Bihar Cooperative Societies Rules, 1959
1. Title Title and Definitions
2. Definitions Registration of Societies
3. Application for registration
4. Procedure of registration
5. Preliminary general meeting (deleted)
6. Registered address Admission to Membership
7. Admission to membership
8. Eligibility for membership
9. Cessation of membership 1 0. Exception to admission as member
11. Re-admission of expelled members Limit of Membership and Shares
12. Limit to membership and shares 1 3. Restriction of the holding of shares by a member Resignation and Expulsion
14. Resignation and Expulsion Bye- laws of Societies 1 5. Bye- laws of societies
16. Amendment of Bye- laws 1 7. Registration of Amendment of Bye-Laws
18. Certified copy of Amendment of be sent in form VIII
19. Name of society to be Changed by amendment General meeting
20. General meeting
21. Procedure and general meeting Election
21.A Election of the members of the managing Committee 21 .B Power to organize election 21 .0 Dates of the election to be fixed by the Registrar 21 .D Appointment of Election Officer and an Alternate Officer 21 .E Render of Assistance to the Election Officer
21.F Appointment of Polling officers 21 .G Polling officers appointed not concerned with the management and administration of Societies 21 .H Preliminary meeting to elect the delegate 21 .1 Submission of the list of members to the election Officer 21 .J Display of list on the notice- board 21 .K Special General Meeting
21. L Proper service of the notice
21.M Date to be fixed for filling of nomination etc
21. N Disqualification for filling nomination
21. 0 Option to retain only one seat
21. P Unanimous election
21. P Unanimous election 21 .0 Election on the basis for valid nomination
21. R ldentifCat1On of voters
21. S BaUot- Paper
21. T Interruption of the election proceeding at the Polling Station
21. U Counting of votes 21 .V Determination of amount of expenses for holding election 21 .W To assist the Registrar in discharge of election duties 21 .X Dispute relating to Election State Government decisions Managing Committee
22. Managing Committee
23. Election to Managing Committee
24. Member not to hold office
25. Disabilities of members
26. Constitution of SubCommittees
27. Procedure at committee meeting
28. Holding of Meeting
29.
Powers and duties of the Managing Committee
30. Procedure when society is superseded
31. Honorarium to members
32. Rules of business
33. Appointment of paid employees
34. Deputation of Government officers
35. Imposition of fine Change of Liability, Amalgamation and Division of Societies
36. Change of liability
37. Division of societies
38. voluntary amalgamation of societies
39. Compulsory amalgamation of societies Raising of Funds
40. Borrowing
41. Loans of members
42. Salary earner's Society Investment and deposits
43. Investment and Deposits
44. Investment of fund (50 per cent)
45.
Constitution of a Compulsory Deposit Fund
56. Rebate allowable to members
57. Reserve fund
48. Availability of reserve fund
49. Bad debt fund
50. Ref Lind of share money and transfer of shares
50. A Reduction of share capital
51. Nomination by member
52. Value of shares Deceased Member's Interest
53. Disposal of unclaimed shares
54. Registers of members and shares
55. Account books, registers and forms
56. Returns and repotS Audit and Accounts
57. Audit
58. Statement of accounts and balance sheets
59. Audit of Wound up societies
60. Payment of Audit fee Copies of entries
61. Certifying copies of entries Custody and preservation of records
62. Custody of account books and registers
63. Preservation of records Liquidation
64. Appointment or removal of liquidator and payment of remuneration to him
65. Procedure Appeal and Revision
66. Appeal and Revision
67. Sanction for appeal Disputes: Arbitration
68. Disputes : arbitration
69. Reference to District Judge Service of Summons or notice
70. Service of summons or notice Requisition for dues
71. Certificate Proceedings
72. Procedure at meeting Creditor's Meetings Miscellaneous
73. Power to attend meetings
74. Seizure of records
75. Contribution to Cooperative Conferences
76. Registrar's Power of Condo nation
77. Savings The Bihar Cooperative Societies Rules, 1959 NOTIFICATION No. B/Act-04159 — 7661 the lOs" June, 1959.- In exercise of the powers conferred by section 66 of the Bihar and Orissa Cooperative Societies Act, 1 935 (B.& 0. Act VI of 1935), the Governor of Bihar is pleased to make the following amendments in the rules, the same having been previously published in the Bihar Gazette, Dated the 17' July 1957, as required by sub-section (3) of the said section of Act.
AMENDMENTS.
THE BIHAR COOPERATIVE SOCIETIES RULES, 1959 In exercise of the powers conferred by section 66 of the Bihar and Orissa Cooperative Societies Act. 1935 (B.& 0. Act VI of 1935), and in supersession of all previous rules made under the said section, the Governor of Bihar is pleased to make the following rules, the same having been previously published as required by sub-section (3) of the said section.
RULES.
Title and Definitions.
1. Title. —These rules may be called the Bihar Cooperative Societies Rules.
1959.
2. Definitions. — In these rules unless there is anything repugnant in the subject of context. —
(i) the Act" means the Bihar and Orissa Cooperative Societies Act.
1935 ( B.& 0. Act Vi or 1935):
(ii) "affiliating society" means a registered society of which another registered society is a member; and "affiliated society" means a registered society which is a member of an affiliating society;
(iii) "cooperative year" means a year beginning with the 1 July and ending on the 301h June;
(iv) "borrowed capital" means the total of loans, deposits and other borrowings;
(v) "owned capital" means the total of paid up share capital, reserve and other funds created out of profits:
(vi) "working capital" means the total of "borrowed capital" and "owned Capital";
(vii) "form" means a form included in the Schedule to these rules; and
(viii) "section" means a section of the Act;
(ix) "Apex Society" means-
(a) a society whose area of operation covers the whole of Bihar and which has any other cooperative society and if the Bye laws so provide, individuals as its members, or
(b) any other cooperative federation having in its area of operation the whole of Bihar and which has been declared as Apex Society by the Registrar of Cooperative Societies.
(x) 'state Level Society' means —
(a) a society whose area of operation covers the whole of Bihar and whose members are individuals only, or
(b) any other Society declared as State level Society by the Registrar of Cooperative Societies;
(xi) 'Central Society" means —
(a) a Cooperative Society which has any other Cooperative Society and if the Bye-laws so provide, individuals as its members, provided that it does not come under the category of a primary society an Apex Society or a State Level society, or (b) a Cooperative Society which is declared as a Central Society by the Registrar of Cooperative Societies; (Xii) "Candidate" means a voter eligible to seek election- (a) as Delegate, and/or
(b) Member of the Managing Committee, and/or (c) as an office- bearer of Cooperative Society.
(xiii) 'Delegate means delegate of members of delegate of a society, as the context requires.
(xiv) "Delegate of members" means an individual elected in accordance with these Rules in the Preliminary Meeting of a Cooperative Society to participate in the General Meeting of the Society; (Xv) "Delegate of Society" means an individual elected in accordance with these rules in Genera! Meeting of a Cooperative Society to represent it another Cooperative Society of which such Society is a member;
(xvi) "Election" means election, in accordance with these Rules for
(a) Delegate,
(b) Members of the Managing Committee and/ or
(c) Office-bearers of a Cooperative Society; (Xvii) "Election Officer" means an Officer entrusted in these Rules with the responsibilities of conducting election of a Cooporaiv0 Society and shall include Alternate Election Officer, Assistant Election Officer and Assistant Alternate Election Officer;
(xviii) "Polling Officer" means a person appointed by the Election Officer to assist him in conducting election any polling station;
(xix) "Voter" means a person entitled under these Rules to vote for the election of a Delegate/ Delegates, the members of the Managing Committee and the Office-bearers thereof and whose name occurs in the final voters' list;
(xx) "Voters list" means
(a) in the case of elections in a society in which members of the society directly participate in its General Meeting, the list of such members;
(b) in other cases, the list of delegates of individual members, if any, for the Preliminary meeting; and
(c) the list of delegates for the general Meeting, as published by the Election Officer;
(Xxi) "Preliminary Meeting" means a meeting held in accordance with these Rules to elect delegates or members; (Xxii) "Chief Executive" means an Officer of the society, who has ultimate control over day-today managem of the society; (xxiii) "district Officer" means Collector/ Deputy Commissioner of a district;
(xxiv) Deputy Development Commissioner means DePuty Development Commissioner of a District;
(xxv) SUbDiVtsi0l Officer' means the Officer notified as such by the State Government;
(xxvi) "OrganiSer means a person who organizes a societY for regtStrati0 (xXV) ffiliating Society" means a society whiCh affiliates some other societies as its member; (Xxviii) Grace Period" means the period prescribed in subsection (9) of section 14 of the Act after the expiry of the term of the members and of the officebearers of the managg committee of a registered society.1
1. Ins, by letter No. 14/ Legal 51/ 16-2829 date 2.9.89 Registration of Society.
3. Application for regiStratb0 — (1) Every application for registration of a society shall be made to the Registrar in form 1.
(2) In addition to the copy of the bye-laws required under subsection (1) of section 9, every such application shall be accompanied by three copies of the bye laws and all the four copies shall be signed by the personS who have signed the application for registration.
(3) Where a Cooperative Society is the applicant the application shall be signed by an officer of the society duly authOrised by a resolution of its anaginQ
(4) In the case of a Cooperative Society with unlimited liability the committee.
application shall also be accompanied by three copies of the statement of propeY and debts of the applicants in form II, signed and verified by them.
(5) Every application for the registration of a cooperative society shalt be s upported by a report in form II of the person by whom the society ha been
4. ProcedUre of regiStrat0m — The Registrar shall examtne every organised.
application for registration of a cooperative society and the bye-laws and other documents com panYing such application and shall satisfy himself -
(a) that the application is in conformity with the Act and these rules; and
(b) that the bye-laws are in conformity with the Act and these rules; and
(2). The Registrar may require any alterations to be made in the application or in the bye-laws in order to secure 00nformity with the Act and these Rules or call for such further information or make such inquiry as he may consider
(3) If the Registrar is satisfied that the bye-laws are not inconsistent with the necessary.
Act and these rules, he may, if he thinks fit, register the society and its bye-laws and grant a certificate of registration in Form IV.
(4) After registration one copy of the bye-laws together with a copy of the statement of propertY and debts in the case of cooperative society with untimted liabtlitY shall be retained in the Registrar's office and one copy bearing the offciat seal of the Registrar shall be returned to the society together with the certificate of regiStrat0n and another copy similarly sealed shall be f o arded for record to the affiliating society to which that society is affiliated or to the society from which t may borrow funds, as the case may be.
