Dear Kee,
I have forwarded an article on recent changes to property development laws in pdf format to
jalildamai@gmail.com, can you please check if you receive it and if you can assist to download the article here? Thanks!
Anyway, here is the summary.
On 12 April 2007, amendments to 4 existing Acts governing and affecting the property development industry, namely the Housing Development (Control and Licensing) Act 1966, Street, Drainage % Building Act 1974, Architect Act 1967, Strata Titles Act 1985 and the new Building and Common Property ( Maintenance and Management) Act 2007 came into force. The article seeks to highlight the key changes brought about by these amendments and new laws.
For the New Building and Common Property (Maintenance and Management) Act 2007, it seeks to regulate the maintenance and management of common properties within a strata title development from the date of delivery of vacant possession of the parcel until the date of issuance of strata titles and the formation of the management corporation. The main features of the New Act are summarized as follows:
Commissioner of Buildings
A Commissioner of Buildings (Commissioner) will be appointed by the State Authority in respect of a local authority area for the purposes of administrating and carrying out provision of the New Act. It is the duty of the developer to convene the first meeting of the JMB, otherwise the Commissioner may appoint a person to convene the first meeting and the developer will be guilty of an offence. The quorum for the first meeting is one-quarter of the purchasers who have paid their maintenance changes.
Joint Management Body
The New Act requires a Joint Management Body (JMB) comprising the developer and the purchasers to be established within 12 months from the date of delivery of vacant possession. However, for buildings completed before commencement of the New Act ( ie 12 April 2007) where the vacant possession of parcel has been delivered and the management corporation has yet to be established, the JMB must be established within 12 months from 12 April 2007.
Building Maintenance Account
A developer is required to open and maintain a Building Maintenance Account (BMA) before the delivery of vacant possession ( also before the formation of the JMB). Collection of maintenance and management charges from purchasers is prohibited until the BMA is opened.
A proper audited account of the BMA and a copy of the audited report must be submitted to the Commissioner within 14 days of the accounts being audited. Failure to perform this duty is an offence which is liable to a fine of RM10,000 to RM100,000 and RM1,000 for every day during the offence is continued after conviction.
In respect of a building which has been completed on or before the commencement of the New Act( and the management corporation has not been established) and the developer has been collecting maintenance and management charges from the purchasers, the developer may continue to do so until the JMB is established without opening of BMA. In that event, the developer shall within 6 months from the commencement of the New Act( ie 12 April 2007) submit the audited accounts for moneys collected as expended.
I believe, with the New Act, the complaints and grievances against JDA's current management shall be addressed!
Cheers!