JHARKHAND CO-OPERATIVE SOCIETIES
(AMENDMENT) ACT, 2015 THE JHARKHAND CO-OPERATIVE SOCIETIES (AMENDMENT) ACT, 2015 [Act No. 21 of 2015] [07th November, 2015] An Act to amend the Jharkhand Co-operative Societies Act, 1935 Whereas
voluntarily constituted Co-operative societies can lead to the socio-economic
betterment of their members based on their participation, democratic control
and autonomous functioning so as to act more meaningfully in the interests of
their members; And where
as it is the obligation of the state government to promote voluntary formation,
autonomous functioning, democratic control and professional management of the
Co-operative societies in the State and promote them and take such measures as
are necessary for this purpose; And where
as in pursuance of the 97th amendment Act of the constitution of India, many
amendments are imperative in the Jharkhand Co-operative societies Act, 1935 Be it
enacted by the Governor of Jharkhand in the 66th year of the Republic of India
as follows:- (1)
This Act may be called the Jharkhand Co-operative Societies
(amendment) Act, 2015. (2)
It shall extend to the whole of the State of Jharkhand. (3)
It shall come into force at once. The
following Sub-section (bbb) shall be added after the Sub-section (bb) of
section 2 of the Jharkhand co-operative societies Act, 1935, namely
"Cooperative Society" means a society registered under this Act. Sub-section
(e) of Section 2 of the Jharkhand Co-operative Societies Act, 1935 shall be
substituted by the following, namely- (e)
"Board" means Board of Directors or Governing Body or Managing
Committee, by whatever name called, to whom the direction and control of the
management of the affairs of a Co-operative Society is entrusted to; Sub-section
(ff) of section-2 of the Jharkhand Co-operative Societies Act, 1935 shall be
substituted by the following namely-"Multipurpose Cooperative
Society" means a Primary Society, the object of which is to provide
various services related to credit, business, industry, consumer durables to
its members. Sub-section
(gg) of s`ection-2 of the Jharkhand Co-operative Societies Act, 1935 Shall be
substituted by the following namely-"office bearer" means a
president, vice president, chairperson, vice chairperson, secretary or
treasurer of a co-operative society and includes any other person to be elected
by the Board of any co-operative society; Sub-section
(ggg) of section-2 of the Jharkhand Co-operative Societies Act, 1935 Shall be
substituted by the following namely-"Primary Society" means a
registered society whose membership consists exclusively of individuals and
self help groups. Sub-section
(gggg) of section-2 of the Jharkhand Co-operative Societies Act, 1935 shall be
substituted by the following namely-"Primary Agriculture Credit
Society"- (1) The Primary object or principal business of which is to
provide financial accommodation to its members for agricultural purposes or for
purposes connected with agricultural activities (including the marketing of
crops; and includes a Multipurpose Cooperative Society. Sub-section
(o) of section-2 of the Jharkhand Co-operative Societies Act, 1935 Shall be
substituted by the following namely- "Central Cooperative Society"
means a Co-operative Society which is different from Federation and Union and
which has any other Co-operative Society, and if the by-laws so provided,
individuals as its members. The
following Sub-section (u) shall be added after the Sub-section (t) of section 2
of the Jharkhand co-operative societies Act, 1935, namely "General
Body" means all the members or delegates of all the members of that
co-operative society collectively; The
following Sub-section (v) shall be added after the Sub-section (u) of section 2
of the Jharkhand co-operative societies Act, 1935, namely "Authorised
person" means a person referred to as such in Section 45(1) of the
Jharkhand Co-operative Societies Act, 1935; The
following Sub-section (w) shall be added after the Sub-section (v) of section 2
of the Jharkhand co-operative societies Act, 1935, namely "State level
Co-operative Society" means a co-operative society having its area of
operation extending to the whole of state and defined as such in the Jharkhand
Co-operative Societies Act, 1935; The
following Sub-section (x) shall be added after the Sub-section (w) of
Sub-section 2 of the Jharkhand Co-operative Act, 1935 namely "Functional
Directors" means functional executive directors of the society specified
as per rules or Bye-laws of that co-operative society; Sub-section
(1) and Sub-section (2) of section 13A of the Jharkhand Co-operative Societies
Act, 1935 shall be substituted by the following, namely:- (1)
It shall be the duty of the State Government to encourage and
promote the voluntary formation, autonomous functioning, democratic
member-control and member-economic participation, professional management of
Co-operative Societies in the State and to take such steps in this direction as
may be necessary. (2)
To encourage and promote the co-operative society with provisions
of sub-section (1), the State Government if it deems necessary, may- (a)
