Amendment status not verified — confirm the current text below against the official source.
(1) When a co-operative society is authorised under the provisions of sub-section (2) of section 33 to receive loans by the issue of debentures, the principal of and interest on which is so guaranteed, the State Government shall appoint the Registrar or some other person to be the Trustee for the purpose of securing the fulfilment of the obligations of the society to the holders of the debentures. (2) With the previous sanction of the Trustee and subject to such conditions as he may impose, a co-operative society may issue debentures of one or more denominations for such period as it may deem expedient on the security of the assets of the society, including any mortgages which it holds by acceptance, assignment or transfer. (3) Such debentures may be issued subject to either or both of the following conditions, namely:— (a) fixing a period, not exceeding thirty years from the date of issue, during which they shall be irredeemable, 178 The West Bengal Co-operative Societies Act, 1973. XXXVIII of 1973.] (Chapter IV.—Duties and obligations of co-operative societies.—Sections 35-37.) (b) reserving to the society the right to call in at any time any previously issued debentures in advance of the date fixed for redemption, after giving to the debenture-holder concerned not less than three months' notice in writing, and may be subject also to any other conditions imposed by the Trustee. (4) The total amount payable in respect of debentures issued by a society (including any debentures issued before the commencement of this Act) and outstanding at any time shall not exceed the total amount due on the mortgages, the amounts paid thereunder and remaining in the hands of the society or of the Trustee at such time and the value of all other assets of the society held by transfer or assignment subsisting at that time. (5) Where a co-operative society has called in any debenture in advance of the date fixed for redemption, the society shall, subject to the previous permission of the Trustee, have the power to cancel the debenture and issue any new debenture in place of the debenture paid off or otherwise satisfied or extinguished or to reissue the debenture either by reissuing the same debenture or by issuing another debenture in its place; and by virtue of such reissue the person entitled to such debenture shall have, and shall be deemed to have always had, the same rights and priorities, if any, as if the debenture had not been previously issued.