The Importance of having Conveyance done in Society’s favour.
The Importance of having Conveyance
done in Society’s favour.
Many builders have not conveyed the
title of properties to the housing societies in the hope of availing more floor
space index (FSI) that may become available, or the benefits accrued to them in
case the property is redeveloped.
The Supreme Court order to demolish unauthorized
floors at Mumbai’s Campa Cola compound sent shock waves through flat owners.
Six societies were formed in the Campa Cola compound and despite requests made
to the builders for conveyance, the same was not done.
In Mumbai, construction activities
are regulated by mainly 2 Acts:
Maharashtra Regional Town Planning
Act 1966 and D.C. Regulations 1991.
The Maharashtra government came out
with a special law to enable co-operative housing societies (CHS) get deemed
conveyance.
A deemed conveyance is a document executed to
transfer title of land and building in name of the housing societies. After receiving complaints against builders
for not transferring or conveying the property to the CHS, the concept of
deemed conveyance was introduced in Maharashtra Ownership Flat Act (MOFA)
amended – on 25 February 2008. The rules were effective from 27 September 2010.
However, in Mumbai, where there are more than 23,000 CHS, only 87 have been
able to get their deemed conveyance due to several flaws in the new system.
MOFA regulates the construction of
property, once the conveyance is done the Maharashtra Cooperative Society Act
takes over. Under MOFA the definition of
flat is very wide.
A builder in the past has sold
common areas and amenities. There have been cases where the builder has sold
terraces and car parking. Judgements in the past have gone in favour of the
society. Courts have ruled that a garage is an attachment to a flat and cannot
be sold separately.
Developers have been refusing to
issue the certificate to housing societies across the state. In Maharashtra,
there are 88,000 such proposals pending for last several decades. Mr Ramani who
has been appointed by all the six societies in Campa Cola Compound to procure a
deemed conveyance for them, pointed out that there are many legal issues that
would arise out of the demolition.
For instance, he says, only 96 flats
will be demolished, so who will have rights to the remaining FSI after the
destruction? If the cooperative societies do not have the title to the land,
how can they submit plans for fresh development to the municipal corporation?
Documentation for Deemed Conveyance
Documentation is a very important
& crucial stage in the Procedure for Deemed Conveyance. It requires
absolute focus & meticulous handling to ensure that all the required
documents are obtained & organized in an appropriate manner.
The Land Revenue Records of recent
origin are obtained by making applications to the respective Government
Departments like City Survey Office, Tahasildar/ Talathi Office & District
Collector Office. These documents are obtained typically within 8- 10 weeks.
The Municipal Corporation Records
are obtained by making application to the Building Proposal Department of the
Municipal Corporation. These documents are obtained typically within 8- 10
weeks.
In case it is difficult to obtain
the Land Revenue Records & Municipal Corporation Records, Right to
Information (RTI) may be invoked.
The Society Records are obtained
from Society Office & the Professional Certificates are obtained from
Professionals.
Following Documents are required to
be prepared.
- Deemed Conveyance Application- Form VII
- Synopsis of the Case
- Vakalatnama
- Roznama
- Society Special General Body Resolution
- Letter of Authority
- Affidavit by Authorised Representative
- Affidavit by Society Secretary
- List of Society Members including their Flat/ Shop Agreement Details
During the Documentation Stage, a
Legal Notice is to be sent to the Land Owners & Property developers.
The complete set of the above
Documents is to be annexed with the Deemed Conveyance Application- Form VII
& to be filed in a neat & tidy manner.
The complete Deemed Conveyance
Application- Form VII is to submitted to the Competent Authority- The District
Deputy Registrar of Co- Operative Societies of the particular District.
The Documentation Stage from
beginning to submission of Deemed Conveyance Application- Form VII can be
successfully completed within 90 to 120 days.
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