Cooperative housing societies to get 3-member board

Authorities in Mumbai have issued a circular instructing registrars to appoint administrators from a panel drafted by the divisional joint registrar of cooperative societies or a three-member administrative board. This follows numerous complaints about the functioning of administrators of cooperative housing societies. The circular also calls for regular changing of auditors and lays down a grievance redressal process for complaints. If the complaint is not resolved through this process, it can be forwarded to the cooperative commissioner's office in Pune.

Mumbai: Following several complaints regarding the functioning of administrators of cooperative housing societies (CHS), authorities have issued a circular directing registrars to appoint administrators from a panel drafted by divisional joint registrar of cooperative societies or preferably appoint a three-member administrative board.

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The circular was issued by commissioner of cooperation and registrar Anil Kawade on May 4 after the government received a letter from the Deputy Lokayukta to devise new guidelines to effectively deal with numerous complaints regarding the working of cooperative housing societies.

A three-member study group was formed, which submitted its report to the Lokayukta in November 2019, leading to the new circular.

In case of complaints and misdemeanour by the managing Committee members, the CHS registrar has power to dissolve the incumbent managing committee office-bearers and appoint an administrator to handle the day-to-day management. However, after continuous complaints about administrators favouring the scrapped managing committee or compromising their autonomous functioning, the commissioner has given the new directives. The panel will be renewed every year.

The circular also said cooperative housing societies should change auditors from time to time and a certified chartered accountant can conduct the annual audit only for three consecutive years.

Laying down a grievance redressal process for complaints, the circular mentioned that a complaint must be submitted to the managing committee which will discuss and take a decision with a majority vote. If the complainant is not satisfied with the decision, the complaint can be taken up by an advisory committee constituted in a general body meeting. The advisory committee will have a chairman elected by the general body, an elected member (both other than the working committee members), a member of the managing committee, certified auditors and representatives from the Housing Federation.

The cooperative commissioner said the advisory committee will have to take a decision on the complaint in 45 days. If the complainant is not satisfied, the complaint can be forwarded to the registrar, cooperative court, municipal corporation, who will have a mandate of 30 days to dispose of the complaint. Further, the complaint could be forwarded to the district deputy registrar with a mandate to decide within 45 days, and then to divisional joint registrar with a mandate to decide within 60 days. If the matter does not get resolved, the complaint can be forwarded to the cooperative commissioner’s office in Pune which will have a mandate of 60 days to decide the complaint.