Section 17 of The Co-operative Societies Act, 1912
- (1)The Registrar shall audit or cause to be audited by some person authorised by him by general or special order in writing in this behalf the accounts of every registered society once at least in every year.
- (2)The audit under sub-section (1) shall include an examination of overdue debts, if any, and a valuation of the assets and liabilities of the society.
- (3)The Registrar, the Collector or any person authorised by general or special order in writing in this behalf by the Registrar shall at all times have access to all the books, accounts, papers and securities of a society, and every officer of the society shall furnish such information in regard to the transactions and working of the society as the person making such inspection may require.
Summary
- This provision makes sure that every society's finances are checked by an official authority regularly.
- The Registrar, or someone authorized by them, must audit the accounts of every registered society at least once a year.
- The audit must specifically examine any overdue debts and calculate the value of the society's assets and liabilities.
- The people conducting the audit have the right to access all books, papers, and securities at all times, and society officers must provide any information requested.
Practical examples
FAQ
1. How often must an audit happen under section 17 of The Co-operative Societies Act, 1912?
Under section 17 of The Co-operative Societies Act, 1912, the Registrar must audit the accounts of every registered society at least once every year.
2. What exactly does the annual audit cover according to section 17 of this 1912 Act?
According to section 17 of this 1912 Act, the audit includes checking any overdue debts and evaluating the society's assets and liabilities.
3. Who has the right to look at the books during an audit under section 17 of the co-operative societies law?
Under section 17 of the co-operative societies law, the Registrar, the Collector, or any authorized person has the right to access all books, accounts, papers, and securities at all times.
Test yourself
Q1.Under Section 17 of The Co-operative Societies Act, 1912, what specific financial items must be included in the annual audit?
Q2.Under Section 17 of The Co-operative Societies Act, 1912, who is granted access to the society's books and accounts at all times?
Q3.Under Section 17 of The Co-operative Societies Act, 1912, what obligation do officers of the society have during an audit?
Q4.Reading Section 17 alongside Section 36 of The Co-operative Societies Act, 1912, how does a standard yearly audit differ from a creditor-initiated inspection?