The Assam Co-operative Societies (Amendment) Act, 2012

/an Registered No.-768/97
^ K T c F
THE ASSAM GAZETTE
W t P f m  
EXTRAORDINARY
PUBLISHED BY THE AUTHORITY
44 W H  5 2013, 16 1934 (*Ff)
No.144 Dispur, Tuesday, 5th February, 2013, 16th Magha, 1934 (S.E.)
GOVERNMENT OF ASSAM
ORDERS BY THE GOVERNOR
LEGISLATIVE DEPARTMENT : : :  LEGISLATIVE BRANCH
NOTIFICATION
The 5th February, 2013
No. LGL 6/2005/151.- The following Act of the Assam Legislative Assembly which received 
the assent of the Governor is hereby published for general information.
ASSAM ACT NO. IV OF 2013
(Received the assent of the Governor on 25th January, 2013)
THE ASSAM CO-OPERATIVE SOCIETIES (AMENDMENT)ACT, 2012
 
380 THE ASSAM GAZETTE, EXTRA ORDINARY, FEBRUARY 5, 2013
Preamble
Short title, extent 
and 
commencement
Amendment of 
section 2
AN
ACT
to amend the Assam Co-operative Societies Act, 2007
Whereas it is expedient to amend the Assam Co-operative Assam Act. 
Societies Act, 2007, hereinafter referred to as the principal Act, No. IV of 
in the manner hereinafter appearing ; 2012
It is hereby enacted in the Sixty-third Year of the 
Republic of India ,as follows :-
1. (1) This Act may be called the Assam Co-operative
Societies ( Amendment) Act, 2012
(2) It shall have the like extent as the principal Act.
(3) It shall come into force at once.
2. In the principal Act, in section 2,-
(i) for clause (g) and (x) , the following shall be 
substituted, namely:-
“(g) “Board” means the Board of Directors or the 
Governing Body of a Co-operative society to 
which the direction and control of the 
management of the affairs of a society is 
entrusted to;
(x) “office bearer” means a President .V ic e - 
President, Chairperson, Vice-chairperson, 
Secretary or Treasurer of a Co-operative 
Society and includes any other person to be 
elected by the Board of any Co-operative 
Society;” ;
(ii) after clause (e) ,the following clause (ea) shall
be inserted, namely:-
“(ea) “authorized person” means the persons 
authorized under the Assam Co-operative Assam Act 
Societies Act, 2007 , for the offences relating to No IV of 
the Co-operative Societies and penalties for 2012 
such offences as referred to in Article 243 ZQ 
of die Constitution of India;” ;
(in) after clause (s) , the following new clause(sa) 
shall be inserted , namely :-
“(sa) “Election Authority” means the Registrar 
on whom the superintendence, direction and 
control of the preparation of electoral rolls for, 
and the conduct of, all elections to a Co­
operative society has been vested under sub­
section (1) of section 41;” ;

THE ASSAM GAZETTE, EXTRA ORDINARY, FEBRUARY 5, 2013 381
(iv) after clause (aa), the following new clause (aaa) 
shall be inserted , namely :
“(aaa) “Promoter” means any eligible person or 
registered society signing the application for 
registration of a Co-operative society;”;
(v) after clause(hh), the following new clause(hhh) 
shall be inserted ,namely :
“(hhh) “State Level Co-operative society” 
means a Co-operative Society having its area of 
operation extending to the whole of the State of 
Assam;”
Amendment of 
section 4A
3. In the principal Act, in section 4A, in clause(a), for the 
words “or period not exceeding five years in the 
aggregate as may from time to time specified by the 
Reserve Bank”, the words “not exceeding one year or 
as may be specified by the Reserve Bank from time to 
time” shall be substituted.
Amendment of 
section 12
4. In the principal Act, in section 12,-
(i) in sub-section (2) , in between the word 
“amendment” and the punctuation mark 
appearing at the end, the words “within sixty 
days from the date of receipt of application for 
amendment and if refused , that shall also be 
made within sixty days of receipt of application 
which shall be duly communicated to the 
applicant with reasons recorded in writing” 
shall be inserted;
(ii) after sub-section (8) , the following new sub­
section (9)shall be inserted, namely
“(9) All registered Societies with approved bye­
laws registered under the Assam Co-operative 
Societies Act, 2007, shall within a period of 
twelve months from the date of coming into Assam Act 
force of this Amendment Act, shall get their No. IV of 
respective bye-laws amended as may be 2012, Assam 
required so as to make them in conformity with Act No. IV 
the provisions of the Assam Co-operative of 2012 
societies Act, 2007 as amended by this
Amendment Act and register the amendment 
before the Registrar.
Amendment of 
section 17
5. In the principal Act, in section 17, in sub-section (1), 
for the last sentence, starting with the word “The 
Registrar” and ending with the word “necessary”, the 
following shall be substituted, namely
“The Registrar may, however, revise the registration 
fees from time to time on merit and on case to case 
basis maximum of which shall not exceed 50% of the 
registration fees calculated under this section.”
Amendment of 
section 23
6. In the principal Act, in section 23, in sub-section (1) in 
clause (f), in between the words “Society” and “or he”, 
the words and punctuation mark “for a period of three 
years or does not attend three consecutive Annual 
General Meetings,” shall be inserted.

