(1) If any difficulty arises in giving effect to the provisions of this Act, the Government may by order, do any thing not inconsistent with such provisions of this Act for the purpose of removing the difficulties :
Provided that no such order shall be made under this section after the expiry of two years from the commencement of this Act.
(2) Every order under this section shall be laid, as soon as may be after it is made, before the Legislative Assembly of Delhi for ratification.
THE FIRST SCHEDULE [SEE SECTION 2(g)] CO-OPERATIVE PRINCIPLES
1. Voluntary and Open Membership _ Co-operatives are voluntary organisations, open to all persons capable of using their services and willing to accept the responsibilities of membership, without discrimination on basis of gender, social inequality, racial, political ideologies or religious consideration.
2. Democratic Member Control _ Co-operatives are democratic organisations controlled by their members, who actively participate in setting their policies and decision making. Elected representatives of these co-operatives are responsible and accountable to their members.
3. Member's Economic Participation _ Members contribute equitably and control the capital of their Co-operative democratically. At least a part of the surplus arising out of the economic results would be the common property of the co-operatives. The remaining surplus could be utilised benefiting the members in proportion to their share in the Co-operative.
4. Autonomy and Independence _ Co-operatives are autonomous, self-help organisations controlled by their members. If co-operatives enter into agreement with other organisations including Government or raise capital from external sources, they do so on terms that ensure their democratic control by members and maintenance of Co-operative autonomy.
5. Education, Training and Information _ Co-operatives provide education and training to their members, elected representatives and employees so that they can contribute effectively to the development of their Co-operatives. They also make general public, particularly young people and leaders aware of the nature and benefits of co-operation.
6. Co-operation among Co-operatives _ Co-operatives serve their members most effectively and strengthen the co-operative movement by working together through available local, regional, national and international structures.
7. Concern for Community _ While focusing on the needs of their members, co-operatives work for the sustainable development of communities through policies accepted by their members.
Sd/- (P.S. PARMAR) DEPUTY SECRETARY (LAW,JUSTICE & L.A.)
PROVISIONS OF DELHI CO-OFERATIVE SOCIETIES ACT-2003 PRIOR TO AMENDMENTS BEFORE 17-01-2005 I. Under Sec-2(a)
2. Under Sec-9(d)
3. Under Sec-3 I(I)
4. Under Sec-3 1(2)
5. Under Sec-37( I)
6. Under Sec-37(1)
7. Under Sec-37(7)
8. Under Sec-37(I)(b)
9. Under Sec-60(1)
10. Under Sec-71(1) [82] "arbitration councii" means a group of three individuals constituted by the Government for the settlement of disputes under section 71 in accordance with the provisions of this Act;
"and" "ninty days" "ninty days" "persistently makes default" "fails to initiate action for recovery or fails to recover any dues ofa federal co operative society or any financial institution after the finality of award and issue of recovery certificate or after such recovery fails to pay the recovery amount to the federal G)-operative society or the financial institution" "five hundred and fifty days" "Provided further that the supersession of the committee ofa co-operative society shall be made only where the Government has equity of fifty one percentum or more."
"ninty days" "shall" "(a) decide the dispute himself, or
(b) refer it for disposal to arbitration council.
(2) The Government shall constitute as many arbitration councils as may be necessary each consisting of three members incfuding a Chairman. to decide disputes under this section.
(3) (a) For selecting persons for appointment as members of the arbitration council, the Government shall constitute a selection committee as often as may be reqUired which shall consist of the follOWing namely-
(i) PrinCipal Secretary to the Government - Chairman
(ii) Secretary. Law and judicial - Member
(iii) Registrar Co-operative Societies - Member Secretary
(b) The selectian committee shall finalise within a period of thirty days from the date on which the reference is made to it.
(c) The selection committee shall recommend a panel of names for every vacancy referred to it.
(d) All decisions of the selection committee shall be by majority.
(4) The Government shall appoint the member of the arbiU,,'ion council from the names recommended by the selection committee.
(5) The method. manner of selection. appointment of members of the arbitration council. designation of one of the members as Chairperson of such council. their qualifications, terms and conditions of appointment and fee payable to them shall be prescribed by the Government from time to time.
II.
12.
13.
14.
Under Sec-91 Under 5ec-97 Under Sec-105 Under Sec-I 18( I)
(6) The term of members of tile ar!:>itralion council sholl be three years and they sholl hold their office at the pleasure of the Government.
(7) The decision of the arbitration council shalf be taken on the basis of majority.
