(1) If in the opinion of the Registrar, any member of the committee persistently makes default or is negligent in the performance of the duties imposed on him by this Act or rules or bye laws or commits any act which is prejudicial to interest of the society or its members, the Registrar may after giving the member an opportunity to state his objections, if any, by order in writing, remove the member and get the vacancy filled up for the remaining period of the outgoing member, according to the provisions of this Act, rules and bye-laws.
(2) Where the Registrar while proceeding to take action under sub-section (1) is of the opinion that the suspension of the member during the period of the proceedings is necessary in the interest of the co-operative society, he may suspend the member:
Provided that if the member so suspended is not removed, he shall be reinstated and the period of suspension shall count towards his tenure:
Provided further that the period of suspension shall not exceed six months.
(3) A member who is removed under sub-section (1) shall be disqualified for being elected to any committee for such period not exceeding five years as the Registrar may fix and the said period shall commence from the date of passing the order.
*(4) The Registrar at the request of the Reserve Bank/ National Bank shall remove such members of committee who do not fulfil criteria stipulated by the Reserve Bank.