MCSA 1960 - CHAPTER VII


MANAGEMENT OF SOCIETIES

72.



Subject to the provisions in this Act and the rules, the final authority of every society shall vest in the general body of members in general meeting, summoned in such a manner as may be specified in the bye-laws.



Where the bye-laws of a society so provide, the general meeting shall be attended by delegates appointed by the members, and such meeting shall be deemed to be the meeting of the general body, for the purpose of exercising all the powers of the general body.
72-A.

Freedom of affiliation or disaffiliation with a federal structure of choice -


Notwithstanding anything contained in this Act or any other law for the time being in force, the co-operative credit structure entity shall have the liberty for the affiliation or disaffiliation with the federal structure of its choice:



Provided that, in the general meeting of the co-operative credit structure entity, a resolution for this purpose is passed by a majority of not less than three/ fourth of the total members of such entity.
73.


(1)
The management of every society shall vest in a committee, constituted in accordance with this Act, the rules and bye-laws which shall exercise such powers and perform such duties as may be conferred or imposed respectively by this Act, the rules and the bye-laws.


(1AB)
The members of the committee shall be jointly and severally responsible for all the decisions taken by the committee during its term relating to the business of the society. The members of the committee shall be jointly and severally responsible for all the acts and omissions detrimental to the interest of the society.



Provided that, before fixing any responsibility mentioned above, the Registrar shall inspect the record of the society and decide as to whether the losses incurred by the society are on account of acts or omissions on the part of the members of the committee or on account of any natural calamities, accident or any circumstances beyond the control of such members:



Provided further that, any member of the committee, who does not agree with any of the resolution or decision of the committee, may express his dissenting opinion which shall be recorded in the proceedings of the meeting and such member shall not be held responsible for the decision embodied in the said resolution or such acts or omissions committed by the committee of that society as per the said resolution. Such dissenting member, if he so desires, may also communicate in writing, his dissenting note to the Registrar “within fifteen days from the date of the said resolution or decision or from the date of confirmation of the said resolution or decision”. [* Was substituted By MAH. XXIV of 1961] Any member, who is not present for the meeting in which the business of the society is transacted, and who has not subsequently confirmed the proceedings of that meeting, such member shall also not be held responsible for any of the business transacted in that meeting of the society.

(1-A)
Notwithstanding anything contained in this Act, the rules made there under or in the bye-laws of any society or class of societies,—


(a)
The first general meeting of a society shall be convened within three months from the date of its registration to appoint a provisional committee and to transact other business as may be prescribed. The term of the members of such provisional committee shall be for a period of one year from the date on which it has been first appointed or till the date on which a regular committee is duly constituted in accordance with the provisions of the rules or bye-laws made under this Act, whichever is earlier; and all the members of such provisional committee shall vacate office on the date of expiry of such period or such constitution of the committee:


(b)
notwithstanding anything contained in clause (a), the provisional committees for the Co-operative Sugar Factories and Co-operative Spinning Mills and such other class of societies, as the State Government may, by special or general order, in the Official Gazette, specify in this behalf, shall be appointed by the State Government; and the members thereof shall hold office for a period of three years, which period may be extended by one year, at a time, so however that, the total period shall not exceed five years, in the aggregate;


Provided that, the State Government shall have the power to change or reconstitute such committee or, any or all members thereof at its discretion even before the expiry of the period for which a member or members were nominated thereon:



Provided further that, the member or members assuming office on such change or re-constitution of the committee shall hold office for the period for which the provisional committee has been appointed under this clause.


(c)
pending the first constitution of the committee of a society, the provisional committee of the society shall exercise the powers and perform the duties of the committee of such society as provided in this Act, the rules and bye-laws and make necessary arrangements for holding election of the committee, before the expiry of its term.


