Amendments to the Maharashtra co-operative society act, 1960. Mahrashtra Act No. VII of 1997.

By Legal Bureau
Amendments to the Maharashtra co-operative society act, 1960. Maharashtra Act No. VII of 1997.

(First published after having received that assent of the Governor, in the “Maharashtra Government Gazette’ on the 2nd January 1997).

An Act further to amend the Maharashtra Co-operative Societies Act, 1960.
WHEREAS it is expedient further to amend the Maharashtra Co-operative Societies Act 1960, for the purpose hereinafter appearing; It is hereby enacted in the Forty-seventh Year of the Republic of India as follows :-

1. This Act may be called the Maharashtra Co-operative Societies (Amendment) Short title Act, 1996.

2. In section 9 of the Maharashtra Co-operative Societies Act, 1960 (hereinafter referred to as “the principal Act”). in such-section (2), after the words “deemed to have been registered” the words” and thereafter the Registrar shall issue a certificate of registration under his seal and signature within a period of fifteen days “ shall be added.
Our Comments :-Section 9, had been amended to clarify the provision as regards Registration of Co-operative Society more explicit.

3. In section 22 of the principal Act, in sub-section (2), after the words “deemed to have been admitted as a member of the society”. the words “If any question arises whether a person has become a deemed member or otherwise, the same shall be decided by the Registrar after giving a reasonable opportunity of being heard to all the concerned parties.” shall be added.

4. In section 23 of the principal Act, in sub-section (IA), after the words ‘become a member of such society”, the words, “If any question arises whether a person has become a deemed member otherwise, the same shall be decided by the Registrar after giving a reasonable opportunity of being heard to all the concerned parties”, shall be added.
Our Comments : – Section 22(2) and 23 (1A) has been amended to clarify that as regards membership the power shall be exercised by the registrar.

5. In section 27 of the principal Act, for sub-section (9), the following sub-section shall be substituted, namely : –
“(9) No nominee of the Governmetn or any financing bank on the committee of any society shall be entitled to vote at any election of officers of such committee such as, the President, Vice President, Chairman, Vice Chairman, Secretary, Treasurer or any other officers by whatsoever designation called, who holds the office by virtue of his election to that office.
Our Comments : – Section 27 has been amended so that the powers as regards Governmetn nominees as regards election of office bearers have been 0curtailed.

6. In section 73-1 D of the principal Act. –
a) in such-section (I), –
i) for the words “two-third majority” the words simple majority” shall be substituted;
ii) for the words “for the time being entitled to sit and vote at any meeting of the committee ”the word as” entitled to vote at the election of such President, Vice President, Chairman , Vice Chairman, Secretary, Treasurer or any other officer” shall be substituted.
(b) in sub section (2) for the time being entitled to site and vote at any meeting of the committee” the words entitled to elect the President, Vice President, Chairman, Vice Chairman, Secretary, Treasurer or any other officer, as the case may be, of the committee” shall be substituted;
(c) in sub-section (7) for the words “six months” the word as “one year” shall be substituted.
Our comments :- section 73 (1D) have been amended so that no confidence motion can be passed with simple majority instead of 2/3 majority. Subsection 7 of this section has been amended so that the requisition for a Fresh Motion of no confidence can be brought only after a period of one year. Instead of the previous period of six months. The term of the administrator is now extended upto one year from the previous period of six months.

7. In section 73BB of the principal Act, in sub-section (I) –
(a) for the words “union then the selection shall be made by the union with the largest membership, and where there is no union at all, then by an election by such employees from amongst themselves in the prescribed manner” the words “recognised union or unions and where there is no union at all or where there is a dispute in relation to such issues including whether a union is recognised or not, then the seats so reserved shall be filled by an election by such employees from amongst themselves in the prescribed manner” shall be substituted.
(b) the following Explanation shall be added at the end, namely :-
“Explanation – For the purpose of this section the members of the committee shall mean and include the representatives of the employees”.

8. In section 73BB of the principal Act, –
(a) to sub-section (I), the following Explanation shall be added, at the end, namely :-
‘Explanation – For the purpose of determining the number of committee members under this sub-section, committee members who are elected, co-opted nominate, appointed or otherwise occupying the position on the committee under 73B, 73BB and under this sub-section shall not be included”,
(b) in sub-section (2), for the existing proviso, the following proviso shall be substituted, namely :-
‘Provided that, where the bye-law of a society already provide for reservation of seats for women on the committee thereof, the total number of seats to be reserved for women shall be equal to the number of seats specified in sub-section (I)”.

9. In section 73H (2), of the principal Act, in sub-section (2), for the words, “where there is a willful failure on the part of the committee to hold election to the committee before the expiration of its term, the committee before the expiration of its term, the committee before the expiration of its term, the committee” the words “ The committee” shall be substituted. Our Committee, to conduct the elections before the expiry of the tenure of the committee. The above said amendment appears to have been made to bring consistency with the provisions of subsection (2B) of subsection 73-G.

10. In section 77A of the principal Act, in sub-section (3), the following proviso shall be added, namely :-
“Provided hat, if a new committee is not, or cannot be constituted at the expiry or termination of the term of office of the committee or Administrator, for any reason beyond the control of the committee or Administrator, the term of office of the committee or Administrator, as the case may be, shall be deemed to be extended, until the new committee is duly constituted.”
Our Comments :- Section 77 (A) has been amended so that the tenure of office of the Managing Committee or Administrator would be deemed to have been extended if for any reason whatsoever a new committee cannot be constituted before the expiry of the term office.

11. In section 78 of the principal Act, in sub-section (3) the following proviso shall be added, namely:-
“Provided that, the member who has been so removed, shall not be eligible to be re-elected, re-appointed, re-nominated, or re-co-opted, as a member of any committee from the date on which he has been so removed or till such lesser period as may be laid down under the provisions of section 73FFF or 144E, as the case may be”.
Our Comments :- if a member of the committee has been removed under this section than he cannot be re-elected, reappointed, renominated or recopted as a member of the Managing Committee for one full term from the date he has been removed or for such period as laid down in provisions of sections 73FFF or 144E of the M.C.S. Act 1960.
Our comments : – Subsection of 104 has been substituted to specify in which cases the appeal should lie with the registrar and in which places the appeal should lie with the State Government.

12. In section 104 of the principal Act, for sub-section (I), the following sub-section shall be substituted, namely :-
“(1) The committee or any member of the society ordered to be wound up may prefer an appeal against the final order of winding-up within two months form the date of the issue of the order made under section 102.-
(a) if made by the Registrar, or the special or Additional or Joint Registrar on whom the powers of the Registrar are conferred, to the State Government ;
(b) If made by any person other than the Registrar, or the Special or Additional or Joint Registrar on whom the powers of the Registrar are conferred, to the Registrar.
Provided that, no appeal shall lie against order, issued under sub-clause (i), (ii) or (iii) of clause (c) of sub-section (I) of section 102”.

13. In section 112B of the principal Act, in sub section (I) in clause (b), in sub-clause (iv), for the words” such employees”, the following shall be substituted namely :-
“such employees. Where there is no recognised union or unions or where there is no union at all, the employees shall elect representatives from amongst themselves. The election shall be held by the Collector in the manner laid down in Chapter XI-A of this Act”.

14. In section 148 of the principal Act, for sub-section (3), the following sub-section shall be substituted, namely :-
(3) No prosecution under this Act shall be lodged, except with the previous sanction of the Registrar.