With a view to aid the growth of a co-operative society in general
or of any class of cooperative societies subscribe directly to the share
capital of a co-operative society; (b)
assist in the formation and augmentation of the share capital of a
co-operative society; (c)
give loans or make advances to a co-operative society or guarantee
repayment of principal and payment of interest on debentures issued by a
co-operative society or guarantee repayment of principal and payment of
interest on loans or advances to a co-operative society. Sub-section
(2) of section 14 of the Jharkhand Co-operative Societies Act, 1935 shall be
substituted by the following, namely:- The
management of registered society shall be vested in a managing committee
constituted in accordance with the provisions of this Act and rules/Bye-laws of
the society made under this Act. Provided
that the Maximum number of directors of a co-operative society shall not exceed
twenty-one; Provided
that at least 50 Percent seat of managing board shall be reserved for the women
members. Out of which two seats shall be reserved for the Scheduled Castes or
Scheduled Tribes women in the board of every Co-operative Society consisting of
individuals as members and having members from such class or category of
persons. The seats so reserved shall be filled up from amongst the members of
scheduled castes or scheduled tribes women members either by election or/and by
co-option. This
provision shall apply to all societies from the primary society and up to the
Apex society. Provided further that such reservation in primary society and up
to the Apex society shall be governed by the rules made under this Act for this
purpose. Sub-section
4 of section 14 shall be renumbered as Sub-section (4A) of section 14 of the
Jharkhand Co-operative Societies Act, 1935. Sub-section
(4B) shall be added after Sub-section (4) of section (14) of the Jharkhand Co-operative
Societies Act, 1935 by the following, namely: (4B)
Notwithstanding anything contained in any provision of this Act, or rules
framed thereunder or the bye-laws of any Co-operative Society, persons having
experience in the field of banking, management, finance or specialization in
any other field relating to the objects and activities undertaken by the
co-operative society may be co-opted to the board of the society. Provided that
the number of such co-opted members shall not exceed two and that number shall
be in addition to the specified maximum number in the Sub-section 2. Provided
further that such co-opted members shall not have the right to vote in any
election of the co-operative society in their capacity as such members or to be
eligible to be elected as office bearers of the board. Provided
also that the functional directors of a co-operative society shall also be the
members of the board and such members shall be excluded for the purpose of
counting the total number of directors specified in the sub section 2. Sub-section
(9) of section (14) of the Jharkhand Co-operative Societies Act, 1935 shall be
substituted by the following, namely:- Notwithstanding
anything contained in any provision of rules or the bye-laws of any
Co-operative Society, the election of a board shall be conducted before the
expiry of the term of the board so as to ensure that the newly elected members
of the board assume office immediately on the expiry of the office of members
of the outgoing board. The
superintendence, direction and control of the preparation of electoral rolls
for, and the conduct of all elections to a co-operative society shall vest in
such an authority or body, as may be provided by the act or as per the rules or
the bye-laws of the co-operative society. Notwithstanding
anything contained in any provision of rules or the bye-laws of any
Co-operative Society the term of office of elected members of the board and its
office bearers shall be five years from the date of election and the term of
office bearers shall be conterminous with the term of the board. Provided
that the board may fill a casual vacancy on the board by nomination out of the
same class of members in respect of which the casual vacancy has arisen, if the
term of office of the board is less than half of its original term. Provided
further that if the term of the Board remains for more than half of its
original term and if any vacancy arises for elected members or office bearers
for any reason whatsoever, the Co-operative society shall fill the vacancy by
special general meeting. Sub-section
(10) of section (14) of the Jharkhand Co-operative Societies Act, 1935 shall be
deleted. Section
(27) of the Jharkhand Co-operative Societies Act, 1935 shall be substituted by
the following, namely:- (1) Member of
a co-operative society shall exercise the rights of a member after he has made
such payment to the society in respect of membership as may be prescribed in
the rules or bye-laws of the society. Provided
that notwithstanding anything contained in any provisions of this Act, the
member of a Co-operative Society shall exercise the right to vote at the
election of members of the board of society only after ensuring minimum
