(1) Subject to the provisions of this Act and the Rules a Society may, by an amendment of its bye-laws, change the form or extent of its liability.
(2) When a Society has passed a resolution to change the form or extent of its liability, it shall give notice thereof in writing to all its members and creditors and notwithstanding any bye-law or contract to the contrary, any member or creditor shall, during a period of one month 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.
(3) Any member or creditor who does not exercise his option within the period specified in Sub-Section (2) shall be deemed to have assented to the change.
(4) Any amendment of the bye-laws of a Society changing the form or extent of its liability shall not be registered or take effect until, either–
(a) the assent thereto of all members and creditors has been obtained;
or
1. Inserted by Orissa Act 28 of 1991, dated 31.12.1991, w.e.f. 01.05.1993.
2. Substituted by Orissa Act 28 of 1991, dated 31.12.1991 (S. 9-force w.e.f. 10.06.1997, S.8-force w.e.f. 01.05.1993.
the prescribed manner, call upon the Society to make such amendment within such period as he may specify in that behalf.
(6) If the Society fails to make the amendment within the period aforesaid the Registrar may, after giving the Society a reasonable opportunity of being heard, register the amendment and shall forward to the Society a copy of the registered amendment together with a certificate signed by him and such certificate shall be conclusive evidence that the amendment has been duly registered.]