LexThe Assam Co-operative Societies Act, 2007
Assam · state statute
Open in Lexace · Ask the AI about this actRegistered No.-768/97
I
THE ASSAM GAZETTE
S I W 5!
EXTRAORDINARY
PUBLISHED BY THE AUTHORITY
58 4 C W ^ t,2 0 1 2 , 15^M , 1933 (*R?)
No. 58 Dispur, Saturday, 4th February, 2012,5th Megha, 1933 (S.E.)
GOVERNMENT OF ASSAM
ORDERS BY THE GOVERNOR
LEGISLATIVE DEPARTMENT, LEGISLATIVE BRANCH
NOTIFICATION
The 4th February, 2012
No. LGL.6/2005/60.- The following Act of the Assam Legislative Assembly which received
the assent of the President is hereby published for general information.
ASSAM ACT NO. IV OF 2012
(Received the assent of the President on 18-1-2012)
THE ASSAM COOPERATIVE SOCIETIES ACT, 2007
370 THE ASSAM GAZETTE, EXTRA ORDINARY, FEBRUARY 4, 2012
AN
ACT
Preamble
to consolidate and amend the law relating to cooperative societies in the
State of Assam to facilitate the voluntary formation and democratic functioning of
cooperative societies as people's institutions based on self-help and mutual aid
and to enable them to promote their economic and social betterment.
Whereas it is expedient to consolidate, and amend the law relating to
cooperative societies in the State of Assam to facilitate the voluntary formation and
democratic functioning of cooperative societies as people’s institutions based on
self help and mutual aid and to enable them to promote their economic and social
betterment and for matters connected there with or incidental thereto;
It is hereby enacted in the Fifty-eighth Year of the Republic of India as
follows
CHAPTER - 1
Preliminary:
Short title,
extent and
commencement
1 . (1) This Act may be called the Assam Cooperative Societies Act, 2007
(2) It extends to the whole of Assam.
(3) It shall come into force on such date as the State Government may, by
notification in the Official Gazette, appoint.
2.
Definitions
In this Act, unless there is anything repugnant in the subject or context,-
(a) "Administrative Council" means a body intermediary between a
managing body and the General Assembly of a registered society;
(b) "Affiliating Society" means the registered society of which a
particular society is a member and "Affiliated Society" means the
particular society which is a member of the affiliating society;
(c) "Arbitrator” means a person appointed under the provisions of this
Act to decide any dispute referred to him;
(d) "Audit Officer" means a person appointed under the provisions of
this Act to audit the accounts of a registered society;
(e) “area of operation” means the area from which the membership is
drawn;
(f) "bye-Law" refers to the registered bye-laws of a Society for the time
being in force and includes a registered amendments of bye-laws
of a society;
(g) “Board” means the Governing body of a co-operative society to
which the management of the affairs of the co-operative society is
entrusted under the bye-laws and includes Managing Committee of
a co-operative Society
(h) "Cooperative Year" means the period beginning and ending on
such dates as may be fixed by the Registrar for the purpose of
drawing up the Balance Sheets of registered societies and for all
other purposes under this Act;
THE ASS AM GAZETTE, EXTRA ORDINARY, FEBRUARY 4, 2012 371
(i) "Cooperative Demand Certificate" means a certificate as
mentioned in subsection (4) of section 103 or sub section (1) of
section 114;
(j) “Co-operative Society” or “society" means a co-operative society
registered under this Act and includes a society formed after
amalgamation of such two or more societies or by division of an
existing society;
(jj) “Co-operative Bank” means a Co-operative Society registered under
this Act carrying on the business of Banking as defined under
section 5(b) of the Banking Regulation Act, 1949, which shall also
include Central Co-operative Bank and a State Co-operative Bank
as defined under clauses (d) and (u) of section 2 of the National
Bank for Agriculture and Rural Development Act, 1981 and a
Primary Co-operative Society carrying on the business of Banking;”
.Act No. 10
of 1949
Act No. 61
of 1981
(k) “Co-operative” where used as a noun means an autonomous
association of persons united voluntarily to meet their common
socio-economic need through a jointly owned and democratically
controlled enterprise formed on co-operative principles and
registered under this Act;
(l) “Chief Executive" means the individual, in paid or honorary
capacity, nominated or elected or appointed by the Board from
among members, Directors or others, in accordance with the bye
laws of the society who shall perform such functions, and
responsibilities and exercise such powers as specified in the Act,
bye-laws and assigned by the Board:
(m) “common need" means the economic and social need which is
common to all who wish to form a cooperative society;
(n) “Chief Auditor’ shall mean the senior most cooperative officer
posted at the office of the Registrar;
(o) “ delegate" means a person elected by a group of individual
members of a society to represent them in the genera! body of the
cooperative society in accordance with the bye-laws of the society;
(p) “Director" means the director of the Board which shall be construed
as member in case of Managing Committee;
(q) “Delegate General Body" in relating to a cooperative society
means all its delegates;
(r) "Delegate General Body Meeting" means a meeting of the
