Change in MOFA Act and Rules

0 have signed. Let’s get to 500!


Honourable Chief Minister Devendra Phadanavis, 

Housing Minister, GoM

Minister of Cooperatives, GoM


We pray that you  review the provisions of  section of MOFA 10 (1) provision of forming a company.

Currently builder's are using this provision to harass flatowners.

The MOFA act doesn't stipulate any rules or specifications regarding clauses and process / requirements of such company.

And Registrar of companies do not entertain complaints by the flatowners stating it is beyond their preview..

We 350 flat owners  of Mayuresh Residency have been running gillar to post for Justice for the past 1.5 years. Builder did a breach of contract and stalling our society registration application in the name of company he incorporated by keeping us in dark, and in violation of our flat sale agreement. He had even collected money from us for society registration and still harassing us. We have been shuttled in the cooperative system as well. Mr. Arif Mohammed, Jt Divisional Registrar of Co-op, took nearly  9 month just to pass a remand back order, on the petition filed by the company incorporated by the builder. Now for the past 4 months we are running in circles at the DDR2 Dr. Sonawne's office. He moved the file to himself from the Asst.registrar of cooperatives, based on the application filed by the builder.  DDR2 , Eastern Mumbai , issued an notice of hearing on 4th March 2018 , the proceedings went on  for 3 months, finally we met with Chief Secretary cooperatives for justice. CS went through our case documents and directed the DDR2 to take as per provisions of law, that flat owners should not be harassed. If the registered flat sale agreement states that society has to be registered, then that has to be upheld. The file was then closed, on 31st May 2018, by th DDR2.

The case is now stuck on the premise, that a company has been incorporated by the builder, and hence since one legal entity has been registered then how can society be registered.

So the builder does breach of contract, collects money for society registration and goes ahead incorporates a company and again uses section 10(1) provisions to stall and harass. 

Builder now to.manipulate further has submitted an affidavit and statement asking the DDR2 reject our application of society registration under non-cooperation, and that he be given one months time to "initiate" society registration process.

Now it's over a month, we are awaiting DDR2 order.

Our query:

1) now if the DDR rules in favour of builder, the builder goes Scott free despite the mental harassment and cheating he did of the flat owners. 

2) when we wrote to ROC, Mumbai, we got a response that it's a case of breach of contract or MOFA hence they are not the competent authority. Anybody can incorporate company. In our case when the board of directors didn't have the write to even exercise - the object stated inArticle of Association, how was the company incorporated? The provisions in the AoA of the company incorporated by the builder violates the basic spirit of MOFA. 

But due inadequate rules or guidelines.. it case in balance.

We are now forced to wait out now for DDR order, which if it is ruled in favour of builder, we will have to again go to it divisional registrar , then the cooperative minister, and then HC.. 

All because the builder did a breach of contract and incorporated a company.. we therefore plead that adequate guidelines and stipulations and redressal mechanism details be also incorporated in MOFA rules with regards to incorporation of Company under section 10 of MOFA.