Group of Flat Owners to File PIL in HC on Govt’s Failure to Implement KOFA & RERA Rules
Coming to the Rescue of Residents! Group of Flat Owners to File Public Interest Litigation (PIL) in High Court on Government’s Failure to Implement Karnataka Ownership Flats Act (KOFA) 1972 & Real Estate Regulation Act (RERA) 2016 Rules. And if anyone is interested to join the Mangaluru Flat Owners Welfare Association (which will be formed soon) or need any other information please call Ms Veena Shantharam Prabhu at 9820758431, 9137376462
Mangaluru: There are GOOD Builders, and there are BAD Builders- and many Flat/Apartment owners have suffered under the BAD Builders when it comes to either facility promised/ provided or many other issues. Having fed up with such issues with such BAD Builders, a group of like-minded flat owners have met twice already to discuss as to how they can survive under the hands of such builders, and also seek justice through proper channels by taking stern action against such builders. Pertaining to such issues Team Mangalorean had published a report dated 7 July Ref: https://www.mangalorean.com/conned-owners-buyers-unite-to-fight-flat-builders-who-abused-kaoa-laws-duped-buyers/ when nearly 40 flat owners had attended the FIRST meeting at Casa De Maria, a residence in Kadri- and recently Team Mangalorean had published yet another article on Ref: https://www.mangalorean.com/why-karnataka-apartment-ownership-act-is-important-for-home-buyers/
Once again a few flat owners had met on Sunday at the residence of one of the group members to discuss about forming a Flat Owners Association, and also going ahead a filing a Public Interest Litigation (PIL) in High Court against the Karnataka State Government by the end of July 2019 for its failure to ensure the effective implementation of Karnataka Ownership Flats Act (KOFA) 1972 & Real Estate Regulation Act (RERA) 2016 Rules. Nealy 12 members participated in the discussions, to name a few- Ms Veena Prabhu and her husband-Shantharam, B P Acharya, P B D’sa, Ms Shamala Kamath Pandeshwar and her husband- Radhakrishna, among others- and during the meeting the group also had phone in conversation with Anil Kalgi – an RTI activist and also the President of Bengaluru Flat Owners’ Welfare Association in order to clarify any doubts on certain issues.
Regulations related to the flat construction, sale, transfer of ownership and building society registration which is not followed diligently were discussed- for instance, the competent authority should monitor the expenses by the builder and also address the grievances of the stakeholders. The amount collected from the flat buyers should be deposited in the registered flat owners’ association account by the builder, which is not done by many builders. Also, the modification of the building cannot be done without the consent of the stakeholders, which also is not followed by the builders.
The group also discussed about the failure of the government for not ensuring the effective implementation of the Rules under KOFA 1972 and RERA 2016. Therefore the team of flat owners gathered at the meeting here along with the other flat owners’ welfare association in various cities will collectively file a PIL in the High Court, thereby making the Chief Secretary-Govt of Karnataka; Additional Secretary to the Urban Development Department; and the Principal Secretary to the Cooperative Department as the opposite parties.
As posted by Anil Kalgi in the ‘Kudla Apartment Solution’ Whatsapp page, where he mentions “Please understand our situation don’t take it egoistic manner whether it is a one person’s Issue or many others, what we are reporting /facing is just tip of an iceberg actually we are in deep problems. I understand each and everyone who has joined here wants relief that too quick relief. We may seek judicial intervention to get relief but it is also just temporary. Unless we address the root cause of all the problems, we are not going to get proper justice. Basically, in Karnataka, and even in Mangaluru no Builder has followed proper procedure in handing over the multi Dwelling apartments to the appropriate association”
He adds more stating, “Here no Builder has followed the rules nor the Govt Authorities have insisted to follow the rules that are enacted by the authorities. Please understand already proper rules are regulations are in force. The money-hungry builders and lethargic Govt authorities have not followed and we the citizens are victims. Here everyone’s problems will end if and only, we make Govt authorities accountable and seek proper solutions that are prescribed then only we all can live happily. Therefore, I request all of you to understand this- let’s address the root cause of the problems while addressing our personal issues through authorities and judicially. We cannot give permanent relief unless we make the builders and the Govt authorities accountable”.
