(1) A Central Society which is provided with moneys by an Apex Society, from the Principal State Partnership Fund shall with such moneys establish a Fund to be called the "Subsidiary State Partnership Fund".
(2) A Central Society shall utilize the subsidiary State Partnership Fund for the purpose of a. Purchasing shares in Primary Society;
b. Making payment to the Apex Society in accordance with the provisions of this Chapter; and for no other purpose.
55. Shares shall not be purchased in a society from one moneys in the Principal State Partnership Fund or the Subsidiary State Partnership Fund, except with the previous approval of Central Government.
56. Where any shares are purchased in a society by - a. The Central Government; or b. AnApex Society from the Principal State Partnership Fund, or Central Society from the Subsidiary State Partnership Fund as the case may be : the liability in respect of such shares shall in the event of the society of which the shares are purchased being wound up the limited to the amount paid in respect of such shares.
57. AnApex Society which has purchased shares in other societies from the moneys in the Principal State Partnership Fund and a Central Society which has purchased shares in Primary Societies from the money in the Subsidiary State Partnership Fund, shall be entitled only to such dividend on the said share as is decided by the society concerned and is payable to other share holders of the society.
58.(1) If a society in which shares are purchased from the Principal State Partnership Fund is wound up, or is dissolved ·the Central Government shall not have any claim against the Apex Society which purchased the shares in respect of any loss arising from such purchase but the Central Government shall be entitled to any moneys received by the Apex Society in liquidation proceedings or on dissolution as the case may be.
(2) If a society in which shares are purchased from the Subsidiary State Partnership Fund is wound up or dissolved neither the Central Government nor the Apex Society shall have any claim against the Central Society which purchased the shares in respect of any loss arising from such purchase ; but the Apex Society shall be entitled to any moneys received by Central Society in liquidation proceedings or on dissolution as the case may Indirect partnership of Central Government in society.
Principal State Partnership Fund.
Subsidiary State Partnership Fund.
Approval of Central Government for purchase of shares.
Liability to be limited in respect of certain share.
Restriction on amount of dividend.
Indemnity of Apex and Central Societies.
be and such money shall be credited to the Principal State Partnership Fund.