(2)
Notwithstanding anything contained in any bye-laws of a society or class of societies, the Registrar may, having regard to the area of operation, subscribed share capital or turnover of a society or class of societies, by general or special order, published in the Official Gazette, prescribed the maximum number of members on the committee of such society or class of societies, as may be specified in such order. [* Was deleted By MAH. XXIV of 1961]
73-IA.

Election to more than one seat on committee of society including specified society. — [* Was deleted By MAH. XXIV of 1961]


If a person is elected to more than one seat on the committee of a society including a society belonging to any of the categories specified in section 73-G, then, unless within a period of fifteen days from the date of declaration of the result of the election he resigns all but one of the seats by writing under his hand address to the Election Officer, or as the case may be, the Collector, all the seats shall become vacant. On receipt of such resignation or on the seats becoming vacant as aforesaid, the Election Officer, or as the case may be, the Collector shall declare the candidate from the constituency or constituencies concerned securing the next higher number of votes as duly elected.
73-IB.

Powers of State Government to postpone election. — [* Was deleted By MAH. XXIV of 1961]


Where due to scarcity, drought, flood, fire, or any other natural calamity or rainy season or any election program, of the State Legislative Assembly or Council or the House of the People or a local authority, coinciding with the election program of any society or class of societies or such other reasons as, in the opinion of the State Government, are exceptional, it is not in the public interest to hold elections to any society or class of societies, the State Government may, notwithstanding anything contained in this Act, or in any rules, or bye-laws made there under, or any other law for the time being in force, for reasons to be recorded in writing, by general or special order, postpone the election of any society or class of societies, for a period not exceeding six months at a time which period may further be extended so, however, that the total period shall not exceed one year in the aggregate.
73-IC.

Election to notified societies. — [* Was deleted By MAH. XXIV of 1961]

(1)
Where the State Government is satisfied that, having regard to the objects of the society or class of societies (other than the societies specified by or under section 73-G), or composition of membership thereof, or proper management and the interest of the members, it is necessary in the public interest to hold elections to any society or class of societies, the State Government may, notwithstanding anything contained in this Act, or in any rules, or bye-laws made there under, or in any other law for the time being in force, by general or special order, notify in the Official Gazette, such society or class of societies and the election to such society or class of societies shall be held by the Registrar in the prescribed manner.


(2)
The Registrar shall recover the expenses of holding election to any such society or class of societies as is referred to in sub-section (1), in the prescribed manner.
73-ID.

Motion of no-confidence against officers of societies —

(1)
An officer who holds office by virtue of his election to that office shall cease to be such officer, if a motion of no-confidence is passed at a meeting of the committee by two-third majority of the total number of committee members who are entitled to vote at the election of such officer and his office shall, thereupon be deemed to be vacant. [* Was substituted By MAH. XXIV of 1961]


(2)
The requisition for such special meeting shall be signed by not less than one-third of the total number of members of the committee who are entitled to elect the officer of the committee and shall be delivered to the Registrar. The requisition shall be made in such form and in such manner as may be prescribed: [* Was substituted By MAH. XXIV of 1961]



Provided that, no such requisition for a special meeting shall be made within a period of six months from the date on which any of the officers referred to in sub-section (1) has entered upon his office. [* Was substituted By MAH. XXIV of 1961]


(3)
The Registrar shall, within seven days from the date of receipt of the requisition under sub-section (2), convene a special meeting of the committee. The meeting shall be held on a date not later than fifteen days from the date of issue of the notice of the meeting.


(4)
The meeting shall be presided over by the Registrar or such officer not below the rank of an Assistant Registrar of Co-operative Societies authorised by him in his behalf The Registrar or such officer shall, when presiding over such meeting, have the same powers as the President or Chairman when presiding over a committee meeting has, but shall not have the right to vote.

(5)
The meeting called under this section shall not, for any reason, be adjourned.


(6)
The names of the committee members voting for and against the motion shall be read in the meeting and recorded in the minute book of committee meetings.


(7)
If the motion of no-confidence is rejected, no fresh motion of no-confidence shall be brought before the committee within a period of one year from the date of such rejection of the motion.
73-A.


