The Assam Co-operative Societies (Amendment) Act, 1974

Kegiste ed No.— A-12
The Assam Gazette
BRITO
EXTRAORDINARY
K“ < n i  a ^ if r s
PUBLISHED BY AUTHORITY
s r 148 17 1974, 25 ’ttfen, 1896 " R
No. 148 Dispur, Thursday, October 17, 1974, 25th Asvina 189S(S. E.)
GOVERNMENT OF ASSAM
ORDERS BY THE GOVERNOR
LAW DEPARTMENT
NOTIFICATION
.  The 5th October 1974
No.LJL.420/73/130.—The following Act of the Assam Legis­
lative Assembly which received the assent of the Governor is 
hereby published for general information.

942 THE ASSAM GAZETTE, EXTRAORDINARY, OCT. 17, 1974._________________________________________________________ '
ASSAM ACT XX OF 1974
(Received the assent of the Governor on the 11th July 1974) ’
THE ASSAM CO-OPERATIVE SOCIETIES (AMENDMENT) 
ACT, 1974
An
Act
further to amend the Assam Co-operative Societies 
Act, 1949.
Preamble Whereas it is expedient futher to amend the Assam
Co-operative Societies Act, 1949, hereinafter called the 
principal Act, in the manner hereinafter appearing ;
It is hereby enacted in the Twenty-Fifth Year of the 
Republic of India, as follows:—
Short title, i. (i) This Act may be called the Assam Co-operative 
extent and Societies (Amendment) Act, 1974.commence- v ’
(2) It shall have the like extent as the principal 
Act.
(3) It shall come into force at once.
Am endm ent 2. In Section 5 of the principal Act, for the words 
4 ect 0I \ 5 "unless he is above” occurring between the words
I of 1 9 5 0 . "r e 2is t e r e d society” and "eighteen years of age”, the 
words "if he is less than” shall be substituted.
Amendment
of A ssani Acts e ction (2) the following shall 
of 1 9 5 0 . (3) namely :—
3. In Section 15 of the principal Act, after sub- 
be inserted as sub-section
"(3) (i) Notwithstanding anything contained in 
sub-section (1) and (2), the Registrar may, 
of his own motion and at any time for 
reasons of ensuring economic viability of 
any registered society or avoiding overlapp­
ing or conflict of jurisdictions of registered 
societies in any area, direct any registered 
society shall divide itself into two or more 
societies or amalgamate or merge fully or 
partially with any one or more specified socie­
ty or societies within a specified date and 
according to any specified bye-laws and may 
also direct the manner in which the assets and 
liabilities of the society so directed to divide, 
amalgamate or mergen shall be disposed of.

THE ASSAM GAZETTE, EXTRAORDINARY, OCT. 1 7 , 1 9 7 4 . 9 4 3
(ii) In the case of amalgamation or merger £  
copy of the direction of the Registrar will 
also be served on the society or societies 
with which the amalgamation or merger 
is intended to take effect.
(iii) The Society or societies directed under 
Clause (i) to divide, amalgamate or merge 
and the society or societies with which the 
amalgamation or merger is intended to 
take effect, may submit objection to such 
order, if any, to the Registrar within 1 5  
days of the order. The Registrar, after 
considering the objection of the society or 
societies, may withdraw, modify or con­
firm with such modification, as deemed 
necessary, the direction given by him 
under clause (i) of this sub-section.
(iv) On and from the date specified in the 
order of the Registrar confirming his 
direction to a society to divide, amalga­
mate or merge, the division, amalgamation 
or merger will take effect and the assets 
and liabilities of the society on which the 
direction was passed shall stand divided, 
amalgamated or merged with the assets 
and liabilities of the societies born out 
of , such division or amalgamation or 
merger and the members, creditors and 
debtors of such society, shall be deemed to 
be members, creditors and debtors-,- as the 
case may be, of the new society as ordered 
by the Registrar.
(v) Notwithstanding any bye-law to the con­
trary, any member of any such society 
and, notwithstanding any agreement to the 
contrary, any creditor of such society 
which was divided, amalgamated or mer­
ged may, within a period of sixty days from 
the date of division, amalgamation or 
merger intimate his intention not to con­
tinue as a member of the new society, in 
case of a member and demand a return of 
the amount due to him, in case of a 
creditor. The Society inheriting the assets 
and liabilities of the erstwhile society in 
this regard shall return the share money 
or dues of such persons provided that all 
dues from such persons to the society, if 
any, as inherited or otherwise, are relised:

944 THE ASSAM GAZETTE, EXTRAORDINARY, OCT. 17, 1974
Provided that the Registrar may direct that 
any such specified society or class of the societies 
inheriting assets and liabilities of erstwhile society 
or societies due to division, amalgamation or mer­
ger shall pay or return to the creditors or mem­
bers of the erstwhile society or societies towards 
return of their dues or share money as demanded 
by them, only such sums, to the extent of and pro­
portionate to the recovery or realisation of any 
money against the assets and dues realisable from 
the debtors of such erstwhile societies and for this 
purpose the successor society shall follow the same 
principles and procedures as if the erstwhile 
society has gone into liquidation or being wound 
up.
(vi) Notwithstanding the procedure for regis­
tration of societies as enumerated under 
sub-sections (I) (vi) and (2 ) (v), the Regis­
trar shall register the new societies created 
after division of an existing society under 
Section 1 1  on the date from which the 
order issued under clauses (i) and (ii) of 
these sub-sections come into effect. From 
the date on which the new societies are 
registered the registration of the old socie­
ties shall be deemed to have been can­
celled.
(vii) In case of the society directed to amalga­
mate or merge with another society, its 
registration shall be deemed to have been 
cancelled from the date on which the order 
issued under clauses (I) and (III) of this 
sub-section takes effect.
(viii) The division, amalgamation or merger of 
society shall not affect any rights or obli­
gations of the society divided, amalgamated 
or merged or render defective any legal 
proceedings which might have been conti­
nued or commenced by or against the 
society which has been divided, amalga­
mated or merged and accordingly such 
legal proceedings may be continued or 
commenced by or against the society or 
societies to whom its assets and liabilities 
are transferred.
(ix) In the case of any society carrying on- 
banking business, to which the Banking 
Regulation Act, 1949 (as applicable to Co­
operative Societies) (Central Act No. 1 0  of