attendance, as required in the meetings convened for participation in
management of the society and availing of minimum requisite services of the
society as may be prescribed by the rules or the bye-laws of the society made
under the act. (2)
Every co-operative society shall provide access to every member to
books, information and accounts of the co-operative society kept in regular
transaction of its business with such member. (3)
Every member of a co-operative society shall have the right to get
all information/documents regarding books, information and accounts of the
co-operative society kept in regular transaction of its business. The chief
executive officer/manager of the co-operative society shall ensure access to
the member to all required information/documents. (4)
The members of any co-operative society shall have the right to
get education and training related to co-operative as per the rules or byelaws
made under any provisions of this act. Chapter
IV-A shall be added to the Jharkhand Co-operative Societies Act, 1935 after
chapter IV, namely- Annual
General Meeting and Annual Statement of Accounts of the Co-operative Society 32(A)
Annual General Meeting:- (1)
Board of every Co-operative Society shall convene annual general
meeting within six months from the closure of financial year, which shall deal
with all or any of the matter listed below except those in relation to the
election of members and office-bearer of the Board:- (a)
consideration of the annual statement of accounts presented by the
Board for being filed before the Registrar. (b)
consideration of annual report presented by the Board. (c)
appointment and removal of statutory auditors and internal
auditors, (d)
consideration of the auditor's report and audited statement of
accounts for being filed with the Registrar, (e)
consideration of audit/special audit compliance report, (f)
report on action taken on inquiry report under section 39, if any, (g)
disposal of net surplus, (h)
review of operational deficit, if any, (i)
approval of the long term perspective plan and the annual
operational plan, (j)
approval of the annual budget, (k)
creation of specific reserves and other funds. (l)
review of actual utilization of reserve and other funds, (m)
report on membership of the Co-operative Society in other
Co-operative Societies. (n)
appeal of a person whose application for membership has been
rejected or whose membership has been terminated by the board. (o)
remuneration payable to any Director, auditor or internal auditor
in connection with his duties in that capacity or his attendance at related
meeting, (p)
membership of the Co-operative Society in union/federation. (q)
collaboration with other organisation, (r)
amendment of bye-law, (s)
formulation of code of conduct for the Directors and
office-bearers, (t)
note on admission and termination of members, (u)
dissolution of the co-operative Society. (v)
such other functions specified in the bye-laws. (2)
In accordance with the provisions of sub-section (1), for the
works specified under sub-section (2), the annual general meeting of the
Co-operative Society shall be held at a time, date and place notified in
accordance with the bye-laws and if the quorum is present, the Chairman of the
Cooperative Society shall preside over the meeting. Provided
that in the absence of Chairman, Vice Chairman, or in the absence of both
Chairman and Vice Chairman, a person elected by the members from among
themselves shall preside over the meeting. Provided
further that in case of a Society, where the Managing Committee has been
superseded under the provision of the Act, the Administrator shall be the
Chairman of the General Meeting and in his absence a person nominated by him
shall be the Chairman of the meeting. (3)
The person presiding at the meeting shall conduct the proceedings
in such manner as may be conducive to expeditious and satisfactory disposal of
business and shall decide all points of order at the meeting. (4)
The quorum for a general meeting shall be one fifth of the total membership
of the society or thirty whichever is less on the date of issue of the notice
of the meeting. (5)
If within an hour of the time schedule appointed for the meeting
the quorum is not present, the meeting shall stand adjourned to a date not
earlier than seven days and not later than twenty-one days: (6)
No quorum shall be necessary for an adjourned meeting. (7)
All questions before a general meeting shall be decided by a
majority of votes and in the event of equality of votes, the Chairman of the meeting
shall have a casting vote. (8)
Voting by proxy shall not be allowed, but the Registrar may permit
this to be done in the case of any particular registered society or class of
registered societies. (9)
Voting at a general meeting shall be done by show of hands and
only in exceptional case voting by ballot may be resorted to if the Registrar
so directs, on his own motion, or on the application filed by the society
concerned. (10)
The minutes of proceeding of general meeting shall be recorded in
a book to be kept for the purpose and the minutes shall be signed by the person