delegates, called and conducted in accordance with the provisions
of this Act and the bye-laws;
(s) "employee" means a person, not being an office bearer employed
by a registered society on a salary or similar form of remuneration
other than advance patronage dividend or payment for goods sold
to or through such society;
(t) "family" means a person, his spouse, his children and parents
dependent on him and jointly residing with him;
(u) "General Assembly" in relation to a cooperative society means the
highest authority of a registered society;
(v) “General Meeting" means a meeting of the General Assembly
called and conducted in accordance with the provisions of this Act
and the bye-laws;
(w) "member" means a person who is admitted as a member of the
cooperative society in accordance with the provisions of this Act
and bye-laws of the society and shall include a co-operative self
help group and an institution,
372 THE ASSAM GAZETTE, EXTRA ORDINARY, FEBRUARY 4, 2012
(x) “office bearer" means a member duly elected by the appropriate
body of a registered society according to its bye-laws to any office
of such society, including the office of President, Chairman, Vice-
President, Vice-Chairman, Secretary, Managing Director &
Treasurer;
Provided that any officer appointed or nominated by the
State Government to hold charge of any office of a registered
society shall be deemed to be an office bearer unless specifically
stated to the contrary;
(y) "Primary Cooperative Society" means a Cooperative Society
whose membership is available only to individual and self help
groups and voluntary institutions other than cooperative societies;
(z) “patronage dividend” means the dividend paid to members in
relation to their participation in the business of the society in
accordance with the provisions of the bye-laws;
(aa) “prescribed” means prescribed by rules made under this Act; _
(bb) "Registered Society" means a cooperative society registered
under this Act and includes a society formed after amalgamation of
such two or more societies or by division of such an existing /
society;
(cc) "Registrar" means the officer appointed by the State Government
under section 3 to perform the duties of Registrar of Cooperative
Societies under this Act;
(dd) "rules" means rules made under this Act;
(ee) "Secondary Cooperative Society or Federal Cooperative
Society” means a cooperative society whose members are
cooperative societies as well as individuals;
(ff) “surplus" means the excess of income over expenditure of a
cooperative society arrived at the end of a financial year after the
payment of interest, if any, on share capital and before the
payment of surplus refund and allocation of reserves and other
funds;
(gg) "self help group (SHG)” means a homogeneous group of persons
voluntarily formed to save small amounts of their earnings and also
to raise loans to be lent to its members on terms, as mutually *
agreed upon;
(hh) "services" means the main services provided to members, through
which a co-operative society intends to meet the need common to
all members for the fulfillment of which the co-operative society
was formed;
(ii) “Schedule” means the schedule appended to this Act;
THE
REGISTRAR
CHAPTER-II
REGISTRATION OF SOCIETIES
(1) The State Government may appoint an officer to be the Registrar of
Cooperative Societies for the State or any portion of it for the
registration, supervisions, assistance, counsel and for the all-round
development of the Cooperative movement in the State with such
other powers and responsibilities as may be provided under this Act
or rules or bye-laws framed thereunder.
THE ASSAM GAZETTE, EXTRA ORDINARY, FEBRUARY 4, 2012 373
SOCIETIES
WHICH MAY BE
REGISTERED
(2) The State Government may also appoint any other person or persons
to assist the Registrar and may by general or special order in writing
delegate to any such person or persons all or any of the powers and
responsibilities of the Registrar under this Act.
4. (1) Subject to the provisions hereinafter contained, a society which has as
its chief object the promotion of the economic interest and general
welfare of its members in accordance with cooperative principles laid
down in Schedule 'A' may be registered under this Act, provided that
a society established with the object of facilitating the operation of
such a society including a society formed by the division of an
existing registered society or amalgamation of existing two or more
societies, may be registered under this Act with limited liability.
(2) No cooperative society with unlimited liability shall be registered after
commencement of this Act.
(3) Where a cooperative society with unlimited liability was functioning
before the commencement of this Act such society shall exercise the
option within a period of one year from such commencement either to
continue to function as such or to convert itself into a cooperative
society with limited liability by following the procedure of amendment
as specified in section 12.
EXPLANATION
For the purpose of this sub section cooperative society with
limited liability means a cooperative society in which the liability of its
members for the debts of the cooperative society is limited by its bye
laws, to such form and extent as they may undertake to contribute to
any deficit in the assets of the cooperative society in the event of its
being wound up.
