Amendment status not verified — confirm the current text below against the official source.
Final authority in society.-(1) The final authority in a society shall vest in the general body of members: Provided that the byelaws of a society may provide for the constitution of a smaller body consisting of delegates elected in accordance with such byelaws to exercise powers of the general body or as may be specified in the byelaws of the society. (2) Subject to sub-section (1), the management of every society shall vest in a committee constituted in accordance with this Act or rules made thereunder or byelaws of the society and it shall exercise such powers and perform such duties as may be conferred or imposed respectively by the Act or rules made thereunder or byelaws of the society. (3) (a) On the Committee of primary society:- (i) in which half or more than half the members belong to scheduled castes, Scheduled Tribes, and other backward classes, not less than half the total number of seats shall be reserved for the members belonging to such castes, tribes and backward classes in such proportion as may be prescribed; (ii) in which one fourth or more than one fourth, but less than half the members belong to Scheduled Castes, Scheduled Tribes and other backward classes, three seats shall be reserved for the members belonging to such castes, tribes and backward classes of which one seat each shall be reserved for each class. 36 (iii) in which the number of members belonging to Scheduled Castes, Scheduled Tribes, and other backward classes is less than one fourth of total number of members, one seat shall be reserved for a member belonging to such castes, tribes and other backward classes, which has the larger number of members in the society. (iv) which is operating in a Scheduled Area, the number of seats to be reserved for Scheduled Tribes shall bear as nearly as may be the same proportion as members belonging to Scheduled Tribes bear to the total memberships of the society. Explanation.-For the purpose of this clause the Co-operative Land Development Bank shall be deemed to be a primary society. (b) On the Committee of such Central or Apex Society or class of Central or Apex societies as the State Government may having regard to the total membership of Scheduled Castes, Scheduled Tribes and other backward classes in the Primary Societies affiliated to such Apex or Central Society, by general or special order, direct, such number of seats as may be specified in the order shall be reserved for the members belonging to Scheduled Castes, Scheduled Tribes and other backward classes: Provided that the number of seat so reserved shall not exceed (two) for each category of members: Provided further that in the Board of Directors of every Central or Apex Society at least one seat each shall be reserved for the members of Scheduled Castes, Scheduled Tribes and other Backward Classes. (c) In the event of society falling to elect requisite number of members or to elect less than such number of members, as is specified in clauses (a) and (b), the members of the committee shall co-opt the requisite number of members from amongst members of such society eligible for such representation and in the event of the Committee failing to do so Registrar shall nominate the requisite number of members from amongst members of such society eligible for such representation: Sub-section (5) - as applicable to M.P. only (5) There shall be a President/Chairman and two Vice-Presidents/Vice- Chairman in a resource society. Out of the two offices of Vice- Presidents/Vice-Chairman- (i) One shall be held by a woman member, and (ii) One shall be held by,- (a) in case of a resource society operating in a non-scheduled area, by a member belonging to Scheduled Castes, Scheduled Tribes and other backward classes, and (b) in case of a resource society operating in a scheduled area, by any member: Provided that in case of a resource society operating in the scheduled area the President or Chairman shall be elected from amongst the members belonging to Scheduled Castes, Scheduled Tribes and other backward classes. Explanation.- For the purpose of this section- (i) "Scheduled Caste" means any caste, race or tribe or part of or group with a caste, race or tribe specified as such in relation to the State of Madhya Pradesh under article 341 of the Constitution of India. 37 (ii) "Scheduled Tribe" means any Tribe, Tribal community or part of or group within a tribe or tribal community specified as such in relation to the State of Madhya Pradesh under Article 342 of the Constitution of India." Sub-section (5) - as applicable to Chhattisgarh only (5) There shall be a President/Chairman and two Vice-Presidents/Vice- Chairman in a resource society. Out of the two offices of Vice- Presidents/Vice-Chairman- (i) One shall be held by a woman member, and (ii) One shall be held, if the chairman is not elected from amongst persons belonging to Scheduled Castes, Scheduled Tribes and other Backward Classes, by a person belonging to these categories and otherwise, by any person: Provided that in case of such resource society other than a Nagrik Co-operative Bank or Urban Co-operative Credit Society or thrift society, operating in a Scheduled area, the chairman or president shall be elected only from amongst persons belonging to Scheduled Tribes. Explanation.- For the purpose of this section- (i) "Scheduled Caste" means any caste, race or tribe or part of or group within a caste, race or tribe specified as such in relation to the State of Madhya Pradesh under article 341 of the Constitution of India. (ii) "Scheduled Tribe" means any Tribe, Tribal community or part of or group within a tribe or tribal community specified as such in relation to the State of Madhya Pradesh under Article 342 of the Constitution of India." (5-A) There shall be a President or Chairman and Vice President or Vice Chairman in consumer society of whom one shall be a woman. (6) No person who is individual member in a Central Co-operative bank shall hold any specified office in the Central or Apex Society. (8) Provided that in case of Co-operative Bank, there shall be at least three Directors (Professional) with full voting right in the Board of Directors of Co- operative Bank having special knowledge or experience in the field of accountancy, law, banking, management, agricultural or rural economy as specified by the Reserve Bank: Provided further that if the required number of Directors (Professional) are not elected, the Board of Directors of Co-operative Bank shall co-opt them. Explanation.