2 XXX xx
6. Registered address. — The Registrar shall maintain a register of registered society showing names and addresses of all such societies and all changes made therein.
Admission to Membership
7. Admission to Membership. - 2[ (1) (a) Every person desiring admission to membership of a registered society shall apply in form V.
(b) The Secretary of the Society or any person duly authorised by him in this behalf shall immediately grant a receipt for the application in the form at the foot of form V
(c) In case the Secretary of the Society or any such person as aforesaid does not receive the application or grant a receipt for it, the applicant may submit his application to the Block Development Officer or the Assistant Registrar or Cooperative Societies or the District Cooperative Officer, who shall immediately grant him a receipt for the application in the prescribed form, and shall at once send the same to the society concerned.
(d) The application shall be considered by a Managing Committee of the Society and the decision of the Committee thereon shall be communicated to the applicant within 15 days of receipt of the application and, where the application is rejected, with reasons therefore.
(e) If no decision is communicated to the applicant within the period specified above. It shall be deemed that the application has been accepted and the applicant has been admitted to the membership of the Society.]
(2) A person whose application for admission to membership has been rejected by the managing committee may, within sixty days of the communication of the decision to him appeal to the Registrar whose decision shall be final.
(3) On payment of the admission fee and share money as prescribed in the bye-laws, a member shall be entitled to all the rights and shall be subject to all the liabilities of a member.
8. Eligibility for membership. — No person shall be eligible for admission as a member of a registered society, if he —
(a) is under eighteen years of age;
(b) is a paid employee of the society or of an affiliating society;
(c) is ol unsound mind;
(d) has applied to be adjudged a bankrupt or an insolvent or is an uncertificated bankrupt or an undischarged insolvent, or
(e) has been sentenced for any offence other than an offence of a political character or an offence not involving moral delinquency, such sentence not having been reversed or the offence pardoned.
Provided that this disqualification shall not apply where more than five years have elapsed from the date of the expiration of such sentence.
9. Cessation of membership.- Any member of a registered society shall cease to be a member thereof, if he subsequently incurs any of the disqualificatiOnS specified in rule 8.
10. Exception to admission as member.- No person, who is a member of a registered society, shall be admitted as a member by another registered society of a similar type without the sanction of the Registrar and the Registrar may issue an order directing either society to remove such a person from its membership and the order of the Registrar shall be binding on them.
11. Re-admission of expelled members.- No members of registered society, who has been expelled under the provisions of its bye-laws, shall be eligible for readmission as a member of that society, or for admission as a member of any other registered society, for a period of two years from the date of such expulsion:
Provided that the Registrar may after giving the registered society concerned an opportunity of being heard in special circumstances sanction the readmission or admission within the said period of any such member of the said society or of any other society, as the case may be.
Limit of membership and shares
12. Limit of membership and shares.- Wherever the membership of a registered society is open both to individual and registered society the Registrar may, from time to time, prescribe the proportion of individual members to that of registered societies.
13. No member of a registered Society, other the State Government of any other registered society, shall hold more than one- fifth of the share capital, or shares exceeding 1[then thousand rupees,] whichever is less in value, whether the liability of the society is limited or unlimited:
Provided ttlat the Registrar may relax this limit in case of any registered society or class o registered societies.
Resignation and expulsion
14. Resignation and expulsion.- (1) Any member may resign his membership of a registered society on giving to the managing committee three months notice or such longer notice as may be prescribed in the bye-laws:
Provided that there are no debts due by him to the society and that he is not a surely in respect of any debt to the society:
Provided further that no member of a registered society shall be permitted to resign from the membership of the society before the end of one year from the date of his admission thereto.
(2) A member may be removed or expelled from the membership of a registered society for such cause and in accordance with such procedure as may be prescribed in the bye-laws.
Bye-laws of Societies.
15. Bye-laws of societies.- (1) A registered society shall subject to the provisions of the Act and these rules; make bye-laws in respect of the following among other matters, namely :-
(a) the area of its operation;
(b) the objects of the society and the ways and means of carrying out those objects;
(c) the purpose to which its funds are applicable, the manner in which capital may be raised; and the custody and investment of its funds;
(d) the qualification for admission to membership, the continuance of such membership and the condition of cessation of or expulsion from membership;
(e) the rights and liabilities of members, and the consequences of default in payment of any sum due by a member to the society;
(f) the mode of holding general meetings of the managing of the managing committee or any other committee of the society and the powers and duties which may be exercised and performed by such committee:
(g) the mode of appointment, suspension and removal of the members of the managing committee and of the officer of the society, and the duties and powers of the committee and officer; and
(h) the authorisation of any officer or officer of the society to sigh documents of its behalf.
(2) If the objects of the society include the creation of funds to be lent to members, the society shall also make bye-laws in respect of-
(a) the purposes of which and the security on which loans may be granted:
(b) the maximum liability which the society may incur:
(c) the maximum limit of loan which may be advanced to a member:
(d) the terms and conditions subject to which loans may be granted and extention of time for re-payment.
(e) the maximum rates of interest of lendings, and
(f) the disposal of profits and the maximum dividend payable on paid up share capital.
(3) In case of a registered society having as its objects the purchase.
sale, production of distribution of commodities and such other objects, the society may make bye-laws in respect of the made of conduction the business of purchase, sale and stock-taking.
(4) A registered society may make bye-laws in respect of any other matter incidental to the management of its affairs.
16. Amendment of bye-Iaws- A registered society may by a resolution adopted by majority of two thirds of its members present at a general meeting of which due notice has been given to the members, amend its bye- laws.
17. (1) An application for the registration of an amendment to the byelaws shall be made within three months from the date of the general meeting at which the resolution in respect of the amendment was adopted, to the Registrar in Form VI and shall be accompanied by three certified copies of the resolution.
(2) On Registration of the amendment, the Registrar shall retain one copy in his office, and issue a copy certified by him to the society concerned and another copy similarly certified to the affiliating society, if any, in form VII.
(3) If the Registrar refuses to register an amendment, be shall send a copy of the order of refusal giving reasons thereof to the society concerned.
18. When the Registrar registers an amendment to the bye-law of a registered society under sub-lection (2) of section 26, he shall issue by registered post a copy thereof certified by him to the society concerned and the affiliating society, if any, in Form VIII.
19. The registered name of a society shall not be changed except by an amendment of its bye-laws and the Registrar may require the changed name to be such as he may direct.
General Meeting.
1[20 (1) General Meeting. — The General Meeting of a registered society shall be of the following kinds :-
(a) Preliminary General Meeting.
(b) Annual General Meeting.
(c) Extraordinary General Meeting.
(d) Special General Meeting.
(2) Preliminary General Meeting — (a) Within a period of ninety days from the date of the registration of a Cooperative Society or within such extended period as may be permitted in writing by the Registrar, the society shall hold its first Preliminary General Meeting wherein only such persons, who have signed the application for registration of the society: shall be entitled to participate.
(b) For the purposes of the meeting referred to in clause (a) at least fifteen days notice mentioning the date, time place and agenda of the meeting shall be issued by the Organiser of the Society.
(c) Where the Organiser is not available to convene the meeting or he fails to convene the meeting as aforesaid, it shall be convened by the registrar of any person authorised by him by a general or special order.
(d) At the Preliminary General Meeting the following business shall be transacted in the order given below.
(i) Election of the person to preside over the meeting (election to be held by show of hands.
(ii) Adoption of the registered by-laws.
(iii) Consideration of the statement of accounts since the organisation of the society to the date of the meeting.
(iv) Fixation of maximum liability to be incurred by the society till the annual General Meeting of the society is not held.
(v) Any other matter which may be necessary in view of the bye-law of the society, and
(vi) Constitution of the Managing Committee in accordance with the Act, Rules, and bye-laws of the society.
(e) subject to such instruction as may be issued by the Registrar, the election of the members of the Managing Committee and the Office-bearers of the society shall be conducted by the person presiding the first General Meeting in such manner as may be conducive to fair election and all points of order relating to the election shall be decided by him.
1. subs. By Letter No. 14/legal 51/29 dated 2.9.89
(3) Annual General Meeting — The Managing Committee of a registered society shall within the grace period after the close of the Cooperative year convene the Annual General Meeting at which all items of business as prescribed in the bye-laws of the society except the election of the members of the Managing committee, Officer- bearers thereof and the delegates of the Society, shall be transacted:
Provided that if the audit report is not ready, the consideration of it by the General Meeting and the disposal of profits shall be held over till an extraordinary General Meeting is convened for the said purpose or till the next Annual General Meeting.
(4) Extra-ordinary General Meeting — An Extraordinary General Meeting may be convened at any time by the Managing Committee or on the requisition of one-third of the members of the registered society and in the latter case the Chairman shall call the Extraordinary General Meeting within a month from the date of receipt of the requisition:
Provided that the business of the meeting shall not include election of the members of the Managing Committee, the office-bearers thereof and the delegates of the society.
(5) Special General Meeting — (i) Notwithstanding anything contained in the bye-law of a registered society as to the mode of summoning General Meetings and the object, time and place of such meeting the Registrar, of any person authorised by him or 1[ Conducting Officer notified under Rule 21 B" may at any time, direct the summoning of a special General Meeting of the society in such manner and at such time and place as he max fix 2[ (ii) it shall be incumbent on the chief Executive of the Cooperative Society to convene a Special General Meeting after notice to the members within thirty days of the receipt of the order under clause (i) above failing which the Registrar or the person authorised by him or the conducting officer may summon the meeting after notice to the members of twenty- one days and such meetings shall have all the powers of a special General Meeting convened according to the byelaws of the Cooperative Society" 1[ '(iii) Wherever the bye-law of a Cooperative Society so provide, there shall be a Primary Meeting to elect the delegates to the General Meeting of the Cooperative Society on the date fixed by the Registrar, Cooperative Societies of the concerned Conduction Off icer."]
21. Procedure at general meetings. —(1) (i) The general meeting shall be held at a time, date and place notified in accordance with the bye-laws of the registered society and if a quorum is present, the members present shall unless otherwise provided in the bye-laws elect from among themselves a chairman and a Deputy Chairman of the meeting:
1[ Provided that in case of a society where the Managing Committee has either been superseded under Section 41 of the Act or has ceased to exist under section 14 (5) of the Act, the Administrator shall be the Chairman of the General Meeting and in his absence a person nominated by him shall be the Chairman of the meeting.]
(ii) The general meeting shall exercise all the powers and perform all the duties prescribed for it in the bye-laws.
(2) The Chairman or, in his absence the Deputy Chairman or in the absence of both Chairman and the deputy Chairman, a person elected by the members from among themselves shall preside at the meeting.
