ANDHRA PRADESH CO-OPERATIVE SOCIETIES ACT, 1964
7 of 1964
An Act to consolidate and amend the law relating to Co-operative Societies in the State of Andhra Pradesh in order to facilitate and strengthen the functioning of Co-operative Societies based on co-operative principles and co-operative identity. Be it enacted by the Legislature of the State of Andhra Pradesh in Fifteenth year of the Republic of India as follows
CHAPTER 1 Preliminary
Section 1 Short title, extent and commencement
(1) This Act may be called the Andhra Pradesh Co-operative Societies Act, 1964.
(2) It extends to the whole of the State of Andhra Pradesh.
(3) It shall come into force on such date as the Government may, by notification in the Andhra Pradesh Gazette appoint.
Section 2 Definitions
In this Act, unless the context otherwise requires-
(a) 'bye-laws' means the registered bye-laws for the time being in force;
(b) 'Committee' means the governing body of a society by whatever name called, to which the management of the affairs of the society is entrusted;
(c)'Co-operative year' means the period commencing on the first day of the April of any year and ending with the 31st day of March of the succeeding year;
(d)'dividend' means a share of the profits of a society divided among its members in proportion to the share capital held by each of them;
(e)'federal society' means a society to which similar class of societies are affiliated;
(f)'financing bank' means a society, the main object of which is to assist any affiliated or other society by giving loans or advancing moneys; and includes any scheduled bank as defined in the Reserve Bank of India Act, 1934 (Central Act 2 of 1934) and such other body corporate or financial institution as may be notified by the Government from time to time, which gives financial or other aid to a society;
(g)'general body' in relation to the society means all the members of the society;
(l)'prescribed' means prescribed by rules made under this Act;
(m)'rebate' means a share of the profits of a society divided among its members in proportion to the volume of business done by each of them with the society;
(n)'Registrar' means the Registrar of Co-operative Societies appointed under Section 3(1) and includes any other person on whom all or any of the powers of the Registrar under this Act are conferred;
(o)'rules' means the rules made under this Act;
(p)'society' means a co-operative society registered or deemed to be registered under this Act;
(r)'society with unlimited liability' means a society, the members of which are, in the event of its being wound up, jointly and severally liable for and in respect of all its obligations and to contribute to any deficit in the assets of the society;
(s)'State' means the State of Andhra Pradesh;
(t)'Tribunal' means a tribunal constituted under Section 75 and having jurisdiction;
(u)'Zilla Parishad' means a Zilla Parishad constituted under Section 177 of the Andhra Pradesh Panchayat Raj Act, 1994.
CHAPTER 2 Registration of Societies
Section 3 Appointment of Registrar and other persons for the purpose of this Act
(1) There shall be appointed a Registrar of Co-operative Societies for the State and as many other persons as the Government think fit for the purposes of this Act.
(2) Every other person appointed under sub-section (1) shall exercise under the general superintendence of the Registrar, such powers of the Registrar, under this Act as the Government may, from time to time, confer on him.
Section 4 Society which may be registered
(1) A society which has, as its main object, the promotion of the economic interests of its members in accordance with the Co-operative principles, as may be prescribed] or a society established with the object of facilitating the operation of such a society, may be registered under this Act.
(2) Every Society registered or deemed to be registered under this Act shall function subject to such directions as may be issued by the Registrar, from time to time, in the interests of the Co-operative movement or the public interest or in order to prevent the affairs of the society from being conducted in a manner detrimental to the interests of the members or of the depositors or creditors thereof, and the society shall comply with such directions.
Section 5 Registration with limited or unlimited liability
(2) The liability of the Government, a financing bank or a federal society having shares in a society, whether with limited or unlimited liability, shall be limited to the share capital subscribed by the Government, such financing bank or federal society, as the case may be.
(3) The name of every society shall contain the expression 'co-operative' or its equivalent in any Indian language and in the case of every society with limited liability, the name of the society shall have also as its suffix the expression 'limited' or its equivalent in any Indian language.
Section 6 Registration of a society
(1) An application for the registration of a society shall be made to the Registrar in such form and with such particulars as may, from time to time, be specified by the Registrar.
(3) Where any question arises under clause (c) of sub-section (2) as to the residence, ownership, group of villages, class or occupation, such question shall be decided by the Registrar, whose decision thereon shall, subject to the provisions of Section 76, be final.
(5) Where the Registrar is not so satisfied, he shall communicate by registered post the order of refusal together with the reasons thereof to the applicants within such time as may be prescribed.
Section 7
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Section 8 Registration certificate
Where a society is registered the Registrar shall issue a certificate of registration signed and sealed by him which shall be conclusive evidence that the society mentioned therein, is a society duly registered under this Act, unless it is proved that the registration of the society has been cancelled.
Section 9 Society to be a body corporate
The registration of a society shall render it a body corporate by the name under which it is registered having perpetual succession and a common seal. The society is entitled to acquire, hold and dispose of property, to enter into contracts on its behalf, to institute and defend suits and other legal proceedings and to do all other things necessary for the purpose for which it was constituted.
Section 9A Restriction and creation of any charge
Where the Government extends State aid as specified under Section 43 of the Act, such society shall not dispose of or create any charge over its property without the prior approval of the Registrar and the consent of the federal society or financing bank concerned as the case may be.
Section 9B De-registration of a society
(2) A society, de-registered under sub-section (1), shall cease to conduct its business forthwith from the date of such order.
Section 9C Appointment and Powers of the Official Assignee
(1) Where a society is de-registered under Section 9-B, the Registrar shall appoint an Official Assignee for winding up of the affairs of the society and fix his remuneration in the manner prescribed.
(2) On the appointment of an Official Assignee, the property, assets, effects and actionable claims or liabilities of the society as on the date of appointment shall vest in or devolve on the Official Assignee. He shall take such steps as he may deem necessary or expedient to prevent loss or deterioration of, or damage to, such property, assets, affects and actionable claims.
(4) Any sum ordered under this section to be recovered as a contribution to the assets of a society or as costs of liquidation may be recovered, on a requisition being made in this behalf by the Registrar to the Collector in the same manner as arrears of land revenue.
(5) Save as provided in sub-section (4), orders made under this section shall, on application, be enforced by any civil Court having local jurisdiction in the same manner as a decree of such Court.
(6) The Official Assignee shall continue to exercise his powers until the affairs of the society are completely wound up when he shall make a report to the Registrar and deposit the records of the society in such place as the Registrar may direct.
(7) The winding up proceedings under this section shall be closed within a period of one year from the date of the order of de-registration of a society, and the said period may, at the discretion of the Registrar, be extended from time to time, so however, that the total period does not exceed two years in the aggregate, and after the expiry of the said period, it shall be deemed that the winding up proceedings have been terminated and the Registrar shall pass an order terminating the winding up proceedings. On the termination of the winding up proceedings, the Official Assignee shall make a report to the Registrar.
(8) Where the affairs of a society have been completely wound up, after considering the report of the Official Assignee under sub-section (6) or sub-section (7), the Registrar shall by order in writing cancel the registration of the society. The society shall cease to exist as a corporate body from the date of such order.
Section 10 Change of name of society
(1) A society may, by an amendment of its bye-laws, change its name.
(2) The change of name of a society shall not affect any rights or obligations of the 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.
Section 11 Change of liability
Subject to the provisions of this Act and the rules, the society may, by a resolution, decide to amend its bye-laws to change the form or extent of its liability.
Section 12 Transfer of assets and liabilities, division, amalgamation and conversion of a society
(3) Every resolution of a society under sub-section (1) or sub-section (2) shall be passed at the general meeting by a majority of not less than two-thirds of the total members, and such resolution shall contain all particulars of the transfer, division, amalgamation or conversion as the case may be.
Section 12A Special provision in respect of spinning mills and Sugar factories
(3) x x x x
Section 13 Exercise of option by members and creditors
(1) Where a society has passed a resolution under Section 11 or Section 12, it shall give notice thereof in the manner prescribed together with a copy of the resolution to all its members and creditors and notwithstanding any bye-law 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.
(2) Any member or creditor who does not exercise his option within the period specified in sub-section (1) shall be deemed to have assented to the resolution.
Section 14 Effect of transfer, division and amalgamation
(1) Notwithstanding anything in any other law for the time being in force, where a resolution passed by society under Section 12 involves a decision for the transfer of any assets and liabilities the resolution shall, when it takes effect, be a sufficient conveyance to vest the assets and liabilities in the transferee without any further assurance.
(3) Where two or more societies are amalgamated into a new society, the registration of the societies so amalgamated shall stand cancelled and they shall be deemed to have been dissolved and shall cease to exist as corporate bodies.
Section 15
x x x x
Section 15A Identification of viability of societies and consequences thereof
(2) The Registrar may, after having considered the matter in the light of any suggestions or objections which may be received by him within the period specified in sub-section (1) and after making if necessary, such modification in the proposal as he may deem fit, make an order and publish it in the prescribed manner.
(4) The Registrar may, at any time before the expiration of the period specified in clause (vi) of sub-section (3), arrange for the calling of a general meeting for the election of a new committee in such manner as may be prescribed for every such viable society xxx.
(5) x x x x
(6) x x x x x
(7) Notwithstanding anything in the Transfer of Property Act, 1882 (Central Act 4 of 1882) or the Registration Act, 1908 (Central Act 16 of 1908) an order issued under this section shall be sufficient conveyance to transfer the assets and liabilities of the society or societies covered by any order passed under sub-section (2) of this section.
(8) No suit or legal proceeding shall be instituted or maintained or continued in any Civil Court in respect of any order made under this Section.
Section 16 Amendment of bye-laws of a society
(1) No amendment of any bye-law of a society shall be valid unless the resolution for such amendment is passed at its general meeting by a majority of the total members and such amendment has been registered under this Act. Where such an amendment is not expressed to come into operation on a particular day, then it shall come into force on the day on which it is registered.
(3) The Registrar shall forward to the society a copy of the registered amendment together with a certificate signed and sealed by him, and such certificate shall be conclusive evidence that the amendment has been duly registered.
(4) Where the Registrar is not so satisfied, he shall communicate by registered post the order of refusal together with the reasons therefor, to the society within the period specified in sub-section (2). If no order of refusal is communicated within a week after the expiry of the period specified in sub-section (2) it shall be deemed that the Registrar has not registered the amendment as on the last date of the period specified in sub-section (2).
(5) If in the opinion of the Registrar, an amendment of the bye-laws of a society is necessary or desirable in the interest of such society or of the Co-operative movement, he may, in the manner prescribed, call upon the society to make any amendment within such time as he may specify. If the society fails to make such an amendment within the time so specified, the Registrar may, after giving the society an opportunity of making its representation, register such amendment and forward to the society by registered post a copy of the amendment together with a certificate signed by him; such a certificate shall be conclusive evidence that the amendment has been duly registered; and such an amendment shall have the same effect as an amendment of any bye-law made by the society.
Section 17 Partnership of societies
(2) No such resolution shall be passed by a society unless ten clear days' written notice of the resolution and the date of the meeting has been given to each member of the society.
(3) The provisions of the Indian Partnership Act, 1932 shall not apply to such contract of partnership.
Section 18 Classification
The Registrar shall, in accordance with the rules, classify societies with reference to their objects, area of operation, membership or any other matter specified in the rules.
CHAPTER 3 Members and their Rights and Liabilities
Section 19 Eligibility for membership
(2-A) Any person duly qualified for admission as a member under the provisions of this Act, the rules and the bye-laws, may apply through the Registrar for membership of such societies and in such forms as may be prescribed and such person shall be deemed to have been admitted as a member of the society from the date of receipt of the application in the office of the society.
(2-B) Notwithstanding anything in this Act, the Registrar may either suo motu at any time or on any application by the society or any aggrieved person made within fifteen days from the date mentioned in sub-section (2-A) and after giving an opportunity to the person concerned and recording the reasons therefor declare such person as not eligible for membership of the society within thirty days from the date of receipt of the application by the Registrar.
(3) The general body of a society shall not, without sufficient cause, refuse admission to membership to any person duly qualified therefor under the provisions of this Act and its bye-laws. Where admission is so refused, the decision, with reasons therefor, shall be communicated by registered post to such person within fifteen days of the date of the decision, or within sixty days from the date of his application for membership, whichever is earlier : x x x x x
(4) The name of every person admitted or deemed to have been admitted as a member of the society shall be entered in such records of the society as may be prescribed and the member so admitted shall be issued a photo identity card.
Section 20
x x x x
Section 21 Disqualification for membership of society
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Section 21A Disqualification for membership of committee
(1-B) A member of the legislative Assembly of the State, a member of either House of the Parliament, Mayor of a Municipal Corporation, Chairman of a Municipal Council, elected member or Chairman of a Zilla Parishad or elected member or President of Mandal Parishad or Sarpanch of a Gram Panchayat shall be eligible to be elected as the member of the committee; but he shall cease to be a member of the Committee unless within fifteen days from the date of becoming a member of the Committee he ceases to be a member of the Legislative Assembly of the State or a member either House of the Parliament, Mayor of a Municipal Corporation, Chairman of a Municipal Council, elected member or Chairman of a Zilla Parishad or elected member or President of a Mandal Parishad or Sarpanch of a Gram Panchayat by resignation or otherwise; and if a member of the Committee is subsequently elected to any one of the aforesaid offices, he shall cease to be the member of the Committee unless within fifteen days from the date on which he is elected to any one of such offices he ceases to hold such office by resignation or otherwise.
Section 21AA Cessation of Membership of Committee
(2) A member of the Committee found responsible for wilfully or knowingly sanctioning benami loans or against whom an order of surcharge is issued under Section 60 shall cease to hold office and shall also be ineligible to be elected as member of the Committee for a period of six years from the date of cessation.
(3) Where a society incurs loss in any Co-operative year as a result of misuse or misapplication of share capital, the President and the Secretary of such society shall cease to hold office as such.
(4) Where the Committee fails to prepare and submit or cause to be prepared and submitted within the period specified in sub-section (3) of Section 50 of the Annual accounts of the Society to the Chief Auditor, the members of the Committee shall on the expiration of the period aforesaid cease to hold such office.
(5) Where the committee of a society fails to place the inquiry report under Section 51 or inspection report under Section 52 or Section 53 or Audit Report or Special Audit Report under Section 50 along with the findings of the Registrar before the General Body within a period of thirty days from the date of the receipt of the report by the society, the members of the committee shall, on the expiration of the said period, cease to hold such office.
(6) Where the committee fails to initiate action for prosecution of any member or servant of a society who may have incurred criminal liability under the provisions of this Act or any other law for the time being in force, the members of the committee shall cease to hold such office.
Section 21B Cessation of membership and reinstatement
(1) Where a member of the committee absents himself from three consecutive meetings of the committee, he shall cease to be a member of the committee. He may, however, be reinstated by the committee in the manner, prescribed but such reinstatement shall not be made more than once during the term of the committee.
(2) Where a member of the committee ceases to be such member by reason of his incurring the disqualification under clause (b) of sub-section (1) of Section 21-A or where a delegate of a society ceases to be such delegate by reason of his incurring the disqualification under Item (ii) of the proviso to sub-section (1) of Section 21-A, he shall not be entitled for being chosen against a member of the committee on the removal of the said disqualification, unless a period of one year has elapsed from the date of such cessation.
Section 21C
x x x x x
Section 22 Right of members to services by society and application for redress
(1) Every member on his admission as such member shall be entitled to the services available to the members of the society and such services shall, subject to availability, be rendered to him on his application to the committee.
(2) If any member is refused any service, or where the decision of the committee on his application for services is not communicated to him within a period of thirty days from the date of such application, he may make an application to the Registrar for redress, within thirty days from the date of receipt of the decision of refusal, or within sixty days from the date of application to the society, as the case may be.
(3) If the Registrar is satisfied that the refusal of any service is unreasonable, improper or discriminatory, he may after giving the committee an opportunity of making its representation by order, direct the committee to render the service.
Section 23 Expulsion of Members
(1) Any member who has acted adversely to the interests of the society may be expelled upon a resolution of the general body passed at its meeting by the votes of not less than three-fourths of the total members of the society.
(2) No member shall be expelled under sub-section (1) without being given an opportunity of making his representation to the General Body. A copy of the resolution expelling the member shall be communicated to the member.
Section 24 Members not to exercise rights till payments are made
No member shall, save as otherwise provided in Section 31, exercise the rights of a member unless he has made such payment to the society, in respect of membership or has acquired such interest in the society, as may be specified in the rules made in this behalf or as may be specified in the rules made in this behalf or as may be specified in the bye-laws.
Section 25 Vote and manner of its exercise
(3) In the case of equality of votes, the chairman of the meeting shall have a second or casting vote.
(4) x x x x
Section 26 Restriction on holding of shares
Where the liability of the members of a society is limited, no member other than a society or the Government, shall hold more than such portion of the share capital of the society, subject to a maximum of one-fifth thereof, as may be prescribed, xxxxx:
Provided that the Government may by notification in the Andhra Pradesh Gazette, fix in respect of any society or class of societies, a higher maximum than one-fifth of the share capital x x x
Section 27 Restrictions on transfer of shares or interest
(2) Notwithstanding anything in sub-section (1), no member of a financing bank or a federal society shall transfer his share or interest in such bank or society to an individual member, his heir or legal representative.
Section 28 Transfer of interest on death of a member
(2) Notwithstanding anything in sub-section (1), any such nominee, heir, or legal representative, as the case may be, may require the society to pay to him the value of the share or interest of the deceased member as ascertained in the manner prescribed.
(3) A society shall pay all other moneys due to the deceased member from the society to such nominee, heir or legal representative, as the case may be, subject to such conditions as may be prescribed.
(4) All transfers and payments made by a society in accordance with the provisions of this section shall be valid and effectual against any demand made upon the society by any other person.
Section 29 Liability of past member and estate of deceased member
(2) Where a society is ordered to be wound up under Section 64, the liability of a past member who ceased to be a member or of the estate of a deceased member who died, within two years immediately preceding the date of the order of winding up, shall continue until completion of the liquidation proceedings but such liability shall be limited only to the debts of the society as they existed on the date of cessation of membership or death, as the case may be.
CHAPTER 4 Management of Societies
Section 30 Ultimate authority of a society
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Section 30A Constitution of Supervisory Council
The General Body of every society may constitute a Supervisory Council to ensure that the affairs of the society are conducted in accordance with the principles of co-operation, provisions of the Act, rules, bye-laws and resolutions of the General Body. The Supervisory Council shall consist of three members from the General Body other than the members of the Managing Committee and such other members as may be prescribed. The Supervisory Council shall aid and assist the General Body in general and exercise such powers and functions as may be prescribed.
Section 31 Constitution of committees
(1-A) Notwithstanding anything in this Act or in the bye-laws of the societies referred to in clause (b) of sub-section (1), the Government may, for the purpose of effective implementation of the reservation specified in clause (b), by rules made in this behalf, provide for the constitution of, and election to, the committees of such societies and all other matters relating thereto, including the division of constituencies, allocation of seats and the choice of persons belonging to weaker sections of the society as members of the committee of any central society from amongst the members of the committees of the societies affiliated to such central society, by the members of the central society in cases where no such person is a member of the general body of such central society.
(5) In the case of such classes of co-operative societies as may be prescribed, the President shall subject to the provisions of Section 21-A be elected by the members of the General Body from among themselves in the manner prescribed. The President elected under this sub-section shall be an ex-officio member of the Committee.
Section 31A Powers and functions of the committee
The committee of a society shall, subject to the provisions of the Act, rules, bye-laws and resolutions of the General Body, exercise the following powers and functions, namely
(1) recommend the admission of members to General Body;
(2) recommend on allotment of shares to members and transfer of shares to General Body;
(3) recommend removal of the members disqualified under Section 21;
(4) recommend removal of any of the committee members disqualified under Sections 21-A, 21-AA, 21-B and reinstatement of a committee member who ceased to be such member of the committee under Section 21-B and place the reports before the General Body;
(5) raise funds in the form of loans or deposits and invest them;
(6) provide services or facilities including sanction of loans and advances to the members on a specific recommendation of the Chief Executive Officer on the basis of the date of admission of such members;
(7) sanction expenditure which is necessary for the business of the society subject to the provisions of the annual budget;
(8) conduct elections in the manner specified in the bye-laws to the office of the members of the committee before the expiry of the term;
(9) conduct general meetings as prescribed in the Act;
(10) cause the audit of the accounts of the society within the time prescribed and place the audit report before the General Body;
(11) decide matters connected with the day to day management of the society;
(12) fix the staffing pattern, qualifications, pay scales and other allowances to the employees of the society, subject to the availability of the administrative and contingent fund and approval of the General Body and Registrar;
(13) place the reports of inquiry under Section 51 or inspection under Section 52 or under Section 53 or special audit report under Section 50 before the General Body within the time prescribed;
(14) rectify the defects noted in the reports of audit under Section 50 or inquiry under Section 51 or inspection under Section 52 or under Section 53;
(15) suspension of any officer or servant of the society under Section 59;
(16) initiate action for prosecution of any person who may have incurred criminal liability under the provisions of this Act or any other law for the time being in force;
(17) prepare the list of defaulters and publish the same as prescribed and place before the General Body;
(18) review all outstanding loans and ensure coverage of legal action on all overdue loans and advances;
(19) give information on the affairs of the society to the Supervisory Council, the Registrar, Financing Bank and the Federal Society to which the society is affiliated;
(20) place the report on the loans sanctioned to and the business done by the members of the committee or their near relatives with the society, defaulters thereof and action to recover them before the General Body;
(21) place annual report, annual financial statement, annual plan and budget before the General Body;
(22) ensure co-operative education of the members, officers and the servants of the society;
Section 32 General meetings and committee meetings
(1-A) If the General meeting is not convened in accordance with the provisions of sub-section (1), the members of the Committee shall cease to hold office on the day next after the 1st day on which the general meeting should have been held, and it shall be competent for the Registrar, notwithstanding anything in the bye-laws, to call such general meeting in such manner as may be prescribed:
(4) The requisition referred to in sub-section (2) or sub-section (3) shall specify the purpose for which the meeting is to be called, and shall be signed by the requisitionists and delivered in person or by registered post at the registered address of the society.
(6) Notwithstanding anything in this Chapter, if at any time the Government is satisfied that circumstances exist which render it necessary for them to call a general meeting for election of members of the committee to be held in accordance with the provisions of this Act, the Government or any person authorised by them in this behalf shall have power to call such meeting and to determine the place, time and the period of notice of such meeting. If at such meeting there is no quorum, the meeting shall stand adjourned to such other date and time as the Government or person authorised may determine. If at the adjourned meeting also there is no quorum for holding the meeting, the members present shall constitute the quorum. When the meeting is called by the Government it shall be presided over by a person appointed by them in that behalf and if the meeting is called by the person authorised by the Government, the person so authorised shall preside at such meeting; but the person presiding shall not be entitled to vote at the meeting so called or adjourned.
Section 32A
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Section 32B Devolution of the powers and functions of the President or Vice-President
If the President ceases to hold office under sub-section (3) of Section 32 or if he has been continuously absent from the headquarters for more than fifteen days, or is incapacitated for more than fifteen days, his powers and functions on such cessation or during such absence or incapacity shall devolve on the Vice-President.
Section 33 Nominee of the Government on the Committee
(2) A member nominated to the committee under sub-section (1), shall, hold office during the pleasure of the Government or the specified authority, as the case may be.
(3) Any nominee of the Government may refer to the Government, through the Registrar, any resolution the execution of which, in the opinion of the nominee, is likely to be prejudicial to the interests of the Government and the decision of the Government thereon shall be final and binding on the committee: Provided that the Government may suspend the execution of any such resolution pending the exercise of their powers under this sub-section.
Section 34 Supersession of the committee
(1) If in the opinion of the Registrar, the committee is not functioning properly or wilfully disobeys or fails to comply wilfully with any lawful order or direction issued by the Registrar under this Act or the rules, he may, after giving the committee an opportunity of making its representation, by order supersede the committee from a specified date; and appoint either a person (hereinafter referred to as the special officer) or a committee of two or more persons (hereinafter referred to as the managing committee) to manage the affairs of the society for a period not exceeding two years, specified in the order which period, may, at the discretion of the Registrar, be extended from time to time, so however, that the aggregate period shall not exceed three years.
(2) Such order shall take effect from the date specified therein unless it is stayed by the Government. Where such order is reversed by the Government, the special officer or the managing committee shall forthwith handover the management of the society to the committee.
(3) The special officer or the managing committee shall, subject to the general control of the Registrar and to such directions as he may from time to time, give, have power to exercise all or any of the functions of the committee or of any officer of the society.
(4) The Registrar may fix the remuneration payable to the special officer or the managing committee. The amount of remuneration so fixed and such other expenditure incidental to the management of the society during the period of the supersession as may be approved by the Registrar shall be payable from the funds of the society.
(5) At the expiration of the period of appointment of the special officer or the managing committee, the Registrar shall arrange for the calling of a general meeting for the election of a new committee in accordance with the provisions of sub-section (5) of Section 32.
(6) Where a society is indebted to any financing bank, the Registrar shall, before taking any action under sub-section (1) in respect of that society, consult the financing bank.
Section 34A Motion of no-confidence in the President and Vice-President of the committee
(1) A motion expressing want of confidence in the President or the Vice-President of a Committee may be made in accordance with the procedure laid down in the following sub-sections.
(4) The quorum for such a meeting shall be majority of the total number of members of the Committee and the Registrar shall preside at such meeting. If within half an hour after the time appointed for the meeting the Registrar is not present to preside at the meeting, the meeting shall stand adjourned to the next day.
(5) If the Registrar is unable to preside at the meeting he may after recording his reasons in writing adjourn the meeting to the next day to be presided over either by himself or by an officer authorised by him in his behalf. The person authorised under this sub-section shall be deemed to be the Registrar for purposes of sub-sections (7), (10) and (11).
(6) Save as provided in sub-sections (3), (4) and (5) a meeting convened for the purpose of considering a motion under this section shall not for any reason be adjourned.
(7) As soon as the meeting convened under this section commences the Registrar shall read to the Committee the motion for the consideration of which the meeting has been convened and declare it to be open for debate.
(8) No debate on the motion under this section shall be adjourned.