(8) The Registrar or arbitrolion council will decide the dispute referred within a period of one hundred and (wenty five i"ys anu it' (,,,, '.hpute ;s not decided within the aforesaid period. (he ,'{t:g;strcr (j{ 'J/ bitration council, as the case may be. on a written appiic:JtHJn {rom rllt: parties to the reference and on being satisfied that there were sufficient reasons (or delay, may extend the period upto further period of one hundred and twenty five days, within which the dispute shall be decided.
(9) The Registrar may withdrm'/ any reference transferred under clause
(b) of sub-section (I) and decide it himself or refer the same to another arbitration council for decision.
(10) The Registrar or arbitration council to wham a dispute is referred for decision under this section may. pending the decision of the dispute. make such interlocutory orders as may be deemed necessary in the interest of justice. " "Any person who has acquired property an occupancy right in a co operative housing society thraugh the instrument of power of attorney or agreement for sale shall have the opportunity to became member of the concerned co-operative housing society where the property exists by getting the property converted from leasehold to freehold and on paying the transfer fee to the concerned co-operative housing society along with dues, including the dues of the apex or financial institution. if any :
Provided that a power of attorney holder or purchaser of property through agreement of sale and purchase in a co-operative housing society shall get the said property converted from lease hold to free hold within a period of three hundred and sixty days at the commencement of this Act and all subsequent sales and purchases of such property after the commencement of this Act, the property shall be converted from lease hold to free hold within three hundred and sixty days, failure to do so sholl be deemed to be an offence under section I 18 :
Provided further that any such person can have access to the paid services provided by the committee, namely the use of community hall. swimming pool or any other common facilities available to the members or the use of common parking spaces provided by the co-operative housing society only in the event of his becoming member as aforesaid and the transfer fee for becoming member sholl be ten thousand rupees or as may be revised by the Registrar from time to time."
"Notwithstanding anything to the contrary contained in this Act. the Registrar shall make an order for winding up of a co-operative bank. if so required by the Reserve Bonk."
"Arbitration council" "( I) It shall be on offence under this Act. if-
(a) the committee. an officer. employee or any member of the co-operative society wilfully makes a false return or furnishes false information relating to the affairs of the co-operative s,?ciety under this Act;
(b) the committee. its officers or employees falSify or tamper with the records of the co-operative society:
(c) the committee fails to ho!:1 annual general body meeting under sub section (I) of section 3 I or fails to send returns to the Registrar after the meeting under section 32:
[83] •
15. Under Sec-I33( I)
16. Under Sec-137(zl)
17. Under Sec-137(zrn) [84]
(d) committee foils to act on a requisition for holding special general body meeting under sub-section (2) of section 33;
(e) the outgoing committee does not hand over the records to the newly elected committee or administrator or the liquidator under sub-section (2) of section 38;
en the committee or any of its officials fail to comply with the directions given under section 42 or section 138;
(g) any person acts in contravention of section 44 or section 45 or sub section (2) of section 66 or section 67 or section 68 or sub-section (8) of section 92;
(h) if any allotment of plot or" flat is made in contravention of provisions of sub-section (I) of section 77;
(i) an officer, or an employee of the co-operative society including the paid secretary, dishonesty or fraudulently mis-appropriates or otherwise converts for his own use or intentionally causes loss to the praperty of the co-operative society entrusted to him or under his control as such officer or employee or allows any other person so to do;
(j) an officer or an employee of the co-operative society is or proved to have been in possession of any pro-perty of the co-operative society reasonably suspected to have been stolen or unlawfully obtained;
(k) any officer or employee abets any offence punishable under this Act whether or not that offence is committed in consequence of that abetment;
(/) if the committee fails to initiate action against the defaulter member for recovery of dues of the apex or any other financing institution after the finality of the award or after recovery of such dues, fails to pay the recovered amount to the apex or the financial institution;
(m) on failure to convert the property to freehold by a power of attorney holder or purchaser of property on agreement to sell within a period of three hundred and sixty days the under provisions of section 91;
(n) on failure of the committee of a co-operative housing society to complete construction of its housing praject within time limit fixed under sub-section (I) of section 92.
(2) An offence under clause (a) of sub-section (I) shall be punishable with fine which may extend to fifty thousand rupees.
(3) An offence under any of the clauses (b) to (n) of sub-section (I) shall be punishable with imprisonment for a term which may extend to seven years and with fine which may extend to fifty thousand rupees or the both.
