All you need to know about Resident Welfare Association (RWA)

Introduction:

Imagine yourself that you purchased a nice house property after years of earning and saving and finally you shift and start living there, but once the builder hands you the property you come to know that the property has been made on land with the imperfect title or is lacking in the basic amenities like poor water or electricity connection, etc. What will you do? Who will give assistance or proper advice to you? This is where the role of the resident welfare association(RWA) comes into play.

What is RWA?

A Resident Welfare Association (RWA) may be defined as a non- governmental body that represents interests of the people living in a specific urban society, locality or community, particularly in an urban society. The association has the responsibility of managing day to day problems of the residents, organizing events, managing facilities in the apartments and complexes and safeguarding the rights of the unitholders. n urban cities like Delhi &Mumbai, you will find that residential colonies are having an RWA for each block and each colony. or example, if you are living in Dwarka F block in Delhi, it will have its own and independent RWA. Thus, an RWA association is an integral part of modern-day societies, with thousands of families living together in such societies and townships it becomes very necessary to have local machinery of members who are responsible for time to time management of the society, hearing and resolving their solutions, organizing events and ensuring a safe and securing environment for the members.

For the most part, the association is a group and recognized as an Association of Persons (AOP) under the Indian Income Tax Act,  of members chosen by the society members. When chosen, the RWA Registration needs to register under the Societies Registration Act, 1860 and is administered by constitutional documents such as Memorandum of Association that illustrates their rights and objectives. At least seven individuals could subscribe in their name for MOA for registration under Registrar of Societies to shape themselves into a Society under Societies Registration Act, 1860.

RWA Registration could be lawfully framed by a group of Resident Owners. The requirements for registration differ from state to state. With Least 7 Individuals in the state could apply for RWA registration with Jurisdictional Registrar Office. In numerous states, Builder Apartment or Group housing society covered under state Apartment Act and therein Apartment Owners Association (AOA) Resident could be formed. Also, in different cases, RWA can be formed as well.  However, these associations run on subscriptions acquired from members and this is exempt on the mutuality basis in the view that nobody could make income out of himself.

Background:

RWAs are not official organs of government, and even slums and illegal housing colonies can form RWAs to represent citizen interest. RWAs are typically registered under co-operative societies acts, which require groups to have a minimum of fifteen members from a given area, or under Apartment Owners Act of the state as "association of apartment owners", or under Societies Registration Act (central Act or state Act), which requires minimum ten members. These acts also set the rules for the establishment of RWA bye-laws, which include such things as membership criteria, voting rights, and the conditions under which RWA officers can initiate legal proceeding on behalf of the registered society. Despite the prevalence of RWAs in slums and unauthorized colonies, however, government programs aimed at involving RWAs in strategic governance decisions, such as Delhi's Bhagidari Scheme, include only RWAs based on planned neighborhoods RWAs have become increasingly involved in municipal politics and decision-making since the early 2000s and continue to grow in importance.

Why is it Important to get an RWA registration?

Once an RWA gets registered following are the purposes and powers available to a registered RWA:

• To hear and decide the matters complained by a member of the association.

• To take up the matter with the competent authorities for the common interest of the residents for providing or improving common facilities in the society like public parks, drainage, roads, streetlights, scavenging,  community hall, proper electricity, and water supply, etc.

• To arrange and organize social and cultural functions from time to time.

• To make adequate arrangements for poor, widows, orphans, and   handicapped orphans, old aged and retired persons

• To create shelters or provide support for the education of the underprivileged or economically weaker sections of the community.

• To approach the concerned authorities for a redress of grievances of the member's conferences with the concerned authorities.

• To make correspondence in a lawful manner to arrange meetings, conferences with the concerned authorities.

• To arrange services like sanitary fittings, plumbing work, electrical work, security and sweeping, etc. for the area.

• To receive and collect any gift or donations acquired by any lawful means and use it for the fulfillment of all or any other objects of the society.

