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Noida RWAs Warned Against Charging Arbitrary Entry And Exit Fees From Tenants

Noida RWAs Warned Against Charging Arbitrary Entry And Exit Fees From Tenants

Resident Welfare Associations (RWAs) in housing societies across Noida and Delhi's Mayur Vihar are facing scrutiny over the practice of charging incoming and outgoing tenants arbitrary entry and exit fees. Nikhlesh Rajan, the Deputy Registrar in the Uttar Pradesh Firms, Societies and Chits Department, has cautioned that demanding these payments without a valid legal basis is unauthorized and could lead to regulatory action or police complaints.

Tenants in several housing societies in Delhi-NCR, including parts of Noida, have reported being asked to pay thousands of rupees under the guise of "development charges" before being allowed to move their belongings. Some societies also impose exit fees when a tenant vacates a flat. RWAs often claim these fees generate necessary maintenance funds and cover potential damage to common areas, such as boundary walls, potted plants, lighting, and fencing, caused during moves.

However, legal experts and officials state that housing society Managing Committees cannot arbitrarily introduce such charges. Any fee collected for maintenance, repairs, or other common expenses must be explicitly stated in the society's bye-laws or approved through a resolution passed at a General Body Meeting (GBM). Tenants and flat owners have the right to request written proof of these rules or resolutions before making any payment.

According to Deputy Registrar Rajan, there is no specific rule permitting RWAs to collect arbitrary entry fees, and doing so could amount to exploitation. Affected tenants can file written complaints with the Firms, Societies and Chits Department, which regulates these bodies.

Upon receiving a complaint, the department can seek explanations, launch inquiries, or order financial audits. In serious cases involving rule violations, officials can recommend the cancellation of the society's registration.

Rajan also noted that preventing a tenant with a valid rent agreement from entering or leaving a complex could expose RWA members to legal action for wrongful restraint under the Bharatiya Nyaya Sanhita (BNS), allowing residents to approach the police.

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