(1) Any society may estabiish for its employees a provident fund, into Which shall be paid contributions made by its employees and by the society. Such provident fund shall not be used in the business of the society, nor shall it form: part of the assets of the society ; but shall be invested under the provisions of the last preceding section, and shall be administered, in the manner prescribed.
(2) Notwithstanding anything contained in the foregoing subsection a provident fund estabiished by a society to which the Employees’ Provident Fund Act, 1952 is applicable shall be governed by the Act;
CHAPTER VII MANAGEMENT OF SOCIETIES
72. Subject to the provisions in this Act and the Rules, the final authority of every secie‘ty shall vest in the- general body of members in a general meeting, summoned in such a manner as may be specified in the rules and the bye-I—aws. _ '73. The management ofevery society shall: vest in. a Board consti‘ tuted in accordance With this Act, the rules and bye«laws, Which shall exercise suehipowers and perform such; duties as may be. _eonferred-- or imposed byfthis Act. the rules: and-thebyex-laws.
25 Contribution to public purposes.
Investment of funds.
Employees’ provident fund.
Final an - thority of society.
The am:- and unctianl of the Board.
26 ofl‘ice. . .
assuming charge of then office. No member can hold office beyond two terms consecutively. This provision Will not apply in the case of . Governmentnominees :
Provided that the term of a Board may be extended by general or speclal order of the Registrar 1[till fresh elections are held by the Term 0‘ i (2) The BOard Will have a term of three years from the date of i i i sooiety or nominations are made by the Registrar under sub-section (4).
i i Election of _ (3) efore one month of the date of expiry of the terms mentioned the members / insu ction (-), the Co-operative Society shall call an annual general of the Board meeting to elect members of the Board of management and thereupon / the members so elected shall assume the charge of their office on the expiry of the term of theretiring Board : ~ " t 'Provided that ‘the election ’of the members of the Board of management shall be conducted by an independent body or authority \ constituted by the Registrar in the manner prescribed in the rules and b. laws.
$133313 ”[(4) If the society fails to call the general meeting to elect the hem of the members of the Board of management as provided in sub-section (2), the Board. Registrar may nominate Such persons as under the rules and bye-laws are qualified for being elected as members of the Board of management and the members so nominated shall replace the elected members of the Board of management on the expiry of their terms.
The Board so nominated Will manage the afi'airs of the society for a period specified in the order, Which period may, at the discretion of the Registrar, be extended from time to time ; so, however, that the . ' tal period does not exceed two years in the aggregate.”] Constitution . 73.A. (I) The Board of management of the society shall be constituted with such number of members as may be Specified by the rules and bye-laws :
Provided that the members of the scheduled caste, scheduled tribe and small farmers shall proportionately be represented in the Board by reservation of seats in the Board as may be prescribed in the rules and bye-laws: ,
Provided further that the representatives of employees and workers '[of the concerned oo-operative institution shall] be included in the Board as may be provided in rules and bye-laws.
‘[(2) Where the State Government—
(a) has assisted indirectly in the formation or augmentation of the share capital of a society, or
(b) has subscribed to the share capital of a co-operative society, or of the Board.
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) Amendments The word "til ” was substituted for the word "will" by Man, Act 12 of 1984, .
sec. 5. . _ These words Were substituted for the Words in the same snb—seetion of the " principal Act by Man. Act 12 of 1984,’ sec. 5 (4), Those words were substituted for the word "may” by Man. Act 12 of1984, sec, 6(i)
(2) This subsection was substituted by Man. Act 12 o! 1984, see. 6(ii). .
P e e r
(c) has guaranteed in repayment of principal and payments of interest on loan and advances to a co-operative society, the State Government or any authority specified by it in this behalf, shall have the right to nominate to the Board, GOVernment officials expert in the line (of the activities of the cooperative societies) to the extent of one third of the total number of its members or thlee members whichever is less:
Provided that the nominees of the State Government or of the financing bank or other cooperative institutions shall not be entitled to vote at election.]
1[(3) No person shall, at the same time, be a member of the Board of more than one society of the same type or category and more than three societies of different types or categories.]
“[(4) No person shall be eligible for being elected or appointed or continued as a member of the Board or any committee if he is in default in repayment or payment to any society, including co-operative ban 1;, in respect of any loan or any sum due from him either as borrower or surety for a period exceeding three months and no member of the Board or committee who has ceased to hold office as Such under this subsecution shall be eligible for a period of one year from the date on Which he ceaSed to hold office, for re-election or appoinment as member of the Board or, as the case may be, committee of that society or for election or appointment to the Board or committee of any other society. ”] '74. The qualifications for the appointment of a Manager, Secretary, Accountant or any other officer of a society shall be such as may from time to time, be prescribed.
(2) The State Govt may nominate a Government servant not below the rank of class—II officer to work as Managing Director] General Manager/Manager as the case may be of a Co-operative Ins-- titution wherein the State Government have contributed to its share capital, guaranteed loans to the tune of Rs. 3,i= lakhs (Rupees three lakhs) or above or if the society has incurred loss to the extent of 25 p.11.
of its paid up capital. The officer so nominated shall be deemed to be on deputation With the society and his salary and allowance as determined by the State Government shall be paid from the fund of‘ the society. The. officer- 80 'deputed shall be the ex-offioio member of the '1- Board and shall have the right to vote. The officer shall be the Chief Executive Officer of the society and have the following assignments ;
amongst others: «—
(a) I‘o have general ‘[cont-rol ovar the administration of the society.
(b) To eonVen'e meetings of the management Board and General Body. " “ I Amendments
1. & 2, (3) and (4) These sub-sections were substituted by Man. Act 12 of 1984, section 6 (ii)
3. The word was inserted by Man. Act 12 of 1984, see. '7 (i).
27 No defaulting member or the surety of a defaulter is eligible to hold office in the Co—op.
Institution.
Appointment of Manager, Secretary and other office bearers.
28 Constituition of common service per.
sonnel of co-operative Institution;
Annual general meeting,
(c) To receive all moneys and «securities on behalf of the society and to make arrangements for the proper maintenance and custody of cash balance and. other- properties m“ the institution, 7 ('d‘) To endorse and transfer promissory notes, Government seen:
rities and to endorse, sign and negotiate cheque and other negotiable instruments on behalf of the institution.
(6) To be responsible for the conduct, supervision and manage;
ment of the day to day business and 1'[tran8aetion of the sxociety=
(f) To sign all deposits, receipts and operate the accounts of _ . thesooiety with banks.
(g) To sign bonds, and agreement in favour of the society:
(h) To determine the powers, duties and responsibilities of the , employees of the society.
(i) To institute, ?[eonducm defend compound or abandon any suit or other' legal proceedings by or against the society or otherwise concerning the affairs of the society and also to compound and allow time for payment or satisfaction of any claims or demand by or against the society:
(j) Subject to the regulations if any, Which may be framed by by the Board to enter into negotiations and Sanction coma tracts the value of Which may be determined by the Board from time to time,
(k) To delegate all or any of the said powers to an employee or employees of the society subject to the ultimate control and authority being retained by him.
(3) The Registrar may constitute a common cadre authority/Soeiety or maintaining cadres of personnel for employment asSeeretaries/Mana.
ger-s/other- paid-employees of the Co-operative Institutions,