(1) Subject to the provisions hereinafter contained, a society which has as its object the promotion of the economic interests of its members in accordance with co-operative principles, or a society established with the object of facilitating the operations of such a society, may be registered under this Regulation with or without limited liability:
Provided that, unless the Chief Commissioner by general or special order otherwise directs, the liability of the society of which a co-operative society is a member shall be limited.
(2) Whether the liability of the members of any co-operative society is limited or unlimited by shares, the liability of the Government or of a credit agency which has taken shares in such co-operative society, shall be limited to the share capital subscribed by the Government or such credit agency as the case may be.
(3) The word “limited” or its equivalent in any Indian language shall be suffixed to the name of every society registered under this Regulation with limited liability.