1. APPROPRIATION OF PROFITS
    1. 147.(a) After providing for the interest upon any loans and deposits and after making such other deductions as required under Section 65(1) and 66 of the MCS Act 1960 and Rule 49A of MCS Rules 1961, twenty five percent (25%) of the net profit of all the business carried on by or on account of the Society, shall be placed at the credit of the Reserve Fund of the Society.
    2. (b) The remaining 75% of the net profit of the society shall be utilized as provided under Rule 50, 51, 52, 53 of MCS Rule 1961.
    3. (i)To pay dividend not exceeding 15 percent per annum, upon the paid up share capital at such rate as the Committee may recommend and the Annual General Body Meeting may approve. The dividend on shares shall be paid to the registered holders of such shares according to the books of the Society as on the last day of the preceding co-operative year.
    4. (ii)To pay honorarium to office-bearers of the Society not exceeding fifteen percent (15%) of the net surplus to reward them for the sacrifice of their valuable time for the working of the Society or as decided by the General Body Meeting
    5. (iii)To allocate to a Common Welfare Fund, such part of the profit as the Annual Meeting of the General Body may determine, to be utilised in furtherance of the objects specified in the bye-law No. 5(d).
    6. (iv)The balance, if any, shall be carried forward or dealt with in such manner as the Annual General Body Meeting, on the recommendations of the Committee, may determine.
  2. TO WRITE OFF OF IRRECOVERABLE DUES
    1. 148. Subject to the bye-law No. 149, the society may write off any loan and interest thereon. Society’s charges due from the members, the expenses incurred on recovery thereof and the accumulated losses, which are certified as irrecoverable by the Statutory Auditor, appointed under section 81 of the Act.
    2. 149. The amounts mentioned in the bye-law no. 148 shall not be written off unless:
      1. the meeting of the General Body of the Society has given due sanction for writing off the amounts;
      2. the approval of the financing agency to the writing off of the amounts, if the Society is indebted to it.
      3. the approval of the Registering Authority is obtained.
      Provided that, if the Society is affiliated to the District Central Co-operative Bank or any other financing agency but is not indebted to it the permission of the Bank or the financing agency is not necessary Provided further that, if the Society is classified as A or B at the last Audit, no such permission of the Bank or the financing agency or the Registering Authority is necessary, if there is sufficient balance in the Bad Debt Fund, specially created for the purpose to cover the amount proposed to be written off.
  3. AUDIT OF ACCOUNTS OF SOCIETY
  4. 150. Appointment of Auditor.
  5. a. The Society shall appoint the Statutory Auditor in its General Body Meeting from the panel of Auditors approved by State Govt. and same Statutory Auditor shall not be appointed for more than two consecutive years. The Statutory Auditor shall submit his Audit Report as provided in section 81 of the Act.
  6. b. It shall be the responsibility of the Committee to get the Accounts Audited within a period of six months from the closure of financial year and in any case before issuance of Notice of the holding of the Annual General Body Meeting.
  7. c. The Remuneration of Auditors so appointed shall be decided by the General Body Meeting of the Society.
  8. d. The Society may, if it considers it necessary, appoint an internal Auditor, to audit the accounts of the Society, at the Annual General Body Meeting.
  9. 151. The Secretary of the society shall produce or cause to be produced all the books, registers, records before the internal auditor and the Statutory Auditor, in the office of the society or where the records are normally kept and furnish such information as may be required by him for the conduct of the audit of the accounts of the society.
  10. 152.a. On receipt of the audit reports from the Statutory and Internal Auditors, the Secretary of the Society shall prepare draft audit rectification reports on the objections raised and suggestions made, in the Audit rectification Report in form '0' prescribed under Rule 73 of the MCS Rules 1961 and place the same before the meeting of the Committee, held next after the date of the receipt of the audit reports, for its approval. The Audit Rectification shall be done by the Committee within three months from the date of audit report. The committee shall submit Audit Rectification Report to the Registrar and the Annual General Body Meeting of the Society.
