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Sachin Mittal   12 April 2019

Chs be formed if owners association is already registered

Facts of the case
1. Company "A" obtained lease rights from land owner "CIDCO" and constructed 50 tenements.
2. "A" transfered the lease rights to builder "B"
3. "B" constructed new 50 tenements and gave them back to "A" and constructed 150 new tenements and sold in market.
4. "B" registered a deed of declaration under Maharashtra Apartment Ownership (MAO) act and formed owners association/condominium.
5. "B" did not got new tenements assessed with municipal corporation (NMMC) in time.
6. NMMC raised huge property tax bill with penalties in name of "B".
7. In meantime "A" also sold their 50 tenements in market.
8. Now NMMC refuses to relent in forgoing the penalty, "B" is also refusing to pay the penalty.
9. NMMC has told failure to pay may result in attachment of the entire property and other legal actions.
10. Some members have decided to form Co-op Housing Society (CHS), and fight this legally with NMMC/"B"

Questions
1. Can members legally form CHS without first getting the deed of declaration canceled?
2. Can the CHS be registered without obtaining NOC from NMMC or without deed of declaration be canceled?
3. How many members consent is needed to go for CHS registration?
4. If certain members decide that CHS is not in their interest what are their options?
5. Is it possible by members or builder to obtain stay against CHS formation.
6. Can the conveyance of lease rights to CHS happen without first clearing dues of NMMC or CDICO?
7. Finally is it possible for members to fight this property tax dispute as owners association with going into hassle of CHS creation?

 



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