Frequently Asked Questions

   

What are the principles of Cooperatives?

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The Cooperative principles are the guidelines by which the department puts their values into practice.

  • Voluntary and open membership
  • Democratic member control
  • Member economic participation
  • Autonomy and Independence
  • Education, Training and Information
  • Concern for community
 

 

 

What is a cooperative society?

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Cooperative Society means a society / organization registered under the Cooperative Societies Act, 1925on the basis of equality for the promotion of their economic interest.

 
   

How a new Cooperative Society can be registered with the department?

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The procedure of registration of Cooperative Society has been given in Section 9 and 10 of Cooperative Societies Act, 1925. Presently no society is being registered due to ban imposed by the Chief Minister Punjab in 1997.

 
   

How a Cooperative Society is liquidated?

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The Cooperative Society is liquidated keeping in view the recommendations of enquiry officer under Section 43, inspecting officer under Section 44 or 44-A and application made by ¾ of total members, and the society can not commenced work if share money decreases from Rs.500/-.

 
   

How disputes are settled between a member and the Society and between two societies?

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All disputes are settled under Section 54 of Cooperative Societies Act, 1925 by the Registrar or nominee.

 
   

How working of Managing Committee of a Cooperative Society can be checked by any member?

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The working of the Society can be checked by any member under Rule 16 of Cooperative Societies Rules, 1927.

 
   

How profit/savings of a Cooperative Society can be distributed amongst the members?

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The profit/savings of a society is distributed under Section 40 of Cooperative Societies Act, 1925.

 
   

Is there any legal remedy available in Cooperative Laws to probe into the working of Managing Committee of the Cooperative Society?

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Yes, it is available under Section 43, 22 & 22-A of Cooperative Societies Act, 1925.

 
   

Who is defaulter?

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Any member who fails to pay off his liabilities as specified in the bye-laws or as decided by the Managing Committee of the Society is a defaulter.

 
   

What is markup rate for loans extended to Agriculture, Credit & Thrift societies and what is the period of return?

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Presently mark up rate is 9%. It is normally due after harvesting of crop in case of short term loan, 12% in case of medium term loan which is returnable within 10 years on the basis of half yearly installments.

 
   

How the Agriculture, Credit & Thrift Society works?

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It works as provided in the bye-laws and elected Managing Committee runs the affairs of the society.

 
   

What is MCL?

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MCL is Maximum Credit Limit which is fixed under Rule 7 & 8 of Cooperative Societies Rules, 1927 in case of limited and unlimited societies respectively, keeping in view the assets/income of members. Every society is required to fix its MCL in its general meeting. The limit so fixed is subject to the approval of Registrar.