(3) Subject to such instructions as may, from time to time be issued by the Registrar, the person presiding at the meeting shall conduct the proceedings in such manner as may be conducive to expeditious and satisfactory disposal of business and shall decide all points of order at the meeting.
(4) Unless otherwise provided in these rules or in the bye-laws the quorum for a general meeting shall be one fifth of the total membership of the society on the date of issue of the notice of the meeting.
(5) If within an hour of the time appointed for the meeting the quorum is not present, the meeting shall stand adjourned to a date not earlier than seven days and not later twenty- one days:
Provided that, if the meeting has been called on a 1[ requisition under rule 20 (4) in shall, in the absence of the quorum within an hour of the appointed time, stand dissolved.
(6) No quorum shall be necessary for an adjourned meeting.
(7) All questions before a general meeting shall e decided by a majority of votes and in the event of equality of votes, the Chairman of the meeting shall have a casting vote.
1 ins, by letter no. 14/ Legal-51 -89-2829 dated 2.9.89
2. Subs. by GSR 1 dated 1.2.1997
(8) Voting by proxy shall not be allowed, but the Registrar may permit this to be done in the case of any particular registered society or class of registered societies.
(9) Voting at a general meeting shall be done by show of hands and only in exceptional case voting by ballot may be resorted to if the Registrar so directs, on his own motion, or on the application filed by the society concerned.
(10) The minutes of proceeding of general meeting shall be recorded in a book to be kept for the purpose and the minutes shall be signed by the person presiding at the meeting.
(11) An appeal shall lie to the Registrar on all matters relating to procedure followed at any general meeting and his decision thereon shall be final.
ELECTION 1[ 21- A. Notwithstanding anything contained in any Rule and Bye-laws of any Cooperative Society, the election of the members of the Managing Committee, off ice bearers thereof and the delegates of the society shall be held in a Special General Meeting in accordance with rule
Provided that the election of the members of the Managing Committee office bearers and the delegates of newly registered Cooperative Society shall be held in the Preliminary General Meeting according to rule 20 (2) (a) to (e)."
[Case- law. - Rules 21- A, 21- H, 21- 0 and 22- I read with Sections 2 (e) and 2 (gg) of Bihar Cooperative Societies Act, 1935- election to the office of Chairman or other office bearers can be held simultaneously along with the election of the members of the Managing committee- this can be clearly inferred from the provisions of Rule 21- o read with form XXIII and section 2 (e) and 2 (gg).
Abhya Nand upadhaya vs. State of Bihar, 1992 (2) PLJR 371.]
21- B. Subject to the general superintendence, direction and control of the Registrar, Cooperative Societies, the power to conduct elections in a Cooperative Society or class or classes of Cooperative Societies shall vest in the following officers, who for this purpose, shall be called conducting Officer
(i) the Registrar, Cooperative Societies, or a officer not below the rank of joint Registrar, Cooperative Societies authorised by him in respect of Apex Societies or class of Cooperative Societies as may be specified by the Registrar;
(ii) The District Officer! Deputy Commissioner of a district or an officer not below the rank of Additional Collector authorised by him in respect of central Cooperative Societies including Central Cooperative Banks;
Provided that if the territorial jurisdiction of a Central Cooperative Society extends beyond the territorial boundary of one district the District Officer/Deputy Commissioner of the District in which headquarters of the Society is situated shall have power to, conduct elections in that society;
Provided further that the Managing Director of Bihar State Cooperative Milk Producers "Federation Ltd., Patna shall have Power to conduct elections in the Milk Producers Cooperative Unions affiliated with the Federation:
Provided also that the Additional! Joint Registrar, Cooperative Societies of the concerned Division shall have power to conduct elections in the Vyapar Mandal Cooperative Societies of that Division:
1. Subs. by G.S.R. 1 dated 1.2.1997
(iii) The Assistant Registrar, Cooperative Societies of the concerned circle in respect of primary Cooperative Societies:
Provided that the Managing Director of Bihar State Cooperative Milk Producers' Federation Ltd., Patna shall have power to conduct elections in the Milk Producers' Cooperative Societies affiliated to Milk Producers' Cooperative Unions and the Bihar State Cooperative Milk Producers' Federation Ltd.
"21- C. (1) The election of a Cooperative Society or class of Cooperative Societies shall be held in a Special General Meeting on such date as may be fixed by the Registrar, Cooperative Societies or the Conducting Officer concerned.
(2) The Conducting Officer concerned shall call a primary Meeting to elect the representatives (delegates) on the date fixed by him, wherever the bye laws of a Cooperative Societies so provide;
(3) The programme of elections shall be fixed by the conducting Officer concerned which shall clearly contain the date, time and place of all stages under rule 21 — "21- D. (1) An Election Officer and an alternate Election Officer shall be appointed by the Conducting Officer concerned.
Provided that no Government servant below the rank of a Cooperative Extension Officer shall be appointed Election Officer of Alternate Election Officer:
Provided further that for the Milk Producers' Cooperative Society, no person shall be appointed Election officer or alternate Election Officer if he is below the rank of Milk Procurement Officer posted in affiliating Milk Producers' Cooperative Unions and Bihar State Cooperative Milk Producers Federation Ltd."
(2) it shall be duty of the Election Officer to hold and conduct elections properly in accordance with these rules. He shall exercise all such powers and perform all such duties as may be necessary for and incidental to the conduct of elections.
(3) Where the Election Officer appointed under sub-rule (1) is unable to attend any stage of the election owing to illness or other unavoidable reasons, the election from the stage at which the Election Officer has left and in such cases every reference to the Election Officer in this rule shall be construed as a reference to the Alternate Election Officer.
21- E. The Managing Committee and every officer of the Cooperative Society concerned shall be bound to render assistance to the Election Officer in the conduct of the election and shall make available to him such information and records of the society as may be required by the Election Officer for the purpose.
1. Subs. by GSR 1 Dated 1.2.1997.
21- F. The Election Officer shall appoint such number of polling Officer as necessary and provide them with ballot boxes, ballot papers, a copy of the final voters list and such other accessories which are necessary for the conduct of election.
21- a The Polling Officer appointed by the Election Officer shall be from amongst the Government servants who are not concerned with the management and administration of the societies.
21- H. (1) Wherever the bye- laws of a Cooperative Society so provide, there shall be 1[ Primary meeting] to elect the delegates to the General Meeting or the society on the date or dates fixed by the authority notified under Rule 21-B:
Provided that the Registrar of Cooperative Societies, notwithstanding any provision in the bye-laws of society, may, after hearing the society, order for holding a 1[ Primary meeting] of the members to elect delegates to the General Meeting of the society, even in case of such societies where the bye- laws do not provide for 1[ Primary meeting].
(2) Notwithstanding anything contained in the bye-laws of a society as to the territorial or other basis of the '[Primary meeting] the Registrar after hearing the society may divide its membership into different groups on territorial or any other rational basis.
(3) The decision of the Registrar under sub-rules (1) and (2) shall be final and binding on the society concerned.
(4) The procedure of election in the 1[ Primary Meeting] of a society shall be the same as in the meeting to elect the members of the Managing Committee office bearers thereof and the delegate of the society as provided in these Rules.
21- I. [ (1) Before the close of Cooperative Year the conducting officer Concerned shall prepare or cause to be prepared a list of societies in which election shall be due in the immediate succeeding Cooperative year."
1[ (2) The concerned society shall submit under its seal and certificate a voter list as on the last day of preceding Cooperative year in triplicate in Form XXIII to the Election Officer on or before 30th April:
Provided that if the society is an affiliating society the voters list of the society shall be submitted under its seal and certificate as on the last day of the preceding Cooperative Year in triplicate in Form XXIII and Form XXIV to the Election Officer on or before 30th April."
(3) If the society fails to prepare and send the 1[ voters list] within the time specified, the Election Officer may himself or through a person authorised by him on this behalf prepare the list.
21.J. (1) The Election officer shall —
(i) Cause the voters list to be displayed on the notice board of the society Concerned and at such other place or places as may be deemed fit;
(ii) Publish or cause to be published on the notice board of the society a general notice fixing the date for filing objections to the voters list and the disposal of the objections by him;
Provided that there shall be a difference of at least seven days between the of Objecti;
date of Publication of the voters list as well as general notice and the date of filing
(iii) After disposal of objections Publish or cause to be Published the final Voters list at such places as specified Under clause (I) (iv) Forward a copy of final voters list to the society concerned Which shall issue notice to the voters for Special General Meeting on its basis.
(2) The Society shall Keep a copy of the final Voters list at the office of the society during office hours for perusal and the copy of Voters list shall be made available on payment of the price fixed by the society."
21.K. (1) The Special General Meeting for the purpose of election in a society shall be held on the date or dates fixed by the conducting officer]
(2) The Society shall give to its members Under ceificate of Posting the notice of the Special General Meeting:
Provided that in case of the society where the 1 Primary Meetingj has taken Primary Meeting. place notice of the meeting shall also be given to the delegates elected in the 1 1((3) The notice shall contain the program of election as fixed the Conducting Officer mentioning the date, time and place of every stage Under Rule
Provided that the notice shall be issued at least fifteen days before the date of nomination and there shall not be gap of less than ten says between the date of filing of nomination and the date of Special General Meeting]. (4) The notice shall also mention the name and address of the Election Officer and the Alternate Election Officer.
(5) A Copy of the notice shall be sent to the Election Officer, if Conducting Officer] and the Registr and the financing institution. 21- L it shall be the duty of the Election Officer to satisfy himself about Society. proper service of the notice and record his certificate on the Notice Book of the "21- M- The Conduction Officer shall fix the date for (a) filing of nominations.
(b) Scrutiny of nomination papers,
(c) Display of the list of nominations.
(d) Filing of objections
(e) Disposal of objection
(f) Display of the list of valid nominations
(g) Withdrawal of nominations.
