Notice against notice of annual general meeting of CGHS
A letter receive from a public servant against notice of AGM by a co-operative group housing society in Delhi is hereby published for the benefit of readers.
Sub- Undated ,Unsigned Letter for Convening General Body Meeting of
- I take this opportunity to draw your kind attention to an undated, unnumbered and unsigned letter (copy enclosed) received by post on behalf of Managing Committee calling for GBM with no mention of place and time. It is pertinent to mention here that as per Bye Laws 18(d) of Cooperative Group Housing Society registered under DCS Act 2003 or before, requires the notice and agenda for the GBM to specify place and time along with date. Further, the said post cannot be construed as a notice for convening General Body Meeting as it contravenes Section 31 of The Delhi Co-operative Act 2003 read in conjunction with Rule 38, 48(3), 51(6), 52 and 60(3) of Delhi Cooperative Societies Rules 2007 and the omissions are highlighted in subsequent paragraphs ad seritatim (as per enclosure).
- “Audited balance sheet….. The account book for the period till December 2016 has been prepared and will be shared with residents”.
- This contravenes Rule 38 of Delhi Cooperative Societies Rules 2007 which stipulates:-
‘Closing of Accounts : – Every co-operative society shall maintain accounts and books for the purpose of recording business transactions by it and close them every year on 31st March, by the 30th April. …. For the purpose of calling the annual general body meeting as provided in section 31 of the Act, the date fixed for making up the accounts, for the year shall be 30th April of each year’.
- Rule 48 (3) of Delhi Cooperative Societies Rules 2007 lays down that ‘Quorum of a General Body Meeting’ and mandates ‘ If within half an hour from the time appointed for the general body meeting, the quorum is not present, the General body meeting shall stand adjourned for fifteen minutes on the same day, which should be specified in the notice calling the general body meeting’, which has not been mentioned.
2. Rule 51 (6) of Delhi Cooperative Societies Rules 2007. ‘Length and service of notice for calling general body meeting’ specifies that ‘The notice of an annual general body meeting shall be accompanied by a copy each of audited balance-sheet profit and loss account together with the audit objections thereon relating to the preceding year and the report of the committee, in addition, the copy of the audit report may also be shown to member at the time of general body meeting’.None of the above mentioned documents have been forwarded along with the letter.
- It is pertinent to mention here that the ‘report of the committee’ must give details of the activities undertaken by Managing Committee for the period under review necessarily covering aspects listed from sl (i) to (iv) besides other listed from sl (v) to (vii) below :-
- The details of Auditors .
- Notices / orders received from various authorities eg RCS, IT, Fire Dept etc and action taken during the period under review.
- List of legal/ court cases pending, their status and expenditure details.
- Certification of Fire Fighting and other installations such as Lifts etc as mandated.
- Brief on the works proposed, cost estimates for which funds have to be raised along with permission from the competent authorities to undertake the work, procedures followed in short listing vendors etc.
- List of residents with details of illegal encroachment as mentioned.
- Details of pending dues in respect of maintenance and development funds as mentioned and action taken so far.
- There is no mention of minutes of the last GBM to be approved. In fact, minutes of last GBM were not served to the members/POA holders, which clearly contravene Rule 52 of DCS Rules 2007. Even if the minutes are read in the meeting there is no time given, rather there would be no time for members to scrutinize and deliberate on the audited balance sheet and other documents. It may be noted that this is a deliberate attempt by MC of the society to hoodwink the laid down procedures in order to cover up mishandling of accounts and the illegal activities undertaken so far.
3. In view of the foregoing, it is submitted that the letter quoted ibid (and with copy enclosed) does not qualify to be treated as Notice for General Body Meeting within the ambit of The DCS Act 2003 and Delhi Cooperative Rule 2007 and any business transacted during the said event, therefore, be treated illegal and held null and void. Further, your good office is requested to conduct an inquiry to investigate into the violation of the DCS Act 2003& DCS Rules 2007 by the Managing Committee of the society, immediately.
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