Amendment status not verified — confirm the current text below against the official source.
In Section 15 of the principal Act, after sub- be inserted as sub-section "(3) (i) Notwithstanding anything contained in sub-section (1) and (2), the Registrar may, of his own motion and at any time for reasons of ensuring economic viability of any registered society or avoiding overlapp ing or conflict of jurisdictions of registered societies in any area, direct any registered society shall divide itself into two or more societies or amalgamate or merge fully or partially with any one or more specified socie ty or societies within a specified date and according to any specified bye-laws and may also direct the manner in which the assets and liabilities of the society so directed to divide, amalgamate or mergen shall be disposed of. THE ASSAM GAZETTE, EXTRAORDINARY, OCT. 17, 1974. 943 (ii) In the case of amalgamation or merger £ copy of the direction of the Registrar will also be served on the society or societies with which the amalgamation or merger is intended to take effect. (iii) The Society or societies directed under Clause (i) to divide, amalgamate or merge and the society or societies with which the amalgamation or merger is intended to take effect, may submit objection to such order, if any, to the Registrar within 15 days of the order. The Registrar, after considering the objection of the society or societies, may withdraw, modify or con firm with such modification, as deemed necessary, the direction given by him under clause (i) of this sub-section. (iv) On and from the date specified in the order of the Registrar confirming his direction to a society to divide, amalga mate or merge, the division, amalgamation or merger will take effect and the assets and liabilities of the society on which the direction was passed shall stand divided, amalgamated or merged with the assets and liabilities of the societies born out of , such division or amalgamation or merger and the members, creditors and debtors of such society, shall be deemed to be members, creditors and debtors-,- as the case may be, of the new society as ordered by the Registrar. (v) Notwithstanding any bye-law to the con trary, any member of any such society and, notwithstanding any agreement to the contrary, any creditor of such society which was divided, amalgamated or mer ged may, within a period of sixty days from the date of division, amalgamation or merger intimate his intention not to con tinue as a member of the new society, in case of a member and demand a return of the amount due to him, in case of a creditor. The Society inheriting the assets and liabilities of the erstwhile society in this regard shall return the share money or dues of such persons provided that all dues from such persons to the society, if any, as inherited or otherwise, are relised: 944 THE ASSAM GAZETTE, EXTRAORDINARY, OCT. 17, 1974 Provided that the Registrar may direct that any such specified society or class of the societies inheriting assets and liabilities of erstwhile society or societies due to division, amalgamation or mer ger shall pay or return to the creditors or mem bers of the erstwhile society or societies towards return of their dues or share money as demanded by them, only such sums, to the extent of and pro portionate to the recovery or realisation of any money against the assets and dues realisable from the debtors of such erstwhile societies and for this purpose the successor society shall follow the same principles and procedures as if the erstwhile society has gone into liquidation or being wound up. (vi) Notwithstanding the procedure for regis tration of societies as enumerated under sub-sections (I) (vi) and (2) (v), the Regis trar shall register the new societies created after division of an existing society under Section 11 on the date from which the order issued under clauses (i) and (ii) of these sub-sections come into effect. From the date on which the new societies are registered the registration of the old socie ties shall be deemed to have been can celled. (vii) In case of the society directed to amalga mate or merge with another society, its registration shall be deemed to have been cancelled from the date on which the order issued under clauses (I) and (III) of this sub-section takes effect. (viii) The division, amalgamation or merger of society shall not affect any rights or obli gations of the society divided, amalgamated or merged or render defective any legal proceedings which might have been conti nued or commenced by or against the society which has been divided, amalga mated or merged and accordingly such legal proceedings may be continued or commenced by or against the society or societies to whom its assets and liabilities are transferred. (ix) In the case of any society carrying on- banking business, to which the Banking Regulation Act, 1949 (as applicable to Co operative Societies) (Central Act No. 10 of THE ASSAM GAZETTE, EXTRAORDINARY, 0 3 T. 17, 1974. 945 1949), is applicable, no order, under sub section (i) shall be passed by the Registrar, w ithout the previous approval of the Reserve Bank of India. Amendment