analysts, advisors etc. Many societies do not have conveyance and hence, the entire process can break down in an instant.

The Resident Members/Managing Committee Members of Housing Societies benefit my counselling and my full fledged Project management consultant to the fullest extent possible and gain valuable insights about the integral technicalities of various laws applicable to the redevelopment.

I hold direct interaction with the Resident Members/Managing Committee Members on the various parameters that are involved in Redevelopment of Housing Societies and solve most of their problems/provide adequate direction to represent their cases to various Authorities. At present, I have around 60 to 70 Housing Societies on my schedule who avail my services at a point of need.

I am well adept in Laws governing the Redevelopment of Housing Societies and distinctly experienced in studying and analyzing the entire text of Drafts of Development Agreement, Power of Attorney, Tender Document, Bank Guarantee and Individual Agreement to be executed with each member of the Society generally provided by the Developers/Builders to the Housing Society which are “Builder Friendly”. These drafts after thoroughly scanned and scrutinized by us and the gray areas are exposed and converted in to “Society Friendly” drafts.

I have published numerous articles on Internet for the benefit of Housing Societies in Mumbai. Please educate yourself and caution your friendly neighbors to be vigilant from Irregularities and illegalities in Redevelopment by the Builders, Illegal gratifications showered by Builders on corrupt members of Managing Committees, Rampant Corruption in BMC, Flagrant violation of Rules and Regulations by the Builders, how to beware of Cheat and Fraud Builders and their criminal and felonious acts.

1. Planning for redevelopment? Read this……Guidelines on Redevelopment

of Housing Projects in Mumbai

2. Format of Indemnity Bond in Form M-20

3. Letter of Consent for Redevelopment of Housing Societies

4. Mismanagement by Managing Committees

5. Section 101 of Maharashtra co-op. Societies act 1960 for recovery of

dues from defaulting members

6. Unhealthy and Unlawful practice by certain Developers in

Redevelopment of Housing Projects in Mumbai

7. Importance of Indemnity Bond in Form M-20 for Managing Committees

8. Code of Conducts for Developers: Redevelopment of Housing Societies

and old Buildings in Mumbai

9. Long Live Corruption in Redevelopment of Housing Societies in Mumbai

10. Guidelines for Selection of a good Builder

11. Busting of Redevelopment Projects of Housing Societies

12. Redevelopment of Housing Societies: Cessed Buildings in South

Mumbai: Bonanza of FSI of 3.0 etc

13. Code of Conduct for Builders Developers

14. Compensation to be paid by the Builder for delayed possession of flat

15. Corruption in Redevelopment

16. Redevelopment and corrupt Managing Committee Members

17. Redevelopment of Housing Societies and Sand Shortage

18. Redevelopment of Housing Societies: are Govt. Guidelines really

persuasive and convincing?

19. Faults, Facts and Fundamentals about Redevelopment of Housing


20. Redevelopment of Housing Societies.....what is Redevelopment that

every Society wants to know?

