Bhubaneswar: In a historic decision, the Bhubaneswar Development Authority (BDA) has issued a landmark order in favour of an association of allottees of a major residential project.
The order issued by the BDA empowers the association to disconnect essential supplies to some units in the project if they fail to pay the monthly maintenance charge for a continued period.
Sources said the association of allottees had moved the competent authority with a complaint about the non-payment of common expenses by some flat owners.
After hearing the plea, the BDA passed the order in favour of the allottees’ association, citing the provisions in the Odisha Apartment (Ownership and Management) Act of 2023.
As per the case history, four of the house owners out of the total 160-odd houses in the project refused to pay the monthly maintenance charge to the association. They claimed that it had not registered as per the act so far and that the maintenance of the common area and facilities in the apartment should be taken care of by the promoter.
However, the secretary of the association maintained that the association had already been registered, and the common areas and facilities had been handed over to the association. For the maintenance of the common areas and facilities, a fixed individual contribution must be made by each of the allottees, the association stated.
After examining the matter, the BDA referred to Section 19(1) of the 2023 Act, which empowers the association to suspend essential services if a resident fails to contribute toward common expenses for over three months.
The BDA directed the defaulting residents to settle their dues within one month of the order’s issuance. If the payments are not made within this window, the association has been granted the liberty to act per the law, including disconnection of essential services.