Wednesday, December 22, 2010

NOTIFICATION OF DECISIONS OF THE GBM HELD ON 19th DEC 2010

1. Approval of SGBM Held on 30 Aug 2009. Members are requested to approve the Minutes of the SGBM held on 30 Aug 2010 circulated to all members vide letter No. DIN /SGBM/2009 dated 09 Sep 2009.

Decision. The Minutes of the SGBM held on 30th Aug 2009 were approved albeit with reservations expressed by Mr AK Pani and Mr K Balasubramanian on the issue of additional maintenance charges levied on owners of rented flats. The review of additional maintenance charges were agreed to be taken up under 'Any other point with permission of the chair' or the Agenda Point 'Increase in Monthly Maintenance Amount'.

2. Passing of Accounts for 2008-09. The MC has resolutely adhered to the highest standards of transparency and all expenditures made have regularly been displayed on the Notice Boards as well as posted on the Society blog. The Audit Report for 2008-09 was forwarded to all members vide letter No. DIN / Audit Report / 2010 dated 16th Aug 2010. Members are requested to approve the accounts for the said period.

Decision. The accounts for the period 2008 -09 were unanimously approved and the House appreciated the highest standards of transparency being maintained by the MC.

3. Improvement in the Standard of Water. In spite of concerted efforts of the MC, which include approaching the Lt Governor’s and CM’s office, the standard and quantum of water supply to the Society has left a lot to be desired. This in turn has forced the Society to resort to augmentation of water supplied by DDA through deep well boring resulting in deterioration of the quality of water reaching homes. Since consumption of poor quality water is a major health hazard, there is a pressing need to purchase water from the DDA as well as private sources / install water softener / RO plant to meet the requirement.

Decision. All present accepted the necessity of having clean and potable water reaching their respective homes. After discussing the economic and operational viability and recurring costs of installing water softener / RO plant plus the possibility of Delhi Govt improving the water supply in the foreseeable future, it was decided that for the next one year water quality be improved by procuring water tankers from the DDA as well as private sources and the total cost incurred in the process (Approximately Rs. 600/- per month per flat) to be shared equally by all members. It was also decided that people who are out of station for 30 consecutive days or more to be charged 20 % of the cost imposed on those present for the period. Such members are required to inform the Society office of their absence in writing prior to leaving the station.

4. Allotment of Open Car Parking. In view of an increase in the number of cars in the Society, there is a need to earmark at least one fixed parking space, in the common area, for those flat owners who do not have covered car parking space in order to reduce the traffic mess in the Society. The problem deserves urgent attention as visitors and cab drivers parking at will within the Society premises compound the issue. Policy on second and more cars needs to be defined.

Decision. The House approved earmarking of at least one car parking space for each of the flats that do not have a covered parking space allotted. In addition, certain parking spaces to be earmarked for visitors next to the Main Gate. The second car owners were reminded that they are required to pay Rs. 200/- per month for the second car if it is parked within the Society premises. This provision is not applicable to people owning more than one car and are parking both/ all their cars inside the covered parting allotted to them. The second car would be parked in free parking space available after earmarking the dedicated space. The marking and allocation of car parking space to be completed within three months. The cost of painting the demarcations is to be shared equally by those allotted dedicated parking space.

5. Completion Certificate. All requisite drawings of ‘as built’ and ‘revised building’ plans were submitted to the DDA on 29th Oct 2009 for approval. The DDA pointed out certain flaws in the drawings which were corrected and the drawings were again submitted to the DDA on 18th Mar 2010. In Jul 2010, the DDA once again pointed out fresh mistakes in the ‘revised building plans’. The MC is vigorously pursuing the matter with the DDA. But there are some insurmountable problems in dealing with the DDA. In the meanwhile, Rs 68, 000/- were paid to the Architect, S & S Architects as part payment for preparation and submission of drawings to the DDA. The balance amount, collected from the members @ Rs. 4, 000/- has been invested in FDs with State Bank of Indore (Now State Bank of India).

Decision. One member volunteered to assist in getting the necessary approvals from the DDA within the framework of rules. The House lauded his initiative and decided to stick to the laid down official procedures.

6. Increase in Monthly Maintenance Amount. The last time Monthly Maintenance rates were increased from Rs 600/- pm to Rs 1,000/- pm (Including Rs 200/- of building maintenance fund) in 2006. Since then, costs of maintenance, salary of employees, security & cleaning bills as well as AMCs for electric panels, electric substation and water pumps have been more than doubled. The legal costs being incurred on court cases adds to the fiscal burden of the Society. It is no more possible to maintain the Society within the amount being collected as monthly maintenance from members. Suggestions are invited from members to enhance the rate of monthly maintenance.