382 THE ASSAM GAZETTE, EXTRA ORDINARY, FEBRUARY 5, 2013
Amendment
of section 25
7. In the principal Act, in section 25, in between the words “Union” 
and “for”, the words “or any other institution under the 
administrative control of the Co-operation Department” shall be 
inserted.
Amendment 
of section 30
8. In the principal Act, in section 30, in sub-section (1), for clause 
(a), the following shall be substituted namely
“(a) election of delegates and representatives, if fallen due;”.
Amendment 
of section 31
9. In the principal Act, in section 31, for the word “three”, the word 
“five” shall be substituted.
Amendment
of section 35
10. In the principal Act, in section 35, after sub-section (1), the 
following new sub-section shall be inserted as sub-section (2) 
and the existing sub-sections (2),(3) and (4) shall be renumbered 
as sub-sections (3), (4) and (5) respectively, namely :-
“(2) The Board shall consist of fifteen number of Directors :
Provided that there shall be reservation of one seat of 
Director for the Scheduled Castes or the Scheduled Tribes and 
two seats for women in the Board of every Co-operative Society 
consisting of individuals as members and having members from 
such class or category of persons.”
Amendment
o f section 38
11. In the principal Act, in section 38, after clause (11), the 
following new clause (12) shall be inserted, namely :-
“(12) to make policies and to lay down qualification and terms 
and conditions of service for appointment of Chief Executive 
and other staff of the Society.”
Substitution of 
section 39 12. In the principal Act, for section 39, the following shall be 
substituted, namely :-
“Annual 
General 
Meeting
39. A general meeting to be termed as Annual General Assembly of 
a registered Co-operative Society shall be held at least once in 
every Co-operative year within a period of six months of close of 
the financial year to transact the business as provided in this Act. 
The Board shall automatically stand dissolved for not holding 
Annual General Meeting in accordance with the provisions of 
the Act and bye-laws within six months from the expiry of every 
Financial year.”
Amendment 
of section 40
13. In the principal Act, in section 40, in sub-section (4), in the first 
line, for the word “three”, the word “five” shall be substituted.
Substitution of 
section 41
14. In the principal Act, for section 41, the following shall be 
substituted, namely :-
“Elections 41. (1) The superintendence, direction and control of the preparation of 
electoral rolls for, and the conduct of all election to a Co­
operative Society shall vest

