Special Levy to Cover Legal Fees at NCAT

We recently applied to NCAT for the appointment of a compulsory managing agent (under s162 of SSMA 1996).

We have just received the decision in our favour and a compulsory managing agent has now been appointed.

When we first lodged the application, our Strata Committee engaged a legal firm to defend the application.  They did not seek the approval of the owners corporation at a general meeting to engage the solicitors.  Further, they did not even send a copy of the application to the owners, as listed on the strata roll, and as required under the act.

After many underhanded tactics, it became clear that they racked up legal costs to the tune of approximately $88,000 in defending the application for a compulsory strata administrator.  They did not seek approval from the OC on this expenditure.

We understand that under s230 of the 1996 act, a special levy now needs to be raised to cover these costs and all owners are required to pay the levy, with the exception of us, the applicants.  

Could you please advise what the corresponding section of the 2015 act is.

In addition, is there a way for the owners to request this money is recouped another way, through the insurance for example, since the owners did not approve this expenditure in the first place and hadn’t even been sent a copy of the application! 

Many thanks for any insight and advice.