Timesof24
The Karnataka authorities has clarified that resident welfare associations can’t be registered beneath the Karnataka Condo Possession Act (KAOA), 1972.
In a Proper to Data (RTI) reply dated January 6, 2023 accessed by Moneycontrol, the authorized division of the state authorities mentioned, “Karnataka Societies Registration Act (KSRA) 1960 and KAOA 1972 doesn’t permit registrations of the RWAs.”
The doc additional factors to Part 3(d), 6(6), 7, 24 and mentioned, “It solely mentions the construction, functioning and rights of the affiliation. However nowhere does it point out registration of the affiliation.”
Thus, within the view of the legislation division, there isn’t any scope for registration of associations beneath KAOA or KSRA, it added.
Advocate Vittal BR, who practises on the excessive court docket, mentioned, “The KAOA is just meant for making immovable property as residences heritable and transferable properties. Even a writ petition is pending on the excessive court docket difficult the grounds for registering RWAs beneath the 1972 Act.”
Issues with KAOA
This comes at a time when a number of builders within the state are pushing associations to be registered beneath KAOA, 1972.
Anil Kalgi, president of the Bangalore Metropolis Flat Homeowners’ Welfare Affiliation (BCFOWA), mentioned solely about 16 RWAs have been registered beneath the Karnataka Co-operative Societies Act (KCSA), 1959, which is the proper Act for registration of associations.
In December 2022, a reply from the state authorities to the Registrar of Cooperative Societies (RCS) had clarified that RWAs will be registered beneath the KCSA, 1959, for the upkeep of frequent areas.
After about 40 years of enactment, the federal government has not notified guidelines for the competent authority beneath KAOA.
“Most builders will attempt to reap the benefits of the gray space and search to register associations beneath the 1972 Act. Nonetheless, in such instances, the homebuyers can’t strategy the sub-registrar’s workplace in case of grievances with the affiliation,” mentioned Kalgi.
Shanthi (title modified on request), a former banker, had resigned because the president of a KAOA-registered RWA in a outstanding Bengaluru housing mission after a number of discrepancies.
“Initially, the developer had communicated that the affiliation needed to be registered beneath KAOA. Moreover, although the affiliation mentioned the bylaws have been registered, in actuality, it was an unregistered doc,” she mentioned.
Dhananjaya Padmanabhachar, president of the Karnataka Homebuyers Discussion board, added that if associations are registered beneath KCSA, 1959, homebuyers can demand conveyance of the land title. “Nonetheless, builders in Bengaluru aren’t executing the conveyance deed as mandated by the Karnataka Actual Property Regulatory Authority (KRERA). Nonetheless, beneath KAOA, 1972 there are not any authorized grounds to problem the identical,” he added.
Sources at KRERA confirmed that the majority builders within the state haven’t executed the conveyance deed. “We’re engaged on this matter and making an attempt to speak to the builders,” a senior official informed Moneycontrol.
Lack of knowledge amongst homebuyers
Vittal mentioned {that a} lack of know-how among the many homebuyers has led to the lacuna.
Kalgi added that it’s not beneath the jurisdiction of KRERA to make sure beneath which Act the RWAs are being registered.
“Now that we all know each KAOA and KSRA don’t permit registration of RWAs, homebuyers must strategy builders to register their RWA beneath KCSA, 1959,” he added.
Most significantly, mentioned Vittal, RWAs must be registered beneath KCSA, 1959 in order that the land title is conveyed to the affiliation. “In any other case, 30-40 years later, throughout redevelopment or demolition, anyone can come and declare the land,” he added.
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