(4) Where a cooperative society is ordered to be dissolved under any
provision of this Act, the liability of a past member or of the estate of
a deceased member, who ceased to be member or died during the
period of two years immediately preceding the date of order for
dissolution, shall continue unt». completion of the entire liquidation
proceedings, but such liability shall be limited only to the debts of the
cooperative society as they stood on the date of cessation of his
C - membership or his death, as the case may be.
(5) No society shall be registered if in the opinion of the Registrar its
>' declared objects are not likely to be achieved or if it is economically
unviable, technically and cooperatively unsound or if it may have an
adverse effect upon any registered co-operative society or the
cooperative movement as a whole or if the members or the applicants
do not need the services or are not in a position to use the services of
the co-operative society:
Provided that no other organization, entity or societies
registered under any other Act existing for the time being in force
other than this Act shall be registered or converted or merged as a
cooperative society.
“(6) The Co-operative Society to be registered as a Co-operative Bank shall
specifically indicate in its byelaws submitted before the Registrar at
the time of registration, that the society shall be a Co-operative Bank
which shall carry on the business of banking as defined under section
5(b) of the Banking Regulation Act, 1949 on the basis of which the
Registrar shall register the said society as a Co-operative Bank as
defined under this Act.
374 THE ASSAM GAZETTE, EXTRA ORDINARY, FEBRUARY 4, 2012
(7) The existing Co-operative Societies carrying on the business of
banking as defined under section 5(b) of the Banking Regulation Act, Act No. 10
1949 on the date of coming into force of this Act, shall amend their o f 1 9 4 9
Bye-laws indicating that the said societies have been carrying on the
business of banking in the State of Assam and shall file a copy of the
amended bye-laws before the Registrar for getting the societies
registered as a Co-operative Bank and Registrar shall register the
said societies accordingly under this Act.
Explanation For the purposes of this sub-section the term “existing A ssa m A ct
Cooperative Societies" means the Co-operative Societies registered ^ 0
1 of
under the Assam Co-operative Societies Act, 1949, and carrying on
the business of banking at the commencement of this Act.”
“CO
OPERATIVE
BANK TO BE
ELIGIBLE CO
OPERATIVE
BANK
5.
AGE
QUALIFICATION
OF A MEMBER
CONDITIONS
OF
REGISTRATION
4A A Cooperative Society registered as a Co-operative Bank under this
Act shall be an eligible Cooperative Bank within the meaning of clause
(gg) of section 2 of Deposit Insurance and Credit Guarantee
Corporation Act, 1961 and shall be bound by the following -
Act No
47 of 1961
X
(a) If so required by the Reserve Bank in the public interest or for
preventing the affairs of the Cooperative Bank being conducted in a
manner detrimental to the interests of the depositors or for securing
the proper management of the bank, an order shall be made for the
supersession of the committee of management or other managing
body (by whatever name called) of the Co-operative Bank and the
appointment of an administrator therefore for such period or periods
not exceeding five years in the aggregate as may from time to time
specified by the Reserve Bank.
(b) An order for the winding up of the Co-operative Bank or an order
sanctioning a scheme of compromise or arrangement or of
amalgamation or reconstruction or an order for the supersession of
the committee of management or other managing body (by whatever
name called) of the Co-operative Bank and the appointment of an
administrator therefore made with the previous sanction in writing or
on the requisition of the Reserve Bank shall not be liable to be called
in question in any manner.
(c) The liquidator or the insured Co-operative Bank or the transferee Co
operative Bank, as the case may be, shall be under an obligation to Act No. 47
repay the Corporation in the circumstances, to the extent and in the o f 1961
manner referred to in section 21 of the Deposit Insurance and Credit
Guarantee Corporation Act, 1961 ”
No person may become an individual member of a registered cooperative
society unless he is above eighteen years of age, provided that the bye
laws of a society may prescribe a higher minimum age and he is not
otherwise disqualified under this Act.
(1) No society other than a society of which a member is a registered
society shall be registered under this Act which does not consist of
at least such number of eligible persons as may be prescribed by
the Registrar of Cooperative Societies:
THE ASSAM GAZETTE, EXTRA ORDINARY, FEBRUARY 4, 2012 375
(2)
(3)
RESTRICTIONS 7. (1)
ON ACQUISITION
(TF SHARES IN A
COOPERATIVE (2)SOCIETY
Provided that the number of members for the above purpose
shali not in any case be less than 10 members competent to
contract under section 11 of the Indian Contract Act,1872 and
belonging to ten different families.
The word limited shall be the last word in the name of every society
registered under this Act.
