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I have a question in regards to a common property in our
building which was sold few years ago.

I purchased a unit 2 years ago and only moved in around 12
months ago. When I bought the property the strata plan had two common properties listed on it. One was a common property store room, the other one was common property plant room.

I have now discovered that around 5 years ago these two
rooms were sold to an individual who was a member of the EC at the time, in fact he was a treasurer.

So, at an AGM 5 years ago he obtained 4 proxies and basically
it was only him and the strata manager who attended the AGM. So, during this AGM, the 2 common property rooms were sold by a treasurer to himself as a buyer, and he signed and approved the transaction on behalf of the body corporate. The sum that this was sold for was only $12,000 which is a ridiculously low price and this area has been renovated and now it is being used as commercial property.

How can a treasurer sell a common property (and sign this
transaction) to himself? Isn’t this a conflict of interest? I was advised that
all of this was legal as he had the proxies, no-one objected, etc. However, the price was only $12,000 which was way below market price, there were only 2 people present at the AGM. On top of this, current EC members don’t know where the $12,000 went and they have raised this issue with the strata company, but they never heard back.. On top of this, his strata levies are significantly lower compared to other commercial properties in the building, on the same floor, with very similar size. Isn’t there an issue of OH&S here as well, as one of the rooms was a Common Property Plant Room and as far as I am aware it had something to do with air conditioning and ventilation of the building.

Thanks

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