Can managing committee utilize society funds to appeal orders regarding their dismissal? Can managing committee utilize society funds to appeal orders regarding their dismissal?

5 years ago

Can managing committee spend society funds to appeal orders regarding their dismissal? The committee has been dimissed under Section 77A of the MCS Act for not holding elections. The managing committee has already spent 25000 on lawyer fees from society's accounts to defend their case before the Dy. Registrar. Now they are planning to appeal the order before the Joint Registrar by hiring lawyers using society's funds. Are they allowed to do that?

Junaid Ali Khan

Responded 5 years ago

A.Once the committee has dismissed, the dismissed members are no longer part of the committee so they cannot use the society funds.

Interim management committee or some other option must be exercised to form a new committee by the existing members of the society.

All the members of the committee must call an EGM and decide unanimously and convey to the bank in which the socity has accounts that the earlier committee has been dismissed and a new committee has taken its place.

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Kishan Dutt Kalaskar

Responded 5 years ago

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A.Dear Sir,
It is their individual grievance as such they cannot use such funds.
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Rameshwar Dadhe

Responded 5 years ago

A.If they are terminate from register then don't have any such rights. U should file complaint against them immediately to the register. And inform about it without delay
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