(1)
In this section and “in sections 73C, 73D and 73E[* Was deleted By MAH. XXIV of 1961], “a designated officer” means the Chairman and the President, and includes any other officer of the society as may be declared by the State Government, by notification in the Official Gazette, to be a designated officer, but does not include any officer appointed or nominated by the State Government or by the Registrar.


(2)
No person shall, at the same time, be or continue to be a designated officer of more than one society falling in Category I or Category II or Category III of the Categories mentioned below; and shall not be or continue to be a designated officer in more than two societies in the aggregate in the three Categories :-



Category I - Societies, the area of operation of which extends to the whole of the State,



Category II - Societies, the area of operation of which does not extend to the whole of the State,

(a)
But extends to at least one whole district irrespective of their authorised share capital; or


(b)
But extends to areas comprised in part or parts in one or more districts and the authorised share capital of which is more than Rs.10 Lakh.



Category III - Societies, the area of operation of which does not extend to the whole of a district but extends to one whole Taluka, or the authorised share capital of which is not more than Rs.10 Lakh but is not less than Rs. 5 Lakh.



Explanation - For the purposes of this sub-section, the expression "society" shall not include a society with no share capital and a society not engaged in commercial activities.


(2A)
If any question arises whether or not a society falls under any of the categories referred to in sub-section (2), such question shall be referred to and decided by the Registrar and his decision shall be final.


(3)
Subsection (3) deleted

(4)
If any person becomes, at the same time a designated officer of societies, in excess of the number prescribed under sub-section (2), unless he resigns his office in the society or societies in excess of the said number within a period of ten days from the date on which he is “elected, co-options or nominated” [* Was substituted By MAH. XXIV of 1961] a designated officer of more than the permissible number of society or societies, or if the “elections, co-options or nominations” [* Was substituted By MAH. XXIV of 1961] are held or made simultaneously, from the date on which the result of last of such elections or appointments is declared, he shall, at the expiration of the said period of ten days, cease to be a designated officer of all such societies, and thereupon, notwithstanding anything contained in any other provisions of this Act, a person so resigning or ceasing to be a designated officer of any or all such societies shall not be eligible for being “re-elected, re-co-opted or re-nominated” [* Was substituted By MAH. XXIV of 1961] as a designated officer of such society or societies during the remainder of the term of office for which he was so elected or appointed; and at no point of time such person shall be a designated officer of societies in excess of the number prescribed under sub-section (2).


(5)
No person shall be, or shall continue to be, a designated officer of any society of any of the categories referred to in sub-section (2), for a period of more than ten years in the aggregate and at the expiration of that period any such person shall cease to be a designated officer of that society, and shall not be eligible for being re-elected or re-appointed as a designated officer, until a period of one term of the committee has elapsed after completion of the aforesaid period of ten years. [* Was deleted By MAH. XXIV of 1961]



Explanation.-For the purposes of this sub-section; [* Was deleted By MAH. XXIV of 1961]


(a)
in calculating the aggregate period of ten years in office, any period for which the person concerned may have been such officer, before the commencement of the Maharashtra Co-operative Societies (Second Amendment) Act, 1969, shall be ignored; [* Was deleted By MAH. XXIV of 1961]


(b)
if any person resigns his office as a designated officer at any time within twelve months of the date on which the aggregate, period of ten years would, but for his resignation, have been completed, he shall be deemed to have completed the period ten years on his resignation. [* Was deleted By MAH. XXIV of 1961]

(6)
No member of the Council of Ministers shall be, or continue to be, a designated officer of any society of any of the categories referred to in sub-section (2): [* Was deleted By MAH. XXIV of 1961]



Provided that, nothing in this sub-section shall affect any member of the Council of Ministers who is a designated officer of any such society on the date of commencement of the Maharashtra Co-operative Societies (Second Amendment) Act, 1985, and he shall continue to hold office till completion of his term, unless he resigns or vacates the office of such designated officer for any reason whatsoever before the expiry of his term as such designated officer. [* Was deleted By MAH. XXIV of 1961]


