Society transfer fee - flat was purchased before formation of soc
1. I purchased a flat from a seller. During the purchase, the society was not yet formed. So the owner paid cash to builder and obtained NOC for our sale.
2. The builder did not acknowledge the request to replace 1st owner’s name with mine, although he was paid in cash for NOC.
3. Now the 1st AGBM is planned for the newly formed society in couple of months, and I was told that to transfer the share certificate [which is currently on 1st owner’s name] society would be demanding transfer premium charges. The amount will be decided in AGBM.
I would like to know if society has any rights to charge the transfer premium in this case, as the deal was done before society was even formed?
Asked 4 years ago in Property Law from Pune, Maharashtra
1) the deal may have been done but flat is not transferred in your name in the records maintained by builder and handed over to society .
2) request builder in writing to intimate to society that transfer charges had been received by him from seller .
3) in any case society cannot charge you more than Rs 25,000 as transfer charges
Thank you for the answers. I do have further queries:
1. If we are able to get in writing from builder about transfer charges received [which is most unlikely as the deal was done in cash, hence no proof is available], will society be still eligible to charge transfer premium from me?
2. As the deal was done prior to formation of society, does society still has rights to charge transfer premium?
Asked 4 years ago
1) society will proceed as per records furnished by builder . in the vent flat is sold before formation of society builder has to a time of formation of society inform the society about name of new flat owner . if builder intimates society then it wont recover any transfer charges from you .
2) in your case it appears that builder has pocketed the cash . seller has no proof of payment made . society will proceed in recovering transfer charges from you as it has not been intimated by builder about sale of flat .
Builder has to inform the Society the list of members whose transfer charges he has received and in that case the society will only charge you a nominal amount. If the builder does not acknowledge the receipt of transfer charges from you, then the society may once again charge you the transfer charges, since you have paid the transfer charges to the builder by way of cash and the builder does not acknowledge it.
You should have paid to the Builder only the flat consideration and not transfer charges. Now the damage has happened. You pay the transfer charges again to the Society. The Society in turn recovers the same from the Builder and return the charges to you. If the Society is not interested in that, you can personally file a consumer case against the Builder by making the society as a party for recovery of the transfer charges along with damages and legal expenses.