Challenges in my Apartment Association - Legal Dilemmas, Financial Irregularities, and the Elevator
I reside in an apartment complex housing 35 flats where a few owners have formed an association under the Karnataka State Co-operative Society Act of 1960. Despite my consistent contributions to the monthly corpus fund and maintenance, the association insists on an annual payment of 2 lakhs for painting, water, and repairs.
A recent demand has surfaced, urging residents to contribute towards replacing the lift, valued at 16 lakhs. However, the current lift is operational. Consulting with a third-party vendor revealed issues with the elevator's license renewal.
Government records indicate that the elevator held a license from 2009/2010 to 2020 with the DEPARTMENT OF ELECTRICAL INSPECTORATE, Government of Karnataka. Safety inspectors highlight the need for minor fixes, but the existing vendor's AMC company failed to renew the license. Despite the Owners Association's lack of objections, a subset of individuals is pressuring me with notices and penalties to purchase a new lift, even influencing tenants to apply pressure.
Complicating matters, the apartment lacks an occupancy certificate (OC), yet new vendors are being invited for procuring and installing a new elevator, posing a serious violation and endangering residents' lives.
Adding to the complexity, maintenance funds have been collected for ten years without any financial audits.
Recently, I discovered a high court judgment questioning the legitimacy of operating an apartment association under the KSCA 1960:
Chitramala Land and Flat Owners vs. Government of Karnataka (WP No. 23674 of 2021 C/W WP No. 99 of 2021).
Mr. Hari Yogendra Tripathi vs. State of Karnataka on 21 November 2022 (WP No. 1685 of 2022 C/W WP No. 16654 of 2021 WP No. 293 of 2022).
VDB Celadon Apartment Owners Association vs. Mr. Praveen Prakash (November 06, 2019).
In light of these challenges, I seek guidance on the legal avenues available to serve notice, dissolve this association, and potentially pursue legal action against those responsible.