(7)
Where a person is elected, co-opted, appointed or nominated as a member of committee of any society by virtue of his holding office under the Central Government or the State Government or in any local authority or in any body corporate or in organization, he shall cease to be such member on the date on which he ceases to hold such office. [* Was inserted By MAH. XXIV of 1961]

(8)
No member of a society, who is nominated to represent it on any other society, shall be eligible for being elected, co-opted or nominated as a designated officer of the other society, unless the other society is its federal society. [* Was inserted By MAH. XXIV of 1961]


(9)
In the case of such class or classes of societies as may be specified by the state Government, by notification in the Official Gazette, no member shall be eligible for being elected, co-opted or nominated as a designated officer, if he is not an active member and does not fulfill the minimum qualification relating to his monetary transactions with the society as may be laid down, in such notification. [* Was inserted By MAH. XXIV of 1961]
73AAA.

Constitution of Committee.- [* Was inserted By MAH. XXIV of 1961]

(1)
The Committee shall consist of such number of members as may be provided in the by-laws :



Provided that, the maximum number of members of the committee shall not exceed twenty-one:



Provided further that, the provisions of the Banking Regulation Act, 1949, shall apply to all the societies carrying the business of banking.


(2)
The Committee may co-opt “expert directors” relating to the objects and activities undertaken by the society :



Provided that, the number of expert directors shall not exceed two, which shall be in addition to the maximum number of members of the committee as specified in the first proviso of sub-section (1) :



Provided further that, the committee may, in case of the committee having not more than seventeen members, nominate a person as a functional director; and in case of the committees having more than seventeen members and not more than twenty-one members may nominate such number of functional directors, not exceeding two :



Provided also that, in respect of the society having contribution of the Government towards its share capital, the members of the committee shall include two officers of the Govt. nominated by the State Govt., which shall be in addition to the number of members specified in the first proviso to sub-section (1) :



Provided also that, in case the committee consists of two functional directors, one of such functional directors shall be an employee of the concerned society who is workman or is a representative of the recognized union of the employees of such society :


Provided also that, the functional directors and the members nominated by the State Government under the third proviso of a society shall also be the members of the committee and such members shall be excluded for the purposes of counting the total number of members of the committee specified in the first proviso to sub-section (1) :



Provided also that, such expert directors shall not have the right to vote at any election of the society and shall not be eligible to be elected as office bearers of the committee.

(3)
The term of the office of the elected members of the committee and its office bearers shall be five years from the date of election and the term of the office bearers shall be co-terminus with the term of the committee.


(4)
Any casual vacancy in the committee may be filled in from amongst the members belonging to the same category of persons in respect of which a casual vacancy has arisen.

(5-a)
If, at any general election of members of the committee, the committee could not be constituted after declaration of results, then notwithstanding anything contained in this Act or the rules or the by-laws of the society, the returning officer or any other officer or authority conducting such election shall, within seven days of the declaration of two-thirds or more number of members, forward their names together with their permanent addresses to the Registrar, who shall, within fifteen days from the date of receipt thereof by him, publish or cause to be published such names and addresses by affixing a notice on the Notice Board or at any prominent place in his office; and upon such publication the committee of the society shall be deemed to be duly constituted. In determining two thirds of the number of members, fraction shall be ignored :



Provided that, such publication shall not be deemed,-


(i)
to preclude the completion of elections of the remaining members and the publication of their names and the permanent addresses of the elected members likewise as and when they are available; or


(ii)
to affect the term of the office of members of the committee under the Act ;


(b)
The names of the remaining members after they are elected (together with their permanent addresses), may also thereafter be likewise published by the Registrar.”
73AA.



