(1)A society may, 23[xxx] by a resolution passed by a two-third majority of the members present and voting at a general body meeting of the society,-
(a)transfer its assets and liabilities in whole or in part to any other society;
(b)divide itself into two or more societies
(2)Any two or more societies may, 23a[xxx] by a resolution passed by a two third majority of the members present and voting at a general body meeting of each such society, amalgamate themselves and form a new society.
(3)The resolution of a society under sub-section (1) or sub-section
(2) shall contain all particulars of the transfer, division or amalgamation, as the case may be.
(4)When a society has passed any such resolution, it shall give notice thereof in writing to all its members and creditors and, notwithstanding the provisions of section 24 or any bye-law or contract to the contrary, any member or creditor shall, within a period of two months from the date of service of the notice upon him, have the option of withdrawing his shares, deposits or loans, as the case may be.
(5)Any member or creditor who does not exercise his option within the period specified in sub-section (4) shall be deemed to have given his assent to the proposals contained in the resolution.
(6)A resolution passed by a society under this section shall not take effect until either—
(a)the assent thereto of all the members and creditors has been given or deemed to have been given; or
(b)all claims of members and creditors who exercise the option referred to in sub-section (4) within the period specified therein, have been met in full.
(7)Where a resolution passed by a society under this section involves the transfer of any assets and liabilities, the resolution shall, notwithstanding anything contained in any law for the time being in force, be a sufficient conveyance to vest the assets and liabilities in the transferee without any further assurance.
23b[(8)xxx
(9)xxx] 23, 23a, 23b omitted by Act 8 of 2013 file:///home/user/Desktop/share/B/2022/B1/..%2FKCS%20Act%20&%20Amendment%20-%20Copy%2FAmendment%208-%20%202013.pdf 24a[14A.Provisions regarding transfer of assets and liabilities of District Co-operative Banks to the Kerala State Co-operative Bank. – (1) Notwithstanding anything contained in this Act or in any other law for time being in force, the District Co-operative Banks may by a resolution passed by a simple majority of the members present and voting at the special general body meeting of the members, transfer its assets and liabilities in whole to the Kerala State Co-operative Bank and such transfer shall take effect from the date on which the Registrar approves the resolution.
(2) The resolution shall contain particulars of the assets and liabilities to be transferred.
(3) When a District Co-operative Bank has passed any such resolution, under sub-section (1), it shall give notice thereof in a writing in all its members within 7 days from the date of resolution, notwithstanding anything contained in the provisions of section 24 or any Rules or any byelaws and sub-rules or any contract to the contrary, any member shall, within a period of 30 days from the date of issuance of the said notice, have the option of withdrawing his shares, deposits or closing loans, as the case may be:
Provided that any other debtor or creditor shall be informed of such a resolution through publication of notice in two leading daily newspapers in vernacular language within 7 days from the date of resolution that they have the option to withdraw deposit, loans, as the case may be, within a period of thirty days from the date of publication of notice.
(4) Any member or creditor or debtor who does not exercise his option within the period specified in sub-section (3) shall be deemed to have given his assent to the proposals contained in the resolution.
(5) On and from the date of approval of transfer of assets and liabilities of each District Co-operative Bank by the Registrar, all the assets and liabilities as it stood immediately before the transfer shall without any further Act, instrument or deed, stand transferred to and vested in the Kerala State Co-operative Bank.
(6) On and from the date of approval of transfer of assets and liabilities of each of the District Co-operative Bank by the Registrar, all pending suits or legal proceedings by or against such Banks shall be continued by the Kerala State Co-operative Bank.
24a[24[14AA.Promotion of subsidiary institutions for the economic welfare of members.-(1)A co-operative society may by a resolution passed at general body meeting by a majority of members present and voting, promote one or more subsidiary institutions, which may be registered under any law for the time being in force, for the furtherance of its stated objects with the prior approval of Registrar.
(2)Any subsidiary institution promoted under sub-section (1) shall exist only as long as the general body of the co-operative society deems its existence necessary:
Provided that a co-operative society, while promoting such a subsidiary institution shall not transfer or assign its substantive part of business or activities undertaken in furtherance of its stated objects to such subsidiary institutions.
Explanation: For the purpose of this section,-
(a)An institution shall be deemed to be a subsidiary institution where the co-operative society,-
(i)controls the management or board of directors or members of governing body of such institutions; or
(ii)holds more than half in nominal value of equity shares of such institutions.
(b)a subsidiary institution shall not include a partnership firm.
(3)The annual reports and audited accounts of any such subsidiary institution shall be placed each year before general body meeting of the promoting co-operative society.