THE ASSAM GAZETTE, EXTRA ORDINARY, FEBRUARY 5, 2013 383
in the Registrar. It shall be the duty of the Registrar to prepare 
the voters list with eligible members to arrange for holding 
election of Directors, delegates, or representatives to the delegate 
general body and representative of the society, if fallen vacant.
(2) The election of Directors to a Board shall be conducted before 
the expiry of the term of the Board so as to ensure that the newly 
elected members of the Board assume office immediately on the 
expiry of the office of members of the out-going Board.
(3) Subject to the provisions of the Constitution of India and the 
provisions of this Act, the State Government may make rules to 
provide for the procedure and guidelines for the conduct of 
elections to the Co-operative Societies.
(4) Where a Board fails to arrange for holding election of the 
Directors or delegates, as the case may be, before the expiry of 
the term of their office in accordance with the Act and bye-laws, 
all Directors shall cease to be Directors on the expiry of the 
period as specified in section 42 (1).
(5) The election of Directors and delegates shall take place at the 
General Meeting called for the purpose.
(6) Where a Board fails to arrange for holding election before the 
expiry of the term of the Board or delegates or where there are 
no Directors remaining on the Board, the Registrar shall convene 
a General Meeting by appointing an Officer of the Co-operative 
Department for Constitution of the Board within ninety days 
from the date of such appointment and the officer so appointed 
shall perform all functions of the Board during the said period of 
ninety days at the cost of the Society.
(7) The Directors shall hold office for the period for which they 
were elected and the newly elected Directors shall assume office 
on the date of expiry of the said period.
(8) The Directors shall not be eligible for re-election, if so specified 
in the bye-laws.
(9) Where there are vacancies in the office of the Directors and 
where there are no sufficient number of Directors to constitute a 
quorum for Board meeting, the Board may co-opt maximum 
three eligible members for constituting quorum or arrange for 
holding election to fill up the vacancies for the un-expired term 
of the Board.
(10) Notwithstanding anything contained in this Act, no person shall 
be eligible to hold, at the same time, office of a President or 
Vice-President of the Board of more than two Co-operative 
Societies.”

384 THE ASSAM GAZETTE, EXTRA ORDINARY, FEBRUARY 5, 2013
Amendment of 
section 42
15. In the principal Act, in section 42, -
(i) for sub-section (1), the following shall be substituted, namely
“(1) The tenure of an office of elected members of the Board 
and its office bearers shall be five years from the date of 
election:
Provided that the tenure of office bearers shall be co­
terminus with the tenure of the Board.”;
(ii) in sub-section (3), for the punctuation mark appearing at the
end, the punctuation mark shall be substituted and after that
the following proviso shall be inserted, namely :-
“Provided that the Board may fill a casual vacancy of a 
member of the Board by nomination out of the same class of 
members in respect of which the casual vacancy has arisen, if the 
remaining term of the Board is less than half of the original 
term.”;
(iii) after sub-section (3), the following new sub-section (4) shall be 
inserted, namely :-
“(4) “The Board may co-opt persons having experience in the 
field of banking, management, finance or specialization in the 
field relating to the objects and activities undertaken by the Co­
operative societies as members of the Board of such Co­
operative Societies, provided that there is no such experienced or 
specialized person in the Board. The number of such co-opted 
members shall not exceed two in addition to the fifteen Directors 
specified in section 35 (2):
Provided that such co-opted members shall not have 
the right to vote in any election in the Board in the capacity as 
such member or to be eligible to be elected as office bearers of 
the Board:
Provided further that the functional Directors of a co­
operative society shall also be the members of the Board and 
such members shall be excluded for the purpose of counting the 
total number of Directors of Board as specified in section 
35 (2).”.
Amendment of 
section 49
16. In the principal Act, in section 49, for clause (a), the following
shall be substituted, namely :-
“(a) There shall be a Chief Executive, by whatever designation 
called of every co-operative society to be appointed by the Board 
or by the State Government. In the event of appointment of the 
Chief Executive by the Board, he shall be a full time employee 
of the society.”.

THE ASSAM GAZETTE, EXTRA ORDINARY, FEBRUARY 5, 2013 385
and the word or” shall be substituted and thereafter the 
following new clause (c) shall be inserted, namely :-
Amendment of
section 81
17. In the principal Act, in section 81, after existing sub-section (3), 
the following new sub-sections (4) and (5) shall be inserted, 
namely :-
“(4) The State Government shall, by notification, lay down 
the minimum qualifications and experience of auditors and 
auditing firms that shall be eligible for auditing accounts of the 
co-operative societies.
5) The accounts of every co-operative society shall be audited 
within six months of the close of the financial year to which such 
account relates.”
Amendment of 
section 84
18. In the principal Act, in section 84, in clause (f). the word “and” 
appearing at the end shall be deleted and in clause (g), for the 
punctuation mark appearing at the end, the punctuation mark
and the word and” shall be substituted and thereafter the
following new clause (h) shall be inserted, namely
P
“(h) The audit report of the accounts of a co-operative society 
shall be laid before the Assam Legislative Assembly by the 
Registrar in any one of the sessions immediately after expiry’  of 
120 days from the closure of the Co-operative year.”
Amendment of 
section 87
19. In the principal Act, in section 87, for sub-section (2), the 
following shall be substituted, namely
“(2) The Registrar shall order an enquiry or reject the application 
for an enquiry showing the reasons within ten days from the date 
of receipt of application.”
Amendment
of section 104
20. In the principal Act, in section 104, in clause (b). for the 
punctuation mark “.” appearing at the end, the punctuation mark 
and word or” shall be substituted and thereafter the following 
new clauses (c) and (d) shall be inserted, namely :-
“(c) any officer or custodian who wilfully fails to hand over 
custody of books, accounts, documents, records, cash, security 
and other property belonging to a co-operative society of which 
he is an officer and custodian, to an authorised person; or
■ ? * (d) any employer who, without sufficient cause fails to pay to a 
co-operative society amount deducted by him from its employee 
within a period of fourteen days from the date on which such 
deduction is made shall be punishable as per provision of 
clause (b).”
Amendment of 
section 106.
21. In the principal Act, in section 106, in clause (b), for the 
punctuation mark occuring at the end, the punctuation mark

