Dear Sirs.
Ours is an owners association in Bangalore registered under the registrar of societies act. The association was formed two years ago. The audited account statements for last financial year were shared dligently with all residents [resident owners and tenants]. No owner [resident and non-resident] has raised objections.
One of the tenants has been demanding clarifications of accounts [Detailed Monthly expenses, Detailed breakup etc.] and refunds. The point to note is that in this case, it is this tenant who has been paying maintenance for the apartment [as per the rental agreement between the tenant and the owner].
He indicates that a part of maintenance paid by him was used towards expenses incurred during registering of the association. And since he is not a member of the association, he would like the refund of such expenses.
We have told him that how we use the funds is our perogative and we are only answerable to owners. As per the Bye-Laws, the members [owners] are required to pay the monthly maintenance.
Our question therefore to the legal experts here is "Is the association justified in taking the stand that no explanation is owed to tenants".
Best wishes.
