Amendment status not verified — confirm the current text below against the official source.
(1) Every society which does, or can derive a profit from its transactions shall maintain a reserve fund. (2) In the case of Resource or Producer's society at least one fourth of the net profits of the society each year, and in the case of any other society, at least one tenth of the net profits of the society each year, shall be carried to the reserve fund; and such reserve fund may be used in the business of the society or may subject to the provisions of section 71, be invested as the Government may, by general, or special order direct or may with the previous sanction of the Government, be used in part for some public purpose likely to promote the objects of this Act, or for some such purpose of the State or of local interest.