Where, after the commencement of the Maharashtra Zillah Parishads and Panchayat Samitis (Fourth Amendment) Act, 1974, designated officer of any society of any of the categories referred to in sub-section (2) of Section 73 A who is also an associate Councilor of any Zillah Parishad, ceases to be the associate Councilor of such Zillah Parishad by operation of the provisions of Section 82 of the Maharashtra Zillah Parishads and Pinhead Samitis Act, 1961, he shall also cease to be a designated officer of the said society from the date on which he so ceases to be an associate Councilor of the Zillah Parishad.
73AB.



Where a person is elected, co-opted, appointed or nominated as a member of committee of any society by virtue of his holding office under the Central Government or the State Government or in any local authority in any body corporate or in any organization, he shall cease to be such member on the date on which he ceases to hold such office.
73-B.


(1)
Notwithstanding anything contained in this Act or in the rules made there under or in any bye-laws of any society, on the committee of such society or class of societies as the State Government may, by general or special order, direct, “three seats” [* Was substituted By MAH. XXIV of 1961] shall be reserved,—


(a)
One for the members belonging to the Scheduled Castes or Scheduled Tribes;


(a-1)
One for the members belonging to the Other Backward Classes; “and” [* Was inserted By MAH. XXIV of 1961]


(a-2)
One for the members belonging to the De-notified Tribes (Vimukta Jatis), Nomadic Tribes or Special Backward Classes; and


(b)
One for the members belonging to the weaker section. [* Was deleted By MAH. XXIV of 1961]

(2)
The four reserved seats referred to in sub-section (1), shall unless where the bye-laws of the society already provide for the reserved seats, be in addition to the strength of the members of the committee of such a society or class of societies. [* Was deleted By MAH. XXIV of 1961]


(3)
Any individual member of the society, or any elected member of the committee of a member- society, or any member of the committee of a member-society, whether elected, co-opted or appointed under this section, belonging to the Scheduled Castes or Scheduled Tribes, or Other Backward Classes or De-notified Tribes (Vimukta Jatis) or Nomadic Tribes or Special Backward Classes “or as the case may be, weaker section” [* Was deleted By MAH. XXIV of 1961], shall be eligible to contest the election to reserved seat and every person who is entitled to vote at the election to the committee shall be entitled to vote at the election to any such reserved seat.


(4)
Where no person is elected to any of the four reserved seats, then; such seat or seats shall be filled in by nomination from amongst the persons entitled to contest the election under sub section (3). [* Was substituted By MAH. XXIV of 1961]


Explanation: For the purposes of this section;


(a)
a general or special order, if any, issued by the State Government under Section 73-B as it existed before the date of commencement of the Maharashtra Co-operative Societies (Amendment) Act, 1983 shall be deemed to have been issued under sub-section (1) of this section and shall continue to be in force until duly repealed or amended:


(b)
the expression "Scheduled Castes" includes "Nav-Boudhas"


(b-1)
the expression "Other Backward Classes, De-notified Tribes (Vimukta Jatis) and Nomadic Tribes and Special Backward Classes" means such classes or parts of or groups within such classes as are declared, from time to time, by the State Government to be Other Backward Classes, De-notified Tribes (Vimukta Jatis) and Nomadic Tribes and Special Backward Classes;


(c)
the expression "members belonging to weaker section" means a member or such class of members as the State Government may, by general or special order from time to time, declare [* Was deleted By MAH. XXIV of 1961]
73BB.


(1)
On the committee of such society or class of societies as the State Government may, by general or special order, direct where the number of permanent salaried employees of the society is 25 or more;


(a)
if the number of members of the committee thereof is 11 or less-one seat; and


(b)
if the number of such members is 12 or more - one additional seat for every 10 members over and above the first 11 members,



shall be reserved for such employees. The seat so reserved shall be filled by selection made by the recognized 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 recognized or not, then the seats so reserved shall be filed by an election by such employees from amongst themselves in the prescribed manner. Any person selected or elected as a member of the committee to any reserved seat shall not be entitled to be elected as an officer of such society, or to vote at any election of officers.