presiding at the meeting. (11)
An appeal shall lie to the Registrar on all matters relating to
procedure followed at any general meeting and his decision thereon shall be
final. 32(B)
Filing Annual statements of Accounts:- Co-operative
Society shall file returns before the Registrar within six months of the end of
every financial year which shall include following subjects: (a)
Annual report of the activities. (b)
Audited statement of accounts. (c)
Plan to deal with the surplus as approved by general body. (d)
List of the amendments done, if any, in the bye-laws of the
Co-operative Society. (e)
Declaration regarding date to the conduct of election, if due, and
date for the holding of its general body meeting. (f)
Any other information by the registrar in pursuance of any of the
provisions of the act. Section
(33) of the Jharkhand Co-operative Societies Act, 1935 shall be substituted by
the following, namely:- Audit:
(1) A Co-operative Society shall get its accounts audited by Auditor from a
panel approved by Registrar, Co-operative Societies or the authority authorized
by him, at least once in each financial year. Such auditor shall either be a
Chartered Accountant within the meaning of the Chartered Accountants Act, 1949
or from the office of the Registrar. (2)? ?The
minimum qualification and experience of auditors and Chartered Accountants firm
shall be determined from time to time. Only such auditor or Chartered
Accountants firm shall be eligible for the audit of the accounts of
Co-operative Society. (3) ??The audit of the accounts of every
Co-operative Society shall be done by the auditor or Chartered Accountant firm,
specified under sub-section (2), appointed by the General Body of Co-operative
Society. (4)? ?It
shall be mandatory to audit the accounts of every Co-operative Society within
six months from the end of the financial year. (5)? ?Apex
Co-operative Society, with the approval of general body shall compulsorily
submit the audit report after the audit of the statement of accounts to the
Registrar within thirty days so that the report may be placed in the
Legislature through State Government in accordance with the procedure laid down
by the State Government for this purpose. (6) ??It shall be the duty of the board to ensure
that annual financial statements are prepared and presented for audit within
forty-five days of closure of the financial year. (7)? ?The
remuneration of an auditor shall be fixed by the general body in terms with the
audit fee fixed by the Registrar. Provided
that if audit is done by the auditor of the office of Registrar, the
Co-operative Society shall pay the audit fee fixed by the Registrar. (8) ??Upon the demand of the auditor of a
Co-operative Society, the present or former office-bearers, board members or
employees of the Co-operative Society shall furnish- (a)
such information and explanation, as may be considered necessary,
and (b)
each of the record, documents, books of accounts and vouchers of
the Co-operative Society as are, in the opinion of the auditor, necessary to
enable him to make the examination and report. (9) ??Where a Co-operative Society fails to get its
annual account audited when due, Registrar shall get the accounts of the
Co-operative Society audited within a period of ninety days from the date when
the audit was due. (10) The
cost of conducting such audit shall be borne by the Co-operative Society. Section
(33)(A) shall be added after section (33) to the Jharkhand Cooperative
Societies Act, 1935 by the following, namely:- 33.(A)
Special Audit (1)
A Co-operative Society dealing with funds from the Government or
other external individual or institution may be subject to a special audit
initiated by the Registrar at the request of such creditor or of his own motion
with written specific order/direction. (2)
Special audit under Sub-section (1) shall be done by District
Audit Officer/Senior level Audit Officers or any Committee of such officers
under the control of Registrar. (3)
Provided that where the special audit reveals serious
mismanagement in the Co-operative Society, such costs may be recovered from the
Co-operative Society or the persons responsible for the mismanagement. (4)
Every special audit shall be completed and the report submitted to
the Registrar within one hundred and twenty days of its commencement. (5)
The special audit report shall contain a statement of:- (a)
every payment which appears to the auditor to be contrary to Act,
rules or bye-laws of the Society, (b)
the amount of any deficiency, waste or loss which appears to have
been caused by the gross negligence or misconduct of any person in the
performance of duties, (c)
the amount of any sum received which ought to have been accounted
for but is not brought into account by any person, and (d)
any asset or money, which any person related with the organization
or management of the Co-operative Society or any former or present member of
the Co-operative Society has misappropriated or fraudulently retained. (6)
The Registrar shall, within a period of thirty days from the date
of the receipt of the special audit report transmit copies of the same to- (a)
