• One registered apartment owners without elections accounts running society

I am residing a 3bh in apartment in Karnataka Bengaluru. Our apartment registered under society Act 1960. No elections were conducted from 6Yrs. unelected Ad-hoc some persons running it their style. No accounts, one day night they call for AGM they have conduct AGM next day nobody came forward for to take-up we continue this for another tear they don't want to conduct elections to avoid handing over records to lea gel ensuing team. No body wants involve also as there is no registration no audits for 6 long years with any documentations' AGM with proper notice either 21 or 14, they are taking all big and small decisions without any consent of owners. they also cornered 3bhk owners by not giving voting rights to 3bhk on sft basis( only 20 bhk are there and remaining 36 bhk are 2bhk) even though 3bhk are paying 1.5 time more them 90 percent of this self elected Ad-hoc MC running from 6years as said above. one of the Ad-hoc member expressed on record by saying since we are running the association we have better visibility. we should be the decision making body not all. he is Treasurer. Also he expressed his opinion on record president ha shown the accounts. That is a downloaded bank statement. In his AGM meeting online President communicated the require funds for GYM renovation and equipment 3.5 lak, swimming pool renovation are 2laks, and bore well charges are nearly 6 laks. now we are spending 8.5laks water chargers per year and already paid 17laks. But later when we pursed we got lowest quoting com to 3,5 laks. They have already prior to AGM gym work started without any sinking fund in hand this is better visibility. Instead of going for new bore which saves 77k in month( if we go for loan also we can clear it in one year and the said fund can used in phase wise in next prioritised worsts
Thanking you
Kradhakrishna
Asked 8 months ago in Consumer Law

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9 Answers

You have to note down all the problems and discuss the same io the general body meeting of the society.

If the committee members are not listening or doing the things as per their own will and wish and if there are violations of the bylaws then the members can submit a detailed complaint to the deputy registrar of cooperative societies and can inform the registrar to dissolve the present committee  and pass order for fresh election to elect office bearers as per by laws and to appoint an ad hoc committee as per rules. 

It is no secret that corruption runs rampant where power is centralised. In the case of the managing committee of housing societies, certain dishonest members or office bearers embezzle funds for personal benefit and some committee members pay no heed to such malpractice.

As a proactive and vigilant member, you should be aware that you have the legal right to inspect any and all of the society’s financial books and statements. If your society denies this right, it is liable to pay Rs 25,000 in penalty. Attend the annual general meeting to take stock of the society’s financial transactions. Ensure that the Auditor who performs society’s annual audit is hired from government approved panel. Appoint an honest internal auditor from within the society. Finally, approach the Registrar or the court (as RTI action) to highlight unresolved cases of financial debauchery.

Dictatorial behaviour by the committee members is noticed in many Indian societies where the sitting Managing Committee refuses to conduct a fresh election (to be held every five years). Same members retain their position and misuse their authority to bully or manipulate members out of their rights. ou should make a complaint to the managing committee, which should ideally respond to your objection in 15 days. If no remedy is found, you have the right to approach the local Registrar or the co-operative court.

T Kalaiselvan
Advocate, Vellore
90295 Answers
2513 Consultations

You can file complaint to Dy registrar for appointment of administrator and for conducting elections 

Prashant Nayak
Advocate, Mumbai
34752 Answers
252 Consultations

Complain to registrar regarding failure to hold elections ,furnish audited accounts 

 

seek appointment of administrator 

 

 

Ajay Sethi
Advocate, Mumbai
100092 Answers
8174 Consultations

Lodge a written complaint with the jurisdictional registrar of societies about the unlawful activities of the office bearers. Send them a legal notice through a competent lawyer and proceed further in consultation with him/her for necessary remedies.

Swaminathan Neelakantan
Advocate, Coimbatore
3088 Answers
20 Consultations

Seek appointment of auditor by representing to Deputy Registrar. He will audit all accounts and check record. Also seek dissolution of ad-hoc committee and fresh election.

Ravi Shinde
Advocate, Hyderabad
5133 Answers
42 Consultations

The Karnataka Societies Registration Act, 1960, is meant for societies promoting charitable, literary, or scientific purposes, not for apartment owners’ associations managing common areas and maintenance. Registering an apartment association under KSRA is legally incorrect. Such associations should be registered under the Karnataka Apartment Ownership Act, 1972 (KAOA) or as a cooperative society under the Karnataka Co-operative Societies Act, 1959 (KCSA), as mandated by Section 10 of the Karnataka Ownership Flats Act, 1972 (KOFA).