  11. b. If the Committee of the Society fails to submit Audit Rectification Report to the Registrar and the Annual General Body Meeting, all the Members of the Committee shall be deemed to have committed an Offence under section 146 of the Act and shall be liable for Penalty under section 147 of the Act.
  12. CONVEYANCE / DEEMED CONVEYANCE OF THE PROPERTY,
    AND REDEVELOPMENT AND REPAIRS/MAINTENANCE OF THE PROPERTY
    1. 153.a. The committee shall with the approval of General Body, take necessary steps for Conveyance/Deemed Conveyance of the land/building/buildings in favour of the Society.
    2. b. The Committee shall examine, in consultation with the Advocate of the Society, the Deed of the Conveyance/Deemed Conveyance of the land and the building/buildings thereon and place the same before the Meeting of the General Body of the Society for its approval.
    3. c. On approval of the Draft Deed by the General Body Meeting of the Society, the Committee shall execute it as per law.
    4. 154. It shall be the responsibility of the Committee to maintain the property of the Society in good condition at all times and to redevelop the Society buildings/property, if necessary, as per Government directives from time to time and as per prevailing laws.
    5. 155.a. The Secretary of the Society, on receipt of any complaints about the maintenance of the property of the Society from any Members of the Society or on his own motion, shall inspect the property of the Society(if necessary along with technical expert appointed for the purpose), from time to time and make the report to the Committee, stating the need of the repairs, if any, considered necessary. The Committee shall consider the report made by the Secretary of the Society and decide as to which of the repairs should be carried out.
    6. b. The Members of the Society shall allow access and cooperate in the inspection of the premises for repairs & maintenance
    7. 156.(a) The Committee shall be competent to incur expenditure on the repairs and maintenance of the society's property, if the one time expenditure does not exceed:
      Upto 25 members Rs. 25,000/-
      26 to 50 members Rs. 50,000/-
      51 and above Upto Rs. 1,00,000/-
    8. (b) If one time expenditure on repairs and maintenance of the society's property exceeds the limits as mentioned under bye-law No. 156 (a), prior sanction of the meeting of the general body of the society shall be necessary.
    9. (c) The meeting of the general body of the society shall decide:
      The limit upto which the expenditure on repairs and maintenance of the property of the Society could be incurred by the Committee without calling for tenders for the work. In respect of the work, the cost of which exceeds the limit, so fixed, the Committee shall follow the procedure of inviting tenders, placing them before the General Body Meeting for approval and entering into contract with the Architect (if appointed) and the Contractor.
    10. (d) The appointment of An Architect : In respect of redevelopment of Society buildings the procedure to be followed as per Government Resolutions (as amended from time to time) and provisions in Architect Act 1972.
    11. (e) If no appointment of an Architect is made by the Promoter ,the meeting of the General Body of the Society shall appoint an Architect on such terms and conditions as it deems fit and as per the provisions of Architect Act 1972.
    12. (f) The Committee shall enter into the contract with the Architect, on the basis of the terms and conditions approved at the meeting of the General Body of the Society in that behalf as per the provisions of Architect Act 1972.
    13. (g) The Architect shall prepare the plans and estimate and feasibility report of the construction of the building/buildings in consultation with the committee, which shall place the same before the meeting of the General Body of the Society. The Architect shall submit ,the plans as per the feasibility report of 48the the of the construction of the building/buildings, approved by the meeting of the General Body of the Society to the Local Authority for sanction as per finally approved tenders.
    14. (h) As per procedure mentioned in redevelopment G.R. dated 03-01-2009 the Committee shall invite tenders in consultation with the Architect appointed by Society.
    15. (i) The Secretary shall open the tenders received by him in the meeting of the Committee, which shall scrutinize them and prepare its report along with the draft of the terms and conditions, in consultation with the Architect of the Society and place the same before the meeting of the General Body for its decision. After the approval of the General Body, the Committee shall then enter into the contract with the Contractor.
