Blatant misuse of Housing Cooperative Act

Harishkumaran Pillai

One of the members of our co-operative society had approached society to allow him verify books of accounts as permitted by MCS act. He complained to registrar and matter was put up before an adalat. The dy. Registrar who attended adalat verbally advised secretary (at that time he was already resigned from his post) to show the books of accounts . But later the Secretary  refused as there was not written order from the dy. Registrar.

In our AGM members had rejected the balance sheet of previous co-operative year due to mistakes. A new secretary was elected . There after the said member got a legal notice from advocate asking him to pay some penal amount for exercising his fundamental right as permitted by MCS act.

Sir they threatened him that if he does not pay they will charge it in the maintenance bill. The advocate claimed that he was appointed by chairman and secretary. But this appointment was neither discussed in the managing committee nor in AGM.

My doubt is as follows:

1.Can a chairman and secretary appoint an advocate and send a legal notice to a bonafide member who approached the society to exercise his fundamental right as permitted by MCS act.

2. Didn’t it require the permission of AGM at least the matter must be discussed in managing committee?

3What action one can take against chairman and secretary for such an act?

I C Naik

This is one more example of the High Handed conduct of the Office bearers. Now that Committees can not be dismissed by the Dy Registrar, such instances will be on the rise.

You have to have two-pronged approach.

One is to muster support of other members at least up to 1/5 of the strength i.e. minimum required to requisition a general body meeting.
Simultaneously do not pay any amount higher than normal maintenance.

Do not reply to the advocate. But submit a letter to the society to explain the reason for the amount charged in the Bill if at all charged. For excessive charges you can raise the issue in the general body meeting and you can succeed if you have gathered support of other members. In any case do not pay the amounts as the Society can do nothing to recover illegal demands.

Society will have to satisfy the registrar if they want the Registrar to compel you to pay these illegal Charges. In other matters as to action against Chairman you can think about it only after you have a support of members to requisition the general body meeting.

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