Saturday, December 21, 2013

Pl. advise whther to pay increased BMC property tax and where to pay from????

Why I am not son of IAS,IPS,IRS,VIP,Mafia,Judge, doctor,Builder other professional, milk vendor and so on who can charge as they like or even loot  and why I am a AAM ADMI? 


Dear All, 

I have received today notice from BMC demanding increased property tax from back date from 2010. The notice is claiming Rs. 25967/- . In case of failure to pay they have threatened to levy penalty of 2% per month that is 24% per year besides penal action and auctioning the property.

Sir/s, 

Out of three tenants and two trespassers only one tenant pays Rs 34 pm to me as rent. 

The tenant Chadha has two cars worth Rs 13 lacs and all other luxury but does not pay rent as he and other defaulters know that I will have to spend life and Rs. 1 lac minimum in court case for trying to recover rent which may still be elusive as he will deposit in court. 

The Purohits lost case in 2009 and were decreed but went in to 2 bench appeal where they have hired Ad  D C mehta who knows how to delay matter and does not us law but uses machinery for delaying. Ad mehta is a very costly advocate but he claimed my client is not able to pay more then Rs 200/- p.m. as mesne profit . It is on the record of court that his client has more then 5 vehicles, palatial bungalow, travel by air several time to US and other countries, has office and house in Newyork too. But court fixed mesne profit as only Rs 1000/- which I can not withdraw till order ( which is elusive for 5 years) . I asked thru RTI info on how the court has fixed in other mesne profit  but court has only made me run here and there and denied info on procedural ground . I asked AAP volunteer to file similar RTI in same court but he too got tired. 

I am not allowed to increase rent as much as BMC or others hike be it railways, professionals, grocers, parking lot wala's, milk vendor,Reliance energy, schools, colleges, doctors, hospitals, hotels and so on. . 

I am not allowed to charge interest more then 9% from defaulting tenants and can not evict them but BMC is charging 24% interest and can take penal action and also auction my property. 

I wonder what sin I had committed in last life that I am not a son of IAS,IPS, JUDGE, VIP etc ??? Why I am a AAM Admi? 

Sir do I pay these taxes ???? Pl. advise?? 

Also advise where do I get these funds if I do not have post where I can get bribe or commit scam?? 

Thanks and Regards,
Alok Tholiya,
09324225699 /   02226125699/26173203

Sunday, November 3, 2013

THOLIYA BHAVAN * ALOK THOLIYA


THOLIYA BHAVAN * ALOK THOLIYA
> SPENT
> •Nov 2012 painting of common areas Rs 30000/- * August 2013 Rs 20000/-
> towards chajja repairs * OCT. 2013 RS . 40000/- ON FLOWER BED AND
> FENCING besides
> regular taxes and upkeep.
> •RENT RECEIVED Rs 34/- p.m. from Shri I C Jain ( 81 year retired persons. )
> •Other tenants and trespassers and CO-OWNERS have paid nothing.
 

Wednesday, September 18, 2013

WHY BUILDINGS ARE FALLING: Tenants OF Tholiya Bhavan


WHY BUILDINGS ARE FALLING:  Tenants OF Tholiya Bhavan

Shri I D Chadha :Rent Rs.125.26/- for 4 rooms. Not paid  for years
Shri Pillai: Not paid  for years. Owns Honda Jazz and other car.
Dhobi : trespasser pays nothing earns Rs 50000/- + p.m.
Purohit: Rent Rs. 42.56 prior to 2009 lost case in court. Gone in appeal. So now paying in court. Owns palatial bungalow at Jaipur, cars etc..
 Shri I C jain : Rs 33.60 per month.
And all of them lavishly use their own tenanted premises/ illegally trespassed areas if any, common spaces, illegally parking own/guest vehicles and spend nothing to beautify the building. Rather one may find their surroundings filthy. 
And local corrupt BMC has sent bill for property tax for Rs. 9494/- per year besides we pay for land revenue Tax, for  water, for common maintenance and huge fees on advocates who in turn get us nothing except dates.
You can not find a single paisa beautification efforts from tenants who misuse and over use premises for 60 years. …... Alok Tholiya

Monday, August 26, 2013

I can gift ancestral property as I like??????

 1. I can gift ancestral property as I like??????

It is owned by the entire family, not an individual.

While you are entitled to tax benefits if you set up a Hindu Undivided Family (HUF), there is a restriction on the transfer of property. You cannot gift ancestral property that is jointly held by the HUF unless you are a sole surviving member, according to a recent ruling by the Bombay High Court. The ruling came in a case filed by the sons of one Mallappa Isapure, who had two wives. He divided the ancestral property between the sons of his two wives.

However, the second wife, Chandrabai, claimed that a portion of the property that was in possession of the sons of the first wife was, in fact, gifted to her by her husband. The sons of the first wife said that the property could not be gifted as it was a joint family property. While the appellate court dismissed the plea, the trial court upheld it, and was later also maintained by the high court, which stated that ancestral property could not be gifted. The property was duly partitioned and the respondents were asked to pay the cost.

