The KARNATAKA SOCIETIES REGISTRATION ACT, 1960.

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THE KARNATAKA SOCIETIES REGISTRATION ACT, 1960.

ARRANGEMENT OF SECTIONS

Statement of Object and Reasons

Sections:

1. Short title, extent and commencement.

2. Definitions.

3. Societies to which the Act applies.

4. Conditions of registration.

5. Mode of forming societies.

6. Requirements with respect to memorandum.

7. Societies not to be registered with undesirable names.

8. Registration of societies.

9. Alteration of memorandum of association.

10. Change of name, rules and regulations.

11. General meeting.

12. Accounts.

13. Balance sheet and annual list of governing body to be filed with Registrar.

14. Property of society how vested.

15. Suits by and against society.

16. Suits not to abate.

17. Enforcement of judgment against society.

18. Recovery of penalty accruing under bye-law.

19. Members liable to be sued as strangers.

20. Members guilty of offences punishable as strangers.

21. Procedure for amalgamation of societies.

22. Provision for dissolution of societies and adjustment of their affairs.

23. Upon dissolution, no member to receive profit.

24. Inspection of documents.

25. Enquiry by the Registrar, etc.

26. Surcharge.

27. Cancellation of registration and dissolution of certain societies.

27A. Appointment of Administrator.

28. Offences and penalties.

29. Cognizance of offences.

30. Power to make rules.

31. Repeal and savings.

STATEMENT OF OBJECTS AND REASONS
I
Act No. 17 of 1960.—In the integrated areas the following different Acts are in
force:—

1. Mysore Area. ... The Mysore Societies Registration Act, 1904.

2. Madras Area, ... The Societies Registration Act, 1860. (Central Act).

Bombay Area

and Coorg District

3. Hyderabad Area ... The Hyderabad Public Societies Registration Act,
1350F

2. It is desirable to have an uniform law for the registration of Literary, Scientific,
Charitable and other Societies in the State and the Bill has been prepared for this
purpose.

3. The Bill has been drafted generally on the lines of the Mysore Societies
Registration Act, 1904, which though based on the Central Act, contains some additional
provisions which are very useful safeguards to ensure the proper working of Societies
registered under the Act.

(Obtained from notification No. 1218 LC, dated 6th November 1958, PART IV—2-A,
as No. 1218, at page. 15.)

Amending Act 26 of 1965.—Section 27 as it stands now empowers the Registrar of
Societies to conduct enquiries if it appears to him that it is carrying on any unlawful
activity or is allowing any unlawful activity to be carried on. The Registrar has jurisdiction
over the entire State and he has many other items of work to attend to. It may not
therefore be
possible for him to conduct all such enquiries by himself. It would be
desirable to provide for his authorising some other officers to conduct such enquiries.
The amendment empowers the Registrar to delegate the powers of enquiry into the
activities of the societies to some person authorised by him.

Hence the Bill.

( Published in Karnataka Gazette (Extraordinary) Part IV-2A dated 28th September
1965 at page. 7.)

III

Amending Act 20 of 1975.—Some of the Societies are finding it inconvenient to
render returns on the basis of the calendar year under existing provisions of the Mysore
Societies Registration Act 1960. It is proposed to amend the Act so as to enable
societies to adopt any periods of twelve months according to their choice.

Opportunity has been taken to enhance the fees payable by the Societies for certain
purposes in view of the increase in the cost of administration of the department.

(Published in Karnataka Gazette, Part IV-2A dated 23rd November 1972, at page.
12.)

Amending Act 65 of 1976. —When a general body meeting is not or cannot be held
and a new governing body is not or cannot be elected, the affairs of a society constituted
under the Karnataka Societies Registration Act, 1960 will go into a stalemate. Where the
society is, for example one which has been given large Government aid by way of land
or cash, or is running big educational institutions, a stalemate in the top management
body would cause much hardship or harm to many and would affect public interest very
considerably. When such a stalemate arises, there is no remedy in the existing
Karnataka Societies Registration Act, 1960; there is no provision in the Karnataka
Societies Registration Act for the appointment of an Administrator to temporarily manage
the affairs of such a society until a valid election is held and a new governing body takes
charge.

