Mumbai Housing Society Queries: 'A Company Can Be Member Of Cooperative Society,' Says Expert
The questions are answered by Sharmila Ranade, a legal expert associated with Mumbai Grahak Panchayat.

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Q. A developer has purchased 9 flats in the name of his company in our society and he is in talks with others to sell their flats to him. Is there any limitation as to how many flats a company can hold in the housing society? What other provisions need to be verified before giving clearance? Can a company representative be a managing committee member?
Aakarshan Singh, Sion
A company can be a member of the cooperative housing society. The memorandum and articles of association of the company should have a provision to provide housing to their employees. The head office of the company should be within the area of operation of the housing society. The company should purchase at least 20 shares of your society, but the number of firms and companies admitted as member of a society should not exceed 50% of the total number of members of your society. A company can purchase land and buildings only for the purpose of providing residential accommodation to its employees. You may obtain a copy of their memorandum to check the aforesaid points.
A representative of the company can be a member of the managing committee, however, the representation should not exceed one-fourth of the total strength. Please refer to the order no. CHS-179/CG148/14C dated 9.11.1993 of the Government of Maharashtra in this regard.
Q. My father died without making a will but had made a nomination in the name of my mother and myself. I have two sisters one of whom is unmarried and dependent on me while the other is married. We are in the process of redevelopment. Our committee has given 3 months time to complete the formalities to get the membership transferred in my name. Please guide as to what process should be followed given the short timeline.
Rohit Kumar Sharma, Andheri
Nominees can be admitted as Provisional Members upon making an application to the society. In the absence of a will, you may have to obtain a succession certificate or heirship certificate from the court which may take time. If your mother and sisters are willing to forego their share in the flat they can execute a “release deed” in your favour relinquishing their right in the said flat. Registered copy of the said deed should be submitted to the society and the society can transfer the flat in your name.
Q. One of the members in our society has placed a shoe rack in the common area outside his flat which is creating an obstacle in movement as the staircase area is small. I have complained to the managing committee but so far no action has been taken. What action can I take?
Mini Karunakaran, Vashi
The members are not allowed to keep any articles in the common area and the same shall not be used by members as personal space. The managing committee should carry out an inspection of the area so occupied by the member and notify him/her to remove it. In case the member does not adhere to the notice within the given time frame, the committee can levy a penalty on the member. Such penalties have to be approved by the general body. In case the society is not taking any action on your complaint, you may file a complaint with the Registrar. Please refer to Bye-Law 165, 169.
The questions are answered by Sharmila Ranade, a legal expert associated with Mumbai Grahak Panchayat. The questions, in brief, may be sent to fpjchs@gmail.com
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