No society shall be registered under this Act in an area where there
already exists another cooperative society with similar objectives:
Provided that Registrar may allow registration of more than
one cooperative societies in the same area of operation in case the
need or necessity, demand for organization of such types of
societies requires registration of more such types of societies in the
same area of operation e g. transport cooperative, labour contract
cooperative, trading cooperative, housing cooperative.
However, in doing so proper justification must be obtained
before allowing registration of such societies.
No member of a registered society shall hold more than such
portion of the share capital of the society as may be prescribed by
the rules, or the bye-laws of the society.
No member shall be allowed to acquire an additional share until he
has paid in full the value of the whole of that portion of his share
holding which he is required to pay in accordance with the bye-laws
of the society
IX of
1872
POWER OF
T REGISTRAR TO
DECIDE CERTAIN
QUESTIONS
All disputes regarding formation, registration or continuance of a
society under this Act shall be decided by the Registrar.
BYELAWS 9. (1) A cooperative society shall frame their own bye-laws and the affairs of
the cooperative society shall be managed in accordance with the
terms, conditions and procedure specified in the bye-laws.
(2) Subject to the provisions of this Act, the functioning of every cooperative
society shall be regulated by its bye-laws.
(3) The bye-laws may contain such matters as decided by the General
Assembly and shall be specific and confined only to the matters
provided in Schedule B. However, the bye-laws of a society shall in no
case supersede the provisions of the Act.
APPLICATION
FOR
REGISTRATION
10. (1) For the purpose of registration, an application thereof shall be submitted
to the Registrar in the form as may be prescribed, by hand or by
registered post signed by at least ten persons or such number of persons
as may be fixed by the Registrar, qualified under section 5 of the Act,
read with sub section (5) of section 4 who wish to form a primary
cooperative society or by a duly authorized person on behalf of atleast
three such registered cooperative society who wish to form a secondary
cooperative society. The person by whom or on whose behalf such
application is made, shall furnish such information in regard to the
proposed cooperative society as the Registrar may require. Every such
application shall be accompanied by the original declaration signed by
applicants expressing commitment to the cooperative principles specified
in Schedule-A and the following:-
376 THE ASSAM GAZETTE, EXTRA ORDINARY, FEBRUARY 4, 2012
CERTIFICATE
OF
REGISTRATION
(a) four copies of the proposed bye-laws of the cooperative society as
adopted by the applicants;
(b) a true copy of the resolution passed at a meeting by the applicants
adopting the bye-laws.
(c) a list of names of the applicants with their complete address,
occupation and equity participation and other details.
(d) a scheme regarding viability of the proposed society, economically,
financially technically and cooperatively;
(e) a copy of a treasury challan in support of payment of registration fee
calculated in accordance with the provisions of sub-section(l) of
section 17 which shall be non refundable and shall furnish such other
information in regard to the society as the Registrar may require.
(2) On receipt of the application for registration and after due consideration,
the Registrar may register the bye-laws with such modification as he
thinks necessary to bring about conformity with the provisions of the
bye-laws of any society having similar objects and functions or for any \
other grounds he deems necessary for the interest of cooperative
society in particular and the cooperative movement in general. If the
conditions laid down in sections 4 and 6 are not fulfilled, the Registrar
shall communicate by registered post the order of refusal for
registration together with the reasons thereof, within sixty days from the
date of submission or receipt of application for registration, as the case
may be, to the applicants. However, in case of registration of a
Cooperative bank clearance from NABARD or Reserve Bank of India
as the case may be shall have to be obtained before considering for
according permission for registration of such societies:
Provided that no order of refusal shall be made without
giving an opportunity of being heard to the applicant. The certificate of
registration signed and sealed by the Registrar shall be conclusive
evidence that the society mentioned therein is a cooperative society
duly registered under this Act, unless it is proved that the registration of
the society has been subsequently cancelled: No cooperative society
shall commence business unless it has obtained a certificate of
registration under section 1 1 and after obtaining prior
license/permission if necessary under any State or Central Act in such
business and every member of such cooperative society carrying on
business in contravention of this sub-section shall be severally liable for
all liabilities incurred in such business.
11. The Registrar shall register the society and also take on record its bye
laws and communicate by registered post a certificate of registration and
the original bye-laws signed and sealed by him within sixty days from the
date of submission or receipt of the application for registration, as the
case may be to such person specified in the application for the purpose
subject to the fulfillment of the following conditions, namely:-
(a) the application is in conformity with the requirements laid down
under this Act;
(b) the object of the proposed cooperative society is the economic
and social betterment of its members through the provision of
services to fulfill such common need as specified in the proposed
bye-laws;
(c) the proposed bye-laws are not inconsistent with the provisions of
this Act and are not against the aims and objects of the cooperative
society:
THE ASSAM GAZETTE, EXTRAORDINARY, FEBRUARY 4, 2012 377
Provided that where within sixty days of submission of the
application for registration the society is not registered or the certificate
of registration has not been issued or refusal of registration has not
been communicated, the society shall be deemed to have been
registered under this Act.
