Former Punjab health minister Balbir Singh Sidhu has launched a sharp critique against the state government's recent notification concerning cooperative housing societies. He describes the move as a direct betrayal of countless residents who invested their life savings to secure homes within these communities.
Historical Context and Current Changes
Sidhu highlights that the Punjab Cooperative Societies Act of 1961 originally contained no provisions for registration or stamp duty on the allotment or transfer of houses in cooperative housing societies. This legal framework allowed thousands of such societies to form over the years. People purchased homes in good faith, relying on this established system.
However, the current government has amended the Act. It now imposes significant stamp duty and registration charges. This sudden change places an unexpected financial burden on residents who had no prior warning.
Inadequate Relief and Financial Strain
Referring to the specifics of the notification, Sidhu points out that the government has offered relief only to the first allottee of a property. Subsequent buyers receive a minimal concession of just 1 to 3 percent. This limited relief is available only until March 31, 2026.
Sidhu alleges this policy is a deliberate attempt to extract money from middle-class families and senior citizens. He emphasizes that no concession whatsoever has been extended to the cooperative housing societies themselves. These societies now face an 8 percent stamp duty charge based on prevailing market rates.
Ownership Issues and Practical Demands
The former minister raises a critical point about property ownership. In many cases, the original allottees have already sold their houses. Sidhu argues the current legal owner should be treated as the first owner for the purpose of these charges, regardless of how many times the property has changed hands.
He also puts forward additional demands to address the fallout from this policy. Sidhu suggests cooperative housing societies should be permitted to levy a 1 to 2 percent No Dues Certificate (NDC) or transfer charge. This revenue would help ensure proper maintenance of essential infrastructure like roads, parks, and sewerage systems within the societies.
Furthermore, he demands that residents be granted at least one year to complete the registration process. This extension would prevent undue financial stress by giving people adequate time to arrange the necessary funds.
Call for Government Review
Concluding his statement, Sidhu urges the Punjab government to immediately review the controversial notification. He calls on the administration to stand with the people it serves instead of burdening them with new financial obligations. The former minister's strong words underscore the deep concern among residents facing these unexpected costs.
