• Share certificate

One of our society member who sold his flat to other society member has laminated share certificate. 
Now my question is How to transfer the share certificate in favour of purchaser?
Whether we can issue new certificate directly in the name of purchaser or to issue duplicate in name of original member and then transfer in name of purchaser? 
What will be the procedure ? As we have original available but it is laminated?
Asked 1 year ago in Property Law from Mumbai, Maharashtra
Religion: Other

Dear Sir,

Ask the member/vendor to get delaminated. The procedure is as follows in the following link such offices are available in your city. Please ask them to find out.

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http://www.delaminatorsindia.com/index.php?action=faq

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Top 100 Lamination Removal Services in Mumbai

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https://www.justdial.com/Mumbai/Lamination-Removal-Services/nct-11169445

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Kishan Dutt Kalaskar
Advocate, Bangalore
4694 Answers
134 Consultations

5.0 on 5.0

1. Issue a duplicate share certificate in name of the original member and use the back side to enter the transfer details ie transferees

2. Society needs to take back the laminated certificate from the member so that it cannot be misused. Society may also destroy the same.

Yusuf Rampurawala
Advocate, Mumbai
4673 Answers
28 Consultations

5.0 on 5.0

The member should apply for duplicate share certificate

Then transfer share certificate in name of purchaser

Ajay Sethi
Advocate, Mumbai
69070 Answers
4155 Consultations

5.0 on 5.0

Public notice is necessary before duplicate share certificate is issued

One application by member is sufficient

Ajay Sethi
Advocate, Mumbai
69070 Answers
4155 Consultations

5.0 on 5.0

Hi,

I understand that the original share certificate is still available. However, transfer cannot be endorsed on it. Therefore in this regard you may approach this issue in following way:

1. Surrender the share certificate;

2. The owner may be required to give an indemnity which will primarily say that if there is a claim i.e. ownership, dividend or otherwise with respect to the share certifcates, the owner will indemnify. In certain cases even indemnity is asked for.

3. Apply for duplicate shares.

Please note that generally duplicate shares Re issued for lost, torn or mutilated share certificates. Therefore, it is up to the society to consider the request as per its discretion. They may even stipulate certain additional conditions.

Assuming the share certificates were lost, the process would have remained same except the fact that along with the request to issue duplicate share certificate, the owner would have required to submit FIR copy evidencing the lost share certificate or an affidavit to this effect.

To reiterate, the above is a completely discretionary process in the hands of the society. At best, the bye laws may have some provisions with respect to the same.

Hope the above helps.

Regards,

Prashant Kumar
Advocate, Bangalore
15 Answers

4.0 on 5.0

See first of fall on engineering and technical issue there is a machine to remove lamination it works same way as laminating machine work . So it can be useful.

Further if by any chance lamination is not removed original owner shall apply for duplicate share certificate and on that transfer can be made. Further the original can be taken in custody and destroyed as to avoid misuse.

Shubham Jhajharia
Advocate, Ahmedabad
20925 Answers
81 Consultations

5.0 on 5.0

Public general notice should be given and an application of owner can be taken.

Shubham Jhajharia
Advocate, Ahmedabad
20925 Answers
81 Consultations

5.0 on 5.0

Good query

You can take an affidavit from the member where he will state that he is handing over the original share certificate for destruction since it's laminated and cannot be used for entering any future transfer details, in lieu of a duplicate share certificate. And that the concerned member after surrendering the laminated share certificate shall not claim any right thereto.

A public notice can be issued informing the public at large that in respect of xyz flat in the society, the share certificate attached thereto is being destroyed by society as it's laminated and in lieu thereof the society has issued a duplicate share certificate to enable making entry of transfer details. The original laminated certificate is being destroyed to prevent any misuse.

It is pertinent that the original certificate be destroyed since there would be custody issues. That is, if it remains with the society, then he would have the custody of that certificate and who would ensure that it's not misused by mortgaging for any loan, etc. Also the managing committee of society would keep on changing. So it's better to have it destroyed. Letting the certificate remain with the member is also not feasible even if he states in the affidavit that he won't use it for any purpose.

