Sinking Funds - sunken responses?

Mr Chew wrote:

I have a question regarding sinking fund, appreciate if you could advice me. I am currently one of the JMC member (form on Jan-08), on phase 1 (156 units, completed on sept-03) , the developer collected sinking fund since hand over of vacant possession but on Phase 2 (256 units, completed on nov-06) the developer only start to collect sinking fund on 3rd years onwards, as written in the Deed of Mutual covenants, so now the JMB is short of sinking fund on 1st & 2nd year. Question1) Is the developer have rights to waive sinking fund?2) if not, how can JMB recover the sinking fund money from developer?

Nicholas Phuah wrote:

HAPPY NEW YEAR TO ALL THE GUYS THERE. KEEP UP THE GOOD WORK!



With reference to the above blog written by Mr. Chan, I would like to suggest the following:-



1. Check your house rules carefully to ensure that there are preventive and protective clauses. If not, urgently prepare additional clauses to tighten control.

2. While it may not be legal to prevent owners from renting out to any tenants, there are other laws and bylaws regulating the no of occupants per unit.

3. The JMC/MC can ensure that all owners and tenants must comply with the house rules.

4. The JMC/MC must be strong in ensuring the policy must be enforced. You must have a strong property manager and security to back you up.