It was therefore considered necessary to amend the Karnataka Societies Registration
Act, 1960 to provide for the appointment of an Administrator in the above mentioned
situation. Provision is made in general terms that where any society has not held or is
unable to hold the annual general body meeting or where the terms of office has been
expired and a new governing body has not been constituted or where the State
Government consider it necessary in public interest so to do, an Administrator may be
appointed for a short period. It is further provided that the Administrator should take
steps to convene the general body meeting and hold elections for the constitution of the
new governing body before his term expires. In other words the whole thing is a stop-
gap arrangement. Hence the Ordinance was promulgated by insertion of new section
27-A after section 27 of the Karnataka Societies Registration Act, 1960.

(Obtained from LC Bill No. 14 of 1976.)

Amending Act 7 of 1978. —Registration of all Societies is now being done at
Bangalore. There are nearly 17,000 Societies in the State. The Registrar of Societies
feels it very difficult to have effective control over all those societies. Moreover,
inconvenience is caused to the public to come to Bangalore from remote corners of the
State for registration of clubs, societies, etc. It is therefore considered necessary to
decentralise this work.

At present a society could be registered under the Act for the development of among
other things, sports other than horse racing. It is considered necessary to extend the
scope of the Act to horse racing also.

It is considered necessary to increase the total period for which Administrator could
be appointed from 2 years to 4 years and to provide for the appointment of an Advisory
Council to assist the Administrator.

Some other consequential amendments are also made. As the matter was urgent an
Ordinance was promulgated.

This Bill seeks to replace the said Ordinance.

(Published in Karnataka Gazette, (Extraordinary), PART IV—2-A, dated 18th March
1978, as No. 268, at page. 3.)

Amending Act 48 of 1986.—The proviso to section 27A of the Karnataka Societies
Registration Act, 1960 provides for extending the period of appointment of the
Administrator prospectively. It is considered necessary to empower the Government to
extend the period of appointment of the Administrator, retrospectively also.

Hence the Bill.

(Published in Karnataka Gazette (Extraordinary) Part IV-2A dated 25th August 1986
as No. 653 at page 3.)

VII

Amending Act 11 of 1990.—To give effect to the proposals made in the Budget
Speech, it is considered necessary to amend the Karnataka Societies Registration Act,
1960.

Hence the Bill.

(Published in Karnataka Gazette (Extraordinary) Part IV-2A, dated 30th March 1990,
as No. 155, at page. 28.)

VIII

Amending Act 9 of 1999. - To implement the Participatory Irrigation Management,
the High level working group has suggested certain amendments to the Karnataka
Societies Registration Act, 1960 to enable the water users societies to fully implement
the programmes.

Therefore, it is considered necessary to amend section 3 of the Karnataka Societies
Registration Act, 1960 to provide for the proper use of the natural resources and scarce
infrastructural facilities like land, power, water, forest and other resources.

Hence the Bill.

(Obtained from L.A. Bill No. 24 of 1997) (File No. SAMVYASAIE 23, SHASANA 97).

Amending Act 7 of 2000.- To give effect tot he proposals made in the Budget
Speech, it is considered necesary to amend the Karnatak Stamp Act, 1957 and the
Karnataka Societies Registration Act, 1960.

(Obtained from L.A. Bill No. 8 of 2000)

Amending Act 6 of 2002.- To give effect to the proposals made in the Budget
Speech, it is considered necessary to amend the Karnataka Stamp Act, 1957 and the
Karnataka Socieities Registration Act, 1960.

Hence the Bill.

Amending Act 38 of 2011.- At present there is no time limit provided in the
Karnataka Societies Registration Act, 1960 within which the Registrar has to accept or
reject an amendment to rules and regulations submitted by a society. Therefore, it is
proposed to amend section 10 of the Karnataka Societies Registration Act, 1960 to
give effect to the amendment proposed by the societies from the date of passing of the
resolution, if the amendment is approved by the Registrar.
A provision to condone the delay in submission of the resolution after the period of
thirty days is also proposed.
Hence the Bill.
[L.A. Bill No. 44 of 2011, File No. Samvyashae 38 Shasana 2011]
[Entry 32 of List II of the Seventh Schedule to the Constitution of India.]

---

1[KARNATAKA ACT]1 No. 17 OF 1960

(First published in the 1[Karnataka Gazette]1 on the Third day of November 1960.)

THE 1[KARNATAKA]1 SOCIETIES REGISTRATION ACT, 1960.

(Received the assent of the Governor on the Twenty-fifth day of October 1960.)

(As Amended by Karnataka Acts 26 of 1965, 20 of 1975, 65 of 1976, 7 of 1978, 48 of
1986, 11 of 1990 9 of 1999, 7 of 2000, 6 of 2002 and
38 of 2011.)

An Act to provide for the registration of literary, scientific, charitable and other
societies.