(9) Such debate shall automatically terminate on the expiration of two hours from the time appointed for the commencement of the meeting if it is not concluded earlier. On the conclusion of the debate or on the expiration of the said period of two hours, whichever is earlier, the motion shall be put to vote.
(10) The Registrar shall not speak on the merits of the motion and he shall not be entitled to vote thereon.
(11) If the motion is carried with the support of not less than two thirds of the total number of members of the Committee, the Registrar shall by order remove the President or as the case may be, the Vice-President and the resulting vacancy shall be filled in the manner prescribed.
(12) If the motion is not carried by such a majority as aforesaid or if the meeting could not be held for want of a quorum, no notice of any subsequent motion expressing want of confidence in the same President or as the case may be, the Vice-President shall be made until, after the expiration of one year from the date of the meeting.
(13) No notice of a motion under this Section shall be made within one year of the assumption of office by a President or the Vice-President.
(14) The provisions of this section shall not apply in respect of President of any co-operative society elected by the members of the general body from among themselves.
CHAPTER 5 Rights and Privileges of Societies
Section 35 First charge of a society on certain movable assets of a member for the amount due by him
(1) Notwithstanding anything in any law for the time being in force, but subject to any claim of the Government in respect of land revenue, any debt or other amount due to a society by any member including a past or deceased member shall be a first charge upon the crop or other agricultural produce, cattle fodder for cattle, agricultural or industrial implements or machinery, raw materials for manufacture and any finished products manufactured from such raw materials owned by such member.
(2) Such charge shall be available even as against any amount recoverable by the Government as if it were an arrear of land revenue or any claim of the Government arising from a loan granted under the Land Improvement Loans Act, 1883, subsequent to the incurring of the debt or the liability for the other amount due to the society referred to in sub-section (1).
(3) No person shall transfer any property which is subject to such charge except with the previous permission in writing of the society which holds the charge and any transfer, without such permission shall, notwithstanding anything in any law for the time being in force, be void.
Section 36 Charge on the immovable property of a member for the loans borrowed
(1) Notwithstanding anything in this Act or in any law for the time being in force, but subject to any claim of the Government in respect of land revenue and to any claim of an Financing Bank/Primary Agricultural Co-operative Society in respect of its dues, in either case, whether prior in time or subsequent any member owning any land or having interest in any land as a tenant, who applies to a society for a loan, shall make a declaration in the form prescribed creating a charge in favour of the society, on the land or interest specified in the declaration, for the payment of the loan to be granted to him by the society in pursuance of the application and for all future advances, if any required by him, which the society may grant to him, subject to such maximum as may be determined by the society, together with the interest on such amount of the loan and advances.
(2) Such declaration may be varied or cancelled at any time by the member with the consent of the society.
Section 37 Deduction from salary or wages
(1) Notwithstanding anything in any other law for the time being in force, a member of a society may execute an agreement in favour of that society providing that his employer shall be competent, on a requisition in writing from the society, to deduct every month from the salary or wages payable to him such amount as may be specified in the requisition towards the amount due by him to the society in respect of any debt or other amount due by the member to the society, from time to time.
(3) The employer shall maintain such registers as may be prescribed.
(4) The provisions of this section shall apply to all such agreements of the nature referred to in sub-section (1) as are in force at the commencement of this Act.
(5) If such employer fails to comply with any of the provisions of this section, he shall be punishable with fine which may extend to five hundred rupees.
Section 38 Charge and set-off in respect of shares or interest of members in the capital, etc., of a society
A society shall have a charge upon the share or interest in the capital, deposits, dividend, bonus or profits payable to a member or a past member or the estate of a deceased member in respect of any debt or other amount due by him to the society and may set off any sum credited or payable to such member against payment of any such debt or other amount due: Provided that no financing bank to which a society is affiliated shall have a charge upon or set-off against any debt due from such society :_
(i) 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
(ii) any sum invested in it by the society as provident fund of its employees established under Section 49.
Section 39 Share or interest, etc., not liable to attachment
The share or interest, of a member in the capital of a society or of an employee in the provident fund established under Section 49 or the contribution made by a member or past member or from the estate of a deceased member or by any Officer or former Officer under Section 66, or the reserve fund of a society or the bad debts reserve of a Society or the provident fund of its employees invested under Section 46, 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, or officer; 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, interest, contribution or fund.
Section 40 Right to set-off where a registered society purchases immovable property at a sale under the Andhra Pradesh Revenue Recovery Act, 1864, for any amount due to it
(1) Where under this Act or any rule made thereunder, any amount due to a society from any person is recoverable as an arrear of land revenue and the immovable property of such person is brought to sale under the provisions of the Andhra Pradesh Revenue Recovery Act, 1864 and the society is the purchaser at such sale, the provisions of Section 36 of the said Act shall apply thereto subject to the modification that for the third and fourth clauses thereof, the following clauses were substituted, namely "Third" The sum due to the purchaser shall be set-off, in whole or in part, against the purchase money and the remainder, if any, of the purchase money shall be paid to the Collector or other officer empowered by the Collector in that behalf within thirty days of the date of sale." "Fourth" Where the purchaser refuses or fails to make the payment of the remainder, if any, of the purchase money the amount of loss or expense consequent on such refusal or failure shall be a charge on the property purchased, and shall be recoverable from such purchaser in the same manner as arrears of land revenue. The amount so recovered shall be paid to the owner of the immovable property."
(2) Where a sale is conducted under Section 71, Section 103 or Section 104 by the Registrar or any other person authorised by him, the provisions of sub-section (1) shall apply as if it were a sale for the recovery of an arrear of land revenue.
Section 41 Exemption from certain taxes, duties and fees
The Government, if in their opinion it is necessary in the public interest so to do, may by notification in the Andhra Pradesh Gazette, and subject to such restrictions and conditions as may be specified in such notifications, reduce or exempt in respect of any class of societies -
(a) the taxes on professions, trades, callings and employments;
(b) the stamp duty with which, under any law for the time being in force, instruments executed by or on behalf of a society or by an officer or member and relating to business of such society or any class of such instruments or decisions or orders of the Registrar or arbitrator or liquidator under this Act, are respectively chargeable; or
(c) any fee payable under the law relating to registration for the time being in force or court fees.
Section 42 Exemption from compulsory registration of instruments
Nothing in clauses (b) and (c) of sub-section (1) of Section 17 of the Indian Registration Act, 1908 shall apply to,-
(a) any instruments relating to shares in a society notwithstanding that the assets of the society consist in whole or in part immovable property.
(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 insofar 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 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 other debenture issued by any such society.
CHAPTER 6 Properties and Funds of Societies
Section 43 State aid to Societies
The Government may, subject to the rules,-
(a) give loans or advance moneys to a society;
(b) subscribe to the share capital of a society;
(d) guarantee the repayment of principal and payment of interest on debentures issued by a society;
(e) guarantee the repayment of share capital of a society and dividends thereon at such rates as may be specified by the Government;
(f) guarantee the repayment of principal and payment of interest on loans and advance of moneys to a society;
(g) guarantee the repayment of deposits received by a society and payment of interest on such deposits subject to such terms and conditions as may be laid down by the Government; and
(h) give financial aid in any other form including subsidies to any society.
Section 44 Funds other than net profits not to be divided among members
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 from the funds on such scale as may be prescribed for any service rendered by him to the society;
Provided further that a President of the Society may be paid honorarium from the funds of the Society at such rate as may be prescribed.
Section 44A Constitution and utilisation of Co-operative Education Fund
(1) There shall be constituted a Co-operative Education Fund for the purpose of promotion of co-operative movement in the State and education of the members and training of the officers of the co-operative societies on co-operative principles and management practices. All contributions made by the societies form out of their profit in a year, grants-in-aid from the Government of India or the State Government and donations by any persons, shall be credited to the Co-operative Education Fund.
(2) Every society shall ensure the education of its members and trainings of its officers.
Section 45 Disposal of profits
(1) A society shall, subject to such limits as may be prescribed, credit one per cent of gross profit or gross income in a year, as the case may be, to the Co-operative Education Fund.
(2) A society shall credit an amount not being more than 30 per cent of gross profit or 2 per cent of working capital, whichever is less, in a year to the administrative and contingent fund towards pay and other allowances of its employees and contingencies in the manner prescribed.
Section 46 Investment of funds
A society may by a resolution of the General Body invest or deposit its funds which are not immediately required for business of the society
(a) in the Postal Savings Banks;
(b) in any of the securities specified in Section 20 of the Indian Trusts Act, 1982.
(c) in the shares or securities of any other society;
(d) with any Nationalised Bank or Scheduled Bank.
Section 47 Restriction on borrowings and loans
(1) A society shall x x x receive deposits and raise loans only to such extent and under such conditions as may be specified in the bye-laws.
(2) A society shall not grant a loan to any person other than a member but it may grant loans to another society with the general or special sanction of the Registrar or to its employees on such terms as may be specified in the bye-laws: Provided that a society may make a loan to a depositor on the security of his deposit.
Section 48 Restrictions on other transactions with non-members
(1) Save as otherwise provided in Section 47, the transactions of a society, with persons other than members shall be subject to such restrictions, as may be prescribed.
(2) Every Primary Weavers' Co-operative Society shall produce cloth only through the members of the society by supplying raw materials to the members and receiving back cloth or fabric or product and shall not produce or purchase cloth or fabric or product from any source other than the members of the society either for sale on its own account or for sale through Federal Society or others. But it may purchase cloth or fabric or product of other weavers' co-operative societies with general or special sanction of Registrar for sale on its own account to consumers or others.
Section 49 Provident Fund
(1) A society may, subject to the rules, establish a contributory provident fund for the benefit of its employees to which shall be credited all the contributions made by them and the society in accordance with its bye-laws.
(3) Notwithstanding anything in this section a provident fund established, by a society to which the Employees Provident Fund Act, 1952, is applicable, shall be governed by that Act.
CHAPTER 7 Audit, Inquiry, Inspection and Surcharge
Section 50 Audit
(2) Every person who is, or has at any time bear, an officer or employee of the society and every member including a past member shall furnish such information in regard to any transaction, working and affairs of the society as the Chief Auditor or such person authorised by him may require.
(3) The committee shall prepare and submit or cause to be prepared and submit within such period not exceeding six months as may be prescribed for different classes of societies after the end of the co-operative year, to the Chief Auditor or the person authorised by him as the case may be, such statements and reports as may be prescribed for the purpose of the audit of accounts of the society for the Co-operative year.
(4) The audit shall be completed within a period of six months from the close of the Co-operative year of the registered society concerned and such other further period not exceeding six months as the Chief Auditor may permit for reasons to be recorded in writing.
Section 51 Inquiry
The Registrar, may of his own motion and shall, on the application of a society to which the society concerned is affiliated, or of not less than one third of the members of the committee, or of not less than one fifth of the total number of members of the society, hold an inquiry or direct some person authorised by him by an order in this behalf to hold an inquiry into the constitution, working and financial condition of a society. Such inquiry shall be completed within a period of four months and the report of inquiry along with the findings of the Registrar thereon shall be communicated to the managing committee of the society. It shall be the responsibility of the managing committee to place the inquiry report before the General Body or Special General Body convened for the purpose for its information, within a period of one month from the communication of the inquiry report by the Registrar. The Registrar shall be competent to initiate action under the provisions of this Act, if the committee fails to take action as aforesaid :
Provided that notwithstanding anything contained in this Act and the Rules made thereunder, the bye-laws of a society and the action of the society in placing the inquiry report alongwith the findings of the Registrar, the Registrar shall not be precluded from taking follow up action as may be required on the basis of inquiry report;
Provided further that such action shall not be nullified even if the General Body of the society passes a resolution negativing the findings of the inquiry; Provided also that the Registrar may for reasons to be recorded in writing extend the period of four months for completion of inquiry for a further period not exceeding two months.
Explanation For the purposes of this section, "Managing committee" includes a Committee constituted under Section 31(1)(a), and a person-in-charge appointed under Section 33(7)(a) and also a Special Officer appointed under Section 34 of the Act.
Section 52 Inspection
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Section 53 Inspection of books by financing bank or federal society
A financing bank or a federal society shall have the right to inspect the books of any society which is indebted to it. The inspection may be made either by an officer of the financing bank or federal society authorised by the committee of such bank or society or by a member of its paid staff certified by the Registrar as competent to undertake such inspection. The officer or member so authorised to conduct the inspection shall at all reasonable times have free access to the books, accounts, documents, securities, cash and other properties belonging to or in the custody of the society and may also call for such information, statements and returns as may be necessary to ascertain the financial condition of the society and the safety of the sums lent to it by such bank or society. The Officer or Member so authorised to conduct the inspection shall prepare a report of inspection which shall be communicated to the Managing Committee of the society together with the findings of the Registrar thereon. It shall be the responsibility of the Managing Committee to place the Inspection Report together with the findings of the Registrar before the General Body or Special General Body convened for the purpose for its information, within a period of one month of the communication of the Inspection Report by the Registrar. The Registrar shall be competent to initiate action under the provisions of this Act, if the Committee fails to take action as aforesaid :
Provided that such action shall not be nullified even if the General Body of the Society passes a resolution negativing the findings of the Registrar; Provided further that notwithstanding anything contained in this Act and Rules made thereunder the bye-laws of a society and the action of the society in placing the Inspection Report alongwith findings of the Registrar, the Registrar shall not be precluded from taking follow-up action as may be required on the basis of Inspection Report.
Explanation For the purposes of this Section, "Managing Committee" includes a Committee constituted under Section 31(1)(a), person-in-charge appointed under Section 32(7)(a), and also a Special Officer appointed under Section 34 of this Act.
Section 54 Rectification of defects in audit, inquiry or inspection
The Registrar shall draw the attention of the society to the defects noticed in every audit conducted under Section 50 or inquiry held under Section 51 or inspection made under Section 52, or Section 53 and if the society is affiliated to another society, also the attention of that other society and may make an order directing the society or its officers to take such action and within such time as may be specified therein to remedy such defects.
Section 55 Power to summon and examine documents and persons etc
(1) The Registrar, or the Chief Auditor or any person authorised by either of them to exercise any powers under this Act, shall at all reasonable times, have free access to the books, accounts, documents, records, securities, cash and other properties belonging to, or in the custody of the society and may summon any person in possession of, or responsible for the custody of any such books, accounts, documents, records, securities, cash or other properties, to produce all or any of them at any place at the headquarters of the society or any branch thereof.
Section 55A Maintenance of Accounts and Books etc
(1) The Chief Executive Officer of every society by whatsoever designation he is called, and the President of the society jointly and severally or the President of such society if there is no such Chief Executive Officer for that society, shall be bound to keep, maintain or cause to maintain, sign and authenticate such accounts and books relating to that society in such manner as may be prescribed and shall be responsible for the correct and up-to-date maintenance and authentication of such accounts and books and for producing or causing production of the same when called for in connection with audit, inquiry, inspection or election.
(2) If such accounts and books are not maintained the Registrar may direct the person who is responsible to bring the accounts and books upto date to make them upto date, and he shall be bound to comply with such direction within the period specified therein.
(3) If the person fails to comply with the direction under sub-section (1) the Registrar may suspend such person for such period as he may consider necessary and authorise any person to take action for bringing such accounts and books upto date at the expenses of the society and such expenses shall be recoverable from the society as if it were an arrear of land revenue.
(4) Where the Registrar takes action under sub-section (3) the Registrar may call upon the person concerned whom he considers to be responsible for not complying with the direction made under sub-section (2) and after giving such person an opportunity of being heard, may require him to pay the society the expenses paid or payable by it to the Government as a result of his failure to take action.
(5) The Chief Executive Officer of the society or the President where there is no such Chief Executive Officer for that society shall be the custodian of all books of account of the society.
Section 56 Cost of inquiry and inspection
(1) Where an inquiry is held under Section 51 or an inspection is made under Section 52, the Registrar may, after giving the parties an opportunity of making their representations, apportion the costs, or such part of the costs as he may think fit, between the society, the members or creditors demanding an inquiry or inspection, the officers or former officers of the society. Costs may also be awarded by the Registrar to the financing bank or federal society in the case of inspection under Section 53 by such bank or society
(2) Any amount awarded by way of costs under sub-section (1) may be recovered as if it were an arrear of land revenue.
Section 57 Society to pay certain expenses
Every society shall pay to the Government such amount as may be determined in the prescribed manner in respect of any special or additional staff employed at the request of the society by the Government for the purpose of the society.
Section 58 Payment of fees to the Government for services rendered to a society, etc.
Every person shall pay to the Government such fees, as may be prescribed, for services rendered by the Government to him in respect of audit, execution or arbitration proceedings, or any other prescribed manner.
Section 59 Suspension of officer or servant of society
(1) Where in the course of an audit under Section 50 or an inquiry under Section 51 or an inspection under Section 52 or Section 53, it is brought to the notice of the Registrar that a paid officer or servant of a society has committed or has been otherwise responsible for mis-appropriation, breach of trust or other offence, in relation to the society, the Registrar may, if in his opinion there is prima facie evidence against such paid officer or servant and the suspension of such paid officer or servant is necessary in the interests of the society, direct the committee pending the investigation and disposal of the matter, to place or cause to be placed such paid officer or servant under suspension from such date and for such period as may be specified by him, but not retrospectively.
(2) On receipt of such direction, the committee shall, notwithstanding any provision to the contrary in the bye-laws, place or cause to be placed the paid officer or servant under suspension forthwith.
(3) The Registrar may direct the committee to extend, from time to time, the period of suspension and the paid officer or servant suspended shall not be reinstated except with the previous sanction of the Registrar.
Section 60 Surcharge
(2) Any sum ordered under this section to be repaid to a society or recovered as a contribution to its assets may be recovered on a requisition being made in this behalf by the Registrar to the Collector in the same manner as arrears of land revenue.
(3) This section shall apply notwithstanding that such person or officer or servant may have incurred criminal liability by this Act.
CHAPTER 8 Settlement of Disputes
Section 61 Disputes which may be referred to the Registrar
(2) If any question arises whether a dispute referred to the Registrar under this section is a dispute touching the constitution, management or the business of a society, such question shall be decided by the Registrar.
(3) Every dispute relating to, or in connection with, any election to a committee of a society shall be referred for decision to the Tribunal having jurisdiction over the place where the main office of the society is situated, whose decision thereon shall be final.
(4) Every dispute relating to, or in connection with any election shall be referred under sub-section (3) only after the date of declaration of the result of such election.
Section 62 Action to be taken by the Registrar on such reference
(2) Where the reference relates to any dispute involving immovable property, the Registrar or such person or arbitrator may order that any person be joined as a party who has acquired an interest in such property subsequent to the acquisition of interest therein by a party to the reference and any decision that may be passed on the reference by the Registrar or the person or the arbitrator aforesaid, shall be binding on the party so joined as if he were an original party to the reference.
(3) The Registrar may, by order for reasons to be recorded therein, withdraw any reference transferred under clause (b) of sub-section (1) or referred under Clause (c) of that sub-section and may elect to decide the dispute himself or transfer it to any other person under clause (b) of sub-section (1) or refer it to any other arbitrator under clause (c) of that sub-section.
(4) The Registrar, such person or arbitrator shall decide the dispute in accordance with the provisions of this Act and the rules and bye-laws and such decision shall, subject to the provisions of Section 76, be final. Pending final decision on the dispute, the Registrar, such person or arbitrator, as the case may be, may make such interlocutory orders as he may deem necessary in the interest of justice.
Section 63 Powers of financing bank to proceed against members of a society for recovery of moneys due to it from such society
(1) If a society is unable to pay its debts to a financing bank by reason of its members committing default in the payment of the moneys due by them, the financing bank may direct the committee of such society to proceed against such members under Section 61 or Section 70, as the case may be, and if the committee fails to do so within a period of ninety days from the date of receipt of such direction, the financing bank itself may proceed against such members under Section 61 or Section 70, in which case, the provisions of this Act, the rules or the bye-laws shall apply as if all references to the society or its committee in the said provisions were references to the financing bank.
(2) Where a financing bank has obtained a decree or award against a society, in respect of moneys due to it from the society, the financing bank may proceed to recover such moneys firstly from the assets of the society and secondly from the members to the extent of their debts due to the society.
CHAPTER 9 Winding up and cancellation of Registration of Societies
Section 64 Winding up of Societies
(1) If the Registrar, after an inquiry has been held under Section 51 or an inspection has been made under Section 52 or on receipt of an application made by not less than two-thirds of the members, is of opinion that the society ought to be wound up, he may after giving the society an opportunity of making its representation, by order direct it to be wound up.
Section 65 Appointment of liquidator
(1) Where the Registrar has made an order under Section 64 for the winding up of a society, he may appoint a liquidator for that purpose and fix his remuneration.
(2) On the appointment of a liquidator, the property, assets, effects and actionable claims or liabilities of the society as on the date of appointment shall vest in or devolve on the liquidator. He shall take such steps as he may deem necessary or expedient to prevent loss or deterioration of, or damage to, such property, assets, effects and actionable claims.
(3) Where an order of winding up of a society is set aside in appeal the property, assets, effects and actionable claims or liabilities of the society as on the date of such setting aside shall revest in or devolve on the society.
Section 66 Power of the liquidator
(2) Any sum ordered under this section to be recovered as a contribution to the assets of a society or as costs of liquidation may be recovered, on a requisition being made in this behalf by the Registrar to the Collector in the same manner as arrears of land revenue.
(3) Save as provided in sub-section (2), orders made under this section shall, on application, be enforced by any civil Court having local jurisdiction in the same manner as a decree of such Court.
(4) The liquidator shall continue to exercise his powers until the affairs of the society are completely wound up, when he shall make a report to the Registrar and deposit the records of the society in such place as the Registrar may direct.
Section 67 Restriction on alienation of property by a member of a society under winding up
Where a society has been ordered to be wound up under Section 64, no member shall alienate his property movable or immovable, from the date of the order of winding up and until after expiration of fifteen days from the date on which the order of winding up takes effect. Any alienation of the property made by a member in contravention of this section is voidable at the option of the liquidator :
Provided that the provisions of this section shall not apply to any member who furnishes adequate security to the satisfaction of the liquidator.
Section 68 Cancellation of registration of society
Where the affairs of a society have been completely wound up, after considering the report of the liquidator under sub-section (4) of Section 66, the Registrar shall by order in writing, cancel the registration of the society. The society shall cease to exist as a corporate body from the date of such order.
Section 69 Restoration of a society wound up
Where in the opinion of the Registrar, a society which has been ordered to be wound up may be restored to a committee constituted in accordance with the provisions of this Act, the rules and bye-laws, he may, at any time, before the affairs of the society have been completely wound up, cancel or withdraw the order of winding up and direct the liquidator to constitute a committee in accordance with the provisions of this Act, the rules and bye-laws and handover the management of the affairs of the society to such committee. The property, assets, effects and actionable claims or liabilities of the society as on the date of such cancellation or withdrawal shall revest in, or devolve on, the society.
Section 69A Termination of liquidation proceedings
(1) The winding up proceedings shall be closed within a period of three years from the date of the order of winding up and after the expiry of the said period of three years it shall be deemed that the liquidation proceedings have been terminated, and the Registrar shall pass an order terminating the liquidation proceedings.
(2) On the termination of the liquidation proceedings the liquidator shall make a report to the Registrar.
Section 69B Disposal of surplus assets
Surplus assets as shown in the final report of the liquidator of a society which has been wound up shall be utilised for such purposes as may be specified in the bye-laws. Where the society has no such bye-laws, the surplus assets shall vest in the Registrar who shall hold it in trust and shall transfer it to the reserve funds of a new society registered with a similar object and serving more or less an area which the society to which the surplus belonged was serving.
Provided that where no such society is registered within a period of three years of the cancellation of the registration of the society whose surplus is vested in the Registrar, the Registrar may distribute the surplus to the Federal society with similar objects or to the Andhra Pradesh State Co-operative Union, or for any charitable purposes as defined under the Charitable Endowments Act, 1890. (Central Act IV of 1890).
CHAPTER 10 Execution of Decisions, Decrees and Orders
Section 70 Power of the Registrar to recover certain amount by attachment and sale of property and execution of orders
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Section 70A Execution of non-monetary orders etc.
Every order or decision of a non-monetary nature made under the provisions of Section 62, Section 76, Section 77 or Section 78, shall be executed by the Civil Court having jurisdiction, as if such order or decision is a decree of that Court on a certificate issued by the Registrar or any person authorised by him in this behalf.
Section 71 Recovery of debts
(1) Notwithstanding anything in this Act or in any other law for the time being in force and without prejudice to any other mode of recovery which is being taken or may be taken, the Registrar may, on the application made by a society or financing bank or federal society as the case may be, for the recovery of arrears of any such advanced to any of its members and on furnishing a statement of accounts in respect of the arrears and after making such inquiry as he deems fit, issue a certificate for the recovery of the amount stated therein to be due as arrears.
(2) Where the Registrar is satisfied, that a society has failed to take action under sub-section (1) in respect of any amount due as arrears, he may, on his own motion, and after making such enquiry as he deems fit, issue a certificate for the recovery of the amount stated therein to be due as arrears and such a certificate shall be deemed to have been issued on an application made by the society concerned.
(3) A certificate issued by the Registrar under sub-section (1) or sub-section (2) shall be final and conclusive proof of the arrears stated to be due therein and the certificate shall be executed in the manner specified in sub-section (2) of Section 70.
Section 72 Registrar or person authorised by him to be a Civil Court for certain purposes
The Registrar or any person authorised by him in this behalf shall be deemed, when exercising any power 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 to take steps in aid of such recovery, to be a Civil Court for the purposes of Article 182 of the First Schedule to the Indian Limitation Act, 1908.
Section 73 Attachment of property before decision or order
If the Registrar is satisfied on application, report, inquiry or otherwise that any person with intent to delay or obstruct the enforcement of any decision or order 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, 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.
Section 74 Recovery of amounts due to Government
(1) Any amount due from a society or from an officer, former officer or members or past or deceased member of a society as such to Government including any costs awarded to Government under this Act may on a certificate issued by the Registrar in this behalf, be recovered by the Registrar or any other person authorised by him in this behalf or by the Collector in the same manner as arrears of land revenue.