In HUFs, the property is jointly held by the family. Therefore, no individual member has an absolute right over it. Hence, he cannot gift it to a third person, unless he is the sole surviving member of the HUF. "This ruling has significance for HUFs, while the other religions do not recognise the concept of joint property," says Suresh Surana, founder, RSM Astute Consulting.


2.  Letter of authority is enough for delegation

It works for routine tasks, not for complex deals.

While you may be astute at taking care of your financial matters, there are times when you must delegate authority to someone else. The two commonly used documents to do so are the letter of authority and the power of attorney.

A letter of authority is a simple document, which works for routine, everyday tasks like collecting a cheque book from the bank branch or submitting documents on your behalf. However, this is not a registered document and will not be accepted for more complex transactions such as the sale of property or any other asset.
Points to keep in mind when you delegate authority



For such deals, you need a power of attorney to delegate authority since the transaction is bigger. A power of attorney is a more detailed document and lays down the manner in which the transaction is to be conducted.

Tuesday, August 6, 2013

What a return on investment!!!!

This mail was written by me 5 years back so as on date the demand of tenants may have gone up. ........Alok 

What a return on investment!!!! 
One of my tenants is having 180 sq ft. Area. Building is old.. Deteriorated. No lift. No  proper maintenance. He is not having attached toilet ,bath, balcony and thus using common bath and toilet. No watchman, no garden no new society facilities.
 However they r asking for prevailing market price of new ownership building. Instead of 180 sq. Ft. They are asking compensation for 350 sq ft..  asking for ownership rights.
These demand of bigger area comes from news that  slum dwellers of Dharavi are going to get bigger area. But they do not realize that slum re-developers/ builders  ( mostly politicians and bureaucrats)  are getting 4 times free FSI where as landlord is not getting an inch free. The TDR is available but that is not for compensating tenants  and TDR is to be bought at high price and not coming free and construction cost and municipal very high  bribe cost is extra.
Pl. Advise how to satisfy such a tenant? Is it rational??
Landlord has paid for decades to tahsildar, talati, BMC, for property tax, assessment tax etc. besides emergency repairs and maintenance, property manager etc. In turn the tenant has been paying merely Rs. 40/- per 180 sq. Ft. But is now asking Rs. 35 lacs ( considering Rs. 10000/- p. Sq. Ft for 350 sq. Ft.).  
So investment of Rs. 40/- p.m. and enjoying/ exploiting shelter for whole month u get in return Rs. 35/- lacs. What a return on investment!!!! 
 Dear Tenants / Trespassers:
1. Live amicably. Avoid confrontation with landlord.
In ur heart u will agree that Mumbai rent act is one sided and grossly favouring tenants..
However there r some grounds on which landlord the shelter provider can file case.
But if both the parties live with understanding and fellowship then such situation can be avoided. I request u to not to do anything to harm the harmony and compelling us to go to court. Pl. note that going to court means money flows out like water. U have to chase ur advocate, court clerk, Xerox wala, stamp wala, typing wala etc. Gather evidences, documents, and witnesses. Worst is dates after dates in court will have to spend. Easily one case till end can cost anywhere from Rs.1lac to 2 lacs. And that is not the end rather it is beginning. Then may have to approach higher courts.
So for any wise person court is the last choice.
Hope u will avoid a situation which warrants legal action. I for one want to avoid courts.. Rather I am one who would like panchas to decide small issues as by going to court matters worsen as some advocates add spice to the simple case and make it acidic / ulcerated.
So I repeat do not give any opportunity which calls for filing of cases against each other. Same is very taxing on time and money and B.P...By the way u all know what r the issues and avoid them..
Let us resolve issues by peacefully settling same. Once in court then there is no reversal. Then I would like to not sit down but fight to finish..
If there r any comments or suggestions then pl. write back to me.

2. Spend for upkeep and hygiene as landlord is already in loss:
Also in ur heart u know that every expenses have increased blowing the roof but the rent. Since u r protected u don’t offer to pay a paisa more to landlord. Never mind but spend something to keep environment beautiful, hygienic and safe.

3. Ask for only fair market price if u decide to leave for better living:
And when u decides to leave our property pl. ask for prevailing market price and we will have to give u that as otherwise no one quits. We have already paid many then why not you. With present delays in justice sysytem v have no choice.

 Most imp.:   No tenant can evict another tenant therefore one tenant has not to fear another tenant.
                   No tenant can do away with landlord. Keep peace with him.
                   Only landlord can file eviction suit for annoying him.   


Some Clarifications / some facts :
1. Thousands of landlord owned buildings are lying as it is for 60 yrs or more and those living there r suffocating in inhuman conditions both owners and tenants.
2.  Very thin population of tenants have been lucky to get higher compensation that too when landlord was in desperate situation. But all tenants are lying down for decades with open mouth waiting apple to fall in their mouth too. Is it greed?? Is it blackmail??? Is it arm-twisting????
What is a difference between Mafia Dawood and a tenant who demands manifold then he is entitled to or blocks the sale/ development???? And media, police and judiciary sympathises with tenants.

