(1) The Registrar of Co-operative Societies of the State of Telangana (hereinafter in this Act referred to as The Registrar) shall, subject to the provisions of section 2, place before a meeting of the general body of each of the existing societies, held in such manner as may be prescribed by rules made under this Act, proposals for the reconstitution of the existing societies.
(2) Without prejudice to the generality of the foregoing power, such proposals may provide for-
(a) the allocation of the assets and liabilities of the existing societies among the reconstituted societies, the corresponding Mysore societies mentioned in section 2 (3) (a) (ii) and the corresponding Bombay societies or the corresponding new society or societies, as the case may be, mentioned in section 2(3) (b)(ii);
(b) the membership and management of the reconstituted societies and the corresponding new society or societies mentioned in section 2 (3) (b) (ii) in case such new society or societies are formed;
(c) the allocation of the establishments of the existing societies among the societies mentioned in clause (a) and the transfer of service of the officers and employees of such establishment; and
(d) all other matters which are necessary for or incidental to the aforesaid matters.
(3) Where such proposals provide for the allocation of the establishment or the transfer of service of officers or employees such allocation or transfer shall not entitle any such officer or employee to any compensation under the Industrial Disputes Act, 1947 (Central Act 14 of 1947) or any other law for the time being in force and no claim in respect thereof shall be entertained by any court, tribunal or other authority.
(4) If the proposals of the Registrar under sub-section (1) are confirmed by a resolution passed by a majority of the members present at the meeting either without modifications or with modifications to which the Registrar agrees, the Registrar shall certify the proposals and upon such certification the proposal shall, notwithstanding anything to the contrary contained in any law, rules, regulations or bye-laws for the time being in force, be binding on the existing societies and the societies mentioned in section 2 (3) (a) (ii) and section 2 (3) (b) (ii) and their shareholders and creditors.