CHAPTER 11 Appeal, Revision and Review
Section 75 Constitution of Co-operative Tribunal
(1) The Government may, for the purpose of this Act, by notification constitute as many Tribunals as may be necessary for such area or areas as may be specified in the notification.
(2) The Tribunal shall consist of a Chairman and not more than two other members to be appointed by the Government.
(3) The Chairman shall be a person who is or has been a judicial officer not below the rank of a District Judge and a member shall be a person, who holds or has held a post not below the rank of Additional Registrar of Co-operative Societies.
(4) The Government may, from time to time, likewise reconstitute any Tribunal constituted under sub-section (1) or may abolish such Tribunal.
(5) The Quorum to constitute a meeting of a Tribunal and the manner of taking decision thereat and the procedure and conduct of its business shall be such as may be prescribed.
(6) No act or proceeding of any Tribunal shall be deemed to be invalid by reason only of the existence of any vacancy among its members or any defect, in the constitution or reconstitution thereof.
Section 76 Appeals
(1) Any person or society aggrieved by any decision passed or order made under Section 6, Section 9-A, Section 9-B, Section 9-C, Section 12-A, Section 13, Section 15-A, Section 16, Section 17, Section 19, Section 21, Section 21-A, Section 21-AA, Section 23, sub-section (3) of Section 32, Section 34, Section 34-A, Section 60, Section 62, Section 64, Section 66, Section 70, Section 71, Section 73 and Section 117 may appeal to the Tribunal : Provided that nothing in this sub-section shall apply to any order of withdrawal or transfer of a dispute under sub-section (3) of Section 62.
(2) On a reference made by the Registrar of Co-operative Societies, the Tribunal shall call for and examine the records of any proceeding which is appealable to it for the purpose of satisfying itself as to the legality or propriety of any decision or order passed and where it appears to the Tribunal that any such decision or order should be modified, annulled or reversed, the Tribunal may pass such order thereon as it may deem fit.
(3) Any appeal under sub-section (1) shall, subject to the other provisions of this Act, be preferred within sixty days from the date of communication to the appellant of the decision, refusal or order complained of but the Tribunal may admit an appeal preferred after the said period of sixty days, if it is satisfied that the appellant has sufficient cause for not preferring the appeal within the said period.
(4) In disposing of an appeal under this section, the Tribunal may, after giving the parties an opportunity of making their representations, pass such order thereon as it may deem fit.
(5) The decision or order of the Tribunal on appeal shall be final.
(6) The Tribunal may pass such interim orders pending the decision on the appeal as may deem fit.
(7) The Tribunal may award costs in any proceedings before that authority to be paid either out of the funds of the society or by such party to the appeal as the Tribunal may deem fit.
Section 77 Revision
(2) No order prejudicial to any person shall be passed under sub-section (1) unless such person has been given an opportunity of making his representation.
(3) The Registrar or the Government, as the case may be, may suspend the decision or order pending the exercise of his or their power under sub-section (1) in respect thereof.
Section 78 Review
(2) Every application for review shall be preferred to the authority which passed the order under Section 76 or Section 77 within such time and in such manner as may be prescribed
(3) The decision or order passed on the application in review shall be final.
(4) The authority competent to pass orders on application for review may pass such interlocutory orders pending the decision on the application for review as that authority may deem fit.
(5) The authority referred to in sub-section (4) may award costs in any proceedings for review to be paid either out of the funds of the society or by such party to the application for review as it may deem fit.
CHAPTER 12 Offences and Penalties
Section 79 Punishment for furnishing false return or information, disobeying summons or other lawful order, requisition, or direction, or for acting in contravention of Section 35 or Section 36 or for failure to produce books etc
(2) An offence under clauses (a) to (e) of sub-section (1) shall be punishable with imprisonment for a term which may extend to six months and with fine which may extend to five hundred rupees x x x.
Section 79A Punishment of corrupt practices
(2) Every person guilty of a corrupt practice shall be punishable with imprisonment for a term which may extend upto one year or with fine which may extend to rupees five thousand or with both.
Section 80 Prohibition of the use of the word 'co-operative' or its equivalent
(2) Whoever contravenes the provisions of sub-section (1) shall be punishable with fine which may extend to two hundred rupees and in the case of a continuing offence with further fine of fifty rupees for each day on which the offence is continued after conviction thereof.
Section 81 Punishment for failure to give effect to decision or order
The Committee or any officer or an employee of a society who fails to give effect to, any decision or order under Section 62, or where an appeal against such decision or order has been filed to the order passed by the appropriate appellate authority, such decision or order not being a money decree, shall be punishable with fine which may extend to five hundred rupees.
Section 82 Punishment for offences not otherwise provided for
Any society or any officer or member thereof or any other person contravening the provisions of this Act for which no punishment is expressly provided herein shall be punishable with fine which may extend to fifty rupees.
Section 83 Cognizance of offences
(1) No Court inferior to that of a Magistrate of the First Class or a Metropolitan Magistrate shall try any offence under this Act.
(2) Every offence under this Act shall, for the purpose of the Code of Criminal Procedure, 1973 (Central Act 2 of 1974), be deemed to be cognizable. (3) No prosecution shall be instituted under this Act without the previous sanction of the Registrar.
Section 83A
x x x x
Section 83B Presumption as to commission of offences in certain cases
(2) Any member, officer or employee of a society who issues any receipt shall be deemed to have issued the same in the name of the society and shall be responsible to account for the same.
(3) Notwithstanding the criminal liability the member, officer or employee of a society shall be responsible to make good the loss caused to the society by committing such offences and the same shall be recovered as arrears of land revenue by the Registrar or the person authorised by him from the person responsible for causing such loss or his legal heirs or any person who has acquired the properties from such person or with the assistance of such person.
Section 83C Presumption as to statements
Where any member, officer or employee of a society has made a statement during the enquiry under Section 51 or inspection under Section 52 and the statement is recorded by the Registrar or the person authorised by the Registrar in exercise of their powers conferred on them under this Act, the Court shall presume that the statement was so recorded by the Registrar or the person authorised by him as a statement within the meaning of the Indian Evidence Act, 1872.
CHAPTER 13 Financing Banks/Primary Agricultural Co-operative Societies
Section 84 Definitions
In the Chapter-
(a) 'Board' means the Board of Directors of Andhra Pradesh State Co-operative Bank Limited; and includes a financing bank or any person authorised by it.
(b) x x x x
(c) ' Financing Bank/Primary Agricultural Co-operative Society' means a co-operative society registered as such or deemed to be registered under this Act, (Act XLIV of 1961). x x x x
(d) 'Trustee' means the Trustee referred to in Section 86.
Section 85 Application of chapter to Financing Bank/Primary Agricultural Co-operative Society
The provisions of this Chapter shall apply to Financing Bank/Primary Agricultural Co-operative Society banks advancing loans for the purposes herein enumerated that is to say-
(i) land improvement and productive purposes;
(ii) the erection, rebuilding or repairing of houses for agricultural purposes;
(iii) the purchase or acquisition of title to agricultural lands by tenants; or
(iv) the liquidation of debts of agriculturists under the relevant law for the time being in force;
Section 86 Appointment of Trustee and his powers and functions
(1) The Registrar, or where the 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 Andhra Pradesh State Co-operative Bank Limited to the holders of debentures 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 Andhra Pradesh State Co-operative Bank Limited and the Trustee as modified from time to time, by mutual agreement between the Board and Trustee.
Section 87 Trustee to be a corporation sole
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.
Section 88 Issue of debentures by the Board
(1) With the previous sanction of the trustee, and the Government and subject to such terms and conditions as the Government may impose, the Board may, from time to time, issue debentures of such denominations for such periods as it may deem expedient, on the security of the mortgages held or mortgages partly held and partly to be acquired and other assets transferred or deemed to have been transferred under the provisions of Section 94, by the Primary Agricultural Co-operative Societies to the financing bank and by the financing bank to Andhra Pradesh State Co-operative Bank Limited 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, reserving to the Board the right to call in at any time any 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.
Section 89 Charge of debenture-holders on certain properties
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-section (3) of Section 88;
(b) the amount paid under such mortgages and remaining in the hands of the Board or of the Trustee; and
(c) the other properties of the Andhra Pradesh State Co-operative Bank Limited.
Section 90 Guarantee by Government of principal of, and interest on, debentures
(1) The principal of, and interest on, the debentures issued under the Andhra Pradesh (Andhra Area) Co-operative Land Mortgage Banks Act, 1934 and those issued under Section 88 shall, in respect of such maximum amount as may be fixed by the Government and subject to such conditions as they may think fit to impose, carry the guarantee of the Government.
(2) The Government may, subject to the provisions of any Act in that regard, increase the maximum amount of any guarantee under sub-section (1).
(4) Every notification and notice referred to in sub-section (3), shall where the maximum amount of the guarantee is to be restricted, or the conditions subject to which the guarantee was given are to be modified, set forth precisely the scope and effect of the restriction or modification, as the case may be.
Section 91 Other guarantee by Government
Where the Andhra Pradesh State Co-operative Bank Limited or Financing Bank/Primary Agricultural Co-operative Society 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 Government, the Government may guarantee for a specified period the repayment of the loan to the extent of the excess.
Section 92 Priority mortgage over certain claims
A mortgage created in favour of Financing Bank/Primary Agricultural Co-operative Society shall have priority over any claim of the Government arising from a loan under the Land Improvement Loans Act, 1883 granted subsequent to the creation of the mortgage.
Section 93 Right of Financing Bank/Primary Agricultural Co-operative Society or of the Andhra Pradesh State Co-operative Bank Limited to purchase mortgaged property
(1) Notwithstanding anything in any other law for the time being in force, it shall be lawful for Financing Bank/Primary Agricultural Co-operative Society or the Andhra Pradesh State Co-operative Bank Limited 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 Andhra Pradesh Land Reforms Ceiling on Agricultural Holding Act, 1973 fixing a maximum limit of Agricultural holding shall apply to the acquisition of land by Financing Bank/Primary Agricultural Co-operative Society or the Andhra Pradesh State Co-operative Bank Limited under sub-section (1).
Section 94 Mortgages created in favour of Financing Bank/Primary Agricultural Co-operative Society to stand vested in Andhra Pradesh State Co-operative Bank Limited
The mortgages created in favour of, and all other assets transferred to, Financing Bank/Primary Agricultural Co-operative Society by the members thereof shall, with effect from the date of such creation or transfer, be deemed to have been transferred by such Financing Bank/Primary Agricultural Co-operative Society to the Andhra Pradesh State Co-operative Bank Limited and shall vest in the Trustee.
Section 95 Power of Financing Bank/Primary Agricultural Co-operative Society to receive moneys and grant discharges
Notwithstanding that a mortgage created in favour of Financing Bank/Primary Agricultural Co-operative Society has been transferred, or is deemed under the provisions of Section 94 to have been transferred to the Andhra Pradesh State Co-operative Bank Limited-
(a) all money 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 the Financing Bank/Primary Agricultural Co-operative Society and such payment shall be as valid as if the mortgage has not been so transferred; and
(b) the Financing Bank/Primary Agricultural Co-operative Society shall, in the absence of any specific direction to the contrary issued by the Board or Trustees and communicated to the Financing Bank/Primary Agricultural Co-operative Society be entitled to sue on the mortgage or take any other proceeding for the recovery of the moneys due under the mortgage.
Section 96 Right of Financing Bank/Primary Agricultural Co-operative Society to pay prior debts of mortgagor
(1) Where a mortgage is created in favour of Financing Bank/Primary Agricultural Co-operative Society for payment of prior of the debts of the mortgagor, the bank may, notwithstanding anything in the Transfer of Property Act, 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:
Section 97 Powers of Financing Bank/Primary Agricultural Co-operative Society to advance loans and to hold lands
Subject to the provisions of this Act and in accordance with the rules made thereunder, it shall be competent for Financing Bank/Primary Agricultural Co-operative Society to advance loans for the purposes referred to in Section 85 and to hold lands the possession of which is transferred to it under the provisions of this Chapter.
Section 98 Mode of dealing with applications for loans
(1) When an application for a loan is made for any of the purposes mentioned in Section 85 a public notice shall be given of the application in such manner as may be prescribed calling upon all persons interested to make their objections to the loan if any before the date specified therein. The person by whom such public notice shall be given and the manner in which the objections shall be disposed of by him, shall be such as may be prescribed.
(3) A notice under sub-section (1), published in the manner prescribed, shall, for the purpose of this Act be deemed to be proper notice to all persons having or claiming interest in the land to be improved, or offered as security for the loan.
(4) Where an application is recommended under sub-section (2), the Financing Bank/Primary Agricultural Co-operative Society shall, in accordance with the rules made in this behalf, consider such application for the purposes of making the loan.
Section 99 Order granting loan conclusive of certain matters
A written order by the Financial Bank/Primary Agricultural Co-operative Society, or persons or committees authorised by this Act or under the bye-laws of the bank to make loans for all or any of the purposes specified in Section 85 granting, either before or after the commencement of this Act, a loan to or with the consent of a person mentioned therein, for the purpose of carrying out the work specified therein, for the benefit of the land or for the 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 purpose for which the loan is granted, is an improvement or productive purpose, as the case may be, within the meaning of Section 85;
(b) that the person had at the date of the order a right to make such an improvement, or incur expenditure for productive purpose as the case may be; and
(c) that the improvement is one benefitting the land specified and productive purpose concerns the land offered as security, or any part thereof as may be relevant.
Section 100 Recovery of loans by Financing Bank/Primary Agricultural Co-operative Society
Any loan granted by Financing Bank/Primary Agricultural Co-operative Society, including any interest chargeable thereon, and costs, if any, incurred in connection therewith, shall when they become due, be recoverable by the Financing Bank/Primary Agricultural Co-operative Society.
Section 101 Recovery of loans on certificate by Registrar
(1) Notwithstanding anything in this Act, on an application made by Financing Bank/Primary Agricultural Co-operative Society for the recovery of arrears of any sum advanced by it to any of its members and on its furnishing a statement of accounts in respect of the arrears, the Registrar may, after making such enquiries as he deems fit, grant a certificate for the recovery of the amount stated therein to be due as arrears.
(2) A certificate by the Registrar under sub-section (1) shall be final and conclusive as to the arrears due. The arrears stated to be due therein shall be recoverable by the Collector in the same manner as arrears of land revenue.
(3) It shall be lawful to the Collector to take any precautionary measure until the arrears due to the Financing Bank/Primary Agricultural Co-operative Society together with interest and any incidental charges incurred in the recovery of such arrears, are paid or security of such arrears is furnished to the satisfaction of the Registrar.
(4) It shall be competent for the Registrar or a person authorised by him to direct conditional attachment of the property of the mortgagor until the arrears due to the Financing Bank/Primary Agricultural Co-operative Society together with interest and any incidental charges incurred in the recovery of such arrears, are paid or security for payment of such arrears is furnished to the satisfaction of the Registrar and the provisions of Section 73 shall apply mutatis mutandis to conditional attachment of any property made or to be made under this section.
Section 102 Collector to make recoveries during a certain period
(1) During such period as the Government, may by general or special order notify in the Andhra Pradesh Gazette, it shall be competent for the Collector, on application being made to him in that behalf by Financing Bank/Primary Agricultural Co-operative Society to recover sums due to the bank, including the cost of such recovery.
Section 103 Distraint and sale
(2) The value of the property distrained shall be, as far as may be, equal to the amount due and the expenses of the distraint and the costs of the sale.
Section 104 Power of sale when to be exercised
(1) Notwithstanding anything in the Transfer of Property Act, 1882, the Committee of the financing bank or any person authorised by the Primary Agricultural Co-operative Society in this behalf shall, in case of default of payment of mortgage money due, 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:
Section 105 Powers of Financing Bank/Primary Agricultural Co-operative Society where mortgaged property is destroyed or security becomes insufficient
Where any property mortgaged to Financing Bank/Primary Agricultural Co-operative Society is wholly or partially destroyed or the security is rendered insufficient and the mortgagor, having been given an opportunity by the committee of the Financing Bank/Primary Agricultural Co-operative Society of providing further security enough to make the whole security sufficient or of repaying such portion of the loan as may be determined by 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 committee shall be entitled to take action against the mortgagor under Section 103 or Section 104 for the recovery thereof.
Explanation For the purposes of this section, security is deemed to be insufficient unless the value of the mortgaged property exceeds the amount for the time being due on the mortgage by such proportion as may be specified in the bye-laws of the Financing Bank/Primary Agricultural Co-operative Society.
Section 106 Power of Board or Trustee to distrain and sell all property, etc
(1) The Board or the Trustee may direct the committee of Financing Bank/Primary Agricultural Co-operative Society to take action against a defaulter under Section 103, Section 104 or Section 105 and if the committee neglects or fails to do so, the Board or the Trustee may take such action.
Section 107 Title of purchaser not to be questioned on ground of irregularity etc
Whereas any property is sold in the exercise or purported exercise of a power of a sale under Section 104, the title of the purchaser shall not be questioned on the ground that-
(a) the circumstances required for authorising the sale had not arisen, or
(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 is entitled to have a remedy in damages against the Financing Bank/Primary Agricultural Co-operative Society.
Section 108 Mortgage not to be questioned on insolvency of mortgagor
Notwithstanding anything in any law relating to insolvency, a mortgage created in favour of Financing Bank/Primary Agricultural Co-operative Society, shall not be called in question on the ground that it was created in good faith for valuable consideration or on the ground that it was created in order to give the Financing Bank/Primary Agricultural Co-operative Society a preference over the other creditors of the mortgagor.
Section 109 Appointment of receiver and his powers
(1) The Board may, on the application of Financing Bank/Primary Agricultural Co-operative Society and under circumstances in which the power of sale conferred by Section 104 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, fixed by the Board and to apply the balance in accordance with provisions of sub-section (8) of Section 69-A of the Transfer of Property Act, 1882.
(2) The Board may, for sufficient cause, remove such receiver on an application made by the mortgagor and fill a vacancy in the office of the receiver.
(3) Nothing in this section shall empower the Board to appoint a receiver where the mortgaged property is already in the possession of a receiver appointed by a competent Court.
Section 110 Mortgagor's power to lease
Notwithstanding anything in the Transfer of Property Act, 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 six years and any lease granted in contravention thereof shall be void.
Section 111 Registration of documents executed on behalf of Financing Bank/Primary Agricultural Co-operative Society or of the Andhra Pradesh State Co-operative Bank Limited
(1) Notwithstanding anything in the Indian Registration Act, 1908, it shall not be necessary for any officer of Financing Bank/Primary Agricultural Co-operative Society or of the Andhra Pradesh State Co-operative Bank Limited to appear in person or by agent at any registration office in any proceedings connected with the registration of any instrument executed by him in his official capacity or to sign as provided in Section 58 of that Act.
(2) When any instrument is so executed, the registering officer to whom such instrument is presented for registration may, if he thinks fit, refer to such officer for information in regard thereto, and on being satisfied of the execution thereof shall register the instrument.
(3) Notwithstanding anything in the Indian Registration Act, 1908, it shall not be necessary to register mortgages executed in favour of Financing Bank/Primary Agricultural Co-operative Society or of the Andhra Pradesh State Co-operative Bank Limited, where the bank concerned sends, within such time and in such manner as may be prescribed, a copy of the instrument, requiring registration to the registering officer having jurisdiction who shall file such copy in the book maintained under Section 51 of that Act.
Section 112 Delegation of certain powers by Board
The Board may, if it thinks fit, delegate all or any of its powers under Sections 104, 106 and 109 to an executive committee consisting of two or more of its members, constituted by it.
Section 113 Sections 102, 103 and 104 of the Transfer of Property Act, 1882, to apply to notices under this Chapter
The provisions of Sections 102 and 103 of the Transfer of Property Act, 1882, and of any rule made by the High Court under Section 104, of that Act for carrying out the purposes of the said sections, shall apply so far as may be, in respect of all notices to be served under this Chapter.
Section 114 Mortgages executed by manager of Joint Hindu Family
(1) A mortgage executed in favour of Financing Bank/Primary Agricultural Co-operative Society either before or after commencement of this Act, by the manager of a Joint Hindu Family, shall notwithstanding any law to the contrary, be binding on the members thereof, whether majors or minors, if the loan secured by the mortgage was granted for the purchase of any land or the improvement of any agricultural land or for the improved cultivation of such land.
(2) Where such mortgage is called in question on the ground that it was executed by the manager of a Joint Hindu 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 raising it.
Section 114A
x x x x x
Section 114B
x x x x x
Section 115 Power of the Board to supervise and make regulations
Subject to the provisions of this Act, the Board shall have such power of supervision over the Financing Bank/Primary Agricultural Co-operative Society including powers of appointment, transfer and disciplinary action, in respect of the employees of the Financing Bank/Primary Agricultural Co-operative Society and may, with the previous approval of the Registrar, make such regulation as may be necessary for carrying out all or any of the purposes of this Chapter.
CHAPTER 13A Eligible Co-operative Banks
Section 115A Definitions
In this Chapter-
(a)'the said Act' means the Deposit Insurance Corporation Act, 1961 (Central Act 47 of 1961);
(b)'eligible co-operative bank' means a co-operative bank as defined in clause (gg) of Section 2 of the said Act;
(c)'Corporation' means the Deposit Insurance Corporation established under Section 3 of the said Act;
(d)'Reserve Bank' means the Reserve Bank of India constituted under the Reserve Bank of India Act, 1934; (Central Act 2 of 1934);
(e) all other expressions used in this Chapter but not defined shall have the meaning respectively assigned to them in the said Act.
Section 115B Special provisions applicable to eligible Cooperative Banks
Notwithstanding anything in this Act, the following provisions shall apply to an eligible co-operative bank, namely
(i) an order for the winding up, or an order sanctioning a scheme of compromise or arrangement or of amalgamation or reconstruction, of the bank may be made under the provisions of this Act only with the previous sanction in writing of the Reserve Bank;
(ii) an order of the winding up of the bank shall be made under the provisions of this Act, if so required by the Reserve Bank in the circumstances referred to in Section 13-D of the said Act;
(iii) if so required by the Reserve Bank in the public interest or for preventing the affairs of the bank being conducted in a manner detrimental to the interests of the depositors or for securing the proper management of the bank, an order shall be made under the provisions of this Act for the supersession of the committee of management or other managing body (by whatever name called) of the bank and the appointment of a special officer therefor for such periods not exceeding five years in the aggregate as may, from time to time, be specified by the Reserve Bank;
(iv) an order for the winding up of the bank or an order sanctioning a scheme of compromise or arrangement or of amalgamation or reconstruction or an order for the supersession of the committee of management or other managing body (by whatever name called) of the bank and the appointment of a special officer therefor made with the previous sanction in writing or on the requisition of the Reserve Bank shall not be liable to be called in question in any manner; and
(v) the liquidator or the insured bank or the transferee bank, as the case may be, shall be under an obligation to repay the Corporation in the circumstances to the extent and in the manner referred to in Section 21 of the Act.
CHAPTER 14 Miscellaneous
Section 116 Powers of Registrar to appoint supervisory staff
The Registrar may, by general or special order, appoint any person to exercise supervision over, and to assist in the working of any society or class of societies subject to such terms and conditions as may be prescribed. The person so appointed shall exercise such powers as may be prescribed and shall at all reasonable times, have free access to the books, accounts, documents, securities, records, cash and other properties belonging to, or in the custody of, the society and may also call for such information, statements and returns as may be necessary for the purpose.
Section 116A Constitution of common cadre of employees for certain Societies
(1) Notwithstanding anything in this Act, the Registrar shall have power to constitute a common cadre for the following posts, namely
(2) The classification and methods of recruitment, conditions of service, pay and allowances and discipline and conduct of the officers specified in sub-section (1) shall be such as may be provided by regulations to be framed by the Registrar.
Section 116AA Abolition of Centralised services for certain categories of employees
The common cadre for all categories of employees other than those specified in Section 116-A, constituted before the commencement of the Andhra Pradesh Co-operative-operative Societies (Amendment) Act, 1985 and existing at such commencement shall stand abolished with effect on and from the commencement, and upon such abolition, it shall be lawful for the Registrar, to allot, subject to such rules as may be made in this behalf, the employees included in the cadre so abolished to such Primary Agricultural Credit Societies as he may deem fit:
Provided that until they are allotted as aforesaid they shall continue in the posts in which they are working at the commencement of the said Act.
Section 116B Power of Government to give directions to societies etc
The Government may give directions, to a society or class of societies or an appointment committee constituted under Section 116-A to make provision,-
(a) for the reservation of appointments or posts under any such society in any cadre created under the said section in favour of, or
(b) for the grant of any special concessions in the matter of appointment to any such posts or cadre to, the Scheduled Castes, the Scheduled Tribes and Backward Classes and the society or appointment committee shall be bound to comply with such directions and to give effect to any provisions so made.
Section 116C Staffing pattern of societies
(1) A society shall have power to fix the staffing pattern, qualifications, pay scales and other allowances for its employees with the prior approval of the Registrar of Co-operative Societies subject to the condition that expenditure towards pay and allowances of the employees shall not exceed two per cent of the working capital or thirty per cent of the gross profit, in terms of actuals in a year whichever is less.
(2) No appointment or removal of a Chief Executive by whatever name called of any society, or class of societies as may be prescribed which are in receipt of financial aid from the Government, shall be made without the prior approval of the Registrar of Co-operative Societies.
Section 117 Delivery of possession of records and properties of a society
(1) Where a new committee is elected, or a committee is nominated or a person is appointed by the Registrar under Section 15-A or an Official Assignee appointed under Section 9-C or a person is appointed under Section 32, or the committee is superseded by the Registrar and a special officer or managing committee is appointed under Section 34, or where the society is ordered to be wound up and a liquidator is appointed under Section 65, and such new committee, person, special officer, managing committee, liquidator or official assignee is resisted in, or prevented from, obtaining possession of the books, accounts, documents, securities, cash and other properties, whether movable or immovable, of the society (hereafter in this section referred to as the records and the properties of the society') by the previous committee or superseded committee or by the society which has been ordered to be wound up or by a person who is not entitled to be in possession of the records and properties of the society, the Registrar shall, on application by the new committee, person, special officer, managing committee, liquidator or official assignee if satisfied, authorise in the prescribed form setting forth the reasons thereof, any officer subordinate to him, not below the rank of a Senior Inspector of Co-operative Societies, to enter, search, or break open any premises where such records and properties of the society are kept and to seize any such records and properties of the society and to cause delivery to the new committee, person, special officer, managing committee, liquidator of official assignee, of the records and properties of the society.
