i) to grant admission to new members and allot shares;
ii) to arrange for procurement and sale of agricultural and allied produce iii) to ensure compliance of suggestions and instructions contained in inspection or audit note relating to the Federation;
iv) to perform any other duties or exercise any other powers which may be assigned to it by the Board of Directors.
28. Administrative Committee-Constitution There shall be an Administrative Committee of the Federation consisting of the five Directors constituted in the following manner:
a) Chairman of the Board of Directors.
b) Registrar, Cooperative Societies Haryana or his nominee.
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d) Two Directors to be appointed by the Board of Directors from amongst other Directors of the Board.
Three members shall form the quorum.
29. Administrative Committee-Powers & Duties The powers and duties of the Administrative Committee shall be:
(i) To administer the Common Cadre Rules and to issue such instructions or directions as may be considered necessary from time to time to give effect or to carry out the provisions of the Common Cadre Rules in force.
(ii) To issue such instructions or directions as may be considered necessary from time to time for regulations and conditions.
30. Managing Director The Managing Director of the Federation shall be appointed by the State Government.
31. The Managing Director of the Federation shall be its Chief Executive Officer and the employees of the Federation shall exercise their powers and perform their duties under his superintendence and control. He shall exercise his powers and perform his duties as under:-
(i) To superintend and control the affairs of the Federation and be responsible for the proper and punctual maintenance of accounts.
ii) To maintain the register of members and share list.
(iii) To refund or transfer the shares of affiliated societies:
(iv) To receive deposits and surplus funds from members and non -members including the public banks, local bodies and public institutions.
(v) To receive money due to the Federation and give receipt thereof.
(vi) To incur expenditure up to the limit authorized by the Board of Directors.
(vii) To pay money due from the institution.
(viii) To invest surplus funds, to discharge, buy, sell and collect interest on govt.
promissory notes and securities on behalf of the Federation.
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(ix) To make investments in Governments/Securities or in other Federation/Corporations/Undertakings.
(x) To make appointment of the staff authorized by the Board of Directors or staff service rules.
32. The instruments executed on behalf of the Federation, except receipts shall bear the signature of such officers of the Federation as may be appointed by the Board of Directors or the Managing Director from time to time.
33 The Board shall provide a common seal for the purpose of the Federation and shall have power from time to time to destroy the same and substitute a new seal In lieu thereof and the Board shall provide for the safe custody of the same for the time being and the seal shall never be used except with the previous authority of the Board of Directors of the Federation.
34. Every deed or document to which the seal of the Federation is required to be affixed, shall be signed by the Managing Director or such other person (s) as may be appointed by the Board in this regard.
35. The Federation shall create a common cadre for its employees in such manner as may be provided in the rules governing the common cadre. The services of the incumbents on the cadre may be lent on deputation to cooperative marketing societies or any other such societies as may be specified in the Rules.
36. The services of employees of the Federation and other societies covered under the Common Cadre Rules shall be governed by the service rules as may be framed, amended or modified by Registrar in consultation with the Board of Directors.
IX. General Body
37. The General Body members of the Federation shall meet from time to time and at least once a year. A meeting of the General Body shall be convened by the Managing Director of the Federation under the directions of the Board of Directors. A General Meeting shall also be convened if the requisition of such meeting signed by not less than one fourth of the total members is received by the Board of Directors through Chief Executive Officer. If on the receipt of the requisition, the Board of Directors fails within a reasonable time, not exceeding 30 days, to convene the General Meeting, the signatories to the requisition may refer the matter to the Registrar, who may, 12 | P a g e if he thinks fit summon the General Meeting. The Registrar, may, on his own motion, at any time summon a General Meeting of the Federation. Every society shall be represented by one person duly authorised by the member society and the person concerned shall deposit the instrument so appointing him before the General Meeting.
38. At least 15 day's clear notice, specifying the date, place and time and the agenda of the General meeting shall be given to all members by issue of letters and publications in press also. The quorum for the General Meeting shall be one-fifth of the total number of members or 40 whichever is less If at the hour fixed for a General meeting, a quorum is not forthcoming, the chairman of the meeting shall, if the meeting has been called on the requisition of the members, adjourn it and no further general meeting shall convened on the strength of the requisition. If the General Meeting is convened otherwise than on requisition, the Chairman shall postpone the meeting to a further date. A fresh notice for the subsequent general meeting shall be given to all members. The business at the subsequent general meeting may be transacted with the number of members present.
39. The Chairman or in his absence, the Vice-Chairman shall preside over meetings of the general body; when both of them are absent the members present shall elect a Chairman for the meeting.