3.      Govt has given 4 FSI to slum dwellers SRA scheme and announced 225/ 290 sq  ft accommodation for slum dwellers. Landlords have not been given extra FSI. So tenants if r expecting bigger flats are day dreaming. All tenants may unite and ask for 4 FSI for landlords so that they too get this benefit. Besides SRA scheme flat owners can not sell their flat for 15 years.SRA buildings are having no proper lighting / space as rules are compromised. No stilt in SRA.NO open ground. And poor construction. But some ignorant are asking 225/ 290 sq ft from landlords in lieu of their 180 sq ft or so.
4.      Unfortunately present RBI policy does not give necessary finance to landlords to redevelop building. All tenants should ask for necessary change in policy so that landlords can reconstruct their houses and reoffer good modern houses to tenants. 

So since tenants are in numbers and voters count in India and not moral and  rule of law may tenants demand a better deal from govt for landlords so in turn landlord can give a better deal and much better houses to tenants ( definitely much better then SRA) .

Thanks and Regards,
Alok Tholiya (S.E.O.),



The Tenant’s, Trespassers, residents and their relatives (as applicable),

Without prejudice to my rights and contentions
ALOK THOLIYA
THOLIYA BHAVAN. GR. FLOOR,
10th ROAD, NEXT TO REGENCY HOTEL,
SANTACRUZ (EAST), MUMBAI: 400 055.
Tel. 26125699 / M.9324225699.

Wednesday, June 08, 2011

To,
The Tenant’s, Trespassers, residents and their relatives (as applicable),
Tholiya Bhavan,
Mumbai.

Dear All,
Greetings.

I have been keeping extremely occupied due to several reasons like:
1.     Being single hand in my insurance and other business.
2.     Due to devotion of lot of time to my social work / activism/ samaj karya
3.     Ailing guardians
4.     Responsibility of family, properties and formalities of govt . 
5.     Over all declining health due to aging
Therefore I seek cooperation from you all. If there is a planned discussion / long discussion / general discussion then pl. take prior appointment from Sandhya Madam on tel. no. 26125699/ 26173203. Give her relevant letter, documents/ copies of documents, agenda. After necessary preparations she will herself get back to you on your phone and confirm the appointment suitable to all.
Hope you will understand and cooperate.
Pl. do not mind if my staff / family members do not allow you to barge in as it is not possible to suddenly attend to any discussion of importance and neither possible to divert the attention from other work / meeting/ appointments in hand.
I am sure that we will have cordial good lawful relations as neighbors hereafter.

Thanking you all and wishing you all good health and happiness,

Alok Tholiya


TENANTS PROFILE as on 10.03.1999.


TENANTS PROFILE as on 10.03.1999.

1. Name of the Trespasser    :     Dhobi (Istriwala) Inducted by I.D. Chedda.
2. Flat / Premises No.           :     Hut in open plot of building.
3. Area in Sq.ft. Occupied    :     100 Sq.ft.
4. Rent per month (Rs.)        :     Nil.
5. Career / Occupation         :      This istriwala keeps changing hand.  One bhaiya will go to U.P.     
& another will come.  They bath in open in chaddi & cook food in open.  They were inducted as trespasser by another tenant who also uses them as muscle men as well witnesses in court.  They have without N.O.C. of landlord also taken commercial electrical connection.  Their monthly income works out to Rs.2 (Average per pc.) output per worker 200 no.  Rs.2 X 200 no. X 6 persons = 2400/- per day X 30 days = Rs. 72,000/-.  They don’t observe weekly off & work since morning 8 am to night 11 pm.  They pay no rent & contribute nothing towards upkeep, security of building.

TENANTS PROFILE as on 10.03.1999.

1. Name of the Trespasser    :     Ex-tenant Mrs. Amrit Arora
2. Flat / Premises No.           :     Room No. 3.
3. Area in Sq.ft. Occupied    :     160 Sq.ft.
4. Rent per month (Rs.)        :    
5. Career / Occupation         :     Had office in Yusuf Bldg., Fort which she sold & got good
 money for her adopted son bought maruti van, two wheeler, etc.  He started video library at his house & created nuisence for neighbourhood.  6 years back he shifted to Delhi & got married.  Mother (Mrs.Arora) followed.  Finally this month they handed over possession for Rs.2,50,000/-.   . All very fine people, loveable, friendly and disciplined.



TENANTS PROFILE as on 10.03.1999.

1. Name of the Trespasser    :     Ex-tenant Mr. R.N.Goel
2. Flat / Premises No.           :     Room No. 1 & 2.
3. Area in Sq.ft. Occupied    :     450 Sq.ft.
4. Rent per month (Rs.)        :    
5. Career / Occupation         :     Vice President, Piramal Mill.  Only son in U.S.A. having 30 lacs p.a. income.  Owns 1 car & one scooter, 5 room flat in Mumbai.  Had given loan to landlord above Rs.5 lac @ 20% interest p.a.  Left tenancy after keeping his room under lock & key for three years & after taking Rs.7 lacs.  All very fine people, loveable, friendly and disciplined.




TENANTS PROFILE as on 10.03.1999.

