Amendment status not verified — confirm the current text below against the official source.
(1) The State Government’s subscription to the equity share capital of a Co-operative Credit structure society shall not exceed twenty five percent of its equity share capital and the State Government may reduce the State Government’s subscription further at its choice. Provided that in the case of state Co-operative Bank which is unable to comply with the requirements of sub-section(l) of sectionll of Banking Regulation Act, 1949 , the State Government may contribute equity in excess of the limit specified above only to the extent required to enable the state co operative Bank to comply with the requirements of sub-section (1) section 11 of Banking - Regulation Act, 1949- Act No. 10 of 1949 THE ASSAM GAZETTE, EXTRAORDINARY, FEBRUARY 5, 2013 389 (2) There shall be only one nominee of the State Government on the Board of a State Co-operative Bank, if the State Government has subscribed to its share capital. (3 ) There shall be no nominee of the State Government of the Board of a Primary Agricultural Co-operative Society : Provided that the existing nominees on the Managing Committee shall continue till the expiry of their current term. However, they shall not have any voting right in any election or in a motion of no-confidence. (4) A Co-operative Credit Structure Society may affiliate or dis affiliate with an affiliating society at its choice : Provided that before dis-affiliation, the society shall discharge its financial liability, if any, to the society which it is dis-affiliating (5) A Co-operative Credit Structure Society shall have the freedom of entry and exit at any tier of co-operative society and there shall be no mandatory restriction of geographical boundaries for its operations within the State of Assam (6) A Co-operative Credit Structure Society may invest or deposit its funds in any Bank or financial institution regulated by the Reserve Bank and not necessarily in the affiliating society. (7) A Co-operative Credit Structure Society may obtain loans from any Bank or financial institution regulated by the Reserve bank and refinance from the National Bank or any other refinancing agency directly or through any Reserve Bank regulated financial institution and not necessarily from the affiliating society. (8) A Primary Agricultural Credit Society may pay dividend in accordance with the guidelines framed by the Registrar in consultation with the National Bank (9) There shall be no other compulsion on contribution to any fund other than those required for improving the net worth/owned funds of a Co-operative Credit Structure Society. Condition for member of the Board of the Co-operative Credit Structure Society No person shall be elected, nominated or co-opted or allowed to continue as a member of the Board of a Co-operative Credit Structure Society, if he, - (i) is a person who represents a society other than a Primary Agricultural Credit Society on the Board of a State Co-operative Bank, if such society he represents has committed a default towards the payments of such bank for a period exceeding ninety days. 390 THE ASSAM GAZETTE, EXTRA ORDINARY, FEBRUARY 5, 2013 Conditions for supersession of the Board of State Co operative Bank Election to the Co-operative Credit Structure Society (ii) is a person who committed a default towards the payments to a Primary Agricultural Credit Society or represents a Primary Agricultural Credit Society in the Board of a State Co-operative Bank, if such society he represents has committed a default towards the payments of such Bank for a period exceeding one year, unless the default is cleared, (iii) is a person, who represents a society whose Board is superseded or has ceased to be a member of the Board of his own society.