(2) For the purpose of the proceedings under sub-section (1) the authorisation aforesaid shall be conclusive evidence that the records and properties to which it related belong to the society.
(3) The officer authorised under sub-section (1) may take such police assistance as may be necessary for the said purpose and the expenses incurred under this section shall be borne from the funds of the society.
(4) The provisions of Sections 100 to 102 (both inclusive) of the Code of Criminal Procedure, 1973 (Central Act 2 of 1974) relating to searches and seizure shall apply, so far as may be, to searches and seizure under this section.
Section 118 Address of society
(1) 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.
(2) It shall keep affixed a sign board describing the name of the society on the outside of every office or branch thereof.
Section 119 Copy of Act, Rules, bye-laws etc., to be open to inspection
(1) Every society shall keep, a copy of this Act, the rules and the bye-laws, the last audited annual balance sheet, the profit and loss account, a list of the members and of the committee, open to inspection by its members, free of charge, at all reasonable times, at its office. It shall also permit every member to inspect such portions of the books and records in which the transactions relating to him have been recorded.
(2) A society shall furnish to a member, on request in writing, and on payment of such fees as may be fixed, a copy of any of the documents mentioned in sub-section (1) or extracts of the transactions relating to him with the society within thirty days from the date of payment of such fees.
Section 120 Power to summon witnesses and requisition documents
(2) The Tribunal, Registrar, the person, the arbitrator, the liquidator or the officer, as the case may be, referred to in sub-section (1) may require any person present before it or him to furnish any information or to produce any document forthwith in his possession or power and shall also have power to take, or to authorise the taking of such copies of the document, or of any entries therein as it or he may consider necessary. Copies so taken 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.
Section 121 Bar of jurisdiction of Court
(1) Save as otherwise expressly provided in this Act, all orders, refusals decisions or awards passed or directions issued or actions taken in accordance with this Act or the Rules made thereunder shall be final subject to the provisions for appeal, revision and review and no such order, refusal, decision, award, direction or action taken shall be liable to be called in question in any Court or Forum.
Section 122 Power to exempt societies from conditions of registration
Notwithstanding anything in this Act, the Government may, by special order and for reasons to be recorded therein 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.
Section 123 Power to exempt class of societies
The Government may, by general or special order and for reasons to be recorded therein, exempt any society or any class of societies from any of the provisions of this Act.
Section 124 Register of members
Any register or list of members or shares kept by any society shall be prima facie evidence of any of the following particulars 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.
Section 125 Proof of entries in society's books
(1) A copy of any entry in a book of a 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 liquidation shall, in any legal proceedings to which the society or liquidator is not a party, be compelled to produce any of the society's books or documents the contents of which can be proved under this section, or to appear as a witness to prove the matters, transactions and accounts therein recorded, except under order of the Court, or the arbitrator made for special cause.
Section 126 Notice necessary in suits
No suit shall be instituted against a society or any of its officers in respect of any act touching the constitution, management or the business of the society until the expiration of sixty days next after notice in writing has been delivered to the Registrar, or left at his office stating the cause of action, the name, description and place of residence of the plaintiff and the relief which he claims and the plaint shall contain a statement that such notice has been so delivered or left.
Section 127 Acts of societies not to be invalidated by certain defects
No act of society or any committee or of any officer of the society shall be deemed to be invalid by reason only of the existence of any defect in the organisation of the society or in the formation of the general body or the constitution of the committee or in the appointment or election of an officer or on the ground that such officer was disqualified for his office.
Section 128 Protection of acts done in good faith
No suit, prosecution or other legal proceedings shall lie against the Registrar or any person subordinate to him or acting on his authority or any nominee of the Government for anything which is in good faith done or intended to be done in pursuance of any provision of this Act or of any rule or bye-law made thereunder.
Section 129 Certain Acts not to apply
The provisions of the Companies Act, 1956, the Andhra Pradesh (Andhra Area) Shops and Establishments Act, 1948 and the Andhra Pradesh (Telangana Area ) Shops and Establishments Act, 1951, shall not apply to societies.
Section 129A Officers and employees to be public servants
The Registrar or any person authorised by him to recover any amount or to execute any orders issued or decisions taken under any of the provisions of this Act and every officer and employee of a society shall be deemed to be a public servant within the meaning of Section 21 of the Indian Penal Code, 1860.
Section 130 Power to make rules
(1) The Government, may, by notification published in the Andhra Pradesh Gazette, make rules for carrying out all or any of the purposes of this Act for the whole or any part of the State and for any class of societies.
(2) Every rule made under this section shall immediately after it is made, be laid before each House of the State Legislature if it is in session and if it is not in session, in the session immediately following for a total period of fourteen days which may be comprised in one session or in two successive sessions, and if, before the expiration of the session in which it is so laid or the session immediately following, both Houses agree, in making any modification in the rule or in the annulment of the rule, the rules shall thereafter have effect only in such modified form or shall stand annulled, as the case may be, so however that any such modification or annulment shall be without prejudice to the validity of anything previously done under that rule.
Section 131 Power of Government to give directions
(1) The Government may generally or in any particular matter under this Act, issue such orders and directions, which are in accordance with the provisions of this Act and in the interest of co-operative movement in the State as they may consider necessary to the Registrar and thereupon he shall give effect to such orders or directions and shall report to the Government in due course the result thereof.
Section 131A
x x x x
Section 132 Repeal and savings
The following Acts, namely
(1) The Andhra Pradesh (Andhra Area) Co-operative Societies Act, 1932.
(2) The Andhra Pradesh (Andhra Area) Co-operative Land Mortgage Banks Act, 1934.
Section 133 Act to override other laws
The provisions of this Act shall have effect notwithstanding anything inconsistent therewith contained in any other law.
Section 134 Power to remove difficulties
If any difficulty arises in giving effect to the provisions of this Act, the Government may after previous publication, by order make such provisions, not inconsistent with the purposes of this Act, as appear to them to be necessary or expedient for removing of the difficulty.
RULE:
Andhra Pradesh Co-operative Societies Rules, 1964
In exercise of the powers conferred by sub-section (1) of Section 130 of the Andhra Pradesh Co-operative Societies Act, 1964, the Governor of Andhra Pradesh hereby makes the following Rules, namely
Rule 1 Short title and extent
(i) These Rules may be called the Andhra Pradesh Co-operative Societies Rules, 1964.
(ii) They shall extend to the whole of the State of Andhra Pradesh.
Rule 2 Definitions
In these rules, unless the context otherwise requires
(a)'Act' means the Andhra Pradesh Co-operative Societies Act, 1964;
(b)'decree' means the order, decision or award in respect of any amount referred to in sub-section (1) of Section 70 of the Act;
(c)'decree holder' means any society or person including the Government holding a decree;
(d)'default' means failure on the part of the society, member or other person, to repay to the financing bank or any other society a loan or any other amount due to it within the time fixed for re-payment, or to return to the society within the time fixed, the finished goods in respect of raw-material advanced, or to keep any other obligation for the fulfilment of which a time limit has been specified in the bye-laws;
(e)'defaulter' means any society, member or other person committing default;
(f)'defunct society' means a society classified as defunct in the final audit by the Chief Auditor;
(g)'form' means a form appended to these rules;
(h)'owned capital' means the paid-up share capital, reserve fund and any other reserve which has been created out of profit and not withdrawable without previous permission of the Registrar;
(i)'person' includes the Government and a society;
(k)'Registrar of the district' means a person authorised by the Registrar to exercise, in the district or any portion thereof, powers of the Registrar under Section 70;
(l)'sale officer' means an officer of the Co-operative Department x x x x or an officer of any Co-operative Society empowered by Registrar by general or special order to attach and sell the property of defaulters or to execute decisions or orders of Registrar of the district or to execute or to carry out any other orders of Registrar of the district in regard to the attachment and sale of the property;
(m)'supervising union' means a society which has as its principal object, the organising, developing and supervising of societies which are its members, or the carrying on of propaganda or the spread of education in co-operative principles and practices;
(n)'training institute' means a society the main object of which is to conduct courses of training in theory and practice of co-operation and allied subjects;
(o)'working capital' includes such portion of the reserve fund, other reserves appropriated out of profits, paid-up share capital, loan, and deposits received by a society and debentures issued, by a society, as have not been locked up in buildings and other fixed assets;
(p)'benami loan' means a loan sanctioned on an application with forged signature and forged documents and also includes a loan sanctioned, but not disbursed to the person to whom it is sanctioned and in respect of which no demand is issued for payment.
Rule 2A Co-operative Principles
(i) A co-operative is an association of persons, united voluntarily to meet their common economic, social and cultural needs and aspirations through a jointly-owned and democratically controlled enterprise.
Rule 3 Procedure for Registration of a Society
(ii) Where the applicant is a registered society, a member of committee or president of such Registered Society shall be authorised by the committee by a resolution to sign the application and the bye-laws for registration on its behalf, and a copy of such resolution shall also be appended to the application.
(iii) The application shall be sent to the Registrar by registered post or delivered in this office in person.
(iv) Upon receipt of an application for registration of a society, the Registrar shall examine the application, the bye-laws and shall discuss with the applicants their responsibility for attainment of the objects of the society.
(v) The prescribed conditions of minimum membership and minimum share capital as specified by him have been fulfilled; and
(vi) The bye-laws adopted by the general body are not contrary to the provisions of the Act and rules framed thereunder;
(vii) He may make such alteration, as he may deem necessary, in the proposed bye-laws of the society.
(viii) If the Registrar is satisfied that the proposed society has complied with the above requirements, he shall register the society and its bye-laws.
(ix) Where the Registrar has registered a society under sub-rule (viii), he shall issue to such society, free of cost, a certificate of registration signed by him and bearing his official seal. He shall also issue to the society along with the certificate of registration, a certified copy of the bye-laws as approved and registered by him, which shall be the registered bye-laws of the society for the time being in force. A copy of the certificate together with a copy of the bye-laws shall be furnished to the financing bank concerned, if any.
(x) Where the Registrar is not satisfied, he shall pass an order of refusal together with the reasons therefor and communicate it by registered post with acknowledgement due to the applicants.
Rule 3A Transitory Provision for the Societies Provisionally Registered
Where a society has obtained a provisional registration under Rule 6 (now omitted) and the final registration is pending, such society shall file application for registration afresh as per these rules. Provided further that the provisional registration shall be valid for a period of 3 months with effect from the date of notification of this rule, after which the provisional registration shall automatically lapse.
Rule 4 Model bye-laws
(i) It shall be competent to the Registrar to frame model bye-laws for each class or classes of societies and to suggest modifications thereto, from time to time.
(ii) Such model bye-laws shall be adopted by a society with such modifications, if any, as may be suggested by the society and agreed to by the Registrar.
Rule 5 Subject-matter of bye-laws
The bye-laws of a society shall not be contrary to the provisions of the Act and rules and may dealt with all or any of the matters specified below and with such other matters incidental there to as may be deemed necessary by the society
(1) the name and address of the society;
(2) the area of its operation;
(3) the objects of the society ;
(4) the purpose for which its funds are applicable;
(5) the payment, if any, to be made or the interest to be acquired as a condition for exercising the right of membership;
(6) the nature and extent of the liability of the members for the debts contracted by the society;
(7) the circumstances under which the withdrawal from membership shall be permitted;
(8) the procedure to be followed in cases of withdrawal, ineligibility or death of members;
(9) the privileges, rights and liabilities of a non-member;
(11) the extent and conditions under which the society may receive deposits and raise loans and the procedure to be followed on such borrowings;
(12) the entrance and other fees and fines, if any, to be collected from members;
(13) the maximum loans admissible to a member and the conditionalities and procedure to be followed in granting loans, repayment or renewals thereof and in recovering loans from members subject to the terms and conditions imposed by the financing bank for such loans;
(14) the conditions under which loans and extensions of time for the repayment or renewal thereof may be granted to members;
(15) the terms on which society may grant loans to another society or the employees of the society;
(16) the consequences of default in payment of any sum due by a member;
(17) the method of appropriating payments made by members from whom moneys are due;
(18) the interest and dividend payable on paid-up share capital to members ;
(19) the policy regarding interest payable by the society on its borrowings and by the members on the loans granted to them;
(20) In the case of productive and distributive societies, the procedure to be followed in purchasing and selling stores, raw materials and finished products and in respect of stock-taking;
(21) The constitution and powers of the representative general body and the restrictions and conditions subject to which the representative body may exercise its powers;
(22) The manner of holding meetings, the right of voting at such meetings and the manner of making or amending of bye-laws;
(23) The constitution of the Committee, the appointment and removal of the other officers, and the duties and powers of the Committee and such officers, and the term, of office of the Committee and the manner of election of the members of the Committee;
(24) The method of recruitment, the conditions of service and the authority competent to fix, revise or regulate the scales of pay and allowances to be paid to the officers and servants of the society and the procedure to be followed in the disposal of disciplinary cases against them;
(25) The mode of custody and investment of funds and the manner of keeping accounts;
(26) The authorisation of an officer or officers to sign documents and to institute and defend suits and other legal proceedings on behalf of the society;
(27) Services available to the members and the minimum value of business to be transacted or minimum value of services or facilities to be utilised in a co-operative year by a member;
(28) The preparation and submission of the annual statements required by the Registrar and the publication of the same;
(29) The affiliation of a society to any other society and the charges to be paid in respect of such affiliation;
(30) The constitution and maintenance of various funds as required to be maintained under the provisions of the Act, rules, or bye-laws;
(31) Constitution of Supervisory Council;
(32) Admission of Minors as members for purpose of providing services or benefits to them, specifying the nature and extend of such benefits as permissible under the laws applicable to such minors;
(34) Quantum, Nature, Manner and extent of business to be transacted with non-members; and
(35) Manner of preparation and display of the list of members eligible to vote in General Body or in election.
Rule 6
Omitted
Rule 6A
Omitted
Rule 7 Change of form and extent of liability
(1) A society may, change its liability from unlimited to limited and vice versa or in terms of multiples of paid up share-capital.
(2) Subject to the provisions of Rule 8, the change of liability shall be effected by means of a resolution deciding to amend its bye-laws passed in this behalf at general meeting of the society indicating on clear terms the form and extent of the liability
Rule 8 Manner of giving notice in case of change of liability, transfer of assets, division, amalgamation or conversion, of a society
(1) Where a society is a member of federal society or is in receipt of assistance from a financing bank and intents to change the form or extent of liability under Section 11 or to transfer its assets and liabilities or to divide, amalgamate, or convert under Section 12, it shall obtain prior consent in writing of federal society or financing bank as the case may be.
(2) A copy of the resolution shall be sent by the society to all its members and creditors giving them thirty clear days notice in writing inviting them to exercise their option as required under Section 13.
(3) Every notice under sub-rule (2), shall be sent to its members and creditors under certificate of posting.
Rule 9
Omitted
Rule 10 Procedure for amendment of bye-laws
(2) A copy of the resolution agreeing to the amendment of the bye-laws shall be furnished to the Registrar within a period of thirty days from the date of the meeting at which the resolution was passed.
Rule 11 Procedure for direction by Registrar for amendment of bye-laws
(1) Where it appears to the Registrar that an amendment of the bye-laws of a society is necessary, he shall indicate the reasons therefor, and issue a notice calling upon the committee of such society to convene a general meeting to consider such amendment.
(3) Where a society files an objection to the proposed amendment, such an objection shall be duly considered by the Registrar and if the committee desires to be heard, it shall be given an opportunity of being heard. The Registrar may, after considering the representation of the society, register the amendment.
Rule 11A Procedure in regard to division, amalgamation or liquidation of a Society
The Registrar of Co-operative Societies shall publish the notification referred to in clause (e), sub-section (1) of Section 15-A and final order under sub-section (2) of Section 15-A by affixture in the office of the Divisional Co-operative Officer and in the respective offices of the Society or Societies affected by such division, amalgamation, liquidation or transfer of area and also in the Gram Panchayat and Mandal Revenue Offices situated in the area of operation of societies affected by such division, amalgamation, liquidation or transfer of area.
Rule 11AA Convening of General Body Meeting by Societies to consider the Notification issued by the Registrar under Section 15-A(1) and notice under Section 16(5) for adoption of Model Bye-laws
Notwithstanding anything contained in the bye-laws of the Society, the committee may convene the said general body meeting by affixing the notice in the office of the Society or branches if any, Panchayat Office and Mandal Revenue Office specifying the place, date and time.
Rule 12 Classification of Societies
(3) Every society shall be classified by the Registrar in accordance with sub-rules (1) and (2)
(4) The Registrar may subdivide any class of societies into categories with reference to the composition of their membership, the nature of business transacted by them or the goods handled by them or any other similar matter.
(6) If any question arises as to the classification of a society the question shall be referred to the Registrar whose decision thereon shall be final.
Rule 12A Societies for purpose of sub-section (2-A) of Section 19
Any person duly qualified for admission as a member under sub-section (2-A) of Section 19, may apply for membership of any of the following societies in Form J'.
(i) Agricultural Co-operative Societies,
(ii) Multi-purpose Co-operative Societies,
(iii) Service Co-operative Societies
(iv) Co-operative Rural Bank,
(v) Large-Sized Co-operative Societies
(vi) x x x x
(vii) Farmers Service Co-operative Societies,
(viii) Fishermen Co-operative Societies,
(ix) Industrial Co-operative Marketing Societies,
(x) Block Level Co-operative Societies
(xi) Primary Weavers Co-operative Societies,
(xii) Rural Electric Co-operative Societies.
Rule 13 Admission of minors as members in certain class of societies
Any person who has not attained the age of majority may be subject to such restrictions or limitations as may be applicable to a minor under the provisions of any law for the time being in force, be admitted as members and be eligible for services and benefits as provided for in the bye-laws of the societies concerned.
Rule 14 Admission of members into Co-operative Societies
The name of every person admitted as member under sub-section (3) of Section 19, shall be entered in the admission register by the Chief Executive Officer of the society or the President where there is no Chief Executive Officer and he shall issue a photo identity card to every such person, at the time of his admission duly attested in the form prescribed hereunder:
Photo
(a) Name of the Society
(b) Name of the Member
(c) Father/Husband's name
(d) Age
(e) Membership Number
(f) No. of shares held
(g) Whether belongs to SC/ST/BC/OC
(h) Signature of the Member.
(i) Seal of the Society and signature of the President/Chief Executive Officer.
Rule 14.1 Transitory Provision for existing associate or nominal members
Every society having associate member or nominal member shall admit such persons as members provided they otherwise satisfy the conditions of membership and are eligible to become members as per the Act and rules:
Provided that any associate member or nominal member admitted as such by a society is availing any benefit from the society or discharging any liability by virtue of his associate or nominal membership and who has not been made a member as provided in (1) above shall continue to be liable to discharge his/her obligation to the society till the loans borrowed or guaranteed by him or her are fully repaid or discharged and such person shall continue to be governed by the provisions of this Act and rules even though he/she is no longer a member of the society.
Rule 14A Transfer of shares of the members of Primary Agricultural Development Banks and admission of such members
(1) Notwithstanding anything in the Bye-laws of the Co-operative Central Bank, the bank shall transfer one share of each individual member of the erstwhile members of the Primary Agricultural Development Bank from out of the shares of such members of Primary Agricultural Development Banks developed on it to the Primary Agricultural Co-operative Society having jurisdiction where the immovable properties of the erstwhile members of Primary Agricultural Development Banks are situated, on application of the Co-operative Central Bank by such member.
Rule 15 Restriction on holding of shares
Where the liability of member of a society is limited by shares, no member, other than a society or the Government shall hold more than one tenth of the share capital of the society. (The Government in G.O. Ms. No.734, Industries (E) Department, dated 24th July, 1968 have fixed Rs.20,000 as the maximum share capital that can be held by any individual member of a Co-operative Sugar Factory except the Palacole Co-op. Agricultural and Industrial Society Ltd).
Rule 16 Nomination of heir
(1) A member may nominate in Form I any person or persons to whom, in the event of the death of the member, his share or interest in the profits or assets of the society shall be transferred, or the value thereof or any other moneys due to him from the society shall be paid. Such member may, from time to time, revoke or vary such nomination.
(2) The number of persons so nominated shall not exceed the number of shares held by the member.
(3) When a member nominates more than one person in respect of any shares held by him he shall, as far as practicable, specify the amount to be paid or transferred to each nominee in terms of a whole share.
Rule 17 Procedure to be adopted when no nomination is made
(1) If no nomination has been made by a member, the society shall, on the death of a member by a notice exhibited at the office of the society invite claims or objections for transfer of the share or interest of the deceased member to an heir or legal representative within the time specified in the notice.
(2) After considering the objections or claims if any, received in this behalf and after making such inquiries as the committee considers necessary, it shall decide as to the person who in its opinion is the heir or legal representative of the deceased member, and to proceed to transfer the share or interest of the deceased member to such person only.
(3) In case of payment of the value of the share or interest or other moneys due to the deceased member, the committee shall obtain sureties for the amounts involved in such payments from two members of the society.
Rule 18 Minimum business to be transacted or services or facilities to be utilised by a member of other societies
No member of a society, shall have the right to stand as a candidate or to vote in any election to the society, unless he transacts the minimum value of business or utilises the minimum value of services or facilites as prescribed in the bye-laws, during a co-operative year.
Provided further that a list of eligible members with right to vote and those without right to vote shall be prepared and displayed on the notice board of the society and branches prior to holding of any General Body meeting or holding of elections in the manner as laid down in the bye-laws;
Note Ineligibility to vote does not amount to ineligibility to attend and participate in the meeting.
Rule 19
xxxxx
Rule 19A
xxxxx
Rule 20 Removal of a member of a society who is disqualified
(1) If any person, who is admitted as a member of a society becomes disqualified under Section 21 to continue as such, the Registrar may, on his own motion or on a representation made to him by any member of the society or its financing bank by an order in writing, declare that he shall cease to be a member of the society from the date of such disqualification.
(2) Before passing an order under sub-rule (1) the Registrar shall give such person an opportunity to state his objection, if any, for the proposed action and if the person wishes to be heard, he shall be given opportunity to be heard. The Registrar's decision shall be final and binding on the society and it shall not be questioned in any Court.
Rule 21 Constitution of a representative general body
(1) A society with limited liability may, if its area of operation extends to one or more revenue taluks or if its membership exceeds two thousand and five hundred, provide in its bye-laws for the constitution of a representative general body.
(2) Where a society so provides in its bye-laws to constitute a representative general body, it shall with the previous approval of the Registrar, divide its members into different groups on a territorial or other basis.
Rule 21A Constitution, powers and functions of Supervisory Council
(2) The President of the Managing Committee shall be Chairman of the Council
(4) Chief Executive Officer of the society shall be the convenor of the meetings and he shall maintain records of deliberations and recommendations of the Council and place them before the Managing Committee and General Body for their consideration.
(5) Supervisory Council can request any Managing Committee member to attend meetings.
(6) The Supervisory Council will act in an honorary capacity.
(7) The Supervisory Council may also invite financial institutions or Apex level Federations/Non-Governmental Organisations or Government departments.
(8) The expert members of the Supervisory Council are entitled for Travelling Allowance/Daily Allowance to be fixed by the General Body.
(9) The Council shall meet once in 3 months in the head office of the society.
(10) No present or past employee of the society shall be a member of Supervisory Council.
Rule 21B Preparation of list of defaulters and its publication
(1) It shall be the responsibility of the Chief Executive Officer of the society to issue notices to all defaulters at the beginning of each half-year indicating the loan disbursed, amounts overdue, repaid and balance overdue (Principle and Interest separately) and indicate the date before which they should repay failing which their names shall be included in the list of the defaulters published and will be placed before the ensuing General Body.
(2) The Managing Committee before convening the General Body shall finalise the list of defaulters in descending order of the amount due and place it on the notice board of the society and at its branches and the names of defaulters shall be read out in the General Body with amounts due by them.” Also provided that if any member of the Managing Committee or the Board is a defaulter the Chief Executive Officer of the society or Chairman where there is no Chief Executive Officer shall inform the Registrar immediately so that the Registrar would take necessary action as per the Act and Rules.
Rule 22 Conduct of Elections to the Co-operative Societies
Notwithstanding anything in the bye-law of the societies election to the committee of all classes of societies, shall be in the manner laid down in this rule.
(6) Withdrawal of Nominations Any candidate may withdraw his candidature by notice in writing in Form-VI as appended to these rules signed by him and delivered in person to Election Officer within the period prescribed in the Election Notice. Such notice of withdrawal once given shall be irrevocable.
(7) Final List of Valid Nominations l list shall be prepared and published in alphabetical order in Telugu in Form VII duly allotting symbols to each candidate. Under the Telugu name the name in English or Urban language as the case may be shall also be written.
(8) The Ballot papers shall be prepared according to Form-VIII as appended to these rules.
(11) Election of President Notwithstanding anything contained in the bye-laws of the society, the election of the President of all classes of Primary Societies shall be by all the members of the society as provided under sub-section (5) of Section 31 of the Act.
(13) Custody of Record of Elections Conducted After declaration of the election result, the Election Officer shall handover the entire record including ballot papers put in sealed covers to the Divisional Co-operative Officer in the case of primary societies and the District Co-operative Officer in case of other societies. The record shall safely be preserved by the Divisional Co-operative Officer or by the District Co-operative Officer for a period of six (6) months from the date of election or till such time a dispute or an appeal thereof regarding elections, if any, filed is disposed off, whichever is later, and shall thereafter be destroyed after obtaining permission from the Regitrar.
(14) Election Expenses Every society shall bear the total expenses incurred for conducting of elections and those societies where Registrar conducts the election the expenses will be as prescribed by the Government or by the Registrar of Co-operative Societies from time to time. Where the Registrar conducts the elections, the Registrar shall calculate the expenses for the election and call upon the society to make payments within a period of forty five (45) days in advance.
