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Section 9 of the Strata Management Act 2013 governs the duties and powers of developers during the developer’s management period.

The provision is worded as follows:

“(1) Subject to the provisions of this Act, a developer shall, during the developer’s management period, be responsible to maintain and manage properly any building or land intended for subdivision into parcels and the common property.

(2) Without prejudice to the generality of subsection (1), the duties of the developer during the developer’s management period shall be as follows:

(a) to determine and impose the Charges to be deposited into the maintenance account;

(b) to determine and impose the contribution to the sinking fund to be deposited into the sinking fund account;

(c) to effect insurance according to this Act;

(d) to comply with any notice or order given or made by the local authority or any competent public authority requiring the abatement of any nuisance on the common property, or ordering repairs or other work to be done in respect of the common property or other improvements to the common property;

(e) to prepare and maintain a register of all parcel owners of the buildings or lands intended for subdivision into parcels;

(f) to ensure that the accounts required to be maintained by the developer under this Act are audited and to provide audited financial statements for information to all purchasers;

(g) to enforce by-laws; and

(h) to do such other things as may be expedient or necessary for the proper maintenance and management of the buildings or lands intended for subdivision into parcels and the common property.

(3) The powers of the developer during the developer’s management period shall be as follows:

(a) to collect the Charges from the parcel owners in proportion to the allocated share units of their respective parcels;

(b) to collect the contribution to the sinking fund from the parcel owners;

(c) to authorize expenditure for the carrying out of maintenance and management of the buildings or lands intended for subdivision into parcels and the common property;

(d) to recover from any parcel owner any sum expended by the developer in respect of that parcel in complying with any such notice or order referred to under paragraph (2)(d); and

(e) to do all things reasonably necessary for the performance of its duties under this Act.

(4) During the developer’s management period –

(a) the developer shall ensure that a separate and distinct area is set aside out of the common property of the development area for the sole purpose of an administration office for the carrying out of duties of the developer under this Act; and

(b) the developer shall not enter into any contract relating to the maintenance and management of a building or land intended for subdivision into parcels and the common property in the development area for any period after the expiration of the developer’s management period.

(5) Any developer who fails to comply with subsection (1), (2) or (4) commits an offence and shall, on conviction, be liable to a fine not exceeding two hundred and fifty thousand ringgit or to imprisonment for a term not exceeding three years or to both.”

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