Section 51
Developer to establish sinking fund account in the name of management corporation
(2)
The sinking fund account shall be used solely for the purposes of meeting the actual or expected capital expenditure necessary in respect of the following matters:
(a)
the painting or repainting any part of the common property which is a building or other structure;
(b)
the acquisition of any movable property for use in relation to the common property;
(c)
the renewal or replacement of any fixtures or fittings comprised in any common property and any movable property vested in the management corporation;
(d)
the upgrading and refurbishment of the common property;
and
Strata Management 67
(e)
any other capital expenditure as the management corporation deems necessary.
(3)
Any developer who fails to comply with subsection (1) or
(2)
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.