Rule 22A Constitution of committee of certain societies
(2) The constitution of the committees of all other societies shall be in the manner as indicated in the bye-laws of the respective societies subject to any notifications issued by the Government under clause (b) of sub-section (1) of Section 31 of the Act:
(4) Allocation of seats In the case of Co-operative Societies specified in sub-rule (3), the Election Authority shall allocate the seats of the Committee to be filled up by election of members of Scheduled Castes, Scheduled Tribes, Backward Classes, and Women. The constituencies with largest number of voters belonging to Scheduled Castes, Scheduled Tribes, Backward Classes respectively shall be allocated to these categories. The remaining constituencies shall be filled up by open category members. For purpose of allocating seats of the committee to be filled by women among Scheduled Castes and open category members the constituencies with largest number of voters belonging to women from among the constituencies allocated to Scheduled Castes and open competition categories shall be allocated to scheduled caste women and open category women members: Provided that in the case of Co-operative Sugar Factories the constituencies having largest number of voters belonging to small farmers shall be allocated to by filled by members belonging to that category respectively: Provided further that wherein any constituency the members belonging to Scheduled Castes or Scheduled Tribes or Backward Classes are equal, such constituency shall be allocated in the same order of preference.
Rule 22AAA
xxxx
Rule 22B Mode of Election of Member of Committees of Weaker Section Societies or Societies having a small number of membership
(b) If there is any disturbance in conduct of poll then the Elections Officer shall stop the proceedings and shall send a report to the Election Authority who will then order for conduct of repoll on any other day to be specified by issue of notice. In such circumstances, where the polling was disturbed or where election authority is of the view that polling by show of hands is not possible, then the Election Authority may order for conduct of election by secret ballot. In such case, the procedure prescribed in the rules for conduct of elections by secret ballot shall be followed through secret ballot. Notwithstanding the above, if the outgoing Managing Committee of the society desires to conduct elections by secret ballot, it shall request the Registrar to conduct the election by secret ballot by submitting its proposal 60 days before the expiry of the term of the Managing Committee and the Registrar shall conduct the election by following the procedure as given in these rules.
Rule 22C
(b) The postponement shall be done only by issue of an order which shall specify the grounds of postponement. After such postponement the election process shall be re-commenced when the conditions become conducive for re-commencing of election, by issue of an order by the authority that has postponed the elections. The process will re-commence from the stage at which it was obstructed or interrupted.
Rule 22D Election of District Co-operative Central Bank/Apex Societies/Sugar Factories
xxxxx
Rule 23 Quorum for meeting
(1) Save as expressly provided in the Act, no general meeting shall be held or proceeded with unless there is a quorum as specified in the bye-laws provided that the bye-laws shall not specify quorum which is less than 1/5th of the total members.
(2) The quorum for a meeting of the committee shall be the majority of the total members of the committee.
Rule 23A Meeting called by Registrar
(1) The Registrar, may convene a General meeting of the society under sub-section (1-A) or under sub-section (5) (a) of Section 32, after giving due notice to the members, and date, time and place of the meeting and the subjects to be considered at the aforesaid meeting.
(3) The cost on account of publication of the notice in the local newspaper shall be met from the funds of the society.
Rule 23AA
For the purpose of clause (a) of sub-section (1) of Section 32 all Apex Co-operative Societies Rural Electric Co-operative Societies Sugar Factories and Spinning Mills shall be the class of societies.
Rule 23AAA
(1) Notwithstanding anything contained in the bye-laws of the society, the president may resign his seat by sending a letter of resignation by Registered Post or by tendering it in person to the Registrar and such resignation shall take effect from the date it is accepted by the Registrar.
(2) The powers and functions of the president shall devolve on Vice-President till election to the post of the President is held as per bye-laws.
(3) Notwithstanding any thing in the bye-laws of the society any member or members of the committee may resign their seats by sending a letter of resignation by Registered Post or by tendering it in person to the Chief Executive Officer/President of the society and such resignation shall take effect from the date it is accepted by the Managing Committee
(4) In the event of absence of the president for more than a period of three months or death of president of society, the powers and functions of the president shall devolve on the vice-president till election to the post of the president is held as per bye-laws.
(5) In the event of resignation of the entire Managing Committee or a majority of the Managing Committee, the Registrar of Co-operative Societies shall hold elections and till the new Managing Committee takes charge the Registrar may appoint person in-charge or direct the Managing Committee to continue to discharge their functions till the elections are held and the new Managing Committee takes charge.
Rule 23B Mode of service of notice of committee meetings
The Chief Executive or the senior Most Paid Employee, or where there is no paid staff, the President or the person authorised under the bye-law, of the society shall send notice of Committee Meetings to the Members of the Committee either by personal Service or by Registered Post Acknowledgment Due
Rule 24 Disqualification for membership of Committee
(4) Before passing a resolution under sub-rule 3(c) or 3(d) above the committee of a society shall give such person an opportunity to state his objections if any, to the proposed action and if the person wishes to be heard, he shall be given an opportunity to be heard. The General Body of such society shall through a resolution declare that a person shall cease to be a member of the committee of the society concerned from the date of the disqualification.
Rule 24A Meeting after receipt of no confidence notice
(1) As soon as the notice along with a copy of the motion expressing no confidence is received, the Registrar shall, notwithstanding anything in the bye-laws, convene a meeting of the committee.
(3) A copy of the notice shall also be affixed on the notice board of the society and also on the notice board of the Office of the Registrar: Provided that if the area of Society extends to more than one Panchayat or Mandal Office the notice shall be affixed in all Panchayat Offices or Mandal Offices.
(4) As soon as the motion of no confidence is carried against the President/Vice-President or against both the President and Vice-President simultaneously at one time, the Registrar shall declare the results of motion and immediately announce the date, time and place of election of the President/Vice-President as the case may be, for filling up the resultant vacancy or vacancies.
(5) Immediately after the announcement of result of motion of no confidence the President/Vice-President, as the case may be, shall not discharge any functions as President or Vice-President.
(6) If the President and Vice-President are removed simultaneously, the Registrar shall then draw lots among the members present excluding the members against whom the motion of no-confidence is carried. The candidate on whom the lot falls shall be the President or Vice-President for the interim period till regular election of President or Vice-President is held and when once elections are held they shall cease to function as President and Vice-President.
(7) The Registrar shall pass an order removing the President/Vice-President or both the President and Vice- President, as the case may be, within a period of three days from the date on which the motion of no confidence is carried under sub-rule (4).
(8) Notwithstanding anything contained in the rules and bye-laws of the society, the Registrar shall preside over the meeting. The quorum for such meeting shall be the majority of the members of the committee.
(9) The election of President/Vice-President shall be by show of hands.
(10) The nomination of the candidate for election shall be made at such meeting.
(11) If there is no contest the Registrar shall declare the candidate as elected as President/Vice-President and if there is a contest, a poll shall be taken. The Registrar shall read out the names of the contesting candidates for that office. He shall thereafter record the number of votes polled for each such candidate as the case may be. The Register shall announce the number of votes secured by each candidate and the result of election shall be recorded and attested by them.
(12) If an equality of votes is found to exist between any candidates, and the
addition of one vote will entail any of these candidates to be declared elected, the Registrar shall forthwith decide between these candidates by lot and proceed as if the candidate on whom the lot falls had received an additional vote and declare him elected and the result so declared shall be recorded and attested by him.
(13) The person so elected shall hold office for the residue of the term of his predecessor.
Rule 24B
Omitted
Rule 25 Terms of office of members of committees
The bye-laws of every society shall provide either that the term of office of all the members of its committee shall expire on the same date and at such yearly intervals as may be specified, or that a certain proportion of the members of its committee shall retire in each year on such date as may be specified. In the former case all the members of the committee, including those elected in casual vacancies whether representing societies or individuals shall vacate their office on the date specified, irrespective of the date on which they were elected as members of the committee. In the latter case, the members due for retirement in each year, including those elected in their places in casual vacancies, shall vacate their office on the date specified in that year.
Rule 26 Presidency at meeting
Every general meeting or the meeting of a committee shall be presided over by the President of the society, in his absence by the Vice-President thereof and in the absence of both the President and Vice-President by a member chosen by the meeting to preside for the occasion:
Provided that no person including the President or the Vice- President of the society shall preside over a meeting when matters in which he has personal interest including his election as member of the committee are to be discussed.
Rule 26A
The General Body of the Society shall not only deal with the specified matters under Section 30 of the Act, but the following matters shall also be in agenda compulsorily.
(a) Proceedings of the Supervisory Council.
(b) Report on the disqualification of members, Managing Committee members and the entire Managing Committee as the case may be.
(c) Consideration of defaulters and measures to be carried out in the matter.
(d) Utilisation of Co-operative Education Fund retained at the society level.
(e) Any directions issued by the Registrar, Reserve Bank of India, National Bank for Agriculture and Rural Development, Financing Bank etc.
Rule 27
x x x x
Rule 28 Officers and servants of societies
(1) No society shall appoint any person as its paid officer or servant in any category of service, unless he possesses the qualifications and furnished the security as specified by the Registrar, from time to time, for such category of service in the society or for the class of societies to which it belongs.
(2) All the existing societies with and without State aid shall, if not already approved, prepare service rules, with in 45 days from the day of enforcement of these rules and submit to the Registrar for approval, which, among others, shall include the following if already not done so, with regard to staffing pattern, scale of pay and allowances, method of filling of posts, qualifications, and rules regarding disciplinary proceedings and other service matters.”
(5) Notwithstanding any thing contained in the bye-laws/special bye-laws service regulations or common cadre regulations of the co-operative societies every paid servant and officer of the society other than those in the last grade service shall retire from service on the afternoon of the last date of the month on which he attains the age of 58 years;
Rule 29 Appointment of Secretary
Every financing bank, every credit society with limited liability and a working capital of not less than Rupees one lakh shall appoint a paid secretary. The paid secretary shall be disqualified for being appointed as, and for being a member of the committee of the financing bank, the society or the mortgage bank, as the case may be: x x x x
Rule 30 Term of office of Member of Committee who is a delegate of another society
A delegate of one society sitting on the committee of another society shall vacate his seat in such committee.
(a) if the society of which he is delegate becomes defunct or commits and continues to be a defaulter of a period exceeding three months.
(b) if the affairs of the society of which he is a delegate are ordered to be wound up; or
(c) if he resigns and
(d) if the society of which he is a delegate is deregistered.
Rule 31 Prohibition against being interested in contracts etc.
(2) No Officer or employee of a society shall purchase, directly or indirectly, any property of a member of the society brought to sale for the recovery of his dues to the society.
Rule 32 Declaration to be made creating a charge in favour of a society
(1) A member who applies to the society for a loan shall make a declaration in Form 'B' creating charge in favour of the society on land or other immovable property specified therein.
(2) Where a declaration made by a member creating a charge in favour of a society under sub-rule (1) or any variation or cancellation thereof made under sub-section (2) of Section 36 is sent to the Sub-Registrar having jurisdiction over the area in which the lands or other immovable property is situated he shall register or return such declaration or variation or cancellation within fifteen days from the date of receipt of declaration.
Rule 33 Remittance of the amount from salary or wages of a member and maintenance of register by an employer
(1) Where an employer makes a deduction from the salary or wages in pursuance of a requisition from society he shall pay the amount so deducted within seven days from the date of deduction of the amount to the society.
(2) When any amount is deducted under Sub-rule (1), an employer shall maintain a Register in Form 'C'.
(3) In respect of the Consumer Co-operative Stores, the entire gross salary or wages for the month or any portion thereof sufficient to clear of debt or other amount due by the member to the society may be deducted by an employer in pursuance of a requisition of a society and paid to it within the time specified in sub-rule (1).
Rule 34 Procedure regarding State aid to societies
(1) The Government may, subject to such terms and conditions as may be specified, subscribe directly to the share capital of a society.
(2) The Government may provide moneys to an apex society for purchase of shares in other societies.
(5) No shares shall be purchased in a society from out of the moneys of the Principal State Partnership Fund, or the Subsidiary State Partnership Fund, except with previous approval in writing of the Government.
(6) Where any shares are purchased in a society by the Government or by an apex society or a central society from the Principal State Partnership Fund, or the Subsidiary State Partnership Fund as the case may be the liability in respect of such shares shall in the event of the society being wound up be limited to the amount subscribed in respect of such shares.
(7) (a) If a society in which shares are purchased from the Principal State Partnership Fund by an apex society is wound up, the Government shall not have any claim against apex society in respect of any loss arising from such purchase, but the Government shall be entitled to any moneys received by the apex society in liquidation proceedings. (b) If a society in which shares are purchased from the Subsidiary State Partnership Fund is wound up, neither the Government nor the apex society shall have claim against the central society which purchased the shares in respect of any loss arising from such purchase, but the apex society shall be entitled to any money received by the Central society in liquidation proceedings and such money shall be credited to the Principal State Partnership Fund.
(12) Any account standing in the credit of the Principal State Partnership Fund, the Subsidiary State Partnership Fund, the Principal State Partnership dividend account and the Subsidiary State Partnership dividend account shall not form part of the assets of the apex society or the central society, as the case may be.
Rule 35
Omitted by G.O.Ms.No. 104, FandA (Leg.), Dt.24-1-70
Rule 35A Rates of honorarium
The Registrar shall fix the rates of honorarium for each class of Society.
Rule 36 Distribution of Profits
(1) No society shall utilise the net profit until the audit certificate is issued by the Chief Auditor or any person authorised in this behalf, and the amount of the net profits is arrived at for utilisation.
(3) The Andhra Pradesh State Co-operative Union shall frame regulation with the approval of the Registrar for the utilisation and administration of the Fund and such regulations may among other things provide for making any contribution to the National Co-operative Union of India.
(4) Every society shall deposit upto 10% and not less than 5% of its annual net profit as a bad debt reserve and shall utilise it only with the specific permission of the Registrar to meet unforeseen losses.
Rule 36A Co-operative Education Fund
(2) The amount as above shall be calculated based on the annual audit report or provisional accounts placed before the General Body. Where provisional accounts are not available the amounts shall be calculated as per the accounts of the previous year.
(3) The auditor should scrutinise the utilisation of fund and certify the same. The society shall submit the returns to the Registrar of Co-operative Societies showing details of the training programmes conducted.
(5) The Andhra Prdesh State Co-operative Union shall prepare annual budgets and formulate training and education programmes for development of co-operatives and co-operative movement particularly in the matters such a financial and business management in co-operatives, member education, awareness building on co-operatives principles and values and such like, according to the overall guidelines issued by the Advisory Committee and be responsible for implementation of the same.
Rule 36B Constitution of administrative and Contingent Fund
Every society by a resolution of the General Body shall open a separate account into which an amount not more than 30% of gross profit or 2% of working capital, whichever is less, as per the previous year financial statement, shall be credited and utilised for administrative and contingent expenditure. Failure to credit requisite amount to this fund, and or any excess expenditure over and above the limits fixed by the Act shall be specifically pointed out by the auditor and excess expenditure if any shall be a charge on the Managing Committee jointly and severally.
Rule 37 Object and investment of reserve fund
(1) A reserve fund maintained by a society shall belong to the society and is intended to meet unforeseen losses. No member shall have any claim to a share in it.
(3) No society whose reserve fund has been separately invested or deposited shall draw upon pledge or otherwise employ such funds, except with the sanction of the Registrar previously obtained in writing.
Rule 38 Disposal of reserve fund on winding up of a society
xxxxx
Rule 39 Investment of funds
xxxx
Rule 40 Restriction on borrowing by societies
A society may receive deposits and raise loans from persons or institutions who are not members provided that the amount borrowed from such persons and institutions together with the amount borrowed from members does not exceed the limit fixed, from time to time by Registrar for the society or for the class of societies to which it belongs.
Rule 41 Restriction on grant of loans
(1) No Society shall grant loans or make advances against the security of its own shares.
(2) Every society shall determine the mechanism of lending to its members. The General Body of Apex level societies or State level federation shall determine the maximum lending limit of a member in respect of such class of societies with which they are concerned.
(3) No agricultural credit society with unlimited liability shall grant loan for periods exceeding five years.
(4) In this rule, the term “short term loans” means a loan repayable from the sale proceeds of the next harvest as soon as it is realised or within one year from the date of the grant of the loans whichever period is longer.
Rule 41A Percentage of loans to small farmers etc
Subject to such directions as the Reserve Bank of India may give to Co-operative Banks in this behalf, Primary Agricultural Credit Societies, shall, during a co-operative year, disburse to small farmers as defined in the Explanation under cause (a) of sub-section (3) of Section 47 of the Andhra Pradesh Co-operative Societies Act, 1964, fifty per cent of the total amount borrowed by them from the Co-operative financial Institutions, for granting loans to their members during a co-operative year, so however that the amount of any such loans that may be granted to each of their members whether or not he is a small farmer, shall not in the aggregate exceed such amount or amounts as the Government may, from time to time, by notification in the Andhra Pradesh Gazette, specify in relation to the various classes of members and having regard to the purposes for which loans are required.
Rule 41B Issue of loans by means of a cheque
Every Society shall disburse amounts to any of its members exceeding Rs.1,000/- invariably by way of a cheque or a negotiable instrument such as a draft, pay order etc.
Rule 41C Sanctions of loans in certain cases
(1) If the Committee of an agricultural credit society fails to render service to the members within 7 days from the date of order issued under Sub-section (3) of Section 22 directing the Committee to render such service or if it is brought to the notice of the Registrar that the Committee is not sanctioning loans to the members without valid reasons, the Registrar shall direct the Chief Executive of the society or any other person authorised by him to process the loan applications of the members.
(2) The Chief Executive or the person authorised, notwithstanding anything in the Bye-laws, on such direction shall take immediate steps to forward relevant documents viz., credit limits, drawal, loan application etc., through the Registrar to financing Bank for sanction of loan.
(3) The Chief Executive of the Financing Bank shall take steps for arranging sanction of loans to the Agricultural Credit Society.
(4) The Chief Executive of the Agricultural Credit Society or the person authorised under sub-rule (1) shall disburse the loans to the members of the Agricultural Credit Society under the supervision of a person authorised by the Registrar.
(5) The Committee or the Chief Executive of the Society or the person authorised under sub-rule (1), shall prepare a list of borrowers showing the loans sanctioned to each member and affix such list on the notice board of the society.
(6) Every Primary Agricultural Co-operative Society, shall within 10 days after the close of every quarter, prepare a list showing the amounts due from members on the notice board of the society.
Rule 42 Transactions with non-members
No Society shall enter into any transaction with a person other than a member unless
(a) the bye-laws of the society permit it to enter into such transaction, and
(b) the previous sanction of the Registrar has been obtained by the society for entering into such transaction.
Rule 43 Maintenance of fluid resources by societies with limited liability
(2) The Registrar may, by general or special order, relax the form or the standards so fixed for a special period in case of any society or of any class of any societies.
Rule 44 Provident Fund
Every society shall implement the provisions of the Employees Provident Fund Act, 1952 to all its employees through the Regional Provident Fund Commissioner.
Rule 45 Statements and returns to be furnished by a society for audit of its accounts and issue of an audit certificate
(1) Every society including a society under winding up shall gets its accounts audited atleast once in a year by the Chief Auditor or the person authorised by him. The need to post such audit staff, the strength and the Agency shall be decided by the Chief Auditor keeping in view the guidelines and norms issued by the Government from time to time. The decision of the Chief Auditor shall be final and binding.
(3) The societies specified in the first proviso under Rule 46 shall submit a certificate in Form 'L' to the Chief Auditor or the person authorised by him.
(4) The Committees of the societies shall submit the statements, certificates and returns referred to in sub-rule (2) and sub-rule (3) to the Chief Auditor or to the person authorised by him, as the case may be, within the three months after the end of the co-operative year.
(6) All distributive and productive societies shall, in addition to the copies of the statement specified in sub-rule (2) submit at the end of every co-operative year to the Chief Auditor or the person authorised by him, a statement of verification of the stock on hand at the close of the co-operative year, in such form as may be specified by the Chief Auditor and within such time as he may direct.
(7) Every society shall, in addition to the statements specified in sub-rule (2), also submit to the Chief Auditor any statement or return of the nature similar to that described in sub-rule (2) in such form within such time and for such period as the Chief Auditor may specify.
(8) Where any society fails to submit any statements or returns specified in sub-rule (2), or sub-rule (6) or sub-rule (7) within the time directed by the Chief Auditor, he may depute an officer to prepare the necessary statement or return, and in such a case, it shall be competent for the Chief Auditor to determine the costs, with reference to the time involved in the work and the emoluments of the officer deputed to do it, and which the society concerned should pay to the Government in this behalf and to direct its recovery from the society.
Rule 46 Every society in receipt of State aid including a society under winding up or any other society which opts to get the accounts of the society audited through the Chief Auditor shall pay to the Government fees or costs for the audit of its accounts for each co-operative year as specified in the table below
Category Audit fee-prescribed
(1) Andhra Pradesh State Co-operative Bank Limited, District Co-operative Central Banks and agricultural Co-operative Credit Societies with Working Capital of Rs.1 Crore and above. (a) Full cost of Auditors deputed for concurrent and/or final audit where co-operative department auditors are deputed under Government Fundamental Rule 127 by the Chief Auditor.
(4) Where a society requests the Chief Auditor for stock verification, it shall pay to the Government a fee of Rs.200/- per day per head. Where stock verification involves travel whether within the State or outside the cost of travel and daily allowance shall be payable by society as per the Government rules applicable to such persons deputed for verification and also an honorarium of Rs.50/- per day per person to the person deputed.
Rule 47 Inquiry
(2) x x x x x
(3) x x x x x
Rule 48 Fees payable to Government for service rendered to society/person
Every society/person as the case may be shall pay the fees mentioned in the Table below in the nearest Government Treasury for the services rendered to it/him in respect of various services under the Act and the rules.
Rule 49 Procedure for arbitration and settlement of disputes
(1) A reference to the Registrar of any dispute under Section 61 of the Act shall be in writing.
(2) The period of limitation for referring a dispute touching the constitution, management or the business of a society to the Registrar under sub-section (1) of Section 61 of the Act shall be regulated by the provisions of the Limitation Act, 1963 as if the dispute is a suit and the Registrar, a civil Court : Provided that a dispute arising between the parties mentioned in clause (a) of sub-section (I) of Section 61, shall, where the dispute relates to any act or omission on the part of the Society or its committee, or any Past committee, any past officer, past agent or past employee, or the nominee, heirs or legal representatives of any deceased officer, deceased agent or deceased employee of the society be referred to the Registrar within six years from the date on which the act or omission with reference to which the dispute arose, had occurred.
(3) Where, on receipt of the reference of a dispute under sub-rule (1), the Registrar decides, under clause (c) of sub-section (1) of Section 62 of the Act, to refer it for disposal by an arbitrator, the reference shall be sent by Registrar to an arbitrator appointed by him in this behalf.
(4) The Registrar, the arbitrator or other person deciding the dispute shall record a brief note of the evidence of the parties and witnesses who attended and upon the evidence so recorded, and after consideration of any documentary evidence produced by the parties, shall pass a decision in accordance with justice, equity and good conscience, and such decision given shall be in writing. In the absence of any party duly summoned to attend, the dispute may be decided ex-parte.
(7) Where the decision is for the delivery of possession to a society of land resumed by it from a member for breach of conditions of the assignment, the society may apply to the Registrar of the district in which the land is situated for enforcement of the decision. On such application the Registrar of the district or sale officer empowered by him shall deliver possession of the land to the society or to such person as it may appoint to receive delivery on its behalf by removing, if necessary, any person bound by the decision who refuses to vacate the land.
(9) Any dispute referred to the Registrar under Section 61 of the Act, shall ordinarily be disposed of within a period of six months from the date of such reference.
Rule 49A Procedure regarding disposal of appeals by Tribunal
The proceedings of the Tribunal shall be summary and shall be governed as far as practicable by the provisions of the Code of civil Procedure, 1908 (Central Act V of 1908).
Rule 49B
A dispute relating to or in connection with any election to the office of the President of a Primary Society, a Committee, a member of a Committee or an officer shall be preferred to the Tribunal having jurisdiction over the place where the main office of the society is situated within one month from the date of declaration of results of such election and such dispute shall be disposed off within a period of four months from the date of filing of the dispute.
Rule 50 Mode of Service of summons
(1) Every summons issued under the Act shall be in writing, shall be authenticated by the seal, if any, of the officer by whom it is issued and shall be signed by such officer or by any person authorised by him in writing in that behalf. It shall require the person summoned to appear before the said officer at stated time and place, and shall specify whether his attendance, is required for the purpose of giving evidence, or to produce a document, or for both purposes, and any particular document, the production of which is required, shall be described in the summons with reasonable accuracy.
(2) Any person may be summoned to produce a document, without being summoned to give evidence, and any person, summoned merely to produce a document shall be deemed to have complied with the summons if he causes such document to be produced, instead of attending personally to produce the same.
(4) Where the serving officer delivers or tenders copy of the summons to the defendant personally or to an agent or other person on his behalf, he shall require the signature of the person to whom the copy is so delivered or tendered to an acknowledgement of service endorsed on the original summons.
(5) The serving officer shall in all cases in which the summons have been served under sub-rule (4), endorse or annex or cause to be endorsed or annexed, on or to the original summons a return stating the time when and the manner in which the summons was served and the name and address of the person if any identifying the person served and witnessing the delivery or tender of the summons.
(6) When the party to be summoned is a public officer or is a railway servant or local authority, the officer issuing the summons may, if it appears that the summons may be most conveniently so served send it by registered post prepaid for acknowledgement for service on the party to be summoned to the head of the office in which he is employed together with a copy of the summons to be received and endorsed on the original summons.
Rule 50A
xxxxx
Rule 51 Appointment of procedure to be followed and powers to be exercised by the liquidator
Where a liquidator is to be appointed by the Registrar under the sub-section (1) of Section 65 of the Act, the manner of appointment of, the procedure to be followed and the powers to be exercised by the liquidator shall be as follows:_
(a) The appointment of the liquidator shall be notified by the Registrar in the Andhra Pradesh Gazette;
(b) The liquidator shall, as soon as the order of winding up of the society has been made, publish by such means as he may think proper a notice requiring all claims against the society ordered to be wound up, to be submitted to him within two months from the date of publication of the notice. All liabilities recorded in the account books of society shall be deemed to have been duly submitted to him under this clause;
(d) The liquidator shall submit to the Registrar a quarterly report in such form as the Registrar may specify showing the progress made in the winding up of the society;
(e) The liquidator may empower any person, by general or special order in writing, to make collections and to grant valid receipts on his behalf;
(f) All funds in the charge of the liquidator shall be deposited in the Government Treasury or in the Post Office Savings Bank or with a financing Bank or such other bank as may be approved by the Registrar and shall stand in the name of the liquidator.
