Haryana Co-operative Societies (Amendment) Act, 2007*
| [Haryana Act No. 18 of 2007] | [27th September, 2007] |
An Act further to amend the Haryana Co-operative Societies Act, 1984
Be it enacted by the Legislature of the State of Haryana in the Fifty-eighth Year of the Republic of India as follows:-
* [Received the assent of the Governor on 27th September, 2007 and published in the "Haryana Government Gazette", Extraordinary, No. Leg. 21/2007, dated 5th October, 2007].
1. Short title.- This Act may be called the Haryana Co-operative Societies (Amendment) Act, 2007.
2. Amendment of section 2 of Haryana Act 22 of 1984.- In sub-section (1) of section 2 of the Haryana Co-operative ??? Act, 1984 (hereinafter called the principal Act),-
(i) after clause (ca), the following clause shall be inserted, namely:-
(caa) "Co-operative Credit ???" means the Haryana State Co-operative Apex Bank Limited, Central Co-operative Banks, Primary Agriculture Co-operative Societies, Farmers Service Societies, the Haryana State Co-operative Agriculture and Rural Development Bank and the Primary Co-operative Agriculture and Rural Development Banks;
(ii) after clause (k), the following clause shall be inserted, namely:-
‘(ka) "National Bank" means the National Bank for Agriculture and Rural Development established under the National Bank for Agriculture and Rural Development Act, 1981 (61 of 1981);’
(iii) after ??? the following clause shall be inserted, namely:-
‘(pa) "Reserve Bank" means the Reserve Bank of India established under the Reserve Bank of India Act, 1934 ??? of 1934.’.
3. ??? section 19A in Haryana Act 22 of 1984.- After section 19 of the principal Act the following section shall be inserted, namely:-
"19A. Voting rights.- Any person desirous of making a deposit in any unit of Co-operative Credit Structure other than co-operative banks, shall become a member of that society and on admission as such, he shall be emitted to full membership voting rights."
4. Amendment of section 29 of Haryana Act 22 of 1984.- In sub-section (1) of section 29 of the principal Act,-
I. in clause (a), in sub-clause (iv)-
(A) in the existing para, for the sign "the sign" shall be substituted;
(B) the following proviso shall be added namely:-
"Provided that there shall net he any nominee of the Government in the committee of Primary Agriculture Co-operative Society irrespective of the fact whether the Government has contributed to the share capital or not;"
II. after clause (b)-
(A) in the first proviso, for the words and sign "co-operative bank", the words and sign "Co-operative Credit Structure" shall be substituted;
(B) in the second proviso, after the words and sign "co-opted in the committee", the words "with full voting rights" shall be ???.
5. Amendment of section 31 of Haryana Act 22 of 1984.- For the second proviso to sub-section (1) of section 31 of the principal Act, the following proviso shall be substituted, namely:-
"Provided further that in case of a co-operative bank, the appointment of Managing Director shall be made in accordance with the guidelines of the Reserve Bank and such Managing Director who does not fulfill the criteria stipulated by the Reserve Bank shall be removed.".
6. Amendment of section 34 of Haryana Act 22 of 1984.- For the existing proviso to sub-section (1) of section 34 of the principal Act, the following provisos shall be ??? namely:-
"Provided that if the committee of a co-operative bank is superseded, the Registrar shall do so with the approval of the Reserve Bank:
Provided further that the Registrar shall ensure implementation or regulatory ??? of the Reserve Bank including ??? of the ??? committee of Central ??? Bank ??? of administrators within one mouth of being, so advised by the Reserve Bank. The administrators shall ensure election to the committee within period of two months which may be extended to a maximum period of ??? months, if considered necessary by the Registrar:
Provided further that the committee of Primary Agriculture Co-operative Society shall be superseded by the Registrar only under the following conditions:-
(i) that a society incurs losses for three consecutive years; or
(ii) that serious financial irregularities or frauds have been identified; or
(iii) that there are judicial directives to this effect or there is perpetual lack of quorum.".
7. Amendment of section 35 of Haryana Act 22 of 1984.- After sub-section (3) of section 35 of the principal Act the following sub-section shall be added at the end namely:-
"(4) The Registrar at the request of the Reserve Bank/National Bank shall remove such members of committee who do not fulfill ??? by the ??? Bank."