AMENDMENT
OF THE BYE
LAWS OF A
REGISTERED
SOCIETY
12. (1) No amendment of the bye-laws of a registered society, whether by way
of addition, alteration or change of name shall be valid until such
amendment has been registered under this Act.
(2) Every proposal for such amendment shall have to be approved by a
resolution at a meeting of the General Assembly in accordance with the
bye-laws of the society and be forwarded within a month from the date of
the resolution to the Registrar; and if the Registrar is satisfied that the
proposed amendment is not contrary to the provisions of this Act or Rules,
he shall unless for reasons to be. recorded in wnting^he
refuse, register the amendment.,
(3) When the Registrar registers an amendment of the' byd-laws
registered society, he shall issue to the society a copy of the amendment
certified by him which shall be conclusive evidence that the same has
been duly registered, unless it is proved that the registration of the society
has been cancelled or that further amendments have been registered or
that the society's copy of the amendments have been tempered with, the
amendment shall be binding upon the society with effect from the date of
registration.
(4) A copy of the resolution of an amendment of the bye-laws of the society
by the General Assembly shall be forwarded by the cooperative society to
the Registrar within a period of thirty days from the date of the general
meeting at which the resolution was passed.
(5) A copy of the resolution of an amendment forwarded to the Registrar shall
be signed by the president and two Directors and shall be accompanied by
the following particulars:-
(a) a copy of the resolution adopting the amendment;
(b) the date of the general meeting at which the amendment was
adopted and the total number of members of the society on that
date;
(c) a list of members who attended such general meeting and a list of
members who voted for or against the resolution in such general
meeting.
(6) The Registrar shall consider the amendment of the bye-laws under sub
section (2) subject to the fulfillment of the following conditions, namely :-
(a) the amendment is not inconsistent with the provisions of the Act or
any of the existing societies with similar objectives or is not against
the aims and objects of the cooperative society; and
(b) the amendment is in conformity with the cooperative principles
specified in Schedule-A.
(7) The Registrar may by order refuse registration of the amendment if any
of the conditions specified in sub-section(6) is not fulfilled:
Provided that no such order of refusal shall be passed by the
Registrar without giving a reasonable opportunity to the cooperative
society to reconsider the amendment in the light of the direction of the
Registrar within a period specified by him.
3 7 8 THE ASSAM GAZETTE, EXTRAORDINARY, FEBRUARY 4, 2012
DIVISION OF
COOPERATIVE
SOCIETIES
AMALGAMATION
OF
COOPERATIVE
SOCIETIES
(8) The Registrar may after considering the reply received in response to the
opportunity given under sub-section (7) if satisfied that the directions to
reconsider the amendment has been complied with or satisfied with the
reply, he shall register the amendment. If no reply is received from the
cooperative society within the period specified by the Registrar under the
proviso to sub section (7) or the reply is not in accordance with the
direction of Registrar, the Registrar may refuse the amendment and shall
communicate the decisions within thirty days of the receipt of such reply or
on the expiry of the period referred to above, as the case may be
13. (1) A cooperative society may by a special resolution passed at a meeting of
its General Assembly decide to divide itself into two or more cooperative
societies.
(2) Where a special resolution is passed under sub-section(l), the cooperative
society shall give notice thereof together with a copy of the resolution
passed by it to all its members and creditors and any member other than \
those who voted in favour of the proposed division and any creditor shall t
during a period of thirty days from the date of service of notice upon him
have the option of withdrawing the shares .deposits or loans from the <
cooperative society, as the case may be, subject to the discharge of his
obligations to the cooperative society.
(3) Any member or creditor who fails to exercise the option within the period
specified in sub-section(2) shall be deemed to have assented to the
division.
(4) The special resolution passed under sub-section(1)shall not take effect
until -
(a) all claims of the members and creditors of the cooperative society who
have exercised the option under sub-section (2) have been met in full
or otherwise satisfied;
(b) information of the intended division and settlement of claims of
members and creditors is sent to the Registrar and his approval is
obtained; and
(c) the certificates of registration and the original bye-laws of the resultant
cooperative society signed and sealed by the Registrar are issued
under section 11.
(5) When a cooperative society divides itself into two or more cooperative
societies under this section the registration of such cooperative society
shall stand cancelled and it shall be deemed to have been dissolved and
shall cease to exist as a corporate body and the Registrar shall delete the
name of such cooperative societies from the register of cooperative
societies .