(g) The Registrar shall fix the amount of remuneration, if any, to be paid to the liquidator. The remuneration shall form part of the costs of liquidation which shall be payable out of the assets of the society in priority to all other claims. Such costs of liquidation shall be as fixed by the Registrar, from time to time , with the prior approval of the Government;
(h) The liquidator shall have power to call for meetings of members of the society ordered to be wound up;
(i) By the conclusion of the proceedings to wind up the society a general meeting of the society shall be called at which the liquidator or any person authorised by him by special or general order in writing in this behalf shall summarise the result of his proceedings and shall take vote as to the disposal of any surplus funds in the manner prescribed in sub-rule (2) of Rule 38;
(j) If any liability cannot be discharged by the liquidator, owing to the whereabouts of the claimants not being known or for any other cause the amount covered by such undischarged liability may be deposited in a financing bank and shall be available for meeting the claims of the person or persons concerned;
(k) A liquidator may, at any time, be removed by the Registrar and he shall on such removal be bound to hand over all the property and documents relating to the society to such other person as may be appointed as liquidator by the Registrar.
(l) the liquidator shall keep such books and accounts as may, from time to time, be required by the Registrar. The Chief Auditor may at any time cause such books and accounts to be audited;
(m) All the books and records of a society whose registration has been cancelled and the proceedings relating to the winding up of that society, may be destroyed by the Registrar after the expiry of three years from the date of cancellation of the registration of the society.
(n) All funds in the charge of the liquidator shall be deposited in the Government Treasury or in the Post Office Savings Bank or with a Financing Bank or with any nationalised or scheduled bank and shall stand in the name of the liquidator.
Rule 51A Fixation of remuneration of Official Assignee
(a) Remuneration of the official assignee shall be as fixed by Registrar in the appointment order; and
(b) Registrar shall be the prescribed authority for the purpose of Section 9(c).
Rule 52 Procedure in execution of decrees, decisions or orders
(1) Any decree-holder may apply to the Registrar of the district in which the cause of action arises for the execution of his decree after depositing the necessary costs on a scale fixed in this behalf. The Registrar shall, in case where the application for the recovery of any amount due under a decree or order of the civil Court, apply to the civil Court which passed the decree or order for the transfer to him of the said decree or order and the records specified in Rule 6 of Order XXI in the First Schedule to the Code of Civil Procedure and on receipt of such application the civil Court shall transfer them to the Registrar of the District. Where, in connection with the proceedings on an application under Section 70 of the Act, any person requires the issue of any process, or objects to any process issued or proposed to be issued or requires the adjournment of any proceedings or objects to any order passed, he shall pay such fees as may be fixed in this behalf. If the defaulter resides or the property to be proceeded against is situated in a district other than that in which the cause of action arose, the application shall be made to the Registrar of the district in which the cause of action arose who shall transfer the application to the Registrar of the district where the defaulter resides or other property is situated.
(3) The application shall be made in Form D and shall be singed by the decree-holder. The decree-holder may indicate whether he wishes to proceed in the first instance, against the immovable property mortgaged to the decree-holder or other immovable property or to secure the attachment of movable property. On receipt of application, the Registrar of the district shall verify the correctness and genuineness of the particulars set forth in the application with the records, if any, in his office, and prepare a demand notice in writing in duplicate in the form specified, by him in this behalf, setting forth the name of the defaulter, the amount due and forward it to a sale officer. If the defaulter resides or the property is situated outside the jurisdiction of the Registrar of the district to whom the application is made, such Registrar shall forward the application and the demand notice to the Registrar of the district in which the defaulter resides or the property is situated.
(6) Where the movable property to be attached is the salary or wages of a Government employee or an employee of a local authority or a firm or company the Registrar of the district may, on receiving a report from the sale officer, issue a requisition to the employer of such person to the effect that the amount shall, subject to the provisions of Section 60 of the Code of Civil Procedure, 1908 be withheld from such salary or wages either in lumpsum or by monthly instalments as the said Registrar may direct and upon the receipt of requisition, the employer whose duty is to disburse such salary or wages, shall withhold and remit to the sale officer, the amount due under the requisition either lumpsum or in the monthly instalment, as the case may be.
(10) Immovable property shall not be sold in execution of a decree unless such property has been previously attached : Provided that where the decree has been obtained on the basis of a mortgage of such property, it shall not be necessary to attach it.
(12) Where prior to the date fixed for a sale, the defaulter or any person acting on his behalf or any person claiming an interest in the property sought to be sold, tenders payment of the full amount due together with interest, batta and other expenses incurred in bringing the property to sale, including the expenses of attachment, if any, the sale officer shall forthwith release the property after cancelling where the property has been attached, the order of attachment.
(15) Where any lawful purchaser of immovable property is resisted and prevented by any person, other than a person (not being the defaulter) claiming in good faith to be in possession of the property on his own account from obtaining possession of the immovable property purchased, any Court of competent jurisdiction, on application and production of the certificate of sale, provided for by sub-rule (14) shall cause the proper process to be issued for the purpose of putting such purchaser in possession in the same manner as if the immovable property purchased has been decreed to the purchaser by a decision of Court.
(16) It shall be lawful for the sale officer to sell the whole or any portion of the immovable property of a defaulter in discharge of money due provided always that so far as may be practicable, no larger portion of immovable property shall be sold than may be sufficient to discharge the amount due with interest and expenses of attachment; if any, and sale.
(17) Where attachment has been made under these rules, any private transfer or delivery of the property attached or of any interest therein and payment to the defaulter of any debt, dividend or other moneys contrary to such attachment, shall be void as against all claims enforceable under the attachment. Explanation For the purpose of this sub-rule, claims enforceable under an attachment include claims for the rateable distribution of assets under sub-rule (25).
(18) Persons employed in serving notice or in other process under these rules shall be entitled to batta at such rates as may, from time to time, be fixed by the Registrar.
(19) Where the cost and charges incurred in connection with attachment and sale of movable property of the attachment and sale or sale without attachment of immovable property under this rule exceeds the amounts of the cost deposited by the decree-holder under sub-rule (1), such excess shall be deducted from the sale proceeds of the property sold or the money paid by the defaulter, as the case may be, and the balance shall be made available to the decree-holder.
(20) Every person making a payment towards any money due for the recovery of which application has been made under this rule shall be entitled to a receipt for the amount, signed by the sale officer or other officer empowered by the Registrar of the district in that behalf such receipt shall state the name of the person making the payment and the subject matter in respect of which the payment is made.
(23) Where any property has been attached in execution of a decree, but by reason of the decree-holder's default, the Registrar of the district is unable to proceed further with the application for execution he shall either dismiss the application, or for any sufficient reason adjourn the proceedings to a further date. Upon the dismissal of such application, the attachment shall cease.
Rule 53 Procedure in the distraint and sale of the produce of mortgaged and or any movable property under Section 103 and for the sale of mortgaged property under Section 104
xxxxx
Rule 54 Mode of making attachment before judgment under Section 73 of the Act
(1) Every attachment of property directed under Section 73 of the Act shall be made in the same manner as provided in Rule 52.
(2) Where a claim is preferred to property attached under sub-rule(1), such claim shall be investigated in the manner and by the authority specified in Rule 52
(4) Any attachment made under sub-rule (1) shall not effect the rights existing prior to the attachment, of persons not parities to the proceedings in connection with which the attachment was made, nor bar any person holding a decree against the person whose property is attached from applying for the sale of the property under attachment in execution of such decree.
(5) Where the property is under attachment by virtue of the provisions of this rule and a decree is subsequently passed against the person whose property is attached, it shall not be necessary upon an application for execution of such decree to apply for reattachment of the property.
Rule 55 Procedure for recovery of sums due to Government
The provisions of Rule 52 shall apply in regard to the recovery of any sum due to Government under Section 74 subject to the following modifications, namely_
(i) The Registrar of the district in which the cause of action arose, may on his own motion, take steps which he may deem suitable in the matter of such recovery in accordance with the provisions of the said rule, without any application having been made to him in that behalf under sub-rules (1) and (3) thereof.
(ii) It shall not be necessary to deposit any sum by way of costs as required by sub-rule (1) of the said rule.
(iii) It shall not be necessary for the sale officer to give the decree-holder previous notice, as required by clause (a) of sub-rule (5) of the said rule of the intention to service the demand notice on the defaulter and in default of payment to distrain his property. Nor shall the provision of that clause which empowers the sale officer to require the decree-holder to undertake the custody of the distrained property apply.
(iv) It shall not be necessary to send a copy of the attachment notice under clause (d) or to give notice of a proclamation of the sale under clause (e), to the decree-holder as required under sub-rule (11) of the said rules.
(v) The Registrar shall himself obtain the encumbrance certificate required to be furnished by the decree-holder under clause (f) of sub-rule (11) of the said rule.
(vi) The payments required to be made under sub-clause (b) of clause (i) of sub-rule (13) of the said rule shall be made to the sale officer on behalf of the decree-holder.
(vii) The application referred to in clause (i) of sub-rule (14) of the said rule shall be made by the sale officer on behalf of the decree-holder.
Rule 55A The provision of Rule 52 shall apply in regard to recovery of any sum due for recovery ordered under Section 60 subject to the following modifications, namely
(i) The Registrar of the district in which the cause of action arose, may on his own motion, take any steps which he may deem suitable in the matter of such recovery in accordance with the provisions of the said rule, without any application having been made to him in that behalf under sub-rules (1) and (3) thereof.
(ii) It shall not be necessary to deposit any sum by way of costs as required by sub-rule (1) of the said rule.
(iii) It shall not be necessary for the sale officer to give the decree-holder previous notice, as required by clause (a) of sub-rule (5) of the said rule of the intention to service the demand notice of the defaulter and in default of payment to distrian his property. Nor shall the provisions of that clause which empower the sale officer to require the decree-holder to under-take the custody of the distrained property apply.
(iv) It shall not be necessary to send a copy of the attachment notice under clause (d) or to give notice of the proclamation of sale under clause (e) to the decree-holder as required under sub-rule (11) of the said rules.
(v) The Registrar shall himself obtain the encumbrance certificate required to be furnished by the decree-holder under clause (f) of sub-rule (11) of the said rule.
(vi) The payment required to be made under sub-clause (b) of clause (i) of the sub-rule (13) of the said rule shall be made to the sale officer on behalf of the decree-holder.
(vii) The application referred to in clause (1) of sub-rule (14) of the said rule shall be made by the said officer on behalf of the decree-holder.
Rule 56 Application for review
(1) Every application for review under sub-section (2) of Section 78 of the Act, shall be made by any party within ninety days from the date of communication of the order passed under Section 76 or Section 77 of the Act.
(2) No final order shall be passed on such application unless notice has been given to all parties interested to make their representations.
Rule 57 Appointment of public enquiry officer and mode of dealing with loan applications
(1) An application for loan from Primary Agricultural Credit Societies/Co-operative Central Bank] shall be made in the form specified by the Primary Agricultural Credit Societies/Co-operative Central Bank and shall be addressed to the Secretary of the Primary Agricultural Credit Societies/Co-operative Central Bank. The form shall among other things contain a list of documents which are required to be furnished for the purposes of dealing with the application.
(2) The Secretary of the Primary Agricultural Credit Societies/Co-operative Central Bank or the Mandal Parishad Development Officer shall receive all loan applications from the intending borrowers.
(3) The application together with copies of necessary documents and the amount of fees specified by the Primary Agricultural Credit Societies/Co-operative Central Bank including the value of one share to be paid by the applicant shall be sent to the Secretary of the Primary Agricultural Credit Societies/Co- operative Central Bank or the Mandal Parishad Development Officer.
(4) On receipt of an application for loan, the Secretary of the Primary Agricultural Credit Societies/Co-operative Central Bank or the Mandal Parishad Development Officer shall put his initials on the application, mentioning his designation and the date of receipt of the application.
(5) After an application for loan has been received, the Secretary or the Mandal Parishad Development Officer shall verify whether it contains all the necessary particulars and accompanied by the necessary documents. If any details are lacking, he shall ask the applicant to supply the omissions within a specified time.
(6) All applications received shall be entered in chronological order in the register of applications for loans maintained by the mortgage bank and shall be dealt within the same order.
(7) After an application is entered in the register of applications for loan maintained for the purpose, the Secretary of the Primary Agricultural Credit Societies/Central Co-operative Central Bank] or the Mandal Parishad Development Officer shall forward it to the Co-operative Sub-Registrar or any other person specified from time to time by Registrar for the purpose of sub-section (1) of Section 98 of the Act (hereinafter in these rules referred to as the public enquiry officer). The Public Enquiry Officer shall give atleast eight clear days notice in Form E' calling upon all persons interested to make their objections to the loan, if any before the date specified therein. The notice shall be affixed at the Chavadi of the village or villages where the applicant resides and in the limits of which the land proposed to be improved or offered as security for the loan, is situated. A copy of the notice shall be exhibited in the office of the Primary Agricultural Credit Societies/Co-operative Central Bank concerned and it shall also be published by beat of drum in such village or villages. If any person interested fails to appear before the Public Enquiry Officer as required by the aforesaid notice, the question at issue shall be decided in his absence and such person will have no claim whatsoever against the property for which the loan applied for will be sanctioned till such time as the loan together with interest thereon or any other dues arising out of the loan are paid in full by loanee.
(8) The Public Enquiry Officer shall consider every objection submitted under sub-rule (7) and pass an order on it and then forward the application within two days of the disposal of the objections to the Primary Agricultural Credit Societies/Co-operative Central Bank concerned.
Rule 58 Maintenance of a register of societies
The Registrar shall maintain the following registers showing the names and addresses of all societies-
(2) a record of the bye -laws of each such society, with all subsequent amendments thereto, arranged, in the order in which the amendments are registered.
Rule 59 Accounts and other books to be maintained by societies
(1) A society shall keep and maintain such accounts, books and registers in connection with the business of the society, as the Registrar, may from time to time directs.
(3) In the case of Co-operative Societies, having paid Staff, the Chief Executive by whatever designation he is called and in case of all other societies without paid Ministerial Staff, the President shall be responsible for the custody and for maintaining or arranging for the maintenance properly and up-to-date the books, registers and accounts referred to in sub-rules (1) and (2).
(4) The Registrar may, by order in writing, direct the person who is responsible for maintaining the books and the accounts; to get any or all the accounts and the books required to be kept and maintained by the societies under this rule, written upto such date, in such form and within such time as he may specify. In case of failure of the person to do so the Registrary may depute an officer to write up accounts and books. In such case it shall be competent for the Registrar to determine the cost with reference to the time involved in the work of the officer deputed to do so. Such cost shall be recovered from the person responsible to maintain the books and accounts etc., of the society.
(5) Every society or group of societies together shall appoint a paid clerk to write the books, accounts and registers to ensure up-to-date maintenance of record.
Rule 60 Certifying copies of entires in books, documents etc.
(1) Every copy of an entry in the books of a society regularly kept in the course of business shall be certified by x x x the president or the secretary and shall also bear the society's seal and in case of a society which is being wound up by the liquidator.
(2) The charges to be levied for supply of such certified copies shall not exceed the amount specified in that behalf by the Registrar, from time to time.
(3) x x x x x
Rule 60A Certifying copies of document
Every copy of the document or of an entry in such document taken under sub-section (2) of Section 120 shall be certified in the following manner, namely I certify that the above is a true copy of the ..... true copy of an entry or entries .... and that I have compared the above with the original entry or entires in the ...... and found it/them to be correct. Signature of the officer or person authorised. Nature of the document to be specified
Rule 60B Procedure in regard to registration of documents executed on behalf of Agricultural Development Bank or Central Agricultural Development Bank
A copy of the instrument of mortgage executed in favour of an Agricultural Credit Society or Farmers Service Co-operative Society requiring registration duly certified by the Chief Executive of the society and when he is not on duty by the President of the society along with Supervisor of the financing bank shall be sent by the society to the Registering officer having jurisdiction within a period of fourteen working days from the date of execution of the instrument by registered post or through a messenger.
Explanation The Term agricultural credit society' shall mean an agricultural credit society as classified under explanation to clause (b) of sub-rule (2) of Rule 12.
Rule 61 Authentication of notice of process
Every notice of process issued under the Act or under these rules shall be in writing and shall be signed by such officer or by any person authorised by him in writing in that behalf and authenticated by the seal, if any, of the officer or person by whom it is issued.
Rule 62 Prohibition of the use of premises of a society
No society shall use or allow to be used. any premises or portion thereof, which is intended for its business, for any purpose other than such business or other activity relating thereto, without the specific permission of the Registrar:
Provided that a private dealer if not permitted by the Registrar shall not do business of similar nature done by such society within its premises.
Rule 63 Contribution to expenses connected with Co-operative conferences
(1) No society shall contribute any money towards the expenses of any Co-operative conference, unless such conference is held under the auspices of a society which is authorised by its bye-laws to undertake the holding of such conference.
(2) The society holding the conference shall keep separate accounts of the income and expenditure of such conference, and such accounts shall be subject to audit by the Chief Auditor or by some person authorised by him.
Rule 64 Payment of remuneration to members
A society other than a credit society, such as a co-operative stores, a weavers society, a milk supply society and a motor transport society may pay in accordance with its bye-laws and with the approval of the Registrar remuneration to its members based on the extent of business done by such members to the society or on the value of the services rendered by such members to the society or on such other basis as may be laid down in the bye-laws of the society for this purpose subject to a maximum of twenty-five per cent of the net profits :
Provided that motor transport society shall not pay as bonus to its member employees in any year an amount exceeding three months wages of salary;
Provided further that it shall be competent to a motor transport society to carry any balance that may remain out of the twenty-five percent of the net profits after having distributed bonus in a year, towards a bonus equalization fund to be drawn upon as provided in its bye-laws.
Rule 65 Authorisation for taking delivery of records and properties
The authorisation to be issued by the Registrar under Section 117, shall be in Form "K".
Rule 66 Restrictions on officers of society appearing as legal practioners
(2) Any such person who contravenes the provisions of sub-rule (1) shall cease to be the officer of such society.
Rule 67 Power to exempt a society or class of societies from the provisions of the rules
The Government may, by general or special order and for reasons to be recorded therein exempt any society or any class of societies from any of the provisions of these rules.
Rule 68 Membership of employees in certain classes of societies
xxxxx
Rule 69
Omitted by G.O.Ms.No.1630, F and A (Leg.) Dt.6-8-1968.
Rule 70 Board of Directors of Central Agricultural Development Bank to constitute a centralized service
(2) Subject to such rules and directions as may be made by the Government in this behalf the Board shall with the previous approval of the Registrar frame regulations providing for the fixation of the pattern of staff qualifications, pay scales and other allowances and service conditions of the employees.
(5) The inter-seniority of employees in the Centralised Service shall be determined by the Board.
(6) The Board or any other person or persons authorised in this behalf shall have power to issue direction or order for compliance by the Primary Agricultural Development Bank in regard to any posting, transfer, payment of salary, bonds or other emoluments, leave or other conditions of service of any employee and non-compliance of such order or direction shall be deemed to be an offence liable for such action or sanction against such Primary Agricultural Development Bank as deemed appropriate by the said authority.
(7) Notwithstanding anything contained in this and other rules in force an appeal shall be to the Commissioner for Co-operation and Registrar of Co-operative Societies against any decision or order of the Board.
Rule 70A Allotment of employees to Primary Agricultural Development Banks-Guidelines
(2) An employee on allotment to any Primary Agricultural Development Bank, in accordance with the procedure laid down in sub-rules (ii) and (iii) shall be deemed to be an employee of that Primary Agricultural Development Bank and shall be governed by its special bye-laws in regard to his/her service conditions accordingly.
(4) Notwithstanding the abolition of the Centralised service in respect of certain categories of posts the employees of such abolished categories shall continue to be governed by the Master policy for Group gratuity. F.B.S., F.P.S., Deposit linked Insurance, being the social security measures the Provident Fund/Trust administered by the A.P. Co-operative Central Agricultural Development Bank till such time they are transferred to the Primary Agricultural Development Banks.
(5) Notwithstanding anything contained in the foregoing rules it shall be competent for the recruiting agency and the Managing Director of the A.P. Co-operative Central Agricultural Development Bank to select and allot the successful candidates respectively from out of those who passed through written examination already held in March, 1985 to the various Primary Agricultural Development Banks, subject to availability of vacancies of the posts of supervisors.
(6) Notwithstanding anything contained in this and other rules in force, an appeal shall lie to the Registrar of Co-operative Societies against any decision or order of the Managing Director.
Rule 70AA
Notwithstanding anything in the bye-laws, no appointment or removal of a Chief Executive .................. by whatever name called, shall be made without the approval of the Registrar of Co-operative Societies in respect of the following classes of Societies
(1) All Apex Institutions
(2) Sugar Factories
(3) Spinning Mills
(4) District Backward Class and Scheduled Caste Societies
(5) Rural Electric Co-operative Societies
(6) The Andhra Pradesh State Co-operative Union
Rule 71 Service conditions of Common Cadre Employees under Section 116-A
The service conditions of Common Cadre Employees under Section 116-A, shall be governed by the existing regulations till they are modified by the rule made in this behalf by the Government.
Rule 72 Guidelines to allot decaderised Secretaries to the Societies
(5) Notwithstanding anything contained in sub-rule (4), until the allotments of the Secretaries is made to the Primary Agricultural Co-operative Societies as per the guidelines laid down in sub-rules (1) and (2), the Secretaries, for the purpose of disciplinary control, shall be governed by the Common Cadre Regulations existing prior to the abolition of the common Cadre of Secretaries of Primary Agricultural Co-operative Societies and the General Managers of the Co-operative Central Banks on a decision by the Registrar shall initiate action against the said Secretaries for lapses committed by them in the societies they are working after the decaderisation.
Rule 73 Transfer of employees of erstwhile primary agricultural Development Banks to the service of the District Co-operative Central Banks
Consequent on the abolition of the Primary Agricultural Development banks with effect from 1-4-1987, the Registrar shall transfer under clause (d) of sub-section (2) of Section 11 of the Andhra Pradesh Co-operative Laws (Amendment) Act, 1987 (Act 1 of 1987), the officers and employees of erstwhile Primary Agricultural Development Banks (including those under Centralised Cadre) to the service of the District Co-operative Central Banks concerned in which they are working as on the date of Notification of this rule. On receipt of such orders from the Registrar the General Managers of the District Co-operative Central Banks shall communicate the same to all the concerned employees of the erstwhile Primary agricultural Development Banks. Therefore the General Mangers of the District Co-operative Central Banks shall take the following action for integration of the services.
(ii) All the officers and employees of the erstwhile Primary Agricultural Development Banks, working as on the 1st April, 1987 be absorbed in the equated cadre posts in the District Co-operative Central Banks where they were working as on the 1st April, 1987. This will not apply to employees of erstwhile Primary Agricultural Development Banks already transferred by the Managing Director, Andhra Pradesh Co-operative Central Agricultural Development Bank after the 1st April, 1987 from one District Co-operative Central Bank to another or employees in respect of whom issues transfer orders on requests received by him before the 23rd April, 1993 keeping in view the guidelines issued by the Commissioner for Co-operation and Registrar of Co-operative Societies and they shall be absorbed in the District Co-operative Central Banks in which they joined later as per such orders. The total strength of each cadre in the District Co-operative Central Banks shall stand increased to the extent of the number of employees of Primary Agricultural Development Banks absorbed in the cadre. The posts of Assistant General Managers in the District Co-operative Central Banks shall stand increased by 107 posts i.e., equivalent to the number of posts of Managers of erstwhile Primary Agricultural Development Banks in the District as on the 31st March, 1987. These posts shall be filled in on the basis of common seniority of the Managers of District Co-operative Central Banks and the Managers and the Secretaries of the erstwhile Primary Agricultural Development Banks in the integrated cadre of Managers of the District Co-operative Central Banks duly observing the norms for promotions. The posts vacated by the 107 employees shall stand abolished on their absorption as Assistant General Managers. The revised integrated cadre strength of the District Co-operative Central Bank shall, however, be subject to revision according to any re-organised staffing pattern evolved for each District Co-operative Central Bank and also taking into account the legitimate business requirements of the District Co-operative Central Banks, interest margins available and viability of the District Co-operative Central Bank.
(iv) Future Promotions The future vacancies of Managers in the District Co-operative Central Banks shall be filled up by promotion from the common pool of Assistant Managers, Executive Officers, Engineering Supervisors or Accountants of erstwhile PADBs and Accountants of DCCBs on duly following service regulations and general norms governing the promotions and taking into account vacancies to be filled by direct recruitment. However, the Engineering Supervisors posts will cease either by promotion or retirement of the said personnel.
(vii) Disciplinary Control The Managing Committee of the District Co-operative Central Bank or the officer authorised by it, shall have power over the employees of erstwhile Primary Agricultural Development Banks transferred to the service of the District Co-operative Central Banks in respect of disciplinary action, transfers, promotions, sanction of leave etc., as per District Co-operative Central Bank Employees Service Regulations.
(viii) Continuity of Service The services rendered by the Officers and employees of erstwhile Primary Agricultural Development Banks upto and from 1-4-1987 shall be deemed to be service rendered in the District Co-operative Central Banks to which they were transferred.
(ix) Appeal Any person aggrieved by any order of the General Manger of the District Co-operative Central Bank may appeal to the Managing Committee of the District Co-operative Central Bank concerned and its decision shall be final and binding.
Rule 73A Andhra Pradesh State Co-operative Bank to disburse long term loans and make necessary arrangements
Consequent on the abolition of the Andhra Pradesh Co-operative Central Agricultural Development Bank by Section 2 of the Andhra Pradesh Single Window Co-opertaive Credit Structure at State Level Act, 1994 (Act 14 of 1994) the Board of the Andhra Pradesh State Co-operative Bank (successor Bank) shall have the power to make necessary administrative arrangements for the sanction and disbursal of the long term loans and other related functions.