386 THE ASSAM GAZETTE, EXTRA ORDINARY, FEBRUARY 5, 2013
Amendment of 
section 125
“Supersession 
of the Board
Amendment of 
section 129
“(c) whoever, before, during or after the election of members of 
the Board or office bearers, adopts any corrupt practice, the 
Registrar may, after giving such person an opportunity of being 
heard, by an order in writing, direct him to pay to the asset of the 
society by way of penalty by such sum as the Registrar may 
deem fit.”
22. In the principal Act, for section 125, the following shall be
substituted, namely
125. If in the opinion of the Registrar the Board of a co-operative
society is persistently making default or is negligent in the 
performance of the duties imposed on it by this Act or the rules 
or the by-laws or has committed any act which is prejudicial to 
the interest of the society or its members or has omitted or failed 
to comply with any directions given to it or that there is a 
stalemate in the constitution or functions of the Board, the 
Registrar shall cause an enquiry under section 87 or an 
inspection under section 88 and after giving the society an 
opportunity to state its objections if any and after considering the 
objections if received, forward the enquiry/inspection report to 
the society for placing the report before the Annual General 
Meeting if due within 60 days from the date of receipt of the 
report by the society or at a Special General Meeting to be 
convened specially for considering to take actions as suggested 
in the report under sub-section (5) of section 87 and sub-section 
(4) of section 88. If no action as stated above is taken by the 
society within the stipulated period the Registrar shall by an 
order in writing supersede or kept under suspension the Board 
and appoint one or more administrators from the department to 
manage the affairs of the society for such period not exceeding 
six months. Such appointed person shall arrange for holding 
election of a new Board within the above period.”
23 In the principal Act, in section 129, in sub-section (1), in clause
(e), for the punctuation mark appearing at the end, the 
punctuation mark shall be substituted and thereafter the 
following new clauses (f) and (g) shall be inserted, namely :-
“(f) declaration regarding date of holding of its general body 
meeting and conduct of elections when due;
(g) list of amendments to the bye-laws of the co-operative 
society, if any, and any other information required by the 
Registrar in pursuance of any of the provisions of this Act.”

THE ASSAM GAZETTE, EXTRA ORDINARY, FEBRUARY 5, 2013 387
Insertion of new
Chapter XIV
Overriding 
effect of 
Chapter XIV
Definitions
24. In the principal Act, in Chapter XIII, after section 132, the
following new Chapter XIV containing new section 
133,134,135,136,137,138,139,140.141,142,143,144,145,146,147 
and 148 shall be inserted, namely
“CHAPTER -  XIV
SPECIAL PROVISIONS APPLICABLE TO THE CO­
OPERATIVE CREDIT SOCIETIES
133. Notwithstanding anything contrary or inconsistent contained in 
any other provisions of this Act or rules framed thereunder or 
bye-laws of any registered society or orders issued thereunder, 
the provisions of this Chapter shall have overriding effect
134. In this Chapter unless the context otherwise requires,-
(a) “Co-perative Credit Structure Society” means a State Co­
operative Bank and a Primary Agricultural Credit Society;
(b) "State Co-operative Bank” means a Co-operative society 
engaged in the business of banking as defined under section 5(b) 
of the Banking Regulation Act, 1949 and section 2(u) of the 
National Bank for Agriculture and Rural Development Act, 
1981;
(c) "Primary Agricultural Credit Society” means a co-operative 
society as defined under clause (cciv) of section 5 of Banking 
Regulation Act, 1949 and includes a Multi-purpose Co-operative 
Society;
(d) "Multi-purpose Co-operative Society” means a Primary Co­
operative Society the object of which is to provide various 
services including services related to savings, credit, business, 
industry, consumer durables to its members;
(e) “Chartered Accountant” means a member of the Institute of 
Chartered Accounts of India within the meaning of the Chartered 
Accountants Act, 1949;
(f) “Reserve Bank” means the Reserve Bank of India established 
under section 3 of the Reserve Bank of India Act, 1934;
(g) “National Bank” means the National Bank for Agriculture and 
Rural Development established under section 3  of the National 
Bank for Agriculture and Rural Development Act, 1981.
Act No.
10 of
1949 and
Act No.61 
of 1981
Act No.
10 of
1949
Act No. 
38 of 
1949
Act No. 
2 of 1934
Act No. 
61 of 
1981