Decision. Since Shri AK Pani had raised the issue of review of Maintenance Charges from owners of rented flats, it was decided to club the issues and the discussions were postponed to be taken up at the last.

7. Rana Case Liability. The High Court of Delhi and the Supreme Court have rejected the Society’s appeal against the ‘Rana Case Verdict’ passed by a lower court. The liability this development is likely to impose on each member of the Society works to approximately Rs. 90, 000/-. The exact amount will only be determined after court orders for execution of decree are passed. In the meanwhile, Rs. 37, 60, 000/- deposited by the Society with the High Court of Delhi is unlikely to return to the Society.

Discussion. Brig DP Singh, Retd, wanted to know if other options of meeting the liability were explored by the MC before working out the per member share of the same. The House was informed that the MC had explored all available options before putting the issue before the House. One such option was to sell the flats available with the Society, which are free from any claim / legal tangles. However, the procedures involved were cumbersome and the cost of each flat worked out by the RCS, as in Mar 2010, using normal formulae for equalisation charges, was only Rs. 32,00, 000/- approximately, which is much below the proposed circle rates. At this juncture, the President informed all present that, according to DCS Rules, this option can only be exercised after the membership issue of 16 members is decided and allotment of nine members is regularised. This is in view of policy /procedures of RCS / DDA to allot flats by draw of lots and accordingly 25 flats allotted without the draw, plus the vacant flats, needs to be regularised. The exact amount to be paid to Rana Construction Co. will only be known once the court order for execution of decree is received. The Society has to be prepared for compliance of the court orders.

8. Up gradation of Lifts. The state of all six lifts of the Society has become alarming with frequent failures and longer time span required to effect repair. Approval of the House is required to upgrade at least one lift per block in order to obviate any emergency situation. Contributions from every member, which may range from Rs. 8000 to Rs 9000, would be necessary to complete this task. Alternative measures to raise funds may also be considered.

Decision. It was decided to carry out up gradation of three lifts, one in each Block, during the next one year and the next three lifts to be up graded in the subsequent year. The advantages of up gradation would also be known after the first such efforts. Besides, it would help the members divide the cost of overall up gradation in two instalments. The House approved up gradation of the lifts in the first instance through contribution of Rs. 4,000/- to Rs. 4,500/- per member.

9. Any other point with permission of the Chair.

(a) Mr Piush Bansal wanted the MC to approach the RCS for regularization of membership of 16 affected members. He was apprised of the sincere efforts of the MC in this direction, including their meetings with the RCS and Dir G/H DDA in person. The RCS informed the MC that holding of a draw of lot was a mandatory legal requirement for such regularization and had advised that the 16+9 members submit an Affidavit to say that they would not object if they are allotted a different flat from the one occupied by them.

Decision. The Secretary advised the member that the affected members should collectively take up their case with the RCS and the MC would provide all help, within the rules, including pleading their case before the RCS.

(b) Increase in Monthly Maintenance Amount and Review of Maintenance Charges from Owners of Rented Flats: All present accepted the necessity of enhancing the monthly maintenance amount in view of the rise in prices of commodities as well as services. Being related issue, the issue of additional maintenance charges from the owners of rented flats, raised by Mr AK Pani, was also taken up. Mr AK Pani and Mr K Balasubramanian raised the issue of Rs. 2000/- p.m being charged as maintenance to owners of flats on rent. Both questioned the rationale for the decision and declared that it was a draconian and unilateral decision on part of the MC. It was explained to them that the decision was taken by the SGBM held on 30th Aug 2009 and that it was suitably supported by Section 102 (2) of DCS Rules 2007. Since there was a difference of opinion, it was suggested that the issue be put to vote. Thereafter, Mr AK Pani lost his temper, repeatedly thumped the table and did not allow the meeting to progress. In spite of repeated requests to take his seat and allow the meeting to progress democratically, Mr AK Pani did not relent and continued to disrupt the meeting. The meeting was, therefore, adjourned at 2.10 PM. Since the members could not reassemble after adjournment, the meeting was declared closed and no decision could be taken on increase of maintenance charges and review of maintenance charges from owners of flats on rent. Accordingly, status quo will be maintained till the next GBM.

(c) Mr. Vivek Chander Sood, Membership No. 433 pointed out to the House that a decision was taken by the SGBM held on 30 Aug 2009 regarding expediting allotment of a Flat to him. He reminded the House that no progress in this direction was visible. He was assured of all cooperation in this regard.



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