If any person in the society wants to make contributions towards the RWA fund, the contribution should be spent towards the welfare and promotion of the society’s objective only.

How to get an RWA registered?

1) Documents Required for Registration

2) Procedure for Registration.

1) Document Required for RWA Registration:

• Covering Letter.

• List of Body members (  name, Full address, Occupation and Signature on the list).

• Address proof of all Body Members (Voter ID/Aadhar/Driving License).

• Address proof of Society Registered Address (Utility Bill/ Rent agreement with NOC from Owner).

• PAN card of all Body members.

• Memorandum and Bye-Laws of the proposed Association.

• One Affidavit from President (  on stamp paper, notarized).

• Power of Attorney.

• Building Completion certificates issued by concerned authority ( if apply for Apartment owners association in some states).

• Builders Consent and/or Representation (  if apply for Apartment owners association in some states).

• Home Registry copy (  apply for RWA formation only).

• Buyers Association Essential requirement:- If form at State Level - minimum 7 body members from same state OR format central Level - Minimum 7 members from each state.

• RWA/Apartment Owners Association Essential requirement:- Minimum 7 body members from the same state. In case of AOA, this minimum number varies state to state as per the state apartment ACT.

2) The procedure of RWA Registration:

The process for RWA registration is:-

• Prepare Documents - Prepare all the required documents according to rules of State Society Registration Act, State Apartment Act or Society Registration Act 1860 as the case applicable in the respective state along with guidelines issued through Registrar.

• Draft Bye-Laws - Prepare a Bye-Law according to Model Bye-Laws' asset in the Applicable Act in the state of registration.

• File Application with Documents - File application alongside necessary documents and Bye-Laws with jurisdictional Registrar.

• Filing procedure is partly Online in a few states; otherwise, the whole process is offline and need to visit Registrar Office.

• Pay fee - Make the payment of Government fees by Online/Cash/any other mode as the Registering authority accepts.

• Registration Certificate - Once the name and Bye-Laws approved, the Registrar issues Registration Certificate. This entire procedure takes at least 25 to 90 days by the Registrar in the normal course.

Provisions for Registration (in specific states)

•    Delhi: Along with the registration procedure .50/- (Rupees fifty only) as the registration fee shall be demanded when formalities are complete and the Registrar of the Societies has approved the grant of registration within the National Capital Territory of India region.

•    Uttar Pradesh: For the state of Uttar Pradesh, following charges shall be applicable-

•    Haryana: For RWA  registration following charges shall have to be paid along with the application:

    Fee/ Charges to be paid to get the service online  Rs. 100 /-

    Fee/ Charges to be paid to get the service for approval of documents and the proposed name of the society Rs. 2700/- 

•    Punjab: Following charges are to be payable in case of registration of  an RWA:

    A sum of  Rs. 500/- (Rs. Five hundred) towards registration fee may please be deposited into the treasury under the ` other General Economic Service 200 Regulation  Receipt under the Societies Registration Act. 1860” and original Receipt may be sent to this office as a token of payments.

•    Rajasthan: For facilitation of an RWA under the state societies Act 1860, the government of Rajasthan has started the e-governance online known as e-Mitra which provides for registration charges of Rs 75/-

GENERAL PROVISIONS OF RWA ASSOCIATIONS:

For detailed provisions you may refer to Memorandum and articles of associations, a brief explanation has been provided below providing for the governance structure of Resident Welfare Associations: 

1.    Membership of RWA – The membership of the society is open to any person who has attained the age of majority and has an interest in the development of the society and abides by terms and conditions of the society without any discrimination of the religion, caste, creed or colors but subjects to the approval of the governing body. This includes tenants too.

A person is not a member just by the virtue of him residing in a particular locality. Proper registration is required in a prescribed form.

2.  Refusal of Membership – The governing body of the society might refuse any person for the membership provided. Reasons  for refusal is to be communicated to the person concerned in writing with reason.

3. Termination of Membership – Any member might get terminated on grounds such as –

    A member of the society working against the aims and objects of the society.