21. Article series in Redevelopment of Housing Societies - Procedures for

recording the minutes of various Meetings

22. Are your flats delivered in time?

Dilip Shah

Senior Counselor and Analyst for Redevelopment of Housing Societies

9819825752, 32411533

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Like +0 Object -0 BHARAT .C. BHEDA 29 Jan 12, 11:55
9819250510 9619680407 9920525051
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Like +0 Object -0 Crusader 11 Mar 12, 23:59
Dear Sir, in our almost 60 years old society most of the members are agreeable for redevelopment. However the secretary of the managing committee is against it for the reason only known to him. The other members of the managing committee do not have courage to oppose or persuade him. As all the members of society are aged, they do not know how to move forward. This secretary does not allow this item of “redevelopment of society “to come on agenda and hence does not allow discussion on it in AGM. He also tells that without approval from him and the managing committee he will not recognise any subcommittee working for the redevelopment of the society. He keeps on collecting funds for repair of the society. These repairs make only cosmetic changes in the society but he succeeds in pushing the issue of redevelopments by 2-3 years. He also threatens to resign and the aged members feel helpless as they cannot take the burden of running the society due to their advance age. In such case is there any legal way to bring this item of redevelopment on agenda without any friction with this secretary. I hear that a proposal of redevelopment can be submitted with signature of 25% of members. Is this correct? If yes, Could you help us with the contents of the draft for such proposal and any rule or society act to justify this fact? We will need to convince him to accept this proposal. Thanks in advance and regards, crusader
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Like +0 Object -0 Sadanand Bhisaji Mestry @ Panchal 04 Dec 12, 23:20
Respected Sir,
I have read your above Article and satisfied myself. I and occupants in my area plot are suffering illegal activities of the Developer and a Co-operative Housing Society registered with fake members. Old building of the society was originally constructed illegally on agricultural land without N.A. user. Thereafter the society executed redevelopment Agreement with developer and executed Power of Attorney. I found an order of Hon'ble High Court which obtained by filing and fraudulent representation without Power of Attorney by the Society. The order deprived our Chawl occupants to redevelop in future. TDR also utilised over newly constructed building and our patra chawl remained alone in private agricultural land. I request you to help me and inform me how to solve the problem. I am alone fighting no occupant backing me because of fear from the developers high handed action. Please help me and advice me.
Sadanand B. Panchal
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Like +0 Object -0 s r chari 19 Jul 13, 09:08
I would like to know the legality of Associate Members being on the Managing committee, especially when re-development projects are taken up. What is the law of the land with regards to Associate Members
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Like +0 Object -0 Amit Dhoot 17 Oct 13, 12:56
Hello there,
our society is under the redevlopment process since more than 7 years now and since last 22 months we are out of our house as society committee assured us that the redevlopment would start, at that moment and time the agreements were signed in the pressure of committee (which has not been supportive and logical) and the rent was recieved due to which we vacated the house then the builder was not capable of getting the required documentation from Government authorities, later on suddenly one day society committee decided that the builder is not capable of doing things and we should remove him from the contract which was strange to hear from them as they praised the builder at the time of getting into the contract as there is no other good builder in the market and assured us that even though currently he does not have all the documents but he would get it and work would start and complete in the mentioned period but everything went wrong and one day the builder was sent termination notice. Now the current situation is into mess as society committee has now involved local political people and through these poloitical peoples relation they have appointed another builder to redevelop our society, they new builder is paying us the rent and has said that they would pay off the claims of the old builder but the agreement between the two builders does not seem to be happening and I feel scared as to what can be done further to save my fathers hard earned home and since we have surrendered the keys of our house to the society committee what should we do to take back the keys and come back to our own house. Now the rent paid to us has also utilised and the period of rent paid has been completed. Since the building is still there and people who opposed the redevlopment due to issues/criticality forscene are stayin there. Appreciate your guidance as to how we can take back our home keys and there would be no obligation on us as now we do not want the further rent but just our house and we are not happy with the redevlopment and would like to have a better builder and systematic approach to the redevlopment scheme.

FYI - our building is Bhudargarh CHS, near RTO office, $ Bungalows, Andheri (W), Mumbai - 400053.

Many Thanks & Regards,
Amit Dhoot
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Like +0 Object -0 A. Chandrashekhar 04 Nov 13, 12:17
I am already known to you as ex staff of Dena Bank. In our Society, a secret Spl AGM was conducted by the Secretary, Treasurer and two
other committee members on 30.3.2013 in a hurry. In that meeting, without giving
proper notice to the Chairman, these members tendered their resignations stating
that the Chairman is hampering the working of the society and therefore the
committee should be reconstituted and in the meeting a resolution was passed with
a majority that except the Chairman, all other members reelect themselves, one of
the former committee member is declared the Chairman and one more person who is
not a bonafide member of the society is declared to be elected as committee

The obvious reason for doing so by the Secretary is to control and hold exclusive
discussion with the developer for personal benefits.

The outsted Chairman has filed complaints, RTI application,and various reminders
in the last 6 months and no action has been taken except sending letter asking for
comments from the Secretary.

The Secretary refuses and returns all correspondence including Registered AD
letters stating that you are no more the Chairman.

Kindly guide me and suggest suitable legal steps for redressal of my
grievances.Please suggest some expert legal advisor for taking quick steps in the
matter before a legal agreement is signed by the developer and the illegally
elected (reconstituted) Chairman, Secretary etc. I am given to understand that
there was a spl GM without notice to me conducted in which draft development
agreement has been approved/finalised by the illegal office bearers with the
developer. How can I challenge the illegal actions of the office bearers and the

If necessary I can visit your office today or tomorrow for a discussion.