WHEREAS it is expedient to provide for the registration of literary, scientific, charitable
and other societies in the 1[State of Karnataka]1;

BE it enacted by the 1[Karnataka State] 1 Legislature in the Eleventh Year of the
Republic of India as follows:—

1. Adapted by the Karnataka Adaptations of Laws Order, 1973 w.e.f. 01.11.1973.

1. Short title, extent and commencement.- (1) This Act may be called the
1[Karnataka]1 Societies Registration Act, 1960.

1. Adapted by the Karnataka Adaptations of Laws Order, 1973 w.e.f. 01.11.1973.

(2) It extends to the whole of the 1[State of Karnataka]1.

1. Adapted by the Karnataka Adaptations of Laws Order, 1973 w.e.f. 01.11.1973.

(3) It shall come into force on such 1[date]1 as the State Government may by
notification in the official Gazette appoint.

1. Act came into force on 15.6.1961.

2. Definitions.- In this Act, unless the context otherwise requires,—

(a) “governing body” means the governors, council, directors, committee, trustees or
other body to whom by the rules and regulations of the society, the management of its
affairs is entrusted;

(b) “member” means a person who, havi ng been admitted to membership of a
society in accordance with the rules and regulations thereof, shall have paid his
subscription and shall have signed the roll or list of members thereof, and shall not have
resigned in accordance with such rules and regulations; but in all proceedings under this
Act, no person shall be entitled to vote or to be counted as a member whose
subscription at the time shall have been in arrear for a period exceeding three months;

(d) “registered society” means a society registered or deemed to be registered under
this Act;

1[(e) ‘Registrar’ means such officer as the State Government may, by notification,
appoint to perform the duties and functions of the Registrar under this Act, in such area

as may be specified in the notification and where no such officer is appointed, the
Inspector General of Registration in Karnataka.]1

1. Substituted by Act 7 of 1978 w.e.f. 29.9.1977.

1[(f) ‘year’ means the year ending on the 31st day of December or in the case of any
society or class of societies the accounts of which are made up to any other date with
the previous sanction of the Registrar, the year ending with such date.]1

1. Inserted by Act 20 of 1975 w.e.f. 1.7.1975.

3. Societies to which the Act applies.- The following societies may be registered
under this Act,—

Societies established for,—
(a) the promotion of charity;
(b) the promotion of education, science, literature, or the fine arts;
(c) the promotion of sports 1[x x x]1;
1. Omitted by Act 7 of 1978 w.e.f. 29.9.1977.

(d) the instruction and the diffusion of knowledge relating to commerce or industry or
of any other useful knowledge;

(e) the diffusion of political education;

(f) the foundation or maintenance of libraries or reading rooms for general use
among the members or open to the public, or of public museums and galleries of
painting and other works of art;

1[(ff) the promotion of conservation and proper use of natural resources and scarce
Infrastructural facilities like land, power, water, forest and such other resources
and infrastructural facilities, as may be notified by the State Government from
time
to time.]1

1. Inserted by Act 9 of 1999 w.e.f. 26.4.1999.

(g) the collection of natural history, mechanical and philosophical inventions,
instruments or designs; and

which intend to apply their profits, if any, or other income in promoting their objects and
prohibit the payment of any dividend or distribution of any income or profits among their
members.

4. Conditions of registration.- No society, other than a society of which the State
Government is a member, which does not consist of at least seven persons above the
age of eighteen years shall be registered under this Act.

5. Mode of forming societies.- Any seven or more persons, above the age of
eighteen years associated for any purpose specified in section 3 may, by subscribing
their names to a memorandum of association and otherwise complying with the
requirements of this Act and the rules made thereunder, in respect of registration, form
themselves into a society under this Act.

6. Requirements with respect to memorandum.- (1) The memorandum of
association of every society shall state,—

(a) the name of the society;
(b) the objects of the society;
(c) the names, addresses and occupations of the members of the governing body
to whom, by the rules of the society, the management of its affairs is entrusted;

(d) the place at which the registered office of the society is to be situate.

(2) There shall be registered with the memorandum of association, the rules and
regulations of the society, which shall contain provisions relating to admission of
members, general meetings, proceedings at such meetings including voting by
members, the governing body and proceedings of meetings of the governing body:

Provided that save as otherwise provided in this Act, no rule or regulation of a society
shall exclude any member from being entitled to vote.

(3) The memorandum and rules and regulations of the society shall be printed or
typewritten, be divided into paragraphs numbered consecutively and be signed by each
subscriber to the memorandum of association (who shall add his address, description,
age and occupation, if any) in the presence of at least one witness who shall attest the
signature and shall likewise add his address, description and occupation.