Explanation - for the purposes of this section the members of the committee shall mean and include elected, appointed, nominated, co-opted as well as ex-officio members of the committee but it shall not include the representatives of the employees


2)
No employee who is under suspension shall be eligible for being selected or elected or for being constituted as a member under subsection (1).


(3)
Subject to the provisions of sub-section (2), the term of a member representing the employees shall be co-terminus with the term of the committee as provided under the bye-laws of the society and after every fresh election of the members of the committee a fresh selection or election, as the case may be, of a member under sub-section (1), shall be necessary.
73BBB.


(1)
Notwithstanding anything contained in this Act, or in the rules made there under, or in the bye-laws of any society, there shall be reserved seats for women on the committee of each society to represent the women members in the following manner, namely:—


(a)
One seat on the committee consisting of not more than 9 committee members;


(b)
Two seats on the committee consisting of 10 or more, but not exceeding 19 committee members; and


(c)
Three seats on the committee consisting of 20 or more committee members.



Explanation - For the purpose of determining the number of committee members under this sub-section, committee members who are elected, co-opted, nominated, appointed or otherwise occupying the position on the committee under section 73B, 73BB and under this sub-section shall not be included.

(2)
The reserved seats referred to in sub-section (1) shall be in addition to the strength of the members of the committee of a society:



Provided that, where the bye-laws of a society already provide for reservation of seats for women on the committee thereof, the total number of seats to be so reserved for women shall be equal to the number of seats specified in sub-section (1).


(3)
Any individual woman member of the society, or any woman member of the committee of a member society, whether elected, co-opted or appointed, shall be eligible to contest the election to a reserved seat on a committee of society; and every person who is entitled to vote at the election of the committee shall be entitled to vote at the election to any such reserved seat.


(4)
Where no woman member or, as the case may be, women members are elected to the reserved seats, then, —


(a)
in the case of a society other than a society mentioned in clauses (b) and (c), the Chief Executive Officer such as the Chairman, Secretary or Manager or any other Officer, by whatever designation called (hereinafter in this section collectively referred to as "the Chairman");


(b)
in the case of a society notified under section 73-IC, the Registrar; and


(c)
in the case of a society specified under section 73G, the Collector shall call a meeting of the elected members of the committee to co-opt a woman member or, as the case may be, women members on the committee from amongst the persons entitled to contest the election under sub-section (3), and such meeting shall be presided over by the Chairman, if it is a society referred to in clause (a), or by the Registrar or any other officer authorised by him, if it is a notified society or by the Collector or any other officer authorised by him, if it is a specified society. If no woman member is co-opted at such meeting, the Chairman or the Collector or, where the meeting is presided over by an officer authorised by the Registrar or the Collector, such officer, as the case may be, shall, within a period of seven days from the date of such meeting, report the fact to the Registrar, and thereupon the Registrar shall, within a period of seven days from the date of receipt of such report by him, or where the Registrar himself has presided over such meeting, within a period of seven days from the date of such meeting, appoint on the committee a woman member or women members, as the case may be, from amongst the women members entitled to contest the election to the reserved seats under sub-section (3).

(5)
Nothing in this section shall apply to a committee of any society which exclusively of men members, or as the case may be, of women members.


(6)
Where election to the committee of any society has been held without holding election to such additional reserved seats or where election to such additional reserved seat could not be held on or before the 30th September, 1992 on account of any directions issued under section 157, then unless the process for election to the committee including such additional reserved seats for women members has already commenced, or election to the committee is or will be due and will be held after the commencement of the Maharashtra Co-operative Societies (Amendment) Act, 1992, such additional reserved seats of the committee shall be filled in by co-option of women members by the committee of the society.


(7)
Notwithstanding anything contained in sub-section (6), no election to such additional reserved seats shall be held where the term of the committee of a society is to expire within six months from the date of the commencement of the Maharashtra Co-operative Societies (Amendment) Act, 1991.


