Important Steps of Redevelopment

Item No.9: To appoint an internal auditor to audit the accounts of the society for the year.

It is not obligatory for every society to appoint an internal auditor. It is left to the discretion of the society whether or not to appoint an internal auditor. It is not intended that the internal auditor should necessarily be a chartered accountant. Any person, including a member of the society, who has not worked on the managing committee for a material time or thereafter and who is conversant with the working of a Co-operative Housing Society and has accounting knowledge may be appointed as an internal auditor.

Item No.10: To confirm the agreement for purchase of a plot/building entered into by the Chief Promoter, with the Vendors and to authorize the committee to secure conveyance of the plot/building in the name of the society.

To authorize the managing committee to secure from the Builder/Developer/Promoter a conveyance of the property as mentioned in Bye-law No. 5 of the Bye-laws of the society in the name of the society.

(a)    In case of an open plot type Co-operative Housing Society, the promoters, while electing the Chief Promoters, give him authority to make negotiations with vendors for purchase of a plot of land/building and/or to enter into agreement with the vendor. The promoter have, therefore, to ensure that the chief Promoter would act in best interest of other promoters and would not give ground for complaints by others and would not abuse the authority vested in him.

(b)   In case of a flat owner, type Co-operative Housing Society, the first general body meeting of promoters usually authorizes the managing committee to secure conveyance of the property from the Builder/Developer/Promoter in accordance with the provisions of the Maharashtra Ownership Flats (Regulation of the Promotion of Construction, Sale Management and Transfer) Act, 1963. The Provisional Managing Committee elected at the first general body meeting has to pursue this matter very closely until the conveyance is executed and got registered.

Item No.11: To approve the site plan and the scheme of construction:

Generally, the chief Promoter is authorized in the promoters meeting, prior to registration of the society, to appoint an architect for preparation of plans etc. Before the meeting and according approval to the plans etc. the Chief Promoters should critically examine the same and make suggestion if any modifications are needed. If this is done at this stage, there would not be any complaint subsequent to passing of the plans and construction of building according to the approved plans.

Item No.12: To authorize one of the members of the Provisional Managing Committee to call the first meeting of the Provisional Managing Committee.

Under the Bye-laws, all managing committee meetings are to be called by the Secretary or the Chairman. At the first general body meeting of the society, only the managing committee is elected. The office bearers of the society are to be elected at the first meeting of the Provisional Managing Committee. As no office bearer is elected, there will be a technical difficulty in calling the first meeting of the Provisional Managing Committee. In order to overcome this difficulty, one of the members of the Provisional Managing Committee has to be authorized at the first general body meeting, to call the first meeting of the Provisional Managing Committee.

v                 Holding of The First Meeting of The Provisional Managing Committee

At its first meeting, the Provisional Managing Committee has to elect a Chairman, Secretary and Treasurer. The first meeting of the Provisional Managing Committee has to pass resolutions about closing the bank account in the names of the names of the promoters and opening a bank account in the name of the society. The meeting has also to consider the limit upto which funds are to be raised (in case of open plot society only), affiliation to the Federation, and admission of persons to membership.

The society starts functioning after the first meeting of the provisional managing committee. In order that the work of the society should commence on the right lines, the provisional managing committee has to study the provisions of the Bye-laws. This will enable the provisional managing committee to know its functions, powers and duties. The following paragraphs will enable the provisional managing committee to get an idea of the task it must accomplish.