Registrar Calls For a Financial Re-Audit of Oberoi Splendor CHS at JVLR

A Call for Transparency Regarding the Financial Mismanagement at JVLR's Oberoi Splendour CHS

The prestigious Oberoi Splendor Cooperative Housing Society (CHS), a residential complex renowned for its opulence and ideal location, is situated in the centre of JVLR.

However, the reputation of this society has been tarnished by serious allegations of financial irregularities, which the residents of this community are presently battling. This article examines in depth the troubling issues that have been brought to light, focusing on the alleged mismanagement of significant societal funds.

An Analysis of Allegations of Financial Misappropriation

The residents of Oberoi Splendour CHS have expressed distress over the alleged misappropriation of a sizeable sum of money from the society's maintenance accounts. Funds were allegedly misappropriated for personal benefit and corruption, producing a disquieting atmosphere in one of JVLR's largest apartment complexes. Reportedly, the annual revenue of Oberoi Splendour CHS is a staggering 25 crore rupees, a fund that appears to be embroiled in a number of controversies.

Initial Ignorance and the Growing Vocalisation

Despite the persistent complaints about corruption and fraud since 2016, it seems that the cooperative officials turned an indifferent ear to the grievances of the residents. According to the allegations, the managing committee engaged in corruption through relationships with law firms and consultants, diverting society funds for personal gain and other illicit purposes.

T.S. Natrajan, on behalf of a large number of society members, filed a formal complaint with the Deputy District Registrar of Mumbai in June 2022. This was a turning point. The complaint, which was facilitated by attorney Mohit Bhardwaj, demanded a re-audit of the society's accounts and the removal from the council of auditors who were allegedly implicated in the financial irregularities.

The Complaint Petition: Exposing Financial Inconsistencies

The complaint petition outlined multiple points of contention, accusing the managing committee of excessive financial mismanagement and misappropriation of society funds.

Among these allegations are:

Misappropriation of Maintenance Funds:

Reportedly, approximately 4 crores of rupees were used for the personal legal expenses of the managing committee members and their associates, which was viewed as a flagrant misappropriation of the society's funds.

Unlawful Transactions with the Builder:

Allegedly, the committee facilitated the payment of 25 crores rupees to the builder's purveyors without legal authorization, a sum presently valued at 53 crores rupees.

Uncollected Club House Deposit:

According to reports, the society failed to collect the club house deposit from the contractor, which is currently worth over 32 crores of rupees.

Unauthorised Expenses: It was discovered that expenses in excess of one lakh rupees were routinely authorised without the prior approval of the General Body, totaling 2.37 crores rupees. This misconduct reportedly prevented many members from accessing society services, despite the fact that they paid for them.

Loss of Floor Space Index (FSI):

The committee members were accused of signing a collusive consent term with the contractor, resulting in a substantial loss of FSI totaling several hundred crores of rupees.

The Re-Audit Initiative, or Steps Towards Justice

In a recent development, in July 2023, Sanjay Nikam, Deputy Registrar Co-operative Societies of K-East Ward, recommended a financial re-audit. The recommendation brought optimism to the residents.

The Deputy District Registrar of Mumbai, R. Veer, instructed the District Special Auditor Class 1 to appoint an auditor to conduct the re-audit in response to this recommendation. Therefore, Manisha P. Patil was appointed to supervise the re-audit for the fiscal years 2018-2019, 2020-2020, and 2021-2022.

Residents' Complaints and the Quest for Discretion

Despite the gravity of the allegations, the residents accuse the previous auditor, Priyesh Khirad, of shirking his responsibility by failing to inform the registrar of the evident issues and by suggesting the filing of a FIR.

Residents are increasingly appreciative of Deputy Registrar S.V. Nikam's impartial approach to managing complaints, as society's voices are becoming increasingly audible. The residents have high hopes that the newly appointed auditor will uncover the financial manipulations that have plagued the society.

In addition, the residents deplore the increase in their quarterly maintenance fees, which could have been substantially reduced if the funds had not been misappropriated. Many are pursuing justice through a variety of means, including submitting police complaints and confronting the Andheri court to prevent the misappropriation of funds in the future, particularly in relation to the personal disputes of committee members.

Mohit Bhardwaj, an attorney, emphasised the need for police assistance in unravelling the complex web of financial irregularities and identifying those who concealed the misappropriated funds.

Conclusion:

A Call for Accountability and Transparency

The residents of Oberoi Splendour CHS fervently desire a comprehensive and transparent investigation into the alleged financial malfeasance. This case serves as a powerful reminder of the importance of accountability and transparency in the administration of cooperative housing societies, ensuring the safety of residents' hard-earned money and nurturing a community based on trust and honesty.

It is imperative that justice prevails in light of these allegations, revealing the true extent of the financial discrepancies and holding the responsible parties accountable. It is a call to restore the former grandeur of JVLR's Oberoi Splendour CHS, paving the way for a future based on transparency, trust, and fiscal prudence.