    Death.

    Resignation.

    If the member fails to attend three successive meetings of the general body without intimation in writing.

On rejection, there lies an appeal to the general body of the society; the decision of the general body is final. The reason of rejection is to be communicated to the concerned member.

4. Rights and Privileges of Members – Every member has a right to participate in the membership general body meeting. Besides this, he/she also has the right to vote at the meeting of the society. Every member is entitled to participate in the meetings, functions and get-together programs of the society.

5.Quorum and Notice of Meeting – A general body of the society consisting of all the members is to be constituted.

The meeting of the general body will be held once every year with 2/3rd attendance.

An emergent meeting of the general body may also be summoned on the written request of 3/4th members with prior notice of reasonable time.

The passing of budget, auditing of accounts, maintenance of locality etc is to be discussed in such meeting.

6.Governing Body –  Resident Welfare Association should have a governing body of the society to look after and to manage the day to day affairs of the society.

It should consist of the members depending upon the locality under the jurisdiction of that particular RWA.

The meetings of the governing body are to be conducted within a period of time which the society thinks fit and the quorum of the meeting should be 2/3rd.

The accounts of the society will be audited by the qualified auditor every year to be appointed by the governing body.

The governing body of the society will be elected for a fixed term decided by every RWA individually.

The raising hands will be the mode of election. The newly elected governing body’s list should be attested by the three outgoing office bearers and it will be filed with the registrar of the societies, Delhi.

The following should be the present structure/strength of the governing body –

• President: One

• Vice-President: One

• General Secretary: One

• Secretary: One

• Treasurer: One

• Finance Advisor: One

• Executive Members

Power and Duties of Office Bearers:

•    President – He/She is to preside in all the meetings of the general body and the governing body. In the case of equality of votes in any meetings, he/she is to vote on a draw. He/She supervises the work of other office bearers from time to time.

 .  Vice-president – In the absence of the President, the Vice-President enjoys all powers and duties which are entrusted to the President. He/She will also assist the President in his/her duties from time to time.

•    General Secretary – He/She will represent the society in public and private offices. He/She is entitled to keep all types of records of the society including the registration of members containing their names, addresses and other brief particulars.

•    Secretary –  In the absence of the General Secretary, the Secretary enjoys all powers and duties which are entrusted to the General Secretary. He/ She will also assist the General Secretary in his/her duties from time to time.
 

•    Treasurer – He/ She collects subscription, gifts, grants-in-aid and donations from the members and the general public and is to be made responsible for keeping and maintaining the true and correct accounts of the society’s fund.

The financial year of every RWA begins from 1st April and extends up to 31st March every year. The funds   of the Society are to be kept in a scheduled bank. The bank account of the society will be operated by the Treasurer or/and by anyone of the President or General Secretary.

•    Executive Members – They will assist in the day to day work of the society as directed by the President and General Secretary.

Filing of the list of office bearers with the Registrar of Societies, Delhi:

Once in the month of April every year, a list of the office-bearers and members of the governing body of the society is to be filed with the Registrar of Societies, Delhi, as required under section 4 of the Societies Registration Act, 1860.

CONCLUSION:

Thus, in countries like India where the legal process is already slow and timely, the RWAs provide solutions to deal with everyday small problems for fulfilling small problems in society. On getting registered as an RWA, you come to know the privileges provided by the concerned RWA, because you already have responsible people around you to hear and assist you. . Even courts have also taken cognizance of the working of the RWA’s and laid emphasis on the fact that a society may be sued in the name of the President /Secretary as provided in s.6 of Societies Registration Act 1860.

 With reference to case   S.S. Rana (Delhi), the court recognized the validity of an RWA, where the petitioner denied to pay membership charges Rs.30 per month the court then stated ”Being the occupier of the flat, the person is bound by the terms and conditions of the RWA as he is being benefitted by the welfare activities carried out by the association. Thus, he directed  him to pay Rs.3600 as charges.

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Author:

eStartIndia Team