(4) On conviction, a member of the co-operative society shall be debarred from contesting election of a committee for a period of six years.
(5) The period of limitation for taking cognizance of the offence under this section shall be three years from the date of the offence."
"Arbitration council" "Arbitration council" "Arbitration council" !'nOVISIONS OF DELHI CO-OPERATIVE SOCIETIES ACT-2003 PRIOR TO AMENDMENTS BEFORE 13-01-2007 I.
2.
3.
4.
5.
6.
Unde,' Sec-35( I) Under Sec-60( I) Under Sec-77(1) Under 5ec-79(a) Under 5ec-91 Under 5ec-92(6) The superintendence, direction and control of the preparation of the electoral rolls for, and the conduct of elections of the members of the committee of. a co-operative society shall be vested in the committee.
Provided that the entire process of election will be conducted by a Returning Officer to be appOinted by the Government who shall be not below the rank ofa Gazetted Officer.'
co-operative society shall get its accounts audited annually by an auditor selected from the panel prepared by the Registrar in the prescribed manner within the period ofninety days' from the cfose ofco-operative year.
Allotment ofplots of land, flats, houses or other dwelling units shall be made by the committee ofa co-operative housing society to the members strictly on the basis of draw oflots only in respect ofsuch members whose enrolment as a member ofa co· operative housing society is found proper in accordance with the provisions ofthis Act, rules framed thereunder and the bye-laws ofthe co-operative housing society by the Registrar and such a draw of lot shall be conducted by the lessor of the land in accordance with the terms and tonditions of lease.
the previous permission of the co-operative housing society has been obtained by the transferor by paying the transfer fee;
Any person who has acqUired property on occupancy right in a co-operative housing society through the instrument ofpower ofattorney or agreement for sale shallhave the opportunity to become memberofthe concernedco-operative housing society where the property exists by getting the property converted from leasehold to freehold and on paying the transfer fee of ten thausand rupees or such amount as may be determined by the Registrar from time to time to the concerned co-operative housing society along with dues, incfuding the dues ofthe apex or financial institution, ifany:
Provided that the member who has sold his plot or flat on power ofattorney or agreemer.t for sale shall have no voting right in the affairs of the co operative housing society, however, the power of attorney holder shall . acquire voting right only after getting the property converted into freehold:
Provided further that any such person can have access to the paid services, namely, the use of community hall, swimming pool or any other common facilities available to the members or the use of common parking spaces provided by the co-operative housing society only after becoming a nominal member of the co-operative housing society as per its bye-laws and after paying a nominal membership fee oftwo hundred rupees to the co-operative housing society: .
Provided also thot the committee ofco-operative housing society shall issue 'no objection certificate' to the general power of attorney holder on his application required for submission to get the property converted to free hold from the lessor, within the period of thirty days ofits receipt, after ensuring that there are no dues outstanding against the member or general power ofattorney holder in the records ofthe co-operative housing society.'
All proposals as above, shall be approved by the general body in a meeting by a majority ofnot less then two-thirds of the total membership of the co-operative housing society.
[85]
7.
8.
Under Sec-96( I) Under Sec-139 Where the Registrar has reason to believe that a co-operative society -
(a) has not commenced business within seven hundred seventy five days after the date shown on its certificate of registration; or
(b) has not carried on business for two consecutive co-operative years;
2(ii) receives a reply from the co-operative society that it is not carrying on business; or Any member or creditor having interest in the affairs of the co-operative society may seek ;nformation relating to any transaction of the co-operative society and for that purpose may be provided a certified copy ofany document within thirty days (rom the dote of receipt of application relating to such transaction on payment a( such fee as may be specified.
PROVISIONS OF DELHI CO-OPERATIVE SOCIETIES ACT-2003 PRIOR TO AMENDMENTS BEFORE 29-C!~-:LO12
9.
[86] Under Sec-35( I0) -Icc) where the total amount af issued equity share capital held by the Government is sixty per cent or more of the total issued share capital or the Government has given loan or made advances to the co-operative society or guaranteed the repayment ofprincipal and payment ofinterest on debentures or bonds issued by the co-operative society or guaranteed the payment of principa{ and payment of interest on loan and advances to the co-operative society in amaunt not less than sixty percent in the aggregate of the total amount so borrowed by the co-operative society. three-fourth ofmembers of the committee including the Chairman;
Provided that the right once accrued under this clause shall continue until the percentage o( the amount in respect o( share contribution or guaranteed loan goes down to less than fifty per cent;'
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