Amendment status not verified — confirm the current text below against the official source.
(1) No society shall make a loan to any person other than a member, or on the security of its own shares or on the security of any person who is not a member; Provided that with the special sanction of the Registrar, a society may make loans to another society. Restrictions on borrowings Power to exempt from taxation Regulation of loan making policy 27 “Provided further that the co-operative credit structure society may take own decision regarding its loan policies including individual loan decision to its members, keeping in view the interests of the society and its members.”1* (2) Notwithstanding anything’s contained in the foregoing sub-section, a society may make loan to a depositor on the security of his deposit. “Provided that a depositor member of the cooperative land development bank or a primary agriculture credit society under sub-section (3) of Section 45 shall be eligible for loans on par with other members.”2*