the applicant creditor, (b)
the cooperative society concerned, and (c)
direct the authorized officer to file proceedings of surcharge
where necessary under section 40. Section
33(B) shall be added after section 33(A) to the Jharkhand Co-operative
Societies Act, 1935 33(B)
Maintenance of accounts and records (1)
Every Co-operative Society shall keep at its registered office the
following accounts and records:- (a)
a copy of this Act with amendments made from time to time, (b)
the minutes book, (c)
registration certificate and a copy of the registered bye-laws and
the amendments made from time to time with date of amendment. (d)
a copy of the authenticated byelaws of the federation/union of
which it is a member and for each of its member Co-operative Societies. (e)
account of all sums of money received and expended by the
Co-operative Society and their respective purposes. (f)
account of all purchases and sales of goods by the Co-operative
Society, (g)
account of the assets and liabilities of the Co-operative Society. (h)
a register showing total membership and the member wise use of
various services, (i)
a list of members with voting rights for the current year updated
within thirty days of closure of the financial year, (j)
copies of the board policies, (k)
annual report, audit report, special audit report, inquiry report
and their compliances. (l)
copies of other laws and regulations to which the Co-operative
Society is subject, (m)
such other documents as are relevant to the functioning of the
society provided that where a Cooperative Society has branch offices, accounts
and records related to the branch, shall be available at the registered office
for any period within twenty five days of the end of the financial year. (n)
all other documents, register, circulars, etc. required in
accordance with the provisions and circulars issued by NABARD, RBI and
Registrar from time to time. (2)
The books of accounts of every Co-operative Society together with
supporting records and vouchers shall be preserved for such period as may be
provided in the bye-laws subject to any other laws for the time being in force. The
following words shall be added in first line of subsection (1) of section 40 of
the Jharkhand Cooperative Society Act, 1935 - The words "and special audit
under section 33(A)" after the words "audit under section 33" Sub-section
(1) of section 41 of the Jharkhand Co-operative Societies Act, 1935 shall be
substituted by the following, namely:- (1) Notwithstanding
anything contained in any law for the time being in force, no board shall be
superseded or kept under suspension for a period exceeding six months; Provided
that if in the opinion of the Registrar, the Board of any registered society,
where the state government has contributed to the share capital, has provided
loan, or financial aid provided has been on Government guarantee may be
superseded or kept under suspension in case, it- (i)
is persistently making defaults, or (ii)
is negligent in the performance of the duties imposed on it by
this Act, the Rules or the bye-laws, or (iii)
committed any act prejudicial to the interest of the co-operative
society or its members, or (iv)
there is stalemate in the constitution or functioning of the
Board; or (v)
the authority or body as provided in the act, rules and bye-laws
has failed to conduct elections in accordance with the provisions of the act: The
Registrar may, after giving opportunity to the managing committee to state its
objection, if any, by order, with reasons in writing, supersede the Board of
the Co-operative society for a period not exceeding six months and order that
all or any of its members may be disqualified from being elected to the Board
of the co-operative society for a period to be specified in the order, not
exceeding five years. Registrar shall record every order passed under this
section in writing and inform the concerned Co-operative society through
registered post. Provided
further that the board of any such co-operative society shall not be superseded
or kept under suspension where there is no government shareholding or loan or
financial assistance or any guarantee by the government. Provided
that in case of co-operative society carrying on the business of banking,
provisions of Banking Regulation Act, 1949 shall also apply. Provided
also that in case of co-operative society carrying the business of banking the
maximum period of dissolution shall be of one year. Provided
that the dissolution of the Board of the co-operative society having banking
operation shall be done in consultation with the Reserve Bank of India. In case
of supersession of a board, the Administrator so appointed shall provide every
possible help to conduct the election. This arrangement shall be an interim
arrangement and the Administrator shall hand over the management of the society
to the new board after election within the prescribed period. Provided
that where government has not provided share capital or loan or financial
assistance or any government guarantee and where the Co-operative Society fails
to conduct elections before the expiry of the term of the board, the Registrar
