ORISSA CO-OPERATIVE SOCIETIES ACT, 1962
(1) This Act may be called the Orissa Co-operative Societies Act, 1962.
(2) It extends to the whole of the State of Orissa.
(3) It shall come into force on such date as the State Government may, by notification appoint.
Objects and Reasons : The provisions of the present Orissa Co-operative Societies Act, 1951 are not adequate to meet the present days requirement and they are not suited for the repaid development of Co-operatives in the State which is an essential need for the success of various development programmes, particularly those which are meant to help the weaker sections of the community. The question of revising the existing Act thoroughly has been under consideration of the State Government for sometime past. A model Co-operative Societies Bill has been prepared by a Committee s
In this Act, unless the context otherwise requires :
1[(a) "Apex Society" means a Society having the whole of the State of Orissa as its area of operation, and declared as such by the Registrar;]
2[(a-1) "Auditor-General" means a person appointed as such to perform the functions of the Auditor-General of Co-operative Societies under this Act, and includes any person appointed to assist the Auditor-General when exercising all or any of the powers of the Auditor-General;]
(b) "Bye-laws" means the registered bye-laws for the time being in force 4["in relation to a Society];
3[(b-1) "Central Co-operative Bank" shall have the same meaning as assigned under the Reserve Bank of India Act 2 of 1934;
1[(b-2) "Cent
(1) The State Government may appoint a person to be the Registrar of Co-operative Societies for the State and may appoint other persons with prescribed designation to assist him.
(2) The State Government may, by general or special order, confer on any person appointed to assist the Registrar, all or any of the powers of the Registrar under this Act to be exercised within such local limits as may be assigned by the Registrar.
(3) The State Government may also, by order, appoint any Society or local authority to assist the Registrar who shall exercise in the prescribed manner such powers of the Registrar, as may be specified in the said order.
(4) Every person appointed to assist the Registrar shall exercise the powers conferred on him under Sub-section (2) or (3), as the case may be, subject
(1) The State Government may appoint a person to be the Auditor-General of Co-operative Societies for the State, and may, also appoint other persons with such designations as may, subject to rules, if any, be specified in the order in that behalf to assist him.
(2) The State Government may, by general or special order, confer on any person appointed to assist the Auditor-General, all or any of the powers of the Auditor-General under this Act to be exercised within such local limits as may be assigned by the Auditor-General.
(3) The State Government may also, by order, appoint any Society or local authority to assist the Auditor-General who shall exercise in the prescribed manner such powers of the Auditor-General as may be specified in the said order.
(4) Every person, Society or local auth
Subject to the provisions of this Act, a Co-operative Society which has, as its object the promotion of economic interests of its members in accordance with co-operative principles or a Co-operative Society established with the object of facilitating the operations of such a Society, may be registered under this Act.
(1) A Co-operative Society may, subject to the provisions of Sub-section (2), be registered with limited or unlimited liability.
(2) Unless the State Government, by general or special order otherwise direct, no Society shall be registered after the commencement of this Act with unlimited liability, if it has any Society as its member.
(3) The word limited or its equivalent in any Indian language shall be the last word in the name of a Co-operative Society registered under this Act with limited liability.
(1) An application for the registration of a Co-operative Society shall be made to the Registrar in such form as the Registrar may, from time to time, specify, and the applicants shall furnish to him all such information about the Society as he may require.
(2) Every such application shall conform to the following requirements, namely :
(a) the application shall be accompanied by five copies of the proposed Bye-Laws of the Society :
1[(b) Where the application is for registration of
2[(i) a primary Society, the number of individuals joining in the application shall not be less than fifty-one, except in the case of a Society, the object of which is housing, where such minimum number shall be fifteen, so however that, in either case, such minimum n
If the Registrar is satisfied -
(a) that the application complies with the provisions of this Act and the Rules;
(b) that the objects of the proposed Society are in accordance with Section 4;
(c) that the aims of the proposed Society are not inconsistent (with the principles of social justice);
(d) that the proposed Bye-Laws are not contrary to the provisions of this Act and the Rules; and
(e) that the proposed Society complies with the requirement of sound business and has reasonable chances of success;
the Registrar may 1[after consultation with the Apex or Central Society to which the proposed Society intends to be affiliated as per its Bye-Laws register the
A certificate of registration issued under Section 7 shall be conclusive evidence of the fact that the Co-operative Society mentioned therein is a Society duly registered under this Act.
A Co-operative Society registered under this Act shall be a body corporate by the name under which it is registered having perpetual succession and a common seal, and with power to 1[acquire and hold property and to dispose in the manner prescribed, of its property] enter into contracts, institute and defend suits and other legal proceeding and to do all things necessary for the purpose for which it was constituted.
(1) A Society may, by an amendment of its Bye-Laws, change its name.
(2) Where a Society changes its name, the Registrar shall enter the new name in the register of Co-operative Societies in the place of former name and shall amend the certificate of registration accordingly.
(3) The change of name of a Society shall not affect any rights or obligations of the Co-operative Society, or render defective any legal proceedings by or against it; and any legal proceedings which might have been continued or commenced by or against the Society by its former name may be continued or commenced by its new name.
(1) Subject to the provisions of this Act and the rules a Society may, by an amendment of its Bye-Laws, change the form or extent of its liability.
(2) When a Society has passed a resolution to change the form or extent of its liability, it shall give notice thereof in writing to all its members and creditors and notwithstanding any Bye-Laws or contract to the contrary, any member or creditor shall, during a period of one month from the date of service of the notice upon him, have the option of withdrawing his shares, deposits or loans, as the case may be.
(3) Any member or creditor who does not exercise his option within the period specified in Sub-section (2) shall be deemed to have assented to the change.
(4) An amendment of Bye-Laws of a Society changing the form or extent of its liabil
(1) No amendment of any Bye-Law of a Society shall be valid unless such amendment has been registered under this Act.
2[(2) Every proposal for such amendment shall be forwarded to the Registrar and if the Registrar is satisfied that the proposed amendment -
(i) is not contrary to the provisions of this Act and the rules;
(ii) does not conflict with co-operative principles;
(iii) satisfies the requirements of sound business;
(iv) will promote the economic interests of the members of the society;
(v) is not inconsistent with the principles of social justice; and
(vi) is well defined and does not in any way hamper the
An amendment of the Bye-Laws of 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.
3[Provided that an amendment made with the prior approval of the Registrar shall come into operation with effect from the date on which the resolution in respect thereof is passed at the general meeting of the Society.
(1) A Society may 4[* * *] by a resolution passed by a majority of the members present and voting at a general meeting of the Society -
(a) transfer its assets and liabilities in whole or in part to any other Society which is prepared to accept them; or
(b) divide itself into two or more Societies.
(2) Any two or more Societies may, 4[* * *] by a resolution passed by a majority of the members present at an ordinary general meeting of each such Society specially convened for the purpose which at least seven days clear notice has been given to each member and subject to the other condition of this section amalgamate into a single Co-operative Society.
(3) 1[* * *]
(4) The resolution of a Society under Sub
(1) Notwithstanding anything contained in this Act, if the Registrar, for reasons to be recorded, is of the opinion that-
(a) for ensuring viability of any Society or Societies; or
(b) for avoiding over-lapping or conflict of jurisdiction of the Society in any area; or
(c) in order to secure proper management of any Society; or
(d) in the public interest; or
(e) in the interest of depositors; or
(f) in the interest of Co-operative movement in the State as a whole; or
(g) in the interest of the Co-operative credit structure in the State as a whole, it is necessary to re-organise any Society or Societies
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[(1) (a) Subject to the provisions of Section 123, and notwithstanding anything to the contrary contained in any other provisions of this Act and the Rules or Bye-Laws framed thereunder, or any other law, for the time being in force, where the Registrar, for reasons to be recorded, is of the opinion that a Co-operative Society in which majority of the shares have been subscribed or liabilities by way of guarantee for borrowing exceeding fifty per centum of the working capital of the Society have been undertaken by the State Government;
(i) has become sick and it is not possible to rehabilitate it or run it in a viable manner; or
(ii) being in processing, manufacturing or other industrial sector, has its processing, manufacturing or other units lying either incomplete for want of required funds for completing those, or idle, or under util
(1) Where the whole of the assets and liabilities of a Society are transferred to another Society in accordance with the provisions of Section 14 the registration of the first mentioned Society shall stand cancelled and it shall be deemed to have been dissolved and shall cease to exist as a corporate body.
3[(2) Where two or more Societies are amalgamated into a new Society in accordance with the provisions of Section 14 or 14-A,
(i) the registration of the amalgamating Societies shall stand cancelled;
(ii) it shall be deemed that the amalgamating Societies have been dissolved; and
(iii) the resulting new Society shall be deemed to have been registered, with effect from the date of such amalgamation.
(3
(1) Any two or more Societies may, by resolutions passed by a majority of members present and voting at their respective general body meeting enter into a contract of partnership for carrying out any specific business permissible under the Bye-Laws on such terms and conditions as may be mutually agreed upon.
(2) Where such partnership requires the creation of a new organisation, the participating Societies shall be its members and the new organisation may be registered under any law for the time being in force.
15-B. Promotion of subsidiary organisation - (1) Any Society may, by resolution passed by a majority of members present and voting at its general body meeting, promote one or more subsidiary organisations for the furtherance of its stated objectives, and such organisation or organisations may be registered under any law for the
[(1) No person shall be admitted as a member of -
(a) a Primary Society, except individuals competent to enter into a contract under Section 11 of the Indian Contract Act, 9 of 1872, residing in the area of operation of the Society as specified in its Bye-Laws, and the State or Central Government, or both such Governments, as the case may be :
Provided that nothing in this clause shall debar a student, who is a minor, from becoming a member of a Society formed for the benefit of the students of an educational institution, or a person who is not an individual, from becoming a nominal member:
Provided further that not more than three individuals from the same family shall be admitted as members.