    16. (j) The Contract deeds, entered into with the Architect of the Society and the Contractor, shall provide a stipulation for settlement of the disputes arising out of execution of the Contracts shall be referred to sole Arbitrator appointed by the Society
    17. 157. Subject to the provisions of the bye-law No. 156, the Committee shall proceed to carry out the repairs and maintenance of the property of the society. It shall be the responsibility of the committee to see that the repairs are carried out as per the contract.
    18. 158. The following repairs and maintenance of the property of the society shall be carried out by the society at its costs:
    19. (a) (i) All internal roads, (ii) Compound walls, (iii) External water pipe lines, (iv) Water pumps,(v) Water storage tanks, (vi) Drainage lines, (vii) Septic tanks, (viii) Stair cases, (ix) Terrace and parapet walls, (x) Structural repairs of roofs of all flats, (xi) Stair-case lights, (xii) Street lights, (xiii) External walls of the building/ buildings, (xiv) All leakages of water including leakages due to rain water, and leakages due to external common pipe line and drainage line, (xv) Electric lines upto main switches in the flats (xvi) Lifts, (xvii) The damaged ceiling and plaster thereon in the top floor flats, on account of the leakage of the rain water through the terrace.(xviii) Generators, (xvix) Security Appliances (CCTV, Intercom, Group Mobile, Mass Data Sharing Devices, Siren Bell) (xx) Rain Water Harvesting,(xxi) Sewerage, Storm water Drain & Water Treatment Plant (xxii) Common areas not specifically allotted ,Swimming Pool, Gym, Sauna Bath, Coffee House (xxiii) Common Parking Space (xxiv) Solar and alternate energy devices. (xxv) Garden (xxvi) Community hall (xxvii) Wi-fi setup of the Society
    20. (b) All the repairs, not covered by the bye-law No. 158(a) shall be carried out by the Members at their cost. The expenditure of the internal leakage due to toilet, sink etc. should be borne by concerned flat holders, with the intimation to the Society.
    21. 159.a. The Society shall insure its building/s necessarily against risk of natural calamities, fire, flood, earthquake, third party liability and like
    22. b. The managing Committee of each and every Housing Society shall chalk out Emergency Planning Scheme, which include below mentioned details in respect of the Society and the surrounding area. (1) Probability of danger and analysis thereof. (2) Evaluation of risk in pursuance disaster management. (3) Response Machinery eg. Police/Fire Brigade/Municipal council etc.(4) Important Telephone Numbers.
    23. (i) Emergency Telephone Numbers of each and every Member.
    24. (ii) Telephone Numbers of the officers of the Government Machinery concerned with the emergency management. The management committee shall hold discussion with all the Members in the General Body Meeting over the plan prepared as aforesaid and shall inform about the same to the Members. The plan such prepared shall be displayed on the Notice Board of the Society, and the same shall be made up-to-date from time to time as per the requirement.
    25. (iii) As per the Child Labour Act 1986,it is prohibited to employ child labours for house hold and other works. As per the provisions of the said Act, if any person/Member is found to have employed child labour for household work and other work then a punishment of imprisonment of one year and a fine up to Rs. 20,000/- or both can be awarded to him. The managing committee of the Society shall display the said legal provision on the notice board and shall create awareness in the minds ofall the Members for eradication of the said evil, child labour practice.
      1. The office bearers of the Society shall insure that no Member of the Society/person /contractors has employed child labour and shall make arrangement of informing the Labour Commissioner Office that the Society is totally free from child labour practice.
      2. If any Member/ person /contractors is found to have employed child labour, the managing committee shall inform immediately to the office of the Labour Commissioner or the nearest Police station or the concerned voluntary organizations and shall inform to that effect in writing to the office of Labour Commissioner.
    26. (iv) The managing committee of the Society shall take necessary precaution to see that no injustice is done to any widow in the cooperative housing Society after the death of a Member before transferring the flat in her name. In such cases Society shall verify the nomination form duly submitted by the deceased Member or succession certificate /heirship certificate obtained from Civil Court under the Indian Succession Act 1925 or Will of the deceased Member duly probated by the Civil Court through the executor of the will. After verifying and taking legal guidance Society then only can take appropriate action within the time limit to avoid the further legal complications. This procedure can be followed in all the cases after the death of a Society Member.
