 'arrangemen'p'of clauses chapter i preliminary clauses1 short title, extent and commencement 2 application 3 definitions  chapter ii cen'l'ral rt:gi,strai' and registhanon of societies 4 ,central registrar5 multi-5tate co-operative societies which may be r~gistered 6 applic,ation for registration, ,,7 registration s registration certificate  9 amendment of bye-laws of ii multi-state co-operative society 1~ when amendment of bye-laws comes into force u change of name 12 change of, address 13 liability 14 amalgamation or transfer of assets and liabilities, or division,  of multi-state co-operative, societies 15 central registrar to preparescheme of amalgamation or reorganisati(ln of co-operative bank in certain cases 16 liability of a co-operative bank to the deposit insurance and credit guarantee corporation 17 cancellation of registration certificate of multi-state co-operative societies in certain cases, 18 conversion of co-operative society into multi-state co-operative society  chapter til m,mbers of multi-state co-operative societies and their rights and liabilities 19 persons who may become members 20, members not to exercise rights till due payment made 21 expulsion of members , clauses22 votes of members 23 manner of exercising vote 24 restric:tions on balding of shares 25 restrictions on transfer of shares or interest 26 reqemption of shares 27 transfer of fil;terest on death of members 28  liability of 'past member and estate of deceased member,   chapter iv direction and management ofmulti~state' co-operative socjetij:s29 general body, its constitution, powers and ~ct~od8 30 annual general meeting of the general body 31 special general meeting of the general body 32 board of directors 33 association of employees in the management decision making process 34 disqualification for a member of a board 35 election of members of board 36 holding of office in co-operative society ~ 37 1lestrictiom on holding of office 38 payment of honorarium 39 removal of elected members by general body 40 removal of member by central registrar 41 nominee of centr~l government or state government on the board 42 powers and functions of the board  43 meetings of the board 44 chief executive 45 p(,wers and functions of chief executive 46 committees of the board 47 central government's power to give directi?ns in the public interest 48 supersession of board 49 'securing possession of record~, etc e'() constitution of body of person~ for preparation of list, etc 51 acts of multi-state co-operative societies not to be invallca~ed by certain defects  chapter v privileges of multi~st~te co-operative societies52 multi-state co-operative society to be body corporate '9 charge and set~off, in respect of share or contribution or interest - of members  clauses54 share or contribution 'or interest not liable to attachment 55 register of members 56 admissibility of copy of entry as evidence 57 exemption from compulsory registration of instruments 58 deduction from salary to meet multi-state co-operative society's claim in certain cases ' 59 government aid to multi-state co-operative societies  chapter vi properties and funds of multi-state co-operative societies60 funds not to be divided by way of profit -61 disposal of net prof)ts 62 iqvesttpent of funds 63 restrictions on loans 64 rest~ctionson borrowing 05 restrictions on other transactions with non-members 66 contributory provident fund     chapter vii aunit, inquiry, mspection and surchahg!:67 audit 68 inspection of multi-state co-operative societies 69 inquiry by central registrar 70 inspection of books of indebted multi-state co-operative societies ' 71 costs of inquiry and inspe~tion 72 'recovery of costs 73 repayment, etc  chapter viii settlement of disputes74 pisputes 75 limitation i6 settlement of disputes  chapter ix "winding up of multi-state co-operative societtes '" 77 winding up of multi-state co-operative societies 78 winding up of co-operative banks at the direction of reserve  bank ~  79 reimbursement to the deposit insurance corpql'ation by liquidator  clausesso liquidator 81 powers of liquidator 82 disposal of surplus assets 83 priority of' contributions assessed by 'liquidator 84 powel' 'of central registrar to cancel regis~tion {)of a multi - ' state'co~perative society '  chapter'x execution of decrees, ordbrs and decisions85 execution of decisions, etc 86 execution of orders of liquidator 87 attachment before award 88  central registrar or the person authorised 'by 'fum to be' ctvl court, for certain purposes 89 recovery of s~ms, due to govemmen~  cha~xl  appeai~s and revision90 appeals 91 no appeal or revision in certain callel 92 revision 93 review 94 interlocutory orders  chapter xll societies which bilcome multi state co-operative socfttiu consiquin'!'on peorganisation ,of statbs ,,'-, , 95 co-operative societies functioning' immediately before' 'reorganilo' , sation of states  chapter xiit offences and penalties,96 offences 97 cognizance of offences ,   chapter lfivi  i  miscellaneous98 copy of act, rules, and bye-laws, etc, to be open to inspeotion 99 power to' exempt multi-state ,co-operative societies from conditions as to registration ," 100 liquidator to be public servant 101 notice necessary ih suits 102 certain ac~ not to apply 103 savings of existing multi-state co-operative iocietiti ,i " 104 power to amend second schedule 105 bar of jurisdiction of eourts 10,6 powers of civil court 107 indemnity 108 opening of branches 109 power to make rules 110 repeal  'ihe first sched~e   the second sch!dule the multi-state co-operative societies bill, 1984 ' a billto consolidate and amc'nd thej law rclating to co-o,perat,tve societies with objects not confined to one state and serving the interests of members in more bhan one state be it enacted by parliament in the thirty-fifth year of the republic of india as foilows:- chapter i preliminary!l l (1) this act may be called the multi-state co-operative societies short act, 1984 ' title (2) it extends to the whole of india extent and commencement (3) it shall come into force on such date as the central government may, by notification in the official gazette, appoint 2 thi's act shall apply to-10 application, (a) all co-operative societies, with objects not confined to' 4')11(: state, which were incorporated before the commencement of this act, 2 of 1912 15 (i) under the co-operative societies act, 1~12, "or (ii) under any other law relating to co-operative societies in force in any state or in pursuance of the multi-unit cooperative societies act, 1942, , e of 1942 and the registration of which has not 'been cancelled before such commencement; and '  '1:) (b) all multi-state co-operative societies " 3 in this act, unless the context oth1:!rwise requires,-,~ defini-tions (a) "board" means the board of directors or the governing body , of a multi-state co-operative society by whatever name calred, to which the direction and! control, of the management of the affairs of the society is entrusted;  5 (b) "bye-laws" means the bye-laws for the time being in force which have been duly regis,tered under this act, and includes amend~ ments· thereto which have been duly registered untler this act; , (c) "central registrar" means the central registrar of cooperative societies appointed under sub-section (1) of section 4 and jo includes any officer empowered to exercise the powers of the central ~ regi'strar under" sub-section (2) of that section; ,11 (d) "chief executive" means a chief executive of a multi~stat co-operative society appointed under section 44; (e) 'oleo-operative bank" means a multi-state co-qperative '5  society which undertakes banking business; (f) "co-operative principles" means the co-operative, principle~ specified in the 'first schedule; (g) "co-operative society" means a society :registered or deemed to be registered under any law relating to co-operative societies for ·~o the time being in force in any state; (h) "co-operative year", in relation to any multi-state c~ operative society or class of such societies, means the year ending on the 30th day ~f june and where the accounts of such 'society or class of such societies are, with the previous sanction of the central 25 regi'5trar, balanced on any other day, the year endin~ on such day; (i) "deposit insuranee corporation" means the deposit insurance and credit cuarantee cotporationestablished under section 3 of the deposit insurance co,rporation act· 1961; 47 of 1981 , (j) ~'memher" mean's a person joining in the applicatiol1 for the 30 registration of a multi--8tate co-operative societ{y and 5nc1udes a person admitted to mem~t'ship after such registration in accordance with the provisions of this ad, the rules and the bye-laws; (k) "multi·state co-operative society" means a society registered or deemed to be registered under this act and include! a national 35 co-operative 'society; (1) "multi-state co-operative ,society with limited liability" means a society having the liability of its members limited by its bye-laws to the  amount, if any, unpaid on <th~ shares respectively, held by them or to such amount as they may, respectively, thereby'lo undertake to contribute to the absets of the' society, in the event of its being wound up; (m) "national' co-operative society" ~ans a multi-state c~ 'operative socie~ ~pecifted in the second schedule; (n) "notification" means a notification published in the official gazette; 5 (0) "officer" means a president, vice-president, chairman, vice--chairman, managing director, secretary, manager, member of a board, treasurer, liquidator, an administrator appointed under section 48 and includes any other person empowered under thils act or the rules or the bye-laws to give directions in regard to the business of a multi-state co-operative society; (p) "prescribed" means prescribed by rules; 10 2 of 1934 (q) "reserve bank" means the reserve bank of india constituted under the reserve bank of india act, 1934; (r) "rules" means the' rules made under this act  chapter ii central registrar and registration of societies15 4 (1) the central government may appoint a person to be the central central registrar of co~perative societies and may appoint such other regispersons as it may think fit to assist the central registrar trar (2) the central government may, by notification, direct that any power exercisable by the central registrar under this act (other than 20 the power of registration of a multi-state co-operative society) shall in relation to such society, and such matters as may be specified in the notification be exercisable also by any other officer of the central government or of a state government as may be authorised by th~ centrri government subject to such conditions as may be specified therein: provided that no officer of a state government shall be empowered to exercise such power in relation to a national co-operative society: provided fu~her that no officer of a state government below the rank of the registrar of co-operative societies shall be empowered to exercise any power exercisable by the central registrar under section 87 5 (1) no multi-state co-operative society shall be registered under multi-30 this act, unless the main objects of the society are to serve the int'?re~ts state coof members in more than one state operative societies which may be registered (2) subject to the provisions of sub-section (1), a multi-state cooperative society, which has as its objects the promotion of the economic 35 and social betterm~nt of ~ts members through mutual aid in accord~ce with the co-operative prmclples or a' multi-state co-opei"atlve socl~t~ established with the object of facilitating the operations of other such societies or of co-operative societies or of both may he register'?d ullder this act (3) the word "limited" or its equivalent in any indian language 40 fl· st  shall he suffixed to the name 0 every mu tlate co-operative 90clcty regtstered under this act with limited liability, 6 (1) for the purposes of registration of a multi-state co-operative society under this act, an application shall, be made to the central registrar in such form and with such particulars as may be prescribed (2) the application shall be signed~ (a) in the case of a multi-stateco-operative 'society of which all 5 the members are individuals, by at least fifty;persons from each of the states concerned; (b) in the cas~ of a multi-state co-operative society of which the members are co-operative societies, by duly authorised representatives on behalf of at least two such societies as are not registered 10 in the same state; and ~  (c) in the case of a multi-state co-operative society of which another multi-state co-operative society and other co-operative societies are members, by duly authorised representatives of each of such societies: 15 ',~ provided that not less than two of the co-operative societies referred to in clause (b) or clause (c), as the case may be, shall be such as are not registered in the same state (3) the application shall be accompanied by four copies of the proposed bye-laws of the multi-state co-operative 'society and the persons 20' by whom or on whose behalf such application is made shall furnish such information in regard to the society as the central registrar may require 7 (1) if the central' registrar is sati'sfied-(a) that the application complies with the provisions of this act and the rules; (b) that the proposed multi-state co-operative society satisfies the basic criterion that its objects are to serve the interests of_ members in more" than one state; (e) that thete is no other multi-state co-operative having similar area of operation and identical objects; society (d) 'that the proposed bye-laws are not contrary to the provisions of this act and the rules; and (e) that the proposed multi-state co-operative society has reasonable prospects of becoming a viable unit, he may register the multi-state co-operative society and its bye-laws 35 (2) where the central registrar refuses to register a multi-state co-operative society, he shall communicate the order of refusal together with the reasons therefor, to such number of the applicants and in such manner as may be prescribed 5 (3) the application for registration shall be disposed of by the central registrar within a period of six months from the date of receipt thereof by him: provided that if the central registrar is unable to dispose of the application within the period aforesaid, he shall make a report to the 10 central gov~rnment stating therein the reasons for his inability to do so, and the central government may allow him such further period or periods as is considered necessary to dispose of such application belistration crti flcat'¥ 8 where a m'ulti-state co-operative society is registered under this act, the central registrar shall issue a certificate of registration signed is by him, which shall be conclusive evidence that the society therein mentioned is duly registered under this act, unless it is provea that the registration of the society has been cancelled 9 (1) no amendment of any bye-laws of a multi-state co-<lperative society shall be valid, unless such amendment has been registered under 20 this act amendment of bye-law!! of a multi statcooperative lociety (2) every proposal for such amendment shall be forwarded to the central registrar and if the central registrar is satisfied that the proposed amendment-(a) is not contrary to the provisions of this act or of the rules; (b) does not conflict with co-operative principles; and (c) will ,promote the economic in~erests of the members of the multi-state co-operative society, he may register the amendment within a period of six months from 30 the date of receipt thereof by him: provided that if the central registrar is unable to register the amendment within the period aforesaid he shall make a report to the central government stating therein the reasons for his inability to do so, and the central government may allow him such further period or periods 35 as is considered necessary to register the amendment (3) the central registrar shall forward to the multi-state co-operative society a copy of the registered amendment together with a certi· ~ ficate signed by him and such certificate shall be conclusive evidence that the amendment has been d'uly registered (4) where the central registrar refu~es to register an amendment 40 of the bye-laws of a multi-state co-opera11ve society, he shall communicate the order of refusal together with the reasons 1herefor to the chief executive of the society in the manner prescribed within seven days from the date of such refusal 10 an amendment of the bye-laws of a multi-state co-operative society shall, unless it is expressed to come into operation on a particular day, come into force on the day on which it is registered "'hen  ·amenli· mentof bye-laws ciomes into force change ofnam~ 11, (1) a multi-state co-operative society may, by an amendment of its bye-laws, change its name but such change shall not affect any right 5 or obliga'ion of the multi-state co-operative society or of any of its members or past members, and any legal proceedings which might have been continued or commenced by or against the multi-state co-operative society by its former name may be continued or commenced by or against 10 its new name (2) where a mul~i-state co-operative society changes its name, the central registrar shall enter the new name on the register of multi-state co-operative societies in place of the former name and shall amend the cerhficate of registration accordingly changeo! address 12 every multi-state co-operative society shall have a principal place 15 of business and an address registered in the manner prescribed to which all notices and communications may be sent and any change in the principal place of business of a multi-state co-operative society shall be made with the previous approval of the central registrar liability 13 (1) no multi-state co-operative society with unlimited liability 20 shall be registered after the commencement of this act: provided that where a multi-unit co-operative society with un)fmited liability was functioning before the commencement of this att, such a society shall exercise the option within a period of one year from such 25 commencement either to continue to function as such or to convert itself into a multi-state co-operative society with limited liability by following the procedure specified in sub-sections (2) to (4) (2) subject to the provisions of this act and the rules, a multi-unit co-operative society may, by an amendment of its bye-laws, change the 30 extent of its liability (3) when a multi-uoit co-operative society has passed a resolution to change the extent of its liabuiy, it shall give notice thereof in writing to all its members and creditors, and, notwithstanding anything contained in the bye-laws or contract to the contrary, any member or creditor shall, 35 during the period of one month from the date of se,rvice of the notice upon him, have the option of withdrawing his shares, deposits or loans, as the case may be (4) any member or credit~r who does not exercise his option within > the period specified in 'sub-section (3) shall be deemed to have assented 40 to the change (5) an amendment of a bye-law of a multi-unit co-operative society changing the extent of its liability shall not be registered or shall not take effect until either-(a) the assent thereto of all members and creditors ha's been qbtained, or  -·45 (b) all claims of members and creditors who exercise the option referred to in sub-section (3) within ,the period specified therein have been met in full or otherwise satisfied 14 (1) a multi-state co-operative society may, with the prior con-5suuation of the central registrar and by a resolution passed by a inajority of not less than two-thirds of the members present and voting at a general meeting of the society held for the purpose,-(a) transfer its assets and liabilwes in whole or in part to any other multi-state co-operative society or co-operative society; 10 (b) divide itself into two or more multi-state co-operative societies; amalia mationor transfer of assets and liabilities ordivllion of' multi-sttecooperative societies, (c) divide itself into two or inore co-operative societies , (2) any two or more multi-state co-operative societies may, with the prior consultation of the central registrar and by a resolution passed 15 by a majority of not less than two-thirds of the members present and voting at a general meeting of each 'such society, amalgamate themselves and form a new multi-state co-operative society (3) the resolution of a multi-state co-operative society under subsection (1) or sub-section (2) shall contain all particulars of the transfer 20 or division or