Margao: The reconciliator under the department of cooperation has directed the developer of Kurtarkar Landmark housing complex at Gogol, Margao, to clear nearly Rs 20 lakh in pending maintenance dues owed to the residents’ cooperative housing society. The authority ruled that builders are liable to pay maintenance contributions on unsold units, irrespective of whether they are occupied.The order, passed by reconciliator Adv Milly Andrade, followed a dispute application filed by Kurtarkar Landmark Cooperative Housing Maintenance Society against Kurtarkar Real Estates. The partnership firm was held liable for arrears on 39 unsold units — 22 flats and 17 commercial shops — in the 207-unit complex.According to the society, the developer held the 39 units as unsold as of July 2023 but failed to pay maintenance despite monthly invoices being raised from April 2024 and a legal notice issued that month. The outstanding amount, including arrears, late fees and interest, had reached Rs 19,74,716.The developer opposed the plea on three grounds, arguing that proceedings before a reconciliator were not maintainable as a partnership firm was not a “member” of the society under Section 83(2) of the Goa Cooperative Societies Act. It also argued that maintenance liability arose only after units were sold and occupied, and that the three-month statutory period under Section 113A(6) had lapsed.The reconciliator rejected all three objections. Citing Rule 135(5) of the Goa Cooperative Societies Rules, 2003, the order said the “builder/developer who owns the unsold units for the time being” is responsible for maintenance contributions. It noted that the rule makes no distinction between occupied and vacant units, as maintenance funds support common infrastructure, security and upkeep.On maintainability, the reconciliator relied on an appellate judgment dated Sep 30, 2025, which held that such disputes were maintainable under Section 113A(3) read with Section 113A(9) of the Act. It also held that the three-month period under Section 113A(6) was “directory rather than mandatory”, consistent with the Supreme Court’s ruling in Zolba vs Keshao (2008).The reconciliator directed Kurtarkar Real Estates to pay the Rs 19.7 lakh arrears, along with 18% annual interest and late fees from the due date of each invoice until final payment. The developer must also continue paying monthly maintenance on the unsold units until they are sold and transferred, and bear the costs of the proceedings.
