Society imposes charges without approval of AGM


Under the DCS Act and the DCS Rules, the Managing Committee is required to make a budget estimate for the future year and according divided the total expense in number of members and drive out monthly demand per member to be made by the society. This estimate / budget may be increased or decreased or may be passed as proposed  by the General Meeting called for the purpose or the Annual General Meeting of the Society.

No demand should be raised by the Managing Committee until and unless the General Meeting has given approval of such a demand in properly called Annual General Meeting or Special General Meeting called specially for this purpose.

One of the Society had made a demand of money without such approval and a member of the society raised the objection before the Registrar of Co-operative Societies in the following manner.

Dated: 01.10.2012

The Registrar of Co-Operative Societies
Old Courts, Sansad Marg, New Delhi – 110001

Dear Sir,


  1. I wish to bring it to your kind notice that President of the Society Mr. Rakesh Kumar, has issued Circular dated 04.01.2012 (copy attached) and a Circular dated 06.06.2012 (copy attached), putting additional financial burden on the members.
  2. Please note none of these matters have been approved in a properly convened general meeting of members, as no general meeting has been held for the last One Year in this Society.
  3. Please further note that Bills demanding money as per Circular are being delivered to members and on violation, interest and penalty is being charged & recovered.

In view of the above, you are requested to

(A) Set aside all demands raised through Bills illegally

(B) Take necessary action against the Society as per law, with a copy to me.

Yours faithfully

Raminder Singh Sahota
Advocate & Member No.173




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  • Vishwas Kumar says:

    The builder of the Society is having majority of his known persons in all the meetings. He has made most of his worker employees as members of the Society but all the matters are decided by one person the Builder. The builder is the financier of all the employees. The builder has imposed undue charges heavy penalty and charging lot of money on water. Please help us to get rid of exploitation by builder, we are 38 members of the Society on one hand the builder is having 45 members. Now he has imposed all the charges without passing it in the General Meeting and we are very much depressed. Please help us. We are ready to pay fees for advice and also for filing writ petition in any court or in RCS office or CM or LG or even PM.

    Please respond earliest

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  • Khan says:

    My society consisting of all muslim friends have imposed charges after having a meeting in a religious place and did not call a SGM / AGM. No notice was given. Please let me know whether it is valid or not ????

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  • Vishal Gupta says:

    The managing committe has imposed charges without approval of SGM

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  • Janardhan says:

    Our President of the Society has also issued circular demanding Rs.500/- increase from all the members without calling AGM / SGM. Please advise ??

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