amalgamation, as the case may be: ' provided that in the case of a co-operative bank, the central registrar shall not accord approval to any such resolution without the previous sanction in writing of the reserve bank (4) when a multi-state co-operative society has passed a resollltion 25 under sub-section (1) or sub-section (2), it 'shall give notice thereof in writing to all the members and creditors and, notwithstanding anything 'conttained in the bye-laws or contract ,to the contrary, any member 01' creditor, shall, during the period of one month of the date of service of the notice upon him, have the option of withdrawing his shares, deposits 30 or loans, as the case may be (5) any member or creditor who does not exercise his option within the period specified in sub-section (4) shall be deemed to have assented "to the proposals contained in the resolution (6) (a) a resolution passed by a multi-state co-operative society 35 under this section shall not take effect 'until the assent thereto of' all the members and creditors has been obtained (b) the multi-state co-operative society shall make arrangements for meeting in full or otherwise satisfying all claims of the members 40 and creditors who exercise the option within the period specified in subsection (4) (7) on reecipt of an application for the registration of new societies formed by division in accordance with the resolution passed under subsection (1) or of a new 'society formed by amalgamation in accordance with the resolution passed under sub-section (2), ,the central registrar, 45 on being satisfied that the resolution has become effective under subsection (6) shall, unless for reasons to be recorded in writing he thinks fit to refuse so to do, register the new societies or society, as the case may be, and the bye-laws thereof (8) on the issue of an' order under sumection (7), the provisions of 50 sectioill 17 shall, so far as may be, apply to the multi-state co-operative society so divided or the multi-state co-operative societies so amaliamated (9) where a resolution passed by a multi-state co-operative society under this section involves ithetransfer o~ any assets and liabilities, the resolution shall, notwithstanding anything contained in any other law for the time being in force, be a sufficient conveyance ,to vest the assets and liabilities in the transferee without any further assurance 5 l'of 1949 15 when an order of moratorium has been made by the central government under sub-6ection (2) of section 4'5 of the banking regulation act, 1949 in respect of a co-operative bank, the central registrar, with the ,previous approval of the reserve bank in writing, may, during the period of moratorium, prepare a scheme-10 (a) for the amalgamation of the co-operative bank with any other cch>perative bank; or (b) for the reorganisation of the co-operative bank central reaislrllr to prepare scheme of amal-iilmation orreoraanisation of cooperative bank in certain c1lses 16 notwithstanding anything contained in section 14 or any other provision of this act, where a co-operative bank, being an insured bank 15 within the meaning of the deposit insurance and credit guarantee corporation act, 1961, is amalagamated or reorganised and the deposit 47 of 1961 liability of a cooperative bank to the deposit insurance and credit guarantee corporation insuranc~ corporation has become liable to pay to the depositors of the insured bank under sub-section (2) of section 16 of that act, the bank with which such insured bank is amalgamated, or the new co-operative 20 bank formed after such amalgamation, or, as the case may be, the insured bank or transferee bank shall be under an obligation to repay to the deposit insurance corporation in the circumstances, to the extent \ and in the manner referred to in section 21 of the deposit insurance and credit guarantee corporation act, 1961 25 cancellation of reaistration eertiftc1lte of multi-state c0-operative societies in'certain cases 17 (1) where the whole of the assets and liabilities of a multi-state co-operative society are tran'$ferred to another multi-state co-operative society or to a co-operative society in accordance with the provisions of section 14, the registration of the first-mentioned multi-state co-operative society shall stand cancelled and the society shall ~ deemed to have 30 been dissolved and shall cease to exist as a corpo,rate body (2) where two or more multi-state co-operative societies are amalgamated into a new multi-state c~operative society in accordance with the provisions of section 14, the registration of each of the amalgamating societies 'shall stand cancelled on the registration of the new 35 slociety, and each of the amalgamating societies shall be deemed to have been dissolved and shall cea&e to exist as a corporate body (3) where a r~ulti-state co-gperative society divides itself into two or more multi-state co-operative societies or two or more co-ope,rative societies in accordance with the provisions of section 14, the registration 40 of that society shall stand cancelled on the registration of the new societies,  and that society shall be deemed to have been dissolved and shall cease to exist as a corporate body (4) the amalgamation or division of multi-state co-operative societies sh'all not in any manner whatsoever affect any right or obliga- 45 tion of the resulting multi-state co-operative society or societies or render defecti ve any legal proceedings by or against the multi-state co-operative society or societies, and any legal proceedings that might have been continued or commenced by or against the multi-state co-operative society or societies, as the case may be, before the amalgamation or division may be continued or commenced by or against the resulting multi-state co-operative society or societies 18 (1) a co-operative society may, by an amendment of its bye-5 laws, extend its jurisdiction and convert itself into a multi-state cooperative society: provided that no such amendment of bye-laws of a co-operative society shall be valid unless it has been registered by the central registrar i i conversion of co-operative society into multistate cooperative society, 10 (2) (a) every proposal for such amendment shall be forwarded to the central registrar  (b) if the central registrar, after consulting the registrar: of cooperative societies of the states concerned , has satisfied himself that such amendment fulfils the requirement of sub-section (2) of section 9, 15 he may register the amendment within a period of six months from the date of receipt thereof by him: provided that if the central registrar is unable to register the amendment within the ~iod aforesaid, he shall make a report to the central government stating therein the reasons for his inability to do 20 so, and the central government may allow him such further period or period's as is considered necessary to register the amendment (3) the central registrar shall forward to the co-operative society a copy of the registered amendment together with a certificate signed by him and such certificate shall be conclusive evidence that the amendment 25 has been registered (4) where the central registrar refuses to regi'ster an amendment of the bye-laws of a co-operative society, he shall commun:cate the order of refusal together with the reasons therefor to the society in the manner ,prescribed within seven days from the date of refulal 30 (5) (a) once the amendment of bye-laws has been registered by the central regisirar, the co-operative society shall, as from the date of registration of amendment, become a multi-state co-operative society (b) the central registrar shall forward to the co-operative society a certificate signed by him to the effect that such society has been re-35 gistered as a multi-state co-operatiw society under this act and also forward a copy of the same to the registrar of co-operative'societies of the state concerned ' ~c) the re~istrar of co-operative societies referred to in clause (b) shall thereupon make an order directing that the society had, as from the 40 date of registration by the central registrar, ceased to be a society under the law relating to co-operativ'e! societies in force in ,that state  chapter m members of multi-state co-op~rative socibties and their rights and liabilrnes45 19 (1) no person shall be admitted as member of a multi-state cooperative society except the following, namely:-persons who may become member!!, (a) an individual competent to contract under igecti<m ii qf the indian contract act, 1872; (b) any multi-state co-operative society or any c:o-operative society; (c) the central government; (d) a state government; (e) the national co-operative development corporation estab-5 lished under the national co-operative development corpqration act, 1962; 26 of 1962 (1) any other corporation owned or controlled by government; (g) any government company as defined in seetion 617 of the companies act, 1956; 10 1 of 1956 (h) such class or classes of persons or association of persons as may be permit~ by the central registrar having regard to the nature and activities of a multi-state co-operative society (2) such number of individuals possessing such qualifications as may be prescribed may be admitted as members of the national cooperative union of india limited:, new delhi 15 (3) save as otherwise provided in sub-section (2) and notwithstanding anything contained ill sub-section (1), no individual shall be eligible for admission as a member of a national co-operative society (4) any person eligible for membership of a multi-state co-operative 20 society may, on his application, be admitted as a member by such society (5) every application for admission as a member of a multi-sta~ co-operative society 'shall be disposed of by such society within a period of four months from the date of receipt of the application, and the decision of such society on the application shall be communicated to the ~5 applicant within fifteen days from the date of such decision: provided that if the application is not disposed of within the period aforesaid, or the 'decision is not communicated within a period of fifteen days of the expiry of the aforesaid period of four month's, the multi-state co-operative society shall be deemed to have made a decision, 30 on the date of expiry of such period, refusing admission to the applicant (6) notwithstanding anything contained in this section the central government may, having regard to the fact that the interest of any ~on or class of persons conflicts or is likely to confllct with the objects of any multi-state co-operative society or class of multi-state· co-operative 3ci societies, by general or special order 'published in t!te official gazette, declare that any person or class of persons engaged in or carrying on any profession, business or emplo)'!ment shall be disqualified from bt!ing admitted, or for continuing, as m-embers or shall be eligible· for membership only to a limited extent of any specified multi-state co--operative 40 society or class of multi-state co-operativesocieties, so long as such person or persons to; or are engaged in or carrying on that profession, bu'siness or eml?loyment, as the case may be 20 no member of a multi-state co-operative society shall exercise the rights of a member, unless he has made such payments to the society 15 in respect of membership, or has acquired 'such interest in the society, as may be specified in the bye-laws :-,members not to exercise rights ti1ldue payment made expulsion "1 of members n (1) a multi-state co-operative society may by resolution puaed by a majority of not less than two-thircbi of the 'members present and voting at a general meeting of members held for the purpose, expel a member for acts which are detrimental to the proper working of the 5 society: provided that the member concerned shall not be expelled unless he has been given a reasonable opportunity of making representation ill the matter (2) no member of the multi-state co-operative society who has been 10 expelled under sub-section (1) shall be eligible for re-admission u a member of that society, for a period of three years from the date of such expulsion: provided that the central registrar may, on application of the multi-state co-operative society and if satisfied that in the special circum-15 stances of the case, it is necessary so to do in toe interests of the multi-state co-opera1tive society, sanction the re-admission or admission within the said period, of any such member as a member of the said society votes of members 2% every member of a multi-state co-operative society, including a member who is an employee of suchi society, shall have one vote in the 20 affairs of the society: provided that-(a) a member who is an employee of such society shall not be entitled to vote-(i) at an election of a member of the board of such society; (i4) in any general meeting convened for framing the byelaws of such 'society or any amendments thereto: (b) in the case of an equality of votes, the chairman shall have a second or casting vote; (e) where any of the authorities referred to in clauses (c) to (g) of sub-section (1) of sectio~l 19 is a member of a multi-state co-operative 'society, each person nominated by such authority, on the board, in accordance with the provisions contained in this act and the rules, shall have one vote; (d) a muiti-s~te co-operative society, the members of which 35 include co-operative societies or other multi-state co-operative societies, may provide for an equitable system of voting havidg regard to the membership of, and the extent of business carried on by such co-operative societies, or multi-state co-operative societiel; and other relevant circumstances 40 23 every member of a multi-state l'o-operative society shall exercise his vote in person and no member shall be pel'ldltted to vote by proxy: manner ~ olasercisilll vote provided that a multi-state co-operative society or ace-operative society which is a member of another multi-state co-operative society, 45 may, ubject to the provisions of sub-section (3) of section 29 and the 7-rules, appoint its representative to vote on its behalf in the affairs of that other society lteitrictiona on holding ofsharea 24 no member, other than any of the authorities referred to in clauses (c) to (g) of sub-section (1) of section 19 or a multi-state c0-operative society or a co-operative society, shall hold more than such 5 portion of the total share capital of the society (in no case exceeding one-fifth thereof) as may be prescribed: provided that the central gove,rnment may, by notification, specify in respect of any class of societies a higher or lower maximum than one-fifth of the share capital 10 25 the transfer of the share or interest of a member in the capital of a multi-state co-operative society shall be subject to such conditions as to maximum holding as are specified in section 24 rcstrictlodaod transfer otshares or i,  intertll t  redemptlodot shares 26 shares held in a multi-state co-operative seciety by any of the authorities referred to in clauses (c) to (g) of sub-section (1) of sectioll 15 19 shall be redeemable in accordance with the bye-laws of such multi-state co-operative society and in a case where the bye-laws do not contain any provision in this regard, in such manner as may be agreed upon between the multi-state co-operative society and 'such authority 'l'radafer otlntereaton death ot members 27 (1) on the death of a member, a multi-state co-operative society ~o may transfer the share or interest of the deceased m~mber to the persod nominated in accordance with the rules made in this behalf, or, if there is no person so nominated, to such person as may appear to the board to be the heir or legal representative of the deceased member, or pay to such nominee heir or legal representative, as the case may be, a sum 25 representing th4l value of such member's share or interest as ascertained in accordance with the rules: provided that no such transfer or payment shall be made except with the consent of the nominee, heir or legal representative, as the case may k ~ (2) a multi-state co-operative society shall, unless within six months of the death of the member prevented by an order of a competent court, pay to such nominee, heir or legal rep,resentative, as the case may be, au other moneys due to the deceased member from the society (3) all transfers and payments made by a multi-state co--operative s5 society in accordance with the provisions of this section shall be valid and effectual against any demand made upon the society 'by any other peraon z8 (1) su~ject to the provisions of sub-section (2), the liability of a past member or of the estate of a deceased member of a mulu-btate 40 co-operative society for the debts of the society as they existed,-llabllity otput ',-member and-tate of deceased (ii) in the case of a past member, on the date on which he ceased to be a member; ~ember (b) in the case of a deceased member, on the date of his death, fihall conttnu~ for , period of two ,,1'1 from such date (2) notmthstanding anything contained in sub-section (i), where a mulustate co-operative society is ordered to be wound up under section 77, the liability of a past member who ceased to be a member or of the estate of a deceased member who died within two y~ars 5 immediately preceding the date of the order of winding up, shall continue until the, entire liquidation proceedings are completed, but such liability shall extend only to the debts of the society as they existed on the date of cessation of membership or death, as the case may be  chapter iv direction and management of multi-state co-operative 10 societiils29 (1) the general body of a multi-state co-operative society shall consist of all the members of such society: genera1 bod, constitution, powc:r and tunctioa& provided that where the bye-laws of a multi-state co-operative society provide for the constitution of a smaller b0dy consisting of delegates of members of the society elected or selected in accordance with such byelaws, that smaller body shall exercise such powers of the general body as may be prescribed or as may be specified in the by,e-iaws of the society (2) subject to the provisions of this act, the rules and the bye-iawa, r20 the ultimate authority of a multi-state co-operative society shall vest in the general body of its members: provided that nothing contained in this sub-section shall affect the exercise by the board or any officer of a multi-state co-operative society of any power conferred on such board or such officer by this act or the 125 rules or the bye-laws (3) where in any, mt:eting of the general body or the board of a multi· state co-operative society, a co-operative society or another multi-state co-operative society is to be represented, such co-operative society or other multi-state co-operative society shall be represented in such 30 meeting only ,through the chairman or the chief executive o~ such cooperative society or other multi-state co-operative society, as the case may be, and where there is no board of such co-op,e,rative society or other multi-state co-operative society, for whatever reasons, through the administrator, by whatever name called, of 'such co-operative society or as other multi-state co-operative society 30 (1) every multi-state co-;operative society: shall, :witbin such period as may be prescribed, after the close of the year call a general meeting of its members in the manner prescribed for the purpose of-(a) consideration of the audit report and annual report; annual genetl meetiftg of the general bod, (b) disposal of net profits; 40 (c) approval of the programme of activities tor tbe ensuing year; --  ,  (d) amendment of bye-laws; (e) election, if any, of the members of the board, otber than ~5 nominated members, subject to the provisions of section 35: provided that the central registrar may, by general or special order, extend the period for holding such meeting for a further period not exceeding three months:   ~   ii provided further that if in the opinion of the central registrar no such extension is necessary or such meeting is not called by ,the multi state co-operative society within the ,extended period, if any, granted by him, the central registrar or any person authorised by him in this behalf may call such meeting in the manner prescribed, and that meeting shall 5 be deemed to be a general meeting duly called by the society and the central registrar may order that expenditure incurred in calling such a· meeting shall be paid out of the funds of the society or by such ~ or pel'sons who, in the opinion of the central registrar, was or were responsible for the refusal or failure to convene the general meeting 10 (2) at