(h) Display of list of nominations after withdrawal if any, and (i) Allotment of Symbols;
Provided that all stages shall be conducted in the head quaer5 of the society. "] 21-N-
(1) No person shall file nomination paper for election to fill a seat if (i) his name does not appear in the final Voter's list, of (ii) he is otherwise disquajjfj for being elected under the provisions of the Act, Rules or the Bye-laws of the society
1. Subs, by G.S,R 1 date 1.2.1997
(2) propOsal for nominati°n shall be address to the EleCti0fl Officer in the prescribed form. Obecti0n to n omination bY a voter shaU alsO be addressed to
(3) The candidate shall present his nomination to the Election Officer in him. person or through his authored agent and an entry thereof shah be made by the Election Qfficer in the register maiflta for the purpose strictly in ronol0gi0 order and be wiU also 0noW d ge receiPt, if demande provided that the proposer and seconder tO the nomination sha1 be a voter
(4) The Election Officer shall take U scrutinY of nomination papers in other than the candidate himself.
alphabe order Ofl the date specified. The Candidates his proposer or seconder may be present at the time of scrutiny. (5) While 5rutinig the nominatt0n the Election Officer may —
(a) permit any clerical error in the nomination paper in regard to the names or number to be corrected in order to bring them in 00nformity with the Qre5poi entries in the final voters list
(b) Where ce5 Sary direct that any printing error in the said entries may be overlooked
(6) At the time of 5 rutifly the Election Officer shall endorse on such nomination paper the decision regarding acceptance or retection In the case of reecti0n he will record in writing a brief statement of his reasons for such reeCtion The candidate whose nomination is reected may obtain a copy ol the Order of reeCti0n on payment of a lee of rupees live to the Election Office who shall deposit the amount in the 5ociety 0oncerned (7) Application for withdrawal of the nomination shall be made to the Election Officer in person in the prescribed form byhe candidate concerned.
21- 0- If a candidate is elected simUltane0u6 for more than one off ice of thc naginQ Committee and! or members ol the anaging Committee, in that case, he shall have the option to retain one seat only and shall vacate the maining seats of the concerned 5 o ciety in writing to the Election Officer within 24 hours of the publication of the result of the election and such seat vacated bY such candidate shall be filled in by the next candidate 5ecuring the next highest vote provided that if the option is not exercised by such candidate within the time prescribed the Election Officer shall exercise his discretion and declare such seat to have been vacated by the said candidate. 21- p- (1) Where the number of valid nominations for any seat does not exceed the number of seats to be tilled, the candidates for whom valid nomination have been received shall be deemed to have been duly elected to till such seatL) 1 provide that the declaration of results of such elections also shall be made in the Special General eeting the minutes of the Special general Meeting
(2) It no valid nominations are received for any one more seats, such seat shall also be recorded\ shall be filled by CooPti0n from amO ngSt the members of the 5ociety provided that if the valid nomination is not received for the post of delegates representatives of the societies then such posts also shall be filled by cooPti0n by the aflaging Committee from mo ng5t the members of the 50ciety
1. SubS. by G.SB- 1 Dated 1.2.1997 21-0- If the number of valid nominations for any seat exceeds the number of the seats there shall be an election) 1
Provided that whether the elections are uncontested or contested, in both the cases the declaration of elections results shall be made in the Special General Meeting and the minutes of the meeting shall be recorded in which results of the elections shall be mentioned.]
21-R- The Election Officer may make such arrangements as he may deem necessary to ensure identification of the voters and to prevent impersonation.
21-S- if the number 1[ (1) Every voter shall be given a ballot paper, containing names of contesting candidates arranged in Hindi in alphabetical order alongwith their election symbol against their nanies. The voter shall mark "Z" on the election symbol of the contesting candidate in whose favour he desires to cast his vote.]
(2) The ballot paper shall be serially numbered and shall also bear the seal of the society and initial of the Election Officer or the polling Officer of the concerned Polling station.
(3) The voting shall be by secret ballot. The Voter shall put a cross nark (x) against the name of the candidate for whom he casts his vote and thereafter he shall put the ballot paper into the ballot box.
(4) Every vote shall have as many votes as there are seats to be filled in but no voter shall give more than one vote to any one candidate.
(5) Any contesting candidate or his authorised agent may challenge the identity of the voter before the issue of the ballot paper on paper on payment of a fee of rupee one for each challenge.
(6) The election Officer shall make summery enquiry of the challenge and if after such enquiry he is of the opinion that the challenge in not established he shall give to such voter a ballot paper.
(7) if a person representing himself to be a particular voter named in the final voter's list applies for a ballot paper after another person has already voted as such voter, he shall, on satisfying his identify to the Election Officer, be supplied with a ballot paper which shall be endorsed on the back with the word 'tendered ballot paper' by the Election Officer in his own handwriting and signed by him.
(8) Every such person shall before being supplied with a tendered ballot paper, sign his name of affix his thumb impression if he is illiterate, against the entry relating to him in list to 'tendered ballot papers'.
(9) On receipt of ballot paper under sub-rule (7), the person shall record his vote on the tendered ballot paper by putting a cross mark (x) against the name of candidate for whom he wants to vote and hand over the tendered ballot paper to the Election Officer who shall forthwith place it in a cover specially kept for the purpose.
21-T- (1) If an election, the proceedings at any polling station are interrupted or obstructed by any riot or violence, or is not possible to take the poll at any polling station/booth on account of any natural calamity, or any other sufficient cause, the Polling Officer for such polling station! booth shall announce an adjournment of the poll to a date to be notified later.
(2) Whenever a poll is adjourned under sub-rule (1) The Election Officer shall immediately report the circumstances to 1[ Conduction officer.] appoint the day on which the poll shall recommence and fix the polling station! booth at which, and the hours during which, the poll will be taken and shall not count the votes, cast at such election unit such adjourned poll shall have been completed:
(3) In every such case as aforesaid, the Election officer shall notify in such manner as the 1[ Conduction officer] may direct, the date, place and hours of poling fixed under sub-rule (2).
1. Subs. by G.S.A. 1 dated 1.2.1997.
(3) If at any election-
(a) any ballot box used at a polling station! booth is unlawfully, taken out of the custody of the polling officer or is accidentally or intentionally destroyed or lost, or is damaged or tampered with, to such an extent, that the result of the poll at that polling station! booth cannot be ascertained, or
(b) any such error or irregularity in procedure as is likely to vitiate the poll is committed at polling station! booth the polling officer shall forthwith report the matter to the Election Officer and to 1[ Conduction Officer] 21-U (1) The counting of Votes will take place immediately after the close of the poll and in case it is not possible to count votes immediately after the close of the poll, the ballot boxes shall be sealed by the Election Officer and kept in the safe custody. The candidate or his agent, if he so desires, may also affix his seal.
In that case the counting of votes shall take place on the day and the place and hour appointed by the Election Officer in that behalf.
(2) A ballot paper shall be rejected it- (I) It hears any signature to identity the voter,
(ii) It does not bear the seal of the society and initials of the Election Officer /Polling Officer of the concerned polling station/both,
(iii) it contains no marks indicating a vote,
(iv) it contains no marks than the number of seats to be filled or
(v) it is so damaged or mutilated that its identity as a genuine ballot paper cannot be established
(3) It a ballot paper contains mark or marks for a candidate or candidates in such a manner that it is not clear as to which of the candidates the voter has cast his vote for it shall be rejected:
Provided that a ballot paper shall not be rejected only on the ground that the nark indicating the vote is indistinct of more than once, if the intention that the vote has been cast for a particular candidate, clearly appears from the way the paper is marked.
(4) The Election Officer shall declare the result of election as soon as the counting is completed indicating the number of votes secured by each candidate and shall also furnish a certificate in writing under his seal and signature to the successful candidate and 1 [Conduction Officer]
1. Subs. by G.S.A 1 Dated 1.2.1997
(5) In the event of equality of votes, the matter shall be decided by draw of lots by Election Officer.
(6) The Election Officer shall display the list of elected candidates on the notice board of the society and also at such public place as he may deem fit.
(7) A copy of the list prepared under sub-rule (6) shall be sent to the concerned officer of the Cooperative Department.
1[ Conducting Officer] and also to the Chief Executive of the society concerned.
(8) Used ballot papers and other records pertaining to the election shall be put in a cover or container and shall be sealed by the Election Officer/Polling Officer. Any candidate may also affix his seal thereon, if he so desires. The cover or container so sealed shall be entrusted by the Election Officer/Polling Officer to the Chief Executive of the society who shall acknowledge the receipt and be responsible for its safe custody for twelve months or till such time as the Registrar directs.
21-V. (1) The amount of expenses for holding election in a Cooperative Society or a class or classes of Cooperative Society shall be determined by 1[ Conducting Officer] by special or general order and the same shall be payable by the society from its fund.
Provided that no. T.A./ D.A. for Election Officer/Polling Officer and other persons connected with the conduct of elections shall be payable from the funds of the society.
(2) The Chief Executive of the society concerned shall no the direction of 1 Conducting Officer] make payment in respect of expenditure incurred in connection with the election of the society.
21-W- The State Government shall appoint an Additional Registrar of Cooperative Societies and such other officers as it may deem necessary to aid and assist the Registrar of C000perative societies in the discharge of his duties with regard to the election in Cooperative Societies.
21-X- Any dispute relating to election of a Cooperative Society may be raised within 30 days from the date of declaration of the result and such dispute shall be decided under section 48 of the Bihar Cooperative Society Act. 1935.]
