SGM for Corpus Fund*

 *Dear Friends,*

*Ref: SGM for Corpus Fund*

• The society has called for an SGM in which they propose to change the name of the Repair Fund to Corpus Fund and continue collecting it for a period of 2 years starting April 2025.

• *This means that the society does not require Repair Fund now.*

• Some reasons given by the MC to collect Corpus Fund is to replenish the Sinking Fund spent on repairs.

• As per the Law, there is no need or provision to replenish the Sinking Fund by creating another Fund.

• Gathering of Sinking Fund is a continuous process - it is part of Maintenance Charges and keeps on getting replenished every month.

• They are proposing 2 things with the Corpus Fund -

1) To collect it for 2 years and,

2) Make it part of the Maintenance Bill.

• *Both things are illegal. As per law, the General Body of the society can decide on any charges only on *yearly*basis and not further.,*

*Also, they cannot, include new items in the Maintenance Bill without amending the byelaws and getting them ratified by the Dy. Registrar.

• *There is no need to create a seperate Corpus Fund. Members can contribute and will contribute if required for anything - as and when - after a proper proposal is given by the MC.*

In 2018 too, the MC had tried to force a huge Corpus Fund on members - to which I had raised objection. Read my letter to DDR then - it is self explanatory.

*So much for now*

Regards,

Dayanand Nene