(1) Every registered society shall be liable to inspection at any time by the Registrar or any person authorised by him by general or special order and by any affiliating society if so provided in its bye-laws.
(2) An inspection of a registered society snail also be made by the Registrar or any person authorised by him in this behalf by an order in writing at any time on the application of a creditor of a registered society :
Provided that no inspection shall be made under sub-section unless - (I) the creditor deposits with the Registrar such sum as security for the cost of the proposed inspection as the Registrar may require ; and (II) the creditor satisfies the Registrar that the alleged debt is a sum then due and that he has demanded payment thereof and has not received satisfactory response within a reasonable tim e:
Provided further that no inspection shall be conducted under this sub-section without giving the society an opportunity of being heard.
The result of an inspection under this section shall be communicated to the society and if held at the instance of a creditor, to the creditor.
411THE ASSAM GAZETTE, EXTRAORDINARY, FEBRUARY 4, 2012
(3) (a) A financing bank shall have the right to inspect the books of any cooperative society which has either applied to the bank for financial assistance or is indebted to the bank on account of financial assistance granted earlier;
(b) the inspection may be carried out by an officer or any other member of the paid staff of financing bank.
(c) the officer or any other member of the paid staff of the financing bank undertaking such inspection, shall at all reasonable time have access to the books of account, documents, securities, cash and other properties belonging to or in the custody of the cooperative society for inspection by him. Such information, statements and returns as may be required by him to assess the financial conditions of the society and the safety of the financial assistance to be made to the society or already made to it.
(4) The cooperative society concerned shall on receipt of the report, place it before the next . Annual General Meeting or Special Annual General Meeting with action taken report and to take such action thereon as the General body may think fit which may include removal of all or any directors or any other action on employee as required.
(5) A copy of the report shall be supplied to any member on requisition and on payment of fees to be determined by the Registrar.
COST OF INQUIRY AND INSPECTION