388 THE ASSAM GAZETTE, EXTRA ORDINARY, FEBRUARY 5, 2013
Membership 
and voting 
right in 
Primary 
Agricultural 
Credit Society
Autonomy of 
the Co­
operative 
Credit 
Structure 
Society
State
Governments 
subscription to the 
equity share 
capital of Co­
operative Credit 
Structure Society.
135. (1) An individual or group depositor in a primary Agricultural Credit
Society shall become a member of the society under sub-section
(1) of section 18 of this Act by subscribing at least the minimum 
share capital specified in the by-laws and on holding a minimum 
deposit of rupees five thousand or such minimum sum as may be 
prescribed by the State Government from time to time, for 
continuous period of minimum two years preceding the date of 
notification of election and shall have the full voting rights.
(2) An individual or a group borrower shall become a member of 
Primary Agricultural Credit Society under sub-section (1) of 
section 18 of this Act by subscribing the prescribed share capital 
specified in the bye-laws and shall have foil voting rights.
(3) Every group depositor or group borrower admitted as a member 
under sub-section (1) of section 18 of this Act shall be entitled to 
vote through one delegate nominated by the group.
136. A Co-operative Credit Structure Society shall have autonomy in 
all financial and internal administrative matters including the 
following areas :
(i) Interest rates on deposits and loans conformity with the
guidelines issued by the Reserve Bank;
(ii) Borrowing and investments;
(iii) Loan policies and individual loan decisions;
(iv) Personnel policy, staffing , recruitment, posting and 
remuneration to staff; and
(v) Internal control systems, appointment of auditors and 
remuneration for the audit
137. (1) The State Government’s subscription to the equity share capital
of a Co-operative Credit structure society shall not exceed 
twenty five percent of its equity share capital and the State 
Government may reduce the State Government’s subscription 
further at its choice.
Provided that in the case of state Co-operative Bank which 
is unable to comply with the requirements of sub-section(l) of 
sectionll of Banking Regulation Act, 1949 , the State 
Government may contribute equity in excess of the limit 
specified above only to the extent required to enable the state co­
operative Bank to comply with the requirements of sub-section 
(1) section 1 1  of Banking -  Regulation Act, 1949-
Act No.
10 of
1949

THE ASSAM GAZETTE, EXTRAORDINARY, FEBRUARY 5, 2013 389
(2) There shall be only one nominee of the State Government on the 
Board of a State Co-operative Bank, if the State Government has 
subscribed to its share capital.
(3 ) There shall be no nominee of the State Government of the Board 
of a Primary Agricultural Co-operative Society :
Provided that the existing nominees on the Managing 
Committee shall continue till the expiry of their current term. 
However, they shall not have any voting right in any election or 
in a motion of no-confidence.
(4) A Co-operative Credit Structure Society may affiliate or dis­
affiliate with an affiliating society at its choice :
Provided that before dis-affiliation, the society shall 
discharge its financial liability, if any, to the society which it is 
dis-affiliating
(5) A Co-operative Credit Structure Society shall have the freedom 
of entry and exit at any tier of co-operative society and there 
shall be no mandatory restriction of geographical boundaries 
for its operations within the State of Assam
(6) A Co-operative Credit Structure Society may invest or deposit its 
funds in any Bank or financial institution regulated by the 
Reserve Bank and not necessarily in the affiliating society.
(7) A Co-operative Credit Structure Society may obtain loans from 
any Bank or financial institution regulated by the Reserve bank 
and refinance from the National Bank or any other refinancing 
agency directly or through any Reserve Bank regulated financial 
institution and not necessarily from the affiliating society.
(8) A Primary Agricultural Credit Society may pay dividend in 
accordance with the guidelines framed by the Registrar in 
consultation with the National Bank
(9) There shall be no other compulsion on contribution to any fund 
other than those required for improving the net worth/owned 
funds of a Co-operative Credit Structure Society.
Condition for 
member of the 
Board of the 
Co-operative 
Credit 
Structure 
Society
No person shall be elected, nominated or co-opted or allowed to 
continue as a member of the Board of a Co-operative Credit 
Structure Society, if he, -
(i) is a person who represents a society other than a Primary 
Agricultural Credit Society on the Board of a State Co-operative 
Bank, if such society he represents has committed a default 
towards the payments of such bank for a period exceeding ninety 
days.