every annual general meeting of a multi-state co-operative society the board shall lay before the society a statement showing the details of the loans or goods on credit, i~ any, given to any of the members of the board or to the spouse or a son or daughter of a member of the board during the preceding year or outstanding ajitainst him or against 15 i;uch spouse or son or daughter of the member of the board r special itme'l'al meetine of the aeneral body 31 (1) the chief executive may, at any time, on the direction of the board, call a special general meeting of the society and shall call such meeting within one month after the receipt of a requisition in writing from the central registrar or from such member or members or a 20 proportion of the total number of members, as may be provided in the bye-laws (2) if a special genpral meeting of a multi-state co-o~ative society is not called in accordance with the requisition referred to in sub-section (1) the central registrar or any person authorised by him in this behalf 25 shall have the power to call such meeting and that meeting shall be deemed to be a meeting called by the chief executive in accordance with the provisions of that sub-eection and the central registrar may order that the expenditure incurred in calling such meeting shall b8 paid out of th~ funds of the society or by such person or persons who 30 in the opinion of the central registrar, was or were responsible for the refusal or failure to convene the special general meeting ~1 boardof directon 32 subject to the provisions of this act and the rules there shall be a board of directors for every multi-state co-operative s~iety consisting of such number of members as may be provided for under the bye- 35 laws 33 every multi-state co-operative society shall devise such procedure, as may be specified in /fue bye-laws or in the administrative instructions, for association of the representatives of employees of such multi-state co-operative societies at such level or bodies as may be 40 specified in the bye-laws or the instructions issued in this regard, in the management decision maldng process asaociatlon of employe  in the management decision making proeess diaquali-\ ftcalion r rot a member or board 34 no mem:ber of any multi-8tate co-operative society or nominee of a member-society on a national co-operative society shall be eligible for being chosen as, or for being, a member of the board of such multi-state co-operative society or national co-operative society or of any other co-operative society to which the multi-5tate co-operative society is aftluated, if such member-(4) has been adjudged by a competent court to be insolvent or of unsound mind; (b) is concerned or participates in ,the profits of any contract with the society; (c) has been convicted for an offence involving moral turpitude; 5 (d) holds any office or place of profit under the society: provided that the chief executive or such full-time employee of the society as may be notified by the central government from time to time or a person elected by the employees of such society to 10 represent them on the board of such society shall be eligible for befng chosen as or for being a member of such boardi (e) has been a member of the society for less than twelve months immediately preceding the date of such election or appointment; 15 (f) has interest in any business of the kind carried on by the society of which he is a member; (g) has taken loan or goods on credit from the society of which he is a member, or is otherw;se indebted to such society and after the receipti of a notice of default issued to him by such society, has defaulted-20 (~) in repayment of such loan or debt or in payment of the price of the goods taken on credit, as the case may be, within the date fixed for such repayment or payment or where 'such date is extended, which in no case shall exceed six months within the date sq extended, or (ii) when such loan or debt or the price of goods taken on credit is to be paid in instalments, in payment of any tmtalment, and the amount in default or any part thereof has remained unpaid on the expiry of six months from the date of such default: provided that a member of the board who has ceased to hold office as such under this clause shall not be eligible, for a period of one year, from the date on which he ceased to hold ofllce, for reelection as a member of the board of the multi-state co-operauve society of which he was a member or for election to the board of any other multi-state co-operative society; 35 (h) is a person against whom any amount due under a decree, decision or order s pending recovery under this act; 40 (i) is retained or employed as a legal practitioner on behalf ot or against the multi-state co-operative society, or on behalf of or againflt any other multi-state co-operative society which is a member of the former society 25 of 1961 explanation-for the purposes of this clause "legal practitioner" has the ~ame meaning as in clause (i) of sub-section (1) of secuon 2 of the advocates act, 1961: 45 (j) has been convicted for any offence under this act 35 (1) the superintendence, direction and control of the preperation of the elef'toral rolls for, and tbe conduct of, elections of the members of the board of such multi-state co-operative societies or class of multi  state co-operativc societies as the central government may, by general 01' special order notify, shall be vested in sucb returning officers as may 5 be appointed by the central regicrtrar in tbis behau (2) the vote at such elections shall be by secret ballot (3) the term of office of the elected members of the board ~hal1 be such, not e~:ceeding three years from the date of election, as may be specified in the bye-laws of a multi-state co-operative society: 10 provided that the elected members shall continue to hold office till their successors are elected or nominated under the provisions of this act or the rules or the bye-laws and assume the charge of their office (4) no person shall be eligible to be elected as a member of the board of a multi-state co-operative society unless he is a member of the 15 general body of that 'soc~ty (5) the central government may make rules generally to provide for or to regulate matters in respect of elections of members of the board 36 notwithstanding anything contained in this act, no person shall be eligible to hold, at the same time, office of a president or chainrum 20 or vice-president or vice-chairman on the board of more than one multi-state co-operative society: holding of office in cooperativ:e socdety provided that any person holding, at the commencement of this act, the office of a president or chairman or vice-president or vice-chairman in more than one multi-state co-operative society shall, within three 2; months from such commencement by notice in wrlting signed by him, intimate the name of the multi-state co-operative society in which he wishes to 'serve and thereupon his office in the other multi-state cooperative society in which he does not wish to serve shall become vacant: , 30 "'-' provided further that in default of such intimation within the period r~red to in the preceding proviso, his offices in all the multi-state cooperative societies shall, at the expiration of the period aforesaid, become vacant 37 no person shall be eligible to hold the office of a president or 95 chairman or vice-president or vice-chairman on the board of a multi-state co-operative society, after he has held the office as aforesaid during two consecutive terms, whether full or part: provided teat a person who has ceased to hold the office of a president or chairman continuously for one full term of three years shall again 40 be eligible for election to the offices aforesaid explanation-where any person holding the office of the president or vice-president or chainnan or vice-chairman at the commencement of this act is again elected to that office <lfter such commencement he , shall for the purpose of this section, t·e deemed to have held oftice lor 45 one term before such election payment ;\;«' of honorarium 38 honorarium may be paid to the elected chairman or president of the board out of the profits of the multi-state co-operative society in respect of specific services rendered by him subject to such restrictions and condition's as may be prescribed removal of elected members by general body 5 39 an electerl member of a board who has acted adversely to the interests of multi-state co-operative society may, on the basis of a report from the central registrar or otherwise, be removed from the board upon a resolution of the general body passed at its meeting by a majority of not less than two-thirds of the members present and voting at the 10 meeting: provided that the memherl concerned shall not be removed unless he has been given a r'pasonable opportunity of making representation in the matter 40 if in spite of cessation of office under circ!umstanees mentioned in 15 section 34, ~tion 36, section 37 or section 39 a member of "he board reful'ies to vacate hi's office, the central registrar shall, by ol'der in writing, remove him from such office i | removal    ||------------|| ofmem     || ber        || by         || central    || registrar |41 (1) where the central government ot a state government has subscribed to the share capital of a multi-state co-operative society or 10 has guaranteed the re-payment of principal and payment of interest on debentures issued by a multi-state co-operative l;iociety or has guaranteed the re-payment of principal and payment of interest on loans and advances to r multi-stlite co-operatlve society, the central gov'8dment 0f the state government in this behalf, as the case may be, or any person no~ iltce,u tralgov_ ernment or state government on the board !:i5 au+hol'iqed h  th~ central c"rovernment or the state government, shall havf~ thp right to nominate on the board such number of persons aft may be !,rescribed , - (2) the bye-laws of a multi-state co-operative society may provide for ,the nomination of person'l in excess of the limits prescribed under sub~tion (1) (3) a pe,rson nominated undpr this l'~tjon shall hold office during the pleasure of the government by which he has been so nominated 42 (1) the board may exercise all such powers as may be necessary or exoechent for the purp'l~e of carrving out its functions under this act powers and functions of the board (2) without prejudice to the generality of the foregoing power, such s5 po·,ver shall include the power-(a) to admit members; (b) to :nte-pret the org~nisational ohiectives and 'set up speclfte goals to h 3chieved tow,lf(is these objectives; (c) to make perioiic appraisal of operation; (d) to appoint a chief executive and such other employees of f!he society (out of the list of persons referred to in sectton 50) as are not required to b~ appointed by the chief executive; 45 (e) to make provisions for re~lating the appointment of employees of the multi-state co-operative society and the scates of pay allowances and other conditions of service of, including di'sciplinary action against, such employees; ~ (f> to approve ann'ual and supplementary budget: (g) to acquire or dispose of immovable property; (h) to raise funds; (i) to sanction loans to the members; and (;) to take 'such other measures or to do such other acts as may be prescribed or required under this act meetings of the board 43 (1) the chief executive shall convene the meetings of the board at the instance of the chairman or president of the multi-state co-operative society (2) the total numher of meetings of the board in a year and the 10 venue of meetings may be such as may be prescribed: provided that the board shall meet at least once in every quarter chief  ' ~ecutive ott (1) there shall be a chief executive, by whatever designation called, of every multi-state co-operative society, to 'qe appointed by the board and he shall be a full-time employee of such multistate' co- 15 operative society (z) the chief executive shall be a member of the board and of the ~uve committee and such other committees or sub-committee3 ~ maybe constituted under sub-section (1) of section 46 (3) the functional directors in national co-operative societies shall 20 also be members of the board (4) where the central government has subscribed to the extent of more than one-bah of the share capital of a national co-operative society, it shall be obligatory on such a socipty to seek prior approval of the central govemment to the appointment of chief executive and the 25 functional directors powers and 45 the chief executive shall exercif'e the powers and discharge the functions, specified below, namely:-~ functions \cdchief a-uttve, (4) day-to-day management of the business of the multi-state co-operative society; so (b) operating the· accounts of the multi-state co-operative , society and be respomrible for making arrangements for safe custody of cash; (e) signing on the dot!uments for and on behalf of the multi-state co-operative society; i 35 (d)" making _arrangements for th~ proper maint~nance of ii various books and records of the multi-state co-operatjve society - and for the correct pr<eparation, timely submh;sion of periodical ,(, statements and returns in accordance with the provisions of this act, '4! the rules and tlie bye-laws; "i  40 (e) eollvenin~ mee1inj:ts of the general body of the multi-state co-operative society the board and the executive committee and othe:r cbmmlttees (\l" 's'ub-eommittees constituterl undpr !'lllb-ser1lol1 (1) of eectlon 46 and maintaining proper records for such meetings; (1) making appointments to posts in the multi-state co-operative 4' society in accordance with the rules made under clause (e) of sub-:> section (2)" of section 42 except the p )sts in relation to which the ,  ,:t'v~:~' "                <                    ~ power of appointment vests in the board under clause (d) of that sub-section,'   (g) assisting the board in the fonnulation of policies ed objec-tives and planning; - 5 (i,t), furnishing t~ the board ~riodical information necespry for appral'smg the operations ami functions of the multi-state co-operative society; 10  (0 performing such other' duties, and exercisillg such other powers, as may be prescribed or as may be specified in the bye-iawl of the multi-state co-operative society, 46 (1) 'the board may, 'subject to such conditions as may be pn cribed, constitute an executive committee and other committees or subcommittees, as may be considered necessary, committees of t'he board (2) the executive committee or other committee or sub-committee 15 referred to in sub-section (1) shall perfot-m such functions as are assigned to it in accordance with the hye-iaws of the' multi-state cn-operativ:! society  central government's power to  live directions in the public interest 47 if the central government is' satisfied that in tjje public interest or  for the purposes of sec-uring proper implementation of collo operative production and other developmental programmes approved or undertaken by the central gov~ment or to secure proper management of the business of the multi·state co-oparative 'societies generally or for preventing the affairs of the multi-state co-operative society being con  ducterl in a manner detrimental to the interests of the ll;)etnbers, any 25 depositors or ereditors thereof, it is necessary to issue directions to any class of multi-state co-operative societies generany or to any multi-state co-operative society or societies in particular, the central government may isslle directions to them or t9 it, from time to time, and all such multi-state co-operative societies or the society >concerned, as the case 30 may be, shall be bound to comply with such directions 48 (1) if in the opinion of the central registrar the board of any multi-state co-operative society is persis~ntly making default or is negligent in the performhnce of the duties imposed on it by this act or the ~ules or the -bye-laws or has committed any act which is prejudicial to 35 the interests of the ~ociety or its members, or has omitted or faned to comply with any directions ven to it under section 47 or that there is a stalemate in the constitution or funetions ot the board, the central registrar may, after giving the boaj;'d nn opportunity to state its objections if any, and considerin~ 40 the objections, if received, by order in writing, remove the board and appoint one or more administrators, who need not be members of the society, to manage the affairs of the society for such period not exceeding one year, as may be specified in the order which period' may, at tne discretion of the central registrar, be extended from time to tim~; 45 so, however that the aggregate period ~s not ex'ceed two years (2) the centr<11 registrar may fix such ;remuneration for the adminfs-1rators as he mav think fit and the remuneration shall be paid otlt of the funds of th~ multi-state c~operative ~lety (3) f'the administrator shall, 'subject to the control of the central 50 registrar and to such instructions as he may from time to time give, have- power to ~xerc~f' all or an~ of the functions of the board or of / any officer of the multi-state cooperative society  and take all such actions as may be required in the interests of the ·so~iety (4) save as otherwise provided: in sub·section (5), the administrator shall, before the expiry of his term of office, arrange for the c?nstitution of a new board in accgrdance with the bye-laws of the multi-state co· 5 operative society (5) if at any time during the period, the administrator is in office, the central registrar considers it necegsary or expedient so to do, he may, by order in writing giving reasons therefor, direct the admini~trator to a;rrange for the constitution of a new board for such multi-state j 0 caoperative society in accordance with the bye-laws of such soci~ and immediately on the constitution of such board, the administrator shall hand over the management of such society to such newly constituted board and cease to function (6) where a  multi~tate co-operative society is ~ndebted to any 15 financial institution, the centr&l registrar shall, before taking any ~ction, ' under sub-section (1) in r~ of that society, consult the financial idstitution  , (7) notwithstanding anything contained in this act, the central registrar shall, in the case of a co~opera~ive bank, if so required in 20 writing by the reserye bank in the public interest or for preventing the affairs of the caope11ltive bank being cqp-ducted in a manner detrimental to the interesta of the depositors or for~~securing the proper management of a co-operative bank, pass an order for the supersession of the board of that co-operative bank and for the appointment of an administrator therefor for ,such period qr ,periods not exceeding five years in the 25 aggregate as may from time to time be \;pecifted by the reserve bank 49 (1) if-securing ,jlcisleulon ofreeol'cis, etc: «(i) the records (including registers 1lnd books of accounts) of a multi-state eaoperative society' are likely to be tampered with or 30 destroyed or the funds or other property of such society are likely to be misappropriated or misapplied; or (b) the board of a multi-state 'co-operative 'society is reconstt ruted at a general meeting of the society; or (e) the board of a multi-state co-operati~ society is removed :$5 by the central registrar under sub~ction (1), of section 48; or (d) a multi·state co-o~at1tf society ·is ordered to be wound; up under section 77 and the outgoing members of the board refuse to hand over charge, of the record's and property of the society to those having, or entitled to receive such charge, 40 ~e central registx:ar may apply to the magistrate within wh~e jurisdiction  the multi-state co-operative society functions for 'secojring the r~cords and property of the society (2) on receipt of an appli<:ation under sub-section (1), the magistrate' may, ~y :a warrant, authorise any police officer not belovi the rank of a sublnspector to enter and search any place where wch ret'ords and 45 property are kept or are believed to be kept and to seize such records and property; and the records and, property so seizt!d shall be handed  over to the new board or administrator of the :tnultistate' co-operative society or the liquidator, as the case may be, (s) every such search and seizure shall h~ ,made in accordance· with 50 the provisions of the code of criminal proce~un 1973 "  :   ' 50 the central government shall-(a) constitute a body of persons in the manner prescribed for the preparation of a list of persons eligible for appointment to the body of posts of chief executives and other managerial posts in national i:::~~ 5 co-operative societies', ,the