    27. 160. No member of the society shall destroy, deface or cut down any trees in the compound of the society. Any action, in contravention of the above provision may render the member concerned liable for action.
  13. OTHER MISCELLANEOUS MATTERS
      1. 161.(i) It shall be open to the society, having regard to the importance of the matter and the specific provision made thereof under the MCS Act,1960 the MCS Rules,1961 and Bye-laws of the society, to give notice of every General meeting and communicate the resolution or the decision, to the members of the society on their last known addresses, by the one of the following modes:
      2. (a) hand delivery;
      3. (b) dispatch through post office under certificate of posting by registered post, with or without acknowledgment due.
      4. (ii) A copy of such notice/communication of the decision/resolution shall be displayed on the notice board of the society and thereupon, the notice shall be deemed to have been duly given or communication shall be deemed to have been duly made and the complaints received or made that the notice/communication was not received or was not sent to the correct address shall not affect the validity of the notice or the communication.
    1. 162. The accounting year of the society shall be that commencing on 1st April and ending on the 31st March of the subsequent year.
    2. 163. The society shall have its Notice Board, fixed at a conspicuous part of the building, on which shall be exhibited all notices and communications referred to in the bye-law No. 161 (a), the Statement of Accounts, the Annual Reports of the committee and other matters of which notices are required to be given to all the members of the society under the MCS Act,1960 the MCS Rules, 1961 and the Bye-laws of the society. If there is more than one building, the similar Notice Boards shall be fixed in all the buildings.
    3. 164. The meeting of the General Body of the Society may prescribe penalties for different breaches of the Bye-laws of the Society. The Secretary of the Society, under instructions from the Committee, shall bring to the notice of the Member concerned, the breach/breaches of the bye-law/bye-laws committed by him. If the Member persists in continuing the breach/breaches, the Committee shall give the notice to the Member to show cause as why the penalty should not be inflicted on him for breach/breaches of the byelaw/bye-laws. The General Body Meeting, after considering the Say of the Member and after giving him hearing, may levy penalty to the extent of maximum consolidated penalty not exceeding Rs.5,000/- in any one financial year.
    4. 165. No bye-law shall be made, altered or abrogated unless
    5. (i) a proposal to do so has been communicated to all members, 14 days before the meeting of the general body of the society, at which it is proposed to be considered
    6. (ii) the resolution is passed by not less than 2/3rd majority of the members present and voting at the meeting of the General Body of the society and
    7. (iii) the making, alteration or abrogation is approved and registered by the Registering Authority.
    8. 166. The Committee shall regulate the operation of the lifts, taking into consideration the convenience of the majority of the members of the society.
    9. 167. The meeting of the General Body of the society may, after taking into consideration the location of the building or buildings of the society and their surroundings and the open space available for playing games by the members of the society and their children, allow such games to be played during such hours as may be fixed by the meeting of the General Body of the society and subject to such restrictions, charges and penalties as it may impose.
    10. 168. The Society shall not let out or give on leave and license basis or permit any subletting, any open space available under the Staircases, Terraces/Open ground/Lawns/Club house/ Common Hall etc. to any person whether the Member of the Society or not, for any purpose whatsoever.
      a. All open /common area meant for use of all Members for eg. staircase, steps, landing areas, parking spaces, lift, corridor, and such other spaces, cannot be occupied by any Member for his own use. The use of such areas shall be restricted to the cause for which these are meant. Any Member found to be violating the above condition by encroachment shall have to vacate the encroachment and further he/she shall pay an amount equal to five times the monthly maintenance charges per month for the period for which he/she has encroached such spaces and further Members must not carry out any constructions, structural changes over and above the sanctioned plan without prior permission of the Society and Concerned Municipal Authorities / Competent Authorities. Also Members must use the flat /unit for purpose it was meant/sanctioned. Any Member violating the above directives shall pay an amount equal to five times the monthly maintenance charges, per month with retrospective effect for the period for which such violation is existed.