The charges for the above affidavit and public notice can be recovered from the concerned member

Yusuf Rampurawala
Advocate, Mumbai
4673 Answers
28 Consultations

5.0 on 5.0

You can do the following:

1. Make a duplicate share certificate;

2. Add the names of the previous owners and also add the names of new owners on the recent date;

3. You have to show the names of previous owners and the new owners in the duplicate certificate;

4. Also issue a letter on society letter head stating the need to make duplicate certificate,

5. Also under Rule 170 of the society bye-laws every society member who requires a duplicate share certificate shall pay a charges of Rs.100/-;

6. Since one is not supposed to laminate the share certificate, the previous members has to pay the charges;

7. As per the reading of the Rule No.9 of the bye-laws:

b) the Committee of the Society shall issue a duplicate share certificate, “So Marked”, on application to its members on production of following documents.

1. if the share certificate is lost - copy of police complaint lodged, and an affidavit in that regard.

2. if the share certificate is soiled, burnt, torn, disfigured etc. affidavit in that regard.

Gowaal Padavi
Advocate, Mumbai
1844 Answers
2 Consultations

5.0 on 5.0

1) For new purchaser you have to issue new share certificate as society will be charging that new and old members transfer fees and society is going to earn from it . So the new name is applicable on that flat and transfer of ownership is done.

Ganesh Kadam
Advocate, Pune
8268 Answers
69 Consultations

4.9 on 5.0

1. The practice is to issue a duplicate share certificate in favour of the original member and then transfer it in the name of the purchaser.

2. Nothing can be written on the laminated share which shall have to be declared as scrapped and duplicate certificate shall have to be issued after taking deposit of the said laminated share certificate.

Krishna Kishore Ganguly
Advocate, Kolkata
22781 Answers
613 Consultations

5.0 on 5.0

1. An application enclosing an affidavit affirming that the original share certificate has become unusable for being laminated shall have to be submitted before the society praying for issue a duplicate share certificate for the same.

2. A nominal charge might be levied by the Society towards the cost of the said duplicate share certificate which you shall have to find out after contacting the said Society.

Krishna Kishore Ganguly
Advocate, Kolkata
22781 Answers
613 Consultations

5.0 on 5.0

1. Resolve in the Committee meeting to confiscate the original Share Certificate (due to lamination reasons) and preserve on record and THEN further issue of New Share Certificate to the new member.

2. Take Indemnity Bond from new member, indemnifying Society for any future eventualities.

3. Issue New Share Certificate (duplicate) directly in name of new member, AFTER taking appropriate charges as may be decided by the committee members. Old & New Share Certificate shall have the same certificate & distinctive numbers.

4. No further paper-work /notices/ etc.... required.

Keep Smiling .... Hemant Agarwal

Hemant Agarwal
Advocate, Mumbai
2854 Answers
16 Consultations

5.0 on 5.0

The new purchaser is entitled to get the shares of the property transferred from the seller's name to him, if all other necessary formalities are duly complied with, then the society is bound to issue a share certificate in the name of new purchaser as per law.

You can issue a fresh share certificate.

T Kalaiselvan
Advocate, Vellore
58911 Answers
747 Consultations

5.0 on 5.0

An application for fresh share certificate by cancelling the laminated previous certificate after obtaining necessary affidavit and indemnity bonds along with the prescribed fee and administrative charges may be collected.

T Kalaiselvan
Advocate, Vellore
58911 Answers
747 Consultations

5.0 on 5.0

the procedure is simple ask the member to submit a affidavit and indemnity bond and you take the laminated original copy of share certificate and enter in the book of records that since the share certificate was laminated you are cancelling particular serial number of shares issued to mr ___, and are issuing new duplicate share certificate.

Anwar Zaidi
Advocate, Mira Bhayandar
231 Answers

4.0 on 5.0

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