maximum p3y-scale of whicih exceeds paration such amount as may be prescribed; ot list, ' (b) make rules for regulating the recruitment, remuneration, etc allowances and other conditions of service of officers and other einployees of nationalco-operative societies 10 51 no act of a multi-state co-ope,rative society or of any board or ~f an,y committee or of any o~cer of the 'society shau bed~med to be lnvahd by reason only of the existence of any defect in the procedure or in the co~stitution of the society or of the board or of the committee thereof or in the appointment or election of an oftloer or on the ground 15 that such officer was disqualified to hold office , \ :-| acts       | of    ||------------|-------|| multi-     |       || state      | co-   || operative  |       || locieties  |       || not        |       || to         |       || be         |       || jdvalidat- |       || ed         |       || by         |       || certain    |       || defects,   |       | chapter v privileglls of multi-state coopmatlve socie'nes52 the registration of a multistate co-operative society shall render it a body corporate by the name under which it is registered having multiatatecooperative lociety to be body corporate ~o perpetual succession alld a commoo seal" and with power to hold property, enter into contract, institute and def,end suits and other legal proceedings and to do all things necessary for the purposes for which it is constituted charle and set-off in respect otshare orcontrj-bunon or 4lterest otmem- ber •  share or codtri· butjoa or interelt not liable toattacb· mom t53 a multi-state co-operative society shall have a chargeon the !lt5 share or contribution or interest in the capital and on the deposits of a member or past or decessed member and on any dividend, i bonus or profits payable to a member or past ,member or the estate of a deceased member in respect of any debt due from such member or past member, or the estate of such deceased member to the society, and 30 may se~-off any sum cr,edited or payable to a member or past member or the estate of deceased member in or towards payment of any such debt-54 (1) subject to the provisions of sectioft 53, the share f)r contribution or interest of a member or past or deceased member in the 35 capital of a multi-state co-operative society lihall not be liable to attachment or sale under any decree -or order of any court in respect of any debt or jiability incurred by such member, and an official assigrieeor a ,receiver under any law relating to insolvency shall not be entitled to or have any claim on such share or contribution or interest 40 (2) the reserve fund, or the bad debt reserves, or the provident , fund of the employees, of a multi-state co-operati~ society invested by such society in accordance with the provisions of this act and the rules shall not be liable to attachment under any decree or order of a court in respect of any debt or liability incurred by the 'society kepler ol,~ 55 any register qr list of members or shares kept by any multi-45 state co-operative society shall be prima 'facie evidence of any of the following particulars entered therein, namely:-(a) the date on which snyperson entered in such register 6r list became a member; (b) the date on which any such person ceased to be a member tlnlty of entry" evidence 56 (1) a copy of any entry in a book of a multi-state co-operative society regularly kept in the course of its business shall, if certified in such manner as may be prescribed be received in any suit or legal proceedings as prima ftjcie evidence of ,the exi'$t\id<:e of such entry an~ shall 5 be admitted as evidence of the matters, transactions and accounts therein recorded i~ every case wh~e, and to the 'same exrent as, the original entry itse1f is admissible {2) no officer of a multi-state co-operative society and no officer in whose office the books of a multi-state co-operative society are deposited 10 ,after liquidation shall, in any legal proceedings to which the 'society or the liquidator is not a party be compelled to produce any of the society's books or' documents the contents of which can be prove:! under this section, or to appear as a witness to prove the matters, transactions and accounts therein recorded, except under an order of a court or an 15 arbitrator made for a special cause ' 51 nothing in clauses (b) and (c) of sub-section (1) of section 17 of the registration act, 1908, shall apply tol~of 1908 exemption from com-(a) any instrument relating to shares in a multi-state cooperative society notwithstanding ,that the assets of the society 20 consist in whole at' in  part of immovable property; or puliory~ gistration of instrumonu (b) any" debenture issued by any such society and not creating declaring, assigning limiting or' extinguishing any right, title or interest to or ·in immovable property, except in so far as it entitles the holder thereof to the security afforded by a  registe{ed instrument whereby the society has mortgaged, conveyed or \ ot~erwise 25 transferred the whole or p~t of its immovable property "or any interest therein to trustees upon trust for the benefit of the holders of such debentures; or (c) an endorsement upon or trander of any" debenture issued 30 by any such society "1eductiod 58 (1) notwithstanding anything contained in any law for the time from' ' being in force, a member of a multi-state co-operative society may salary to executive an agreement in favour of that society providing that his em-=i-state ployer disbursing his salary or wages shall be competent to deduct every 35 c:o-operatlft month from the salary or wages payable to him, such amount as may eoclety' be specified in the agreement and to pay the amount so deducted to the clllim in society in satisfaction of any debt or other demand owing by the member certain to the society caiei (2) on the execution of such agreement, the employer disbursing 40 the salary or wages of the members shall, if 'so required by the multi-state co-operative society by a requisition in writing and so long irs the society does not intimate that the whole -of such debt or other demand has been paid, m8kethe deduction in accordance with the agreement and pay the amount so deducted to the society within a periodot fourteen days of the date on which deduction has been made 45 as if it were a p8,1't of the 'salary or wages payable on the day as re-'quired under the payment of wages act, 1936, and such payment shall be valid dischlu'ge of the employer for his liability ,to pay the amount deducted ,   (3) if after the receipt of a requisition made wld<er sub-section (21), the employer disbursing the salary o,r wages of the member at any time fails to deduct the amoull·t specified in the requisition from the· salary or wages payable to the member concerned or makes default in r~, 5 mitting the amount deducted to the multi-stateco-operative society the society shall be entitled to recove,r any such amount from such empioyer as arrears of land revenue and the amount so due from such employer shall rank in priority in respect of the liability of such employer equal to that of the salary or wages in arrears, 10 59 notwitbstanding a,'lything co_oed iu any law ior dietime being in force, the central g01'enament ol' a sbitc government may, with a view to prome, 'jog co-operafive idovemelit,-(a) subscribe to the share capital of a idulti-state co-opencife society; government aid to multi-state cooperative societies, j 5 (b) pve loi\ds or make aclvantes to a mujdste cchpel'ltive society; (c)gu&i'antee the repayment of; principal aod payment 01 idierest on 4ebedtures issued by a multi-&ate co-ojlft1h:ive soci)'; llo (d) ~ the repayment of s1we capital of  nwl1i-state co-opet'8dve iociety and dividends thereon at sucb rates as  y be apecified ~ the central govenuneot or tile state govel'lllmtllt; ee)' guarantee tbe repayment of principal aod payment ,of interest 08 ioon5 and advances to a multi-state co-operauve 8odety; (f) give financial a<;sistance in any other form, lociuciing subsidies, to  multi-state co-operadve society  chapter vi properties anii funds of multi-state co-opebative socijr1'ies60 (1) no part of the funds, other than net profits, of a multi-state co-operative society shall be divided by way of bonus or dividend or 30 othenvise distributed among its members funds not to be divided bywa, of profit (2) the net profits of a multi-state co-operative society referred to in sub-section (1) in respect of a society earning profits shall be calculated by deducting from the gross profits for the year, au interest accrued and accruing in relation to amounts which are overdue, establishment 35 charges, interest payable on loans and deposits, audit fees, wotking expenses inclu,ding repairs, rent, taxes and depreciation, bonus payable to employees uncler the law relating to payment of bonus for the time being in fo,rce, and equalisation fund for such bonus, provision for payment of income-tax and making approved donations under the income-tax act, 43 011961 40 1961, development rebate, provision for d~velopment fund, bad debt fund, price fluctuation fund, dividend equalisation fund, share capital - redemption fund, investment fluctuation fund, provision for retirement benefit;; to employees, and after providing for or writing off bad' debts and 106ses not adjusted against any fund created out of profit: 45 provided that such society may, add to the net profits for the y~, interest accrued in the preceding years, but actually recovered dwinl the year: prov'l'ded further that in case of such multi-state co-operative societies as do not have share capital, the surplus of income over expenditure shall not be treated as net profits and such s'lttplus shall be dealt with 50 in accordance with the bye-laws  if'  61 (1) a multi-state co-operative society shall, out of  its net ~ts in any year-(a) transfer an amount not less than twenty-five per cent to the reserve fund; and (b) credit such portion, as may be pt'etleribed, to the co-operative 5 education fund maintained by the national co-operative union of india limited, new delhi (2) subject to such conditio~s as may be prescribed, the ~alance of' the net profits may be utilised for all or any of the following purposes, namely: -  10 , , (a) payment of dividend to members on their paid\up share capital at a rate not exceeding the prescribed limit; (b) constitution of, or contributi~n to, suclh special funds including education funds, as may be specified in the bye-laws; (e) donation of amounts not exceeding five per cent of the r5 net profits for any p111'pose connected with the development of - co-operative movement or charitable purpose as defined in section 2 of the chart table endowments act, 1890; 6 of 1890 (d) payment of ex gratia amount to employees of the mu1ti-state co-operative society to the extent and in the manner specified 20 in the byl!-laws   (3) the funds of a multi-stae co-operative society shall not be utilised for any political purpose 62 a multi-state cqo()perative society f~ may' invest or deposit its 25 investmentor funds (a) in a co-operative bank, state co-operative bank, co-operative land mortgage bank, co-operative land development bank or central c<h>perative bank; or (b) in any of the securities specified in section 20 of the indian tr,usts act, 1882; or so2oflaaz (q in the shares or securities of any other multi-state c0-operative society or any co-operative soeiet\y; or' (d) in the shares, securities or assets of any other imtitution, with the previous apprqval of the centra~ registrar; or (e) with any bank; or :j5 <f)  in such other mode as may be ,prescribed explanation-in clause (e), "bank" means any banking company as ~fined in claule (c) of section 5 of the banking regulation act, 1949, and includes,-10 of ih9 (i) the state bank of india constituted under the state 40 bank of india act, 1956; 23011915 38 of 1~59  " (ii) a subsidiary bank as defined in clause (k) of section 2 of the state bank of india (subsidiary banks) act, 1959; ,  (iii) a corresponding new bank constituted under section 3 of the· banking companies (acquisition and transfer of under- 45 takings) act, 1970 or a corresponding new bank constituted under ii of 19'70 section 8 of the banking companies (acquisition and transfer of undertakings) act, 1980 to tiling 13 (1) a mu1u-state co-operatiw 'society, other than a co-operatlve bank, shall not make a loan-, ~ reatr1etionson loans (a) to a member on the security of his share or on the security , of a non-member; or 5 (b) to a non-member: provided that with, the general or special sanction of the central registrar, a multi-state co-operative ~ociety' may i\'lake loans to another multi-state co-operative society  (2) notwithstanding anything contained in 'iu:b-section (1), a multil 10 state co-operative society may make a loan to a depositor on the security of his deposit  84 a multi-state co-operattve society shall ret1e!ive deposits and loans only to such extent and unde-,r oguch conditions as may be specified in the bye-laws: restrktiona on borrowin, ]0 of 1949 15 provided that a co-operative bank shalt be governed by the provisions of the banking regulation act, 1949  65 save as provided in sections 6'3 and 64 the transaction of a multi· state co-operative s~iety with any person ~ther titan a member 'shall be subject to such prohibitions and i restrictions if any as may be 20 ptrescrn:>ed restrie-uobson other transactionswlth doftmembers contributory provident fund 66 (1) a multi-state co-operative socnety' having such numper or class of emp]oye~ as may be prescribed may establish a contributory provident fund for the benefit of such employeesto which shall be credited 'all contributions made by the employees and the society in 25 accordance with the bye~lawsof the i'ociety (2) monies standing to the credit of any contributory provident fund established by a multi-state co-operative society under suh-'section (1) shall not-  (a) be used in the business of the society; 30 (b) form part of the qssets of the society; , (c) be liable tq attachment or 'be subject to any (,lther proce of any court or other authority (3) notwithstanding anything'contained in this section, a provident fund estabji~hed by a mult-state co-operative society to which tbe 35 prqvfsions of the emplo~' provident funds and miscellaneou8 provi-sions act 1952 apply, 'shall be governed by that act 19 of 191j2  chapl'er vii audit, inquiry, inspection and surcharge67 (1) the centra1 registrar shall audit, or cause to be audited 1jy audit 40 a person ,authorised by him by general or 'special ordet' in writing in this behalf the accounts of every multi-81ate co-operative aocfety at least once in each year  (2)'e audit und£'r su~tion' (1) shall include an examination of mrerdue debts, if any the verification of tl'ie cash balance and securitieij,  :25 and a valuation of the assets :mrl liabiuties of the multi-state co-operative society, " (3) the p~son auditing t1re accounts of a multi-state co-operative society shall have free access to the,books, accounts, papers, vouchers, stock an~ other property of such society and shall be allowed to verify its cash balance and securities (4) the directors, managers, administrators and ()th~ officers of t~ 5 multi-state co-operative soci~ty shall furnish to the person auditing the accounts of the society all such infonnat1oh as to its transactions and working as such person may require (5) the central registrar or the person authorised by him under sub-section (1) to audit th'e accounts of a mult1-state co-operative society i () shall have power where neccssary-(a) to summon at the time of the audit any officer, agent, servant or member of the society, past or present, who, he has reason to believe can give valuable mformntion in regard to transactions of the society or the manag(!mcnt of the affairs; and j 5-(b) to require the production of any book or d~cument relating to the affairs of, or any cash or securities be~onging to, the society by any officer agent, servant, or member of the society in possession of 'such books, do cum en ts cash or securities and in the event of serious irregularities discovered during audit to take them into 20 custody (6) if at the time of audit the accounts of a multi;state co-operative soci~ty are not complete, the central registrar or the per~n authorised by him under sub-section (1) to audit may cau'se the accounts to be written up, at the expense of the society 25 (7) audit fee, if any, due from any multi~tate co-gperative society shall be determined by the central registrar and shall de recoverable in the sam~ manner us is provided' in section 89 inspection of multi ~, state co_ 68 (1) the central registrar, or any person authorised by him by genehl or special order in, writing in this behalf, may inspect a multi- 30 state co-operative society o~rative societies (2) (a) for the purpose 'of inspedtion unde~ sub-section (1), 'the central ~egistrar or the person authorised by him under that sub-tsection shall at all times have access to all books, accounts, papers, vouchers, securities, stock and other property of that society and may, in the 3~ event of serious irregularities discovered during inspection, take them into custody and shall have power to verify th~ cash balance of the society and  subject to the general ql" special order of the central registrar to call a meeting of the board and also a general meeting of the society wh~ such general meeting is, in his opinion, necessary '40 ~'(b) every officer or member of a multi-state co-operative society shall furnish such information with regard to the working of the society as the central registrar or the person making such inspection may require (3) a copy of the report 8f inspection und~r this secti~n ~\o\'l be  communicated to the multi-state co-operative society within a period of three months from the date of completion of sllch inspection  68 (1) the central registrar may, of his own motion or on the application of a majority of the members of the board or of not less than one-third of the members, hold an inquiry or direct some person authorised, by him by order in writing in this behalf to hold an inquiry 5 into the c~nstitution, working and financial condition of a multi-state co-operati v'e society (2) the!' central registrar or the person authorised by him under sub-section (1) shall have the following powers, namely:-(a) he shall at all reasonable times have free access to the books, 10 accounts, documents, securities, cash and other properties belonging to or in the custody of the multi-state co-operative society and may summon any person in possession or responsible for the custody of any such books,accounts, documents, securities, cash or other properties to produce the same, at any place specified by him; 15 20 - (b) he may, notwithstanding any rule 'or bye-law specifyplg the period of notice for a general meeting of the multi-state co-operative society, require the officers of the society to call a general meeting of the society by giving notice of not less than seven jays at such time and place 'at the headquarters of the society to consider such matters,as may be directed by him; and where the officers of the society refuse or fail to cab such a meeting, he shall have power to call it hamself; (c) he may summon any person who is reasonably believed by him to have any knpwledge of the affairs of the multi-state co-opera-25 tive society to appear before him at any place at the headquarters of the society or any branch thereof and may examine such person on oath  (3) any meeting called under dause (b) of sub-section (2) shall have all the po~crs of a general meeting of the society called under the bye-ju laws of the society and its proceedings shall bf! regulated by such byelaws (4)  the central registrar shall within a period of three months of the date of receipt of the report, communicate' a brief summary of the report of the inquiry to the multi-state co-operative society the financial 35 institutions, if any to which the society is affiliated, and to the person or authority, if any, ~t whose instance the fnquiry iii made ' 70 (1) the central registrar shall, 011 the application of a creditor of a multi-state co-operative, society, inspect, or direct some person authorised by him by order in writing in this behalf to inspect, the 40 books of the society: provided that no such inspection shall be made 'unless the npplicant-ijl~pcc­tiuno! books ot indebted multi· state cooperative sodot!p~ ",{ ia) satisfies' the central registrar- that the debt is a sum then due, and that he has dem~nded payment thereof and has not received satisfaction withiil a reasonable time; and (0) depotiits with the central registrar such sum as security for the cost:; nf