1. Subs. byG.S.R. 1 dated 1.2.1997 'I'r1l cj :- 1ct,I 11I1?1Lii TT J ifiR l ___ 1N 1Ic fi1Ic1c.t 3lII1cb f11-9 c ci'11't fff1f f fl4 -1 fR1 1T 4)1 S1TEF1T9 fT TW I TTTC.T9 fTF 1989 34] I ñ]9 ff41T7 fTrIjI fCIZ1-i ~fffl cf') qJ)j7 sl iici 914]T nu1 nft ftErzi fim cb1 T t I fiti.-t .-i fpf * frfif ift tT c,lcbc1Iq if iRccj jft ict, ft fITci ft3 1E(bl rrfItfn 9 f1ft 1itci . t '.rit I 311Tl1d'cl I ci cb c4 I f c qTfz1f i tIIcI cbl.II 'jll1I - Lcj, ?t -i{1?ii Ric jj F1I ITt tJ,lICl 30 'L 1989 LIc 1 tI I iII
(i) jzcIQif i1cpiRzi 1fi fi fTI 21— 3RT I'r4 TR TT T fTT rfzTf 111]'t ff 1tlIc l cblcll TT 3ThZ 1I Tt 3FF1T 1'17T T1I c4T f i c1cf fE 3TtR '15I lc'ic fFT fT I f f fi rrfi i 1w 31iT 1cb T9-TT r1) *ci 3f I1cbIl -ittcicP f5TI
(2) fc1i t El5J f1i ____ fi 21—IT * '1z4Icl JfTW if[ f f€i1i uu fw1zl-f trif'mw (31cck ctI1 ffii1i I fct.j q- 1IqI 31c[ 1czii Tf1T5T ctl E1I 51 fi i fp ffi *1 3l 1cpi'i ificpi/ 3fffI 't1' •ti *i rfTh fc1tfrf rfT/ fct rfi ii I rr ciflcii f11T * ct t1W q t fictci 'i 1b 31Tk I 1CH rfwr TT 1IC{ cc Pi1ki FT IT ifF 'ct,iRii ffipT 1T[fT1 I1 9T viI1fl I
(3) 1cz1-f ftjf ____ fTr-21 3T8T f1I-I fr-tui t1Ic'lct' i'r ft JlIlli 1tlIctcl, ciiRcii frij rfiT i fcjf '1-ii t, f1fffi ITift1 cll 11iui f 11-r 15 1i r ij11 i1TI I dl cI 2TT9 fifi 1TfI I
(4) ic-c1i fi irir F4l'icI j t4 fJC t fiffi (ich tiII bl Ptc1i 't I I -1 'Ci'E f 1 i f 21 —i (2) 3F1R 11 'HT51RdI cT 5 ii4 3TfrfkTR 4'ci' & '1cPI [4 l.c' 3TT 31 I1It ffc fI.1I I 3T1: 31 9lr., 1989 cicb i?1 1c--T t TT F ' I () TrtTi * 1T •ii' iIIfci c I 'ilicil * f tFB I cqkIct 1T/ flIlcl, If?I H1 Tf[ttT i rt/ 'iNc ff?T .j ZI clI&c1cb 3T 2 T *i 31cctIc1 i1iRi ZJ I11IctcP 1ttT 1c4I/ FHT5 I iI11 REr TN q Ct)I1ri1 fii-cn' t fi f1 1-rIT qT5T iii1c 1T R'i 1c1l' I 'd- ItId1 C9J 'lII (IT) 'H1 'ic4 M cIt *i1—i) fi slI1l iiI%' I ZJ 311R i[1?i 'i11 (111'i fl)) * Ii :jf:I1?1 (if1~q 1lc) * f rfrfft * ii'i ici qj, f &l& ifT .
3T1fr1T rf ci &I 1zI1I PIc1-f F1ThT ii H'4l 3T1T *' I
(ti) T—t TTffft?T 1cLllf c JfM rn9 '1) J4I fzp 21 (T) (2) * '.I''cP 1I M1 I cl f1fI/ .I's1 fd41 ii'1 '11Iki 'NcW-I1 I1ctl'1 '1) 31' c4)"-T 31Th PIT/ tff[ *if1 T Ic1 cIkI i1i1 R .Hc1I iRci' I 1cbl1d1F ifv 1iici i qlcl1 i1if 1R cLllU-f 11iT Ic 1I4TEI fiH* TfIf? I
(5) c-qc11 r1 i 3c,II'1 () rnfiri 1c*1I MTLT 1CIZfrf tFfT 11?i ri 3 aITft n M 1cPlIld cl'I I () ITT 1 cb ri'i1?i firi 'FcIc1F 3ITtffL I1 Cb lTt1 ui * frf friffti *T1 I q ct,iIici I
(ii) iI?ii i* 1ik.-i trifThr t't icicicii iiifl * & Fft tR, f Pi1i.i 3fIi Ml'lII1 fTr slIII I llc1cIc1I ci 1It'i t d5Tt * P1T°T * ITT i1fi t lI'-c1 ci, i-il jii1fl ?t afri 4lcicicll i-ii-1 iifl (EJ) i1i1?i T'T cpRkiT 3Tf11T '1c1cIdI 1?I * * f *1 ct '.zciiI ct -ifi1?i ir frtfr 1trr 'ilIi () f1t.i tr1i i iid Z1T9 f jC k1 1— 11 'r 3TfpT -ic1cI1[ * 4)4 i,q, *1'-c1I * 3r11I if cifll[ t{11 I
(6) TIT () f1 I iIIci-i' i'i fTt11 TTT1T fI T &rT 1T cp i * ar - -s11?i * qiqi.w Picicii qTfir ii iiIici 1c1Ic1i 3TfT 11ci I ci F t 31TF11RT it iZ1 c l' iif 3TT f rri I wf ui * f j 3ft : 1iT 3f * &1T HfW15 TT '11 . 3lc fr 3TrIIT f1ui * 1T2T SIT1T 3NT'1T cI fM ?11T -119 Icl - f IR4l' I'i fTfftT f51T '.i1IiT (Tr) a1TrEr iii l cpc1Im mf ir'rT * f fkth r9i Tf W.T1 cbI1) fj f1citi tTtThr ii ff TiT?ThT 3TfT °11 fsIH w z ii-i rii Tr ir ii I '-i'ii TfT T[ icii1cp 1c1l0i i1ci,i'1 T 9FF 3Z 9IT '3IIS4c1 Il I 'tl-II *' lcb 3ki f1tfrf 'ciIc'1{ t11TftTt P1F'TI5 3t 1iI RQ11 M r11TI
(tr) fip- 21 * 31IT 1CtI.I IIcbIt 431 -i thi ii fi z4.jF l &ffTT cb '1I11ic j.iq'1 () fct [fW i[1 1c1cIc1I * -ITT 1'iRi1d T5TT ff c i1f t ftT cbl) 1 '1I9ii cIIe1 fTE 31T9T 2 1I9icb -f IT * 3 .-lI9ic-F * 431 4 o1Il-iIcl.T tR tigRi -ii 5 31IYI?11' i fic-i 6 lE .II1-li4f 431 !OIcI 11 3TfFrr f?IT ilI-iF 70 .1I1Icbl t 119*1I, P-11 8 .lI11icP &fki-i:i q ff ffui I () .1l1.11cf lc1l U 'd'T 11 c1 3ft ci Iit- 21 'I'1'I cI 111c1'i I11 I
(8) m * fjTj 21 T c cb 21 11*cci fT f 'T g iiccii .ii tt 1iT () t1cpi i'i 3Ic '-ii 1c1cI'-i iIcpiR 'f Th1ki fni rrrl I t1T i1Ri f 1ti * ti iiii q ct'iftcir rtr 1c1I-f ifici,i Ptqci ii Pb 3IT \3Iutc1: 'F 1I1TTi l MT TTT 1cPlRctI 11T ffT fHc, cj 9ç9 ifT Ptcci -i 1 f&T cbIRc1I 1i'. q T3TE 'VcIZT9 qilcpi. Ti * R lcPI TT 'dad I (Z4) iiciciciif 1t 1iii 31ic1cP c2.cJTf fic1zH II1cPI't I'F 1 uii1'1 I
(11) fctii rfi ii 3iicict' *iii f li 1c1 IiT f 51Tt PiciIci-i iicpi'1 c f 3'1cp1 ci T1ff.TT i1I1 fli -I1 TIiI1 i1;i c TR 3TTT 1 '1c1I cb ic JT , c 1T 1 cP'II c-ç cPI c1 i11 c4 EI 'cp-{ #5ft 31cll t11I if1?i m lI I (ET) II' kI Hc1) cLJcff jfl4 i1 *iituIteli -i * cPt-lIc1 1~i 3qc'i-T 9 ?I' 11c11 .sI.Icfl0 uii4) tl -tc cc fIci
(g) c,i4p'i f1T *i ciiIiclI - J'T 1I fIT ffI b13r 1—ci'iI iPIRici (-) rzr5 f45/ fiT;H 1cbc1F MH•c1 f)i/ i3,c}c1 1 sii-n 3OO989 db I () Ieii i1cti' i'i 1if T CI4qIçIC MTT MNffIT 31Tcicb , IaTT fr* unu rr i fr frri airin. &r .
ii 31T9W frf 3 Q119 f11ftT t - 31O89 c14'
(ii) *Itficii r1r i'<i fcJtH 11F 2T ct,R.(t, fc119 1TF1 - O31O89 ciclj (T qIIc'lq trifTziwt i— 1 ffrm 1ti
(i) '-1t1lcl-t j1cpi i'i i1 iTT *i1Ri f1Tfft1 ftfi cic4, 'ic.iIfRT TRI TTT 1Pi 4E1 5T fkT - O31O89 ctcb I () i i'.i ic-i -t1 rii cII1I' Th1tt -tU i' 151 IcIfcf ct,I'Ifl 'i1111 ?E2T cII1t1c1 Jd'I Pc1tl'f 'TTFT ?51 t3I1 's1111 O71O89 cicb I
(3) cz (cpj'1 i'i -c-j E1t rftr fTi iIT9T— 171O,89 ?IE15
(i) fc1t.i itrrt ii ic--i tr 3W1ft1 3w-i1ci cl9J ?1TT cb 11L EflT t T11Tt cp'.'-tI 17,1O89 cicp I (T) fczj.-i rfri k1 TINT 31TC[fIRñ TT 4Ic1 - 251O89 I () &fkPi -tcIIcII 11 S4blN1— 261O89 ?T?T5 () 1r19 TTiT kI 111-llcb-i [I CIc'1-I1 t1ZTI ftli c fm fi1T imiI (ci&ii E91 ift1 r PIc11i ifbr 31fkfT 19c1cjc1I— * 1IT RII ullll *) - 261O89 (1Cb I wi (11'1/ 1u1'i 1mIT/ TFdT15 3TT iT1 'iW-iI— 311O89 dcl, I () fCJtlrf cifct,i'1 j'it 4TT .1i9cI tI51 ffE PItiiici— 181189 dcl, I (T) MtT 3IT1RThT cl,' t— 2O1189 dcl, I (T) &RPTI dcl, Ic11TF-f - O51289 dct
(io) ciPcii lm * dq,iR ztl q4iiRui () fr 21 39N tFT i1i1 71W dcbI' -i11 * 1il1cbl 3IcIIc iii Piiti-i m fñti'-i *t1- -i ci.i 'MILc1I WT1 tl'1I T21T 3TThI 3TTT cbj i1.14ci 3Icic4cll f1ct 11T () 1ci1zi-i crir4) 1II Ic4 q /fcti.-f #ç iei ctiRcii fi i1q,iR c4ziiRi t f1TF 3 q,4fl jz çof tiji q q,i'1 PICII MII fTr fMi ru utt: IIclei I, i* ff 3TT *1 t (1l1cP fiiii t fiT1T *icpiRcii IIcbi'1 3ft Wc? *c1' tR 11-icIl4 3TR 1i/ IT 1T1 4c'I{ 3fr '1tlIci-f 't4cI1cl)I'1/ 1Itfrt rf5T i1 P'1 ciftcj *ilL1cfl cl 5I q m 1Ictc1I i1 f i &fzH9 T 14 1II 1'lc1I 1IIc1E ft'ITT * I ('iciiRcii fi *siI 10710 f'iicp 20091989) * fi 'icpi' i11i * cjcpif' 7121T TT i 1:icltM lT f I 9TE5 10710 f9Ict 200989 fTfftt c, -icIl ffliRi-h i TZT—clIRI fTt7T 1I4 *, 1iic &fl 05121989 1c4 *P--l( cp'[ T fki fi i.ii *1 jcbJ1c1I f 1r1 fTrrr HIl 2992, F1Icb 200989, 2993 fIIct 200989. 2994 1'ltcb 200989 IE '-Ufrf ffi cl1!cbI') 1tr ifii ii ziici c*ci t iri I cti.)