    11. 169. Notwithstanding the provisions under the bye-law no. 168, the Committee may allow temporary use of the terrace or available open space of the Society's building by any Member, on his written application, for any function, subject to such restrictions and on payment of such charges to the Society as the meeting of the General Body of the Society may decide. The committee may, with the previous permission of the Local Authority, if needed, allow exhibition of advertisement boards on any part of the building including terrace, on such terms and conditions as are approved by the General Body Meeting any Member /Members want to install a solar energy water heating systems or solar energy electrical system, then space shall be made available to such Member/Members on the terrace as per availability.
    12. The said systems may include
    13. (i) Solar collector stand, hot water tank, cold water tank, stand for the tank and hot water pipeline etc,
    14. (ii) Solar Panels, battery, inverter charging controller, cabling etc. for solar energy / electricity / photo voltaic devices / renewable energy devices If any application requesting to provide space for solar / renewable energy / energy efficiency devices is received, then it shall be 52binding on the Society to allocate space thereof as per the availability of the space in the Society’s premises.
    15. 170. The member of the society, requiring copies of the following documents shall pay copying fees at the rates mentioned against them:

      1. 1.Certified copy of the Approved Bye-laws of the SocietyRs5/-per page
      2. 2.Amendment of the Bye-laws of the SocietyRs5/-per page
      3. 3.Last Audited Bala nce Sheet of the SocietyRs10/-per page
      4. 4.Application for Membership of the SocietyRs25/-per page
      5. 5.Second and Subsequent Nomination by the Member of the SocietyRs100/-per page
      6. 6.Share Certificate of the Society(Duplicate)Rs100/-per page
      7. 7.List of Members of the SocietyRs10/-per page
      8. 8.Correspondence/Documents(related to Member)Rs10/-per page
      9. 9.Minutes of the General Body Meetings and Committee MeetingsRs10/-per page
      10. 10.Indemnity BondRs20/-per page
      11. 11.Copy of Annual Returns and PeriodicalsRs10/-per page
      12. 12.List of Active MembersRs5/-per page
      13. 13.Any other document as per section 32 of the ActRs5/-per page
  14. REDRESSAL OF COMPLAINTS
    1. 171. Member/Members shall submit their complaint application to any of the Office bearers of the society, in writing, giving thereby the details of the complaint.
    2. 172. After receipt of such complaint application, the committee shall take decision thereof, in the coming Managing Committee Meeting. Such decision shall be communicated to the concerned member, within 15 days thereafter.
    3. 173. If the Member/Members are not satisfied by the decision of the Committee, or does not receive any communication from the committee within 15 days, the complainant Member may approach below mentioned Competent Authority.
    4. A) THE REGISTRAR
    5. (i)Complaints to be made to the Registrar. Matters pertaining to following issues :-
    6. (ii)Registration of Society on Misrepresentation,
    7. (iii)Non-issuance of the Share Certificates,
    8. (iv)Refusal of Membership,
    9. (v)Non registration of Nomination by the Society,
    10. (vi)Non Occupancy charges,
    11. (vii)Demand of excess premium for transfers,
    12. (viii)Non supply of the copies of record and documents,
    13. (ix)Tampering, suppression and destruction of the records of the Society,
    14. (x)Non acceptance of the cheques or any other correspondence by the committee.
    15. (xi)Non maintenance or incomplete maintenance of records and books of the Society,
    16. (xii)Non preparation of the annual accounts/reports, within the prescribed period,
    17. (xiii)Misappropriation/ Misapplication of the Funds of the Society,
    18. (xiv)Defaulter/Disqualified Member on the committee,
    19. (xv)Investment of Funds without prior permission of G.B.M.
    20. (xvi)Reconciliation of Accounts,
    21. (xvii)Audit, Audit Rectification reports.
    22. (xviii)Non conducting of election before expiry of the term of the Committee as per law.
    23. (xix)Rejection of Nomination,
    24. (xx)Non convening of General Body meetings within prescribed period on or before 30th September of each year xxi. Non calling of Managing Committee meeting as prescribed in Bye-laws,
    25. (xxi)Resignation by the Committee,
    26. (xxii)Any other like matters which falls within jurisdiction of the Registrar.