390 THE ASSAM GAZETTE, EXTRA ORDINARY, FEBRUARY 5, 2013
Conditions for 
supersession 
of the Board 
of State Co­
operative 
Bank
Election to the 
Co-operative 
Credit Structure 
Society
(ii) is a person who committed a default towards the payments 
to a Primary Agricultural Credit Society or represents a Primary 
Agricultural Credit Society in the Board of a State Co-operative 
Bank, if such society he represents has committed a default 
towards the payments of such Bank for a period exceeding one 
year, unless the default is cleared,
(iii) is a person, who represents a society whose Board is 
superseded or has ceased to be a member of the Board of his 
own society.
139. (1) The Board of a State Co-operative Bank shall be superseded only
with the prior approval of the Reserve Bank.
(2) The Board of a Primary Agricultural Credit Society shall be 
superseded by the Registrar only under the following 
conditions :-
(i) that a society incurs losses for three consecutive years ; or
(ii) that serious financial irregularities or frauds have been 
identified; or
(iii) that there are judicial directives to this effect; or
(iv) there is a perpetual lack of quorum.
Explanation “perpetual lack of quorum” means failure of 
holding three consecutive meetings for want of quorum.
140. (1) The Registrar shall ensure conducting of elections to the Co­
operative Credit Structure Society before the expiry of the term 
of the existing Board.
(2) The Registrar shall ensure conducting of elections to a Co­
operative Credit Structure Society within two months from the 
date of supersession :
Provided that in the circumstances beyond control of the 
Registrar, the State Government may allow holding of such 
elections within a period not exceeding six months from the date 
of such supersession.
(3) A member of the Board of a Primary Agricultural Credit 
Structure Society which has been superseded under sub-clauses 
(i) and (ii) of sub-section (2) of section 139 shall not be entitled 
to contest again for a period of five years after supersession.

THE ASSAM GAZETTE, EXTRAORDINARY, FEBRUARY 5, 2013 391
Registration of 
bye-laws or 
amendments 
with the 
Registrar
Registrar to 
prescribe 
prudential 
norms etc.
Criteria for 
appointment 
and removal 
of Chief 
Executive 
Officer and 
the members
Professionals 
to have 
knowledge 
and experience 
as stipulated 
by the Reserve 
Bank
Audit
141. ( I) The bye-laws or any amendment to the bye-laws of a Co­
operative Credit Structure Society shall be registered by the 
Registrar within thirty days from the date of receipt of the 
application.
(2) If the Registrar is satisfied that the proposed by-laws or the 
amendments to the bye-laws are contrary to the provisions of the 
Act and the Rules made thereunder, he shall reject the same duly 
recording his reasons thereon within thirty days from the date of 
receipt of the application.
142. The prudential norms including Capital to Risk weighted Asset 
Ratio shall be specified by the Registrar by an order for all the 
Primary Agricultural Credit Structure Societies in consultation 
with the National Bank.
143. The Chief Executive Officer and the members of the Board of a
State Co-operative Bank shall fulfill the criteria stipulated by the 
Reserve Bank for the time being in force and such person who, 
in the opinion of the Reserve Bank or the National Bank, does 
not fulfill the criteria stipulated by the Reserve Bank shall be 
removed on the advice of the Reserve Bank or the National 
Bank.
144. (1) There shall be at least such number of professionals having
special knowledge or experience in such fields as may be 
stipulated by the Reserve Bank on the Board of a State Co­
operative Bank and in case such number of elected Directors do 
not, in the opinion of Reserve Bank or National Bank, possess 
special knowledge or experience in such fields as may be 
stipulated by the Reserve Bank, the Board of a State Co­
operative Bank shall co-opt such number of professionals with 
full voting rights irrespective of ,-
(i) the limit of the number of members of the Board under this 
Act or rules framed there under or its bye laws ;
(ii) whether such professional is a member of the society or not
(2) If any person, who, in the opinion of the Reserve Bank, has been 
co-opted as a member of the Board under sub-section (1) without 
having requisite knowledge or experience as stipulated by the 
Reserve Bank, he shall, on being advised by the Reserve Bank or 
the National Bank, be removed from the office after giving him a 
reasonable opportunity of being heard.
145. (1) The accounts of a State Co-operative Bank shall be audited and
certified by Chartered Accountants appointed by it from the 
panel approved by the National Bank.