cpj.- ci tirfi ciPicci t * &: c llcI M *i IiT R 3Ik10i d-lI tTfl I 3 ctI' i1i1 1'I tjlicI * ffifi zl'u1 * Riicpi '' iI'ici (CPI4 i *r \3Y' ifl'ici tl R i) '-1H1 c1iIcPi cl'Ict T tj,114 ZT19 1c9ill '1 31Ict,c1I tt *1 3cIUlcf Tf ff1ith 31TI 1 312TH STRfk 3I1 PIT 15 C1-1' 30 '1cl 1I t c'Il 30 '1C1' jc I IT *IcPc1I *1 L11 f5% [fIfT 1c1cIc1I— 3T11 T1T I 11'71 3Tqf1 4"1 R tT f c { fMt 15 1 l 30 6tI t 71't 30 1cP' IIc '&I1I '1i1I '-f 1cPI 15 30 lEl' f# fif iii ? S4Rbl T tlUI '-I( PT 71 '.3'1 30 qc I 1TT 171T * I 40 cJT T tT[1 zr Th act, rii ii t Vff9 31IcPc1I1I' 1ct,l' i1ii * tiici frfr fbn i5 ff QrfTft tiRcc.j fT 3U *icl,c11 * I *izllcll t IfEI71 *1 tf5T 311c1 lq,c1I,'1I' F5IT 10710 f -iict 200989 l'l ff1fl7 111—c1II1cPI 1 Rcci c fiz1i i1lc1I *1 -ictuc1T rfi .HcpII:dI ti1I iliiftr fm Ictc1I1' 1lcT dcbl TfTh71 11—dII14l 9T i f lc1d "t tkllcl 31 11I6k 1989 1ct 'ilhll ITI%I ('iciRcii fT1T — '-1'$4I f 231089) Managing Committee.
1[22 (1) Subject to nominations by the State Government and! or the Registrar of such number of members to the Managing Committee as prescribed in the Act, Rules and Bye-laws of a registered society, the Managing Committee of the society shall be constituted:
Provided that the election of the members of the Managing Committee and office- bearers thereof shall be held in accordance with the procedure laid down in Rule 21 — B to 21 — X.
(2) The members of the Managing Committee and the office-bearers shall -be deemed to have taken over charge immediately after the constitution of the Managing Committee:
1[Provided that the Constitution of the Managing Committee shall not be treated as complete unless and until the elected members together with the exofficio members, if any, constitute filed per cent or more of the Managing Corn m ittee.]
(2) The State Government or the Registrar, as the case may be, my nominate all the members of the Managing Committee and the office- bearers thereof on such terms and conditions as may have been prescribed in the byelaws of the society.]
2(23 (1) No person shall be eligible for election to the Managing Committee, if —
(a) he is not a member of the society, or
(b) he is in default to the society in respect of any loan token by him for such period as in prescribed in the bye- laws or in any case for a period exceeding three months or is in default to the society in respect of any other dues or is in default to any other registered society on the date of filing of nomination, or
(c) he has directly or indirectly any interest in any subsisting contract made with the society or in any property sold or purchased by the Society or in any other transaction or the society except in any investment made in or any loan taken from the society, or
(d) a proceeding for surcharge relating to any registered society is pending against him, or
(e) an enquiry relating to any transaction of the registered society to the managing committee of which he seeks election, is pending against him, or i. Subs by leiter No. 14- Legal 51/ 89- 2829 dated 2.9.89
2. Subs by G.S.R. No. 1 dated 1.2.1997
(f) a criminal proceeding relating to any transaction of a registered society is pending against him in which cognizance has been taken.
(2) No delegate! representative of an affiliated society shall be eligible for election to the Managing Committee, if —
(a) the affiliated society is in default to the society in respect of any loan taken by it for such period as in prescribed in the bye-laws or in any case for a period exceeding three months or is in default to the society in respect of any other registered society on the date of filing of nomination, or
(b) he/affiliated society has directly or indirectly any interest in any subsisting contract made with the society or in any property sold or purchased b the society or in any other transaction of the society except in any investment made in, or any loan taken from the society, or
(c) a proceeding for surcharge relating to any registered society is pending against him, or
(d) an enquiry relating to any transaction of the registered society to the Managing Committee of which he seeks election is pending against him, or
(e) a criminal proceeding relating to any transaction of a registered society is pending against him in which cognizance has been taken.]
24. A Member of the managing committee shall cease to hold office, if —
(1) he ceases to be a member of the society, or
(2) he incurs any of the disqualifications mentioned in rule 8 or rule 23.
25. Disabilities of members. — A member shall be disqualified for elections as a representative of the society for any purposes if he suffers from any of the disqualification for election as a member of the managing committee prescribed in rule 23 and a member shall cease to be a representative of the society if, subsequent to his election as such, he becomes subject to any to the disqualifications prescribed in rule 24.
26. The managing Committee may constitute sub - Committees from among its members and may appoint to the sub- committees, persons who are not members of the managing committee whether or not, they are members of the registered society and delegate to the sub- committees any of its powers or functions:
Provided that — a. the person so appointed shall not be entitled to vote b. no member of the registered society shall be appointed who suffers from any of the disqualifications specified in rule 23 and if any such member incurs any of the said disqualifications he shall cease to be on the sub- committee.
27. Procedure at committee meeting. — the business at a meeting of the managing committee of any sub-committee thereof shall be conducted in accordance with the procedure laid down in these rules and the bye- laws of the society.
28. (1) The Secretary or on his failure the Chairman shall convene meeting of the managing committee at least once in three months or as often as may be considered necessary for the transaction of the business of the society:
(2) A notice specifying the time, place and agenda of the meeting shall be circulated among the members.
(3) The proceedings of the meeting shall be recorded in a minute book to be kept for the purpose and shall be signed by all members of the committee present and the names of the members voting for or against any resolution relating to an item of business involving a financial transaction shall also be recorded in that book.
29. The managing committee shall exercise and perform all such powers and duties as are conferred of imposed on it by these rules or the bye-laws of the society or by a resolution passed at a general meeting.
30. Procedure when society is superseded. — The period required to be prescribed under sub- section (3) or section 41 shall be four months from the date of order of the dissolution of the managing committee.
31. Honorarium to members. — The registered society may, with the approval of the Registrar, pay honorarium of amount of pocket expenses to a member for service rendered to the society and any amount paid on his behalf shall be debited to the head ' Establishment Charge."
32. Rules of business — Subject to the rules of business which may from time to time, be prescribed by the State Government, the managing committee of a registered society may frame rules for the guidance of its employees and in particular iii regard to the manner of receipt and disbursement of money, and the custody of books, accounts, securities and the rules of business framed by the society shall come into force on approval by the Registrar.
33. Appointment of paid employees. — (1) The appointment a paid employee in any registered society shall be subject to such condition as to qualification, designation, scale of pay and traveling allowances, furnishing of security, compulsory contribution to provident fund, grant of leave, salary, increment, transfer, punishment, suspension, removal or dismiss
(2) A registered society aggrieved by any order of the Registrar under sub-rule (1) may within sixty days of the receipt of such order, prefer an appeal against the order to the State Government and the decision of the Stat Government thereon shall be final.
1[(3) Any appointment made hereinafter in contravention of the conditions determined by the Registrar under sub-rule (1) shall be void as if no such appointment ever existed and salary and other allowances paid, if any, to such persons shall be recoverable under section 40 of the Act.]
34. Deputation of Government officers- When a Government officer deputed to a registered society, either as a managing director, executive officer or manager, or in some other similar position, he shall be in general control of the administration of the society with power to punish, suspend, remove or dismiss any paid employees of the society, subject to the general direction or the managing committee.
1. Ins. By Letter No. 14/legal 51/89- 2829 dated 2.9.89
35. Imposition of fine.- where the bye-laws of the society empower the managing committee to impose a fine on a member, the fine shall not exceed twenty five rupees and its recovery shall be subject to confirmation by the general meeting.
Provided that if, in the opinion of the managing committee the circumstances of the case justify the imposition of a fine exceeding twenty five rupees, the managing committee shall report the case to the general meeting and if the general meeting decides to impose a fine exceeding twenty five rupees. its decision shall be forwarded to the registrar who may confirm, reduce, or remit the fine.
Change of Liability, Amalgamation and Division of Societies
36. Change of liability.- Subject to the proviso to section 5(1) of the Act a registered society may, by a resolution passed at a general meeting held specially for the purpose, and with the previous sanction of the Registrar change its liability from limited to unlimited or from unlimited, or in the case of a society of limited liability change the extent of such liability.
Provided that-
(i) the society shall give two week's notice in writing to its members and creditors of its intention to change the nature of extent of its liability;
(ii) any member or creditor shall have the option of withdrawing his shares, deposits, or loan, as the case may be, within one month from the date of the general meeting, and the change shall not take effect until all such claims have been satisfied, and
(iii) in the event of the decision to change the nature or extent of the liability being latter reversed, any member or creditor who has withdrawn his share, deposits, or loans, as the case may be, under clause (ii), shall have the right to resume its interest in the society as shareholder, depositor or creditor to the same extent as he had before the withdrawal.
37. Division of societies.- (1) Any registered society may, at a general meeting of the society held for the purpose of which at least seven days notice shall be given to its members, resolve to divide itself into two or more registered societies, the resolution (hereinafter in this rule referred to as preliminary resolution) shall contain proposal for the division of the assets and liabilities of the society among the new societies into which it is proposed to divide it and may prescribe the area of operation of, and specify the members who will constitute, each of the new societies.
(2) A copy of the preliminary resolution shall be sent to all the members and the creditors of the society and notice thereof shall be given to all other persons whose interests may be effected by the division of the society.
(3) Any member of the society may, notwithstanding any bye-law to the contrary, by notice given to the society within a period of one month from the receipt of the preliminary resolution, intimate his intention not to become it member of any or the new societies.
(4) Any creditor of the society may, notwithstanding any agreement to the contrary, by notice given to the society within the said period, intimate his intention to demand a return to the amount due to him.