1. Name of the Trespasser    :     Mr. I.D. Chedda
2. Flat / Premises No.           :     Room No. 4, 5, 6 & 7.
3. Area in Sq.ft. Occupied    :     650 Sq.ft.
4. Rent per month (Rs.)        :    
5. Career / Occupation         :     Has not paid rent for over 2 decades.  Mr. & Mrs. I.D. Chedda now stay at Deolali at their bungalow, where they also own farm & farm house.  Their son & his wife & only child stays (3 person) in this huge 4 room flat.  They have illegally enclosed the open passage.  They also have inducted two tresspassers before we bought the building from the earlier landlord.  The one has been put in garage & another in unauthorised shed.  He has also made unauthorised car parking shed for his car.  While landlord’s car is parked in open (sort of half porch)  His father satisfy his greed he has parked a skeleton of his scooter in common passage so that he can claim extra right / extra money if building is ever developed / sold.


TENANTS PROFILE as on 10.03.1999.

1. Name of the Trespasser    :     N.B.Pillai
2. Flat / Premises No.           :     Garage.
3. Area in Sq.ft. Occupied    :      Sq.ft.
4. Rent per month (Rs.)        :    
5. Career / Occupation         :     He has retired from central govt. service.  His one son is all India marketing manager in Ranbaxy Pharmaceutical & second is abroad.  Daughter is happily married & lives with her husband


TENANTS PROFILE as on 10.03.1999.

1. Name of the Trespasser    :     Mr. I.C.Jain
2. Flat / Premises No.           :     Room No.6
3. Area in Sq.ft. Occupied    :     150 Sq.ft.
4. Rent per month (Rs.)        :    
5. Career / Occupation         :      Has already enclosed otla in front of his house.  Additionally they are blocking the entire common bathroom.  Keeps drum, shoe stand, dust bin, stool all outside their house in front of our door.  The dust bin & used vessel
             





TENANTS PROFILE as on 10.03.1999.

1. Name of the Trespasser    :     Ex-tenant Mr. N.M.Thakkar
2. Flat / Premises No.           :     Room No.7
3. Area in Sq.ft. Occupied    :     200 Sq.ft.
4. Rent per month (Rs.)        :    
5. Career / Occupation         :     Initially when Mr.Thakkar switched over to bigger apartment then he kept his nephew in this room.  Finally when he too shifted then they surrendered the premises for Rs.65000/- in the year 1983.All very fine people, loveable, friendly and disciplined.


TENANTS PROFILE as on 10.03.1999.

1. Name of the Trespasser    :     Mr. N.K.Purohit
2. Flat / Premises No.           :     Room No.2
3. Area in Sq.ft. Occupied    :     200 Sq.ft.
4. Rent per month (Rs.)        :    

5. Career / Occupation         :     Mr. Purohit migrated back to Jaipur.  Owns palatial bungalow “Kalyan Kunj”, at ‘C’ Scheme, opp. Mahavir School, Jaipur.  Owns 5 cars, 2 scooters, plush office.  Have bought 3 no. 32” Sony CTV worth Rs.115000/-.  Eldest son is in America & is green card holder.  They are one of the largest gems & semiprecious stones exported.  Each of their family members have travelled to U.S.A., Europe, Bangkok, Hongkong several times.  Their passport can reveal the same.  Their telephone / fax bills per month amount to over a  thousands of  rupees.  They use this room as a transit to catch international flight or when they come to Mumbai for few days. They are one who have exploited us to core and yet backstabbed. 

rent is approx. Rs. 350/- p.m. for 3500 sq. ft. of area in posh locality

Dear Clara,
Thanks for replying to my mail. It is rarest of the day when I have received a reply of my mail. This speaks volumes about your clean personality. Your replies too are very straight and non evasive .Thanks once again.

