(1) Subject to the provisions of the Act and Rules, a member may after giving three months‟ notice to the society and with the sanction of the committee or the general meeting of the society, as the case may be, withdraw from membership of the society and claim refund of share or shares, if he is not directly or indirectly indebted to the society, ei ther as a principal debtor or as a surety:
Provided that such withdrawal or refund is not disallowed under the bye-laws of the society or under as agreement with any other society or the State Government.
(2) The society may withhold refund of the value of s hare or shares under sub-rule (1) t i l l the expiry of two years from the date of withdrawal from membership.
(3) The total refund of share capital of the society in any co - operative year shall not exceed ten percent of the paid up share capital of the society on the last day of the co -operative year immediately preceding:
Provided that this restrict ion shall not apply in the case of a society having no outside l iabil i t ies or in the case of an indebted society, when the permission of i ts credi tors has been obtained.
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(4) The restrict ions contained in sub -rules (1) to (3) shall not apply to the State Government, if i t has subscribed to the share capital of a society, directly or indirectly through any other society, and such share capital shall be retired by the society to the State Government according to the terms of the agreement entered into by the society with the State Gove rnment.
17-A. Adjustment of share towards payment of debt etc. — A society, with a view to make a member or past member or deceased m ember debt free, may with the prior approval of the Registrar adjust the share of such member or his heir in or towards payment of any demand :
Provided that such adjustment shall be made by the society when so directed by the State Government:
Provided further that at least one share shall be left unadjusted to enable the member to continue hi s membership with the society.
18. (Omitted)