(5) Any other person whose interests may be affected by the division may, by notice to the society within the said period, object to the division, unless his claim is satisfied.
(6) After the expiry of the month from the receipt of the preliminary resolution by all the members and creditors of the society and or the notice by other persons given under sub-rule (2) of this rule, another general meeting of the society, of which at least fifteen days' notice shall be given to its members, shall be convened for considering the preliminary resolution. If at such meeting, the preliminary resolution is confirmed by a resolution passed by a majority of the members present, either without changes of with such changes as in the opinion of the Registrar are not material, he may, subject to the provisions of sub-rule (9) and rule 4, register the new societies and the bye-laws thereof; and on such registration the registration of the old society shall be deemed to have been cancelled.
(7) The opinion of the Registrar as to whether the changes made in the preliminary resolution are not material shall be final.
(8) At the general meeting referred to in sub-rule (6) provision shall be made by another resolution for-
(i) the payment of the share capital of all the members who have given notice under sub-rule (3)
(ii) the satisfaction of the claims of all creditors who have given notice under sub-rule (4); and
(iv) the satisfaction of the claims of such of the other persons who have given notice under sub-rule (5) for securing their claims in such manner as the Registrar directs;
Provided that no member or creditor or other person shall be entitled to such payments or satisfaction of the claim until the preliminary resolution is confirmed as provided in sub-rule (7)
(9) If within such time as the Registrar considers reasonable the share capital of the member referred to in sub-rule (8) is not repaid or the claims of the creditors or other persons referred to therein are not satisfied or secured, the Registrar may refuse to register the new societies.
(10) On the registration of the new societies, the assets and liabilities of the original society shall vest in the new societies in the manner specified in the preliminary resolution and confirmed under sub-rule (6):
2[Provided that in special circumstances in the interest of cooperative movement in general and a cooperative society or a class of cooperative societies in particular, where the State Government deems it fit and expeditious division of a society or class of societies is necessary, the Government may by special order in writhing exempt a society or a class of societies from the application of any or all of the provisions of sub-rule (9) to 910) of Rule 37 and in such cases the preliminary resolution adopted under rule 37 (1) shall be shall be deemed to be the resolution adequate to effect the division of the societies and for registration of the new society or societies in accordance with Rule 4 emerging from such division. The existing societies so divided shall continue to exist under the same registered number and date with necessary amendments as registered by the Registrar, Cooperative Societies as a result of division.
In the event of such exemption having been ordered by the Government in respect of any society it shall be Incumbent upon the old registered society as well as upon the newly registered societies created by the division to receive notices of objection by any member, creditor or other person affected by the division up to one month from the date of registration of the divided new societies and to satisfy their claim in the proportion based upon the division of their assets and liabilities finalized by the Extraordinary General Meetings of the divided societies called on 15 days notice and as approved by the Registrar Cooperative Societies, whose decision in this regard shall be final.]
1 Added by G.S.R. 80 Dated 26.12.1980
38. Voluntary amalgamation of societies.- (1) Any two or more registered societies may, at a general meeting of each society held for the purpose, of which at least seven days notice has been given to their respective members, resolve to amalgamate as a new society.
(2) A copy of the resolution of each society passed under sup-rule (1) and hereinafter in this rule referred to as the preliminary resolution shall be sent to all the members and creditors thereof.
(3) Any member, and such society may, notwithstanding any bye-law to the contrary, be given to the society of which he is a member within a period of one month from the receipt of the preliminary resolution, intimate his intention not to became a member of the new society.
(4) Any creditor or any such society may, notwithstanding any agreement to the contrary, by notice given to the society of which he is creditor within the said period, intimate his intention to demand a return of the amount due to him.
(5) After the expiry of one month from the receipt of the preliminary resolution by all the members and creditors of all the societies, a joint meeting of the members of such societies of which at least fifteen day's notice shall be given to them, shall be convened for considering the preliminary resolution. If at such meeting, the preliminary resolution is confirmed by a resolution passed by a majority of the me members present, either without changes or with such changes as in the opinion of the Registrar are not material, he may subject to the provision of sub-rule (8) of rule 55 and rule 4, register the mew society and the bye-laws thereof, and, on such registration, the registration of the old societies shall be deemed to have been cancelled.
(6) The opinion of the Registrar as to whether the changes made in preliminary resolution are or are not material shall be final.
(7) At the joint meeting referred to in sub-rule (5), provision shall be made by another resolution for-
(i) the payment of the share capital of all the members who have given notice under sub-rule (3); and
(ii) the satisfaction of the claims of all the creditors who have given notice under sub-rule (4):
Provided that no m ember or creditor shall be entitled to such payment on satisfaction of the claim until the preliminary resolution is confirmed as provided in sub-rule (5)
(8) If within such time as Registrar considers reasonable, the share capital for the members referred to in sub-rule (7) is not repaid or the claims of the creditors referred to creditors referred to therein a not satisfied, the Registrar may refuse to register the mew society.
(9) On the registration of the new society, the assets and liabilitied of the amalgamated societies shall vest in the mew society.
39. Compulsory amalgamation of societies. — (1) If the Registrar is satisfied, after taking into consideration 5the financial position of two or more societies and such other matters relatinitg to the societies as may be proper, that it is in the interest of those societies to be amalgamated into a mew society, he may, by order in writing, require the managing committees of societies concerned to convene general meeting of the share-holders and creditors thereof within six weeks from the date of the order, for the purpose of considering a proposal to amalgamate the societies into a mew society.
(2) If the managing committees fail to call any such meeting for the purpose, or if the decision in any such meeting is against the proposed amalgamation, or no decision is taken at any such meeting the Registrar may on the expiry of six weeks from the date of his order and after satisfying himself that the interest of the creditors has been adequately safeguarded direct that the said societies shall be amalgamated in to a mew society with effect from a date to be specified in the direction.
(3) The Registrar shall, with effect from the said date, register the mew society and on such registration the assets and liabilities on the amalgamated societies shall vest in the new society.
(4) An appeal against on order passed under, sub-rule (1) shall lie, within on month from the date of such order,-
(i) If the order has been passed by any officer exercising the powers of the Registrar, to Registrar;
(ii) if the order has been passed by the Registrar, to the State Government.
(5) No action under sub-rule (2) shall be taken until the disposal of the appeal under sub-rule (4) Raising of funds
40. Borrowing.- A registered society may raise funds for its business by obtaining loan or deposits from the State Government, the financing bank of members or non-members or by issuing bonds or debentures or otherwise in accordance with its bye-laws:
Provided that the acceptance of loans and deposits from member and nonmember shall be subject to such condition as to the maintenance of fluid resources and such restrictions as to the area and on such terms and conditions as to the amount and period of loans and deposits, dates of maturity and refund, rates of interest and notice of withdrawal, as may from time to time, be laid down by the Registrar.
41. Loans of members. —(1) Loans may be granted by registered society to its members only to such extent and for such purposes and on such terms and conditions as are laid sown in the bye-laws and subject to such direction not inconsistent with the bye-laws as may, from time to time, be issued by the Registrar.
(2) If a registered society is sued a requisition on any other registered society for the realization of the loan advanced to any member or the interest thereon, it shall be incumbent on the latter society to deduct the same from any money belonging to such member with the later society after setting of its own dues, if any, against the member.
(3) An application for loan by a member of a registered society shall be in Form IX and shall contain a declaration to the effect that the applicant pledges his property to the society for any debt due or advance to be made to him by the society subsequent to his admission as a member.
Provided that the State Government may exempt any class or classes of society from the operation of this sub-rule.
42. Salary earners society.- (1) In case of a registered society of salary or wage earners, loans may be advanced only on the execution of an authority slip authorizing in Form X the employer to deduct from the members salary or wage the stipulated amount of installment with interest and deductions from the member's salary or wage will continue till the loan has been fully satisfied.
(2) The Society shall within a fortnight of the receipt of the authority slip forward a copy thereof duly certified in the manner specified in rule 61 to employer or the pay disbursing authority concerned for execution of the same.
(3) A member who has executed such authority slip shall, on every occasion he becomes subject to a new employer or pay disbursing authority whether by reason of change of office or place or otherwise, within a week of his becoming so subject, furnish a fresh authority slip to the society:
Provided that the State Government may exempt any class or classes of salary or wage earners from the operation of this rule.
43. Investment and Deposits.- Any funds of a registered society not invested in accordance with section 1 9 of the Act and not required for the business of the society shall be kept in deposit with the central Cooperative Bank of the area or the Bihar State Cooperative Bank or in the local Postal Savings Account.
44. Fifty per cent of the reserved fund of a registered society shall be invested outside the business of the society.
45. A registered society may constitute a compulsory deposit fund, provident fund or welfare fund for the benefit of its members on such conditions and terms as may provided in its bye-law.
46. A registered society may allow rebate to its members on the value or amount of their transactions with the society, subject to such general or special instructions as may, from time to time, be issued by the Registrar.
47. Reserve fund. - At least ten per cent of the met profit of a registered cooperative insurance society and a registered cooperative farming society and at least five per cent of the profit of registered thrift and savings society shall each year be carried to a reserve fund.
48. Subject to the provision of section 18 (2) and the sanctions of the Registrar the reserve fund of a registered society shall be available for any of the purposes specified in the bye-laws of the society.
49. Bad debt fund. — Any registered society may after the amount required by sub-section (1) of section 8 or rule 47, as the case may be, has been carried to the reserve fund, contribute any sum not exceeding ten per cent or its net profits to the bad and doubtful debts' fund:
Provided that the Registrar may permit a registered society, by a general or special order, to contribute a larger percentage of the net profits to such fund.
50. Refund of share money and transfer of shares.- (1) No member of a registered society shall be entitled to transfer his share or interest in the society until he has held the same for a year and while he is indebted to the society.
(2) Share may be transferred with the approval of the managing committee to a member or to a person who has applied for membership and is eligible for admission as member and whom a committee is willing to admit as such and no other transfer shall be permitted.
(3) In the event of the managing committee refusing to admit as member a person nominated by a member as his heir or expelling a member the value of shares held by the member shall be paid to the heir or member concerned, as the case may be subject to the other provision of this rule.
(4) If a person ceases to be a member of a society on any ground other than expulsion or death, the value of the shares held by him shall on the expiry of one year in general from the date on which he cases to be a member be refunded to him or to his heir, as the case may be, subject to adjustment of dues, if any, of the society and no divided shall be payable from the said date but interest may be allowed thereon at a rate not exceeding such rate as may be fixed for saving bank deposits by general meeting.