I would like to throw light and press some more questions based on facts given by you:
  1. You have stated that the rent is approx. Rs. 350/- p.m. for 3500 sq. ft. of area in posh locality which means just 0.10 paisa per sq. ft.. The ongoing rate for maintenance  in your ownership flat in that area is Rs. 10 per  sq. ft. means even to maintain your own flat in co-op housing society you would be paying 35000/- per flat where as landlord is getting Rs. 350/-.In reality landlord should get atleast 20% higher then prevailing market rate as he too has to earn and sustain his family on this income as originally he let out the premises with the purpose of making  profit and not for doing charity.
  2. Pl. note that this Rs. 350/- is also not his nett income. Landlord has to compulsorily pay income tax on income from rent. Then he pays municipal assessment tax , Maharashtra land revenue tax, hafta to various municipal dept as they have various powers to sue landlords ( which in case of society the Hon. secretary pays from society funds).If you are appointed property manager of such tenanted buildings then can you maintain the building with these meager rent which a coolie does not accept. Then mentioning  that lift  is purchased and maintained by tenants  or tenants are  repairing the building  is  sly  and putting wrong emphasis. I am willing to add  Rs. 10000/- per year from my pocket to rent collected and challenge  any one to  maintain  our building and  pay all taxes  from same. Forget about giving me profits from the property / investment in property.
  3. It is unthinkable that any landlord can redevelop the building without the cooperation of tenants ( as per present law and delaying courts).What must have happened is that tenants must have asked to become property owner after paying a particular price. There may be balance FSI or better market value to this property and hence landlady does not want to give up her ownership. The landlords have stuck to their property for decades inspite of losses, hardships and headaches  and court cases with some attachment to property and some hope of gaining profit one day hence no landlord will normally relinquish ownership unless some other circumstances demand.
  4. The tenants should offer landlord the  construction cost and vacate their premises for 18 months for redevelopment and get back the same after new building is ready. The balance area has to go to her on which tenants must be eying on. Or govt. who have made mess of Mumbai by draconian and impractical rent act have to offer extra FSI like given for housing developments for slums so landlord themselves can bear the cost of construction and redevelop the property and tenants and landlords can live happily thereafter. I repeat if any landlord thinks he can get his building vacated easily and will then redevelop / sell is living in fool’s paradise.Pl. ask Mr. Chanrai to give facts of their offer to landlady. I am sure they think she is cornered and want to take over ownership her of property?
  5. The laws/ systems are made such that everyone is running to court (and advocates advise all to go to court) on every worthless purpose too. Be it family court, accident tribunal, cheque bouncing  or rent act the courts are flooded with cases. It is advisable to have Panchayat type of system/ ombudsman/ lok adalat  in each municipal constituency . There should be counselors and mediators in each police station to avoid costly and lengthy litigation which in time to come becomes personal revenge tool and harassment tool .But it is dreaming too much in this selfish bureaucratic and political environment. All tenants and landlord run to court as they have no other redressal forum and forum which can bring them together. And the divide increases between loss making landlords and over demanding tenants.
  6. Pl. note that tenants are neither vacating nor allowing increase in rent (where as all other expenses they incur at latest price) is because of rent act. Same rent act says if landlord does not carry out repairs and maintenance then tenants can do so and deduct 5% of rent every month till they recover their spent amount. Then why they should feel bad or proud by carrying out the repairs all by themselves. Follow the rent act in toto and don't oblige landlord by carrying out repairs and proudly showing plaque and narrating same to newspapers. Can one carry out repairs with rent of Rs. 350/- p.m.. in which he can hardly buy a bag of cement. Only thing as honest and right minded citizen landlord has to do is to contribute his share for area occupied by him or services used by him which are maintained jointly.
  7. Hope this will clarify few things.Pl. note that I don't bear malice towards you or any tenant but am here to raise voice against decades of whipping of landlords.

Regards,                                           
Alok Tholiya
(Insurance, Mutual Fund, Bonds, Real Estate)
Tholiya Marketing and Leasing Pvt. Ltd.
Marigold Party Hall,
Tholiya Bhavan,
10th Rd., Santacruz East,
Mumbai 400055
M:9324225699
www.digambarjains.com
The matrimonial web site for Digambar Jains

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----- Original Message ----
From: Clara Lewis
To: Mr Alok Tholiya
Sent: Wednesday, 28 May, 2008 1:47:49 PM
Subject: Re: Tenants locked in repair tussle published in TOI on 26th May


Dear Mr. Tholiya,

Thank you for your response. You have asked several questions related to the story we carried on Sita Kunj building. The answers are as follows:


Mr. Alok Tholiya (tholiya@yahoo.com) wrote*:
>
>Dear Clara,
>Hi,
>1.    This is about ur above article. Did you ask the tenants how much rent
>they are paying per month to landlady?

Rs 300- 380 per month

>2.    Do you know that there is a law that all tempos older
>then 15 years have to be discarded? Why? Then why 50 year and older building which
>are falling year after year and precious life and property are lost are not asked
>to be compulsorily redeveloped rehousing old occupants?

Yes I know about the law with regard to tempos. I am also aware that in case of a majority of buildings (unless well maintained) the economic life is only 60 years after which they need to be pulled down.
The landlady of Sita Kunj wants redevelopment without the tenants ie she does not want them in the new building. The tenants had even offered her the market price per flat which she has turned down. At present it is the tenants who pay for the electricity and maintenance of the building.

>3.    You have reported that tenants are saying she wants to
>redevelop her building. Is it a crime to redevelop? Even most of the new
>buildings of flat owners are being redeveloped with the availability of extra
>FSI and TDR.. Then why she should not be cooperated by law, officials and
>tenants to redevelop her property. Govt. should ask banks to finance landlords
>to redevelop their property giving them 4 FSI as is being given to builders
>developing unauthorized slums.

No crime in redeveloping but the situation is as I have informed you above.

>4.    You have reported that tenants apprehend that landlady
>wants the building to collapse .While you have also reported that she stays on
>top floor. Will her life and property be not in danger if building falls?
>5.    You have reported that she stays on top floor and
>terrace is just above her flat. How on earth the water leaking from terrace
>enters lower floors to flats of tenants? Have you personally satisfied yourself
>against this allegation and can you elaborate on this? Normally water will
>first enter landlady’s flat. And if there is leakage on her floor too then
>water will percolate down to lower floor. You say tenants flat got flooded. Do
>you know the dictionary meaning of flooded, leakage, seepage? Have you used word
>leakage to create bad opinion about fraternity of landlords the shelter providers?
>Have you used this adjective under influence of Trustee of Jaslok hospital? The
>truth is known to only Holy Jesus and you.