of the co-operative societies may order to convene a special general meeting of
the members, for appointing an ad-hoc board for the purpose of conducting
elections. Provided
that the outgoing members and office bearers of Board shall not be included in
ad-hoc Board for the purpose of conducting elections. Provided
further that the term of ad-hoc board so appointed shall not exceed six months
and the ad-hoc board so appointed shall provide every possible help to the
Co-operative society to conduct the election. This arrangement shall be an
interim arrangement and such appointed ad-hoc board shall hand over the
management of the society to the new board after election within the prescribed
period. Sub-section
(2) of section 41 of the Jharkhand Co-operative Societies Act, 1935 shall be
substituted by the following, namely:- where the Registrar while proceeding to
take action under Sub-section (1) is of opinion that suspension of the Board is
necessary in the interest of the co-operative society, he may suspend the Board
which shall thereupon cease to function and make such arrangement as he thinks
proper for the management of the affairs of the co-operative society till the
proceedings under Sub-section (1) are completed. Provided
that if the Board so suspended is not superseded it shall be reinstated after
six months and the period during which it has remained suspended shall count
towards its term. Sub-section
(3) of section 41 of the Jharkhand Co-operative Societies Act, 1935 shall be
substituted by the following, namely:- (3) When
any Co-operative society is under supersession under Sub-section (1), the Registrar
shall appoint an Administrator to conduct the affairs of the society. The
Administrator appointed under subsection (1), shall take necessary action for
the election of the Board of Co-operative society within the specified period
and shall hand over the management to elected Board. Provided
that the Registrar shall have the power to change the administrator during the
period of supersession. Sub-section
(4) of section 41 of the Jharkhand Co-operative Societies Act, 1935 shall be
substituted by the following, namely:- (4) The
administrator appointed under sub-section (3) shall get remuneration, as may be
fixed by the Registrar, as he deems fit to carry on the business of the co-operative
society. The remuneration so fixed shall be payable from the accounts of
co-operative society. Provided
that Administrator appointed under sub-section (3) shall work as per the
service conditions laid down by the Registrar and shall perform all the duties
and carry on responsibilities assigned to the Board under this act, rules and
the bye-laws. Section
42 of the Jharkhand Co-operative Societies Act, 1935 shall be substituted by
the following, namely:- Winding
up order.- The
Registrar may, by notification, order a registered society to be wound up if - (a)
on receipt of a request for the winding up of the society by,
special resolution passed by three-fourth of the members of the society, (b)
after an inquiry has been held under section 35 or an inspection
made under section 34, section 36 or section 37, the Registrar is of the
opinion that winding up of the society is necessary in the interest of members,
or (c)
if a society has not commenced working after registration or has
ceased working. (d)
if the number of the members of the society has been reduced to
less than ten contrary to the condition of registration. But such
order can only be passed after giving a notice of one month and providing
opportunity of hearing to the shareholder members and persons/institutions
having interest in the society. The
sub-section (1) of section 43 of the Jharkhand Co-operative Societies Act, 1935
shall be substituted by the following, namely:- 43(1)
Appeal against the order of winding up Any
member of a society or person/institution having interest in it, in respect of
which an order under section 42 has been passed may, within two months from the
date of the publication of such order in the official Gazette, appeal to the
State Government against such order. Section
44AK of the Jharkhand Co-operative Societies Act, 1935 shall be substituted by
the following, namely- Division,
amalgamation, merger, compromise, etc. - (1)
No order sanctioning a scheme of compromise or arrangement or of
amalgamation or merger or reconstruction or of division or transfer of assets
and liabilities of a Co-operative Bank shall be made without the previous
sanction in writing of the Reserve Bank. (2)
Where an order of moratorium has been made by the Central
Government under sub-section (2) of section 45 of the Banking Regulation Act,
1949(10 of 1949) in respect of a Co-operative Bank, the Registrar, with the
previous approval of the Reserve Bank in writing may during the period of
moratorium, prepare a scheme,- (i)
for the re-construction of the Co-operative Bank; or (ii)
for the merger of the Co-operative Bank, or (iii)
for its amalgamation with any other Co-operative Bank (herein
referred to as the transferee Bank). (3)
Notwithstanding anything to the contrary contained in this Act