7. Societies not to be registered with undesirable names.- No society shall be
registered by a name which, in the opinion of the Registrar, is undesirable. A name
which is identical with, or too nearly resembles, the name by which a society in existence
has been previously registered, may be deemed to be undesirable by the Registrar
under this section.

8. Registration of societies.- (1) There shall be presented to the Registrar for
registration the memorandum of association and the rules and regulations of the society
1[ x x x ]1.

1. Omitted by Act 7 of 2000 w.e.f. 1.4.2000.

(2) If the Registrar is satisfied that all the requirements of this Act and the rules made
thereunder have been complied with, he shall retain and register the memorandum of
association and rules and regulations, and shall certify under his hand that the society is
registered and issue a certificate of registration.

(3) If the Registrar refuses to register a society, an appeal shall lie to the 1[Karnataka
Appellate Tribunal] 1 within sixty days from the date of communication of his refusal to
register the society. 2[ x x x ]2.

1. Substituted by Act 7 of 1978 w.e.f. 29.9.1977.

2. Omitted by Act 7 of 2000 w.e.f. 1.4.2000.

9. Alteration of memorandum of association.- (1) Whenever it shall appear to
the governing body of any society registered under this Act which has been established
for any particular purpose or purposes that it is advisable to alter, extend or abridge such

purpose or for other purposes specified in section 3, the governing body may submit the
proposition to the members of the society in a written or printed report, and may convene
a special general meeting for the consideration thereof according to the rules and
regulations of the society. But no such proposition shall be deemed to have been
approved unless such report has been delivered or sent by post to every member of the
society twenty-one days previous to the date of the special general meeting convened
by the governing body for the consideration thereof, and unless such proposition shall
have been agreed to by the votes cast in favour of the proposition by members who
being entitled so to do, vote in person, or where proxies are allowed, by proxy, and such
votes are not less than three times the number of the votes, if any, cast against the
resolution by members so entitled and voting and confirmed by a similar majority of
votes at a second special general meeting convened by the governing body after an
interval of thirty days after the former meeting.

(2) Every change in the memorandum of association approved under sub-section (1)
shall be filed with the Registrar within thirty days from the date of making thereof 1[ x x x]1
and the Registrar may if he is satisfied that the change is in accordance with the
provisions of this Act and the rules made thereunder register such change. Such change
shall not have effect until it has been so registered.

1. Omitted by Act 7 of 2000 w.e..f 1.4.2000.

(3) If the Registrar refuses to register a change in the memorandum of association
under sub-section (2) an appeal shall lie to the 1[Karnataka Appellate Tribunal] 1 within
sixty days from the date of communication of his refusal to register the change 2[ x x x ]2.

1. Substituted by Act 7 of 1978 w.e.f. 29.9.1977.

2. Omitted by Act 7 of 2000 w.e.f. 1.4.2000.

10. Change of name, rules and regulations.- (1) The name and the rules and
regulations of a society may be amended by a resolution passed at a special general
meeting convened for the purpose of which written or printed notice shall have been
delivered or sent by post to every member of the society twenty-one days previous to the
date of the special general meeting and the resolution proposing the amendment is
passed by the votes cast in favour of the resolution by members who being entitled so to
do, vote in person or where proxies are allowed, by proxy, and such votes are not less
than three times the number of the votes, if any, cast against the resolution by members
so entitled and voting.

1[(2) every amendment made under sub-section (1) shall, within thirty days be filed
with the Registrar. If the Registrar is satisfied that the amendment made under sub-section
(1) is in accordance with the provisions of this Act and the rules made thereunder, he shall
register it. Such amendment shall have effect from the date of resolution passed under
sub-section(1).
Provided that the Registrar if satisfied that there are sufficient cause for not filing
the resolution within the said period, he may condone the delay in writing for a period not
exceeding one year.]
1

1. S u b s t i t u t e d b y Act 38 of 2011 w.e.f. 29.12.2011.

(3) If the Registrar refuses to register the amendment under sub-section (2) an appeal
shall lie to the 1[Karnataka Appellate Tribunal] 1 within sixty days from the date
of communication of his refusal to register the amendment. 2[ x x x ]2.

1. Substituted by 7 of 1978 w.e.f. 29.9.1977.

2. Omitted by Act 7 of 2000 w.e.f. 1.4.2000.

11. General meeting.- (1) Every society registered under this Act shall hold every
year a general meeting called the annual general meeting at which the report of the
management of the society for the previous year together with an audited copy of the
balance sheet, income and expenditure account and the auditor’s report shall be
submitted for approval.

