(1) Any society or societies may, with the prior approval of the State Government, 3[and subject to such terms and conditions as the State Government may impose and in such manner as may be prescribed] enter into collaboration with any Government undertaking or any undertaking approved by the State Government for carrying on any specific business or businesses, including industrial investment, financial aid or marketing and management expertise.
(2) Before approving any such scheme of collaboration by any society or societies under sub-section (1), the State Government shall have due regard to the following matters, namely :—
(a) that the scheme is economically viable ;
(b) that it can be implemented without, in any way, eroding the co-operative character of the society or the societies concerned ;
(c) that the scheme is in furtherance of the interests of the members of the society or societies concerned, or is in the public interest, and in the interest of the co-operative movement in general]:
4[Provided that, no prior approval of the State Government shall be necessary in case of a society which has not taken any financial assistance from the Government in the form of share capital, loan or guarantee and such society may enter into collaboration with any undertaking with the prior approval of it’s general body if the requirements laid down in clauses (a), (b) and (c) of sub-section (2), are being fulfilled in case of such society.]