Maharashtra's Cooperative Housing Societies to See Significant Changes: New Rules on the Horizon

The Maharashtra Co-operative Housing Societies (MCHS) rules are finally set to be released by the end of March.

The regulations were drafted after thorough discussions between senior bureaucrats, officials, and members of state housing authorities.

The Maharashtra Co-operative Housing Societies Act (Amended) were introduced on March 9, 2019; though, its rules for implementation should have been introduced within six months to a year. The Act aimed to introduce a much-needed set of reforms to the cooperative housing society sector in the state of Maharashtra. However, experts claim that the delay in releasing the rules had a negative impact on functioning of housing cooperatives.

The new MCHS regulations will enable cooperative housing societies to offer better amenities and services, achieve redevelopment/self-redevelopment, and adhere to the ease in doing business criteria. It's worth noting that almost 50% of the state's societies would benefit from the new regulations. There are about 1,25,000 cooperative housing societies located in Maharashtra.

The proposed regulations will enable joint members holding flats in society to take hold of the property together. They will also encourage holding members accountable for adhering to resolutions adopted by the general body and set a deadline for leaving properties for redevelopment. The regulations will include provisions for generating funds for redevelopment and self-redevelopment, as well as procedures for filling ad hoc vacancies in the committee and for providing education and training.

MahaSEWA's founder and chairman, CA Ramesh Prabhu, stated that the modified laws will benefit housing societies. The new act has explicit measures about the right to information. Without the MCHS regulations, the modified Act is useless.

Attorney Vinod Sampat believes that officials are not performing their duties correctly. Every time a change to the Act is suggested, the officers should conduct the necessary research. The rules' framework should be created for the act to be made public. The proposed regulations will go a long way in addressing the various concerns and challenges that cooperative housing societies in Maharashtra face.