(2) The first annual general meeting shall be held by a society within eighteen months
of its registration. The next annual general meeting of the society shall be held within
nine months after the expiry of the
1[x x x]1 year in which the first annual general meeting
was held; and thereafter an annual general meeting shall be held within nine months
after the expiry of each 1[x x x]1 year:

1. Omitted by Act 20 of 1975 w.e.f. 1.7.1975.

Provided that the Registrar may, for any special reason, extend the time within which
an annual general meeting shall be held, by a further period not exceeding six months:

Provided further that except in the case referred to in the preceding proviso not more
than eighteen months shall elapse between the date of one annual general meeting and
that of the next.

(3) A special general meeting may be convened at any time on the requisition of the
president or the chairman, if any, of the gov erning body, or on the requisition of not less
than one-third of the number of members of the governing body, or one-tenth of the total
number of members of the society, entitled to vote who shall state in writing the business
for which they wish the meeting to be convened and the governing body shall, within ten
days from the date of the receipt of the requisition, proceed duly to call a meeting for the
consideration of the business stated on a day not later than forty days from the date of
the receipt of the requisition.

(4) If a member has no registered address in India and has not supplied to the society
an address within India for the giving of notice to him, a notice advertised in a
newspaper
in Kannada and in a newspaper in English or any other language circulating
in the neighbourhood of the registered office of the society shall be deemed to be duly
given to him on the day on which the advertisement appears in the newspaper.

12. Accounts.- (1) The governing body of every society registered under this Act
shall keep at the registered office of the society or at such other place in the State as the
governing body thinks fit, proper books of account with respect to,—

(a) all sums of money received and expended by the society and the matters in
respect of which the receipt and expenditure takes place;

(b) all sales and purchases of goods by the society; and

(2) Every balance sheet of a society shall give a true and fair view of the state of
affairs of the society as at the end of the 1[x x x]1 year and every income and expenditure

account shall give a true and fair view of the excess of income over expenditure, or
excess of expenditure over income, of the society for the 1[x x x]1 year.

1. Omitted by Act 20 of 1975 w.e.f. 1.7.1975.

1[(3) In the case of a society the accounts of which are made up with the previous
sanction of the Registrar to any date other than the 31st day of December, the first
balance sheet and the first income and expenditure account of such society after such
previous sanction is accorded shall, for the purposes of sub-section (2), be for such
period as the Registrar may specify in the order according previous sanction.]1

2. Inserted by Act 20 of 1975 w.e.f. 1.7.1975.

13. Balance sheet and annual list of governing body to be filed with Registrar.-
On or before the fourteenth day succeeding the day on which the annual general
meeting of a society is held, there shall be filed with the Registrar a list of the names,
addresses and occupations of the members of the governing body then entrusted with
the management of the affairs of the society and a copy of the balance sheet and
income and expenditure account audited by a person who under section 226 of the
Companies Act, 1956 (Central Act 1 of 1956), can act as an auditor of companies
registered in the
1[State of Karnataka]1. 2[x x x]2:

1. Adopted by the Karnataka adoptation of Laws Order 1973 w.e.f. 1.11.1973.

2. Omitted by Act 7 of 2000 w.e.f. 1.4.2000
1
[“Provided that if for any sufficient reason a society has not filed the list of
members of governing body and a copy of balance sheet and income and expenditure
account on or before the fourteenth day of the Annual General Body meeting of the
Society it may make an application to the Registrar to condone the delay and permit to
file the records and the Registrar may if he is satisfied that there are sufficient reasons
for the delay in filing such records, condone the delay and permit the society to file such
records subject to payment of fine as may be prescribed and where no sufficient reasons
are shown, he may after giving an opportunity of being heard to the society reject the
application and return such records to the society:

Provided further that, where a society has failed to file such records for a
consecutive period of five years, the Registrar, may after giving a reasonable opportunity
of being heard to the society, by an order cancel the registration of such society and
direct dissolution of the society, and thereupon the assets of the society shall be
distributed, and the liabilities discharged in the same manner as if the society had been
dissolved under section 22.

