Amendment status not verified — confirm the current text below against the official source.
Mortgages and charges created by Joint Hindu Family:- Where a mortgage or charge created in favour of a society is called in question on the ground that it was executed by a person governed by custom or the manager of Joint Hindu Family for a purpose not binding on the reversioners or the members thereof, whether major or minor, the burden of proving the same, notwithstanding any law to the contrary, be on the party raising it. CHAPTER IX LOANS AND BORROWINGS * 63. Restriction on borrowings:- (1) A co-operative society may receive deposits, raise loans and receive grants from external sources to such extent and under such conditions as may be specified in the bye-laws: Provided that the total amount of deposits and loans received during any financial year shall not exceed ten times of the sum of subscribed share capital and accumulated reserves : Provided further that while calculating the total sum of subscribed share capital and accumulated reserves, the accumulated losses shall be deducted. (2) Subject to the provisions of sub-section (1), a co-operative society may accept funds or borrow funds for the fulfillment of its objects on such terms and conditions as are mutually contracted upon in the interest of the society. (3) A co-operative society may issue non- convertible debentures or other instruments subject to the provisions of any law for the time being in force to raise resources for the fulfillment of its objects to the extent of twenty-five percent of its paid up share capital.