Provided also that nothing in this clause shall debar
(1) No person shall be eligible for being admitted or for continuing as a member of a Society, if he-(a) does not satisfy the requirements of this Act, Rules and Bye-Laws made thereunder; or
(b) has been sentenced for an offence involving moral turpitude, or sentenced to fine or imprisonment or both for any other offence by a Court in India, unless any such sentence is annulled or reversed or, in the latter cases until expiry of a period of five years from the date the fine is paid if the sentence is for fine, or where the sentence is for imprisonment or both fine and imprisonment, from the date he is released from the imprisonment, as the case may be; or
(c) is an applicant to be adjudicated as a bankrupt or an insolvent or is an undischarged bankrupt or insolvent; or
(d) is a paid employee o
Notwithstanding anything in Section 16 in respect of the membership in the State Co-operative Union such of the Societies shall be bound to affiliate themselves to and become members of the Union as may be subject to the rules made in that behalf, be declared from time to time by the State Government, having regard to their income and activities and the number and nature of their members to be liable to become such members of the Union :
Provided that if any such Society as aforesaid fails to comply with the requirements of this Sub-section within such time as may be prescribed, the Registrar shall have the power to declare such Society to have become affiliated to and member of the Union and thereupon the Society shall remain subject to all the obligations and entitled to all rights and privileges as a member of the Union and be liable to pay all fees and contributions in accorda
A Co-operative Credit Society registered under this Act which is not in receipt of any share capital, guarantee, loan from the Government may becomes member of a Co-operative registered under the Orissa Self-Help Co-operative Act, 2001.
Provided that any Co-operative Society may affiliate to any Society in a federal structure of its choice or disaffiliate from any such society.
(1) A Society 1[other than Primary Agricultural Credit Co-operative Society, Large-sized Adivasi Multipurpose Co-operative Society, Service Co-operative Society and Farmers Service Co-operative Society] may admit any person as a nominal 2[* * *] member.
[(2) A nominal member shall not be entitled-
(a) to any share in any form whatsoever, in the assets or profits of the Society;
(b) to attend the general body meeting of the Society; and
(c) to be elected to the Committee of the Society.]
(3) Save as provided in this Section, a nominal 1[* * *] member shall have such privileges and rights of a member and be subject to such liabilities of a member, as may be specified in the Bye-Laws of the Society.
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(1)] No member of a Society shall be entitled to exercise his rights as such unless he has made such payments to the Society in respect of membership, acquired such interest in the Society or fulfilled such obligation of members, as is required by this Act or as may be provided in Rules and Bye-Laws.]
[(2) Save as provided in Sub-section (1), a member of a Primary Agricultural Credit Co-operative Society, Large-seized Adivasi Multipurpose Co-operative Society, Service Co-operative Society and Farmers Service Co-operative Society shall not have the right to vote unless he has deposited such amount for such period as may be specified by the Registrar from time to time.]
[Provided that the provisions of this Section shall not apply to the members of the Committee of the Primary Societies who shall, be deemed to be members of the Central Society or as the case may be the Apex Soc
Every member of a Society shall have one vote in the affairs of the Society :
2[Provided that -
(a) 4[* * *]
(b) where two individuals have been admitted as joint members, they shall have one vote which may be exercised by any one of them;
(c) where the State Government or the Central Government is a member of the Society, each person nominated by or on behalf of such Government on the Committee shall have one vote;
(d) where there is an equality of votes at a meeting on the affairs of the Society other than election of is office-bearers or amendment of its Bye-Laws, the person presiding over the meeting shall have a second and deciding vote; and
(e) where a m
(1) Every member of a Society shall exercise his vote in person and no member shall be permitted to vote by proxy.
5[Provided that such vote shall be exercised -
6[(a) Where the member is a society, through its -
(i) President; or
(ii) Vice-President in case such member Society does not have a President, or having a President, such President is unable to exercise the vote, or
(iii) representative, in case such member Society does not have a President or Vice-President or having a President and Vice-President, none of them is able to exercise the vote];
(b) where the member is a Local Authority or a Body Corporate, through the head of such Authority or Body, as
(1) Any Society may, by resolution passed by two-thirds majority of the members present at a meeting of a general body, expel a member who acts adversely or whose continuance is considered detrimental or prejudicial to the interest of the Society :
Provided that no such resolution shall be valid unless the member concerned is given an opportunity of representing his case before the general body, in the prescribed manner.
(2) A copy of the resolution so passed shall be communicated to the member concerned and also shall be published in the notice-board of the Society.
In any Society no member belonging to the category mentioned in Clause (a) of Sub-section (1) of Section 16 shall -
(a) hold more than such portion of the total share capital of the Society not exceeding one-tenth thereof as may be prescribed; or
(b) have or claim any interest in the shares of the Society exceeding five thousand rupees :
Provided that the State Government may, by notification, specify in respect of any class of Societies a higher maximum than one-tenth of the share capital or a higher amount than five thousand rupees, as the case may be.
(1) The transfer of a share or interest of a member in the capital of a Society shall be subject to such conditions and restrictions as to the maximum holdings as are specified in Section 22.
(2) No transfer by a member of his share or interest in a Society shall be valid unless -
(a) the member has held such share or interest for not less than one year;
(b) the transfer is made to a member of the Society; and
(c) the transfer is approved by the Committee of the Society.
(3) Where a member of a Co-operative Farming Society has pooled lands in favour of the Society no such land shall be withdrawn from the Society within such period as may be specified in the Bye-Laws of such Society.
(1) On the death of a member, the Society shall transfer the share or interest of the deceased member to the person or persons nominated in accordance with the rules, or, if no person has been so nominated, to such person as may appear to the committee after such enquiry as he deems fit to be the heir or legal representative of the deceased member :
Provided that such nominee, heir or legal representative, as the case may be, is admitted as a member of the Society;
Provided further that nothing in this Sub-section shall prevent a minor or a person of unsound mind or a person suffering from any other disqualification, if any, under the Bye-Laws from acquiring by inheritance or otherwise the share or interest of a deceased member in a Society or from receiving dividend or benefit accruing in respect of such share or interest.
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(1) Subject to the provisions of Sub-section (2) the liability of a past member or of the estate of a deceased member for the debts of the Society as they existed -
(a) in the case of a past member on the date on which he ceased to be a member; and
(b) in the case of a deceased member on the date of his death, shall continue for a period of two years from such date.
(2) Where a Society is ordered to be wound up under Section 72, the liability of a past member or of the estate a deceased member who ceased to be a member or died within two years 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 his ceasing to be a member
(1) Notwithstanding anything contained in this Act or in any other law for the time being in force, a member of a Society, the object of which is the reclamation and colonisation of land or the acquisition of land and the leasing out thereof to its members, shall not be entitled to transfer possession of or interest in any land held by him under the Society, to any person except to the Society or with the previous approval of the Society given in accordance with the Bye-Laws to a member thereof or to a person whose application for membership has been accepted by the Society.
(2) No land held under a Society specified in Sub-section (1) by a member thereof shall be attachable in any suit or proceeding for the recovery of any debt other than a debt due to the Society or a member thereof.
The final authority in a Society shall vest in the general body of members :
1[Provided that where the area of operation or the membership of a Society exceeds such limits as may be prescribed, a representative smaller General Body shall be constituted in the manner prescribed which shall exercise all the powers of the General Body except the power of electing office-bearers 2[* * *] :
Provided further that nothing in this section shall affect any powers conferred on a committee or any officer of a Society by the rules of the Bye-Laws.
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1. Substituted by Orissa Act 28 of 1991, S. 19 (a) Dt. 31.12.1991, w.e.f. 14.11.1995.
2. Omitted Orissa
3[(1) The management of a Society shall vest in a Committee constituted in accordance with this Act, Rules, and Bye-laws, and the Committee so constituted shall exercise such powers and perform such duties as may be necessary or expedient for the purpose of carrying out its functions under this Act which shall include -
(a) the power to
(i) admit members and dispose of applications for shares;
(ii) interpret the organisational objectives and set specific goals to be achieved towards those objectives;
(iii) prepare annual and supplementary budgets and get approval of the General Body thereto;
(iv) raise and invest funds in accordance with the Bye-Laws;
(v) sanc
1[(1)2[(i) The President of the Committee of every Society shall be indirectly elected, in the manner prescribed, by and from among the members of the Committee;
(ii) Other members of the Committee shall be elected in the prescribed manner 3[by and from among the General Body of members of the Society qualified for the purpose] so however that, where the membership of the Society is required to be organised into different constituencies in accordance with its Bye-Laws, only the members belonging to any such constituency shall elect the member of the Committee from that constituency.]
4[(iii) 2[The Vice-President of the Committee] shall be elected by, and from amongst, the elected members of the Committee in the prescribed manner :
Provided that where the President of the Committee of such
1[(1) The meeting of the General Body of members of a Society shall be held at least once in every Co-operative year.]
(2) Subject to the provisions of this Act, Rules and the Bye-Laws, the following matters shall be dealt with by the General Body -
(a) approval of the programme of activities of the Society and Annual and Supplementary budgets;
(b) review of the programme for the year and its implementation;
(c) matters concerning the election of office-bearers;
(d) review of loans advanced to office-bearers and their near relatives or family members and direction for recovery of such loans;
(e) consideration of reports of Audit, Inspection and Inquiry, Annual
(1) The Committee may, at any time, convene a special meeting of the general body of the members of the Society, and shall convene such meeting on receipt of a requisition, in writing, from the Registrar, Auditor-General or any authority competent under this Act to make such requisition, or its Financing Bank, or such number of members or such proportion of the total number of members of the Society as may be prescribed, within the period specified in the requisition,
(2) If a special meeting is not convened in accordance with any such requisition, the requisitioning authority or any person authorised by such authority in that behalf shall have the power to convene such meeting and the meeting so convened shall be deemed to be a meeting convened by the Committee.]
MODIFICATION
1[30. (1) The C
(1) If the Committee does not convene a special meeting of the General Body on requisition under Section 30, it shall stand dissolved from the date following the date by which such meeting was due, and upon such dissolution.
(a) the office bearers shall be deemed to have vacated their office and the management of the Society shall vest in the Registrar on the date of the dissolution; and
(b) thereafter, the provisions of Clause (ii) of Sub-section (1-b) of Section 28 in regard to management of the affairs of the Society and constitution of its Committee shall apply.
(2) The office-bearers of the Committee dissolved under Sub-sec. (1) shall not be eligible for being chosen as office-bearer of any Society until expiry of a period of two years from the date of such dissolution.