If you read my article again you will see I have mentioned that in 1986 the landlady constructed her flat on the common terrace with the consent of all the tenants. She now claims that the terrace is no longer part of the cessed building but rather her personal property. Even I pointed out to her that the terrace is in dire need of structural repairs and if it collapses she too stands to lose her flat and life.

I am told that she does not reside in her flat here as she has another home (a 13-storeyed building at Walkeshwar). She had even approached the courts to not allow the repairs and her petition was dismissed. In the past she did not allow the lift to be repaired. The tenants had to approach the courts so that they could instal a new lift. If you visit the building you will see a plaque put up inside the lift mentioning that the lift was purchased by the tenants and is maintained by them.

>6.    Did you ask tenants to support landlady in rebuilding
>as there is a limit to repairs. Is not it unwise to spend huge sum of money on
>dilapidated building which you say is getting flooded.

Like I have mentioned earlier the tenants have offered to purchase their flats at the market price and she has refused.

>7.    Has Times of India been only getting news about
>suffering tenants? Why don’t you visit two of my buildings to see how much as a
>landlord I have to suffer and tenants are staying free and because of biases
>reporting of newspapers be it Police or courts are all having sympathy towards tenants.
This is not true as you can see that unlike in a majority of cases where tenants refuse to shell out money for anything, here the tenants have been pro-active in maintaining the building.

I realise you are a very harassed landlord but as you can see this is not a biased story against landlords sympathising with unruly tenants. The story clearly shows that it is the other way round. The tenants including the landlady are wealthy and yet cannot reach a common ground for maintaining the building.

Thank you,

clara lewis

“Tenants locked in repair tussle with landlady”

Alok Tholiya
THOLIYA BHAVAN. GR. FLOOR,
10th ROAD, NEXT TO REGENCY HOTEL,
SANTACRUZ (EAST), MUMBAI: 400 055.
Tel. 26125699  /  M.9324225699.

Wednesday, May 28, 2008

Reg: Article “Tenants locked in repair tussle with landlady” published in page 2 of TOI on 26th May....


Dear Clara, (Reporter Times of India)
Hi,
1.    This is about ur above article. Did you ask the tenants how much rent they are paying per month to landlady?
2.    Do you know that there is a law that all tempos older then 15 years have to be discarded? Why? Then why 50 year and older building which are falling year after year and precious life and property are lost are not asked to be compulsorily redeveloped rehousing old occupants?
3.    You have reported that tenants are saying she wants to redevelop her building. Is it a crime to redevelop? Even most of the new buildings of flat owners are being redeveloped with the availability of extra FSI and TDR.. Then why she should not be cooperated by law, officials and tenants to redevelop her property. Govt. should ask banks to finance landlords to redevelop their property giving them 4 FSI as is being given to builders developing unauthorized slums.
4.    You have reported that tenants apprehend that landlady wants the building to collapse .While you have also reported that she stays on top floor. Will her life and property be not in danger if building falls?
5.    You have reported that she stays on top floor and terrace is just above her flat. How on earth the water leaking from terrace enters lower floors to flats of tenants? Have you personally satisfied yourself against this allegation and can you elaborate on this? Normally water will first enter landlady’s flat. And if there is leakage on her floor too then water will percolate down to lower floor. You say tenants flat got flooded. Do you know the dictionary meaning of flooded, leakage, seepage? Have you used word flooded  to create bad opinion about fraternity of landlords the shelter providers? Have you used this adjective under influence of Trustee of Jaslok hospital? The truth is known to only Holy Jesus and you.
6.    Did you ask tenants to support landlady in rebuilding as there is a limit to repairs. Is not it unwise to spend huge sum of money on dilapidated building which you say is getting flooded.
7.    Has Times of India been only getting news about suffering tenants? Why don’t you visit two of my buildings to see how much as a landlord I have to suffer and tenants are staying free and because of biased reporting of newspapers all including Police and   courts are having sympathy towards tenants and are against landlords.
Pl. visit my two tenanted buildings and atleast report facts about suffering landlords.
I will be shortly mailing more facts about tenants and rent act, builders and new breed of landlords, courts dealing with rent matters. I don’t want to tire you in a one shot hence closing this mail,
Hope to receive your reply on above,
Bye,

Alok Tholiya

Sunday, July 21, 2013

McDonalds vs Niamat Anand case: What landlords can learn

Jul 19, 2013, 02.00 PM IST

McDonalds vs Niamat Anand case: What landlords can learn

According to Harish Salve, one should agree in advance that if one overstays, they will pay for damages on the basis of market rate of the property as fixed in the ready reckoner which will save the landlord from running around getting valuation reports, putting expert witnesses.

McDonalds vs Niamat Anand case: What landlords can learn
We must encourage alternate dispute resolution clauses that have compact remedy
Harish Salve
Sr Advocate
Supreme Court
McDonalds was in for a big shock earlier this month after Delhi High Court asked the fast food giant to vacate in 8 weeks its 3-storey restaurant at India's most expensive high street, Khan Market in Lutyens Delhi to vacate a restaurant it had been running for 13 years at India's most expensive high street Khan Market.