(6) When a cooperative society divides itself into two or more cooperative
societies such member who has assented or deemed to have assented to
the division shall be deemed to have become a member of that newly
formed cooperative society to which his interest were transferred ,in
accordance with the scheme of division approved by the general body of
such cooperative society notwithstanding anything contained in this A c t.
14. (1) Any two or more cooperative societies having similar objectives may, by
special resolutions passed in the respective General Assembly, decide to
amalgamate themselves and form a new cooperative society .
379THE ASSAM GAZETTE, EXTRAORDINARY, FEBRUARY 4, 2012
i
(2) Where special resolutions are passed under sub-section(l) each
cooperative society shall give notice thereof together with a copy of the
resolution passed by it to all its members and creditors and any member
other than those who voted in favour of the proposed amalgamation and
any creditor shall, during a period of thirty days from the date of service of
notice upon him, shall have the option of withdrawing his shares, deposits
or loans from the Cooperative Society, as the case may be, subject to the
discharge of his obligations to the cooperative society concerned.
(3) Any member or creditor who fails to exercise the option within the period
specified in sub-section(2) shall be deemed to have assented to the
amalgamation.
(4) The special resolution passed under sub-section(l) shall not take effect
until , -
(a) all claims of the members and creditors of each cooperative
society who have exercised the option under sub-section(2)
have been met in full or otherwise satisfied;
(b) information of the intended amalgamation and settlement of
claims of members and creditors is sent to the Registrar and
his approval is obtained; and
(c) the certificate of registration and the original bye-laws of the
cooperative society which is formed as a result of
amalgamation, signed and sealed by the Registrar, is issued
under section 11.
(5) When two or more cooperative societies amalgamate themselves into a
new cooperative society under this section the registration of the
cooperative society, so amalgamated, shall stand cancelled and they shall
be deemed to have been dissolved and shall cease to exist as corporate
bodies, and the Registrar shall delete the name of the cooperative societies
so amalgamated from the register of cooperative societies .
(6) When two or more cooperative societies amalgamate themselves into a
new cooperative society under this section, all the members of the
cooperative societies who have assented or deemed to have assented to
the amalgamation shall be deemed to have become members of the new
cooperative society notwithstanding anything contained in this Act.
MERGER OF
COOPERATIVE
SOCIETIES
15.(1) A cooperative society may, by a special resolution passed in the meeting of
the General Assembly, decide to merge itself into any other cooperative
society having similar objects and the said society by special resolution,
agrees to such merger.
(2) Where special resolutions are passed under sub-section (1) each
cooperative society shall give notice thereof together with a copy of the
resolution passed by it to all its members and creditors, and any member
other than those who voted in favour of the proposed merger and any
creditor, shall during a period of thirty days from the date of service of
notice upon him, have the option of withdrawing his shares, deposits or
loans from the cooperative society, as the case may.
LOCATION OF
HEAD OFFICE
16. (1) Every cooperative society shall specify the full address of its head office in
its bye-laws.
(2) The Board may, subject to approval of the General Assembly, change the
address of its head office at any time and shall make such amendment in
its bye-laws as per provision laid down in section 12.
380 THE ASSAM GAZETTE, EXTRA ORDINARY, FEBRUARY 4, 2012
FEES ETC.
vise {
‘ gag
17.(1) Registration fees amounting to one percent of the proposed authorised
share capital of the proposed cooperative society shall have to be
deposited by Treasury ChallanCajorTg with the application for registration of
the proposed cooperative society. )The Registrar may, however, revjse
fees fro.m time to time &
(2) Subject to the provisions of sub-sectiorf"(3) of section 81 and sub-stection (2)
and (6) of section 87 respectively, the Registrar may by order prescribe a
scale of fees to be paid by a cooperative society for various services
rendered by him under this Act.
CHAPTER - III
MEMBERSHIP
ELIGIBILITY OF
MEMBERSHIP IN
COOPERATIVE
SOCIETY
18. (1) Any person who needs the services of a cooperative society and
expresses his willingness to accept the responsibilities of membership,
meets such other conditions as may be specified in the bye-laws of the
cooperative society and is in a position to use the services of the co
operative society , may seek membership and if the cooperative society
is in a position to extend its services to the applicant, it may admit him as
a member.
(2) Every applicant for membership and every member of a cooperative
society shall keep each cooperative society of which the person is a
member ,informed of membership in other cooperative society and in
case of conflicting membership, the Board may, by resolution, refuse
admission under section19 or terminate from membership under
section23, as the case may be :
Provided that no such resolution to refuse admission shall be
passed without giving the applicant, as the case may be, a reasonable
opportunity to make representation to the Board as to why he should not
be refused admission.
