Sahakarsutra - Dayanand Nene
Here is a public awareness article to educate housing society members on the Reality of Deemed Conveyance and protect them from exploitation:
💥 Deemed Conveyance: Don’t Fall for the Scam! Know the Process, Save Your Money.
• In recent years, Deemed Conveyance—a legal provision meant to empower housing societies—has turned into a money-minting racket for a section of lawyers and consultants.
• Unsuspecting society members are being asked to shell out ₹ 5,000/- or more per flat, under the pretext that the money is to “grease palms” of government departments. This is not just unethical—it is completely unnecessary and often false and illegal.
It’s time we separate facts from fear and arm ourselves with knowledge.
🔍 What is Deemed Conveyance?
When a builder fails to hand over the land and building title to the housing society within the prescribed period (generally 4 months after formation of the society), members can apply for Deemed Conveyance” under MOFA (Maharashtra Ownership Flats Act), 1963.
It is a legal right, not a favour.
🧾 The Legal Process (In Brief)
1. Pass a resolution in the society’s general body to pursue Deemed Conveyance.
2. Appoint an authorized representative (office bearer or external consultant).
3. Compile documents such as:
* Society registration certificate
* Sale deeds/agreements
* Layout plan
* Property card and 7/12 extract
* Architect’s report (optional)
4. File application before the District Deputy Registrar (DDR) under Rule 11 of the Deemed Conveyance Rules.
5. The DDR will:
* Conduct a hearing
* Verify documents
* Grant a Deemed Conveyance Certificate.
6. Society can then register the Conveyance Deed and get property rights officially transferred.
💸 Where is the Scam?
Many societies are told:
• “You’ll need to pay the departments under the table”
• “The process is impossible without political links”
• “Only our legal firm can get it done”
And based on this fear-mongering, ₹5,000 to ₹10,000+ per flat is extracted.
For a 100-flat society, that’s ₹5 to ₹10 lakh!
For a 200-flat society, that's ₹10 to ₹20 lakhs.
For a 500-flat society, that's ₹25 to ₹50 lakhs.
80% of this money DOES NOT go into government coffers—it’s pure loot.
• I don't understand how educated people can't see through this and still pay - may I care not attitude!
🛑 Truth Check: What Are the Real Costs?
* Government Fees: Nominal - ₹ 2000/- - Two thousand only- application fee.
The application to the DDR doesn’t require large bribes or payments.
* Documentation Costs: If you hire a consultant or advocate for paperwork, fair fees may apply. Many societies get it done in ₹30,000–₹60,000 total, not per flat.
* Registration & Stamp Duty: Payable at time of conveyance deed registration. Usually standard and transparent.
✅ How to Get It Done—The Right Way
1. Educate your managing committee and members. Use this article or arrange a public awareness session.
2. Approach genuine legal aid centres or cooperative department officials.
3. Take help from recognized society federations like:
* Maharashtra Societies Welfare Association (MSWA)
* Mumbai Grahak Panchayat
• Every city has a Co-operative Housing Society Federation - but they are manned by politicians and are prone to corruption.
4. Insist on a cost estimate in writing from consultants.
5. File an RTI to understand the exact government fees, if in doubt.
6. Don’t hesitate to file complaints with the District Registrar against exploitative agents.
🌀 Final Word
• Deemed Conveyance is your right, not a racket. Don’t let fear and misinformation turn a protective legal provision into a source of exploitation.
• Demand transparency. Ask questions. And share this information widely in your society WhatsApp groups, notice boards, and meetings.
🧠 **Knowledge is your best defence against fraud.**
If your society is being misled or looted in the name of conveyance, speak up. You’re not alone—and you’re not helpless.
Contact me on my email thru a letter on your letterhead and we will help you.
Regards,
Dayanand Nene - Sahakarsutra.
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