The penalty has caused a ripple in the realty circle. In what is being seen as a landmark judgment for lease renewals and the rental market at large, the Delhi High Court ruled against McDonalds, finding the multinational to have overstayed as an unwelcome tenant since February 2010 and ordered.

The High Court instructed McDonalds to retrospectively pay a rent nearly 200 percent higher from February 2010. McDonalds has been directed to pay Rs 11 lakh a month and 12.5 percent interest from February 2010, as against Rs 3.5 lakh it had been paying as monthly rent. The Court had taken the prevailing market rates to fix that amount.

McDonalds lost the case to a 92-year old widow Niamat Kaur Anand, who since the lease expiry in 2010 had been fighting to reclaim her property. Anand was represented by her son's childhood friend and legal eagle Harish Salve. McDonalds had moved the Delhi High Court after losing an arbitration, which had been awarded by former justice AP Shah. The Delhi High Court had upheld the arbitration award.

Experts say a precedent has been created not just over the penalty or mean profits that has been levied on multinational tenant but also on the basis of which a tenant and a landlord can interpret contract clauses to renew a lease deed. In this particular case the lease deed was for a period of nine years with rent to be increased after 5 years at 25 percent over the last rent paid.

Problems arose in 2009 when Anand indicated to McDonalds that it should pay a higher rent as per the market rates in case it wants to renew the lease. The company responded by signing a 'letter of intent' allegedly signed by Kaur in 2001, saying she had agreed to let out the premises for 18 years. The company also questioned the rationale behind her decision to increase the rent, saying such a steep hike isn't agreeable to it.

Justice Shah in the arbitration award, subsequently upheld by the Delhi HC, concluded that the registered lease deed dated February 12, 2001 was for nine years while a letter cited by McDonalds as an agreement to extend the lease by another nine years, "is merely an offer" and therefore, not a concluded legal contract.

In an interview to CNBC-TV18 Harish Salve shared views on how will this case impact lease deeds going forward and clauses that tenants and landlords must insist upon in a contract.

Below is the verbatim transcript of Harish Salve's interview on CNBC-TV18

Q: Landlords normally feel safer letting out properties to multinational companies (MNCs). Why has this McDonalds case according to you set an important precedent? Is it only because of the penalty or because there was an arbitration clause in the lease deed which is not a common practice?

A: It is good in the time scale that we have seen because there was a big problem which became exactly the reverse of the intention of the law makers. They exempted properties over three and half thousand per month from rent control because those kind of tenants who can afford to pay that is not what the rent control law is meant for.

Like in Mumbai if you are a company with a share capital of more than Rs 1 crore then you are not protected by the Rent Act. Now the problem is, the Rent Act courts actually were faster so one should file a suit for possession and the suit for possession takes forever in our legal system.

Therefore, landlords are always struggling to get their property back if the tenants turn around and set some kind of defence and say alright, I lose the case but at least I have the property for the next ten years. This is a good format that insists on a good arbitration clause when you are letting properties to large companies.
 
Q: Since land and property is normally seen as the state subject, can you explain whether this case creates a precedent only in New Delhi or Pan India? For instance, each state has its own rent act which will then have to be factored in all of these lease deeds?

A: No. Anywhere in India, a lease ultimately is a matter of contract. Even if you are writing a rent note and you don’t want to execute a formal lease, I would advice people to have an arbitration clause saying it will go to arbitration of an arbitrator to be appointed jointly by parties.

If the parties fail to appoint the court appoints arbitrator which is a short cut proceeding. An arbitrator is appointed and then the matter goes on. So, at least you get a degree from the arbitrator within a finite period of time. If one has a good arbitrator it is definitely finite period of time.

Q: According to you, what all should tenants insist upon while taking up a property?

A: Must have is a clear clause in which there must be, if there is a renewal clause it must provide the manner in which the renewal is to be exercised. Two, it should say that the lease is a complete contract and no other writing whether before or after shall constitute any contract for renewal save and accept in accordance with the lease. Third, which should be provided is an arbitration clause.

Q: While litigation is very popular in India, arbitration isn't, especially when we talk about landlords and tenants. So even if the two parties were to look at this, any clauses that they must include within the arbitration clause?

A: I had a clause in the arbitration clause saying the arbitrator shall award cost on well settled principles. In England if one ran a false defence, one would have to pay huge cost. I have seen cost orders in England running into millions of pounds for running a false case. We don’t do that in India and that is why litigation drags on and on and people carry on merrily. We must encourage such alternate dispute resolution clauses that have compact remedy.

Q: We have covered tenants, what about landlords? What is your advice for those looking to let out property?

A: When landlords are drawing up leases, unfortunately in India we have given up the practice of drawing up a proper lease deed. There are standard templates, one can virtually Google them and find out. There are standard templates with clauses for handing over possession, clauses for keeping the properties in good repair, properties clauses for paying rent rates and out goings, clauses for forfeiture, for misuse, renewal clauses.

These are in any template of a lease. Landlords, who want to be sensible, should not try and shortcut and save money on stamp duty. The biggest thing in our favour was a registered lease. Have a registered lease, it is worth the investment.