(8)
The term of office of such women members elected, co-opted or as the case may be, appointed on a committee, shall be co-terminus with the term of the committee as provided under the bye-laws of the society and at the time of every fresh election thereafter, election shall be held to the additional reserved seats for women members in accordance with the provisions of this section.
73-C.

Reservation for Women - [* Was Substituted By MAH. XXIV of 1961]

(1)
Notwithstanding anything contained in this Act, or in the rules made there under, or in the by-laws of any society, there shall be two seats reserved for women on the committee of each society consisting of individuals as members and having members from such class or category of persons, to represent the women members.


(2)
Any individual woman member of the society, or any woman member of the committee of a member-society, whether elected, co-opted or nominated, shall be eligible to contest the election to the seat reserved under sub-section (1).


(3)
Where no woman member or, as the case may be, women members are elected to such reserved seats, then such seat or seats shall be filled in by nomination from amongst the women members eligible to contest the election under sub-section (2).


(4)
Nothing in this section shall apply to a committee of a society exclusively of women members

73-D.



No member of a society, who is nominated to represent it on any other society, shall be eligible for being elected or appointed as a designated officer of the other society, unless the other society is its federal society.
73-E.



In the case of such class or classes of societies as may be specified by the State Government, by notification in the Official Gazette, no member shall be eligible for being elected or appointed as a designated officer, if he does not fulfill the minimum qualification relating to his transactions with the society of such monetary limits as may be laid down, from time to time, in such notification.
73-EA.

Disqualification for being director of district central co-operative bank or State co-operative bank.- [* Was deleted By MAH. XXIV of 1961]


Without prejudice to the other provisions of this Act or the rules made there under, in relation to the disqualification of being a member of a committee, no person shall be eligible for being appointed, nominated, co-opted or, for being a director of a District Central Co-operative Bank or of the State Co-operative Bank, if he.- 
 

(i)
Is a person who represents a society other than a primary agricultural credit co-operative society on the board of a District Central Co-operative Bank or State Co-operative Bank, if the society to whom he represents has committed a defaults towards the payments of such Bank for a period exceeding ninety days;
 

(ii)
Is a person who is defaulter of a primary agricultural credit co-operative society or an officer bearer of a defaulting primary agriculture co-operative credit society.


(iii)
Is  a person, who represents a society whose Managing Committee is superseded;
73-CA.

Disqualification of committee and its members.- [* Was substituted By MAH. XXIV of 1961]

(A1)
In the case of a society, which gives loans to members for purchasing machinery, implements, equipments, commodities or other goods, or which deals in such goods, no member, who or whose member of the family is a dealer in such goods or is a director of a company or a partner in a firm carrying on business in such goods, in the area of operation of the society shall be eligible for being elected or nominated as a member of the committee of such society. [* Was inserted By MAH. XXIV of 1961]



Explanation.- For the purpose of this sub-section, the expression ”family” shall have the same meaning as explained in the Explanation I, to sub-section (2) of section 75.

(1)
Without prejudice to the other provisions of this Act or the rules made there under, in relation to the disqualification of being a member of a committee, no person shall be eligible for being appointed, nominated, elected, co-opted or, for being a member of committee, if he-


(i)
Is a defaulter of any society;



Explanation.—For the purpose of this clause, the term “defaulter” includes-


(a)
In the case of a primary agricultural credit society, a member who defaults the repayment of the crop loan on the due date;


(b)
In the case of term  lending society; a member who defaults the payment of any installment of the loan granted to him;


(c)
In the case of any society;


(i)
A member who has taken anamat or advance; or,


(ii)
A member who has purchased any goods or commodities on credit or availed himself of any services from the society for which charges are payable; and fails to repay the full amount of such anamat or advance or pay the price of such goods or commodities or charges for such service, after receipt of notice of demand by him from the concerned society or within thirty days from the date of withdrawal of anamat or advance by him or from the date of delivery of goods to him or availing of services by him, whichever is earlier;