THE ASSAM GAZETTE, EXTRAORDINARY, 0  3 T. 17, 1974. 945
1949), is applicable, no order, under sub­
section (i) shall be passed by the R egistrar, 
w ithout th e previous approval of the 
Reserve Bank of India.
A mendment 4. A fter sub-section (3) of Section 17 of the principal 
of Assam* A c t t b e  f ° ^ o w in g shall be inserted as sub-section (4), 
I o f 1950. C nam ely
(4) N otw ithstanding anything contained in this 
Act, a registered society m ay, by specific pro­
visions m ade in its bye-law s adm it certain 
class of m em bers w ithout any voting right.
A mendment 5. (a) In Section 32 of the principal Act, as proviso to 
o ° ff l e
s± UA3c ts u b - s e c i i o n  (1)’  shall be added :—
I o f 1950. "Provided th a t notw ithstanding anything to th e con­
tra ry  contained in this Act or Rules m ade th ereu n d er or 
bye-law s of any society, th e R egistrar m ay direct th a t 
the first annual general m eeting of any registered society 
shall be held on a date to be fixed by him  (which shall 
be a date w ithin one hundred and eighty days of the 
reg istratio n  of th e society) to elect th e office bearers of 
th e society, according to th e procedure and m anner pres­
cribed in th e bye-law s of th e society and the office bearers 
so elected shall assum e office on th e conclusion of the 
general m eeting in w hich th ey  are elected in replacem ent 
of th e m anaging com m ittee elected at the tim e of the 
inaugural general m eeting of th e society”.
(b) In Section 32 of the principal Act, sub-section 
(2) shall be substituted by the following 
nam ely :—
(2) Such a m eeting shall be held w ithin 60 days 
from  th e date of expiry of th e preceding Co­
operative y e a r :
P rovided th a t if for any reason the m eeting 
cannot be held w ithin th e date fixed 
by the R egistrar, any society m ay by applica­
tion m ade w ithin the aforesaid period of 60 
days and addressed to th e R egistrar, p ray  for 
extension of tim e for holding the m eeting sta­
tin g  th e grounds for which, in the opinion of 
th e society, th e m eeting cannot be held. The 
grounds for w hich th e M anaging Body should 
not stand dissolved under sub-section (4) below 
should also be stated in th e application, if any, 
m ade for extension. The period for w hich the 
extension is sought for shall also be specifically 
stated in th e application.
(3) W hen an application for extension is m ade 
u nder th e preceding sub-section, th e R egistrar 
m ay, if he is of opinion th a t extension should 
be granted and th a t th ere are good grounds for 
w hich th e M anaging Body should not stand

946 THE ASSAM GAZETTE, EXTRAORDINARY, OCT. 17, 1974.
dissolved under sub-section (4) below, by order 
grant extension for any period not exceeding 
30 days from the date of passing the order. If 
the Registrar is of opinion that no extension 
should be granted he shall by an order passed to 
that effect reject the same. In both the cases, the 
order passed shall be communicated under 
registered post to the society applying for ex­
tension.
(4) If any society fails to hold the meeting within 
the period of 60 days mentioned in sub-section 
(2), or when an application is made for exten­
sion under the proviso to sub-section (2) within 
the period so extended, or when no extension 
is granted, before the expiry of 20 days from 
the date on which the order rejecting the 
application for extension is communicated, the 
Administrative Council and/or the Managing 
Body of the society shall stand dissolved from 
the date of expiry of the aforesaid period.
(5) When the Administrative Council and/or
Managing Body are dissolved under sub-section
(4) , the Registrar may appoint an officer or 
officers or any ad hoc body to manage the 
affairs of the society and to perform the func­
tions of the Administrative Council and Mana­
ging Body till the new Body is elected or 
formed.
(6) The officer or officers or the ad hoc body 
appointed by the Registrar under sub-section
(5) shall arrange to hold the annual meeting of 
the general assembly which shall be held with­
in ninety days of such appointm ent;
Provided that the State Government may 
allow in its discretion such further time, as 
may be considered necessary but not exceed­
ing one year for holding of such meeting”.
A m endm ent 6. In Section 52 of the principal Act, the words 
of Section 52 "formed from its profit” occurring between the words 
Act Io f 195O1." R e s e r v e  F u n d ” a n d  " a n d  carry” shall be deleted.
Md. SAADULLAH,
Joint Secy, to the Govt, of Assam, 
Law Department.
GAUHATI—Printed and published by the Joint Supdt., Assam Gov’  
Press (Ex-Gazette) No.293 —  1,460+140—17-10-74.

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