(1) Where the State Government or Central Government-
2[(a) has subscribed to the share capital of a Society; or has granted any assistance in cash or in kind or in any other manner; or
(b) has assisted indirectly in the formation or augmentation of the share capital of a Society as provided in Chapter VI; or]
(c) has guaranteed the repayment of principal and payment of interest on debentures issued by a Society; or
(d) has guaranteed the repayment of principal and payment of interest on loans and advances to a Society;
the State Government or the Central Government as the case may be, or any authority specified by such Government, in this behalf shall have the right to nominate one-third of the total num
3[(1) If in the opinion of the Registrar, the Committee of any Society persistently makes default or is negligent in the performance of the duties imposed on it by this Act or the Rules or the Bye-Laws, or commits any Act which is prejudicial to the interest of the Society or its members, or is otherwise not functioning properly the Registrar may, after giving the Committee 5[a reasonable opportunity of being heard within twenty-one days from the date of issue of the notice in that behalf and 6[after consulting, in case of a State Co-operative Bank or a Central Co-operative Bank, the Reserve Bank of India and in case of any other Society, the Financing Bank of such Society]] by order in writing stating reasons therefor, remove the Committee; and appoint-
(a) a new Committee consisting of not less than three and not more than five members of the Society in its place;
(1) If the Committee of a Society is reconstituted at a general meeting of the Society or is removed by the Registrar under Section 32 or if the Society is ordered to be wound up under the Section 72 and the outgoing members of the Committee refuse to hand over charge of the records and property of the Society to the new Committee or the Administrators or the Society appointed under Section 32 or the Liquidator, as the case may be, such Committee, Administrators, Society or Liquidator, as the case may be, may apply through the Registrar or any person empowered by the Registrar to the Sub-divisional Officer having jurisdiction for securing such records and property.
(2) The Registrar may, if he has reason to believe that any records of any Society are likely to be tampered with or suppressed or that any property of any Society is likely to be removed or misappropriated; authorise a
(1)] The Registrar shall-
(a) fix the number and designation of the employees to be employed by the Co-operative Societies; and
(b) make rules, regulating the qualification, remuneration, allowances and other conditions of service of such employees.]
3[Provided that the qualification of the Chief Executive Officer of the State Co-operative Bank and Central Co-operative Banks shall be such as may be stipulated by the National Bank in consultation with the Reserve Bank of India];
3[(2) Notwithstanding anything contained in Sub-section (1), the Registrar, in consultation with the National Bank may issue guidelines in the matter of personnel policy, staffing pattern, recruitment and fixation and revision of pay and allowances of the employees of the C
(1) Notwithstanding anything contained in the Act, the Registrar, if so considers necessary in the interest of the co-operative movement in the State, may create a common cadre of employees belonging to such class of societies as may be specified therein and, for that purpose, constitute an appointment Committee or authorise any Apex or Central Society including Central Bank to which such class of societies are affiliated, to exercise the powers of appointment, transfer and discipline in respect of all or any of the categories of employees of such class of societies, as may be specified by him in that behalf :
Provided that a society or a class of societies may exercise the powers of discipline in respect of any cadre employee posted under such society or class of societies, as the case may be, to the extent specified in the regulation made under Sub-sec. (2).
(1) Notwithstanding anything contained in any law for the time being in force, but subject to any claim of the Government in respect of land revenue or any money recoverable as land revenue, any debt or outstanding demand owing to a Society by any member or past or deceased member shall be a first charge upon the land or interest in any land, crops and other agricultural produce, cattle except those required for ploughing the field of the member, fodder of cattle, agricultural or industrial implements or machinery, raw materials for manufacture and any finished products manufactured from such raw materials belonging to such member, past member or forming part of the estate of such deceased member, as the case may be.
(2) Any member owing any land or other immovable property or having interest in any land or in such property, who applies to the Society for a loan, shall make a decla
(1) Notwithstanding anything contained in any law for the time being in force a member may execute an agreement in favour of the Society to the effect that his employer shall be competent to deduct from the salary or wages payable to him by the employer such amount in such period as may be specified in the agreement and to pay the amount so deducted to the Society in satisfaction of any debt or other demand owing by the remember to the Society.
(2) On the execution of such an agreement the employer shall, if so required by the Society by requisition in writing and so long as such debt or demand or any part of it remains unpaid, make the deduction in accordance with the agreement and pay the amount so deducted to the Society within fourteen days from the date of the education.
(3) If an employer, 1[* * *] fails to deduct or having deduc
Where a requisition in writing from any Society registered or deemed to be registered in any reciprocating State in respect of a member of that Society, who has executed an agreement of the nature described in Sub-sec. (1) of Section 35 in favour of that Society and who, for the time being is employed in the State of Orissa, is received by his employer, the requisition shall be acted upon as if it had been made by a Society registered under this Act in the same manner as is provided in the said section.
Explanation - For the purposes of this Section reciprocating State means any State which the State Government may, by notification, declare to be a reciprocating State.
A Society shall, in respect of any debt or outstanding demand owing to it, have a charge upon the share or interest in the capital of and on the deposits made by a member, a past member or deceased member and on any dividend, rebate, bonus or profits payable to any such member and may set off any sum credited or payable to a member towards; payment of any such debt or outstanding demand :
Provided that no Financing Bank to which a Society is affiliated shall have a charge upon any sum invested in the Financing Bank as reserve fund by the Society if the Bank is not the sole creditor of the Society, or be entitled to set off any such sum credited or payable to the Society towards any debt due from such Society.
Notwithstanding anything contained in any other law for the time being in force but subject to the provisions of Section 36 the share or interest of a member, a past member or a deceased member in the capital of a Society shall not be liable to attachment or sale under any decree or order of a Court in respect of any debt or liability incurred by such member and an official assignee or a receiver under any law relating to insolvency shall not be entitled to, or have any claim on such share or interest.
(1) The Government may, by notification in the official Gazette, remit in respect of any class of Societies -
(a) the stamp duty chargeable under any law for the time being in force in respect of any class of instruments executed by or on behalf of a Society or by an officer or member thereof and relating
to the business of such Society, or in respect of any award or order made under this Act, in cases where, but for such remission the Society, officer or member, as the case may be, would be liable to pay such stamp duty;
(b) any fee payable under any law for the time being in force relating to the registration of documents or Court-fees :
Provided that nothing in Clause (a) shall apply in respect of bills of exchange, cheques, promissory notes, b
Nothing in Clauses (b) and (c) of Sub-sec. (1) of Section 17 of the Indian Registration Act, 1908, shall apply to -
(a) any instrument relating to shares in a Society notwithstanding that the assets of the Society consists in whole or in part of immovable property; or
(b) any debentures 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 to the security afforded by a registered instrument whereby the Society has mortgaged, conveyed or otherwise transferred the whole or a part of its immovable property or any interest therein to trustees upon trust for the benefit of the holders of such debentures; or
(c) any endorsement upon or transfer of any debenture
It shall be the duty of the State Government to encourage and promote the Co-operative movement in the State and to take such steps in this direction as may be necessary.
(1) The State Government may subscribe directly to the share capital of a Society.
1[Provided that in the case of a Co-operative Credit Society the State Government shall not subscriber directly to the share capital of the said society exceeding twenty-five per centum of the share capital of such society.
Explanation I. - Nothing in this Sub-section shall prevent the State Government or a Co-operative Credit Society to reduce the share of the State Government in a Society in such manner as may be prescribed.
Explanation II. - In case of reduction of share capital of as Co-operative Credit Society, the decision of the Managing Committee of the Society shall be final.]
(2) Notwithstanding any agreement to the contrary, the State Government shall no
The State Government may provide moneys to an Apex Society for the purchase of shares in other Societies.
(1) An Apex Society, which is provided with moneys by the State Government under Section 42 shall, with such moneys, establish a fund to be called the Principal State Partnership Fund.
(2) An Apex Society shall utilise the Principal State Partnership Fund only for the purpose of -
(a) directly purchasing shares in other Societies;
(b) providing moneys to a Society (hereinafter in this chapter referred to as Central Society) to enable that Society to purchase shares in other Societies (hereinafter in this chapter referred to as Primary Societies) and
(c) making payments to the State Government in accordance with the provisions of this Chapter.
(1) A Central Society which is provided with moneys by an Apex Society from the Principal State Partnership Fund, shall, with such moneys, establish a fund to be called the Subsidiary State Partnership Fund.
(2) A Central Society shall utilise the Subsidiary State Partnership Fund only for the purpose of -
(a) purchasing shares in Primary Societies; and
(b) making payments to the Apex Societies in accordance with the provisions of this chapter.
No shares be purchased in a Society from the moneys in the Principal State Partnership Fund or the Subsidiary State Partnership Fund except with the previous approval in writing of the State Government.
Where any shares are purchased in a Society by -
(a) the State Government; or
(b) an Apex Society or Central Society from the Principal State Partnership Fund or the Subsidiary State Partnership Fund respectively;
the liability in respect of such shares shall, in the event of the Society being wound up, be limited to the amount paid in respect of such shares.
An Apex Society which has purchased shares in other Societies from the moneys in the Principal State Partnership Fund, and a Central Society which has purchased shares in Primary Societies from the moneys in Subsidiary State Partnership Fund shall be entitled only to such dividend on the said shares as is declared by the Society, concerned and is payable to other share-holders of that Society.
A Primary Agricultural Credit Co-operative Society, Large sized Adivasi Multipurpose Co-operative Society, Service Co-operative Society and Farmers Service Co-operative Society shall comply with such directions relating to prudential norms and capital to Risk Weighted Asset Ratio as may be issued by the Registrar and the Auditor General in consultation with National Bank.
(1) If a Society in which shares are purchased from the Principal State Partnership Fund, is wound up or dissolved, the State Government shall not have any claim against the Apex Society which purchased the shares in respect of any loss arising from such purchase; but, the State Government shall be entitled to any moneys received by the Apex Society in liquidation proceeding or in dissolution, as the case may be.
(2) If a Society in which shares are purchased from the Subsidiary State Partnership Fund is wound up or is dissolved, neither the State Government nor the Apex Society shall have any claim against the Central Society which purchased the shares in respect of any loss arising from such purchase; but Apex Society shall be entitled to any moneys received by the Central Society in liquidation proceedings or in dissolution, as the case may be, and such moneys shall be credited to the Principal State Partnership Fund.<
(1) All moneys received by an Apex Society in respect of shares of other Societies purchased from the moneys in the Principal State Partnership Fund on redemption of such shares or by way of dividends or otherwise, shall be credited to that fund.
(2) All moneys received by a Central Society in respect of shares of primary Societies purchased from the moneys in the Subsidiary State Partnership Fund on redemption of such shares or by way of dividends or otherwise, shall, in the first instance, be credited to that Fund and then be transferred to the Apex Society which shall credit them to the Principal State Partnership Fund.
(3) All moneys and dividends referred to in Sub-sec. (1) and Sub-sec. (2) shall be paid to the State Government from out of the Principal State Partnership Fund.
(4) Save as provided in Sub-sec. (3) the State Go
(1) If an Apex Society which has established a Principal State Partnership Fund is wound up or dissolved, all moneys to the credit of or payable to that Fund, shall be paid to the State Government.