the prop·oed inspection ad -the central registrar may • require (2) 'i'he central registrar shall communicate the :result of any such 'inspection to the creditor 'j' costsot influlry an41ft ip4iction 71 where an inquiry ,is held under section 69 or an inspection is made under section 70, the central registrar may apportion the costs, or such , part of the 'costs, as ~e may think fit, between the mljlti-state co-operative 5 society, the membel's or creditor demanding an inquiry ~ inspection, and the offirefs or former officers and the members or past members of that society: provided that-'(a) no order 1)£ apportionment of the costs shall be made -under 10 this section unless the society or the person liable to pay the costs   thereunder has' had a, reasonable opportunity of being heard; (b) the central registrarshall state in writing wlder his own hand the grounds on which the costs are apportioned ltflccl\'ery of costs 72 any sum awarded by way of costs under section 71 may be re- i ~ covered, on application to a magistrate having jurisdiction in the place , where the person, from whom the money i's claimable, actually and, vo:luntarily resid~ or ,carries on business, and such magistrate shall recover the same as if it were a fine imp0'5ed by himself repayment ete - 73 (1) ,if in the course of an audit, inquiry, inspectioll 0,1' the winding :,z;) up of a multi-state co-operative society, it is found that any person, who is or was enti'lls~d with the organisa~on or management of such 'society or whois or has at any time been an officer or an employee of the society luis made any payment contrary to this act, the rules or the bye-laws,  or has caused any deficiency in tl\'e assets of the society by breach of 25 trust or wilful negligence or has misappropriated or fraudulently retained any money or other property belonging to such society, the central registrar may, of his own motion or on the application of ,the board,  liquidator or any creditor, inquire himself or direct any person authorised by him, by an order in writing in this behalf, to inquire into the conduct 30 of su(!h person within a period o~ two years from the date' of the report of the audit, inspection oj' inquiry or the· date of the order of winding -up, as the'ease may be:  provided that w~ the central registrar is satisfied that sucl1  i,n,qnirycould not be commenced during the period of two' years afore- 35 said on account of fraud or concealment of facts make, or direct the inquiry to be made, within such period' not exceeding six years from 'the date of the report of the audit, inspection or inquiry or the date of the order o! winding up, as he may think fit (2) where aninq~y is'made ulld'<'!l' sub-section (l), the central 40 registrar' may', after gtving ,the person concerned a reasonable opportunity of being heard, make an order requiring him to repay or restore the money or property or any part thereof, with interest at such rate, or to ftay contribution and costs or compensation to such extent as the c-entral r&gistrn,r l1,lily ~r~nsidcr ju~j; ,md ;quitable '45 74 (1) "notwithstanding /iulything contained 10 any other law £o~ the time being in force, if any djk'u~ (other than 8 dispute regarding dis-5 ciplinary action taken by a mufti-stateco-operat~e· society against its paid employee or an industr:al dispute as defined in clause (k) of seetion·2 of 140f 1947 the industrial disputes act, 1947) touching the con'3titution, management or business of a multi-state co-operative society arises- (a) among members,  past members and persons claiming through members, past members and deceased members, or 10 - 15 (b) between a member, past member or a person claiming through a member, past, member or deceased member and the multi-state co-opera'tive society, its board or any officer, aglent or employee of the multi-state co-operative society or liquidator, past or present or (c) between the multi-state co-operative society or its board and  any past board, any officer, agent or employee, or any past officer, past agent or past employee or the nominee, heirs or legal representatives of any deceased officer, deceased agent or deceased employee of the multi-state co-overative society, or 1ii0 (d) between the multi~state co-operative society and' any othat rnulti-state co-operative society between a multi-state co-o~ative society and liquidator of another iilulti-state co-operative society or between the liquidator of one multi-state co-operative, society and the liquidator ot another mljlti-state co-operative society, such dispute shall be referred to the central registrar fqr decision and no c~urt shall have juhsdiction to entertain any suit or other proceedings in respect of such dispute: provided that all disputes in which a national co-operative society ia 30 a party shall be refe,rred to the cer:ttral registrar or any officer em· powered to exercise ithe powers of the central registrar   (2) :ror the purposes of 8ub-section(1), the following shall be deemed to be d~sputes touching the constitution, management or the b11sinew of a multi-state co-operative societyj name1y':-35 (a) a claim by the mu1ti-state co-oper!1tive sociey for any debt 01' demand due to it from a member or the nom:ne!e, heirs or legal representatives of a creceased member, whether such debt or demand be admitted or not; (b) a claim by a surety against the principlil deb~ where the multi-state co-operative society has recov-ered from the surety any amount in respect of aay debt or dema!1d d'ue to it from the principal debtor as a result of the default of the principal debtor, whether such debt or demand is admijted or not; (c) any dispute arising:u; ~e~tl,w11h' ~ eletltio~ qt'sdf ~ ~uji-~te ,~atiw ~ 45 limlta  \ion i (3) if nny question arises whether a dispute referred td tlie central - registrar is or is not a dispute touching'the constitution, m~agement or business ofa multi-state c~operative society, the decision thereon of the central registrrr 'iiha11 be final and shall not be called in question in any ~~ , 5  ~ 75 (1) notwithstanding anything contained in the limftation act,' 1963, but subject to the specific provisions made in thi$ act, tit; period of ~6 of 1963  limitation in the case of a dispute referred to the central registrar ~han,- (a) when the dispute relates to the recovery of any swn includ- 10 ing, interest thereon due to a multi-state co-operative society by a , , member thereof, be compuued from the date on which such member ,dies or ceases to be a member of ithe 'society; , (b) save as otherwise provided in clause (c), when the dispute relates to any act or omission on the part of any of:the parties 15 referred to in clause (b) or clause (c) of sub-section (1) of section 74, be six years from the date on which the act or omission, with reference to which the dispute arose, took place; (c) when the dispute relates to a multi-state co-operative society which has been ordered to be ,wound v-p under secti,on 77 or in 20 respect of which an admini'strator has 'been appointed under section 48, be six years from the date of the order issued under section 77 or section 48, as the case may be; - (d) when -the dispute -is in respect of an election of an officer of a multi-state co-operative 'society, be one month from the date of 25 the declaration of the result of ,the election (2) the period of limitation in the case of any dispute, except 'those mentioned in sub-section (1), which are required to be referred to the central registrar shall be regulated by the provisions of the limitation act, 1963, as if the! dispute were a suit and the central registrar a go 36 of 1963 civil court  "(3) +iotwithstanding anything contained in sub-sections (1) and (2), the central registrar may admit a dlispute after the expiry of the period of limitation, if the applicant satisfies the central registrar that he had sufficient cause for not rt!ferring the dispute within such pe~iod 35 76 (1) the central reg,istrar may, on receipt of the reference ;0£ dispute under section 74-· settlementof disputes :,,4, ~,-(0) elect to decide the dispute himself; or - (b) tranosfer it for disposal to any other person' who has been invested by the central go~rnment with powers in that behalf (2) the central registrar may withdraw any reference transferred under clause (b) of sub-section (1) and' decide it hhnselfor refer the ~~ for ~ecis!on td any ffl!erjusoq whcl has been in~~d by the ce'n  frat governm~n~ wfth power~ lj1tltafbe~'aff , , ' ,',  ", , er,'" ,"  ,' (3) the ceritral registrar or any other person to whom a dispute is referred for decision under this section may, pending the decision of the dispute, make such interlocutory orders as he may deem necessary in the interest of justice -chapter ix  winding up of multi-state co-operativjij socien~77 (1) if the central-registral', after nn inquiry has been held under section 6!} or an inspection has been made under section 70, or on receipt of an application made by not less than three-fourths of the winding up of multi-statecooperative societies 10 member~ of a multi-state co-operative'society, is of opinion that the 'society ought tl) be wound up, ~e may, after giving ,the society a reasonable opportul}ity of making its representations, by order, direct it· to be wound up (2) the central registrar may, of his own motion and after giving 15 the multi-state co-operative society a reasonable opportunity of making its representations, make an order directing the winding up of the multi-state co-operative society- (a) where it is a condition of the registration of the soc:ety that the society shall consist of at least fifty members and the number·of 20 members has been reduced to less than fifty; or " (b) where the multi-state co-operative society has not commenced working within a period of six months of the date of its registration or such extended' period as the central registrar may allow in this behalf or has ceased to flulction in accordance with co-25 operative principles (3) the centrd registrar may cancel an order for the winding up of a multi-state co-operative society, at any time, in any' case where, in his opinion, the- society should continue to exist (4) a copy of ~-ilch order shall be communicated by registered post 30 'to the multi-state co-operative society and to the financial institutions, if any, of which the society is a member (5) notwithstanding anything contained in this section, no c~operative bank shall be wound up except with the previous sanction in writing of the reserve bank 35 78 notwithstanding anything to the contrary contained ·elsewbet'e in this act, the central registrar ,shall make an order for the wlndjag up of a co-operative bank, if so required by the reserve bank in the circumstances mentioned in section 13d of the deposit insurance add credit guarantee corporation act, 1961 winding up of co-ope  tive hlulks at thedireetum of relerve bank_ ''i of 1981 , 47 of 1961 reimbursement to thej deposit insurance corporationby uqlu4t\qt 40 79  where a co-operative bank, being an insured bank wit:hin the meaning of the deposit insurance and credit guarantee corporation act, 1961 is wound up and the deposit insurance  corporation ~as become llabie to the depositors of the in~ul'ed bank under su~lon (1) of  16 f tha" act the deposlt insurance corporation shall be resecbon 0 u , th ci ta·  b d b the llquidator or such other persoll in e rcums neeli, 4a = t:s:xte~ and in tb'8 manner provided in section il q( ~ at:t -  liquidation lh; (1) where the central registrar has made an order under sec\jn 77 for the winding up of a multi-state co-operative society, the central registrar may appoint a liquidator for the purpose ll'1d fix his remuneration   (2) a liquidator shall, on appointment, take ,into his custody or ujlder 5 his control all the property, effects and actionable claims to which the multi-state co-operative society is or appears to be , , entitled and shall take such steps as he may deem necessary or expedient to prevent loss or deterioration of, or damage to, such property, effects and claims and he may carry on the business of th~ mu11i-state co-opera- 10 tive society so far ~ may be necessary ,with the previous approval of t~e central registrar ' " (3) where an appeal is preferred under clause (k) of sub-section (1) 9f section 90, an order for the wjnding up o~ a rpuw-state co-operative society made under section 77 shall not operate thereafter until ,the order 15 is confirmed in appeal: provided that ,the liquidator shall continue to have custody or control of the property, effects and actionable claims mentioned in sub-'section (2) an~ have authqtity to take the steps referred to in that sub,;section t4) where an order for the winding up of a multi~state co-operatiye 20 society is set aside in appeal, the property, effacts and actionable claims of the society shall re-vest in the society powers of 1iipidatcii 81 (1) subject to any rules made in this behalf, the whole of the assets of a multi-state' co~perative society in respect of which an order for winding up has '~n made, shal1 vest in the liquidator appointeo 25 under section 80 from the date on which the order takes effect and the liquidator shall have ;power to realise such assets by 'sale or otherwise (2) such liquidator shall also have p~wer, subject to the conkol of the central registrar-(a) to institute and def~nci suits and other legal proceedings on 30 behalf of the multi-state co-operative ~ociety by the name of his office; , , (b) to determine from time to time the contribution (including de~ts que and costs of liqufdation) to be made or remainmg to be ina(le by the members or past members or by the estates or nominees, 35 heirs or legal representatives of deceased members ox by any oftlcera or fonnerofficers, to the assets of the multi-state co-operative ~~;  (c) to investigate all claims against the multi-state co-operative samet, a~d'subject to the provisions of ,this act, to decide questions 40 of prlarity arising between claimants; '   ' -(d) ,to pay cla-ims against'the multi-state co-operative society, including interest up to the date of winding up according to their respective priorities; if any, an full or rateably, as the assets of the society may ,permit; the 'surplus; if any, remaining afw payment 4-5 of ~,-<:1aijns, being ,applie~in:,payment of interest from the c1a1e of \ eucb order of 'winding up at a rate fixed by him but ndt e:kceedid~ the contract rate in my case; '"'i i' ,-;l to determi  :~,~! what persons and in what proportions the costs of theliqutdation are to be borne~ (f) to determine whether any person is a member, past member or nominee of a deceased member:  5 (gr to give 'such directions in regard to the collection and distdbution 01 the assets of the multi-state cd-operative society as may appear, td him to be necessary· for winding up the affairs of that society; 10 (h) to carry on the business of the multi:state co-:-operative society so far a's may be neces$ary for the ;beneftcial winding up of the same;  (i) to make any compromise or arrangentent with creditors or persons claiming to be creditors or having or alleging to have any claim, present' oj,' future, whereby the multi-state co-operative society may be rendered liable; 15 (j) to make any compromise or arrangement ~ith an:' person between wllom and the multi-state co-operative society there exi'sts any dispute and to refer any such dispute for decision; (k) after consulting the members of the multi-state co-operative society, to jiispose of the surplus, if any, remaining after paying the claims against the society, in such manner as may be prescribed; (l) to compromise all calls or liabilities to calls and debts' and liabilities capable of resulting in debts,· and all claims, present or future, certain or contingent, subsisting or alleged to be subsisting between the, multi-state co-operative society and a  contributory 01' ,other debtor or person apprehending liability to the multi-state \::o-operative soci~ty and all questions in any way relating - to or affecting the assets or the winding up of the society on such terms as may be agreed and take any security for the, discharge ot any s\lch call liability, debt or claim and give a complete discharge in respect thereof (3) when the affairs of a multi-state co-operative society hay~ been wound up, the liquidator shall make a report to the central regbtrar and depo'sit the recordt; of the society in such place as the 'central 35 registrar may direct, 82 the surplus ~ssets as shown in the report of a uqutdaoor of a multi-btate co-operative society which is wound up,-' (a) fuay if the bye-laws o( the multi-state co-operative ''society specify the purpose for which surp!lus shall be utufsed be utiused bv the centnd registrar for the said pui'j'9se, and  ~ (b) if the bye-laws aforesaid do not specify the purpose, be divided by the central registrar, with the pl'cvious sanction of the central government, :1rno~,gst, the member:;, of such multis~ate ro'-ovc'l"afiw se'cje~' in ~lid'1 manner b:; may be p~~, ,;: ofcaatr1-13 notwithstanding anything contamt:d in any law relating to in-1 40:1 trib tion assessed l a liquidator shall rank next to 'so veney iile con u ,"'1 ,1 1 debts d~e to the central governm'!nt or a state government or a oca authority in accordance with the order of priority in insolvency pro<,'ecdjngs >",," ' buttons ·assessed' byliquidator m (1) the central registrar may, after considering the report of the liquidatar made to him under sub-section (3) of section 81, order the regiitration of the multi-state co-operative society to be cancel~ed and on such cancellation, that society shall stand dissolved power of central registrar to aance' reg/atrationofa multi-state co-operative socjet;, (2) an order passed under sub-section (1) shall be comm~lcated by 10 registered post to the president of the mu1tist~te co-oper~t1ve society and to the fjnancjal institutions if any, of which the society was a member chapter x becu- tionof ' exlx:trrion of dijcriies, orders and decisions 85 every decision or order made under s';!ction '30 section 31, seetion 73, section 76 section 90, section 92 or section 93 shalt, if not cai-ried out,- qeeisions, eic (4) on a certificate signed by the central registrar or any person authorised by him in writing in this behalf, be deemed to be 110 a dec:ree ot a civu court and shall be executed in the same manner as if it were a decree of such court; 'or (b) where the decision or order provides for the recovery of money, be executed according to the law for the time being in force for the recovery of arrears of land revenue: ' r~ provided that any application for the recovery in such manner· ot any: sum 'shall be made-(0 to the collector ~nd shall be accompani~ by a certificate sispled by the central registrar or by any person authorised by him in writing in this behalf; ',' 30 '1 \ (if) within twelve years from the date fixed in the decision or order and if no such date is fixed, from the' date of the decision or order, as the case may be; or (c) be executed 'by the central regilitrar or any person author~, by him in writing in this behalf, by attachment and sale or 35 sale without attachment of any property of the person or a multi state co-operative society against whom the decision or order has been made  executiq~ot  ,  - :' every order made by the liquidator under section 81 shall be executed according to the law for the time being in force for the recovery 40 of arrears of land revenue  orde~sof jiqwutor' ,87 (1) where th~ central registrar is satisfied that a party to any' reference ma~e to him qnder section 74 with inten t to defeat or delay the execution of any decision that may be passed thereon is about to-attachment \ bef0t:e ~ward tor (4) disp~se of the' who~e or any part of the property; or 45 , ~b) rem~ve the whole or any part of the property from its ~tll\g'1lftculcts," - ' the central registrar may, unless adequate 'security is furnished, direct conqitional attachment of the said property or such part theh!of as he thinks necessary (2)' the attachment under subsection (1) shall be executed by a 5 civil court having jurisdiction ip  the same way as an attachment order passed by it~elf and shall have, the same effect as such order 88 the central registrar or any person authorise<;t by him in writing in this behalf shall be deemed, when exercising any powers under this act for the recovery of any amount by: the attachment and sale or by 10 sale without attachment of any property, or when passing any orders on any application made to him for such recovery or for taking a step-ln~aid of such recovery, to be a civil court for the purposes of article 186 of the 36 of 1963 ~ schedule to the limitation act, j 963 central  rt-klstrlr or ftle person author!sedby him