Registration of a Co-operative Society
Registration of a Co-operative Society
Co-operative Societies are governed by the Central Co-operative Societies Act 1912, where there is no State Act. In West Bengal they were governed by the West Bengal Co-operative Societies Act (Act XXI of 1940) as amended by the West Bengal Act XVII of 1970 until 1973, when the West Bengal Co operative Societies Act 1973, came into force. The 1940 Act was expected to introduce a new life in the rural areas of West Bengal, but corruption, nepotism and vested interest struck at the very root of co-operative movement of the State. The Act was amended in 1970 and two successive ordinances were promulgated on 30th September 1972 and 27th January 1973 with a view to plugging the loopholes, but they failed to achieve much result. The West Bengal Co-operative Societies Act 1973, was enacted to consolidate and amend the law which introduced some major changes: (1) Bar to membership (s. 12); (2) refusal to register (s. 15); (3) disqualification for directorship (s. 23); (4) supersession of managing committee (s. 26); (5) seizure of books (s. 83); and (6) overriding power (s. 141) and several other changes.
The rules framed under the 1940 Act continued until the 1974 Rules came not force. Sections 6 and 8 of the Central Act provide for conditions of registration and application for registration of co-operative societies. Sections 11 and 13 of the West Bengal Act of 1940 provided for what societies may be registered and application for such registration. The corresponding sections in 1973 Act are ss. 11 and 13, but the contents of the latter are different. The details about the formation of co-operative societies are given in the Bengal Societies Rules 1974. Rule 7 of 1940 Act provides that no prilTJary society shall be registered unless it consists of at least 15 persons and where it is a credit society unless such persons reside in the same town or village or same group of villages or members of the same class or occupation. A co-operative farming society or housing society may be registered if it consists of eight or more persons. Rule 8 of 1973 Act requires that the applicants must reside or hold landed property in the same town or village and further that they must be members of the same class or occupation.
The provisions of the 1973 Act were found insufficient in the changed circumstances. There were lacunae, vagueness and omissions. By amendments these could not be removed. A Co-operative Law Committee was set up which submitted its report on the basis of which ultimately the West Bengal Co-operative Societies Act 1983 was passed and the West Bengal Co-operative Societies Rules 1987 were framed.
Application for registration must be in the prescribed Form and manner and be accompanied by a copy of the proposed by-laws.
To register a Co-operative Society in Delhi Contact at Ph no: 9650499965 (Adv. Tapan Choudhury)