(2) If a Central Society which has established a Subsidiary State Partnership Fund is wound up or dissolved, all moneys to the credit of, or payable to that Fund, shall be paid and credited to the Principal State Partnership Fund from which it received money under Clause (b) of Sub-sec. (2) of Section 43.
Any amount to the credit of a Principal State Partnership Fund or a Subsidiary State Partnership Fund shall not be deemed to form part of the assets of the apex Society or the Central Society, as the case may be.
Subject to the foregoing provisions of this Chapter -
(a) the State Government may enter into an agreement with an Apex Society setting out the terms and conditions on which it shall provide moneys to the Apex Societies for the purpose specified in Section 43;
(b) an Apex Society may, with the previous approval of the State Government enter into an agreement with a Central Society, setting out the terms and conditions on which it shall provide moneys to that Society from the Principal State Partnership Fund for the purpose specified in Clause (b) of Sub-section (2) of Section 43.
Notwithstanding anything contained in any law for the time being in force, the State Government may -
(a) give loan or make advances to Societies;
(b) guarantee the repayment of principal and payment of interest on debentures issued by a Society;
(c) guarantee the re-payment of share capital of a Society and dividends thereon at such rates as may be specified by the State Government;
(d) guarantee the re-payment of principal and payment of interest on loans and advances to and deposits with a Co-operative Society; and
(e) give financial assistance in any other form, including subsidies to any Society.
The provisions of Sections 42 to 52 of this Chapter shall have effect notwithstanding anything inconsistent therewith contained in any other law, for the time being in force.
(1) No part of the funds other than the net profits of a Society shall be paid by way of bonus or dividend or otherwise distributed among its members;
Provided that a member may be paid remuneration on such scale as may be laid down by the Bye-Laws for any services rendered by him to the Society.
(2) Nothing in Sub-sec. (1) shall be construed so as to debar any payment from being made out of such fund to a member as wages or as price of the produced of such member supplied to the Society.
1[* * *] - (1) A Society shall, out of its net profit in any year -
(a) transfer an amount not less than ten per cent in the case of a Co-operative Farming Society and not less than twenty-five per cent in any other case, of the profits to the reserve fund; and
2[(b) credit four per cent of such profits to the Co-operative Education Fund constituted under Section 56-A].
4[Provided that nothing in this clause shall apply to a Co-operative Credit Society.]
(2) The balance of the net profits may be utilised for all or any of the following purposes, namely :
(a) payment of dividend to members on their paid-up share capital at a rate not exceeding 3[twelve] per cent of such share capital;
&nbs
(1) There shall be constituted a Co-operative Education Fund which shall vest in the State Co-operative Union and shall be administered by the said Union in the prescribed manner.
(2) The Co-operative Education Fund shall consist of all contribution made by Government or by any institution or Society in addition to the amounts specified in Clause (b) of Sub-section (1) or in Sub-section (2) of Section 56.]
3[ A society may invest or deposit its funds, which are not utilized in its business operations, -
(a) in any financing Bank as defined in clause (e) of Section 2, or
(b) in any other financial institution which shall be subject to such guidelines as may be prescribed by the Reserve Bank of India.]
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3. Substituted by Orissa Act 1 of 2008 S. 18 (O.G.E. No. 654 dt. 20.3.2008).
A Society shall receive deposits and loans only to such extent and under such conditions as may be prescribed or as may be specified in the Bye-Laws.
4[Provided that no Primary Agricultural Credit Co-operative Society, Large-sized Adivasi Multipurpose Co-operative Society, Service Co-operative Society and Farmers Service Co-operative Society shall accept deposits from any person other than its members.
Provided further that any Co-operative Credit Society may receive loan from any financing Bank.]
(2) Without prejudice to the provisions of Sub-sec. (1) a Co-operative Farming Society may receive loans on the security of lands pooled together for purpose of the Society.
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(1) A Society shall not advance a loan to any person other than a member except with the general or special sanction of the Registrar.
4[Provided that a Primary Agricultural Credit Co-operative Society, Large-sized Adivasi Multipurpose Co-operative Society, Service Co-operative Society and Farmers Service Co-operative Society shall not advance any loan to any person other than a member.]
(2) Notwithstanding anything contained in Sub-sec. (1) a Society may advance a loan to a depositor on the security of his deposit.
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4. Inserted by Orissa Act 1 of 2008 S. 20 (O.G.E. No. 654 dt. 20.3.2008).
Notwithstanding anything contained in any law or agreement for the time being in force, a Society shall not charge on account of interest on any short term loan, whether advanced before or after the commencement of the Orissa Co-operative Societies (Amendment) Act, 19 of 1982 a sum greater than that of the principal.
Explanation - For the purpose of this section the expression "short term loan" shall mean a loan repayable within a period of fifteen months.
Save as is provided in Sections 58 and 59, the transactions of a Society with persons other than members shall be subject to such restrictions, if any, as may be prescribed.
(1) A Society may establish a Contributory Provident Fund for the benefit of its employees to which shall be credited all contributions made by the employees and the Society in accordance with the Bye-Laws of the Society.
(2) A Contributory Provident Fund established by a Society under Sub-sec. (1) -
(a) shall not be used in the business of the Society;
(b) shall not form part of the assets of the Society; and
(c) shall not be liable to attachment or be subject to any other process of any Court other authority.
(1) (i) The Auditor-General shall audit, or cause to be audited by an Auditor duly authorised by him in that behalf, the accounts of every Society for each Co-operative year, and complete such audit within six months of the closure of the year, at least once or for such number of times as may be directed by the State Government from time to time in respect of any Society or class of Societies.
3[Provided that the Auditor General of Co-operative Societies, Orissa may engage one or more Chartered Accountants to cause the audit of the accounts of the Co-operative Society and the fees shall be paid by the Society both to the Chartered Accountant and the Government for the audit of its accounts for each Co-operative year at such rate as may be fixed by the Government.]
3[Provided further that the accounts of the Orissa State Co-operative Ba
The Report of every audit conducted under Section 62 shall be communicated, considered and complied with in the manner prescribed.
(1) The Auditor-General shall furnish to the State Government an annual report for every Co-operative year within nine months of the closure of the year, incorporating therein a classification of the Societies in the State on the basis of the audit findings for the year, and such other particulars as may be prescribed.
(2) The annual report shall, as soon as it is received, be laid before the State Legislature for a period of fourteen days, comprised in one session or more than one sessions thereof.
(1) The records of every Society shall be inspected by the Registrar, or any person authorised by him in that behalf, at least once in every co-operative year, and the report thereof communicated to the Society, its Financing Bank and the Auditor-General, within one month from the date of commencement of the inspection.
(2)(a) The Registrar may, on his own motion or on the application of a creditor of a Society, either himself inspect or direct any person authorised by him by order in writing in that behalf to inspect, any record of a Society:
Provided that no such inspection shall be made on the application of a creditor, unless the applicant -
(i) satisfies the Registrar that the debt claimed is subsisting and that he has demanded payment thereof and has not received satisfaction within a
(1) The Registrar may, at any time, of his own motion, by himself or by a person authorised by him by order in writing, hold an inquiry into the constitution, working and financial condition of a Society.
(2) An inquiry of nature referred to in Sub-sec. (1) shall be held on the application of -
(a) a Society to which the Society concerned is affiliated;
(b) a majority of the members of the committee of the Society; or
(c) not less than one-third to the total number of members of the Society;
(3) The Registrar, or the person authorised by him under Sub-sec. (1) shall, for the purposes of an inquiry under Sub-sec. (1) or Sub-sec. (2) have the following powers, namely :
&nb
Where an inquiry is held under Section 65, or an inspection is made under Section 64 on the application of a creditor, the Registrar may apportion the costs, or such part of the costs as he may deem fit, between the Society to which the Society concerned is affiliated, the Society, the member or creditor demanding an inquiry or inspection, and the officers or former officers of the Society :
Provided that -
(a) no order of apportionment of the costs shall be made under this Section unless the Society or the person sought to be made liable to pay the costs thereunder has had a reasonable opportunity of being heard;
(b) the Registrar shall state in writing the grounds on which the costs are apportioned.
(1) If, in the course of any audit, enquiry, inspection or the winding up of a Society, it is found that any person, who is or was entrusted with the organisation or management of such Society or who is or has at any time been an Officer, office-bearer or employee of the Society, has made any payment contrary to this Act, Rules or the Bye-Laws, or has caused any deficiency in the assets of the Society by breach of trust, wilful negligence or otherwise, or has misappropriated or fraudulently or unauthorisedly retained any money or other property belonging to the Society, the Auditor-General or a person authorised by him by an order in writing in that behalf, on his own motion or on the application of a liquidator, the Committee or any creditor, after giving the person concerned a reasonable opportunity of being heard, may make an order in the manner prescribed, requiring him to repay or restore the money or property or any par
2[(1)(i) The State Government shall, by notification, constitute a Tribunal, to be called the Co-operative Tribunal, consisting of such number of members with such qualification, as may be prescribed, so however that -
(a) if there are more than one member, one among them shall be from the Orissa Superior Judicial Service (Senior Branch) who shall be the Chairman; and
(b) if there is only one member, he shall be from the Orissa Superior Judicial Service (Senior Branch).
(ii) The Tribunal may sit at such place or places as it may find convenient for the transaction of its business.]
(2) The Tribunal constituted under Sub-sec. (1) shall exercise such powers and perform such functions as are or may be conferred by or under the provisions of this Act.
3[(1)(i) Notwithstanding anything contained in any law for the time being in force, any dispute arising in connection with the election of any office-bearer of a Society, or the disciplinary action taken by a Society or its committee against any paid servant of the Society who is not a workman within the meaning of Clause(s) of Section (2) of the Industrial Disputes Act, 1947, shall be referred to the Tribunal in the manner and within the period prescribed in that behalf.
(ii) If any question arises as to whether a dispute referred to the Tribunal under Clause (i) is a dispute within the meaning of that clause, the decision of the Tribunal thereon shall be final and shall not be called in question in any Court.
(iii) All disputes arising in connection with the election of any office-bearer of a Society or the disciplinary action taken
All orders and decisions of the Tribunal shall be final and shall not be questioned in any Court of law.
