The Pune District Cooperative Housing Federation (PDCHF) has demanded the indemnity bond made mandatory by the Bombay high court last year be scrapped.

The high court had reiterated a provision of the Maharashtra Cooperative Societies Act, 1960, that makes it mandatory for the managing committee of cooperative societies to sign an indemnity bond within 15 days of joining office. Most of the registered cooperative housing societies in the city had opposed the court directive, as the indemnity bond places legal responsibility on the committee members for all actions/inaction while in office, raising fears that the bond could be used against them.

DNA-Daily News & Analysis Source: 3D Syndication