Explanation: For the purpose of this proviso, where the application filed by a
society to condone the delay in filing records for any year is rejected and the records are
returned under the first proviso, such society shall be deemed to have failed to file
records for that year.” ]1

1. Substituted by Act 6 of 2002 w.e.f. 1.4.2002.

14. Property of society how vested.- The property, movable and immovable,
belonging to a society registered under this Act, if not, vested in trustees, shall be

deemed to be vested, for the time being in the governing body of such society, and in all
proceedings, civil and criminal, the property may be described as the property of the
governing body of such society by their proper title.

15. Suits by and against society.- Every society registered under this Act may sue
or be sued in the name of the president, chairman, or principal secretary or the trustees
as shall be determined by the rules and regulations of the society, and, in default, of
such determination, in the name of such person as shall be appointed by the governing
body for the occasion:

Provided that, it shall be competent for any person having a claim or demand against
the society, to sue the president or chairman, or principal secretary or the trustees
thereof, if, on application to the governing body, some other officer or person be not
nominated to be the defendant.

16. Suits not to abate.- No suit or proceeding in any civil court shall abate or
discontinue by reason of the person by or against whom such suit or proceeding shall
have been brought or continued, dying or ceasing to fill the character in the name
whereof he shall have sued or been sued, but the same suit or proceeding shall be
continued in the name of or against the successor of such person.

17. Enforcement of judgment against society.- (1) If a judgment is passed
against the person or officer named on behalf of the society, such judgment shall not be
enforced against the person or property of such person or officer, but shall be enforced
against the property of the society.

(2) The application for execution shall set forth the judgment, the fact of the party
against whom it shall have been passed having sued or having been sued, as the case
may be, on behalf of the society only, and shall require to have the judgment enforced
against the property of the society.

18. Recovery of penalty accruing under bye-law.- Whenever by any bye-law duly
made in accordance with the rules and regulations of the society, or, if the rules do not
provide for the making of bye-laws, by any bye-law passed at a general meeting of the
members of the society convened for the purpose by a majority of not less than three-
fifths of the members present at such meet ing, any pecuniary penalty is imposed for the
breach of any rule or bye-law of the society, such penalty, when accrued, may be
recovered in any court having jurisdiction where the defendant shall reside, or the
society shall be situate, as the governing body thereof shall deem expedient.

19. Members liable to be sued as strangers.- Any member who may be in arrear
of a subscription which according to the rules of the society, he is bound to pay, or who
shall possess himself of or detain any property of the society in a manner or for a time
contrary to such rules, or shall injure or destroy any property of the society, may be sued
for such arrear or for the damage accruing from such detention, injury or destruction of
property in the manner hereinbefore provided.

20. Members guilty of offences punishable as strangers.- Any member of the
society who shall steal, purloin or embezzle any money or other property, or wilfully and
maliciously destroy or injure any property of such society, or shall forge any deed, bond,

security for money, receipt or other instrument, whereby the funds of the society may be
exposed to loss, shall be subject to the same prosecution, and, if convicted, shall be
liable to be punished in like manner, as any person not a member would be subject and
liable to in respect of the like offence.

21. Procedure for amalgamation of societies.- Whenever it shall appear to the
governing body of any society registered under this Act, which has been established for
any particular purpose or purposes, that it is advisable to amalgamate such society,
either wholly or partially with any other society, such governing body may submit the
proposition to the members of the society in a written or printed report, and may convene
a special general meeting for the consideration thereof according to the rules and
regulations of the society. But no such proposition shall be deemed to have been
approved unless such report shall have been deliv ered or sent by post to every member
of the society, twenty-one days previous to the date of the special general meeting
convened by the governing body for the consideration thereof, and unless such
proposition shall have been agreed to by the votes, cast in favour of the proposition by
members who being entitled so to do, vote in person, or where proxies are allowed, by
proxy, and such votes are not less than three times the number of votes, if any, cast
against the resolution by members so entitled and voting and confirmed by a similar
majority of votes at a second special general meeting convened by the governing body
after an interval of thirty days after the former meeting.

22. Provision for dissolution of societies and adjustment of their affairs.- Any
number not less than three-fourths of the members of any society may determine that it
shall be dissolved and thereupon it shall be dissolved forthwith, or at the time then
agreed upon, and all necessary steps shall be taken for the disposal and settlement of
the property of the society, its claims and liabilities, according to the rules of the said
society applicable thereto, if any, and if there are no such rules, as the governing body
shall find expedient, provided that, in
the event of any dispute arising among the said
governing body or the members of the society, the adjustment of its affairs shall be
referred to the principal court of original civil jurisdiction of the district in which the
registered office of the society is situate; and the court shall make such order in the
matter as it shall deem requisite:

Provided that no society shall be dissolved unless three-fourths of the members shall
have expressed a wish for such dissolution by their votes delivered in person, or where
proxies are allowed, by proxy, at a special general meeting convened for the purpose:

Provided further that whenever the State Government is a member of, or a contributor
to, or otherwise interested in any society registered under this Act, such society shall not
be dissolved without the consent of the State Government.