1[(1) Notwithstanding anything contained in any other law for the time being in force, any dispute touching the constitution, management or the business of a Society, other than a dispute required to be referred to the Tribunal and a dispute required to be adjudicated under the Industrial Disputes Act, 1947, 2[and a dispute relating to non-payment of contribution to the Co-operative Education Fund referred to in Sub-section (3) of Section 56] shall be referred to the Registrar if the parties thereto are among the following, namely :
(a) the Society, its Committee, past Committee, any past or present Officer or office-bearer, any past or present agent, any past or present servant or the nominee, legal heir or representative of any deceased Officer, office-bearer, deceased agent or deceased servant of the Society; or
(b) a member, past mem
(1) When the dispute is between a Society or its committee and any past committee, past officer, past agent or past servant or the nominee, heir or legal representative of any deceased officer, deceased agent or deceased servant of the Society and when the dispute relates to any act or omission on the part of either party to the dispute, the period of limitation shall be four years from the date on which such act or omission with respect to which the dispute arose was first detected during the course of any inspection, enquiry, audit or winding up of the Society.
(2) When the dispute relates to any sum including interest thereon, if any, due to a Society by a member thereof, it may be referred within a period of four years from the date of death or cessation of membership of such member.
(1) The Registrar, may, on receipt of a reference of a dispute under Section 68 -
(a) decide the dispute himself; or
(b) transfer it for disposal to any person who has been invested by the State Government with powers in that behalf; or
(c) refer it for disposal to one arbitrator appointed by the Registrar;
(2) The Registrar may withdraw any reference transferred under Clause (b) of Sub-sec. (1) or referred under Clause (c) of the said sub-section and decide it himself or transfer the same to another person so invested or to another Arbitrator so appointed.
(3) The 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 nec
Where in the course of settlement of a dispute under Section 70 or any proceedings under this Act, or in any suit, a loan taken from or a mortgage executed in favour of a Society, whether before or after the commencement of this Act, is called in question on the ground that it is taken or executed by the manager of a joint Hindu family for a purpose not binding on the members thereof, whether major or minor, the burden of proof shall, notwithstanding anything contained in any other law for the time being in force rest upon the party which calls such loan or mortgage in question.
(1) If the Registrar, after an inquiry has been held under Section 65 or an inspection has been made under Section 64 or upon perusal of the audit report or on receipt of 1[a resolution passed] by not less than three-fourths of the members of a Society, is of opinion that the Society ought to be wound up, he may issue an order directing it to be wound up.
(2) The Registrar may, of his own motion, make an order directing the winding up of a Society-
1[(a) its membership has fallen below the minimum number required for its registration; or];
(b) where the Society has not commenced working within a period of eighteen months from the date of its registration or has ceased to work.
2[(2-a) Except on the basis of a resolution specified in Sub-sec. (1) n
(1) Where the Registrar has made an order under Section 72 for the winding up of a Society, he may appoint a Liquidator for the purpose and fix his remuneration, which shall be paid from out of the funds of the Society and may also remove any Liquidator and appoint another in his place.
1[(2) A Liquidator appointed under Sub-sec. (1) shall forthwith take such action as may be prescribed.]
(3) Where an order of winding up Society is cancelled by the Registrar under Sub-sec. (3) of Section 72 or set aside in appeal, the property, effects and actionable claims of the Society shall revest in the Society.
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1. Substituted by Orissa Act No. 28 of 1991,S.40 & S.41 Dt. 31.1
Notwithstanding anything contained in the Provincial Insolvency Act, 1920, the debts due to a Society under orders 5 of 1920 being wound up and the contribution assessed by the Liquidator shall rank next to debts due to the Government or to any local authority in order of priority in insolvency proceedings.
(1) Subject to any rules made in this behalf, the whole of the assets of a Society in respect of which an order for winding up has been made, shall vest in the Liquidator appointed under Section 73 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 power 2[* * *]
(a) to institute and defend suits and other legal proceedings on behalf of the Society, by the name of his office;
(b) to determine from time to time the contribution (including debts due) to be made or remaining to be made by the members or past members or by the estates or nominees, heirs or legal representatives of deceased members or by any officer or former officers, to the assets of the Society;
&
The surplus assets of a Society made over by the Liquidator to the Registrar shall not be divided among its members, but shall be applied by the Registrar, in whole or in part to all or any of the following objects, namely :
(a) any object specified in that behalf in the Bye-Laws of the Society;
(b) an object of local public utility;
(c) a charitable purpose as defined in Section 2 of the Charitable Endowments Act, 6 of 1890;
(d) any union of Co-operative Societies the object of which is the development of the Co-operative movement; and
(e) reserve fund of a new Society, if and when established with the same object and the same area of operation of the Society wound up.
Where in respect of a Society which has been ordered to be wound up under Section 72, no Liquidator has been appointed under Section 73, after two months from the date of such order, of if an appeal has been filed from the date of confirmation of the order in appeal, or where the affairs of a Society in respect of which a Liquidator has been appointed under Section 73 have been wound up, the Registrar shall make an order cancelling the registration of the Society and the Society shall be deemed to be dissolved and shall cease to exist as a corporate body from the date of such order of cancellation.
2[(1) In this Chapter -
(a) Board means the Board of Directors of the 1[State Co-operative Agricultural and Rural Development Bank];
3[(b) Co-operative Agricultural and Rural Development Bank means a Co-operative Agricultural and Rural Development Bank registered or deemed to be registered under this Act and includes a Co-operative Society or a body corporate admitted as a member of the 1[State Co-operative Agricultural and Rural Development Bank] or as an agent of the Co-operative Agricultural and Rural Development Bank; and
(c) 1[State Co-operative Agricultural and Rural Development Bank] means the Orissa State 1[Co-operative Agricultural and Rural Development Bank] Limited; and
(d) Trustee means the Trustee referred to in Section 79.
&n
(1) The Registrar, or where the State Government appoint any other person in this behalf, such person shall be the Trustee for the purpose of securing the fulfilment of the obligation of the 1[State Co-operative Agricultural and Rural Development Bank] to the holders of debenture issued by the Board.
(2) The powers and functions of the Trustee shall be governed by the provisions of this Act and by the instrument of trust executed between the Bank and the Trustee as modified from time to time by mutual agreement between the Bank and the Trustee.
The Trustee shall be a corporation sole by the name of the Trustee for the debentures, and as such, shall have perpetual succession and a common seal and in his corporate name shall sue and be sued.
(1) With the previous sanction of the Trustee, the Board may from time to time issue debentures of one or more denominations for such periods as it may deem expedient on the security of the mortgages and assets held by or transferred or deemed under the provisions of Section 87 to have been transferred by the 1[Co-operative Agricultural and Rural Development Bank] to the 1[State Co-operative Agricultural and Rural Development Bank] and other properties of such Bank.
(2) Such debentures may contain a term fixing a period not exceeding ten years from the date of issue during which they shall be irredeemable, or reserving to the Board the right to call in at any time of the debentures in advance of the date fixed for redemption, after giving to the debenture-holder concerned not less than three months notice in writing.
(3) The total amou
The holders of the debentures shall have a floating charge on -
(a) all such mortgages and assets as are referred to in Clause (a) of Sub-sec. (3) of Section 81;
(b) the amount paid under such mortgage and remaining in the hands of the Board or of the Trustees; and
(c) the other properties of the 1[State Co-operative Agricultural and Rural Development Bank].
(1) The principal of, and interest on, the debentures issued under Section 81 shall, in respect of such maximum amount as it may be fixed by the State Government and subject to such condition as it may think fit to impose, carry the guarantee of the State Government.
(2) The State Government may, subject to any law made by the Legislature increase the maximum amount of any guarantee given under Sub-sec. (1).
(3) The State Government may, after consulting the Board and the Trustee-
(a) by notification in the official Gazette; and
(b) by notice of not less than fourteen days in such of the principal newspapers in the State and of other States as the State Government may select in this behalf;
discontinue
Any 1[Co-operative Agricultural and Rural Development Bank] may grant loan to its members against the creation of a charge on or mortgage of land free on encumbrances.]
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1. Substituted by Orissa Act No. 23 of 1994 S.5.
(1) Every applicant for a loan to a 1[Co-operative Agricultural and Rural Development Bank]
shall make a declaration in the form prescribed by the Co-operative Agricultural Rural and Development Bank before an officer authorised by the Registrar in this behalf, on solemn affirmation that the land sought to be mortgaged is free from all encumbrances and that the mortgagor is in possession thereof and has the right to create the mortgage.
(2) The declaration made under Sub-sec. (1) shall be conclusive, final and binding.
(3) If at any time a declaration made under Sub-sec. (1) is found to be false or defective, the 1[Co-operative Agricultural and Rural Development Bank] shall subject to the provisions of Section 85, have a first charge on all other movable and immovable properties of the appl
A written order by the 1[Co-operative Agricultural and Rural Development Bank] or any committee or other person authorised by this Act or the Bye-Laws of the Bank to grant loans for any of the purposes specified in the Bye-Laws of the concerned bank, granting, either before or after the commencement of this Act, a loan for the benefit of the land or for any productive purpose specified therein shall, for the purposes of this Act, be conclusive of the following matters, namely :
(a) that the work described or the purposes for which the loan is granted is an improvement or productive purpose, as the case may be, within the meaning of the Bye-Laws of the Society;
(b) that the person had, on the date of the order, a right to make such an improvement or to incur expenditure for productive purposes, as the case may be; and
(c) that the impr
(1) Every applicant for a loan to be given by a 1[Co-operative Agricultural and Rural Development Bank] against the creation of a charge on any land which he owns or in which he has an interest shall, on his application being granted, make a declaration in the prescribed form declaring that thereby he creates in favour of that bank a charge on such land or his interest therein, as the case may be, to secure the loan.
(2) A declaration made under Sub-sec. (1) may be varied from time to time by the applicant with the consent of the bank in whose favour the declaration has been made and any such variation shall take effect from such date on which the variation if it had been an original declaration, would have effect under Sub-sec. (3).
(3) Notwithstanding anything contained in the Registration Act, 16 of 1908, a charge in respect of which
(1) Notwithstanding anything contained in any other law, when a mortgage is executed or a charge is created in favour of a 1[Co-operative Agricultural and Rural Development Bank] by one or more of the co-sharers of a Hindu Joint Family or by any co-owner or by any purchaser from them, who is or are in possession of the said property on the date of the mortgage or charge and such possession is certified by a Revenue Officer not below the rank of a Revenue Inspector in the form to be prescribed by the 1[State Co-operative Agricultural and Rural Development Bank] the same shall remain a first charge on the said land, and the certificate of possession so granted shall be conclusive and binding and shall not be called in question in any Court or Tribunal.