to be civil court tor certain p!jrposel ~, recovery of unu ;~ duetn , government st (1) all sums due from a m~lti-state co~operative society, or from - 15 an oftlcer or member or past member of a multi-state co-operative society, to the central gov,rnment or ,a state government, including any cost awarded tll the central government or the state government, as the case may be, under any provision of this act, may, on a certificate ,issued by the central registrar in this behalf, be recovered in the same ao manner as arrears of land revenue i  appeal (2) sums due from a multi-state co-0p,8rative society to the central government or 11 state government and recoverable under sub-section (1) may be recovered firstly trom the property of the society and secondly from the m~mbers, pat members' or the estates of deceased 15 members, subject to the limit of their liability: ' provided that the liability of past members and the estate of deceased members shall in all cases be subject to the provisions of section 28 chapter xi appeals and revision 50 10 (1) subject to the provisions of section 91, an appeal shall lie under this section ngainstfa) an order made by the central registrar under 'sub~secti9n (2) of section 7 refusing to register a multi-state co-operative society; (b) an order made by the central registrar under sub-section 35 (4) of section 9 refusing to register an amendment of the bye-law of a multi-state co-operative society; (c) a decision of a multi-state co-operative society refusing or deemed to be refusing under sub-sectipn (5) of section 19 to admit any person as a member of the society who is ot~e;rwlse duly 40 qualified; for membership under tne bye-laws of the society; (d) a decision of a multi-state co-operative society u~der subsection (1) of section 21 expelling any of its members; (e) a decision of a multi-:state co-operative society removing an elected member of a board under section 39; 45 <i> an order made by the central regirtrar under section 40 removing a member from his oftlce~ " , (g) an order made by ~he central registrar under section 48 superseding the board of directors of a multi-state co-operative ~" 50 society; l  (h) an order made by the central registrar under section 71 apportioning the costs of an inquiry held under section 69 or an inspection made under section 70; (i) an order made under sub-section (2) of section 73; 5 (j) a decision or order made under section 76; (k) an oider made by the central registrar under section 77" directing the winding up of a m1llti-state co-operative society; (l) an order made by the liquidator of a multi-state co-operative society under section 81; 10 (m) an ~r~r under section 87 directing attachment of prope~ty before award (2) an appeal against any decision or order wuier su~ (l)j shall be made within sixty days from the date of such decision or order,-,  (a) if the decision or order was made by the central registrar, to the prescribed authority; j 5 (b) if the decision was made by a multi-state co-operative society (other than a national co-operative society), or a liquidator of such society, to the officer who is empowered to exercise the powers of the central registrar under sub-sect~on (2) of section 4j ot (c) if the decision was made by a national co-operative society 20 or a liquidator of such society, to the central registrar appointed under sub-section (1) of section 4 (3) 'nle appellate authority may, if satisfied that the appellant was prevented by sufficient cause from preferring the appeal within the period of sixty days, admit the appeal within· such further period not 25 exceeding sixty days as that authority may deem fit 'if \ (4) in disposing of an appeal under this section, the appellate authority may, after giving the'parties a reasonable opportunity of making 30 their representations, pass such order thereon as that authority may defid1 ftt - -  (5) the decision or order of the : appellate authority on appeal shall be final - -  91 notwithstanding anything contained in this act, where with the previous sanction in writing of, or on requisition by, the reserve bank, '35 a co-operative bank- | no       | appeal    ||----------|-----------|| nrrevi-  |           || sion     | in        || eertatn  |           || ra~e!l |           |(a) is being wound up; or \, lr· •  1v1~lon (b) in resp~t of which a 'scheme lof amalgamation or reorganisation is given effect to; or  (c) in respect of which a~ order for the supersession of the 40 board and the appointment of an administrator therefor has been made, no appeal, revision or review thereagainst shall lie or be permir!lible, and the sanction or requisition of the reserve bank shall not he liable  to be call~ in question 92 (1)· subject to the provisions of section 91, the central government may, of its own motion or on an application, call for and examine the records of any proceedings in which no appeai lies to· the appellate authority under section 91 for the pui"pose of satisfying itself as to the 50 legality c!lr propriety of any decision or order made under this act and 11 1n any case it shall appear to the central government that ally such decision or order should be modified annulled or revised or remitted for reconsic;leration, the central gover~ment may, after giving the par~ to be a1iected thereby co reasonable opportunity of bemg heard, pas:; :such order thereon as it may deem fit: provided that the application' to the central government for the exercise of the power wlder this section shall be pre1~red within ninety dbys from the date on which the decision or order to which the appli~ catton relates was communicated to the applicant: 10 provided further that the central g<>vernment may, if satisfied that the appellant was prevented by sufficient cause from malq,ng the application within the said period of ninety days, admit the application after the expiry of the said period (2) the central government may suspeii'd the execution of the '5 decision or order pending ,the exercise of its power under sub-section (1) in respect thereof (3) the central government may award costs in proceedings under th1s section to be paid out of the funds of the multi-state c~operative j(\ciety concerned or by such party to the ~pplication for revishn "as the 20 central government may deem fit 83 ,(1) the appellate authority'under section 90 may, on the appli-review ~ation of any party interested, :review its own order in any case and pass in reference thereto such order· as it thinks fit: provided that no such application shall bt! entertained unless the  25  appellate authority is satisfied that there has been a discovery of new and important matter or evidence which after exercise of due diligence was not within the knowledge of the applicant or could not be produced by him at the time when the order was made or that there has been some mistake or error apparent on the face of the record or for any so other sufficient reason: ' provided further that no such order shall be made wlder this \tub-rction unless notice has been given to all interested parties and they have been afforded a reasonable opportunity of being heard (2) an application for review under sub-section (1) by any party 35hall be made within thirty days from the date of communication of rbe order of the appellate authority 'sought to be reviewed m where an appeal is made under section 90 or where the central in~r1o­government calls for the records of a case under section 92, the ,;ulory appellate authority or the central government, as the case may be, may, order • 4-:> iu order to prevent the ends of justice being def~ated, make, buch interlocutory orders, including an order of stay, pendma the declslon of the appeal or revision as such authority or the central government may deem fit  chapter xii 41 societies which become mtjim-8'l'ate co·opl!'orative soclems  consjrquent on reobganlsation of states37 of 1956 co-operative 1ocwt1e1 f1mc:tion-inl; eg (1) wh~re by virtue of the provisions of part ii ?f the ::itat r organisation act, 1956, or any other enactment relatmg to es i e t' of states, any coroperative society which lmmedjately reorgan sa ion  t' tak la h d i b'ho 50 before the day on which the reorg8lll8& ion es pee, a ~d 0 l--wt immediately before reorgani· "ation of states confined to one state becomes as from tthat day, a multi-sta~ co-operative society, it shall be de~med to be a multi-state co-operative society registered under the corresponding provisions of ,this ~ct and ~he bye-laws of such 'society shall, in so far as they are not mconslstent with the provisions of this act, continue to be in force until altered or re-5 scinded (2) if it appears to the central registrar or any; officer authori~ in this behalf by the central gov~ent (hereafter in this sec!ion referred to as the authorised officer) that it is necessary or expedient to reconstitute or reorganise any society referred to in sub-section (1)\ 10 the central registrar or the authorised officer, as the case may be, may, with the previous approval of the central government, place before a meeting of the general body of that society, held in such manner as may be prescribed, a scl1eme for the reconstitution or reorganisation, including propasals regding-1 5  (a) the formation of new multi-state co-operative societies and the transfer thereto in whole or in part of the assets and liabilities , ' of that society, or (b) the transfer, in whole or in part, of the assets and liabilities of that socie,ty ,to any other multi-state co-operative society in sw existence immediately before the date of that meeting of the general body (hereafter in this section referred to as the existing multi-state co-operative society) ' (3) if the scheme is sanctioned by a resolution passed by a majority of the members present at the said meeting, either without modifications 2r ur with modifications to which the central registrar ~ the authorised ~ officer agrees, he shall certify the scheme and upon 'such certification, the scheme shall, notwithstanding anything to the contrary contained  in any law, regulation or bye-laws for the time being in force, be binding on all the societies affected by the 'scheme as well as the share- holders and creditors of all "'such societies ' 30 (4) if the scheme is not sanctioned under sub-section (3), the central registrar or the authorised offi~ may refer the scheme to such judge of 'the appropriate high court, as may be nominated in this behalf by the chief justice thereof, and the decision of that judge in 35 regard to the scheme shall be final and shall be binding on au the societies aiected by the scheme as well as the shareholders and creditors of all such societies expzanation-in this rub-section, "apprqpriate high cow't" means the high court within the local limits of whose jurisdiction the principal 40 place of business of the multi-state co-operative society is situated (5) notwithstanding anything contained in this section where a scheme under sub-section (2) includes any proposal :reg~rding the transfer of the assets and liabilities of any multi-state co-operatfve society referred to in clause (b) thereof, the scheme shall not be binding 45 on such multi-state co-operative society or the shareholders and c,reditors thereof, unless the proposal regarding such transfer is accepted by that multi-state co-operative society by a resolution passed by a majllrity of the members present at a meeting of its general body  ,chapter xiii,  offences and penaltiesoffences h (1) a multi-siate co-operative society or an officer or member thereof wilfully making a false retw'n or fui'tli;shing false information, } or any person wilfully or withput any reasonable excuse disobeying any summons, requisition or lawful written order ~ued under the pr0-visions of this act, or wilfully not furnishing any information required from him by a person authorised in this behalf under it he provisions of this act, shall be ipunishable with fine which, may extend to two 10 hundred rupees , ' (2) any employer who without sufficient cause, fails to pay ,to a multi-state co-operative society the amount deducted by _ him under section 58 within a period of fourteen days from tlte date on which such deduction is made, shall, without prejudice to any &ction that may be 15 taken agairu;t him under any other -law for the time being in force, be punishable with fine which may ex'tend to five hundred rupees (~) any officer or custodian who wilfully'! fails to hand over custody pi' of books, accounts, documents, records, cash, 'security and othar property belonging to a multi-state co-operative society -of which he is an officer coinizanceof o1rences 20' or custodian, to a person entitled under section 49, section fr1, section 68, section 69 or section 80 shall be punishable with fine which may: extend to two hundred rupees and in the case of a continui\lg breach, with a further fine which l:qay extend to five hundred rupees for every day during which the breach is continued after conviction for the first such breach  ~5 97 (1) no court inferior to that of a metropolitan magistrate or a, judicial magistrate of the first c1as~ shall try any offence under this act (2) no prosecution shall be instituted under this act without the 30 previous sanction of the cent;ral registrar and such sanction shall ~ot be given without giving to the person concerned a reasonable opportumty to represent his case· ~,  chapter xiv miscellaneous_  98 every multi-state co-operative s~ciety shall keep a copy of this 3;) ul and'ts bye laws and also a list of its members, open to act, the r es 1 - - te ed address inspection free of charge at alll'easo~ble ,times at the regas r of the society copy of act, rules, and byelaws, etc, to be open to inspection power to exempt multi-state cooperative 99 (1) notwithstanding anything contadinedf inreasotw8 !c~: r~:: b general or special or er, or 40 government may, y -' h ditions if any as may be specified  h' d subject to suc con " f h t ere~n, an ulti-state co-operative society or class 0  sue th~e~n exempt any f ~h requirement of this act relating to regt~ra-, societies from any 0 e i , tion societi~,j from conditiorul as to reptntion (2) (a) the central government may, by general or special order and for reasons to be recorded therein,-(i) exempt any multi-state co-operative society or any class of such societies from any of the provisions of this- act or of the rules; or 5 (it) direct that such provisions shall, apply to such society or class of societies with such modification!:! not affecting the substance thereof as may be specified in' the order: ' pl'ovlded that no order shall be made undel' sub-clause (ii) so as to prejudice the interests of such society or class of s~ch societies 10 without a reasonable opportunity being given to make representation in the matter (b) every order made under clause (a) shall be published in the  official gazette 100 any person appointed as liquidator under the provisions of this j 5 act shall, be deemed to be a public servant within the meaning of section 21 of the indian penal code 45 qf 1860  uquidator to be p,abllc aervant notice necessary in suits 101 no ~uit shall be instituted against a multi-state co-operativo society or any of its officers in re~ect of any act touchina the constitutlon, management or the business of the society until the expiration of ninety 20 days next after notic,e in writing has been delivered to the central registrar or left at his office, stating the cause of actiod, the name, description and place of residence of the plaintiff and ,the relief which he claims, and the plaint shall contain a statement that &uch notice has ,been so deli~ed or left l' of 1956, mof 1969 102 (l) th,e provisions of the companies act, 1956 -and the monopolies and restrictive trade practices act, 1969 shall not apply to multi-state co-operative societi~ certain acts not to apply  '1 mof 1", (2) the multi-state co-operative, societies registered or deemed to be registered under the provisions of this act shall not indulge in mono-~ polistic and restrictive trade practices, as defined in the monopolies ane! - 0 restrictive trade pl·actices act, 1969 , ' 103 (1) every multi-state co-operative society existing immediately before the commencement of this act which has' been registered under 'savings of exist,; tngmulti-state cooperati"e sociries the co-operative societies act, 1912 or under any other act relating to co-operative societies iri force, in any state or in pursuance of the 35 ~ of 1911 provisions of the multi-unit co-operative societies act, 1942, shall be 6 of lm2 deemed to be registered under the cqitesponding provisions of ,this act and the bye-laws of such society) shall in so far as they are not inconsistent with the provisions of this act, or the rules, continue to be :in 4<-force until altered or rescinded (2) all appointments, rules and orders made, all notifications and notices issued and all suits and other proceedings instituted under any of the acts referred to in sub-section (1) shall, in so far as they are not inconsistent with the provision's of this ad, be deemed to have been respectively made, issued and instituted under this act, save that an 45 order made cancelling the registration of a multi-state co-operative society, shall be deemed, unless the society has already been finally liquidated, to be an order made under section 77 for its being wound up | power     ||-----------|| amend     || second    || schedule |104 (1) if the central government is satisfied that any multi-state co-operative society should be designated as a national co-operative society or any national co-operative society specified in the second schedule should be omitted from the said schedule, it may, by notifica-5 tion, amend the said schedule so as tq include therein such multi-state co-operative society or exclude therefrom such national co-operative society, and thereupon the said schedule shall be deemed to have been amended accordingly (2) a copy of every" notification made under sub-section (1) shall lobe laid before each house of parliament as soon as may be after it is made  , 105 (1) save as otherwise provided in this act no court shall have jurisdiction in respect of-' barot jurisdictlonol ' courts, ' (a) the registration of a multi-state co-operative society or its 15 bye-laws or or an amendment of the bye-iawsi (b) the removal of board of directors; '(c) any dispute required under section 74 to be referred to the central registrar; and (d) any matter concerning the winding up and the dissolution 20 of a multi-state co-operative society, (2) while a multi-state co-operative society is being wound up, no suit or 'other legal proceedings relating to the business of such society  shall 'be proceeded with or instituted against the liquidator or against the society or any member thereof, except by leave of the 25 central registrar and subject to such terms and conditions as he may impose (3) save as otherwise provided in this act, no decision or order made under this act shall be questioned in any court powers ot civil court 106 (1) in exercising the functions conferred on him by or under '::\0 this act, the central registcar, or any other person deciding a dispute under section 76 and the liquidator of a multi-state co-operative society ahd n', person entitled to audit, inspect or h,?ld an inquiry under this act, - of 1808 shall have all the powers of a civil court, while trying a suit, under ·the code of civil procedure, 1908, in respect of the following matters, 3~ namt;iyi:- (a) summoning and enforcing the n1tendanae of any person and examining him on oath: (b) requiring the discovery and production of any document; (e) proof of facts by affidavits; and 40 (d) issuina com~lssions for examination of witnesses (2) in the case of an afftdavit, any officer appointed by the central registrar, or any other person deciding a dispute or the l1quidator, as the case may be, may administer oath to the deponent indemllity 107 no  'suit, prosecution or other iegal  pi'oceedin~s shall lie agai~t 45 the central registrar or any person sub~rdinate to hfim ortha~ti~~ on hlds authority or against any other person, 1':1 respect 0 any mg in goo faith done or purporting to have been ~one under this act openineot branches 108 (1) notwithstanding anyth~ contained to the contrary in any 1 1 t· t operative societtes in force in a state, a multi-state aw re a in,!" 