Legal Action against Managing Committee of Housing Society
I AM IN RECEIPT OF NOTICE FROM MY SOCIETY THAT AGM FOR FY 2015-16 WILL BE HELD ON 20/11/2016 ALONG WITH P/L ACS AND BALANCE SHEET AND AUDITOR REPORT. CAN SOCIETY HELD AGM AFTER 30/09/2016 AS IT WAS THE LAST DATE PRESCRIBED BY MCS ACT . CAN WE SAY THAT IT IS A LEGALLY CONDUCTED AGM. IN THE LAST AGM WE HAVE APPOINTED M/S ABC AS OUR AUDITOR FOR FY 2015-16. HOWEVER THE AUDIT REPORT IS GIVEN BY M/S XYZ. CAN THE MANAGING COMMITTEE MEMBERS CHANGE APPOINTED AUDITOR OF ITS OWN WITHOUT PASSING IN AGM. IS THE AUDIT REPORT CAN BE ACEPTED AS LEGAL REPORT. THE SOCIETY PAID PROFESSIONAL FEES OF RS 350000/ AND SECURITY CHARGES OF RS 450OOO/ WITHOUT DEDUCTING TDS IS THE ACT OF MANAGING COMMITTEE VALID OR CAN BE CHALLANGED FURTHER NO SERVICE TAX @ 15 %IS PAID ON THE PROF FEES / SECURITY CHARGES BY THE SOCIETY. .CAN SOCIETY ACCEPT BILLS WHERE NO MENTION OF SERVICE TAX IS MENTIONED FOR SUCH LARGE AMOUNTS. THE AUDITOR HAS POINTED OUT THERE ARE SEVERAL OCCASIONS WHERE PAYMENT ABOVE RS 1500/ IS NOT MADE BY CROSSED CHQ. WHA TCAN BE DONE AGAINST THE MANAGING COMMITTEE. ALL THE OTHER MEMBERS HAVE NO OBJECTIONS BUT IF I ASK ANY INFORMATION OR POINT OUT IRREGULARITIES THESE GROUP FRIGHTEN ME .THAT LEGAL ACTION WILL BE TAKEN AGAINST YOU AS YOU ARE MISGUIDING OTHERS/DO NOT ALLOW US TO WORK. THEY HAVE ALREADY COMPLAINED AGAINST ME IN THE LOCAL POLICE STATION THAT I AM MISBEHAVIG WITH THEM .IF I I POINT OUT THESE THEY WILL FABRICATE SOME FALSE CHARGES AND COMPLAINT AGAINST ME IN THE POLICE STATION TO ESTABLISH THAT I AM A HABITUAL TROUBLE MAKER. PLEASE ADVISE ME AS I AM A SENIOR CITIZEN AN D QUITE FRUSTRATED DUE TO WRONG DOINGS OF SOCIETY. . REGARDS
We are sorry to hear your story. You need not worry as the wrong done by members can be questioned.
Firstly the Annual general meeting cannot be held after 30/09/16 as this is the deadline which is being provided under the act. Section 75(5) of Maharashtra Co-operative Societies Act, 1960 clearly says that in case the annual general meeting is not done within the period or the extended period then the member is disqualified for being elected and for being any officer or member of the committee for such period not exceeding three years. So I will advise going to Co-operative court under Section 90 of MS act.
Secondly the audit report will not be valid as according to the Section 81(2) of MCS Act, it clearly says that the report should be audited from the panel maintained in the register and hence the report will be Invalid and not following the laws will be an offense under Section 146.
Talking about the Tax which was not deducted as source will also amount to offense under the Income Tax Act, 1961. Secondly talking about the Service tax which is paid by society to the member of it, then service tax is not charged, as it comes under the negative list.
Moreover, the cheque should be crossed according to the Section 126 of the Negotiable Instrument Act, 1881 were given uncrossed and which would also be the loss to the society.