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Ajay Bondre (Warehouse)     17 September 2010

Need Help and Guidance in Transfer of Shares and Ownership

 

Case in point is as follows =


1. A flat in Maharashtra, in INDRADARSHAN CHS, under CIDCO, was jointly in name of My father and mother.


2. They both had made a will stating that all proceeds should be devolved in my(son) name after both had expired.


3. My father had also nominated my mother in prescribed nomination form with the CH society with 100% share being in her name.(As per Rule 25)


4. On 23/07/2010, my father expired leaving behind me and my mother.


5. 5 nos shares each of Rs 50 were held by my father and which I now wish to be transferred in the name of my mother with all rights for sale/nomination also to be vested with my mother after transfer.

6. I am the ONLY child of my parents and hence part of class I descendant, other being my mother.

7. I have no objection to aforesaid transfer of shares and will issue NOC as required. Under such circumstances, I have requested the society committee members to do the transfer based on -
a. Application with required fees as per prescribed form
b. Undertakings as required under rural ceiling act as well as NOC form me
c. under taking in prescribed form for use of flat

8. I am being asked for succession certificate by the society management committee however as per legal counsel that I had consulted, this is not necessary, as , -

 

 

 

Section 30 of the Maharashtra Co-operative Societies Act 1960 deals with the provision of transfer of interest which is as under :-
Section 30(1) : On the death of a member of a Society,

1.                          the society shall transfer the share or interest of the deceased member to a person or persons nominated in accordance with the rules.

2.                           Or if no person has been so nominated, to such person as may appear to the committee to be the heir or legal representative of the deceased member. NOT APPLICABLE IN PRESENT CASE

3.                          Provided that such nominee, heir or legal representative, as the case may be duly admitted as a member of the Society.


 

9. I have also been advised by a federation of CHS at that –

a.                        CHS can make my mother as first member and myself as an associate member based on application by me/us and paying requisite fees;

b.                        That my mother has 75% owner-ship right being co-owner and one of the legal heir; other being myself having 25% owner-ship right; subject to proving that we are legal heirs of the deceased- my father.

 

Hence, I request what documents should I need to produce to prove that I and my mother are the only legal class I heirs. What document in such case can be used for establishing identity of myself and my mother as individuals as well as heirs of the deceased? Is succession certificate the only way?

 

Will I require another succession certificate to be made on demise of my mother if I transfer all ownership rights in her name today?

 

Can I make one succession certificate showing all class I heirs –

- From my father to my mother and from mother to  me

- From me to my wife; from my wife to my son

 

10. Can I do the following –

         

a.                        make my mother as first member and myself as an associate member based on application by me/us and paying requisite fees;

b.                        leave it at that for the present;

c.                        On demise of my mother, do the transfer in my name by probating the will?

Please help and guide

 

 

 

 

 

 



Learning

 4 Replies

V. VASUDEVAN (LEGAL COUNSEL)     18 September 2010

The society is bound to recognize the documents and transfer (transmission) of the shares in your mother's name. If they do no know the law , cannot ignore the legal process of transmission. Take this up with the Registrar of Cooperative Society. Lodge the douments with the society by registered/speed post and pursue vigorously.

Bharatkumar (ADVOCATE )     18 September 2010

answer  a.  No.  b. No.  c. your mother make WILL in your favour or give a nomination form in CHS.

Isaac Gabriel (Advocate)     18 September 2010

Your mother can be admitted as member in the place of your decesed father and she can very well nominate you as the legal heir.This will sufficient in view of the circumstances prevail now.

R.Ramachandran (Advocate)     25 September 2010

Dear Mr. Ajay,

The Society simply wanted you to produce legal heir certificate.  Instead of doing that, you are examining the provisions of the bye laws of the society etc.

The Section 30(1) of the Act says that on the death of a member of the society,  the society shall transfer the share or interest of the deceased member to a person or persons nominated in accordance with the rules.

If accordint to the rules of the society, one has to produce the legal heir certificate, are we not bound to poduce the same?

A simple thing is, please apply to the Revenue Department, i.e. concerned Tehasildar in the proforma given in the Hindu Succession Act, 1956, seeking the issuance of the succession certificate.

Produce the same to your Society, your job will get over.  A thing which can be easily achieveable should not be allowed to get entangled in unnecessary legal issues.


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