Legal Question in Real Estate Law in India

Our is a Co-Operative Housing Society formed under Registration no MUM/W KE / HSG / TC / 12293 / 2003-04 on 2th Dec 2003 by Members in absence of any co-operation from the Builders. Hence Conveyance is also pending. Each member who purchased flat from the Builder has signed an Agreement which has a clause that premises would strictly be used for residential purposes only.

In the initial years lot of members had sublet their flats and the people who took these flats on lease/rent were running commercial establishments. After lot of discussions in AGM, follow up with concerned members and persuasion Managing Committee/Members were able to get rid of the Commercial establishment. Now only very few members are using the premises for running their own offices. Few such members only run their offices while a couple of them run their offices but also stay in the premises.

In the initial years Society was recovering Property Tax as charged by MCGM and Maint Charges from each member. In last couple of years Society has built a good reserve and as income from hoardings and rental from Mobile towers is sizeable. On account of this about 2 years back a resolution was approved by Majority in AGM that society would not recover property Tax and Maint Charges from members who are using their flats for strictly residential purposes and to whom MCGM is charging property tax at residential rates. This benefit was not extended t to members who were running Commercial establishments/activities. Hence Members running Commercial activities were charged Property tax equal to what MCGM charged+ Maint Charges were being charged. Since last year or so Society has started charging Maint Charges of Rs 1,000/- per flat from members who are using flats for residential purposes while recovering full Property Tax and Maint charges from members running Commercial establishments.

Is this decision of the Society of recovering Property Tax as well as levying Maint Charges to Members running Commercial establishments while exempting members using the flats for residential purposes ( approved in AGM by majority) legally correct in terms of Societys Act, MOFA, Bye Laws or any other applicable Law or does it violate any of the above laws.

Further would running a clinic by doctor, Office by a Lawyer or Chartered Accountant (who is a member of the society any may or may not stay in said premises) from such residential premises is construed as running as commercial establishment?

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