(5) If a registered society is dissolved, the net value of the share held by it in any other society as ascertained in the manner laid down in rule 25 shall, subject to the provision of section 22, be paid to the liquidator of the society, within a period of three months from the date of dissolution.
1[50-A. — (1) Subject to the provision of the Act and the Rules, a Cooperative Society may reduce its share capital according to the scheme approved by the Registrar and adopted by the general body of the society in a General Meeting. Such a scheme may provide for-
(i) extinguishing or reducing the liability on any of its shares in respect of share capital not paid-up, or
(ii) cancelling any paid-up share capital, or
(iii) paying back any paid-up share capital which is in excess of the need of the society]
(2) The Registrar may direct a cooperative society desiring to reduce its share capital to issue a notice by registered post to every creditor who shall be entitled to object to the proposed reduction within one month from the date of receipt of such notice.
1. Ins. By letter No. 14/ legal 51- 89- 2829 dated 2.9.89
(3) If a creditor does not consent to the proposed reduction of the share capital, the Registrar may dispense with the consent of the creditor, in case the society secures payment of the debt of such creditor or satisfaction of the claim within the time specified by the Registrar.
(4) The Registrar, if satisfied, with respect to any creditor of such society.
Who has object to the reduction, that either his consent to the reduction has been obtained or his debt or claim has been paid or satisfied may make an order approving the reduction on such terms and conditions as the Registrar may think fit.
(5) The resolution for the reduction of share capital of a cooperative society shall take effect from the date on which it is approved by the registrar under sub-rule (4) above
Provided that nothing in sub-rules (1), (2) ,(3),(4) and (5) shall prevent a Cooperative Society from adjusting partially or fully the value of the shares held by an individual member against any amount due from him or from making a refund of the value of shares held by him after the dues of the society against him have been fully satisfied, in accordance with its bye-laws."
51. (1) A member of a society may nominate any person to whom, in the event of his death, his share or interest in the society shall be paid or transferred subject to the provisions of section 22.
(2) a registered society shall keep a register of the nominees of member in such form as may from time to time to be prescribed by the Registrar.
(3) A nomination made by a member shall be in writing and deposited by him with the registered society concerned or shall be made by a declaration recorded in a book kept for the purpose by the society bearing the signature or thumb impression of the member attested by two witnesses.
(4) A nomination made by a member may be revoked or varied by him in writing and another nomination similarly made.
52. Value of shares. - The value of a member's share or interest in a society shall be equal to the sum actually paid by the member to acquire such share or interest
Provided that, if the liabilities of the society exceed its as shown in the latest audited balance-sheet, the value of a member's share shall not exceed the amount which would be receivable by him in respect of such share where the society to be liquidated on the last date of the preceding cooperative year.
Deceased Member's Interest.
53. Disposal of unclaimed shares.- if a member of a registered society dies and it the shares held by him are not disposed of in the manner prescribed in these rule, the society shall transfer the value of such share to a savings bank account.
54. Registers of members and shares- (1) Every registered society shall maintain a register of members showing such particulars as may be specified in these rules or by on order of the Registrar.
(2) A Registered society the liability of the liability of the member of which is limited to the value of shares held by them shall, in addition to the register of members also maintain a register of shares and share-holders in such form as may from time to time be prescribed by the Registrar.
55. Account books, register and forms.- A registered society shall maintain such other books and registers and use such forms and in such manner as may from time to time be prescribed by the Registrar.
56. Returns and reports. - A registered society shall submit to the Registrar and to an affiliating society. If any, such returns and reports, in such form and within such time, as the registrar may from time to time prescribe.
(2) In the event of failure of registered society to submit the prescribed returns and reports within the prescribed time, the Registrar may, by an order in writhing in this behalf, authorize any person to prepare the some and the cost of preparing them shall be recoverable from the society.
Audit and Account
57. Audit.- The audit of a registered society shall be conducted and the audit report drawn up in such manner and submitted to the Registrar and such other authority as may from time to time be prescribed by the Registrar.
(2) The Registrar may revise any statement made in the audit report if, in his opinion, it does not represent the actual position of the working of the society and may order necessary modification to be made therein.
58. Statement of accounts and balance sheets.- (1) (a) The managing committee of a registered society shall prepare such statement of accounts (including balance sheet, profit and loss account and statement of receipts and expenditures) as may from time to time be prescribed by the Registrar and submit the same to Registrar within three months of the close of the cooperative year and also produce it before the auditor.
(b) On the failure of the managing committee to prepare the account as prescribed, the Registrar may get accounts prepared and assess the cost thereof on the society and same shall be realisable from the society as audit fee.
(C) A registered society shall exhibit at its office, its last annual balance sheet as audited and certified by the auditor, as also audit report. The Registrar may direct the publication in the official gazette of the audited balance sheet of a registered society.
59. Audit of wound up societies.- A registered society ordered to be wound up under section 42 shall be audited on the issue of the order for winding up and again before the cancellation of the registration of the society.
60. Payment of the fee.- (1) The Registrar may from time to time determine the rate of audit fee payable by registered society or a class of such societies.
(2) The Registrar may remit in part the audit fee payable by a registered society or class of such societies.
Copies of Entries
61. Certifying copies of entries.- (1) For the purpose of section 59 (1) of the Act. A copy of any entry in any book, register or list maintained by a registered society may be certified by a certificate written at the foot of such copy declaring society, and in the custody of the society. Such certificate shall be signed and dated by the Secretary of the society or by any other officer approved by the Registrar or authorised by its bye-laws and each page of copy so certified shall bear the seal of the society.
(2) Where a registered society has been placed in charge of a liquidator under section 44 of the Act, copies of entries of the nature described in sub-rule
(1) shall be certified in like manner by the liquidator.
(3) The Society or the liquidator may charge a copying fee such rate as may be prescribed by the Registrar from time to time for issue of a certified copy.
Custody and Preservation of Records.
62. Custody of account books and registers.- Unless otherwise provided in its bye-laws or its rules of business approved by the Registrar, the account books, registers and records of a registered society shall be kept in the custody of the secretary or such other officer or paid staff of the society as the managing committee may authorise.
63. Preservation of records. — The books and records of registered society shall be preserved for and destroyed after such period and in such mariner as may, from time to time, be prescribed by the Registrar.
64. Appointment or removal of a liquidator and payment of remuneration to him.- (1) An order under section 42 of the Act directing that a society be wound up and an order under section 44 (1) appointing a liquidator, shall be published in the official gazette and in such other manner as the registrar may direct.
(2) The registrar may appoint any person as liquidator of a registered society in respect of which a winding up order has been passed, and may change the liquidator from time to time.
(3) A liquidator shall on removal be required to hand over all property, books, records and documents relating to the Society to such person as the Registrar may direct.
(4) Liquidator shall receive such remuneration and serve on such terms and conditions as may be determined by the Registrar and the remuneration shall be payable out of the assets of the society in priority to all other claims.
(5) The Registrar may when appointing the liquidator, prescribe the period within which the liquidation proceeding are to close and may extend this period from time to time.
65. Procedure.- (1) The Registrar shall cause a notice to he published requiring all claims against the society to be submitted to the liquidator within one month of the publication of the notice. All liabilities recorded in the accounts books of a society shall thereon be deemed to have been duly notified.
(2) The liquidator shall take immediate possession of all assets of the society and all books, records and other documents relating to the business thereof.
(3) Subject to the approval of the Registrar, the liquidator may appoint staff to assist him in the discharge to his duties.
(4) The liquidator shall have power to convene meeting of the members of the society from time to time.
(5) The liquidator shall maintain such books and accounts as may, from time to time, be prescribed by the Registrar.
(6) In all matters the liquidator shall be subject to the control and supervision of, and be responsible to the Registrar.
(7) The liquidator shall draw up a statement of the assets and liabilities of the society as they stood on the date of the order of winding up.
(8) The liquidator shall proceed to recover the sums due to the society and may, subject to the approval of the Registrar, institute suits for the purpose.
(9) The liquidator shall next determine the contribution to be made to the assets of the society by members, past members and nominees, heirs or legal representatives of deceased members or by any officers or past officer of the society and shall also determine by what person and in what proportion casts of the liquidation are to be borne.
(10) The liquidator shall send all processes issued by him for service to the Collector or Sub divisional Officer concerned, who on receipt thereof, shall proceed as if such processes had been issued by him as a revenue court and shall return the service report to the liquidator.
(11) The liquidator shall Keep a summary of the deposition of witnesses recorded by him and a list of the documents admitted by him as evidence in the liquidation proceedings.
(1 2) The liquidator shall issue a notice in Form no. Xl to the persons concerned demanding the proposed amount of contribution payable by each and, if an objection is filed thereto within on month of the service of the notice he shall hear and decide the objection in a summary manner.
(13) This order which shall be called the contribution order together with all papers connected with it shall be submitted to the Registrar for his approval;
and the Registrar may, if he thinks fit, modify or return it to the liquidator for further inquiry or other action.
(14) When the Registrar has approved of the contribution order the liquidator may file a requisition in respect thereof before the Certificate Officer of the district of subdivision in which the society is situated in the manner provided for the recovery of a public demand under the Bihar and Orissa Public Demands Recovery Act, 1914 (Act IV, 1914).
(15) If the Certificate Officer is unable to recover the sum assessed against any person, the liquidator may from time to time make a fresh contribution order against the said person to the extent of the liability for the debts of the society, until the whole amount due to the society is realized and such fresh order shall be executed in the same manner at the original order.
(16) The liquidator shall maintain a record of the liquidation proceedings as well as an account of all moneys received and all payments made by him.
(17) The decision of the liquidator with regard to a claim against the society, including claim for priority of payment as claimants, shall be subject to the approval or the Registrar and no payment shall be made to any claimant without the general or special sanction of the Registrar. If any liability cannot be discharge by the liquidator owning to the whereabouts of a person entitled to payment being not known, or for any other reason, the amounts representing such undischarged liability shall be deposited in such registered society or bank as may be approved by the Registrar.
(18) The liquidator shall submit to the Registrar such periodical reports and statement showing the progress made in the liquidation proceedings as the Registrar may require.
(19) All funds is charge of the liquidator and all collections made by him shall be deposited with such registered society or banks as may be approved by the Registrar.
(20) (a) If after the recovery of all sums due the society and realization on the contribution and the cost of liquidation from the members, past members and heirs, nominees or legal representatives of deceased members and if after meeting the liquidatdrs of the society there is any surplus left liquidators shall call a meeting of the members. At such meeting the liquidators shall make a statement of the action taken by him in the liquidation proceedings. He shall submit to the Registrar a final report which shall, if there is any surplus left after payment of all liabilities of socie