8. Amendment of section 37 of Haryana Act 22 of 1984.- After sub-section (2) of section 37 of the principal Act, the following sub-sections shall be added at the end, namely:-
"(3) Notwithstanding anything contained in this section there shall not be any cadre system in Co-operative Credit Structure.
(4) The Registrar shall circulate guidelines in consultation with the National Bank in matters relating to personnel policy, staffing, recruitment, posting and compensation of staff."
9. Amendment of section 48 of Haryana Act 22 of 1984.- After sub-section (2) of section 48 of the principal Act the following sub-section shall be added at the end, namely:-
"(3) Co-operative Credit Structure other than co-operative bank shall abide by all such directions regarding financial norms as may be specified by the Registrar in consultation with the National Bank."
10. Amendment of section 64 of Haryana Act 22 of 1984.- After sub-section (3) of section 64 of the principal Act, the following sub-section shall be added at the end namely:-
"(4) Notwithstanding anything contained in sub-section (1) of this section, the Co-operative ??? may take appropriate decisions regarding its loan policies ??? individual loan decisions to its members, keeping in view the interests of the society and its member".
11. Amendment of section 85 of Haryana Act 22 of 1984.- Existing section 85 of the principal Act shall be remembered as sub-section (1) thereof and after sub-section (1) so remembered, the following sub-section shall be added, namely:-
"(2) Co-operative Credit Structure may invest its funds with any regulatory financial institution."
12. Amendment of section 87 of Haryana Act 22 of 1984.- After sub-section (2) of section 87 of the principal Act, the following sub-section shall be added, namely:-
"(3) There shall be no compulsion on Co-operative Credit Structure for contribution to any funds other than those required for improving the net worth/owned funds of a co-operative society:
Provided that the Registrar shall lay guidelines in ??? with the ??? Bank regarding payment of dividend."
13. Substitution of section 89 of Haryana Act 22 of 1984.- For section 89 of the principal Act; ??? following section shall be substituted, namely:-
"89. Acquisition or disposal of property.-"No co-operative society shall purchase, acquire, lease, sell any land or construct any budding or other immovable assets of the society except with the prior approval of the Registrar."
14. Amendment of section 95 of Haryana Act 22 of 1984.- After sub-section (8) of section 95 of the principal Act, the following sub-sections shall be added at the end, namely:-
"(9) Notwithstanding anything contained in sub-section (7A), Co-Operative Credit Structure other than Primary Agriculture Co-operative Societies shall get its accounts audited by chartered accountant from a panel prepared by the Registrar in consultation with the National Bank.
(10) The Registrar shall get conducted a special audit of Co-Operative Credit Structure other than Primary Agriculture Co-operative Societies on the request of the Reserve Bank and shall endorse a copy of the report of such special audit to the Reserve Bank and National Bank."
15. Amendment of section 105 of Haryana Act 22 of 1984.- To sub-section (1) of section 105 of the principal Act, the following proviso shall be added, namely:-
"Provided that the Registrar shall ensure implementation of regulatory prescriptions of the Reserve Bank including winding up of Central Co-operative Banks and the Haryana State Co-operative Apex Bank Limited and appointment of liquidator within one month of being so advised by the Reserve Bank."
16. Insertion of section 119A in Haryana Act 22 of 1984.- After section 119 of the principal Act, the following section shall be inserted, namely:-
"119A. Affiliation or disaffiliation with federal society.-Any unit of the Co-operative Credit Structure may with the prior approval of the Registrar, affiliate or disaffiliate with a federal society keeping in view the financial position of the federal society, it shall have the freedom of entry and ??? at any the and there shall be no mandatory restrictions of geographical boundaries for its operation."
17. Insertion of section 121A in Haryana Act 22 of 1984.- After section 121 of the principal Act the following section shall be inserted, namely:-
"121A. Use of words ‘bank’, ‘banking’, ‘banker’ or any other derivative of word ‘bank’.-No Primary ??? Co-operative Society shall use the words ‘bank’, ‘banking’, ‘banker’ or any other derivative of the word ‘bank’."
18. Repeal and saving.- (1) The Haryana Co-operative Societies (Amendment) Ordinance, 2007 (Haryana Ordinance No. 2 of 2007), is hereby repealed.
(2) Notwithstanding such repeal, anything done or any action taken under the principal Act as amended by the said Ordinance, shall be deemed to have been done or taken under the principal Act, as amended by this Act.