(2) Notwithstanding anything contained in any other law, custom or usage to the contrary, any loan given by a 1[Co-operative Agricul
Where the 1[State Co-operative Agricultural and Rural Development Bank] or a 1[Co-operative Agricultural and Rural Development Bank] has given a loan to a member for the development of any land in excess of the amount of the loan to which such member would be entitled on the basis of the value of the land as determined in accordance with the principles of valuation approved by the State Government, the Government may, if they think fit, guarantee for a specified period the re-payment of the loan to the extent of the excess.
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1. Substituted by Orissa Act No. 23 of 1994 S.5.
(1) Notwithstanding anything contained in any law for the time being in force but subject to any claim of the Government in respect of land revenue or any money recoverable as arrears of land revenue and to the provisions of Sub-sec. (2), any debt or outstanding demand due to the 1[State Co-operative Agricultural and Rural Development Bank] or any 1[Co-operative Agricultural and Rural Development Bank] on account of a mortgage executed by any member or past or deceased member in favour of such bank shall be a first charge upon the land so mortgaged.
(2) Any such mortgage as aforesaid shall also have priority over any claim of the Government arising from a loan under the Land Improvement Loans Act, 19 of 1883, or the Agriculturists Loans Act, 12 of 1884, granted after the execution of the Mortgage.
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(1) Mortgages executed in favour of 1[Co-operative Agricultural and Rural Development Bank] either before or after the commencement of this Act, by the manager of a Hindu Joint family shall, notwithstanding any law to the contrary, be binding on all the members thereof, if the loan secured by the mortgagor was granted for any purpose of agricultural development of the land in accordance with the Bye-Laws of the Bank.]
(2) Where such mortgage is called in question on the ground that it was executed by the manager of a Hindu joint family for a purpose not binding on the members thereof, whether majors or minors the burden of proving the same shall, notwithstanding any law to the contrary, be on the party alleging it.
Section 8 of the Hindu Minority and Guardianship Act, 32 of 1956, shall apply to mortgages in favour of a 1[Co-operative Agricultural and Rural Development Bank] subject to the modification that reference to the Court made therein shall be construed as reference to the Collector or his nominee and, the appeal against the order of the Collector or his nominee shall lie to the Revenue Divisional Commissioner having jurisdiction.
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1. Substituted by Orissa Act No. 23 of 1994 S.5.
(1) Notwithstanding anything contained in any law for the time being in force, it shall be lawful for a 1[Co-operative Agricultural and Rural Development Bank] or the 1[State Co-operative Agricultural and Rural Development Bank] to purchase any mortgaged property sold under this Chapter, and the property so purchased shall be disposed of by such bank by sale within such period as may be fixed by the Trustee.
(2) Nothing in the Orissa Land Reforms Act, 1960 Orissa Act 16 of 1960 fixing a maximum limit of agricultural holding shall apply to the acquisition of land by a 1[Co-operative Agricultural and Rural Development Bank] or the 1[State Co-operative Agricultural and Rural Development Bank] under Sub-sec. (1).
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The mortgages executed in favour of, and all other assets transferred to a 1[Co-operative Agricultural and Rural Development Bank] by the members thereof shall, with effect from the date of such execution or transfer, be deemed to have been transferred by such 1[Co-operative Agricultural and Rural Development Bank] to the 1[State Co-operative Agricultural and Rural Development Bank] and shall vest in the Trustee.
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1. Substituted by Orissa Act 23 of 1994,S.5.
(1) Notwithstanding anything contained in this Act or in the relative mortgage bonds, the mortgages executed in favour of the 1[State Co-operative Agricultural and Rural Development Bank] by the individual members thereof shall be deemed to be mortgages executed in favour of the 1[Co-operative Agricultural and Rural Development Bank] operating in the area wherein the mortgaged properties are situate and the said members shall be deemed to be members and debtors of such 1[Co-operative Agricultural and Rural Development Bank] with effect from the date on which the 1[State Co-operative Agricultural and Rural Development Bank] transfers the amounts due thereon, and the shares held by the members to the 1[Co-operative Agricultural and Rural Development Bank] concerned.
(2) Notwithstanding anything contained in this Act or in the relative mortgage bonds, mortgage executed in favour of a
Notwithstanding that mortgage executed in favour of 1[Co-operative Agricultural and Rural Development Bank] has been transferred, or is deemed under the provisions of Section 87, to have been transferred to the 1[State Co-operative Agricultural and Rural Development Bank]-
(a) all moneys due under the mortgage shall, in the absence of any specific direction to the contrary issued by the Board or Trustee and communicated to the mortgagor, be payable to such 1[Co-operative Agricultural and Rural Development Bank] and such payment shall be as valid as if the mortgage had not been so transferred; and
(b) the 1[Co-operative Agricultural and Rural Development Bank] shall, in the absence of any specific direction to the contrary issued by the Board of Trustee and communicated to it, be entitled to sue on the mortgage or take any other proceedin
(1) Where a mortgage is executed in favour of a 1[Co-operative Agricultural and Rural Development Bank] for payment of prior debts of the mortgagor, the bank may, notwithstanding the provisions of Sections 83 and 84 of the Transfer of Property Act, 4 of 1882, by notice in writing, require any person to whom any such debt is due, to receive payment of such debt or part thereof from the bank at its registered office within such period as may be specified in the notice.
(2) Where any such person fails to receive such notice or such payment, such debt or part thereof, as the case may be, shall cease to carry interest from the expiration of the period specified in the notice :
Provided that where there is a dispute as regards the amount of any such debt the person to whom such debt is due shall be bound to receive payment of the amount offe
(1) If any instalment payable under a mortgage executed in favour of a 1[Co-operative Agricultural and Rural Development Bank] or the 1[State Co-operative Agricultural and Rural Development Bank] or any part of such instalment has remained unpaid for more than one month from the date on which it fell due, the Committee, or the Board, as the case may be, may, in addition to any other remedy available to the bank, apply to the Registrar for the recovery of such instalment or part thereof by distraint and sale of the produce of the mortgaged land including the standing crops thereon.
(2) On receipt of such application, the Registrar may, notwithstanding anything contained in the Transfer of Propery Act, 1882 take action in the manner prescribed for the purpose of distraining and selling such produce.
2[* * *]
&
(1) Notwithstanding anything contained in the Transfer of Property Act, 4 of 1882 where a power of sale without the intervention of the Court is expressly conferred on the 1[State Co-operative Agricultural and Rural Development Bank] or the 1[Co-operative Agricultural and Rural Development Bank] by the mortgage deed the Board or the committee of such bank, as the case may be, or any person authorised by such Board or committee in this behalf shall, in case of default of payment of the mortgage money or any part thereof have power, in addition to any other remedy available to the bank, to bring the mortgaged property to sale without the intervention of the Court after hearing the objections, if any, of the mortgagor.
(2) No such power shall be exercised unless and until -
(a) notice in writing requiring payment of such mortgage money or
Where any property mortgaged to the 1[State Co-operative Agricultural and Rural Development Bank] or 1[Co-operative Agricultural and Rural Development Bank] is wholly or partially destroyed or the security is rendered insufficient and the mortgagor, having been given a reasonable opportunity by the Board or the Committee of such bank, as the case may be, for providing further security to render the whole security sufficient or of repaying such portion of the loan as may be determined by the Board or the Committee, has failed to provide such security or to repay such portion of the loan, the whole of the loan shall be deemed to fall due at once and the Board or the Committee, as the case may be, shall be entitled to take action against the mortgagor under Section 90 or 91 for the recovery thereof.
Explanation - A security is insufficient within the meaning of this section unless th
(1) The Board or the Trustee may direct the Committee of a 1[Co-operative Agricultural and Rural Development Bank] to take action against a defaulter, under Section 90, 91 or 92 and if the Committee neglects or fails to do so the Board or the Trustee may take such action.
(2) (a) Where such action is taken by the Board, the provision of this Chapter and of any rules made in this behalf shall apply in respect thereto as if all references to the 1[Co-operative Agricultural and Rural Development Bank] or to its Committee in the said provisions were references to the 1[State Co-operative Agricultural and Rural Development Bank] and the Board, respectively.
(b) Where such action is taken by the Trustee, the provisions of this act, and of any rules made thereunder shall apply in respect thereto as if all references to the 1[Co-operative Agri
Where any property is sold in exercise or purported exercise of a power of sale under Section 90 or 91, the title of the purchaser shall not be questioned on the ground that-
(a) the circumstances required for authorising the sale had not arisen;
(b) due notice of the sale was not given; or
(c) the power of sale was otherwise improperly or irregularly exercised;
but any person who has suffered any damage by an unauthorised, improper or irregular exercise of any such power shall have a remedy in damages against the 1[State Co-operative Agricultural and Rural Development Bank] or, as the case may be, the 1[Co-operative Agricultural and Rural Development Bank].
Notwithstanding anything contained in any law relating to insolvency, a mortgage executed in favour of the 1[State Co-operative Agricultural and Rural Development Bank] or a 1[Co-operative Agricultural and Rural Development Bank] shall not be called in question on the ground that it was not executed in good faith for valuable consideration or on the ground that it was executed in order to give such bank a preference over the other creditors of the mortgagor.
(1) The Board may, on the application of a 1[Co-operative Agricultural and Rural Development Bank] and under circumstances in which the powers of sale conferred by Section 91 may be exercised, appoint in writing a receiver of the produce and income of the mortgaged property or any part thereof and such receiver, shall be entitled either to take possession of the property or collect its produce and income, as the case may be, to retain out of any money realised by him, his expenses of management including his remuneration, if any, as may be fixed by the Board, and to apply the balance in accordance with the provisions, of Sub-sec. (8) of Section 69-A of the Transfer of Property Act, 4 of 1882.
(2) A receiver appointed under Sub-sec. (1) may, for sufficient cause and on application made by the mortgagor, be removed by the Board.
(3) A va
(1) Notwithstanding anything contained in the Transfer of Property Act, 4 of 1882 or any other law for the time being in force, a mortgagor shall not grant a lease of the mortgaged property for a period exceeding five years.
(2) Any lease granted in contravention of Sub-sec. (1) shall be void.