    27. (xxiii)Non filling of Returns and statements.
    28. (xxiv)Classification as Active and Non-Active Members
    29. B)CO-OPERATIVE COURT
    30. Disputes between the members and/or the members of the society, which falls under Section 91 of the MCS Act, 1960 such as:
      Disputes pertaining to:
    31. a)Resolutions of the Managing Committee and General Body;
    32. b) The elections of the Managing Committee, except the rejection of nominations, as provided under Section 152-A of the MCS Act 1960
    33. c) Repairs, including major repairs internal repairs, leakages.
    34. d) Parking;
    35. e) Allotment of Flats;
    36. f) Escalation of construction cost;
    37. g) Appointment of Developer/Contractor, Architect;
    38. h) Unequal water-supply;
    39. i) Excess recovery of dues from the members;
    40. j) Any other, like disputes which falls within the jurisdiction of the Cooperative Court.
    41. C)CIVIL COURT
    42. Disputes pertaining to:
    43. a) Non-compliance of the terms and conditions of the agreement, by and between the Builder/Developer;
    44. b) Substandard constructions;
    45. c) Conveyance;
    46. d) Escalation of Construction cost;
    47. e) Any other, like disputes which fall within jurisdiction of the Civil Court.
    48. D)CORPORATION/LOCAL AUTHORITY
    49. Matters pertaining to:
    50. a)Unauthorised constructions/addition/alterations, made by the builder/member/occupant of the flat;
    51. b)Inadequate Water supply to the society and Members;
    52. c)Change of use by the members/occupants.
    53. d)Building's structural problems.
    54. e)Any other, like, matters which fall within jurisdiction of the Corporation/ local authority for eg. Property tax, streetlights, garbage, and other civil amenities etc.
    55. E)POLICE
    56. Matters pertaining to:
    57. a) Nuisance carried by the unauthorised use of the Flat/Shop/Parking Space/open space in the society, by the members, builder, occupants or any other persons;
    58. b)Threatening/Assault by or to the members of the society;
    59. c)Any other like matters which falls within jurisdiction of the Police.
    60. F)GENERAL BODY MEETING
    61. Matters pertaining to:
    62. a)Non maintenance of the property of the society by the managing committee;
    63. b)Non display of board of the name of the Society;
    64. c)Levy of excess Fine, by the Managing Committee for act of the member which is in violation of the bye-laws.
    65. d)Not allowing the authenticated use of the available open spaces of the society by the managing committee;
    66. e)Non insuring the property of the society, by the managing committee;
    67. f)Appointment of Architect;
    68. g)All other, like matters which falls within jurisdiction of the General Body.
    69. h)Complaints made by the Member Societies of the federation
    70. G)FEDERATION - DISTRICT/STATES
    71. Matters pertaining to:
    72. a)Non allowing of the entry of the Secretary of the society, by the member;
    73. b)Non acceptance of any communication by the member/managing committee;
    74. c)Convening Special General Meeting provided under Bye-law No. 95 and managing committee meeting provided under the Bye-law no. 131.
    75. d)All other like matters as per the byelaws of the Federation.
  15. Regarding redevelopment of the buildings of the Co-operative Housing Societies
    1. 174.a. Redevelopments of the Property / Building of the Society including vacant spaces shall be done strictly in accordance and confirmation with the Directions issued by the Government of Maharashtra vide Government Resolution no. CHS 2007/M.No. 554/14-S dated 03 January 2009, under section 79 (A) of the Maharashtra Cooperative Societies Act 1960 (as amended from time to time).
    2. b. If the development Agreement is not executed with the developer in that case, the Society after cancelling the same resolution, the Society may appoint a new developer from the short list of approved developer, and if it is not possible, fresh procedure can be initiated. The Representative of the Registrar must be invited for the aforesaid General Body Meeting and his attendance is compulsory.
    3. c. In case of increase of membership on account of redevelopment the Society shall increase the Authorised Share Capital and amend the bye laws accordingly and the list of new members be submitted to the Registrar for appropriate approvals