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Showing posts with label jmb. Show all posts
Showing posts with label jmb. Show all posts

Saturday 22 June 2024

Commissioner Of Buildings (COB) In Malaysia, And Their 6 Main Functions


Have you heard of the Commissioner of Buildings (COB)? Maybe it’s whispered about in your apartment complex at night — "be sure to pay your maintenance fees, or the Commissioner of Buildings will get you".
Don’t worry, it’s not as scary as that! The COB is actually a valuable part of effective facility management, and that’s particularly important when you live in a large stratified property.
So, let’s dispel the myths and get down to the truth. Here’s everything you need to know about the Commissioner of Building in Malaysia, and why that’s important to you as a property owner.

Understanding The Commissioner Of Buildings

The Commissioner of Buildings is essentially an enforcement officer designed to police the rules and regulations of the Strata Management Act 2013 (SMA).
This Act is the framework of regulation, which ensures stratified properties are managed and maintained in an effective and fair manner.
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It’s the set of rules that lays out the rights and obligations of every single stratified property owner in Malaysia, as well as other relevant parties, such as management bodies and developers.
It includes essential elements of stratified property ownership, such as the rules and limits around maintenance fees and sinking funds.
A COB will only ever be appointed to oversee stratified properties such as apartments, condos, or flats, so you don’t have to worry about someone turning up at your bungalow looking to enforce any rules!
Stratified properties are those where owners possess a strata title to individual property units as part of a larger shared development, and some less common property types like townhouses.
In addition, the Commissioner of Buildings is empowered by a local council authority within a given state.
So, for example: the Commissioner of Buildings Selangor will have separate agents appointed by, and responsible for, municipal councils from Subang JayaPetaling JayaKajang, and so on.
You can find a handy list of Commissioner of Buildings compiled by the National House Buyers Association to refer to here.
The COB is empowered to investigate and adjudicate on breaches of the SMA, providing a neutral third-party that ensures all rules are fairly applied to everyone involved. Basically, they’re kind of like the sheriff of building management.

PropertyGuru Tip

The term ‘adjudicate’ simply refers to the process of determining how much stamp duty is payable for the instrument of transfer.

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A Commissioner of Buildings’ role isn’t just about punishing people though. It’s designed to ensure proper management and upkeep of stratified property is maintained for the benefit of all.
They’ve even got a cool description of their objective, taken from the official Klang Commissioner of Buildings’ website:
To ensure maintenance of joint property is implemented, based on the law and procedures, for creating harmony in life sharing joint property for the development of elevated [buildings].

What Does The Commissioner Of Buildings Do?

Like we’ve highlighted above, the Commissioner of Buildings enforces the rules laid out in the Strata Management Act 2013. But what does that really cover?

It’s not just maintenance fees and sinking funds like you might think. There are six main functions of the Department of Building Commissioner, as noted by the Klang COB:
  1. Conducting inventory on buildings within the relevant local area.
  2. Ensure the establishment of a Joint Management Body (JMB) for development involving stratified planning.
  3. Resolving any dispute between the developer and the purchaser relating to the establishment of the JMB and account maintenance.
  4. Monitor the action of a developer in addressing repair defects.
  5. Enforce the law stipulated in the Strata Management Act (Act 757) 2013 and the Strata Management Act 2013 (Act 757).
  6. Provide periodic learning about administrative management, audited accounts, financial provisions and other various topics related to the management of JMB/MC.
That list of duties covers a whole range of property management obligations, from accounts right through to education and support for the Joint Management Body (JMB) or Management Corporation (MC).
The Commissioner of Buildings is entitled to a range of powers in order to fulfill the obligations highlighted above.
They include, but are not limited to, access to accounts of management boards and developers for the purpose of auditing.
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That means all decisions made by the COB should be informed by the latest financial information to ensure appropriate oversight.
The COB can also step in and appoint an individual to assemble meetings in order to meet the obligations of building management, or order the MC itself to hold an extraordinary general meeting (EGM) if required.
Commissioner of Buildings, or authorised personnel designated by the COB, may access a property for the purpose of carrying out essential repairs at any time.
The COB also has power to prosecute any individuals who fail to meet their payment obligations such as management or maintenance fees, and adjudicate on any dispute around payment of such fees.
That includes obligations around the defect liability period that’s laid out in the Housing Development Act.

