(1) No member of any registered society shall have more than one vote in the affairs of the society; provided that in the case of an equality of votes the Chairman shall have a casting vote.
(2) A registered society which has invested any part of its funds in the shares of another registered society may appoint any of its members not disqualified for such appointment junder any rules prescribed in that behalf to vote in the affairs of such other registered society.
Transfer of share or interest.
15. Subject to the provisions of section 6 and to such conditions as may be prescribed by rules, a member of a registered society may transfer his share or interest in the capital of that society.
Societies to be bodies corporate.
CHAPTER IV PRIVILEGES OF REGISTERED SOCIETIES
16. The registration of a society shall render it a body corporate by the name under which it is registered, with perpetual succession and a1 common seal, and with power to hold property, to enter into contracts, to institute and defend suits and other legal proceedings and to do all things necessary for the purposes for which it was constituted.
Prior claim of society. 17. (1) Subject to the prior claim, if any, of the Government in respect of land revenue or any money recoverable as land revenue, any debt or outstanding demand due to a registered society fiom any member or past member or the estate of a deceased member shall be a first charge—
(i) upon the crops or other agricultural produce of such member for the raising of which the loan was taken from the society by such member, and
(ii) upon any cattle, fodder for cattle, agricultural or industrial implements or machinery, or raw materials for manufacture, supplied or purchased in whole or in part out of the loan of money given by the society, or on any articles manufactured from raw materials so supplied or purchased or on any workshop, godown or place of business, constructed or purchased out of any such loan.
SEC. 1] THE GAZETTE OF INDIA EXTRAORDINARY 649
(2) No property or interest in property which is subject to a charge in favour of a registered society under sub-section (1) shall be sold or otherwise transferred or converted in any manner without the previous written permission of the society.
(3) A member or a past member or the nominee, heir or legal representative of a deceased member of a registered society, shall, if so required by the society, deposit with or entrust to the custody of the society, such property as is subject to a charge under subsection (1) at such place and in such manner as may be prescribed by the by-laws until the debt or outstanding demand due to the society is fully paid and shall also pay towards all expenses incidental to the removal, transport or maintenance of the property so deposited or entrusted to custody, and the charges connected with the removal, transport or maintenance of such property shall be recovered from the member or the past member or the estate of the deceased member, as the case may be, in accordance with such scale as may be so prescribed.
(4) Notwithstanding anything contained in any law, any transaction made in contravention of sub-section (2) shall be void.
(5) The charge created by sub-section (1) in favour of a registered society shall be available as against any claim of the Government arising from a loan granted by it after the grant of the loan by the society.
18. A registered society shall have a charge upon the share or interest in the capital and on the deposits of a member or past or deceased member and upon any dividend, bonus or profits payable to a member or past member or the estate of a deceased member in respect of any debt due from such member or past member or the estate of such deceased member to the society, and may set off any sum credited or payable to a member or past or deceased member or the estate of a deceased member in or towards payment of any such debt.
Charge and set-off in respect of shares or interest of member.
3 of 1909.
5 of 1920.
19. Subject to the provisions of section 18, the share or interest of a member in the capital of a registered society shall not be liable to attachment or sale under any decree or order of a Court in respect of any debt or liability incurred by such member, and neither the Official Assignee under the Presidency Towns Insolvency Act, 1909, nor a Receiver under the Provincial Insolvency Act, 1920, shall be entitled to or have any claim on such share or interest.
Shares or interest not liable to attachment.