The ad-hoc committee’s actions are legally untenable due to improper registration under KSRA, 1960, lack of elections, absence of audits, invalid AGMs, unfair voting practices, and financial mismanagement. You have strong grounds to challenge their authority and seek remedies through the Registrar of Societies, Karnataka High Court, RERA, or consumer courts. Start by demanding a proper AGM and elections, escalate to the Registrar if needed, and consider re-registering under KAOA or KCSA for long-term compliance.

Gaurav Ahuja
Advocate, Faridabad
158 Answers

As per Karnataka Societies Registration Act, 1960 and Karnataka Apartment Ownership Act:

  • Elections must be conducted regularly; 6 years without election is illegal.

  • Accounts must be audited and presented annually; absence of audit is a violation.

  • AGM must be properly notified (minimum 14 or 21 days' notice), with agenda circulated.

  • All flat owners (including 3BHK) have equal voting rights; denying votes based on flat size is not valid.

  • Major financial decisions without proper approval and transparency can be challenged.

You may:

  1. File a written complaint to the District Registrar of Societies.

  2. Demand audited accounts, proper elections, and fair representation.

  3. Approach Consumer Forum or Civil Court if no corrective action is taken.

Shubham Goyal
Advocate, Delhi
2155 Answers
17 Consultations

Dear Client,

What You Can Do (Step-by-Step Action Plan):

Pre Legal 

Pre Legal Things you can do is to put internal pressure and demand documentation 

Form a Group: Find other like-minded owners, especially from 3BHK flats, who are also concerned. 

Request Documents (Formal Written Request): First you need to read the bye-laws of your society and then Request documents from the ad-hoc President/Secretory by referring to the bye-laws of your society exercising your right to inspect documents and establishing a reasonable timeline for them to reply(for eg. 15 days to reply). 

Issue a Formal Notice (with Group Support): State the violations (no elections, no audits, improper AGM, unequal voting, unauthorized expenditure).

Demand that they:

  • Immediately call a legitimate AGM with proper notice (as per bye-laws) for the purpose of holding elections.
  • Provide audited accounts for the past 6 years.
  • Cease all unauthorized expenditures.
  • Explain the voting rights discrepancy.

Give a firm deadline (e.g., 15-30 days).

If they fail to provide documents or respond adequately, and once you have clarity from bye-laws, send a formal notice (signed by your group of owners) to the ad-hoc committee.

Legal Intervention

If the above mentioned things doesn’t work out then you can proceed for legal intervention

Complaint to the Registrar of Societies (Most Effective First Step):This is your primary recourse. File a detailed complaint with the Registrar of Societies, Karnataka, which is the authority overseeing societies registered under the 1960 Act.

Grounds for Complaint:

  • Failure to Conduct Elections: Clearly state no elections for 6 years, which is a direct violation.
  • Financial Irregularities/No Accounts/No Audit: Highlight the lack of audited financials, the "bank statement" excuse, and unauthorized spending.
  • Violation of Bye-Laws: Mention the improper AGM notice and any other bye-law violations (e.g., voting rights).
  • Mismanagement: Detail the Gym/borewell expenditure issues.

Required Documents: Attach copies of your earlier complaints, requests for documents, any evidence you have (photos of work, meeting minutes if any, their statements on record).

Relief Sought: Request the Registrar to:

  • Direct the ad-hoc committee to immediately hold elections under the supervision of the Registrar's office.
  • Order an inquiry into the financial affairs of the society.
  • Direct them to produce audited accounts.
  • Take action against the defaulting committee members.

The Registrar has significant powers under the Act (e.g., Section 25 regarding inquiry into affairs of registered societies) to intervene and enforce compliance.

I hope this answer helps. In case of future queries, please feel free to contact us. Thank you.

 

Anik Miu
Advocate, Bangalore
11114 Answers
125 Consultations

- As per the Karnataka Societies Registration Act, elections must be conducted once every 1-3 years , and the committee without elections is invalid.

- Further, as per law the annual audits and returns must be filed with the Registrar of Societies every year, and in the absence of filing it can lead to penalties and even cancellation of registration.

- Further, A bank statement is not an audited account, and so Society must provide a full income-expenditure statement, balance sheet, vouchers, etc.

- Further, voting rights must be as per bylaws, and unless bylaws allow it, denying voting rights based on flat size (2BHK vs 3BHK) is illegal and discriminatory.

- You can lodge a complaint before the Registrar of Society . 

Mohammed Shahzad
Advocate, Delhi
15881 Answers
244 Consultations

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