|
June 29, 2000
- Banking
- Cards
- General
- Insurance
- Lifestyle
- Loans
- NRI
- Real Estate
- Taxation
- Travel
|
Transfer formalities in a co-operative society
Jyoti Dialani
So you own a flat (or office or, maybe, even a shop)in a co-operative housing society. And you decide to sell it. Or, maybe, just transfer it on someone else's name. Execution of the agreement is just part of the procedure. There are lots of other procedures to follow.
- A member who desire to transfer his flat in the society has to give 15 days' notice to the secretary of the society. This has to be done in a prescribed form whereby he has to state his intention for doing so.
- A committee meeting will then be called and this shall be placed before them. It will then be decided whether the member is eligible to transfer his shares and interest in the society.
- If the committee finds that the member is not eligible to do so, the committee shall direct the secretary to inform the member about the same.
- Whatever be the decision of the committee, the secretary is bound to convey this information to the member within three days of the decision of the committee.
If the seller is given the go-ahead signal, here are the formalities to be followed:
- Submission of an application for transfer of his shares and interest in the property of the society in the prescribed form along with share certificate.
- Submission of an application for membership of the proposed transferee.
- Submission of a letter stating valid reasons for the proposed transfer.
- Clearance of all liabilities of the society.
- Payment of transfer fees of Rs 50.
- Payment of entrance fee of Rs 10 payable by the proposed transferee.
- To pay a premium amount to be fixed at the general body neeting of the society. This amount should not exceed 2.5 per cent of the difference between the book value of the flat and the sale consideration received by the transferor or Rs 25,000, whichever is less. The payment of premium is not applicable in case the flat has been transferred to a member of his family or it is inherited by an heir.
- Submission of a no-objection certificate, if required under any law in force at the time of transfer, or under any order or notification, issued by the government or by any other law enforcing body or authorities.
- Submission of an undertaking/declaration required under any law in force at that time in the form as prescribed under the bye-laws.
Once the complete applications for transfer are submitted to the secretary, the committee shall follow the below mentioned steps for disposal of the application.
- The secretary scrutinies applications carefully. Any defects/irregularities/shortcomings in the documents submitted shoudlb e brought to the notice of the member within seven days of its receipt.
- Once the applications are rectified/regularised and completed, the secretary has to place the same at the next held committee meeting or general body meeting, for consideration and approval.
- The committee or the general body, as the case may be, shall consider the applications at the meeting and take decisions, after going through all the details.
- The committee has to ensure that the applications received by the secretary of the society are considered and disposed off within three months of the date of this receipt.
- In the event of rejection of any application, the committee or the general body, as the case may be, has to record the reasons for such rejection in the minutes of its meetings.
- The secretary has to communicate, the decision of the committee/general body, as the case may be, to the applicant member, within 15 days of the decision of the committee or general body Where the application is rejected, the secretary shall also convey the reasons for rejection.
- The committee or general body, as the case may be, shall not refuse any application for transfer except where there is non-compliance of any provision of the Act, or the Rules and the Bye-Laws or any other law in force at the time or any notification or order issued by the government.
- If the committee/general body does not convey the decision of the meeting on the application for transfer, to the applicant member within three months of the receipt of the transfer applications, the application shall be deemed to have been accepted and the transferee shall be deemed to have been admitted as a member of the society.
Tell us what you think of this information
|