With warm regards & DIWALI GREEETINGS
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Like +0 Object -0 SM ALI 18 Feb 14, 19:12
Dear Sir,
I became a member of a group housing society in UP last year. The building was under construction till 6 months back. Now it has been decided by majority of the society members to hand over the construction work to a builder ( a kind of outsourcing) after making agreement between member and builder. Our problem is that some of the members have taken home loan from a nationalized bank and made tripartite agreement between member, housing society and bank and payment being made in favor of the housing society. Now as per new agreement payment is to be made in favor of the builder. In this condition the bank doesn't agree to pay to the builder . we are now told by the builder that society plan and builder plan both can coexist in such situation . Is it possible to coexist both the plan in a housing project ? Kindly guide us. Thanks
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Like +0 Object -0 A CHANDRASHEKHAR 21 Feb 14, 22:50
You will need NOC from the bank for opting out of the loan agreement and terms of sanction.
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Like +0 Object -0 Suresh Kumar SOlanki 20 May 14, 21:13
Can a person purchase a flat in the redevelopment society during its process of redevelopment @ 95% completion stage from the existing member of the society.
Can members / purchaser occupy the premises withour getting OC by the developer. ???
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Like +0 Object -0 V.Subramanian 20 Aug 14, 12:42
Dear Sir, What happens to the Fixed Deposits of the co-op hsg society, both free and those kept in lien for Sinking Fund? Should we insist that the new members bring in their share of these funds post redevelopment or should the builder contribute proportionately for his sale portion?
Should the society hold the AGMs during the redevelopment of the buildings?
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Like +0 Object -0 Ali Merchant 09 Nov 14, 20:41
Hello Sir,

I have an apartment 1BHK and 2bkh in Mumbai, Andheri in the same society. Our Society with 140 apartments has gone into redevelopment scheme where the assigned committee members brought a builder for a redevelopment of our society as our society is more than 30 yrs old.

Builder promise us to give 2BKH & 3bkh for redevelopment and things go normal in the start.

We all society people left the building and some of them even broke their windows and doors for selling.

Builder kept dinner party for all the members in the society and he paid 15000 and 18000 rent respectively till 4 years to 140 apartment. But now from 6 to 8 months he stop giving rent and he said he got bankrupt and cannot proceed to the redevelopment.

The dispute before the non-payment of rent from the builder was 2 of the member from the society was not in the interest of the redevelopment and they filed a law suit against the builder and society committee members.

So, many meetings between builder and society, AGM, SGM etc but no one resolve the problem.

Now, the society members are going back into the society and the committee members ask 25000 from each apartment for repair and maintenance.


Please advise me some way out from all this. Many thanks in advance.