2[(2) Notwithstanding anything contained in the Indian Registration Act, 16 of 1908 -
(a) it shall not be necessary to register a mortgage executed in favour of the 1[State Co-operative Agricultural and Rural Development Bank] or any 1[Co-operative Agricultural and Rural Development Bank] where the concerned bank sends within such time and in such manner as may be prescribed a copy of the mortgage deed to the registering officer having jurisdiction, who shall file such copy in the book maintained under Section 51 of the said Act; and
(b) it shall not be necessary for any officer of the 1[State Co-operative Agricultural and Rural Development Bank] or any 1[Co-operative Agricultural and Rural Development Bank] to appear in person or by agent at any registration office in any proceedings connected with the registration of any instrument ex
Notwithstanding anything contained in any other law for the time being in force, it shall not be necessary for persons belonging to the Scheduled Tribes or Scheduled Castes for obtaining the permission of any authority as required by any such law for mortgaging any immovable property belonging to him in favour of any Society including a 1[Co-operative Agricultural and Rural Development Bank].
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1. Substituted by Orissa Act No. 23 of 1994, S. 5 Dt. 4.11.1994.
The Board may, if it thinks fit, delegate all or any of its powers under Sections 91, 93 and 96 to an executive committee constituted by it and consisting of two or more of its members.
The provisions of Sections 102 and 103 of the Transfer of Property Act, 4 of 1882 and of any rules made by the High Court under Section 104 of that Act, for carrying out the purposes of the said section shall, so far as may be, apply in respect of all notices to be served under this Chapter.
(1) The Board may, subject to the approval of the Trustee, make regulations not inconsistent with the provisions of this Chapter -
(a) for fixing the period of debentures and the rate of interest payable thereon;
(b) for calling in debentures prior to the date fixed for redemption after giving notice to debenture-holders;
(c) for the issue of new debentures in place of debentures damaged or destroyed;
(d) for converting one class of debentures into another bearing a different rate of interest;
(e) for the inspection of the account books and proceedings of 1[Co-operative Agricultural and Rural Development Bank];
(f) for the submission of returns and reports by 1
The provisions contained in Sections 85, 86, 87, 87-A, 88, 89, 90, 91, 92, 93, 94, 95, 96, 98-A and Section 101, shall mutatis mutandis, apply to charges (including any variations thereto) created in favour of a 1[Co-operative Agricultural and Rural Development Bank.]
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1. Substituted by Orissa Act No. 23 of 1994, S. 5 Dt. 4.11.1994.
2[1[(1)] Notwithstanding anything contained in Chapter IX or in any other law for the time being in force, but without prejudice to any other mode of recovery provided in this Act, the 3[Registrar] or any person empowered by the 3[Registrar] in that behalf may, on the application of a Society or otherwise, make an order directing the payment of any debt or outstanding demand due to the Society by any member or past or deceased member, by sale of the property or any interest therein which is subject to a charge under Section 34 :
Provided that no order shall be made under this section, unless the member, past member or the nominee, or legal heir or representative of the deceased member has been served with a notice of the application or intention, as the case may be, and has failed to pay the debt or outstanding demand within seven days from the date of such service.
2[(1) Every order made under Section 67, Sub-sec. (1) of Section 102 or Sub-sec. (1) of Section 108, every decision or award made under Section 70, and every order made under Secs. 75, 109, 111, 112, 113 and 114 shall, if not carried out -
(a) on a certificate signed by the 3[Registrar] , or any person authorised by him in that behalf, be deemed to be a decree of a Civil Court and shall be executed in the same manner as a decree of such Court; or
(b) be executed according to the law, and under the rules for the time being in force, for the recovery of arrears of land revenue :
Provided that any application for the recovery in such manner of any sum shall be made to the Collector within twelve years from the date fixed in the order, decision or award, and if no such date is fixed, from the dat
The 4[Registrar] or any person empowered by him 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 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-in-aid of such recovery, to be a Civil Court for the purpose of Article 182 of the First Schedule of the Indian Limitation Act, 9 of 1908.
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4. Amended vide O.G.E. No. 1832 dated 27.12.2004. (O.A. No. 11 of 2004).
If the Registrar 5[Auditor-General or Liquidator] is satisfied on an application, report, inquiry or otherwise, that any person with intent to delay or obstruct the enforcement of any order, decision or award that may be made against him under the provisions of this Act -
(a) is about to dispose of the whole or any part of his property; or
(b) is about to remove the whole or any part of his property from the jurisdiction of the Registrar 2[Auditor-General] the Arbitrator or Liquidator, as the case may be;
he may, unless adequate security is furnished, direct the attachment of the said property; and such attachment shall have the same effect as if made by a competent Civil Court.
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(1) Notwithstanding anything contained in the Central Provinces Tenancy Act, 11 of 1898, or the Central Provinces Tenancy Act, 1 of 1920, or the Angul Laws, Regulation, 1936, or the Khandamals Laws Regulation, 1936, or any other law for the time being in Orissa Regulation 5 of 1936, in force, defining the rights of tenants on the land and the relation between Government and tenant or the landlord and tenant, it shall be lawful in an area in the State of Orissa, where any of the above enactments is in force, for -
(a) a member of a Society or a person other than a member to whom loan has been made in accordance with provisions of Section 59, whether such member is an occupancy tenant or otherwise, to mortgage to the Society his rights in his holdings as a security for the loan advanced to him or to sell such right for the purpose of repaying such loan or advance; or
Notwithstanding anything contained in the Code of Civil Procedure, 5 of 1908, or any other law for the time being in force, any sum payable in accordance with an award or decision made under Section 70 in respect of default in the payment of a loan taken under Section 35 or of any instalment of such a loan, shall be recoverable if the salary (including other emoluments) of the member exceeds rupee one hundred per mensem, by the attachment of such salary to the extent of instalment in respect of which the default has been made or one-half of the difference between such salary and hundred rupees whichever is less.
1[(1) (i) All sums due from a Society to the Government other than audit fees, or from a Society to the Orissa Khadi and Village Industries Board established under the Orissa Khadi and Village Industries Board Act, 1955, including any cost awarded under any provision of the Act and the contribution to the Co-operative Education Fund referred to in Sub-section (3) of Section 56 due from a Society to the Orissa State Co-operative Union Limited, Bhubaneswar, may be recovered on an order issued by the Registrar, and
(ii) the audit fees due from a Society to the Government may, on an order issued by the Auditor General be recovered.
In the same manner as provided under Sub-section (1) of Section 103.]
(2) All sums recoverable from a Society in accordance with order, decision or award under this
(1) An appeal shall lie under this section against the following orders and decision, namely :
(a) an order of the Registrar made under Sub-sec. (2) of Section 7 refusing to registrar a Society;
2[(b) an order of the Registrar made under Sub-sec. (4) of Section 12 refusing to register an amendment of the Bye-Laws of a Society, or an order made under Sub-sec. (6) of that section registering an amendment of such Bye-Laws;]
1[(c) an order directing re-organisation or amalgamation under Sub-sec. (1) of Section 14-A;]
2[(d) a decision of a Society refusing to admit any person as a member of the Society or expelling any member of the Society 3[* * *];
4[(d-1) an order of the Registrar passed under Sub-sec. (2-a
The State Government may, by general or special order delegate their power of hearing appeals under the provisions of this Act 4[* * *] to any authority specified in such order.
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4. Omitted by Orissa Act 28 of 1991S. 13 (ii) & S. 50 Dt. 31.12.1991
(1) Any authority may, on the application of any party interested, review any order or decision or award made by him in any case and pass such order as he thinks fit :
Provided that no such application shall be entertained unless the authority is satisfied that there has been a discovery of new and important matter or evidence which, after the exercise of due diligence, was not within the knowledge of the applicant or could not be produced by him at the time when its order was made or that there has been some mistake or error apparent on the fact of the record or for any other sufficient reason :
Provided further that no such order shall be made under this sub-section unless notice has been given to all interested parties and they have been given a reasonable opportunity of being heard.
(2)
(1) The Registrar, or an Additional Registrar appointed under Sub-sec. (1) of Section 3 may, of his own motion or on application by any person considering himself aggrieved and after giving the parties concerned a reasonable opportunity of being heard, call for and examine the record of any proceedings before any authority subordinate to him in which no appeal lies, for the purpose of satisfying himself as to the legality or propriety of any decision made or order passed and may pass such order thereon as he deems fit.
(2) The Registrar shall assign the local limits within which an Additional Registrar shall exercise powers under this Section.
(3) A revision against any decision or order made by an Additional Registrar under this section shall not lie to the Registrar.
(4) An application un
The Auditor General of Co-operative Societies, Orissa of his own motion or on application by any person may, call for and examine the records of any proceeding under Section 67 of the Act, pending before any authority subordinate to him or disposed of by such authority in which appeal has not been filed and may, after giving the parties a reasonable opportunity of being heard, make a reference within a period of four years from the date of his knowledge, to the Co-operative Tribunal with his views for adjudication and final decision under Sub-section (1) of Section 109 of the Act.
(1) The State Government may, of their own motion or on application by any person considering himself aggrieved and after giving the parties concerned a reasonable opportunity of being heard, call for and examine the record of any proceeding before the Registrar 1[or any proceeding under Section 112 before an Additional Registrar] in which no appeal lies, for the purpose of satisfying themselves as to the legality or propriety of any decision made or order passed and may pass such order thereon as they may deem fit.
Explanation - For the purpose of this sub-section, Registrar shall not include any person exercising all or any of the powers of the Registrar.
2[(2) An application under Sub-sec. (1) shall be made within ninety days from the date of the decision or order sought to be revised :
Where an appeal or revision or review is made under Sections 109, 111, 112 or 113 the State Government or the Registrar, as the case may be, may in, order to prevent the ends of justice being defeated, make such interlocutory orders pending the decision of the appeal, revision or review as may be deemed fit.
(1) Any person other than a Society carrying on business under any name or title of which the word Co-operative or its equivalent in any Indian language, is part, without the sanction of the State Government shall be punishable with the fine which may extend to 1[ten thousand rupees].
(2) Any member or past member or the nominee, heir or legal representative of a deceased member of a Society who contravenes the provisions of Section 34 by disposing of any property in respect of which the Society is entitled to have a first charge under that Section or does any other act to the prejudice of such claim, shall be punishable with fine, which may extend to 1[ten thousand rupees] or with simple imprisonment which may extend to one month or with both.
(3) A Society or an officer or a member thereof wilfully making a false return or furnishing
(1) No Court inferior to that of a Magistrate of the first class shall try any offence under this Act.
4[(2) Offences specified in Sub-secs. (5)(a), (6), (10), (11), (12), (13) and (15) of Section 115 shall be cognizable.
(3) Without prejudice to the provisions of any other law for the time being in force, in regard to the institutions of prosecutions, the Registrar, 3[Auditor General] or any member of the concerned Society, shall be the person competent to institute prosecution for any offence under this Act.]