40. Every member of the General Body shall have one vote. Voting by proxies shall not be allowed at a General meeting. Unless otherwise provided in these Bye laws, all questions shall be decided by a majority of votes of the members present. When the votes are equal, the Chairman of the General meeting shall have a casting vote.
41. Unless otherwise provided in these Bye laws, the ultimate authority in all matters relating to the administration of the Federation shall vest in the General Body 42 Without prejudice to the general provisions of the preceding Bye-laws, the General Body of members shall have the following powers and duties:
i) Approve the programe of activities of the Federation prepared by the Board for the ensuing year.
ii) Consider the Audit Report and the Annual Report.
iii) Consider the performance of the Federation for the preceding year.
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(iv) Fixation of the maximum borrowing limit of the Federation consistent with these Bye laws, subject to the approval of the Registrar.
(v) Amalgamation of other similar Co-operative Institutions with the Federation.
(vi) Amendment of Bye-laws.
X. Distribution of Profit
43. After making provisions for depreciation on the building, machinery and other stocks as decided by the Board of Directors, the net audited profits of the Federation shall be disposed off in the following manner.
i) At least 10% shall be carried to the Reserve Fund.
ii) 10% shall be carried to the Price Fluctuation Fund.
Such proportion, not exceeding 5% of the net profits as may be determined by the Registrar by the General or Special order shall be carried to Cooperative Education Fund to be administered in accordance with the instructions from the Registrar issued from time to time.
iv) The remainder may be utilized for one or more of the following purposes:- a) Distribution of dividend amongst members at a rate not exceeding 10% per annum on the value of the share actually paid up:
(b) Rebate to members in proportion to their purchases made by them from the Society.
(c) Creation of a Welfare Fund for the employees not exceeding 2% of net profits.
d) Creation of Building fund, loss adjustment fund, and any other fund required by the Federation.
(e) A sum not exceeding 9% of the net profits may be spent on any charitable purpose as defined in Section 2 of the Charitable Endowment Act, 1890 or be allocated to a Common Good Fund devoted to any of these purpose;
(f) Any surplus may be credited to Reserve Fund or carried to next year's profit.
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44. The allocation of net profits shall be decided upon by the Board of Directors and placed before the General Body for its information.
XI. Amendment Of Bye-laws:
45 No amendment to these Bye-laws shall be carried out save in accordance with a resolution passed in the General Meeting of the Federation of which due notice of the intention to discuss the amendment has been given:
(i) Provided that no such resolution shall be valid unless it is passed by a majority of members present at the General Meeting at which not less than two third of the members for the time being of the Federation are present.
(ii) Provided further that amendments previously approved by the Registrar may be adopted by a majority at an ordinary General Meeting.
(iii) The amendments shall come into force after they are registered by the Registrar.
XII. Miscellaneous:
46. The accounts of the Federation shall be audited at least once a year by the person appointed by competent authority under the Act and Federation shall pay such audit fee as may be assessed from time to time, by the authority competent to do so
47. The services of the members of the Board of Directors, the Executive committee and Administrative Committee except the Managing Director and Chairman (when appointed by the Government) shall be honorary but they may be paid travelling and daily allowance on a scale approved by the Registrar. Payment of honorarium will disqualify a Director 48 In the conduct of the affairs of the Federation, the Board of Directors, Executive Committee and Officials of the Federation shall exercise prudence and diligence of ordinary men of business.
49. The reserve fund of the Federation shall be indivisible and no member shall be entitled to claim a specified share in it, it shall be invested and utilized in such manner as the statutory rules notified by Government may specify.
50. Should any doubt arise with regard to the interpretation of these Bye-laws, the matter shall be referred to the Registrar whose decision shall be final.
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51. All disputes relating to the business of the Federation shall be disposed of in the manner provided by the Statute governing the Cooperative Societies in Haryana and the rules framed there under, 52 The Federation shall maintain such books of accounts as are necessary besides those directed by the authority specified in Act, Rules and Bye- Laws.
53. The Federation shall prepare and submit such returns, and statements as the Registrar may, from time to time, specify. Its members shall also submit such returns that the Federation may ask for from time to time.
54. The Federation may, in the event of its unsatisfactory working, be wound up and cancelled by the order of Registrar, in accordance with the law for the time being in force.
CERTIFICATE It is certified that the proposed amendments made in the Bye-Laws has been approved and adopted by the General Body in its meeting held on 17.10.2003.
Sd/- Sd/- SK.GUPTA, DEVENDER SINGH,IAS ADDL.GM (F&A), MANAGINGDIRECTOR HAFED, PANCHKULA Registered on the 7th day of June 2004 under my hand and seal Sd/- ABHILAKSH LIKHI, IAS REGISTRAR COOPERATIVE SOCIETIES, HARYANA, CHANDIGARH