Explanation:-For the purpose of this sub-section the expression,“conflicting
membership” means membership of the common objective co-operative
societies functioning within the jurisdiction of a cooperative society of
which the membership is sought.
DISQUAL.IFI -
CATION OF
MEMBER
19. No person shall be eligible for admission as a member and a member
shall cease to be a member of a cooperative society if he incurs
disqualification of membership prescribed in the bye-laws.
ADMISSION OF
MEMBER
20. (1) The Board may admit a person for membership in accordance with the
procedure laid down in the bye-laws within sixty days from the date of
receipt of application for membership if he is eligible for membership
under section 18 or refuse admission to the applicant if he is not eligible
for membership under section 19 and communicate the same to the
applicant by post or by hand.
THE ASSAM GAZETTE, EXTRAORDINARY, FEBRUARY 4, 2012 381
W<n~~AWAL OF
MEMBERSHIP
CESSATION OF
MEMBERSHIP
y*^RMlNATION
EMBERSHIP
(2) Where admission for membership is refused under sub section (1), the
decision with the reasons thereof, shall be communicated to such
applicant within ninety days from the date of application. If nothing is
communicated within the period of ninety days specified above the
admission shall be deemed to have been accepted by the
Board .
(3) Where an application has been refused by the Board the applicant may
appeal to the General Assembly within a period of sixty days from the
date of receipt of the order of the refusal. The decision of the General
Assembly shall be final and binding on all concerned parties:
Provided that no decision of refusal of admission shall be
taken by the General Assembly without giving the applicant an
opportunity of being heard.
21. (1) Subject to the provisions of sub-section(2) of section-66, a member may,
at any time after expiry of one year from the date of accepting
membership, withdraw from membership in a cooperative society in
accordance with the procedure laid down in bye-laws.
(2) The withdrawal from membership shall not require the person to fulfill
such obligations as were undertaken or assumed as a member, under
the provisions of the Act, the bye-laws or any agreement.
22. (1) If any person having been admitted as a member of a cooperative society
dies or subsequently becomes subject to any of the disqualifications
specified in the bye-laws shall cease to be a member of the cooperative
society.
(2) Every cooperative society shall inform, in the event of receipt of
information of the death of the member ,the nominee of the member and
in every other instance ,the member,about the cessation of membership
for the settlement of accounts.
23. (1) The Board may, by a resolution passed by three fourth majority of the
directors present and voting at a meeting held for the purpose .terminate
the membership of a member if he —
(a) intentionally does any act likely to injure the creditability of the
cooperative society or bring it to disrepute ;or
(b) willfully deceives the cooperative society; or
(c) has acted adversely to the objects or his act is detrimental to
the interest of the cooperative society; or
(d) persistently makes default in payment of his dues or fails to
comply with the provisions of the bye-laws; or
(e) having been admitted as a member subsequently becomes a
member of any other society having common objective
cooperative functioning within the jurisdiction of the cooperative
society of which he is member; or
(f) does not use the services of the cooperative society or he
ceases to be a resident of the area of operation of the society:
Provided that no such resolution shall be passed without giving the
member concerned a reasonable opportunity to make representation at
the Board meeting.
382 THE ASSAM GAZETTE, EXTRA ORDINARY, FEBRUARY 4, 2012
REGISTER OF
MEMBER
REGISTER OF
MEMBER
(2) Any member aggrieved by the resolution passed under sub-section(l)
may appeal to the General Assembly within thirty days of the receipt of
such resolution.
(3) No member of a cooperative society whose membership has been
terminated under sub-section (1) shall be eligible for readmission as a
member of the cooperative society for a period as may be specified in
the resolution but not exceeding five years, subject to the condition that
his conduct during the period of expulsion sufficiently justified his fair
conduct in the event of his enrolling membership again.
24. (1) Every cooperative society shall maintain a register of members. The
name of every person admitted as a member of the cooperative society
shall be entered in the register along with such particulars as may be
deemed necessary by the Board.
EDUCATION OF
MEMBER ETC.
EDUCATION OF
MEMBER ETC.
(2) The name of a person -
(i) whose admission is refused under sub-section (2) of -»
section 20; or
(ii) who has withdrawn from membership under section21;
(iii) who ceased to be a member under section22 ; or
(iv) whose membership has been terminated under section23
shall be deleted from the register of members :
Provided that the name of a person referred to in clause (i) or
clause (iv) shall not be deleted from the register of members till expiry of
30 days from the date of the decision of the Board or Annual General
Meeting, as the case may be, and in case an appeal is preferred under
sub-section(2) of section23,as the case may be.