Provided that where any member of the concerned society intends to institute prosecution against, -
(i) the Registrar, he shall obtain prior approval of the State Government, and
(ii) any officer
No person other than a Society shall trade or carry on business under any name or title of which the word Co-operative or its equivalent in any Indian language is part 2[without the sanction of the Government] :
Provided that nothing in this section shall apply to the use by any person or his successor in interest of any name or title under which he carried on business at the date on which the Co-operative Societies Act 2 of 1912, came into operation.
(1) No Society other than a Co-operative Bank shall use the word "Bank", "Banker", "Banking" or any other derivative of the word "Bank" as part of its name.
(2) If, Registrar is satisfied that any Society other than a Co-operative Bank has violated the provisions of Sub-section (1), he may, after giving an opportunity of being heard to the Society, take steps to cancel the registration of the Society in accordance with the provisions of this Act.
Every Society shall have an address registered in accordance with the rules to which all notices and communications may be sent and shall send to the Registrar notice of any change thereof within thirty days of the change.
Every Society shall keep a copy of this Act, the Rules and its Bye-Laws open for the purpose of reference free of charge at all reasonable times at the registered office of the Society.
3[(1) In exercising the powers conferred on it, by or under this Act, the Registrar, Auditor-General, any person authorised by the Registrar or Auditor-General, a Liquidator or an Arbitrator, or any authority deciding a dispute or conducting any audit, surcharge proceeding, inspection or enquiry under this Act, shall have all the powers of a Civil Court under the Code of Civil Procedure, 1908 in respect of the following matters, namely :
(a) summoning and enforcing the attendance of any person and examining him on oath;
(b) requiring the discovery and production of any document;
(c) proof of facts by affidavits; and
(d) issuing commissions for examination of witness.
(2) In case of an affidavit, the Regis
1[Save as provided under this Act, no Civil or Revenue Court shall have any jurisdiction on any ground whatsoever in respect of any proceeding under this act or Rules or any order, decision, determination or award, by whatever expression called, made or given thereunder.]
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1. Substituted by Orissa Act No. 28 of 1991S. 53, Dt. 31.12.1991, force w.e.f. 1.5.1993.
Notwithstanding anything contained in this Act, the State Government may, by special order in each case and subject to such conditions, if any as they may impose, exempt any Society from any of the requirements of this Act as to registration.
The State Government may, by general or special order, exempt any Society or any class of Societies 3[other than a Co-operative Credit Society] from any of the provisions of this Act, or may direct that such provisions shall apply to such Society or class of Societies with, such modifications as may be specified in the Order.
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3. Inserted by Orissa Act 1 of 2008 S. 23 (O.G.E. No. 654 dt. 20.3.2008).
(1) Notwithstanding anything contained in this Act, if the State Government is satisfied that -
(a) in the public interest; or
(b) in the interest of securing proper -
(i) linkage or co-ordination between related co-operative activities like production, marketing or credit support; or
(ii) implementation of Co-operative production and other developmental programmes approved or undertaken by the Government; or
(c) in the interest of proper management of the business of any Society or class of Societies, generally or of preventing the affairs of any Society or class of Societies from being conducted in a manner detrimental to the interests of the members, depositors, or creditors thereof;
&nb
Any register or list of members or shares kept by any Society shall be prima facie evidence of any of the following entered therein -
(a) the date on which the name of any person was entered in such register or list as a member;
(b) the date on which any such person ceased to be a member.
(1) A copy of any entry in a book of 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 facie evidence, of such entry and shall be admitted as evidence of the matters, transactions and accounts therein recorded in the same manner and to the same extent as the original entry itself is admissible.
(2) A society may grant copies of any document obtained and kept by it in the course of its business, or of any entries in such document; and any copy so granted shall, when certified in such manner as may be prescribed, be admissible in evidence for any purpose in the same manner and to the same extent as the original document; or the entries therein, as the case may be.
(3) No officer of a Society and no officer in whose office the books of a Society are deposited after l
Service of every notice on order issued or made under this Act, shall be made in the prescribed manner.
1[* * *].
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1. Omitted by Orissa Act No. 28 of 1991 S. 56, Dt. 31.12.1991, force w.e.f. 1.5.1993.
(1) No act of a Society or of a committee or of any officer or Liquidator done in good faith in pursuance of the business of the Society shall be deemed to be invalid by reasons only of some defect subsequently discovered in the organisation of the Society or in the constitutions of committee, or in the appointment or election of the officer or Liquidator or on the ground that such officer or Liquidator was disqualified for his appointment or election.
(2) No act done in good faith by any person appointed under this Act, shall be invalid merely by reason of the fact that his appointment has been cancelled by or in consequence of any order subsequently passed under this Act.
1[(3) The Registrar, in respect of the acts referred to in Sub-sec. (1), and the Registrar or the Auditor-General, as the case may be, in respect of the acts referr
1[No, suit, prosecution or other legal proceedings shall lie against the Registrar, Auditor-General, or any person subordinate to, or acting on the authority of, any of them in respect of anything in good faith done or purporting to have been done under this Act.]
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1. Substituted by Orissa Act No. 28 of 1991 S. 56,Dt. 31.12.1991, force w.e.f. 1.5.1993.
The Registrar, Auditor-General and any person exercising the powers of the Registrar or Auditor-General shall be deemed to be public servants within the meaning of Section 21 of the Indian Penal Code.
The provisions of the Companies Act, 1 of 1956 shall not apply to any Society.
Save as otherwise provided in Sections 69, 109, 111, 112 and 113 the provisions of the Indian Limitation Act, 9 of 1908 shall apply to all disputes, appeals, reviews and revisions made under this Act.
(1) Any Society now existing which has been registered under the Co-operative Credit Societies Act 10 of 1904 or under the Co-operative Societies Act, 2 of 1912, or under the Orissa Co-operative Societies Act, 1951 (Orissa Act II of 1952) shall be deemed to be registered under this Act, and its Bye-Laws shall, so far as they are not inconsistent with the provisions of this Act, continue in force until altered or rescinded.
(2) All appointments, rules and orders made, notifications and notices issued, all transactions entered into and suits and other proceedings instituted under any of the said Acts, shall, so far as may be deemed to have been respectively made, issued, entered into and instituted under this act.
Notwithstanding anything contained in this Act, in this case of an insured Co-operative Bank -
3[(i) an order or approval to pass a resolution for winding up, amalgamation, division, compromise or transfer of assets and liabilities of the bank shall not take effect unless previous sanction therefor has been accorded in writing by the Reserve Bank of India]
2[(ii) if so required by the Reserve Bank of India in the circumstances mentioned in Section 13-D of the Deposit Insurance and Credit Guarantee Corporation Act, 1961, the Registrar shall, within one month from the date of advice of the said Reserve Bank, make an order for winding up of the bank and for appointment of a liquidator]
(iii) if so required by the Reserve Bank of India in writing in the public interest or for preventing the affair
(1) Notwithstanding anything contained in this Act, the State Co-operative Bank and Central Co-operative Banks shall have at least three Directors in their Committee who have special knowledge or experience in the field of accountancy, law, banking, management, agriculture or rural economy and if such category of persons do not get elected, the Committee of that Society may co-opt persons having special knowledge or experience in the field of accountancy, law, banking, management, agriculture or rural economy who shall have the voting rights.
(2) Where any person has been elected or nominated as Director under Sub-section (1) without having the requisite qualification mentioned therein, he shall, in consultation with the National Bank, be removed from the office after giving him a reasonable opportunity of being heard.
(1) The State Government may, after previous publication, make rules to carry out the purposes of this Act.
(2) All rules made under this Section shall as soon as they are made be laid before the State Legislature for a period of fourteen days which may be comprised in one or more sessions and shall be subject to such modifications as the Legislature may make therein during the said period.
(3) In particular, and without prejudice to the generality of the foregoing power, such rules may provide for all or any of the following matters, namely :
(a) the applicant to whom the order refusing the registration of a Society may be sent by the Registrar;
(b) the procedure and conditions for charge in the form and extent of the liability of a Society;
&
There shall be a State Co-operative Council constituted by the State Government, for the State of Orissa, whose function will be to formulate plan and policies for the development of Co-operative Movement in the State as may be prescribed.
All references to the Co-operative Societies Act, 5 of 1912 occurring in any enactment made by any authority in India and for the time being in force in the State of Orissa, shall, in the application of any such enactment to the said State, be construed as reference to this Act.
(1) If any doubt or difficulty arises in giving effect to the provision of this Act the State Government may, as occasion may require, by order do anything not inconsistent with the provisions of this act or the rules made thereunder which appears to them necessary for the purposes of removing the doubt or difficulty.
(2) An order made under Sub-sec. (1) shall be laid as soon as may be before the State Legislature.
The Orissa Co-operative Societies Act, 1951 (Orissa Act 11 of 1952) is hereby repealed.
SCHEDULE -3[ I}
[See Section 103 (4)]
1. Application to set aside sale - (1) When immovable property has been sold by the 2[Registrar] under Clause (c) of Sub-sec. (1) of Section 103, any person owning such property or holding an interest therein or when property sold has been mortgaged to the 1[State Co-operative Agricultural Rural and Development Bank] or a 1[Co-operative Agricultural Rural and Development Bank], any person entitled to a notice under Section 91, may within thirty days of the date of the sale, apply to the 2[Registrar] to have the sale set aside on his depositing with him-
(a) for payment to the purchasers as compensation a sum equal to five per centum of the purchase money;
(b) for payment to the State Government, the Society, th
SCHEDULE - II
[See Clause (d-2) of Section 2]
The following shall constitute the Co-operative principles, namely :
(1) Membership of a Co-operative Society shall be voluntary and available without artificial restriction or any social, political, racial or religious discrimination, to all persons who can make use of its services and are willing to accept the responsibilities of membership.
(2) Co-operative Societies are democratic organisations. Their affairs shall be administered by persons elected or appointed, as the case may be, in a manner accountable to the members and in accordance with the democratically expressed will of the members.
Members of primary Societies shall enjoy equal rights of vot
SCHEDULE - III
[See Sub-section (3-a) of Section 28-A]
I. The following shall constitute "corrupt practices", namely :
(1) "Bribery" that is to say -
(A) any gift, offer or promise by a candidate or his agent or by any other person with the consent of a candidate or his agent, of any gratification, to any person whomsoever with the object of directly or indirectly inducing-
(a) a person to stand or not to stand as or to withdraw or not to withdraw from being a candidate at an election; or
(b) an elector to vote or refrain from voting at an election or as a reward, to -
(i) a person for having so stood or not sto
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