- A non-borrowing member shall be one who never borrowed from such a Bank or a society in which he is a member: Provided that the provisions of this sub-section shall apply to the society from the date it commences its lending operations: Provided further that the provisions of this sub-section shall not apply to the society in so far as its first provisional committee/nominated committee is concerned. 48-A. Disqualification for holding specified office.-(1) No person shall at the same time hold the specified office of more than one Apex Society, one Central Society and one Primary Society: Provided that the provisions of this sub-section shall be applicable in case of societies of the same classification. (2) If any person who is holding a specified office in one Apex Society, one Central Society and one Primary Society is elected or appointed to a specified office in any other Apex or Central or Primary society, he may, by a letter in writing signed by him and addressed to the registrar, within a period of 38 one month from the date of his election or appointment to such specified office resign from the specified office in all except one Apex Society and or one Central Society and or one Primary Society as the case may be. (3) If any person required to resign under sub-section (2), fails to resign within the period specified therein, then at the expiration of such period he shall be deemed to have resigned from the specified office in all except one Apex Society & one Central Society and one Primary Society, as the case may be, in which he was already holding the specified office prior to such subsequent election or appointment to specified office in other Apex or Central or Primary Society. (4) No person shall be eligible to be elected as President or Chairman or as representative in other society if he is a Member of Parliament or Member of Legislative Assembly or holds any post inn District Panchayat, Janpad Panchayat, Urban Local Bodies, Mandi Board or Mandi Committee. (5) No person shall be eligible to be elected or appointed to any specified office in a society, and shall cease to hold his office as such, if he has, including the period of his Co-option or appointment or both, held specified office in the society for two consecutive terms or for a continuous period of eleven years, whichever is less: Provided that a person shall not be re-elected or re-appointed to such specified office till a period equal to one full term has expired. 48-AA.Disqualification for membership of Board of Directors and for representation. No person shall be eligible for election as a member of the Board of Directors of a society, and shall cease to hold his office as such, if he suffers from such disqualification as may be prescribed, and no society shall elect any member as its representative to the Board of Directors of any other society or to represent the society in other society, if he suffers from such disqualification as may be prescribed : Provided that, if a member suffers from any of the disqualifications prescribed under this section,- (i) it shall be lawful for the Board of Directors of the society to disqualify such member where he is elected as a Director , being a member of that society, after giving him a reasonable opportunity of being heard, within two months from the date of coming to the notice of the society, from holding the post. (ii) if, the member incurs a disqualification in the higher level society, for his actions as a representative, such higher level society shall take action to disqualify him for holding the post in the higher level society, and if the society fails to take action, the Registrar shall disqualify such member from holding such post by an order in writing, after giving him reasonable opportunity of being heard. Explanation.-For the purpose of this section, the expression “disqualification” shall not include the disqualification specified in Section 50-A for election as a member of the Board of Directors or a representative of a society. 48-B. Representatives and delegates.-(1) Every committee of society shall at the time of election of Chairman or Vice-Chairman, also elect representative who shall represent it in other society and the representative so elected shall not be withdrawn by the Committee till the next election of the committee. (2)(a) In a society where not less than half of the members belong to Scheduled Castes and Scheduled Tribes, the representative shall be only from amongst the members belonging to such castes or tribes; and 39 (b) In a society where not less than two-third of the members belong to other Backward Classes, the representative shall be from amongst the members belonging to such classes. (3) If the byelaws of a society provide for the constitution of its general body by the elections of the delegates, the society shall reserve seats in the general body for the members belonging to Scheduled Castes, Scheduled Tribes and other Backward Classes in such a manner that the number of seats so reserved for each category shall as far as possible, be in the same proportion in which members of each category, shall bear to the total membership of the society. 48-C. Powers of Committee.-The Board or the Committee of a society shall in accordance with the byelaws, have power to- (a) admit and terminated membership; (b) elect the Chairman and other office bearers; (c) remove from office the Chairman and office bearers; (d) fix staff strength with the approval of the Registrar; (e) frame policies concerning- (i) organization and provisions for services to members; (ii) qualifications, recruitment, service conditions of the staff and other matters relating to staff with the approval of the Registrar; (iii) mode of custody and investment of funds; (iv) manner of keeping accounts; (v) mobilization, utilization and investment of funds; (vi) monitoring and management of information system including statutory returns to be filed; (f) place the annual report, annual financial statements, plan and budget for the approval of the general body; (g) consider audit and compliance reports and place the same before the general body; and (h) undertake such other functions as specified in the byelaws: Provided that the policies concerning the qualifications, recruitment, service conditions of the staff and other matters relating to staff of co-operative credit structure shall be framed according to the guidelines issued by the Registrar in accordance with the criteria specified by the National Bank.