The register maintained under sub-section(l) shall be prima facie
evidence of the date on which any person was admitted to the cooperative
society as a member and of the date on which he ceased to be a member.
25.(1) Every cooperative society shall include a certain amount in its budget s
annually, as provision for expenses on education of member and /
potential member, education and training of staff and directors for the
development of their cooperative societies in accordance with the
cooperative principles specified in Schedule A and practices of
cooperation, besides contributing at least 1% of profit or an amount
specified by the Registrar in case of societies not earning profit ,to State
Cooperative Union for cooperative education and training.
RIGHTS AND
LIABILITIES OF
MEMBERS OF
REGISTERED
SOCIETIES
AND EXERCISE
OF RIGHTS
THEREOF
RIGHTS AND
LIABILITIES OF
MEMBERS OF
REGISTERED
SOCIETIES
AND EXERCISE
OF RIGHTS
THEREOF
26.(1) Every member of a registered society and every ex-officio member of
the Administrative Council or Managing Body of such society, unless
under some temporary disqualification, shall have the right to attend any
general meeting of the society and to exercise vote at such meeting.
(2) No member of a cooperative society shall exercise the right of a member
including the right of vote unless he has made such payment to the
cooperative society in respect of membership or has acquired and
continues to have such interest in the cooperative society as may be
specified in the bye-laws.
THE ASSAM GAZETTE, EXTRA ORDINARY, FEBRUARY 4, 2012 383
VOTES OF
MEMBERSAND
MANNER OF
EXERCISING
VOTE
LIABILITIES OF
PAST MEMBER
AND HIS ESTATE
(3) The Chief Executive of every cooperative society within twenty days of
closure of the previous cooperative year, shall prepare a list of members
with the right of vote, and a list of members without the right of vote
,valid for the current financial year. The list shall be affixed on the notice
board of the head office of the cooperative society for information of all
members and any member not satisfied with specific instances of
inclusion or non-inclusion of members in the lists, may appeal to the
Board within ten days from the date of the affixing of the lists on the
notice board, for re-examination of the records, and the Board shall
within forty days of closure of the previous cooperative year, review the
lists, finalise it, and have it affixed on the notice board of the head office
of the cooperative society:
Provided that a member who is an employee or member of
Employees Union of such society shall not be entitled to vote -
(i) at the election of a member of the Board of such society;
(ii) in any general meeting convened for framing the bye-laws of
such society or any amendments thereto.
(4) In the case of equality of votes the Chairperson shall have a casting vote.
27 (1) In primary cooperatives societies, irrespective of the shares held in the
society and subject to temporary disqualification .each member shall
have equal voting right (one member one vote). Similarly in case of
Secondary Cooperative Society, the representative of such cooperative
society shall have same voting rights (one representative one vote).
Every member of cooperative society or the representative referred
herein shall exercise his vote in person and in the manner specified in
the bye-laws and no member or representative shall be permitted to vote
by proxy :
Provided that a person shall have been a member for at least
one full financial year, before being eligible to vote or to seek
election to managing body:
Provided further that the condition of one year membership
shall not apply to the members who join at registration or at any
time after the registration of a cooperative society but before the first
day of the next co-operative year.
(2) Every member of a cooperative society shall exercise his vote in the
manner specified in the bye-laws.
28. The liability of a past and of the estate of a deceased member for the debt
of a registered society as they existed at the date of his ceasing to be a
member or on his death, as the case may be, shall continue for a period
of five year from the said date.
GENERAL
ASSEMBLY
CHAPTER -IV
MANAGEMENT
29(1) The General Assembly of a cooperative society shall consist of all the
members of such cooperative society who are eligible to vote at the
general meeting of the society.
384 THE ASSAM GAZETTE, EXTRAORDINARY, FEBRUARY 4, 2012
(2) (a) Every member of a registered society and every ex-officio member
of the Administrative Council or managing body of such society,
unless under some disqualification, shall have the right to attend
any general meeting of the society and to exercise his vote at such
meeting:
Provided that the bye-laws of a registered society may prescribe-
(i) that a registered society affiliated to such society may
have more than one representative entitled to vote at
general meetings of the society; and
(ii) that only one third of the members of the General
Assembly, excluding ex-officio members, may be
individual members and the other two thirds being
representatives of affiliated registered societies;
MATTERS TO BE
DEALT WITH IN
THE ANNUAL
GENARAL
MEETING
(b) if the number of individual members exceeds one third of the
total membership of the society the individual members shall
elect at a special meeting to be called by the Secretary of the
society not more than thirty days before the Annual General
Meeting in the manner prescribed in the bye-laws to represent in
Excerpt shown. Open the full act in Lexace.