Amendment status not verified — confirm the current text below against the official source.
Bonus and Dividend Equalization Fund.- (1) A society may create out of its profits a fund to be called the Bonus Equalization Fund for payment of bonus to persons other than its paid employees who are not its members. (2) Except otherwise specially authorised by the Registrar, the fund, so created shall be utilised in accordance with the provisions of the bye-laws of the society only for payment of such bonus. (3) A society may create the Dividend Equalization Fund and credit to it a sum not exceeding 2 percent of the paid up share capital in any year, until the total amount in such Funds amounts to 9 percent of the paid up share capital. The society may draw upon this Fund in any year only when it is unable to maintain a uniform rate of dividend it has been paying during the last preceding five years or more. (4) No society shall declare a dividend at a rate exceeding that recommended by its committee.