23. Upon dissolution, no member to receive profit.- (1) If upon the dissolution of
any society registered under this Act, there shall remain, after the satisfaction of all its
debts and liabilities, any property whatsoever, the same shall not be paid to or
distributed
among the members of the said society or any of them, but shall be given to
some other society, to be determined by the votes of not less than three-fifths of the
members present personally or where proxies ar e allowed, by proxy at the time of the

dissolution, or in default thereof, by the principal civil court of original jurisdiction of the
district.

(2) Notwithstanding anything contained in sub-section (1), it shall be lawful for the
members of any society dissolved, to determine by a majority of the votes of the
members present personally or where proxies are allowed, by proxy, at the time of
dissolution of such society that any property whatsoever remaining after the satisfaction
of all its debts and liabilities shall be given to the State Government to be utilised for any
of the purposes referred to in section 3.

24. Inspection of documents.- Any person may inspect all documents filed with the
Registrar under this Act 1[on payment of such fee as may be prescribed] 1 and any
person may require a copy or extract of any document or any part of any document to be
certified by the Registrar, on payment of 1[such fee as may be prescribed] 1 for every
hundred words of such copy or extract; and such certified copy shall be prima facie
evidence of the matters therein contained in all legal proceedings whatever.

1. Substituted by Act 7 of 2000 w.e.f. 1.4.2000.

25. Enquiry by the Registrar, etc.- (1) The Registrar may on his own motion and
shall on the application of the majority of the members of the governing body or of not
less than one-third of the members of the society, hold an enquiry or direct some person
authorised by him by order in writing in accordance with the rules made in this behalf to
hold an enquiry into the constitution, working and financial condition of a registered
society.

(2) The Registrar or the person authorised by him under sub-section (1) shall have
the following powers, namely,—

(a) he shall, at all reasonable times, have free access to the books, accounts,
documents, securities, cash and other properties belonging to or in the custody of the
society and may summon any person in possession or responsible for the custody of
any such books, accounts, documents securities, cash or other properties to produce the
same at any place at the headquarters of the society or any branch thereof;

(b) he may summon any person who, he has reason to believe, has knowledge of
any of the affairs of the society to appear before him at any place at the headquarters of
the society or any branch thereof and may examine such person on oath;

(c) (i) he may, notwithstanding anything contained in this Act or in any rule or
regulation prescribing the period of notice for a general meeting of the society, require
the governing body of the society to call a general meeting at such time and place at the
headquarters of the society or any branch thereof and to determine such matters as may
be directed by him. If the governing body of the society refuses or fails to call a meeting,
he shall have power to call it himself;

(ii) any meeting called under sub-clause (i) shall have all the powers of a general
meeting called under the rules or regulations of the society and its proceedings shall be
regulated by such rules or regulations;

(iii) when an enquiry is made under this section, the Registrar shall communicate
the result of the enquiry to the society concerned.

26. Surcharge.- (1) Where, in the course of an enquiry under section 25, it appeals
that any person who had taken part in the establishment or management of the society
or any past or present president, secretary, member of the governing body or officer or
any member of the staff of the society has misapplied or retained or become liable or
accountable for any money or property of the society, or has been guilty of misfeasance
or breach of trust in relation to the society, the Registrar may, on a report received from
the officer or on an application received from the governing body of the society or of his
own motion, examine into the conduct of such person and after giving reasonable
opportunity to the person concerned to submit his explanation, make an order requiring
him to repay or restore the money or property or any part thereof, respectively with
interest at such rate as the Registrar thinks just or to contribute such sum to the assets
of the society by way of compensation in regard to the misapplication, retainer,
misfeasance or breach of trust as the Registrar thinks just.

(2) The order of the Registrar under sub-section (1) shall be final unless it is set aside
by the 1[Karnataka Appellate Tribunal]1 on an appeal filed before it within sixty days from
the date of communication of the order. Every such appeal shall be accompanied by a
fee of ten rupees.

1. Subsituted by Act 7 of 1978 w.e.f. 29.9.1977.

(3) Any sum ordered under this section to be repaid to a society or recovered as a
contribution to its assets may on a requisition being made in this behalf by the Registrar,
be recovered by the Deputy Commissioner, in the same manner as arrears of land
revenue.