Anyone interested to join the Mangaluru Flat Owners Welfare Association (which will be formed soon) or need any other information please call Ms Veena Shantharam Prabhu at 9820758431, 9137376462
SOME OF THE FREQUENTLY ASKED QUESTIONS: Registration of Instruments relating to flats and apartments
Q 1) What are the cases to which the Apartment Act is applicable ?
A – The Act is applicable in cases where the owner or all owners sign the required declaration and register the same as provided in the act. It applies to the apartments used for residential purpose.
Q 2) What is an Apartment ?
A- Apartment is an independent dwelling unit having one or more rooms and part of a building with one or more stories providing access to a place of common usage and road.
Q 3) What is building?
A- Building is a structure with four or more apartments.
Q 4) How to acquire ownership under the Apartment Act?
A- The deed of the apartment should be signed and registered (Please see Karnataka Apartment Ownership Act 1972 and Rules 1975 for details)
Q 5) What is a Flat?
A- Flat is an independent unit of building for use as a residence.
Q 6) What are the conditions to purchase a flat?
A- A developer of flats must register an agreement before accepting the advance of deposit. Such advance, the deposit shall not exceed 20% of agreed condition.
Q 7) How ownership of flat can be acquired?
A- Developer of a flat is required to transfer it to the registered association, cooperative society or company of buyers of flats within the period of the agreement. He should also endeavor for the formation of such an association, cooperative society or company within the prescribed period. Formats are provided in the ‘Act’ for registration of flats. They may be registered after prescribed stamp duty is paid (Please see Karnataka Ownership Regulation of Promotion of Construction, Sale Management and Transfer Act 1972 and Rules 1975. Registration is compulsory. A purchaser will not get ownership title to the flat without registration.
Q 8) Is it necessary to register transfer deeds executed by or in favour of cooperative society?
A- Section 38 of Karnataka Co-operative Societies Act, 1959 is amended w.e.f. 01-04-2001. As per the amendment, documents relating to immovable property executed by or in favour of a co-operative society should be compulsorily registered (Act No.6 of 2001). This amendment applies to flats, apartments built by co-operative societies also.
Q 9) How right is transferred in case of sale of the flat/apartment?
A- Sale of the flat/apartment is as simple as any other sale transaction. A purchaser acquiring rights may register sale deed in office of the Sub Registrar. Purchasers of flats/apartments may note following small difference in transfer of flat/apartment as compared to that of transfer of site, house. Ownership of flat/apartment comprises of the following rights namely,- a) Undivided interest in land; b) Carpet area of the flat/apartment and c) Proportionate share in a common area. The purchaser can become absolute owner of the flat/apartment after the sale of all these three rights together describing in the sale deed and registered.
Q 10) Is it not possible to become the owner of the flat/apartment by purchasing an undivided interest in land only, through a sale deed ?
A- It is not possible to become an owner of the flat/apartment by describing only undivided interest in land in the sale deed.
Q 11) What are the precautions to be taken while purchasing a flat/ apartment?
A- While purchasing a flat/apartment, the following matters may be verified and ascertained that they are correct: (i) Agreement to sell with promoter should be compulsorily registered in Sub Registry Office, there after-sale deed also should be registered. (ii) Permission for the construction of flat/apartment and sanctioned plan should have been approved by City development authority/ Corporation / Municipality / Panchayat. (iii) Whether promoter/seller has the right to sell the property. (iv) If sale transaction is by a General Power of Attorney holder whether general power of attorney is valid on the date of transaction/sale deed. (v) Flats/apartments constructed in violation of sanction plan should not be purchased. (vi) Verify whether occupancy certificate is obtained from the local authority. (vii) Verify whether a deed of declaration and Co-operative society or company is formed and registered.
Q 12) Is it valid to get transfer ownership of flat/apartment through a transfer of share by the co-operative society without a registered deed?
A- It is not legally valid. Co-operative Societies who allot flat/apartment to its members should compulsorily register sale deed in Registry Office under Registration Act, 1908.
Q 13) Is there any concession of stamp duty for sale deed relating to flats/apartments?
A- No.
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