392 THE ASSAM GAZETTE, EXTRA ORDINARY, FEBRUARY 5, 2013
Registrar's 
obligation
Prohibition to 
use the 
nomenclature 
as Bank
(2) The Registrar shall ensure conduct of special audit of a State Co­
operative Bank if requested by the Reserve Bank in the manner 
and form stipulated by the Reserve Bank and also furnish the 
report to the Reserve Bank within the time stipulated
146. (1) The Registrar shall ensure that Reserve Bank's regulatory
prescriptions in case of a State Co-operative Bank including 
recommendation for supersession of the committee or winding 
up of a State Co-operative Bank are implemented and an 
administrator or a liquidator, as the case may be, is appointed 
within one month from the date of receipt of the advice from the 
Reserve Bank.
(2) The Registrar shall, within two months of being advised by the 
Reserve Bank or the National Bank, ensure removal of the Chief 
Executive Officer of a State Co-operative Bank who does not 
fulfill eligibility criteria specified by the Reserve Bank.
(3) The Registrar shall, within two months of being advised so by 
the Reserve Bank or the National Bank, ensure removal of any 
person elected or co-opted as a member of the Board under sub­
section (1) of section 144 without having the requisite 
knowledge or experience as stipulated by the Reserve Bank.
147. No Primary Agricultural Credit Society or its federation or 
association, except those which are permitted to act as a Bank 
under Banking Regulation Act, 1949 shall be registered with the 
words “Bank” or any other derivative of the word “Bank” in its 
registered name or shall use the same as a part of its name :
Provided that where any Primary Agricultural Credit 
Structure Society or its federation or association except those 
which are permitted to act as a Bank under Banking Regulation 
Act, 1949 has been registered or using the same as a part of its 
name before the commencement of the Assam Co-operative 
Societies Act, 2007 as amended with the word “Bank” or any of 
its derivatives in its registered name, it shall within three months 
from the date of such commencement, change its name so as to 
remove the word 'Bank' or its derivative, if any, from its name :
Provided further that where any such society fails to 
comply with the above provisions within the period specified 
therein, the Registrar shall order the winding up of such society 
forthwith.
Act No.
10 of
1949
Act No.
10 of
1949
Assam
Act No.
IV of
2012

THE ASSAM GAZETTE, EXTRA ORDINARY, FEBRUARY 5, 2013 393
Prior approval 
of Reserve 
Bank in case 
of exemption 
of this Chapter
Amendment of 
Schedule A
148. No Co-operative Credit Structure Society shall be exempted by 
the State Government from the application of any of the 
provisions of this Chapter without the prior approval of the 
Reserve Bank or the National Bank.
25. In the Principal Act, in Schedule A, after the 7 th Principle, the
following principle as 8 th Principle shall be inserted, namely :- 
“8th Principle: Professional Management.
Co-operative Societies are managed in a professional manner in 
running their affairs.”
MOHD. ABDUL HAQUE, 
Commissioner & Secretary to the Govt, of Assam, 
Legislative Department, Dispur
G uw ahatiP rinted and Published by the Dy. Director (P & S), Directorate of Ptg. & Sty. Assam, Guwahati-21.  
Ex. Gazette No. 87-300 + 600 - 5 - 2 - 2013.

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