Residential
Apartment Societies to Register
under "The Karnataka Apartment Ownership Act, 1972."
1. Background: Most Builders (Promoters) in Mysore, (probably
in entire Karnataka), have not really bothered to sell residential
apartments as per the, "Karnataka Apartment Ownership Act,
1972," (K.A.O.Act, 1972). This becomes clear if one reads
the 'Rules and Regulations' given by the various builders to
the apartment societies they have created. Nor did the builders
register a single society with the proper registrar as per the,
K.A.O.Act, 1972. We wonder if any builder can answer this question
through the media, for benefit of those who bought apartments
from them, in the last ten years, or more ?
Many
apartment societies have to face common problems, some of which
are due to ignorance of government departments, some due to
a few buyers of apartments who have neither respected the rules
governing residential apartments, nor paid heed to requests
of the office bearers of their respective societies, thus disturbing
other owners!
Even
government departments that lose revenue due to non-registration
of these apartment societies, have not told the builders about
registering as per the law, since 1975!
Once,
some of us came to know about the existing laws governing apartments
in 2006, office bearers of some apartment societies, showed
interest and got together to form an, 'Association of Mysore
Apartment Societies,'(A.M.A.S.), which today comprises of about
19 Societies, with over 600 apartments and growing. A.M.A.S
will soon be registered.
2. Working on a solution towards registration of a society:
In
December 2007, A.M.A.S. members undertook to get their apartment
societies registered, but, the Registrar of Co-operative Societies
in Mysore, refused, saying they had no directions to do so.
In March 2008, some A.M.A.S. members approached the, Secretary
to Govt.of Karnataka - Cooperation Department, at Bangalore.
The Secretary gave a patient hearing and set matters right,
by taking prompt action in the matter and instructing the departments
concerned to do the needful and to start registering apartment
societies. A copy of that order was sent to the undersigned
for information.
Through
this article, not only members of A.M.A.S., but other apartment
societies in Mysore, are herewith being informed, to first buy
a copy of the, "Karnataka Apartment Ownership Act, 1972,"
to use as a reference and then to involve your builders to start
the
registration process, because the building details, municipal
passed plans etc, will be with them and they have been paid
by you to do so. You may also get a copy of the
1 of 3 letters received from Secretary to Govt.of Karnataka
- Co-operation Department, at Bangalore, from the undersigned,
for your records.
3.
Details in brief for registration:
a)
It is very clearly mentioned that, it is the promoter's (builder's)
duty to register every apartment society they create under the
proper registrar with complete documentation copies given to
the society, as mentioned in the, "Karnataka Apartment
Ownership Act, 1972."
b) Legal Obligations of Promoters (Builders) in the State of
Karnataka
The "KARNATAKA OWNERSHIP FLATS ( Regulation of the promotion
of construction, sale, management and transfer) Act, 1972 (Karnataka
Act No.16 of 1973)," under Sub-Section (1) of Section 16,
point No.9, clearly mentions :
"
the promoter shall submit an application to
the Registrar for registration of the
co-operative society or the company, as the case may be, within
four months from the
date on which the minimum number of persons required to form
such organization have
taken flats. Where the apartment takers propose to submit the
apartments to the provisions of the, Karnataka Apartment Ownership
Act, 1972 by executing Declaration of Deeds of Apartments, as
required by that Act, the promoter shall inform the Registrar
as defined in the Karnataka Co-operative Societies Act, 1959
as soon as possible after the date on which all the apartment
owners (being not less that five) have executed such Declarations
and Deeds of Apartment."
c)
The 'Karnataka Ownership Apartments Promoters' Association.
The above (b), is further substantiated by the society for builders,
(promoters), called, 'Karnataka Ownership Apartments Promoters'
Association,' (K.O.A.P.A.) under 'Code of Conduct,' point 5
reads : A member, "Shall form the Association of Owners
and get the Deed of Declaration registered within a reasonable
period from the date of completion of construction or from the
date of last registration of UDI / Unit and shall maintain or
cause
etc."
4.
Obligation to register.
a)
It is compulsory to register the apartment society under the
laws of Karnataka State. Most buyers of apartments do not know
all the legal requirements involved in buying an apartment !
Nor do the builders make them aware of it. Whatever the reason
may be, 'ignorance' of the law is not excusable in the eyes
of the law !
b) The apartment society has a legal standing to function under
the K.A.O.Act, 1972,
and hence has legal recourse to the provisions under the Act.
Thus protecting rights of
their members, who are living peacefully within the provisions
of the Act and their
society's rules and bye-laws. It also helps to maintain checks
and balances, making
2 of 3
administration
easier, with legal backing .
5.
Summing up with some suggestions for concerned authorities to
consider.
i) It is clear that loss of revenue to the government accrues
due to non-registration,
therefore a copy of every 'Occupation Certificate' issued for
a residential building by the
local municipality should be sent to the registrar of Co-operative
Society for further action
as per the, Karnataka Apartment Ownership Act, 1972, so that
minimum time is lost in
getting the concerned apartment society registered.
ii) Builders should also put the necessary clauses in their
brochures and in sale agreements,
so that buyers are made aware of legal requirements for purchase
of an apartment and that,
a final (fixed) amount will be paid by the buyer after all legal
duties of registration by the
builder are completed.
iii) Government should put a method in place, so that these
formalities are automatically
followed by the builder, the buyer and the government departments.
In
the end, let us make you aware that, buying an apartment, is
not like buying an independent house, rather, more like buying
shares in a company where there are other 'share-holders'. Government
framed rules and regulations to be followed. No owner is an
independent owner !
We
take this opportunity to thank, Secretary to Govt of Karnataka
- Co-operation
Department, for the prompt action taken to help apartment societies
in this important
legal requirement.
Ravi
Kumar
Secretary
(Sankalp Pearl Apartment Owners' Welfare Association). [ 9448454711
]
Provisional
secretary, A.M.A.S. & Member - Mysore Grahakara Parishat
(M.G.P.).