0 co-  t' '"  t not being a co-operatdve bank may' open branches 50 co-opera lye socje y,' , ' i or paces 0 f busine"s in any place in indla "  power to make rules (2) where 'f! multi-state co-operauve ' society operis wanches or places of business in any state under sub-section (1) i the registrar of co-operative societies in such state shall not exercise any jurisdiction in relation to such branches or places of business nor shall call for any returns or information therefrom 188 (1) the central government may,by notification, make rules to carry out the provisions of this act  (2) in particular, and' without prejudice to the generality of the foregoing power, such rulles may provide for au or any of the following matters, ~amely:-10 (i) the form to be used, the particulars to be given and the conditions to be complied with in the making of applicattons under section 6 for the registration of a multi-state co-operative society and the procedure in the matter of such applications; (ii) the number of the applicants and the manner in which the r order of refusal to register a multi-state co-operative society and 5 its bye-laws shall be communicated under sub-section (2) of section 7; (iii) the manner in which the order of refusal to register any amendment of the bye-laws shall be communicated under sub- 20 section (4) of section 9 and section 18; (iv) the procedure and conditions for change in the extent of  the liability of a multi-state co-operative society under section 13 (v) the matters in respect of which a multi-state co-operative society may make bye-laws and the procedure to be followed,25 in making, altering and abrogating bye-laws under section 9, or 'section 18 and the condition~ to be satisfied prior to such making, alteration or abrogation; (vi) the conditions to be complied with under section 19 by persons applying for adinission as members, f~r the election and ~o admissiolt of members and the payment to be made and the interest to be acquired before the exercise of the right of membership; (vii) the number of individuals who may be admitted as members of the national c<h>perative union of india limited, new delhi as required by section 19 and their qualifications; (viii) the withdrawal and expulsion of' ~embers and the pay- % ments, if any, to be, made to members who withdraw or are expelled and the liability of past members or the estates of' deceased members; (ix) the votes oc members, as required by section 22;  40 (x) the maximum number of shares of a multi-state cooperative: society which may, subject to the provisions of 'section 24 be held by a member; (xi) the constitution and powers of a smaller body representing the general body under section 29; 45 (xii) general meet~ngs of the members under section 30 the period within which such meeting be called and the procedure at such meetings and the powers to be exercised by: such meetings; / (xiii) the proportion of individuals and multi-state co-operative societies in the constitution of the board of directors and the general ~  body under section 32; ,  i ' - ----, r(~t1) tlie election of members ot the boards underaection 315 and nomination of members to such boards, under section 61, the appointment or election ot omeel's and the pow81'8 to be ~ and the duties to be perfonned by the boards and other 5  j '(zv) the restrictions and conditions subject to which honorarlum may be paid under ection 38 to the elected chairman' or  'pnlident of the board of directors for serviees rendered; 'em) the additional measures and acts which may be taken or, 10 as the case may be, done by the board under section 42; , '(zeit) the number of meetings of the board, the venue of such idm'tidga and the number of committees or sub-committees for purpotea' of sections 43 and 46;  (mtt) the appointment and regulation of work entrusted to 15 !'ion np1aefng the board in pursuanee of section 48; em) the constitution of a body of persons under section 50 tor toe prtparation of a list of persons eligible tor appointment to the poi1a of chief executives and other management pasts in national eb-gpeiratrve socletles and the amount of the maximum pa,le 20 appllcable to such posts; '(:) , t1ie recruitment, remuneration, allowances and other codditlona of service ot oftlcers and other employees of national c0-operative looeties under section 50;  (ui) prohibiting a multi-state co-operative society from electing a defaulting membe,r, or a representative of defaulting membersociety, on its board: '(=:ii) the returns to be submitted by a multi-state co-operative iociety to :the central registrar, the persons by whom and the form m which such returns shall bewb~itted and in case of failure to wbmtt any such returns, the levy of expenses 0' p~paring it: (~i) tlie persons by whom and the form in which copies of entries in books of multf-state co-operative 'societies may be certlfted udder sectlon 56 and the charges to be levied for the supply of such eoptes: 35 45 "(mt1)" the terms and conditions on which the central governnient may make share-capital contribution or give financial or other aatsiance to multi-state co-operative societies under section 59 and the tenna and conditions on which the central government may paruitee the, "ayment of the principal or interest on debenturel fllued bv multi-state co-operative socie~e<j or 109n 3 or deposfts ~ by "them; , -  '(=:o):t1te proeedure to be followed in proceedings before the central re~8trar or" "other persons decfdinll( dispute!'! ineludin!1 the appointment of a ~rdian for a -party to the df&l)1lte who is a mmol' or who, by reason of unsoundness of mind 'ot' mental infirmity, is ,mca"able of protecting his interests, and the levy of exjlenses relating to such proceedings; (xxvi) ithe mode in which the value of a deceased member', share or interest shall be ascertained and the nomination of a perlon to whom such share or interest may be paid or transferred; (xxvii) the paymen~ to be made and conditions to be compued with by members applying for loans, the period for which any loadj 5 may be made and the maximum amount which may be lent to any members; (xxviii) the formation and maintenance of reserve funds and other funds under section 61 and the" objects to which such funds may be applied, and the investment of any funds und~ the control 10 of a multi-state co-operative society under section 62:" (xxix) the conditions under which profits may be "distributed under section 61 to the members of a multi-state co-gpeu'ative soclety and the maximum rate at dividend which may be paid by multi-state co-operative societies; 15 (xxr) the prohibitions and restrictions subject roo which multi-state co-operative societies may, under section 65, transact business with person's who are not members; (xxxi) t~ accounts and books to be kept by a multistate cooperative society and the audit of such accounts and the charges, if 110 any, to be made for such audit under section 67 and the periodical publication of a balance-sheet showing the assets and liabiuties of a mulu-stale co-operative society; '(xxrii) the calculation and writing off of bad debts by multi-state co-operative socleties; 25 (xxxiii) the appointmeilt of persons for settlement of disputes under section 76; (xxriv) the procedure to be followed by a liquidator appointed under section 80 in respect of provisions of section 81; (~xv) the manner in which the surplus assets may be dividlld amongst the membprs of 1he multi-stat;e co-operative society under 30 section 82; 85; (zzrvi) the procedure for execution of decisions under section  (xzxvii) the procedure to be followed in presenting and dispos-ing of appeals under section 90: 35 (xxxviii) the issue and service of pro~esses and for proof of service thereof;  (xxxix) the manner of, effecting attac~ent; (:ely the custody, pregervation and sa1e of property under attacbment; 4-0 (orti) the iftv'e8tigation of claims by persons other than the defaulter to any right or interet in the attached pr()pel"ty, and the postponement of sale pending such investigation; (xlii) the inunediate sale of parish able articles;  (xliii) the inspection of documents in the office of tbe central 4-5 registrar or of a~y othe~ officer or ~uthority and the levy of fees for grantlng cprtified copies of tee same; (xliv) the manner in which funds may be raised by a multi-state co-operative society or a class of multi-state co-operative societies by me~ of shares or debentures or otn~ise and the quantum of funds so raised: 5 i (xlv) the procedure under 'section 95 for reconstitution and reorganisation of societies which become multi-state co-operatiw societies consequent on reorganis~tion of a state; (xlvi) the methods of communicating or publishing any decision or orcjer required to be communicated or published under this act or 10 the rul; (xlvii) the' manner and the periodicity of returns of pendin~ cases of registration of multi-state co-operative societies and amendments of bye-laws to be sent by the central registrar to the central government;  1·5 (xlviii) an~ other matter which is required to be, or may be, prescribed   ~;  ' (3) everyrul~ made under this section shall be laid, as soon as may  1<,  be after it is made, before each house of parliament, while it is in session, for a total period of thirty days which may be ~omprised in 20 one session or in two or more successive sessions, and if, before the expiry of the session immed:iately following th~ session or the successive aessions  aforesaid, both hous~ in making any modification to the rule or both houses agree that the rule should not be made, the rule ~ shall thereafter have effect only in such modified form or be of no et!ect ·25 as the case may be; 'so, however, ,that any such modification or annulment aha11 be without prejudice to the validity of anything previously done under that rule ·um2 110 the multi-unit co-operative societies act, 1942 is hereby , repealed  the first schedule [see section 3 (1) ] co-operative principles1 membership of a multi-state co-operative society (hereafter in this schedule referred to as the society) should be voluntary and open, 5 without any social, political, or religious di'scrimination, to all persoda who can make use of its services 2 in a society other than that with institutional membership, indivi-dual member should enjoy equal rights of voting-bne member, one t "jiji"iaiio vo e ," ,-, -3 (i) surplus or savings, if any, arising out of the operations of b 1iioc1ety belong to the society as a whole, and no individual member hu a claim to the surplus  (ii) the surplus should be utilised for all or any of the following pur  poses, namely:-15 (a) providing for development of ,the business ot the soclety; (b) providing services for th8'-common enjoyment ot members; (e) distribution among the members in proportion to their transactions with the society;  , 4 the society should undertake education of its members, oftlce- 120 qearers and employees and the general public regarding the prlj1clplla and practice ot co-operation 5 the society should actively co-operate in every pracucal waywtth other co-operative societies at local, national or international levels 6 the share capital of a society shall receive strictly limited rate of 25 interest (that is to 'sayi dividend)  7 the affairs of a society should be administered by the managemat in accordance with democratically expressed will of the members 8 the management of the, society is accountable to its own membca  the second schedule[see sections 3 (m) and 104]  lis of national co-operative societies1 national co-operative land development banks federation limited, hyclerabad  : ~  --~ 2 national federation of state co-operative banks limited, bombay s national co-operative union of india l~ted, new delhi 4 national agricultural co-operative marketing federation of ibdia limited, new delhi 5 5 national co-operative consumers' federation of india limited, new delhi 6 national federation of co-operative sugar factories limited, new delhi 7 national federation of industrial co-operatives limited, new 10 delhi 8 national co-operative housing federation limited, new delhi 9 indl;ln farmers' fertiliser co-operative limited, new delhi 10 all india federation of co-operative spinning mills limited, bombay 15 11 all india industrial co-operative banks' federation limited, bangalore 12 national co-operative dliiry federation of india limited, new delhi 13 petrofils co-operative limited, new delhi 14 national heavy engineering c<>-operative limited, new delhi 120 15 the all india handloom fabrics marketing co-operative society limited, bombay -16 the natiollal federation of urban co-operative banks and cl'edit societies limited, new delhi 17 krishak bharati co-operative limited, new delhi 18 national federation of fishermen's co-operative limited, bombay 19 national federation of labour co-operatives limi1led, new delhi  ~ t 20 national co-0p,erative tobacco growers' federation limited, anadd co-operative societies with objects not confined to one state and 8e1'ving the interests of members of more thanolle state are at present governed by the provisions of the multi-unit co-operative societies act, 1942-a central act this i's only an enabling legislation facilitating the incorporation, regulation and winding up of multi-unit (state) c0-operative societies under the provisions of the co:-operative societies act of the state where the principal place of business of any such society is located as a result, different multi-unit co-aperative societies are governed by different co-operative laws in the country 2 since 1942, far-reaching changes have occurred in the organiutiona! structure, overall size and operations, etc, of multi-unit co-operative societies a number of national level co-operative societies and :federa~ tions, promoted :by co-operatives in the country have come up with the assistance of the central and state governments these federatioos and societies are engaged in diverse spheres of co-operative activity the provisions in the co-operative laws in different states govern1ne these multi-state societies tend to vary from one another thua the lack of uniformity and the inadequacies in the existing arrangements ,have rendered it necessary to replace ihe existing legislative framework of such co-operatives by a common comprehensive central legisla· tion and providing for a central authority to be responsible for their promotion, registration and supervision the present multi-state cooperative societies bill, framed in the l~ght of the recommendations of the expert commitee on multi-state co-operative societies legislation and in consultation with the state governments, seeks to achieve this objective and is intended to facilitate the further development and more effective functioning of multi-state co-operative societies 3 the proposed law will extend to the whole of india including jammu and kashmir the present multi-unit co-operative societies act, 1942 does not extend to janunu and kashmir, 4 the scope ot the bill is divided into several parts on the u8ual tines of co-operative legislation in the states providing, among other things, for the appointment of central registrar, registration of multi-state co-operative societies, members' ·rights and liabilities, management of co-operatives, privileges of multi-state co-operatives, their properties and funds, audit, inquiry, inspection, settlement of disputes, winding up  and cancellation o~ registration of multi-state co-operative societies etc 5 some of the provisions contained in the state co-operative' laws and which have been 'irritants' to non-official leadership of the cooperative rnovenlent have not been inducted in the-bill the bill ~~ t\('t cnntajl\ ~~ - , "  ~'!t'l~on for cqmpulsory amendment of 'bve-jijllr!\ or for compulsory amalgamation or division of societies nor does the proposed bill contemplate any powers to government nominees to veto the resolution of board of management of societies ~ objective is that while the autonomy of the co-operative should be supported and  respected, the administrative arrangements for inspection; monitoring and audit of these societies are strengthened to ensil1:e that the societies function with responsibility to tpeir constituents and the community rao blrendra singh new dblm; the 20t;h match, 1984  president's recommendation under article 117 of the constitution ·of india[copy of letter no l l101z/1/80-l&m, dated the 19th april, 1934 from rao birendra singh, minister of agriculture to the secretary-general, lok sabha] the president, having been informed of the subject matter of the bill to consolidate and amend the law relating to co-operative societies with objects and confined to one state and serving the 'interests of members in mor~ than one state, recommends the introduction of the bill in lok sabha under clause (1) of article 117 of the constitution and ita consideration under clause (3) of that article cl"u~e 1-this clause inter aua seeks to extend the provisions of the bill to the whole of india including the state of jammu and kashmir cl4uae 2-as the subject relating to co-operative societies falls within the jurisdiction of ,the state, only those societies whose objects ex:tetld beyond one state come under the purview of the proposed bill and the types of 'societies that would ,be covered have been speeijled in the bill itself c14use 3-this clause relates to definitions of various words ind ex· pl'etsions used in the bill ci&use ol-provisiob has been made under this clause for the appointment of a central registrar with a proper 'scheme of delegation of powers to any officer of the central government or the state governmslt cz&ue 5-it provides that no multi·state co-operative society shall he registered unless ita main object is such as to render it necessary to serve the in~1:i of members in more than one state cl4usu 6, 7 and s-these clauses provide for making an application for the registration of a multi-state c(h)perative society, disposal of iiuch application by the central registrar and for the issue of registration certificate when registered -cl4'wes 9 (1m lo-these clauses deal with the procedure for the amendment of byelaws ~f a multi-state co-operative society and its codldd8n~t " clause 11 and 12-these clauses prescribe ,the procedure for change of name or adress of the multi·state co-operative society ~ 13-this clause provides" that only a multi-statc co-operativc society with limited liability shall be registered clause h-it deals with the procedure for amalgamation, transfer of assets and liabilities or division of multi-state co-operative societies c14~s 15 and 16-these clauses deal with preparation of a "me for the amalgamation or reorganisation of a multi-state co-operatlve bank with the previous approval of the reserve bank of india clause 17-the certificate of registration of a multi-state co-operative society shall stand cancelled in he circumstances as laid down hi this clause ' "' " "~ clg-use l8-it prescribes the procedure for conversion of a state based co-operative society into a multi-state co-operative society clame 19-the persons who are eligible to become members of a multistate co-operative society have been enumerated in this clau'de  ;;cluse 2o-this clause provides for the members not to exercise their rig s as members till due payment is made by, them clause 21-~s clause deals with the procedure for expulsion of members of multi-state co-operative 'society clause 22-under this clause every member of a multi-state cooperative so~iety shall have one vote in the affairs of the society certam multi-state co-operative societies the members of which include co-operative societies or other multi-state co-operative societies may provide for an equitable system of voting - clause 23-thi-s clause provides for the manner in which a member can exercise his vote clauses 24 to 28-these clauses deal with the restrictions on transfer of shares or interests; redemption of shares and the manner in which the shares may be redeemable; transfer of share or interest on the death of a member to the person nominated or if no person is nominated, to the heir or legal representative of the deceased member and the liability of a past member and the estate of a deceased member for the debts of the society clause 29-this clause provides for the general body of a multi-state co-operative society and for its constitution, powers and functions it also provides that a co-operative society which is a member of a multi-state co-operative society shai1 be represented in the latter only through its chairman or the chief executive and where there is no chairman or the chief executive, the administrator, so that its participation in the general body of the multi-state co-operative society is effective clauses 30 and 31-these clauses provide for the annual general meeting and special ~neral meeting of the general body of a multi-state co-operative society clause 32-this clause provides for board of directors for every multi-state co-operative societies clause 33-this clause seeks to associate the representatives of the employees of the multi-state co-operative societies in the management decision making process clause 34-the disqualifications for members of the board of directors of a multi-state co-operative society have been specified in this clause c1a'use 35-this clause provides for the preparation of electo~al :reus f ljt· n of the member's of the board and thelr terms for the purp-ose 0 e t"1' 10 "  ,",  of office, etc  u es 36 and 37-no person shall hold office of chairman ~r cla s  chairman or vice-president in more than one multi-president, vic~  t state co-operhtive socle y and shall not be e1jgible to hold such office for more than two consecutive term!   ltd chairman or president of multi-state co'-clause 38-the ~:~ e paid' honorarium in respect of specific services operative society cou e rendered by him under this clause and 4o-these clauses relate to removal of electe" clauses 39  1 body and by th~ central registrar plembel'l by the g~t1er!