Query of Anil Agrawal

I read with interest your article on associate membership and the order of K East Ward.

My understanding is that It has been generally found that many members in a CHS get the name of their spouse or children included as ASSOCIATE MEMBER by making an application as per Appendix 5 under new model bye laws of 1913 under bye law No.19(b) by paying Rs.100 as admission fee thereby creating a situation whereby simply because the name of the spouse or children is shown in the share certificate, they are treated as bonafide members entitled to vote at AGM, SGM, contest election to the Managing Committee and also become office bearers. The lacuna is compounded by obtaining a NOC from the actual owner of the flat as per Appendix 10A under bye law No.117(d). 6. Under the misapprehension while the CHSs have been freely including the names of spouse and children in the Share Certificate and allowing them to contest  election and become office bearers, the situation was further compounded when the the statement referred to by you issued by Shrikrushna Wadekar, assistant state cooperative election commissioner was published.

It is well established that only those members can contest election and become office bearers who jointly purchased the flat and whose names are registered in the sale / purchase agreement and becoming an Associate Member by paying Rs100 is totally illegal and CHSs have no authority to usurp the power of Legislature to lay down a law for creating joint ownership of the flat where none existed by illegally by including a name in the Share Certificate.

I request for your considered response.

I C Naik

I am not able to grasp what exactly bothers you about Associate Membership in CHS. Associate Membership as a topic of CHS  which has received perhaps the maximum  attention of www.indiancooperative.com. All aspects are analyzed more than once. But you are still perplexed and not exactly able to pin point what further response you expect?

I have to therefore shoot in the dark. I hope you will be wiser after reading my response.

May be repetition but let me explode certain myths.

1. You have forcefully stated in the last Para about Associate not being a Joint owner can not join the Committee, it being not the legislative intention. Legislative intention is to be read in the MCS Act 1960. Can you lay your hands on any evidence (expressed or implied or by inference) either way as to what legislature has provided for Associate Member? The MCR 1961 are creation of State. Model Bye-Laws are creation of  the Commissioner for Cooperation and the Registrar of cooperative societies ( the C C & R C S ).
2. The C C & R C S  has also lost sight of  the  legislative intention while framing Model Bye-Laws (including 2014 Model). Section 24(2) of the MCS Act 1960  provides “xxxx an associate member, may, subject to the provisions of sub-section (8) of section 27, have such privileges and rights and be subject to such liabilities of a member, as may be specified in the by-laws of the society.”
3. Every Model of Bye-Laws ( 1984,2001,2009 and 2014) has one Bye-Law No 27 / 25 reading as under: No Associate Member shall have any rights or privileges of an active Member except as provided under Section 27(2) of the Act. [U/s 27(2) Associate can vote in general body meeting where the main member is not present].
4. If the registered bye-laws of a CHS clearly says that the original member may allow an Associate member to try to join the Committee, (instead of him/herself) then and then only the Bye-Law No 117 and Appendix 10A can come in to play and not otherwise.
5. In that case the Associate need not be a joint owner because Clause 19(b) of Section 2 defines the Associate Member in these words:

“associate member” means a member who holds jointly a share of a society with others, but whose name does not stand first in the share certificate;  

CONCLUSIONS

1. Legislature is liberal enough giving all powers to the members of housing societies to decide what role their Associate members should play in their society.
2. I hope you are clear about Associate Membership in CHS.
3. May be you could locate the source of confusion which management of every housing society in Mumbai is finding hard to tackle. Even DR of Ward K East was also confused.

If you still have doubt you will not hesitate and write to us immediately.