where a Co-operative Bank being an insured bank within the meaning of the
Deposit Insurance Corporation Act, 1961 (47 of 1961) is amalgamated or merged
or in respect of which a scheme of compromise or arrangement or of
reconstruction has been sanctioned and the Deposit Insurance Corporation has
become liable to pay to the depositors of the insured bank, under sub-section
(2) of section 16 of the Act, the bank with which such insured bank is
amalgamated or merged or, the new Cooperative Bank formed after such
amalgamation or, as the case may be, the insured bank or the transferee bank
shall be under an obligation to repay the Deposit Insurance Corporation in the
circumstances, to the extent and in the manner referred to in section 21 of
that Act. Section-44AN
of the Jharkhand Co-operative Societies Act, 1935 shall be substituted by the
following namely- Repayment
to Deposit Insurance Corporation.- Where a
Co-operative Bank, being an insured bank within the meaning of Deposit
Insurance Corporation Act, 1961 (47 of 1961) is wound up or is taken into
liquidation and the Deposit Insurance Corporation has become liable to pay to
the depositors of the insured bank under sub-section (1) of section 16 of that
Act, the liquidator shall be under an obligation to repay the Deposit Insurance
Corporation in the circumstances to the extent and in the manner referred to in
section 21 of that Act. The
Section 44AU of the Jharkhand Cooperative Societies Act, 1935 shall be
substituted by the following, namely:- Notwithstanding
anything contrary to or inconsistent with any provision contained in any other
chapter of this Act or Rules framed under bye-laws of any registered society or
order issued under the provision of this chapter shall have overriding effect. The
sub-section (21) of section 44AV of the Jharkhand Co-operative Societies Act,
1935 shall be substituted by the following, namely:- There
shall not be any common Cadre of Staff in Short Term Co-operative Credit
Structure Society and the Cadre System shall be abolished forthwith. Section
45(1)(a), Section 45(1)(b) & Section 45(2) of the Jharkhand Co-operative
Societies Act, 1935 shall be substituted by the following, namely:- (45)
Offences and Penalties - (1)
It shall be an offence under this Act if- (a)
a Co-operative society or an officer or member thereof wilfully
files a false return or furnishes false information, or any person willfully
does not furnish any information required from him by a person authorised in
this behalf under the provisions of this Act; (b)
any person wilfully or without any reasonable excuse disobeys any
summons, requisition or lawful written order issued under the provisions of
this Act; (c)
any employer who, without sufficient cause, fails to pay to a
Co-operative society, amount deducted by him from its employee within a period
of fourteen days from the date on which such deduction is made; (d)
any officer or custodian who wilfully fails to handover custody of
books, accounts, documents, records, cash, security and other property belonging
to a Co-operative society of which he is an officer or custodian, to an
authorised person; and (e)
any person indulges in corrupt practices before, during or after
the election of the office bearer or member of the Board of the Co-operative
society. (2)
Any offence under Sub-section 1 of this section shall be
punishable with imprisonment for a period which may extend up to one year or
with a fine which may amount to rupees two thousand or both. Provided
that where a person is guilty of misappropriation, fraud, breach of trust,
cheating or any other act involving moral turpitude, resulting in a loss to the
Co-operative society, he shall also be punishable under the relevant provisions
of the Indian Penal Code, 1860. Sub-section
(2) of section 47 of the Jharkhand Co-operative Societies Act, 1935 shall be
substituted by the following, namely:- (2) Every
offence under this Act except the offence under sub-section (1) (c) of section
48 shall, for the purpose of the code of criminal Procedure, 1973 (2 of 1974)
be deemed to be cognizable. Sub-section
(1) of section 66(B) of the Jharkhand Co-operative Societies Act, 1935 shall be
substituted by the following, namely:- 66B(1). Personnel
policy of Co-operative Societies Co-operative
Societies shall have autonomy in the formulation of policy regarding the posts,
their numbers and the procedure for recruitment of the personnel thereof.
Subject to provisions of byelaws and personnel policy, co-operative society
shall prescribe the following among others:- (1)
eligibility, age and experience, (2)
pay scale and other emoluments, (3)
procedure of recruitment, (4)
service condition, and (5)
disciplinary policy to be adopted. Sub-section
(2) of section 66(B) of the Jharkhand Co-operative Societies Act, 1935 shall be
substituted by the following, namely:- (2) any
appointment made in contravention of the provisions of the byelaws and the
personnel policy shall be void and salary and other allowances paid if any,
shall be recoverable under section 40.
Preamble - JHARKHAND CO-OPERATIVE SOCIETIES (AMENDMENT) ACT, 2015PREAMBLE