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Indemnity Bond in Form M-20 Under The Maharastra. Co-Op Societies Act

Page no : 2

drskj (doctor)     12 August 2012


in my CHS at andheri(e), present managing committee was elected on 12.08.2009.

at that time managing committee members did not execute M-20 bonds.

on my complaint to sub-registrar, an inspection of the records of the said society was conducted by the office of the sub-registrar on 12.10.2010.

inspection report dated 12.10.2010 clearly shows that the managing committee members have not executed M-20 bonds. also there is  no record of purchase of the stamp papers, it is also not mentioned account audit done on 31.03.2010.

upon show cause notice issued by the sub-registrar that why should the managing committee be not disqualified and dismissed from the post as you have not executed M-20 bonds within 15 days from date of assuming the office.

now the managing committee bought the back dated stamp papers  and to that in the name of two advocates and executed the M-20 bonds in back date.

the managing commiittee is now disqualified and matter is pending at minister for co-operation.

now my question is 1) have they not cheated us

2) have they  fabricated the documents and fordged the documents

3) can we intiate to start a criminal case against them

4) under which section and penal code the criminal case can be made, and if so what would be the punishment for them

nihar (executive)     11 September 2012


Even our current MC in our society has filled M_20 or indemnity bonds except the chairman .Inspite of sending letter to Dy registrar there is no feedback inspite of our secretary being illegal.

our society has a illegal secretary named  "Dharmesh Nadkarni" (flat no.107 bwing sagar) who is not
a bonafide member of the
society as the flat belongs to his fathers name and second nominee is his
mother. Can he be the secretary of the society. 

Even though he was appointed in the SGM in Jan 2012 but it
was not put in notice boards at all . Only in this month they put up a
notice announcing the new managing committee members. I dont know
where our society is heading towards.as last year we reported a loss
of 5 lacs (1st time in 25 yrs) .

This year we didnt have a AGM as the accounts are not finalised till yet.

Even the name plate in the bldg has his fathers name written on it.
Even some members have a sent a letter to Dy registrar asking him to
intervene in this as our secretary is illegal and he cant function and
demanding his removal.

Rohan Shah (Partner)     12 November 2012


Dear Mr.Dilip,

My society was registered in 1965 and is following the old bye laws. I tried to coerce them to follow new bye laws but they passed a resolution to continue with old bye laws, the resolution was passed  with 2/3rd majority.
My questions are: 1. The Society members have not filed Form M-20 Bonds till date and they say that it is not compulsory under the Old Bye Laws of our Society. Is this Correct??

2. is there any ruling where it mentions that 'One Car Parking Per Flat' and if there are not enough then it has to be on rotation basis? Our Society is continuing with Old Bye laws and are not changing the allocations. We do not have any parking space, despite owning 2 flats in the builiding.

Pls advise. Thanks in advance.

Rohan Shah

Anil Agrawal (Retired)     12 November 2012

Builders lobby and the federation have managed to get the Bond abolished. Jai Ho.

Anil Agrawal (Retired)     12 November 2012

Thank the Builders lobby and the Federation. Bond has been abolished. Jai Ho.

Anil Agrawal (Retired)     12 November 2012

Affidavit of Govt filed in the High Court is no more than a scrap of paper. They went to the town upholding the sanctity and necessity of the bond. What happened? Chickened out against the powerful builders and Federation?

Shekhar (Managing Trustee)     03 October 2013

Respected Sir,

I want to send to you a draft petition for vetting and valuable opinion.

It is too long and improper to post it here until filed.

Can you pl advise your email address so as to you ?

Thank you in advance for your time.



Anil Agrawal (Retired)     03 October 2013

What is he subject of affidavit?

Shekhar (Managing Trustee)     03 October 2013


It is a writ petition in MCS Act 1960 S 73[1]AB.

Tks n B Rgds.


Attached File : 564442733 writ petition-draft for vetting.docx downloaded: 78 times

Anil Agrawal (Retired)     03 October 2013

The bond has been abolished. Forget it. Even if it is old case, nothing survives. Don't waste money.

Shekhar (Managing Trustee)     04 October 2013


sorry to bother you again. But registrar has issued an order to disqualify us u/s 73(1)AB on 15/10/2012 and while same is under challenge he has sent administrator on 12/8/13. 

Is this action ultra vires? 

Tks n b RgdsRgds

Anil Agrawal (Retired)     04 October 2013

The State Government vide GR dated 6th Sept. 2012 pronounced the abolition of  prerequisite condition that required the elected Members who volunteer to serve the Society as Managing Committee in Cooperative Housing Societies to furnish an Indemnity Bond taking responsibility of all acts and omissions that may cause any loss to the Society.


I am not aware of full facts. Please clarify to which period the complaint relates.

Shekhar (Managing Trustee)     04 October 2013


Many tks for the reply.

I am aware of the circular. But Appeal before Jt Reg is dismissed on grounds that the bond was due on 30/8/2010 and lapse has occurred on that day. As such though order is after the circular WEF 30/8/2010 the posts are deemed to have been vacated. He has also presumed that the circular did not have retrospective effect. My argument of said circular based on philonthropic ground does not claim to have not prevailed earlier was ignored.

Review before State U/s 154 is vanished by interested parties.

Enforcing the order after 97th Amendment became operational is not tenable.

B Rgds.

Shweta   26 September 2020

Is this procedure of submitting M20 still applicable? 

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