Kind Regards,

Ali Merchant
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Like +0 Object -0 S G POLEKAR 04 Mar 15, 16:38
Dear sir
Your articles are on redevelopment of society buildings. But there are no guidelines on redevelopment of old/dilapidated CIDCO buildings under M A O Act 1971 where unanimous consent as against 70% in Society is required. Many apartment owners Associations have entered into development agreement on the basis of 70% majority rule with the unholy nexus of corrupt committee members, developers and contractors. Pl let me know where the Govt guidelines on redevelopment of society buildings will be of some help with unanimous consent. Pl give court cases references.
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Like +0 Object -0 laxman s nagvekar 17 Jul 15, 12:40
re dav ma sabhi ko same karpat mil ta hay. beco sabi ka shar same hay.plees advi me thanku
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Like +0 Object -0 rhea 09 Sep 15, 07:09
Hi my society is on two plots of land freehold not subdivided. On one plot I have constructed bldg and formed society. Other plot also bldg was constructed to rehabitat the old tenants.That land and bldg I have given on lease of 999yrs to my group Co. Now I have to convey the land and bldg as both plots subdivision is not possible can I convey land plus bldg to society of nwe purchasers subject to lease of that other plot. Pls advicE way out.
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Like +0 Object -0 vijay Dharma Barve 30 Sep 15, 12:30
what is the procedures redevelopment of Society members and developet between the Agreement
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Like +0 Object -0 Ravi Pai 08 Nov 15, 22:59
Dear Sir,
Our Society held an SGM on 19th April 2015 for the consent of redevelopment from members which was unanimously passed by majority of the members present to go for redevelopment. Subsequently appointment of a PMC was also done on the same date with majority of the members opting for a particular PMC. But the then secretary of our society went to the PMC's office later on his individual capacity and started renegotiating the fees with them in spite of the fees approved by general body,which was not accepted by the PMC and hence the appointment was not issued to them within 15 days as per rules of 79A guidelines. Neither the appointment letter is issued to the PMC as of today.
On Sept 2015 the old committee term was over and now a new MC is formed and a new secretary is appointed. Now this new committee is again talking to other PMC's also which were not even shortlisted by the earlier MC in spite of most of the members raising objections as to why new PMC are being entertained and why appointment letter to the earlier PMC not given. Now it is more than 6 months that appointment letter is still not issued to the PMC.
I wish to know is this allowed as per 79A guidelines, since the earlier secretary did not issue an appointment letter to the PMC within 15 days who was unanimously chosen by the General Body.Does the new MC have to again go with the overall process of taking consent from all members for redevelopment and subsequently selection of new PMC calling an SGM. Is the 15 days deadline of issuing appointment letter to the PMC now null and void.
Now about 25 members ie more than 1/4th of the society members are thinking of withdrawing their consent of redevelopment since they feel that some mischief was played by the earlier secretary which is now followed by this present committee and secretary as well. Please advise a way out.
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Like +0 Object -0 Murugan 26 Nov 15, 17:42
Hello sir,
i am living in a chawl room with carpet area of 260 sq ft. 1+1 which equals to area 500sq ft. Many other tenants have less than 200sq ft. Now our society is formed and they are planning for SRA redevelopment with private builder. under redevelopment we will be provided only 270sq ft carpet area. we have joint family with 8 members living comfortably in the chawl room 1+1. 90% most of the tenants have less space area and they have agreed for SRA redevelopment. Builder is not agreeing to provide more space or two flats for us. With a family of 8 members we wont be able to live with 270sq ft area. Is there any way that we can legally file case against builder to provided more space or two flats.
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Like +0 Object -0 jitendra jog 13 Jan 16, 19:51
Sir Our society may need your assistance - would like to have a personal meeting and explore the opportunity
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Like +0 Object -0 Nanda R.Shiravale 16 Mar 16, 14:10
Ours is Mhada building which is gone in redevelopment in 2009 and developer made the conveyance of the building and assured that he will complete the project within 18 months.till date he has not done anythings giving reason of mhada policies changes/ruels changes and now he also stop paying rent saying that now in market flats are not selling and market is down so you have to wait and also on layout of mhada there are 2 slums encroached since so many years near our building when devdeloper came that time he agreed to remove them and he will do the needful everything and now he is saying you have to give us N.O.C.for removing them. And till you are not doing so we can not do anythings. Can he do like this. We are middle class people how long we can wait and what action can be taken at this stage. He done the same thing with our neighbourhood building. He was done agreement with them before 1 1/2 year of us.
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Like +0 Object -0 gkkapoor 20 Mar 16, 23:40
I have entered into an agreement with a society for a flat in 2000 and paid 70% of the amount as per the agreement registered. Thereafter the construction stopped after 10 floors. My flat is on the 12th floor and is not constructed as yet.
Meanwhile the society is planning to go for edevelopm. As my agreement with the society is registered please inform
1. Whether I am eligible for the additional area on redevelopment?
2.. whether I am eligible for rent during the redevelopment period.
3. In fact the society wants me to take an area equivalent to the payment made by me so far which I feel is unfair as I have not faulted on the payments. There was no further construction and hence no further demand.
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Like +0 Object -0 Ashok.G 06 Apr 16, 14:41
Hello Sir,
We have two closed garages in our society.We have given the garages on lease.Now the society is going for re-development and he is giving us basement garages.Those garages will be for car parking and the income from those basement garages will be stopped as no client will take those garages on lease.What should we do? Please help us sir.
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Like +0 Object -0 Guest 24 Mar 17, 16:41
what should be the building age for redevlopment progress
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