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Prakash (Engineer)     29 November 2017

Mass resignation of managing committee of an apartment assoc

Ours is an apartment association registered with the registrar of societies. The managing committee comprising President, Vice President, Secretary, Treasurer and Executive Member have expressed their inability to continue and would like to resign from their posts. An AGM has been called for next month to discuss the audited accounts and to hold fresh elections.

What is the procedure for each of the aforesaid roles [President, Vice President, Secretary, Treasurer and Executive Member] to resign?

Since ours is a small apartment complex with very few owners residing, what are the implications if a new MC cannot be formed? Please advise.



Learning

 9 Replies

P. Venu (Advocate)     01 December 2017

The answers need to be found from the byelaw of the society; moreover, the facts posted suggests deeper issues...

Prakash (Engineer)     12 December 2017

Dear Venu Sir.

One of the issues is that the owners are either too old or full time working professionals who do not have the time to run the managing committee. Sooner or later, the owners will leave one by one and tenants will outnumber the remaining owners.

How should the apartment be managed in such a case?  

 

Dr. MPS RAMANI Ph.D.[Tech.] (Scientist/Engineer)     13 December 2017

As a General Body meeting is being called to consider passing audited accounts and hold elections, it is presumed that the outgoing committee will at least submit audited accounts and wait until next election. If they hand over audited accounts to the new committee, they can be allowed to resign. If no one is prepared to stand for fresh election, God save your Association. There are hundreds of apartment complexes running slip-shod with no one to run the association. Actually this is the problem of the outgoing committee. They cannot desert. They have to be holding the baby until and unless a bona fide committee comes forward to carry the baby. Whom will they submit resignation to? In Maharashtra in the case of co-operative societies, the Registrar can appoint an administrator to run the society and he can fleece the members. The members of your association can apply to a court to appoint a court receiver. But if you can apply to the court, you can as well form a committee and manage the affairs of the association.

Prakash (Engineer)     13 December 2017

Dear Ramani Sir.

Barring the existing committee, the remaining resident owners are infirm due to advanced age and ailments. The other owners are abroad and do not care. The existing committee cannot continue due to increased professional commitments. This is a  major cause of our problem.

Best wishes.

Dr. MPS RAMANI Ph.D.[Tech.] (Scientist/Engineer)     14 December 2017

To which group do you belong (1) present Managing Committee (2) old and infirm (3) members who have rented out their flat. At the General Meeting you try to prevail on the existing MC members. Can you give me information as to (1) the number of members in your Society (2) the number in each of the three groups (2) list of tasks for the MC members. I shall try to suggest a solution provided you give me the information well before the General Meeting. Please also state in which State and city you are. Societies Registration Act is toothless act suitable only for NGO's. You may have to de-register and register under another Act depending on the State in which you are.

Prakash (Engineer)     14 December 2017

Dear Ramani Sir.

This is in Bangalore and as correctly guessed by you, registered under Karnataka socities registration act, 1960. 

There are 8 resident owners out of which 5 are old. The MC is therefore a mix of young [who work full time] and old[who have aged]. 5 owners have rented out their flats and the 14th owner is incommunicado. 

The tasks of the main office bearers [Pesident, Secretary, Treasurer] are standard as in most associatons. 

Best wishes.

Dr. MPS RAMANI Ph.D.[Tech.] (Scientist/Engineer)     15 December 2017

You de-register from the Societies Act and register under Karnataka Ownership Flats Act, 1972. If possible make provision in the new byelaws that flats cannot be rented out or they should authorise tenants to be in the MC.

Dr. MPS RAMANI Ph.D.[Tech.] (Scientist/Engineer)     15 December 2017

I believe that old members are intellectually alert and that they can do things which do not require much physical exertions. The main job would be bill collection and accounting. You tell all members to directly credit their dues in the bank account of the association and advise the secretary/treasurer. You can outsource the accounting. Your auditor cannot do the accounting also. But he can find a person/party to do your accounting. You also levy an additional service charge from members who are not themselves residing in the building.

Prakash (Engineer)     16 December 2017

Thank you Ramani Sir. I shall explain your proposal to all. Our sincere thanks to you.

Best wishes.

 


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