(1) A co-operative society shall not make a loan to any person other than a member:
Provided that with the general or special sanction of the Registrar, a co-operative society may make loans to another co-operative society.
' (2) Notwithstanding anything contained in sub-section ( I ) , a cooperative society may make a loan to a depositor on the security of his deposit.
46. A co-operative society shall receive d.eposits and loans only to such, extent and under such conditions as may be prescribed or as may be specified in'the bye-laws.
47. Save as otlienirisc ]>I-ovidcc! in sections 45 and 4G, every tra~lsaction of a co-operat,ive sc,cie!s; \\;it!; a n y ])crr;o!-l, ot1ir.i t11:ri: a ~nt_.n?ht!r, siizii be subject io sucll ~).!ohibil.io:is rind rc:;l~-ic.iiol.is, i f c;~i>r, as ma!r hr. pi.,.sc:rihed.
Culltribution to charitable purpose.
Contribution to, Cooperative Education Fund.
Investment of funds.
Restrictions on loans.
Restrictions on borrowing.
liest riclions on .;,Lhc!- t?il;i::'.:,- tic);ls xviih l l ~ l l - ~ l l ~ ! - l l - 1 >vrs:
66 THE GAZJZTTE O F INDIA EXTRAORDII\rqRY [PART 11- - - - --
CHAPTER VII Audit. 48. (1) The Registrar shall audit or cause to be audited by a person authorised by him by general or special order in writing in this beh+lf, the accounts of every co-operative society at least once in each year.
(2) The audit under sub-section (1) shall include an examination of overdue debts, if any, the verification of the cash balance and securities, and a valuation of the assets and liabilities of the co-operative society.
(3) The person auditing the accounts of a co-operative society shall have free access to the books, accounts, papers, vouchers, stock and other property of the society and shall b,e allowe@ t~ verify jts cash balance and securities.
(4) The directors, mem'bers of the staff, administrators and other officers of every co-operative society shall furnish to the person auditing its accounts all such i n f ~ ~ n ~ a t i o n as to its transactions and workina as such person may require.
(5) The Registrar or the person authorised b.y him under subse~t ion (1) to audit the accounts of a co-operative society shall have power, where necessary,-
(a) to sunlmon a t the time of his audit any officer, agent, servant or member of the society, past or present, who, he has reason to believe, can give valuable information in regard to transactions of the society or the managel3ent of its affairs; and
(b) to require the production of any book crr document relating to, the affairs of, or any cash or securities belqnging to, the society by any officer, agent, servant or member of the society in possession of such books, docume-its, cash or securitieg and in the event of serious irregularities discovered during audit, tp we them into custody.
(6) If at the time of aulit the accounts of a society are not complete, the Registrar or the person authorised by him under sub-section (1) to audit, may cause the accounts to be written up at the expense of the society.
(,7,) Audit fee, if any, due from any co-operative society shall be re- ' coyqralble in the same manner as is provlded in section 67.
Inspection 49. (1) The Registrar, or any person authorised by the Registrar by 0s: general or special order in this behalf, may inspect a co-operative society.
co-operat j rre: (2) For the purpose of inspection, the Registrar or.. the person,authosocieties. rised to make the inspection shall a t all times have access to all .books, accounts, papers, vouchers, securities, stock and other property of the cooperative society and may in t.l-hc evci7t. of seric)us irregula1,ities ciiscovc~ed during the inspcctioi~ take them into ci.~,~tocl?; and shall have power to verify the c n ~ l i Ija!aiice of t h e sciciciy 2nd s~l1,jecl to the goncral or special U ~ ~ C I . of tl-IC 1i~~istr: ir to c;:lI ;: .l.l~~:t'linfi OI t.hi: ~ : ~ ~ i l l l l i t . i r ~ ;:lid a gencral meeting.
SEC. 11 THE GAZETTE O F INDIA EXTRAORDINARY ~~. . ~ . . ~ .. .- - ~ - ~ . -L ~ -- - .. . .. ~ -- - .... ~ . .~ ~ .. -~ -~
(3) Every officer or member of a co-operative society .shall furnish such infirmation with regard tw the working of L11e suciety as the Registrar or the person authorised to make the inspection may require.