Is The COB Always Right?

It might sound like the COB is some sort of all-powerful overseer of strata property management, but that doesn’t mean they’re not also held accountable.
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The COB is answerable to the Strata Management Tribunal. On top of that, the rulings of the COB are ultimately answerable to legal processes in the courts, and challenges to COB decisions can be brought in via this way.
In one example from 2010, a Management Corporation (MC) for a development in Penang challenged the COB in the High Court over a ruling that only unit owners could be elected as council members of stratified property management corporations.
The COB ruling, and the following appeal, were later upheld. The COB isn’t always in the right, however.
In 2013, the COB ruled on a case whereby a developer owed a JMB for a shortfall of RM500,000 in overdue maintenance funds.
The JMB referred the matter to the COB, who ruled that the sum was owed by the developer to the JMB. A court ruling later dismissed this, citing lack of jurisdiction in this matter by the COB.

What’s The Difference Between COB And Strata Management Tribunal?

At this point, some of you might be wondering where the Strata Management Tribunal (SMT) comes into play?
The Strata Management Tribunal is another legally recognised body, which, like the Commissioner of Buildings, provides a vital service in overseeing stratified properties.
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While the COB is concerned with the general needs and enforcement of building maintenance and management, the SMT is a body which exclusively deals with resolving disputes. There are some subtle differences however, that should be recognised.
Ultimately, the COB is answerable to the SMT, since it’s the empowered legal authority for overseeing the implementation of the full Strata Management Act 2013The Strata Management Tribunal is limited to claims brought by the following parties:
  • Developer
  • Purchaser
  • Proprietor
  • Joint Management Body (JMB)
  • Management Corporation (MC)
  • Subsidiary Management Company (SMC)
  • Managing agent
  • Relevant parties (Special permission granted by Tribunal)
The SMT is designed to provide an affordable and accessible dispute resolution body for problems of stratified ownership. There’s no legal representation required, except in extremely complex cases where it’s deemed that one party may be disadvantaged by lack of representation.
The critical point to understand about the SMT in relation to the COB is that the SMT will only hear claims covering financial costs up to a maximum RM250,000.
Any cases over that amount, such as the 2013 disputed claim noted above, are outside that scope. You can find out more about the full details of the Strata Management Tribunal here.
Breaking down the difference between SMT and COB in the most simple way possible – the Commissioner of Buildings is the sheriff and the enforcer, the Strata Management Tribunal is the judge(s) who oversee application of the law.
These are all important measures to ensure all stratified properties don’t end up becoming like the Wild Wild West of property management!
Relevant Guides:
Disclaimer: The information is provided for general information only. PropertyGuru International (Malaysia) Sdn Bhd makes no representations or warranties in relation to the information, including but not limited to any representation or warranty as to the fitness for any particular purpose of the information to the fullest extent permitted by law. While every effort has been made to ensure that the information provided in this article is accurate, reliable, and complete as of the time of writing, the information provided in this article should not be relied upon to make any financial, investment, real estate or legal decisions. Additionally, the information should not substitute advice from a trained professional who can take into account your personal facts and circumstances, and we accept no liability if you use the information to form decisions.
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Wednesday 19 June 2024

‘Review Strata Management Act’

 

Separate role for property managers


Borhan (front row, third from left) with attendees during the Strata Residential Building Management Enhancement Seminar in Shah Alam.

A REVIEW of the Strata Management Act 2013 is needed to ensure existing laws and regulations are relevant and effective, says Selangor housing and culture committee chairman Borhan Aman Shah.

He said the law needs to address emerging challenges faced by joint management bodies (JMB) and management corporations (MC).

Borhan said the Housing and Local Government Ministry should consider providing more funds and grants to JMB and MC to assist them in implementing maintenance and repair projects.

“Provide more training and capacity building for JMB and MC members as well as building management agents,” he said during the Strata Residential Building Management Enhancement Seminar at a convention centre in Shah Alam. 

Borhan said the ministry should introduce new technology for strata management.

“This includes the use of mobile apps and digital management systems to streamline the daily operations of JMB and MC in enhancing management efficiency,” he said.

He also suggested that personal accident insurance packages be included for JMB and MC committee members under the amended law to motivate them to carry out their duties.

He said for example, when the JMB or MC carried out maintenance checks and the elevator in an apartment was faulty, their safety could be at risk.

