(1) The Registrar shall classify all societies into one or other of the classes of societies defined in section 2 of this Act and also into such subclasses thereof as may be prescribed.
(2) The Registrar may, for reasons to be recorded in writing, alter the classification of a society from one class of society to another, or from one sub-class thereof to another and may, in the interest of the co-operative movement and on such terms and conditions as he may think fit to impose, allow any society so classified to undertake the activities of a society belonging to another class.
(3) A list of all societies so classified shall be published by the Registrar every three years in such manner as the Government may, from time to time, direct.
26 [10A. Bye-laws of Co-operative Society.— (1) Every Co-operative Society may make it’s bye-laws in accordance with the provisions of this Act and the rules made thereunder.
(2) In particular and without prejudice to the generality of the foregoing provision, such bye-laws may provide for all or any of the following matters, namely:—
(a) the name, address and area of operation of the society;
(b) the objects of the society;
(c) the services to be provided to its members;
(d) the eligibility for obtaining membership;
(e) the procedure for obtaining membership;
(f) the conditions for continuing as member;
(g) the procedure for withdrawal of membership;
(h) the transfer of membership;
(i) the procedure for expulsion from membership;
(j) the rights and duties of the members;
(k) the nature and amount of capital of the society;
(l) the manner in which the maximum capital to which a single member can subscribe;
(m) the sources from which the funds may be raised by a society;
(n) the purpose for which the funds may be applied;
(o) the manner of allocation or disbursement of net profits/surplus of society;
(p) the constitution of various reserves;
(q) the manner of convening general meetings and quorum thereof;
(r) the procedure for notice and manner of voting in general body meeting and other meetings;
-9-
(s) the procedure for amending the bye-laws;
(t) the number of elected members of the board not exceeding twenty-one;
(u) the term of office of elected members of a board not exceeding five years;
(v) the qualification and disqualification for member of board of the society;
(w) the procedure for removal of members of the board and for filling of vacancies;
(x) the manner of convening board meetings, its quorum, number of such meetings in a year and venue of such meetings;
(y) the frequency of board meetings;
(z) the powers and functions of the Chief Executive;
(za) the manner of imposing the penalty;
(zb) the appointment, rights and duties of internal auditors and procedure for conducting audit;
(zc) the authorisation of officers to sign documents, operate bank accounts and to institute and defend suits and other legal proceedings on behalf of the society;
(zd) the terms on which a co-operative society may deal with persons other than members;
(ze) the terms on which a co-operative society may associate with other co-operative society;
(zf) the terms on which a co-operative society may deal with organizations other than cooperative societies;
(zg) the procedure and manner for transmission of shares and interest in the name of a nominee in case of death of a member;
(zh) the educational and training programme to be conducted by the co-operative society;
(zi) the principal place and other places of business of the co-operative society;
(zj) the minimum level of services to be used by its members;
(zk) any other matter which may be specified by the Registrar from time to time.]