(1) Subject to the provisions of section 22, the rules made in this behalf or the by-laws of the society,
(a) any individual competent to contract under section 11 of the Indian Contract Act, 1872 (Central Act 9 of 1872);
(b) any registered society;
(c) the Government, shall be eligible for admission as a member of a registered society:
Provided that this section shall not apply in the case of a society formed exclusively for the benefit of the students of any college or school:
Provided further that a Hindu undivided family as such shall not be eligible for admission as a member of a registered society:
Provided also that persons who are minors or of unsound mind may be admitted as members of such class of registered societies as may be prescribed and such members shall possess only such privileges and rights of members and be subject only to such liabilities of members as may be prescribed:
Provided also that in a society formed for the promotion of the economic interests of its members, through a specified activity no person other than one who is likely to be benefited directly by such activity may be admitted as a member of such society unless such admission is permitted specifically by the rules:
Provided also that where a society is formed exclusively for the benefit of persons engaged in any particular industry, no person who is not an actual worker in the industry shall be admitted in excess of such percentage of the total membership of the society as may be prescribed:
Provided also that membership in any society other than a society formed for the benefit of the scheduled castes or scheduled tribes shall not be refused merely on the ground that a person belongs or does not belong to a particular religion, race, community, caste, sect or denomination.
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(2) (a) Any person qualified for the membership of a society under the provisions of this Act and its by-laws shall, on application made in the form, if any, prescribed for the purpose, be admitted as a member of the society by the Committee within 14 days from the date of receipt of application :
Provided that any member so admitted may be removed from membership by the Committee for reasons to be recorded in the minutes of the meeting to be convened within one month from the date of the order.
(b) If in the opinion of the Committee, an applicant is not qualified for admission, the Committee shall within 14 days from the date of receipt of application communicate to the applicant by registered post, the reasons for not admitting him and invite his representation, if any, within 14 days from the date of receipt of the communication.
(c) On receipt of the representation, or where no representation is received, on the expiry of 14 days from the date of receipt of the communication by the applicant, the committee shall either admit the applicant or for good and sufficient reasons to be recorded, refuse admission to the applicant and the decision refusing admission with the reasons therefor shall be communicated to the applicant by registered post within 7 days from the date of the decision and such person shall have the right to appeal within one month from the date of receipt of the decision.
(d) If at any stage the committee fails to act according to the procedure laid down above, the applicant will have the right to appeal to the Registrar, who shall pass necessary order, presuming that the applicant has been refused admission.
(e) The Registrar shall dispose of any appeal under this sub-section within one month from the date of its receipt.
(3) Notwithstanding anything contained in this section, the Government may declare by notification in the Official Gazette that the provisions of this section shall not apply in the case of a particular society, if its membership has to be restricted on grounds of public interest.
(4) No member of a registered society shall exercise the rights of a member unless and until he has made such payment to the society in respect of membership or acquired such interest in the society as may be prescribed by the rules and the bylaws.