(d)
In the case of non-agricultural credit society, a member who defaults the payment of any installment of the loan granted;


(e)
In the case of housing societies, a member who defaults the payment of dues to the society within three months from the date of service of notice in writing served by post under certificate of posting demanding the payment of dues;


(f)
In the case of District Central Co-operative Bank or of the State Co-operative Bank, a member, if he, [* Was inserted By MAH. XXIV of 1961]


(i)
Is a persons who represents a society other than a primary agricultural credit co-operative society on the board of a District central Co-operative Bank or the State Co-operative Bank, if the society to whom he represents has committee a default towards the payments of such Bank for a period exceeding ninety days; [* Was inserted By MAH. XXIV of 1961]


(ii)
Is a person who is a defaulter of a primary agricultural credit co-operative society or is an office bearer of a defaulting primary agricultural co-operative credit society; [* Was inserted By MAH. XXIV of 1961]


(iii)
Is a person who represents a society whose Managing Committee is superseded. [* Was inserted By MAH. XXIV of 1961]


(ii)
has, in the opinion of the Registrar, deliberately committed breach of co-operative discipline with reference to linking up of credit with co-operative marketing or co-operative processing; or

(ii-a)
Has been classified as non-active member under subsection (2) of section 26; or [* Was inserted By MAH. XXIV of 1961]


(iii)
has been held responsible under section 79 or  88 has been held responsible for payment of costs of inquiry under section 85; or


(iv)
has incurred any disqualification under this Act or the rules made there under; or
  

(v)
Carries on business of the kind carried on by the society either in the area of operation of the society or in contravention of the provisions of “clause (b) of sub-section (A1);” or [* Was substituted By MAH. XXIV of 1961]



Explanation. -  [* Was deleted By MAH. XXIV of 1961]

(vi)
is a salaried employee of any society (other than a society of employees themselves) or holds any office of profit under any society, except when he holds or is appointed to the office of a Managing Director or any other office declared by the State Government by general or special order not to disqualify its holder or is entitled to be “or is nominated as functional director on the committee of a society under sub-section (2) of section 73 A”. [* Was substituted By MAH. XXIV of 1961]


(vii)
has more than two children:



Provided that, a person having more than two children on the date of commencement of the Maharashtra Co-operative Societies Act, 2001, shall not be disqualified under this clause so long as the number of children he had on the date of such commencement does not increase:



Provided further that, a child or more than one child born in a single delivery within the period of one year from the date of such commencement shall not be taken into consideration for the purpose of disqualification mentioned in this clause.


Explanation.- For the purposes of  this clause,--


(a)
Where a couple has only one child on or after he date of such commencement , any number of children born out of a single subsequent delivery shall be deemed to be one entity;


(b)
“Child” does not include an adopted child or children.


(viii)
Is held guilty for any offence under section 146 and convicted under section 147; or [* Was inserted By MAH. XXIV of 1961]


(ix)
Is convicted with imprisonment of not less than one year for an offence under the provisions of any law for the time being in force; [* Was inserted By MAH. XXIV of 1961]
 

(2)
A member, who has incurred any disqualification under sub-section (1), shall cease to be a member of the committee and his seat shall thereupon be deemed to be vacant.

(3)
A member of a committee who has ceased to be a member thereof, on account of having incurred disqualification under sub section (A1) and clauses (i) to (ix) of sub-section (1) shall not be eligible to be re-elected, re-co-opted or re-nominated as a member of the committee till the expiry of the period of next term of five years of the committee from the date on which he has so ceased to be a member of the committee. [* Was inserted By MAH. XXIV of 1961]


(4)
A member of a committee who has ceased to be a member thereof, on account of having incurred any disqualifications, referred to in sub-section (3) shall, unless otherwise specifically provided in this Act, be eligible to be re-nominated, re-co-opted or re-elected as a member of the committee as soon as such disqualification ceases to exit. [* Was inserted By MAH. XXIV of 1961]