Rule 73B Integration of services of the employees of erstwhile A.P.C.C.A.D. Bank with the employees of the APCOB
(2) Cadre Strength The staff strength of the integrated bank shall be as per the report of the Committee constituted for the purpose in G.O. Ms. No.930 A and C Department, dated the 18th July, 1994. In the case of promotions, if any, made by the Bank after 30th April, 1994 in the cadres of General Manager and common cadre Class-I and Class-II officers i.e., Deputy General Manager of Andhra Pradesh State Co-operative Bank/General Manager of District Co-operative Central Banks and Assistant General Manager of Andhra Pradesh State Co-operative Bank and Deputy General Manager of District Co-operative Central Bank in Short Term Wing and Assistant General Managers and Junior Officers in Long Term Wing pursuant to the Court Orders can be adjusted against the vacancies in the staff strength of the integrated Bank and it shall be treated as promotions on regular basis.
Rule 74
(2) If more than one employee opts for the same factory, the senior among them may be allotted in preference to the junior.
(3) An employee on allotment to any of the Co-operative Sugar Factories in accordance with the procedure laid down in clauses (i), (ii) and (iii) of sub-rule (1) and sub-rule (2) shall be deemed to be an employee of that Co-operative Sugar Factory and shall be entitled to receive the pay and allowances from the funds of the society.
(4) After the allotment is made, the employee shall be governed by the service conditions of the respective Sugar Factories and it shall be competent for the Sugar Factory to continue the pending disiplinary proceedings and impose punishments.
APPENDIX A Application for Registration of a Co-operative Society under the Andhra Pradesh Co-operative Societies Act, 1964
FORM
[Under Rule 3 ]
FORM A
[Under Rule 3 ]
Application for Registration of a Co-operative Society under the Andhra Pradesh Co-operative Societies Act, 1964
To
The Registrar,
.
.
Sir,
We the undersigned being eligible to become members, apply for the Registration of Co-operative Society with . liability, under the title of . having its registered office at . Mandal . District . and its bye-laws.
(2) We are enclosing two copies of the said bye-laws duly signed by us together with the following documents.
(a) a list of persons who have come forward to organise the society with their names and father's names, address and share amount and entrance fee contributed by them.
(b) a scheme showing the details, explaining as to the economic soundness of the society.
(c) a copy of the resolution authorising a member of the society to sign the application on behalf of the society in case the applicant is itself a registered society.
(d) the name and address of the person to whom correspondence regarding registration or other matter be addressed.
(3) We also declare that the information given above including the enclosures, is correct to the best of our knowledge and belief.
Witnesses : Signatures
1. 1.
2. 2.
3.
4.
5.
6.
7.
8.
9.
10.
CERTIFICATE
Certified that the society has deposited an amount of Rs. on in the bank towards share capital."
Signature of Bank Manager with Stamp.
SWORN STATEMENT BY APPLCANT
(Under Rule 3)
I, h/s/d/w/o Aged years residing at for the past years hereby declare that I do not possess any disqualification as specified under Section 21 of the A.P. Co-operative Societies Act, VII of 1964 and the rules framed thereunder. I also declare that I have read the Co-operative Societies Act, rules and the bye-laws and Iam familiar with the rights, duties and obligations of membership and am willing to discharge them to the best of my ability in the interest of the co-operative society and its members and the society at large, that I shall always strive to further the interests of the co-operative society and the co-operative movement in general and I shall not do any acts of omission or commission which will bring me, my society and the co-operative movement to disrepute.
Place:
Date:
Signature of the Applicant.
1. Witness with addressSignature
2. Witness with addressSignature
APPENDIX AA Applications for Final Registration of a Co-operative Society under The Andhra Pradesh Co-operative Societies Act, 1964.
FORM-
[Rule 6-A(1)]
FORM -AA
[Rule 6-A(1)]
Applications for Final Registration of a Co-operative Society under The Andhra Pradesh Co-operative Societies Act,1964.
To
The Registrar,
.
.
Sir,
We the committee members of the provisionally registered Society with . liability apply for the final registration of a Co-operative Society.
We are enclosing four copies of the said bye-laws as approved in the General Body Meeting held on duly signed by us together with the following documents:-
(a) a certificate in the following form from the Manager of the financing bank as required in clause (c) of sub-section (5) of Section 7.
(b) a list of names of members with their addresses, occupation and the amount of share capital, amount contributed by each of them and the entrance fee paid by them.
(c) a true copy of the minutes of the General Body of the society adopting the bye-laws duly signed by a majority of members of committee.
(d) the name and address of the committee members.
Signature of the Committee Members .
FORM
Certified that the Society has deposited an amount of Rs. on in the bank towards share capitals.
APPENDIX AAA FORM AAA
FORM-
(Rule 6-A (1))
FORM - AAA
(Rule 6-A (1))
To
The Registrar,
.
We, the members of the Committee of . Co-operative Society whose signatures are appended below propose to bring a motion of no-confidence against Shri. Son of .President/Vice-President of the . Society, Registration No. a copy of the proposed motion of no confidence duly singed by the members of the committee as required under sub-section (2) of Section 34-A of the Andhra Pradesh Co-operative Societies Act, 1964 is enclosed to this notice. The total number of elected members are . and the total number of members who signed this motion are .
We request you to convene a meeting for the consideration of the motion early.
Witnesses : Signatures and Addresses 1. 1. 2. 2.
APPENDIX B Declaration Creating Charge
FORM-(Rule 32)
FORM - B
(Rule 32)
Declaration Creating Charge
I. . (age) .) residing at..having been admitted to the membership of. with limited/unlimited liability and being desirous of borrowing loan from the Society/having borrowed a loan from the Society before making this declaration as required under Section 36 (1) of the Andhra Pradesh Co-operative Societies Act, 1964, that I own/have interest in ........... the land or other immovable property specified in the Schedule, and I hereby create a charge on the said land or property/ in such land or property in favour of the Society for payment of the amount of the loan which the society may grant/has granted and for all future advances, if any, which the society may make to me subject to the maximum amount of Rs. .............. together with interest at such rates as may be agreed to between me and the Society, from time to time, on such amount of the loan and advances.
SCHEDULE
Extent Boundaries Encumbrances if any Name of village Name of taluk Name of district Acres/cents Guntas Sourth, North, East, West Assessment Approximate value NatureAmount Remarks, if any (1) (2) (3) (4) (5) (6) (7) (8) (9) (10)
In witness whereof, I, Shri .hereunder set my hand this . day of . in the year one thousand nine hundred and .
1. .Applicants
Signature
2. .Borrower's
Attested by:
Forwarded to the Sub-Registrar of . (having jurisdiction over the area in which the land or other property is situated) with a request to register the particulars of the charge created under the declaration in the Registration Record and to return the declaration to the Society after its registration.
President,
( Signature )
.Society
Returned to the President .Society, Limited/Unlimited. The charge created under the declaration is duly registered in the Registration Record on the . day of . 19. The declaration is not in order for want of . And thereof not registered. Sub-Registrar.
APPENDIX C Register showing the deduction from salary or wages
FORM [See Rule 33(2)]
FORM C
[See Rule 33(2)]
Register showing the deduction from salary or wages
Name of the society Name of the employee from whom dues have to be recovered Demand indicating the date of demand and amount Date of recovery Amount recovered Date of remittance Amount remitted Challan No. and date of remittance or signature of the authorises representative of the society No. and date of the official printed receipt of the society Remarks (here enter the reasons for the difference if any, between the amounts in Cols.3 & 5) Initials of the drawing officer Initials of the Auditor (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12)
APPENDIX D FORM D
FORM-[See Rule 52 (3)]
FORM - D
[See Rule 52 (3)]
I .. (on behalf of the ..Co-operative Society), holder of a decree, decision or order obtained (by the said Society) for realisation of money, hereby apply for execution of the decree, decision or order, particulars of which are given in the Schedule annexed, under the provisions of Section 70 of the Andhra Pradesh Co-operative Societies Act, 1964.
1. Name of parties:
(a) Plaintiff.
(b) Defendant (hereinafter called the defaulter)
(c) In the case of an order, contributory (hereinafter called the defaulter.)
2. Date of decree, decision or order.
3. Whether any payment of adjustment has been made subsequent to the decree, decision or order If so,furnish details.
4. Previous applications, for execution if any, with date and result.
5. Amount with interest due on the decree, decision or order.
6. Against whom to be executed.
7. Manner in which the assistance of the Registrar of the District is required;
(for instance) I, pray that the total amount of Rs. .. together with interest on the principal sum upto the date of payment and the cost of taking out of the execution be realised by :-
(i) the sale of movable property;
(ii) attachment and sale of defaulter's immovable property as per annexed Schedule;
(iii) simultaneous attachment and sale of movable and immovable property of the defaulter, with reasons therefor.
I declare that what is stated herein is true to the best of my knowledge and belief.
Station:
Date :
Signature of the applicant.
SCHEDULE (to Form-D)
Statement showing particulars of decree, decision or order obtained by the applicant on behalf of the .. Co-operative Society .. taluk . district.
1. Admission No.
2. Name of the member.
3. Father's name
4. Residence of the member
5. Amount of decree, decision or order
6. Interest from the date of decree, decision or order to the date of filing the present application less any amounts received during the interval (give details)
7. Rate at which subsequent interest accrues
8. Relief Prayed :-Whether movable or immovable property is desired to be proceeded against first.
9. Description of immovable property to be proceeded against (Set-out full particulars of area, survey numbers, nature of land, rental value, capital value, etc.)
10. Interest of share of defaulter in the immovable property.
11. Encumbrances
12. Remarks.
APPENDIX E FORM E
FORM
[See Rule 57 (7)]
FORM - E
[See Rule 57 (7)]
Whereas Sri .. resident of has applied for a loan for purpose of .. (specify purpose) Primary Agricultural Credit Society and has proposed to offer as the security for the
loan, the lands mentioned below:
Lands in which improvement is proposed to be effected:
1. Name of the village
2. Survey No.
3. Area
4. Assessment
Land proposed to be effected as security:
1. Name of the village
2. Survey No.
3. Area
4. Applicant's portion
5. Assessment.
6. Boundaries.
North/South/East/West.
Notice is hereby given that objections if any, to the grant of loan from persons interest will be heard by the undersigned -
at ....
O'clock
on ....
19
at ....
Any person who wants to submit any objection should appear in person at the above-mentioned time and place before the undersigned together with any documents he wants to produce in support of his objection.
It is hereby notified for information of all persons interested that according to the provisions of Section 99 of the Andhra Pradesh Co-operative Societies Act, 1964, a written order by the Agricultural Development Bank or persons or committees authorised under the bye-laws of the Bank to make loans for all or any of the purposes specified in Section 85 granting either before or after the commencement of the said Act, a loan to or with consent of person mentioned therein, for the purpose of carrying out works specified therein for the benefit of the land or for the productive purpose specified therein, shall for purposes of the said 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 of productive purpose, as the case may be, within the meaning of Section 85;
(b) that the person had at the date of the order a right to make such improvement or incur expenditure for productive purpose, as the case may be; and
(c) that the improvement is one benefiting the land specified and productive purpose concerns the land offered in security, or any part thereof as may be relevant.
If any person interested fails to appear as required by this notice, the question at issue will be decided in his absence and such person will have no claim whatsoever against the property for which the loan is applied for will be sanctioned, till such time as the loan together with interest thereon or any other dues arising out of loan are paid in full by the loanee. Dated this .. day of ..19.
( Signed )
Deisgnation of officer .
Copy forwarded to the Village Munsif or other corresponding Officer village and the Agricultural Development Bank Ltd., with a request to affix this notice at the village Chavidi and at the office of the Agricultural Development Bank immediately and inform the undersigned accordingly.
APPENDIX 1 Election Notice
FORM
[See Rule 22(2)(b) (vi)]
FORM 1
Election Notice
[See Rule 22(2)(b) (vi)]
Rc.No. ..
Date: ..
From....To
(Name) .The President/Chief Executive Officer
(Designation) : ....
Election Officer of Co-operative Society.
.. .. .. .. (Society)
Sub :-Election of Co-operative Societies-Election to the Committee of....
(Name of Society) ........
(Revenue Mandal - Regarding.)
Ref:- Progs. Rc.No. .. Dated .. of the District Collector/Election Authority of ....District.
The District Collector/Election Authority ....
District has appointed me as Election Officer to conduct election to the committee of ....to the society in .... (Revenue Mandal) of .... (District) on ...... (Date)
The following is the election programme of the said society :
1. Name of the society, its registered No. and its registered office, or the class of society and the specified area.
2. Mode of Election (by secret ballot/show of hands).
3. Total No. of seats to be filled up by election and those reserved to be filled up by SC, ST, BC, Women and others.
4. Election of the President of all classes of Primary Societies, shall be by all members of the society, as provided under sub-section (5) of Section 31 of the Act.
5. Demarcation of constituencies for election of Managing Committee members and their reservation.
Sl. No. From To Constituency No. Voters list Reserved for(SC/ST/BC/Women/Unreserved) 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12.
6. The place or places, time and the date of poll :
7. Date, place and time between which nomination papers shall be filed and the fees to be paid therefor :
8. The date, time and place at which nomination papers will be taken up for scrutiny :
9. The date, time and place at which the final list of nominations shall be published :
10. The date, time and place for withdrawal of nomination (upto/before 5-00 p.m., of the following day on which the valid nominations are published) :
11. The date, time and place at which the final list of valid nomination after withdrawal shall be published :
12. The date, time and place at which the allotment of symbols to the contesting candidates are made :
13. The date, time and place at which the candidates will be declared as elected in case the list of valid nominations do not exceed the total number of seats for which elections are held :
14. Date, time and place at which the counting of votes will be conducted in case of contest : 15. Date and place for declaration of results of poll :
16. Date, time and place for co-option for the casual vacancies/unfilled vacancies of members of Managing Committees by Election Officer and also election of office bearers :
Signature
Seal of the Society(Election Officer)
APPENDIX 2 FORM 2
FORM-
[See Rule 22(2)(b)(vii)]
FORM - 2
[See Rule 22(2)(b)(vii)]
Nomination form for election as a member of the Committee of a society :
1. Name of the society :
2. Admission number and name of the candidate/society delegate :
3. Father's or husband's name :
4. Address :
5. Admission number and name of the proposer :
6. Signature or thumb impression of the proposer :
7. Admission number and name of the seconder :
8. Signature or thumb impression of the seconder :
CANDIDATES DECLARATION
I declare that I am willing to stand for election (as member of the Committee/as President) and that the best of my knowledge and belief I have not incurred any disqualification for membership of ommittee/President.
I here by declare that I belong to .. (sub-caste) which has been declared to be a .. (category) date .. (Certificate from Mandal Revenue Officer .... is enclosed)
Place :
Date :
Time :
Signature of the Candidate.
ACKNOWLEDGMENT
I acknowledge receipt of nomination form presented to me for contesting for Presidentship/member/Office bearer of the .. society on .. with ( ) enclosure at.. time along with nomination fee of Rs.. (Rupees....).
Signature of Election Officer
Seal...
APPENDIX 3 List of Nominations received
FORM 3
List of Nominations received
(See Rule 22(4)(e)]
Name of the Society ......
Date: ....
For the post of President/M.C. Member/Const. No./Category
Sl.No. Admission No. Name of the candidate Father's/husband's Name Address Name of the proposer Name of the seconder 1 2 3 4 5 6 7
Election Officer
APPENDIX 4 List of valid nominations after scrutiny
FORM
[See Rule 22(5)(f)]
FORM IV
List of valid nominations after scrutiny
[See Rule 22(5)(f)]
Name of the Society .
Date: .
For the post of President/M.C. Member/Const. No./Category
S.No. Admission No. Name of the candidate Father's Name Address 1 2 3 4 5
Election Officer
APPENDIX 5 FORM 5
FORM
FORM 5
List of invalid nominations for the post of.
[ See Rule 22(5)(f)]
Name of the Society ..
Date: .
For the post of President/M.C. Member/Const. No.
Sl.No. Name of the candidate Father's Name Village Constituency/area Category Reasons 1 2 3 4 5 6 7
Election Officer
APPENDIX 6 Notice of withdrawal
Form
[See Rule 22 (6)]
Form 6
Notice of withdrawal
[See Rule 22 (6)]
Date:
To
The Election Officer
..
Society,
Sir,
Sub :-Elections - Withdrawal of nomination - Reg. ..
I am to state that, I have filed nomination for the post of President /Managing Committee Member for the constituency No for the elections scheduled to be held to the Managing Committee of society on Now, I wish to withdraw my nomination from the contest and request to accept my withdrawal and delete my name from the list of contestants.
Witness : Your's faithfully. 1. Proposer : Name: Admission No. 2. Seconder : Signature.
APPENDIX 7 Final list of valid nominations after withdrawal of nominations
Form
[See Rule 22(7)]
Form 7
Final list of valid nominations after withdrawal of nominations
[See Rule 22(7)]
Name of the Society ....
Date: ..
For the post of President/M.C. Member/Const. No.
S.No. Admission No. Name of the candidate Symbol Allotted 1 2 3 4
Election Officer
APPENDIX 8 Form 8
Form
[See Rule 22(8)]
Form 8
[See Rule 22(8)]
(Proforma Ballot Paper)
For the post of President For the post of M.C. Member/Constituency No.
S.No. S.No. 1. Name (Symbol) 1. Name (Symbol) 2. 2. 3. 3. 4. 4. 5. 5. 6. 6. 7. 7. 8. 8. 9. 9. 10. 10.
APPENDIX 9 Appointment of an Agent
Form 9
Appointment of an Agent
[See Rule 22(9)(b)]
To
The Election Officer,
..Society
..
..
Sir,
Sub :-Elections - Request for appointment of agent - Reg.
I am to inform that, I am the contesting candidates for the post of President / M.C. Member for constituency No. .. of the elections scheduled to be held on .. to the Managing Committee of.. Society.
I request to appoint Sri.. as my polling agent at Booth No. .. and issue an agent pass.
The signature of the said polling agent is attested hereunder:
Your's faithfully,
Name:
Signatures of the agent
// Attested//
Signature:
Name :
Admn. No:
Signature of the Candidate
Candidate for the post of President the Managing Committee/Member.
APPENDIX 10(A) Declaration by Voter
Form
[See Rule 22(9)(j)(ii)]
Form 10(A)
[See Rule 22(9)(j)(ii)]
Declaration by Voter
I, Sri S/o R/o do hereby declare that I am the bona fide member of Co-operative Society
Signature:
Name :
Decision by Election Officer/Presiding Officer
Signature Election Officer/Presiding Officer
APPENDIX 10(B) Tendered Votes List
Form
[See Rule 22(9)(j)(iii)]
Form 10(B)
Tendered Votes List
[See Rule 22(9)(j)(iii)]
Name of the Society ..
Date: .
Const. No. .
Sl.No. Name of the Member/Voter Admn.No. Sl.No. in the Voters list Constituency No. Signature or Thumb impression of Voter 1 2 3 4 5 6
Election Officer
APPENDIX 11 Ballot Paper Account
Form
[See Rule 29(9)(k)]
Form 11
Ballot Paper Account
[See Rule 29(9)(k)]
Name of the Society .
Date: .
For the post of: President/ M.C. Member / Const. No.
Sl.No. Ballot Papers Received Used Balance 4-(7+10+13)
Issued to voters Tendered Spoiled From To Total From To Total From To Total From To Total From To Total 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16
Election Officer
APPENDIX 12 List of successful candidates
Form
[See Rule 22(10)(b)]
Form - 12
List of successful candidates
[See Rule 22(10)(b)]
Name of the Society
Date:
For the post of: President/ M.C. Member / Const. No.
S.No. Admission No. Name of the candidate No. of valid votes secured 1 2 3 4
Total No. of Valid Votes:
Total No. of rejected votes:
I do hereby declare that the following candidate/candidates/ have been duly elected as President/Member of the Committee of the.
S.No. Name of the candidate No. of votes secured 1 2 3
Signature of Election Officer.
APPENDIX 13 Notice to the Members of the Managing Committee
Form -
[See Rule 22 (12) (b)]
Form - 13
Notice to the Members of the Managing Committee
[See Rule 22 (12) (b)]
Notice of the Election Officer . Society . Mandal . District . under Rule 22(12)(b) of Andhra Pradesh Co-operative Societies Rules, 1964.
Present: Sri . Election Officer Rc. No.
Date: .
Sub :-Elections - Co-operative Societies - Election of Office bearers, to the Society - convening meeting of Managing Committee for the purpose - Notice to the President and Members of the Managing Committee - Issued.
Ref :-Elections held on . where election to the members of the Managing Committee of .Mandal in . District was held on ..
Whereas, for election of the office bearers of the Society, a meeting of the elected members is proposed to be convened, and as such notice is hereby given to the following elected members to attend the meeting at the office of the ...Society on.at ..a.m., for election of the officer bearers other than the President.
Election Officer.
To
Sri /Smt.
1. .Directly elected President
2. .Elected Member
3. . Elected Member
4. . Elected Member
5. . Elected Member
6. .Elected Member
7. .Elected Member
8. .Elected Member
9. .Elected Member
10. .Elected Member
11. .Elected Member
12. .Elected Member
13. .Elected Member
APPENDIX I FORM I
FORM-
[See Rule 16 (1)]
FORM I
[See Rule 16 (1)]
[Added by G.O.Ms.No.2804, F & A (Leg.), Dt.24-11-1965]
I ...son of/wife of .. member No. . of the .do hereby nominate the following as the person/persons to whom my share capital or interest in the capital of .society shall be transferred or the value thereof or any other sum payable to me shall be paid in the event of my death.
Name of the nominee Age on the date of nomination Relationship to the member Occupation Address (1) (2) (3) (4) (5) 1. 2. 3.
In witness whereof, my hand, this day of one thousand nine hundred and
Signature of witness
Address
Signature of the share-holder.
Signature of witness:
Address
APPENDIX J Application for Membership
FORM
[See Rule 12-A]
FORM J
[See Rule 12-A]
Application for Membership
(To be presented by the applicant in person or by Registered Post)
To
TheSociety/Bank through the Registrar.
Taluk
1. Name of the applicant
2. Father's name
3. Age
4. Residence
5. Occupation
6. Whether holding lands within the area of operation of the Society/Bank specify.
As ownerAs tenant
-----------------------
Dry Wet.Dry Wet
Hectares.Hectares
7. Whether adjudicated as an insolvent or undercharged insolvent
8. Whether sentenced for any offence involving moral turpitude and if so, date of the sentence.
9. Whether a paid employee of the society or; of its financing bank.
10. In the case of answers to items 8 and 9 being in the affirmative, are you protected by sub-section (2) of Section 21.
11. Whether expelled from membership of the society. If so the date of expulsion.
12. Whether carrying on business of money lending i.e., lending money or small advances in cash or kind or has issued loans or made advances exceeding Rs.100 (to each individual) to 5 individualist the year.
13. Do you satisfy requirements to become a member as per the bye-laws of the society
14. Whether tendered amount as specified by the Registrar..Rs. Ps.
(a) Minimum share capital
(b) Entrance Fee
15. Mode of tender of payment:
(a) If by Money Order specify the M.O. Receipt No. Date and Name of the Post Office.
(b) If paid into Co-operative Central Bank or its Branch specify the Bank Challan No. date and name the Co-operative Central Bank or Branch.
I hereby declare that the facts stated above are true to the best of my knowledge and belief.
Signature of L.H.T. Impression of the applicant.
Witnesses:..Date
1. Signature -
Name -
Father's name -
Age -
Residence -
2. Signature -
Name -
Father's name -
Age -
Residence -
Date of receipt in the office of the Registrar whether in order, if not specify the defect and indicate date of return.
Endorsement of the Registrars Application
ACKNOWLEDGMENT
(Prescribed under Rule 12-A of the Andhra Pradesh Co-operative Societies Rules
to be issued by the Society.)
Received the application of Sri. . resident of . for admission as a member of the . Society through the 1 (Registrar) . along with the M.O.Receipt/Bank Challan for Rs. Registrar.
RECEIPT
Original Duplicate Receipt No. . Receipt No. . Date . Date . This is to acknowledge the receipt of an Application in duplicate presented by Sri . son of aged resident of for admission into the society. This is to acknowledge the receipt of an Application in duplicate presented by Sri . son of aged resident of for admission into the society. Registrar Registrar
APPENDIX K FORM K
FORM
(See Rule 65)
FORM K
(See Rule 65)
Form of authorisation issued by the Registrar under Section 117 of the Andhra Pradesh Co-operative Societies Act, 1964 (Act 7 of 1964)
Whereas a committee/person/persons of the Society No..in the..district has/have been elected/nominated, under the Section 15-A/and that the committee consist of the following persons namely..
Whereas the following person/persons has/have been appointed under Section 32(7) of the Andhra Pradesh Co-operative Societies Act,1964 (Act 7 of 1964) to manage the affairs of the ................. Society No. ..in the....district in Registrar's Proceedings No. ..dated ..with effect from..
Whereas the committee of the ..Society, No. ..in the ....................... district has been superseded under Section 34 of the Andhra Pradesh Co-operative Societies Act, 1964 (Act 7 of 1964) in Registrar's Proceedings No. ..dated with effect from and that Sri. ....Special Officer/the managing committee consisting of the following persons has been appointed in these proceedings :-.......... .....................
Whereas the ..society No..in the ....district has been ordered to be wound up under Section 64 of the Andhra Pradesh Co-operative Societies Act, 1964 (Act 7 of 1964) in Registrar's Proceedings No. ..dated .. with effect from ..and that Sri ..has been appointed as the liquidator. And whereas the new committee/person/Special Officer/managing committee/liquidator has applied that it is resisted in or prevented from, obtaining possession of the records and properties of the societies; And whereas I am satisfied that such resistance or prevention continues to exist;
2. Now, therefore, I ..in exercise of the powers conferred by Section 117 of the Andhra Pradesh Co-operative Societies Act, 1964 hereby authorise Sri ..to enter, search or break open any premises where such records and properties of the society are kept and to seize any such records and properties of the society and cause delivery of the said records and properties to the new committee/elected/nominated person/persons appointed under Section 15-A, person/persons appointed under Section 32, Special Officer/Managing Committee appointed under Section 34 liquidator appointed under Section 65.
