Co-op. housing soc letter to bank for motgage
Vaidyanathan
(Querist) 18 June 2015
This query is : Resolved
Sir,
What is the legal standing on the part of a co-op. housing society in issuing a letter to flat buyer's bank (in banks format) giving society NOC for transfer of flat without receiving membership application form and other transfer documents from the buyer. Can such an NOC be issued only on the basis of a copy registered Agreement for sale.
Kishor Mehta
(Expert) 19 June 2015
Sir,
I take it that you are a resident of Maharshtra:
[1] Unless a share certificate has been transfered to a person's name, he is not a member of the society,
[2] There are certain forms to be submitted and a definite procedure to transfer the share certificate and admit a person as a member of the society,
[3] The society can give an N.O.C. only to the effect that the person is a member of the society (after transfer of the share certificate as above) and that whether or not his dues to the society are fully paid,
[4] The society has no authority to give N.O.C. covering any other aspect of the member's liability.
Good Luck,
Kishor Mehta
Dr J C Vashista
(Expert) 20 June 2015
I agree with expert advise of Mr. Kishor Mehta, by and large same in Delhi Cooperative Societies.
In your case the membership of the CGHS is yet to be applied, which is still in conceptual stage, accordingly no question arises for issuance of NOC to an alien to the Society.
To add to it the CGH Society can issue "No Dues Certificate" but not "NO Objection Certificate" to its member for availing loan or mortgaging the flat or any other purpose.
Moreover, who has made/executed the agreement to sell, i.e., by whom (Vendor)and in whose favour (vendee), on what terms? Who wants to avail the loan?
Vaidyanathan
(Querist) 20 June 2015
Dear Sir
Thank you Kishor Mehta and Dr. J. C. Vashista for your prompt reply. It exactly tallies with my views/opinon.
Thanks you once again.
V. Vaidyanathan