(4) This section shall apply notwithstanding such person may have incurred criminal
liability by his act.

27. Cancellation of registration and dissolution of certain societies.- (1) If it
appears to the Registrar that any society registered or deemed to be registered under
this Act, is carrying on any unlawful activity or allows unlawful activity to be carried on
within any premises under the control of the society, 1[the Registrar may hold an enquiry
or authorise any officer to hold an enquiry into the activities of such society and in
respect of every such enquiry, the Registrar or the authorised officer] 1 shall have the
same powers as are specified in sub-section (2) of section 25. 2[The authorised officer
shall, on completion of the enquiry, submit a report to the Registrar.]2

1. Substituted by Act 26 of 1965 w.e.f. 2.12.1965.

2. Inserted by Act 26 of 1965 w.e.f. 2.12.1965.

(2) If on an enquiry under sub-section (1), the Registrar is satisfied that any such
society has been carrying on any unlawful activity or has allowed any unlawful activity to
be carried on within any premises under the control of the society, he shall, after giving
reasonable notice to the society to show cause why the registration of the society should
not be cancelled and the society dissolved, and after considering the representations, if
any, made on behalf of the society, by order cancel the registration of the society and
direct dissolution of the
society; and thereupon the assets of the society shall be

distributed, and the liabilities discharged, in the same manner as if the society had been
dissolved under section 22.

(3) An appeal shall lie to the 1[Karnataka Appellate Tribunal] 1 against any order
passed by the Registrar under sub-section (2), within sixty days from the date of
communication of the order, and the decision on such appeal shall be final.

1. Substituted by Act 7 of 1978 w.e.f. 29.9.1977.

Explanation.—For purposes of this section, an activity shall be deemed to be
unlawful if such activity is an offence punishable under any provision of law for the time
being in force.

1[27A. Appointment of Administrator.- Notwithstanding anything in this Act,—

1. Sub section 1 to 5, 5A, 6 inserted by Act 65 of 1976 w.e.f. 2.7.1976.

(1)(a) where any society on account of the pendency of litigation or otherwise has not
held or is unable to hold the annual general meeting; or

(b) where the term of office of the members of the governing body of a society has
expired and a new governing body has not for any reason been constituted; or

(c) where on a report made by the Registrar or otherwise, on enquiry, the State
Government considers it necessary in public interest so to do,

-the State Government may, by order published in the official Gazette, appoint an
Administrator for such society for such period, not exceeding six months, as may be
specified in the order, to manage the affairs of the society:

Provided that for reasons to be recorded in writing, the State Government may, by
like order, 1[extend either prospectively or retrospectively, the said period]1 by any further
periods not exceeding six months at a time, so however subject to the provisions of
clause (5), the aggregate period shall not extend beyond 2[four years]2;

1. Substituted by Act 48 of 1986 w.e.f. 25.11.1986.

2. Substituted by 7 of 1978 w.e.f. 29.9.1977.

(2) the expenditure incurred by the State Government towards the salary and
allowances of the Administrator shall be paid to the State Government from out of the
funds of the society;

(3) on the appointment of the Administrator under clause (1) and during the period of
such appointment the governing body of the soci ety shall cease to exercise any powers
and perform and discharge any functions or duties conferred or imposed on it by this
Act, or its memorandum of association or the rules and regulations or any other law and
subject to any directions which the State Gove rnment, may from time to time issue, all
such functions or duties shall be performed or discharged by the Administrator;

(4) the Administrator shall, before the expiry of the period of his appointment take
necessary action to convene the general body meeting of the society and hold elections
for the constitution of the governing body;

(5) if the Administrator is not, for reasons beyond his control, able to convene the
general body meeting or inspite of such meeting being convened, the general body fails
to elect the governing body, the Administrator shall forthwith send a report to the State
Government, who may pass such orders as are considered necessary, either extending
the period of appointment of the Administrator for a further period or if satisfied that
public interest so requires, for the dissolution of the society;

1[(5A) the State Government may, if it thinks fit, appoint an Advisory Council to advise
and assist the administrator appointed under sub-section (1) in the exercise of the
powers and performance and discharge of the duties and functions conferred or
imposed on him
under this Act. The members of the Advisory Council shall hold office
during the pleasure of the State Government.]1

1. Inserted by Act 7 of 1978 w.e.f. 29.9.1977.

(6) where an order of dissolution is passed under sub-section (5) the assets o

Excerpt shown. Open the full act in Lexace.

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