APPENDIX L FORM L
FORM
(See Rule 45 (2))
FORM L
(See Rule 45 (2))
This is to certify that the Co-operative Society Limited, Register No. Village/Town District has maintained all the books of accounts as prescribed for year 19 to 19and closed the cash book with all adjustment entries and the ledgers duly reconciled as on ... The society shall also prepare and submit their final statements of receipts and payments, profit and loss and BalanceSheet by the time of Audit is taken for the year 19.... Given under the seal of the society on 19
Seal of the society President.
Andhra Pradesh Co-operative Sugar Factories and Co-operative Spinning Mills (Special Provisions) Rules, 1997
Andhra Pradesh Co-operative Sugar Factories and Co-operative Spinning Mills (Special Provisions) Rules, 1997
Rule 1 Short title
These rules may be called the Andhra Pradesh Co-operative Sugar Factories and Co-operative Spinning Mills (Special Provisions) Rules, 1997.
Rule 2 Definitions
In these rules, unless the context otherwise requires :-
(a)"Majority of Shares" means share value exceeding 50% of the total value of shares or exceeding 50% of number of shares in the societies as on the 28th September, 1996 i.e., the date of the publication of the Andhra Pradesh Co-operative Societies (Amendment) Act, 1996 (Act No.22 of 1996).
(b)"Committee" means the governing body of a society by whatever name called, to which the management of the affairs of the society is entrusted and includes Committee appointed under Section 31 (1)(a), or the Committee of Persons-in-Charge appointed under Section 32 (7)(a) and Special Officer or Special Officers Committee appointed under Section 34 of the Andhra Pradesh Co-operative Societies Act, 1964 (Act 7 of 1964).
(c)"Sick Co-operative Society" means, the Co-operative Sugar Factory or a Co-operative Spinning Mill which falls within the definition of a sick company as given in the Sick Industrial Companies (Special Provisions) Act, 1985.
(d)"Registrar" means Director/Commissioner for Sugars and Cane Commissioner in the case of Co-operative Sugar Factories and Director/Commissioner for Handlooms and Textiles in the case of Co-operative Spinning Mills. and Special Chief Secretary or Principal Secretary or Secretary to Government, Public Enterprises Department in respect of Co-operative Sugar Factories and Co-operative Spinning Mills under the administration control of Public Enterprises.
(e)"Act" means, the Andhra Pradesh Co-operative Societies Act, 1964 (Act 7 of 1964).
Rule 3 Transfer of assets or its assets and liabilities
Wherein the opinion of the Registrar of Co-operative Sugar Factory or a Co-operative Spinning Mill in which majority of shares are held by the Government is or has become sick and that there is no possibility to rehabilitate the same, he shall prepare a scheme to give effect to the transfer of assets or its assets and liabilities of the Co-operative Sugar Factory or Co-operative Spinning Mill.
Rule 4 Scheme for Transfer of Assests and Liabilities
The Scheme shall specify in particular the manner in which the asset and liabilities of the society proposed to be transferred is to be dealt with and the terms and conditions of the transfer of assets and liabilities.
Rule 5 Committees to advise the Registrar
It shall be within the competence of the Registrar to constitute Committee of persons having technical expertise and experience to assist and advise him for the purpose of :
(a) formulating terms and conditions for the transfer of assets or its assets and liabilities of the societies;
(b) assessing the value of the assets or its assets and liabilities of the societies;
(c) discharging of the liabilities; and
(d) any other matter for which Registrar thinks it necessary to receive technical assistance.
Rule 6 Dividing Tenders
The Registrar shall call for tenders/offers after giving wide publicity in order to decide the society, the company, firm or body incorporated or not, to which the assets or its assets and liabilities are to be transferred so as to get the best possible offer and to protect the interests of the shareholders and the Financing Banks to which the society is indebted. The Registrar will ensure that the process for calling for tenders/offers is in conformity with the existing laws. He will then identify the Co-operative Society or a Company or a firm or a body whether incorporated or not for the purpose of transfer of *[assets or its assets and liabilities] of the sick Co-operative Sugar Factory or sick Co-operative Spinning Mill.
Rule 7 Notice
The Registrar shall then consult the Government and the financing bank by communicating a report on the scheme and the details of the Co-operative Society or Company or Firm or body whether incorporated or not, and after taking the views of the Government and Financing Banks as set out in Section 12-A (1)(a) of the Andhra Pradesh Co-operative Societies (Amendment) Act, 1996 (Andhra Pradesh Act No.22 of 1996), he shall call upon the Committee of the Co-operative Sugar Factory or Co-operative Spinning Mill, as the case may be by notice in writing along with the report, and other particulars to explain within 15 days of receipt of the notice as to why the assets or its assets and liabilities should not be transferred to any of Co-operative Society or company or firm or body whether incorporated or not as identified by him. The notice shall be issued in Form-1.
Rule 8 Appointment of Receiver
After issue of the notice under Rule 7, the Registrar shall have power to appoint a receiver/caretaker/special officer to take over the assets of the sick Sugar Factory or the Spinning Mill, as the case may be, and to preserve the assets from damage, theft or alienation etc.
Rule 9 Action for the transfer of assets or its assets and liabilities
The Registrar shall examine the reply/explanation received from the Committee of the Society and if after examination he feels that the transfer of assets or its assets and liabilities of the society is necessary, he shall pass orders directing the society to transfer its assets or its assets and liabilities to the prospective party on the terms and conditions specified in the report and take action for the transfer of assets or its assets and liabilities of the society and notify it in the Andhra Pradesh Gazette.
Rule 10
If the Committee of the society fails to comply with the directions of the Registrar within the period specified in Rule 7 the Registrar shall issue a notice in writing to the Committee of the society to place the matter before the General Body, and shall also issue notices separately to the Committee and also to the Creditors thereof to make there representations if any, in regard to the proposals within thirty days from the date of receipt of such notice and the report enclosed to it. The Notice shall be issued in Form-2.
Rule 11 Final orders for transfer of assets or its assets and liabilities
The Registrar shall examine the representations, if any, received from the General Body, the Committee of the Society and the creditors and if after examination of the representations he feels that the transfer of assets or its assets and liabilities is necessary, he shall pass orders directing the society to transfer its assets or its assets and liabilities to the prospective party on the terms and conditions specified in the scheme report and take action for the transfer of assets or its assets and liabilities of the society and notify it in the Andhra Pradesh Gazette.
Rule 12 Dissolution of Society
Once the transfer of assets or its assets and liabilities of a society is ordered, the Registrar shall issue orders for the dissolution of such Society as per the procedure.
APPENDIX 1 FORM 1
FORM
[Rule 7]
FORM 1
[Rule 7]
Whereas the ............................................. in which majority of the shares are held by the Government of Andhra Pradesh as on the date of the issue of notice, is considered to have become sick and that there is no
possibility to rehabilitate it on the basis of the scheme report enclosed; Whereas, I am satisfied that it is expedient to transfer the assets or its assets and liabilities...................... of............................................................ .......................................................... to .................................................. being either a society or company or firm or body whether incorporated or not.
Whereas, I have also consulted the Government of Andhra Pradesh and the Financing Banks............................................. ..................................................................................................to which the Society is indebted and took their views on the scheme proposals.
Now, therefore, I ....................................... in exercise of the powers conferred by clause (a) of sub-section (1) of Section 12-A of the Andhra Pradesh Co-operative Societies (Amendment) Act, 1996 (Andhra Pradesh Act No. 22 of 1996) hereby call upon you.................................................... .......................................................................... to explain within a period of 15 days of the receipt of this notice as to why the assets or its assets and liabilities of................................ ............................................................. shall not be transferred to.......................... ...........................................
Station : ..................... Signature : ........
Date : ................... Office Seal : ........
APPENDIX 2 FORM 2
FORM
[Rule 10]
FORM 2
[Rule 10]
Whereas the.......................................... ....................................................
......................................... in which majority of the shares are held by the Government of Andhra Pradesh as on the date of the issue of notice in Form No.1 issued to the Committee of your society is considered to have
become sick and that there is no possibility to rehabilitate it on the basis of the scheme report enclosed herewith.
Whereas I am satisfied that it is expedient to transfer the assets or its assets and liabilities of............
......................................................... to...................................................................... being either a society or a company or a firm or a body whether incorporated or not;
Whether, I have consulted the Government of Andhra Pradesh and the Financing Banks to which your Society is indebted by communicating the scheme report and took their views in the matter and also issued a notice to the Committee of your society calling upon it to explain within 15 days of receipt of notice in Form 1, why the assets or its assets and liabilities of the society should not be
transferred to .......................................
................................................ and no reply has been received from the Committee of your Society within the time prescribed above;
Now, therefore I.................................... ........................................... in exercise of the powers conferred by clause (b) of sub-section (1) of Section 12-A of the Andhra Pradesh Co-operative Societies (Amendment) Act, 1996 (Andhra Pradesh Act No. 22
of 1996) hereby call upon you............................ .........................................................
being the general body member/member of the Committee/the Creditor to explain through a representation why the assets or its assets and liabilities of the society should not be transferred to .......................................
.................................... your reply/examination shall be submitted to me within a period of 15 days of the receipt of the notice failing which action will be taken for transfer of the assets or its assets and liabilities
of the Society as stated above and in the scheme report which is enclosed.
Station : ...................... Signature: ................
Date : ......................... Office Seal: ................
Andhra Pradesh Co-operative Tribunals (Procedure) Rules, 1994
In exercise of the powers conferred by Section 130 read with Section 75 of the Andhra Pradesh Co-operative Societies Act, 1964 (Act 7 of 1964), the Governor of Andhra Pradesh hereby makes the following Rules of procedure in the Andhra Pradesh Co-operative Tribunals.
CHAPTER 1 Preliminary
Rule 1 Short title
These Rules may be called the Andhra Pradesh Co-operative Tribunal (Procedure) Rules, 1994.
Rule 2 Definitions
In these Rules, unless the context otherwise requires,-
(a) "Act" means the Andhra Pradesh Co-operative Societies Act, 1964;
(b) "Appeal" means an appeal preferred to the Tribunal under Section 76 of the Act;
(c)"Chairman" means the Chairman of the Tribunal;
(d)"Form" means a form appended to these Rules;
(e)"Gazette" means the Gazette of Andhra Pradesh;
(f)"Party" means the applicant and included his pleader or any other person on behalf of the appellant;
(g) "Pleader" means the pleader as defined in clause (15) of Section 2 of the Code of Civil Procedure, 1908 (Central Act V of 1908);
(h) "Rules" means the Andhra Pradesh Co-operative Societies Rules, 1964;
(i)"Secretary" means the person who is for the time being discharging the functions of the Secretary to the Tribunal;
(j)"Section" means a section of the Act;
(k)"Tribunal" means the Andhra Pradesh Co-operative Tribunal, constituted under Section 75 of the Act;
(l) Words and expressions used but not defined shall have the meaning assigned to them in the Act and the Rules made thereunder.
CHAPTER 2 Headquarters, Sittings and Office Hours
Rule 3 Headquarters
The Headquarters and the jurisdiction of the Tribunal shall be at such place as the Government may by notification in the Andhra Pradesh Gazette specify.
Rule 4 Place of hearing
All appeals and the review petitions shall ordinarily be heard at the Headquarters of the Tribunal where it is functioning: Provided that the Chairman may in order to facilitate the hearings have sittings at such place within the jurisdiction of the Tribunal as he may determine.
Rule 5 Office hours
The Tribunal shall hold its sittings during the same hours as that of the other offices of the Government.
Rule 6 Language
The language of the Tribunal shall be in English : Provided that the parties to a proceeding before the Tribunal may file documents drawn up in Telugu, if they so desire.
CHAPTER 3 Appeals and Review
Rule 7 Presentation of appeals and review
(1) An appeal or as the case may be a review applications shall be presented to the Secretary of the Tribunal either by the party in person or by sending it through a registered post.
(2) When an appeal or a review application is presented by a pleader or an authorised agent, it shall be accompanied by a letter of authority appointing him as such.
(3) Every such application shall be made in accordance with the provisions of the Act and the Rules made thereunder and shall be accompanied by a challan for the amounts as prescribed under Rule 48.
(4) An appeal preferred shall contain the necessary parties to the appeal and the authority whose orders are proposed to be taken in appeal and shall contain the name and address of the party to whom the notice may be sent.
Rule 8 Procedure for filing of appeal or review
(1) An appeal under sub-section (1) of Section 76 and a review application under Section 78 of the Act, shall be in the form of a memo setting forth concisely the grounds of objections to the decision or order which is the subject matter of the appeal or review, and shall be accompanied by the original or a certified copy of the decision or order passed by the authority competent to pass the said order. Every appeal or review application shall also be accompanied by as many copies of the memo as there are respondents in addition to three originals.
(2) All cases standing for trial and decision in appeal and review before the Courts prior to the constitution of the Co-operative Tribunals shall stand transferred to the respective Tribunals having jurisdiction. Registration of Appeals and Review applications
Rule 9 Registration of appeals and review applications
(b) If the Secretary finds that the application does not conform to the requirement of the Act or the Rules made thereunder, he shall cause it to be returned by making an endorsement on the same and calling upon the appellant of the review applicant to rectify the defect or defects within a reasonable period to be specified by him and cause it to be entered in the remarks column of the Form-A and paste it on the notice board of the Tribunal. The Secretary may, for sufficient cause, extend the said period, if the defect or defects are not rectified within the period allowed. The Secretary shall cause the appeal or review application to be registered in the prescribed Register (Form-C).
(c) If the defect or defects are not rectified within the period allowed, the Secretary shall make a report to that effect to the Chairman who may reject the appeal or as the case may be the review applications and affix the same on the notice board of the Tribunal.
Rule 10 Appeal or review to be filed within the time
xxxx
Rule 11 Application for interim suspension order
Where a party seeks the interim suspension of the impugned order, he shall file a separate application for the same. Every such application shall be supported by an affidavit in respect of applications for stay or suspension of the impugned orders passed by the departmental authorities, specially relating to misappropriation of amounts and sanction of benami loans, on interim orders in the nature of stay or suspension for a specified period shall be issued unless the applicant produces a cash deposit of not less than 50% of the amount involved in the impugned order or furnishes security of equal value as directed by the Tribunal.
Rule 12 Stay of orders
In an appeal, if the Tribunal is satisfied on an affidavit that it is just and reasonable that the operation of the impugned order be stayed or suspended,-
(a) it may, by order suspend the operation of the impugned order temporarily after giving notice to the effected persons; or
(b) it may give notice to the respondent or respondents and after giving an opportunity of being heard to both the parties, either confirm or vacate the order suspending or staying the operation of the impugned order.
Rule 13 Distribution of work
xxxx
CHAPTER 4 Hearings, adjournments and judgments
Rule 14 Procedure for hearing, adjournments
On the date fixed for hearing or any other date to which the hearing may be adjourned, the party or applicant shall ordinarily be heard first in support of the appeal, the respondent or his advocate shall, if necessary, be heard next and in such cases the party or the applicant shall be entitled to reply.
Rule 15 Evidence
(1) Where a party desires that a witness to be examined by the Tribunal in appeal or cause production of documents for additional evidence, he may apply to the Presiding Officer through an affidavit for summoning the persons whose attendance is required either to give evidence or to produce documents and the Secretary shall issue summons in Form-E to the party or his Counsel for service on the person concerned, after the Presiding Officers pass an order on the affidavit filed.
(2) Where the person to be summoned is a public servant, the party shall along with the application for summons, before summons is granted, pay before the Secretary a sum of money as appears to the Tribunal to be sufficient to defray travelling and other expenses of the person summoned for coming to the Tribunal and going back and for one day's attendance.
(3) Where the person to be summoned is not a public servant, it shall be the duty of the party who takes out the summons to produce the witness or cause the production of the documents and where he fails to produce them, it shall be deemed that he has given up the claim for additional evidence.
Rule 16 Additional evidence
The parties to the appeal shall not be entitled to produce additional evidence whether oral or documentary before the Tribunal but,-
(a) if the authority from whose order the appeal or application is preferred has refused to admit evidence which ought to have been admitted; or
(b) if the party seeking the additional evidence must satisfy the Tribunal that such evidence, notwithstanding the exercise of due diligence was not within his knowledge or could not be produced by him before time when the order under appeal was passed; or
(c) if the Tribunal requires any document to be produced or any witnesses to be examined so as to enable it to pass just order; and
(d) for any other sufficient reason Tribunal may allow such evidence or documents to be produced or witnesses examined :
Provided that where such evidence is received the other party shall be entitled to produce rebutting evidence, if any.
Rule 17 Adjournment
(1) The Tribunal may, on such terms as it thinks fit and at any stage adjourn the hearing of the appeals or applications for review on its own accord by mentioning in the open Court or on a oral request or by an affidavit filed by the petitioner or the respondent.
(2) An application for adjournment shall be presented with an affidavit by the party or a person who is well acquainted with the facts of the case.
(3) Each application for an adjournment shall be stamped with the required Court-fee and copies of the applications shall also be given to the other party.
Rule 18 Procedure in case of death of an appellant or an applicant
(1) If an applicant or the respondent therein dies while the appeal or review application is pending and it cannot be proceeded with unless his legal representative is brought on record, the Tribunal shall adjourn further proceedings to enable the legal representative of the deceased to be made a party. If such legal representative fails to do so within a period of sixty days from the date of death of the appellant or review applicant if the appellant fails to file the petition making the legal representative as per the appeal or review application, shall abate as regards such deceased appellant or review applicant as the case may be.
(2) Notwithstanding anything contained in sub-rule (1) there shall be no abatement of an appeal or review application by reason of the death of any party between the conclusion of the hearing and passing of the order but the order may, in such a case, be passed notwithstanding the death and shall have the same force and effect as if it has been passed before the death took place.
Rule 19 Effect on the death of applicant after passing the abatement order
(1) Whenever an order or abatement has been passed in a case where the applicant or review applicant has died, his legal heir or representative in a case where the respondent had died the appellant, may within sixty days from the date of such order apply to the Tribunal for setting aside the abatement and the Tribunal may on sufficient cause being shown to its satisfaction set aside the abatement and proceed with the appeal or review application.
(2) Where an application under sub-rule (1) has been filed after more than sixty days from the date of the order, the Tribunal may condone the delay on a separate application filed for the purpose when the delay is properly explained.
Rule 20 Order
(1) Every order of the Tribunal shall be in writing and shall be pronounced in the Court immediately after hearing or on the date fixed for the purpose, which shall not be more than fifteen days from the date of the final hearing.
(2) The order shall be pronounced in open Court after giving notice to the parties concerned. In case the order is not pronounced on the date fixed, it may be pronounced within fifteen days from the date originally fixed for the hearing after intimating to the Chairman the reasons for the delay.
(3) Where the Bench consists of more than two members the orders of the Tribunal shall be given by the majority of the members.
(4) Where an appeal is heard by a Bench consisting of two members whether it consists of the Chairman or not, and the members are divided in opinion, on any point or points, such point or points, shall be referred to the Full Bench consisting of three members for disposal.
(5) The orders rendered shall not be invalidated in case of any unfilled vacancy in the Tribunal.
(6) If any case which comes up before a single Member (who is not a Judicial Member or a Bench of which there is no Judicial Member) involves a question of law, such a single Member or the Bench may in his or their discretion, refer such case for decision by a Bench consisting of a Judicial Member as decided by the Chairman.
(7) The Tribunal shall serve a copy of the order to the appellant and the respondent after disposal.
Rule 21 Return of documents
(1) The parties shall not be entitled for the return of the documents filed by them before the Tribunal within six months from the date of the order of the Tribunal.
(2) The party may apply after six months from the date of the receipt of order with an undertaking to the effect that the documents shall be produced whenever the Tribunal calls for the same and in such a case, the documents may be returned to the parties.
CHAPTER 5 Miscellaneous
Rule 22 Copies of documents and orders of fee
(1) Any party to any proceedings before the Tribunal may apply to the Secretary for the inspection of any documents, or for a certified copy of any document and for the orders of the Tribunal.
(2) Application for copies or for inspection of the documents shall be in Form-F or, and shall set out the name and address of the applicant in full, the date of description of the document or order of which a copy is required. Any application which is not in the proper form shall be returned for representation in proper form.
(3) Certified copies of documents or order shall be prepared on a foolscape paper with one inch margin either side and typed in double space.
(4) Certified copies of documents or order shall be delivered by the Secretary to the party concerned on payment of fee prescribed for preparing the copies.
(5) If the Secretary feels any doubt about the propriety of granting the copy of any document, he shall place the application before the Presiding Officer and act in accordance with his orders.
(6) Notwithstanding anything contained in this rule, certified copies of orders or documents shall be supplied to the Registrar free of cost.
Rule 23 Service of notice
(1) The notice required to be issued by the Tribunal shall be sent to the parties by registered post acknowledgment due, as per the addresses furnished in the appeal or review application. An acknowledgment containing the signature of the addresses or any members of his family or his authorised agent when delivered or on endorsement by the postal authorities to the effect that the notice was refused by the addressee shall, unless the contrary is proved, be deemed to be sufficient to hold that the notice was duly served.
(2) Where the Tribunal is satisfied that the addressee is evading service or that it is not possible to serve the notice in the ordinary way, the Tribunal may take action to summon him for taking personal delivery by issuing a warrant by exercising powers under Section 120 of the Andhra Pradesh Co-operative Societies Act.
Rule 24 Maintenance of registers
(1) All miscellaneous petitions shall be entered in the Register in Form-G and numbered seriatum, and a mention to that effect has to be made in the Register of original appeals.
(2) All applications for copies of documents or orders on registration shall be entered in the register in Form No.H and numbered seriatum.
(3) All applications for inspection of documents on registration shall be entered in register in Form-F and numbered seriatum.
Rule 25 Refund of fees
(2) No refund of fee shall be made if the application for such refund is not made within one year from the date of remittance of fee.
(3) The application for refund of fee shall be made in the Form of memorandum setting forth the grounds on which refund is sought and such application shall be stamped with a Court-fee stamp of Rs.3/-.
Rule 26 Rules relating to Civil Rules of Practice to be followed
Wherever these Rules are silent on the question of any procedure, the Tribunals shall follow the procedure stipulated under the Code of Civil Procedure, 1908 (Central Act V of 1908).
APPENDIX 1 Register of Appeal Cases
FORM
FORM A
[See Rule 9]
Register of Appeal Cases
1. Sl. No. :
2. Name and address of the appellant :
3. Appeal No. :
4. Number of appellants concerned :
5. By proceedings being quashed :
6. By new trial or further enquiry being
ordered :
7. Any reference made :
8. Actual number of days during which the
appeal lasted :
9. Date of disposal of the case :
10. Remarks :
11. Initials of the Officers :
APPENDIX 2 Register of Review Cases
FORM B
[See Rule 9]
Register of Review Cases
1. Sl. No. :
2. Name and address of the person who filed the
application for review :
3. Review No. :
4. Number of persons concerned :
5. By proceedings being quashed :
6. By new trial or further enquiry being ordered :
7. Any reference made :
8. Actual number of days during which the review
lasted :
9. Date of disposal of the review :
10. Remarks :
11. Initials of the Officer :
APPENDIX 3 Before The Andhra Pradesh Co-operative Tribunal At ...........
FORM C
[See Rule 9(b)]
Before The Andhra Pradesh Co-operative Tribunal At ...........
Appeal or Review No. ............ of 19......
Appellant
vs.
Respondent
To
The above-named appellant,
You have filed an appeal/review against the orders of the datedIt does not comply with the provisions of the Andhra Pradesh Co-operative Societies Act, 1964 and the Rules made thereunder in the following aspects :
You are hereby required to remedy the defects within of the receipt of this notice by you.
(Given under the Hand and Seal of the Co-operative Tribunal)
BY ORDER
Date Secretary.
Seal :
APPENDIX 4 Before the Andhra Pradesh Co-operative Tribunal At.......
FORM D
[See Rule 13]
Before the Andhra Pradesh Co-operative Tribunal At.......
Memorandum No. ..................... of 19.....
Appellant
vs.
Respondent
To
The above-named appellant.
You have filed an appeal against the orders of the dated
The appeal is posted for hearing on Hence you are hereby required to be present in this Tribunal without fail otherwise the appeal is treated as ex parte.
(Given under the Hand and Seal of the Co-operative Tribunal)
BY ORDER
Date : Secretary.
Seal :
APPENDIX 5 Before the Andhra Pradesh Co-operative Tribunal At.......
FORM E
[See Rule 15]
Before the Andhra Pradesh Co-operative Tribunal At.......
Memorandum No. .............. of 19.....
Appellant
vs.
Respondent
To
Mr.
The above-named person has referred an appeal No. against the orders of you have been included as to tender evidence in the aforementioned case. You are, therefore, requested to make available yourself in the Tribunal with the following documents on
1.
2.
3.
4.
(Given under the hand and seal of the Co-operative Tribunal)
Date : Secretary.
Seal :
APPENDIX 6 FORM
FORM F
[See Rule 24(3)]
1. Serial Number :
2. Name and address of the applicant :
3. Appeal/Revision/Misc. application No. :
4. Number of applicants revision petitioners or
Misc. applicants :
5. Document applied for inspection :
6. Date of application made for inspection :
7. Date on which the document was made ready for
inspection :
8. Date of inspection :
9. Signature of the applicant who inspected the
document :
10. Remarks :
Secretary.
APPENDIX 7 Register of Miscellaneous Applications
FORM G
[See Rule 24(1)]
Register of Miscellaneous Applications
1. Sl. No. :
2. Name and address of the applicant :
3. Miscellaneous Petition No. :
4. Appeal No. :
5. Number of appellants concerned :
6. By proceedings being quashed :
7. By new trial or further enquiry being
ordered :
8. Any reference made :
9. Actual number of days during which the
appeal lasted :
10. Date of disposal of the case :
11. Remarks :
12. Initials of the Officer :
APPENDIX 8 FORM
FORM
FORM H
[See Rule 24(2)]
1. Sl. No. :
2. Name and address of the applicant :
3. Appeal/Revision/Misc. application No. :
4. Number of appellants/revision
petitioners or Misc. applicants :
5. Date of application made for the copy
of :
6. Date on which the copy was made ready :
7. Date on which the copy was communica-
-ted :
8. Remarks :
Secretary. |
