Amendment status not verified — confirm the current text below against the official source.
(1) Notwithstanding anything contained elsewhere in this Act, the State Co- operative Bank and the Central Co-operative Banks may issue preference share to persons friendly and supporting the cause of Co-operative movement at a fixed rate of dividend and on such terms, as may be decided by general body of such banks subject to prior approval of the Reserve Bank of India. (2) The preference shareholders shall have no right to attend the general meeting and for election as directors of the Board of the bank. (3) The preference shareholders shall be eligible to the dividend due at the fixed rate in respect of any period, whether a dividend has been declared by the bank on such shares for such period or not.