Q: According to you, a registered lease deed is a must. But is that ammunition enough for a landlord to reclaim property? It is never going to be quick, but can it help in speeding up the process?

A: There is nothing one can do to prevent a man who is staying in your house from not vacating. What one can and must do is, one must provide the mean profits will be paid on market value, which in any case is the law. So, once tenants realise that they are not going to get a free or a discounted ride for their period of overstay, they will end up paying current market values and there will be trouble.

Media can run a circular or a ready reckoner rate of properties. Landlords would benefit immensely from that and it will then become an acceptable evidence because the advantage of an arbitration is that one does not have to follow the strict rules of the law of evidence or strict rules of go to procedure to prove something.

If it has a good ready reckoner of property, it will be the other thing. In this case fortunately, the landlady had a quotation from another person who was interested in her property. We produced that person and they send somebody who flew down here and said here was our offer. She has actually got the rent she would have got from a back date.

Q: Are you saying that it should be an agreement to have mean profits and damages that must be agreed upon at the time of signing the lease deed?

A: One should agree in advance that if one overstay, you will pay me damages on the basis of market rate of this property as fixed in the ready reckoner published by X or Y. At least the landlord then does not have to go running around getting valuation reports, putting expert witnesses in the box and one can cross-examine a person and then it becomes chancellor’s foot. Should it be five, six, four, valuation is always this. This is a clause which can be put into the lease deeds. If there is a good ready reckoner that somebody takes on to publish, we will go by the average market quotation and so you can agree that in advance.

Q: If the two parties agree to ready reckoners, will it be fair for a tenant to go to a landlord during a property downcycle and say reduce my rent, the market is down, rentals have fallen?

A: One, you have to make a distinction between two periods one is the currency of the lease, the other is post lease. During the currency of the lease it is a matter of contractual negotiation whether somebody wants a flexible rent or a fix rent. It is like if you want to take a mortgage, you have to take a call.

Do you want flexible rates of interest or fix rates of interest, sometime one loses, sometimes the other loses. Many times landlords want certainty of income. They are happy if they get this much income for a period of three years. So, you have a fixed lease during the currency of the lease. There has never been a problem about the currency of the lease, the problem arises post that.

It takes five years to get your premises back. How much will you be compensated in damages for that five years of overstay, becomes very difficult for a landlord to prove, what is the current market rate and you also know market rate is never really reflected in full cheque payments and so, it gets difficult to prove the current market rate.

Friday, July 19, 2013

View of choke



Illegally parked car





when bmc unpreparedness for


early monsoon costs citizens




Hall  board

Friday, July 12, 2013

If courts are not delaying and banks give Loan for development ...



If courts do not delay and banks give Loan for development ...then I can build a small good hospital for residents of Santacruz East where I am born, brought up, loved,and I love my Mumbai  and progressed. But......the rent act, courts, the banks who dont mind financing King fisher Mallaya 1000s of crores, dont finance landlords so I am forced to offer the building for sale:


On Sale : SABURI :


SANTACRUZ
Co-Owner: Alok Tholiya & two others from family
Saburi, 107,
Vakola  Bridge, Vakola,
S’cruz – East.
Mumbai – 400 055.
                               9324225699
                               tholiya@hotmail.com

A prime business center: (Mumbai’s biggest Marble, Granite,                      Bathroom fittings market)
                               2nd Bus Stop from Santacruz – East Railway Station.
1 minutes drive from Vakola Highway Signal.
5 minutes drive from Santacruz Airport.
                               5 minutes drive from 7 Star deluxe Hotel Grand Hyatt, Santacruz .
                               15 minutes drive from International Airport,
                               15 minutes drive from and Bandra- Kurla Complex
                               15 minutes drive from newly coming up Diamond Market.
                               15 minutes drive from Bandra Terminus.
                                Vakola is well connected to central railways too.

Housing  old building of 1942
 ground + 1 Story Building.  There r roads on east , west and north side.
Owner owns plot, with building.
Freehold land.
Owner occupies: Entire ground floor in building with outhouse.
 The building has two tenants and one trespasser.
1.Mrs. Bina Chowdhuri (  Runs Bharat Lodge but is in shambles and not run properly . Has filed false case in 1990 claiming terrace and ensures that matter does not reach board when we r present but in our absence  they keep taking some kind of delaying orders.
2.Mrs. Chowgule: Runs a tobacco stall made in open space of building. Rent is just Rs 40/- but do not pay same. Earn Rs. 40000/- from this place and have several other income sources.

3.Trespasser: Mr. Kishan Singh Chohan runs hotel from unauthorized shade without licence  but still has illegally obtained police licence, was fined by Reliance energy for using illegally taken residential power in hotel, hotel is not having any fire fighting preparedness, no cleanliness, no separate wash room , no separate kitchen etc still due to backing of one Suresh Thakur of Congress is protected by BMC.

Plot size 406 Sq. Mts.,
 But someone says: about 40 mts may go in road widening
NA Commercial. Zone R.
Title 100% clear.
CTS no. 3792 to 3796