} ,: ' ' ' clause 41-where the government has subscribed to the sharecapital of a multi-state co-operative society it can nominate such number of nominees on the board of directors of a co-operative society as may be specified by the rules clauses 42 and 43-these clauses provide for powers and functions of the board and also provide that the board shall meet at least once in every quarter clauses 44 and 45-where the central government has made substantive contribution to the share-capital of a national co-operative society exceeding fifty per cent, the prior approval of the central government would be necessary for the appointment of chief executive and functional directors the powers and functions of the chief executiye have been enumerated in clause 35 clause 46-this clause provides for the constihltion of executive committee and other committees or sub-committees of the board czause 47-this clause empowers the central government to give directions to multi-state co-operative societies in public interest or in the interest of proper implementation of the developmental programmes clause 48-it provides that the board of a multi-state co-operative society could be superseded by the central registrar if that board persistently makes default or is negligent in the performance of its duties or commits any act which is prejudicial to the interests of the society or its members the total period of supersession is not to exceed two years clallse 49-this clause provides for securing possession of records, property, etc, of a multi-state co-operative society, by· the order of a magistrate, where such records are likely to be tampered with or destroyed or the properties likely to be mis-appropriated or mis-applied, under the circumstance5 enumerated in this clause clause 50-this clause provides that the selection of the chief executive and other managerial posts in national co-operative societies shall be made through a body of persons constituted in that behalf czau'le 51-this clause provides that no defect in the constitution of a multi-state co-operative society, etc, makes the acts of such society, etc, invalid clause 52-this clause confers corporate status on a multi-state cooperative society after its registration clauses 53 to 59-the provisions in these clauses confer certain privileges on multi-state co-operative societies such societies are afforded exemption from· compulsory registration of instruments (vide clause 57) clause 58 gives the facility to such a society for deduction of amounts from the salary of a member of multi-state co-operative society to meet the c1aims of such a societ~ an enabling provisiori" has been incorporated in clause 59 to facilitate govemment aid to mtdti  state co-operative societies, clause 60-this clause provides that no part of the funds other than the net profits of a multi-state co-operative society shall be divided by way of bonus or dividend, etc cia'use 61-this clause relates to the disposal of net profits and contributions to statutory funds clause 62-the modes of investments of funds of a multi':'state cooperative society have been laid down in this clause clauses 63 td 65-these clauses lay down restrictions on loans, deposits and loal'l5 to be received and other transactions with non-members by multi-state co-operative society  clause 66-this clause provides for the establishment of a contributory provident fund for the benefit of the employees of the multi-state cooperative society having such number or class of employees as may be prescribed cm-use 67-this clause empowers the central registrar to audit or cause to be audited the accounts at every multi-state co-operative society at least once in each year clau'j€ 68-the central registrar or any person authorised by him may inspect a multi·state co-operative society clauses 69 to 73-these clauses provide for an inquiry to be held by the central registrar into the constitution, working and financial condition of a multi-state co-operative society and also to inspect or authorise some person to inspect the books of the society on the application of creditor of the society it is also provided that where inquiry is held or inspection made, the central registrar may apportion the cost between the concerned members or creditors and the society and such cost may be recovered on an application to a magistrate having jurisdiction it is also provided for repayment or restoration of the money or property with interest or to pay contribution and costs or compensation as the central registrar may consider just and equitable in c8'ses where any payment has been made contrary to the provisions of the bill clauses 74 to 76-these clauses lay down the procedure for st!ttlement of disputes touching the constitution, management or business of a multi-state co-operative society, the person who shall decide the disputes and the period of limitation in relation to such dispu  clauses 77 to 84-these clauses provide for the winding up of a multi-state co-operative society, appointment of a liquidator for such society and the powers and responsibilities of liquidator clauses 85 to 89-'nlese clauses provide for the procedure for execution of decrees, orders and decisions made under various clauses of the bill clause 89 provides that the sums due to governmen~ shall be recovered in the same manner as arrears of land revenue clauses 90 to 94-these clauses make provision for appeals, revision, review and interlocutory orders clause 95-this clause specifies detailed procedure to be followed in respect of societies which become multi-state co-operative societiee consequent on reorganisation of the states clause 41-where the government has subscribed to the sharecapital of a multi-state co-operative society it can nominate such number of nominees on the board of directors of a co-operative society as may be specified by the rules clauses 42 and 43-these clauses provide for powers and functions of the board and also provide that the board shall meet at least once in every quarter clauses 44 and 45-where the central government has made substantive contribution to the share-capital of a national co-operative society exceeding fifty per cent, the prior approval of the central government would be necessary for the appointment of chief executive and functional directors the powers and functions of the chief executi~ have been enumerated in clause 35 clause 46-this clause provides for the constitution of executive committee and other committees or sub-committees of the board clause 47-this clause empowers the central government to give directions to multi-state co-operative societies in public interest or in the interest of proper implementation of the developmental programmes cza11<;e 48-jt provides that the board of a multi-state co-operative society could be superseded by the central registrar if that board persistently makes default or is negligent in the performance of its duties or commits any act which is prejudicial to the interests of the society or its members the total period of supersession is not to exceed two years cla1lse 49-this clause provides for sec'uring possession of records, property, etc, of a multi-state co-operative society, by the order of a magistrate, where such records are likely to be tampered with or destroyed or the properties likely to be mis-appropriated or mis-applied, under the circumstances enumerated in this clause clause so-this clause provides that the selection of the chief executive and other managerial posts in national co-operative societies shall be made through a body of persons constituted in that behalf clatl'!e 51-this clause provides that no defect in the constitu~ion of a multi-state co-operative society, etc, makes the acts of such society, etc, invalid clause 502-this clause confers corporate status on a multi-state c0-operative society after its registration clauses 53 to 59-the provisions in these clauses confer certain privileges on multi-state co-operative societies such societies are afforded exemption from· compulsory registration of instruments (vide clause 57) clause 58 gives the facility to such a society for deduction of amounts from the salary of a member of multi-state co-operative society to meet the claims of such a societ:,\ an enabling provisiori' has been incorporated ;n clause 59 to facilitate government aid to m~1ti  state co-operative societies, clause 60-this clause provides that no part of the funds other than the net profits of a multi-state co-operative society shall be divided by way of bonus or dividend, etc cia'use 61-this clause relates to the disposal of net profits and contributions to statutory funds  clatue 62-the modes of in~estments of funds of a multi~state cooperative society have beert laid down in this clause   clauses 63 td 65-these clauses lay down restrictions on loans, deposits and loans to be received and other transactions with non-members by multi-state co-operative society  clause 66-tbib clause provides for the establishment of a contributory provident fund for the benefit of the employees of the multi-state cooperative society having such number or class of employees as may be prescribed c'1iause 67-tbis clause empowers the central registrar to audit or cause to be audited the accounts of every multi-state co-operative sciciety at least once in each year cla'ijse 68-the central registrar or any person authorised by him may inspect a multi-state co-operative society clauses 69 to 73-these clauses provide for an inquiry to be held by the central registrar into the constitution, working and financial condition of a multi-state co-operative society and also to inspect or authorise some person to inspect the books of the society on the application of creditor of the society it is also provided that where inquiry is held or inspection made, the central registrar may apportion the cost between the concerned members or creditors and the society and such cost may be recovered on an application to a magistrate having jurisdiction it is also provided for repayment or restoration of the money or property with interest or to pay contribution and costs or compensation as the central registrar may consider just and equitable in cases where any payment has been made contrary to the provisions of the bill clauses 74 to 76-these clauses lay down the procedure for st!ttlement of disputes touching the constitution, management or business of a multi-state co-operative society, the person who shall decide the disputes and the period of limitation in relation to such dispum clauses 77 to 84-these clauses provide for the winding up of a tnulti-state co-operative society, appointment of a liquidator for such society and the powers and responsibilities of liquidator clauses 85 to 89-these clauses provide for the procedure for execution of decrees, orders and decisions made under various clauees of the bill clause 89 provides that the sums due to governmen~ shall be recovered in the same manner as arrears of land revenue clauses 90 to 94-these clauses make provision for appeals, revision, review and interlocutory orders clause 95-this clause specifies detaile? procedure to ~ follow~d in respect of societies which become multl-state co-operative socletiee consequent on reorganisation of the states clauses 96 and 9'i-these clauses relate to offences and penait1es irl case of filing false return;; or furnishing false iniormation, etc clause 97 provides that no court inferior to that of a metropolitan magtstrate or a judicial magistrate of the first class shall try such offences and no prosec'ution shall be instituted wjthout the previous sanction of the central registrar clause 98-under this clause a copy of the legislation, rules, byelaws, etc  is to be kept open for inspection free of charge clause 99-this clause seeks to empower the central government to exempt any multi-state co-operative society 01' claaa of such societiell from any of the provisions of the bill cla'use 100-a person appointed as a liquidator under the provisions of the bill shall be deemed to be a public  rvant within the meaning of section 21 of the indian penal code clause 101-this clause provides that no suit can be instituted against a multi-state co-operative society or any or t officers unless a notice is given to the central registrar clause 102-this clause provides that the provistona of the cj)mpanies act, 1956 and the monopolies and restrictive traae ~ractices act, 1969, shall not apply to a multi-state co-operative socieu clause 103-under this clause the existing multi-s~ate co-operative societies shall be deemed to be registered under ·th provisions of the proposed legislation j clause 104-this clause seeks to empower the central {1overnment to include in or to exclude from the list of the nauanal co-operative societies specified in the second schedule, any national co-operative society by, notification, and al'8o provides that every such notification shall be laid before parliament clause l05-the jurisdiction of courts has been barred in respect of certain matters relating to the registration, winding up and the dissolution of a multi-state co-operative society clause l06-this claruse confers certain powers of a civil court on the central registrar or any other person deciding the dispute clause l07-this clause provides that no suit, etc, shall lie against the central registrar or his subordinates for anything done in good faith clause lob-this clause seeks to empower a multi-state co-operative society to open branches or places of business any where in india claw;e l09-this clause empowers the central government to make rules for carrying out the provisions of this legislation and enumerates various matters for which rules may be made and also provides for laying the same before parliament clause llo-this clause repeals the mul~i-unit co-operative societies a~1~ , i!, i the· first schedule-in this schedule co-operative principles have been enumerated  the second schedule-this schedule contains the liat of national cooperative societies the multistate co-operative societies bill, 1984 s';ks to replace the existing multi-unit co-operative societies act, 1942 except for some additional expenditure that may arise under clauses 4 and 35 of the bill, no other new expenditure is envisaged by reason of the passing of the bill 2 clause 4 of the bill provides for the appointment of central registrar of co-operative societies and other persons to assist him presenuy, one of the officers in the ministry of agriculture has been designated as central registrar in an ex officio capacity some snleton supporting staff has also been provided to assist the central registrar simultaneclllsly some of the powers of the central registrar have also been delegated to the state officers with the passing of the bill, however, the central registrar will have to assume greater responsi'jilities in relation to multi-state co-operative societies this will necessitate a full-time central registrar with other officers and supporting staff to assist him in the discharge of the statutory functions under the various provisions of the bill to begin with, the following additional posts will be needed: posts number or posts scale or pay _- ------------------ ---gatt/lld call,ry : one central registrar one ri 11115°'11'150 r, 15qo-1800 joint central regiatrar one assistant director one ri_ 7oo-isclo rs 650-1040 senior penoual assiltant nrm gatttlld cij/ipj i one senior technical assistant onc araistant onc stenographer orade 'c' two lower divillon clerks two ri 5500900 ri 4115400 ri 415  800 ra 860-400 lb ,9f;gssi peon ,  3 clause 35 of the bill lays down that the election of the l~lernbers  d f directors of such multi-state co-operatlve socxeties or of the boar 0 - b tifted i al i f multi-state co-operative societies as may e no n a gener c ass 0  d hall be held under the superintendence, dl,l'ection and or special or er, s i officers as may be appointed by the central control of such return ngount of expenditure that might be involved on registrar the exact admat this stage the additional expenditure may this cannot be assesse be around rs 10,000 in a year 4 clause 59 of the bill provides for financial assistance to multi-state co-operative societies in the form of share capital, loans and advances, subsidies and guarantees the system envisaged in this pl'ovisiolt is already in vogue and no additional expenditure to the government is envisaged 5 the development of multi-state co-operative societies is ali approved plan scheme an amount of rs 200 lakhs has been included in the budget of the ministry for the financial year 1984-85 in respect of this 'scheme the expenditure involved and referred to in the preceding paragraphs together with expenditure on the existing staff wil1 hi accommodated within the budget allocation for the year suitabl~ provision will also be made for the subsequent years 6 the bill does not involve any non-recurring expenditurf clause 109 of the bill empowers the central government to make rules to carry out the provisions of the proposed legislation sub-clause (2) of this clause enumerates the matters with respect to which rules may be made under this clause these matters relate, inter alia to the procedure to be followed for the registration of multi-state co-operative societies; the conditions to be complied with by persons applying for admission as members of a multi-state co-operative society; the maximum number of shares of multi-state co-operative society which a member may hold; the election or nomination of members to the boards, the terms and conditions on which the central government may make share-capital contributions and conditions on which the central government may guarantee the payment of the prineipal or interest, etc the aforesaid matters relate to procedure and administrative t&etail and it is not practicable to provide them in the bill itself the de~la­tjon of legislation power is, therefore, of a normal character  a bill·to consolidate and amend the law relating to co-operative societies with objects not confined to one state and serving the interests of members in more than one state (roo birencira singh, minister of agriculture)                                   , 24 page 50, line 26,-for "adress" ~ "address" 25 page 50, line 6, from bottom,-"the" for "he" read 26 page 52, line 13,-for "clause 35" ~ "clause 45" 27 page 57, line 9,-after "shares of" insert "a" ~ deldi' , ms,y 54 1984-vaisakha 15, 1906 (saka) "himself 1 11 pabe 27, ilne 22,-f2£ "hamself" 12 page 29, lile 33,-aft er "or" omi t "the" 13 pa~e 29, line 3,,-for "sociey" _read "society" -  14 page 32, in the marginal heading to cla~se 80,-f2!: itliqu1datfon~1 read "liquidator" 15 page 34, in the marginal heading to clause 87,-aft er " award" 2!!e:! "tor it 16 - page 35,-against'line 13, insert the marginal citation,-~ "36 f 1963" 17 page 35, line 13,-omit "36 of ~963" 18 page 40, in the marginal headlng to clause 103,-for "socities" read "societies" 19 page 42, line 46,-for "meetlngs" 'read "meeting" 20 page 45, l~ne 8,-for "methods" read "method" page 46, line 32,-for "lis" ~ "list" -22 page 48, line 2 from bottom,-!2e "inducted" read "included"  23 page 49, line 4 frem bottom,-~ "objects and" read "objects not" tf:il!; nulti-stal'e co-ope:etativb s,ocieties bill, 19d4 (to be/as introduc·ed in lok sabha) 1 page 6, line 32,-ill "llabiliy" "11abi1i ty" 2 p~ge 7, line 41,-"reeclpt" "receipt" 3 page 8, line 17,-"amajag amat ed " read -"amajgamated" 4 page 13, in the marginal heading to clause 29,-after "body," insert "its" 5 page 15, line 37,-- for -"s" "1s" 6 page 16, line 1,-f2!: "preperation" ~ "preparation" '1 page 21, line 26,-!q! "decessed" !:!!!f! "deceased" e page 22, line 34,-for "executive" read "execute" --9 page '22,-against line 48, 1n the marginal c~tation,­!qr "4 of 1916" ~ "4 of 1936" 10 page 23, l~ne 18,-\ !2! "socity" ~ "society" ,,' 