Such checks, Borhan said were made without any guarantee that they would be compensated in the event of an untoward incident.

“There is nothing to ensure their safety or welfare, and many felt burdened when carrying out their jobs.

“Besides the insurance, JMB should be allocated additional grants to enable them to carry out their responsibilities without having to worry about their safety.

Borhan advised those involved in managing apartments to attend seminars to empower and update themselves on governance system for JMB and MC.

Source link


Related

Govt to review, amend Strata Management Act

Govt to review, amend Strata Management Act

KUALA LUMPUR: The government is set to review the Strata Management Act 2013 (Act 757) for amendment soon, said the local government development ministry.

Its deputy minister, Akmal Nasir, said the review and amendment of the Act were in line with the third Rolling Plan of the 12th Malaysia Plan.


Strata Management Practice & Procedure A ...

13 Oct 2021 — Strata Management Act 2013 [Act 757]. Strata Management Act 2013 [Act 757]. Strata Management (Maintenance and Management) Regulations 2015

https://www.ongmaju.com/wp-content/uploads/2017/01/Strata-Management-Act-757-English.pdf

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Wednesday 4 October 2023

EXCLUSIVE On top of the scams list

 


Ecommerce fraud cases outnumber those of investments and loans

KUALA LUMPUR: When Covid-19 struck in early 2020 and millions of people were stuck at home with nowhere to go, online shopping started picking up and not long after, so did ecommerce scams.

According to the Bukit Aman Commercial Crime Investigation Department (CCID), over RM305.94mil was lost to ecommerce scams between 2021 and August 2023.

Its director Comm Datuk Seri Ramli Mohamed Yoosuf (pic) told The Star that over the last three years, his department had observed that ecommerce scams were becoming more prevalent nationwide.

Ecommerce scams refer to fraudulent online shopping offers and tend to feature “sellers” offering bogus items either on online purchasing platforms or via social media platforms.

In most cases, the seller disappears without a trace once they receive payment from their victims.

“In terms of cases being reported, ecommerce has topped the charts since 2021 with 9,499 cases recorded that year, 9,253 cases in 2022 and 7,911 cases between January and August this year,” said Comm Ramli.

“The top three types of scams reported are ecommerce scams, bogus loans and investment scams.

“Based on our statistics, cases of ecommerce scams reported greatly outnumber the other two types.

“In the past three years, 26,663 ecommerce scam cases were reported between January 2021 and August 2023 compared with 10,759 loan scams and 9,640 investment scams reported over the same period.”

ALSO READ: Only use trusted websites, says victim

He added that while losses from ecommerce scams had been on the rise since 2021, the biggest increase was seen this year with RM144.82mil in losses recorded between January and August.

“The year has not even ended yet and already we have recorded a RM56.73mil increase in losses compared with the RM88.09mil recorded in 2022. In 2021, we recorded RM73.02mil in losses,” he said.

He added that between January and August this year, police arrested 3,659 suspects in connection with ecommerce scams.

Comm Ramli said cheating cases were becoming more challenging to curb, as technology had allowed scammers to go online.

“There is no more face-to-face between the victim and the perpetrator when it comes to online scams, which makes it tough for suspects to be identified and brought to justice.

ALSO READ: Move to beef up scam response centre

“There is room for us to improve ourselves. As online scams increase, we need to better equip ourselves with new laws that are more relevant to combat such scams,” he said, adding that he welcomed a multi-agency approach to tackle these new forms of crime.

When asked if the police were beefing up their strategies and equipment to combat scam syndicates, Comm Ramli said they were working with other agencies such as the Malaysian Communications and Multimedia Commission as well as Bank Negara Malaysia.

“As criminals evolve, we, too, have to evolve in order to stay one step ahead of them. I will not elaborate on our strategies as it may open the door to the scam syndicates to alter their modus operandi, but rest assured that we are doing our part to fight them head to head.

“We are also part of the National Scam Response Centre (NSRC) and I must say that in terms of efficiency, it is quite effective,” he said.

He said anyone who feared that they have been scammed can contact the NSRC at 997 and action would be taken immediately.

Comm Ramli said there were some procedural matters being tweaked in order to make their efforts more proactive.

He added that their main aim was to retrieve the money for the victims.

  Source link

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