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Chairman in Default of Levies

By Ianthe Norton on Fri, 11 May 2018 at 18:38

Hello all
I am a trustee on a body corporate.
It has recently come to light that the chairman has been in 60 days arrears on his levy account for the past 20 months.
Both him and the managing agent have been keeping this from the trustees.
The managing agent has told the trustees that the act has changed and that a trustee(chairman) may continue to serve on the BC if they are in arrears, but he has not provided any proof of this.
A few of the trustees believe that the chairman has abused his position and would like to ask him to stand down.
Does anyone know if the law has changed, and if so where can I find written proof of this?
Thanks so much in advance.

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RE: Chairman in Default of Levies

Murray Bennett replied on Sat, 12 May 2018 at 05:34

The MA is correct. Refer to Sectional Title Scheme Management Act - Regulations which can be found under the library on this page:
6 Requirements for office and disqualification
4) A trustee ceases to hold office if that trustee—
(i) fails or refuses to pay the body corporate any amount due by that trustee after a court or adjudicator has given a judgment or order for payment of that amount.

RE: RE: Chairman in Default of Levies

Ianthe Norton replied on Sat, 12 May 2018 at 10:31

Thank you so much for your response.
I found the information below on the Trafalgar website which states that there was an insertion in April 2013:

(g) if he is in arrears for more than 60 days with any levies and contributions payable by him in respect of his unit or exclusive use area (if any) and he fails to bring such arrears up to date within 7 days of being notified in writing to do so....Show More

RE: RE: RE: Chairman in Default of Levies

Murray Bennett replied on Sun, 13 May 2018 at 00:05

Outdated - Refer to all current legislation under the library section on this site.

RE: Chairman in Default of Levies

Nico Carstens replied on Sun, 13 May 2018 at 08:57

Lodge a dispute with the Ombud. Going to cost you only R50.00.

BUT first put both the CP (just another Trustee) and the MA terms to rectify the problem within 30 days. If not, then go ahead with the Ombud. ...Show More

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