Section 7 of The Multi-State Co-operative Societies Act, 2002
- (1)If the Central Registrar is satisfied--
- (a)that the application complies with the provisions of this Act and the rules;
- (b)that the proposed multi-State co-operative society satisfies the basic criterion that its objects are to serve the interests of members in more than one state;
- (c)that its bye-laws provide for social and economic betterment of its members through self-help and mutual aid in accordance with the co-operative principles;
- (d)that the proposed bye-laws are not contrary to the provision of this Act and the rules, he may register the multi-State co-operative society and its bye-laws.
- (2)The application for registration shall be disposed of by the Central Registrar within a period of four months from the date of receipt thereof by him.
- (3)Where the Central Registrar refuses to register a multi-State co-operative society, he shall communicate, within a period of four months from the date of receipt of the application for registration, the order of refusal together with the reasons therefor to the applicant or applicants, as the case may be: Provided that no order or refusal shall be made unless the applicants have been given a reasonable opportunity of being heard: Provided further that if the application for registration is not disposed of within a period of four months specified in sub-section (2) or the Central Registrar fails to communicate the order of refusal within that period, the application shall be deemed to have been accepted for registration and the Central Registrar shall issue the registration certificate in accordance with the provisions of this Act and the rules made thereunder.
Summary
- The Central Registrar can register a society if the application and its bye-laws comply with the Act, serve members in more than one state, and promote economic and social betterment through self-help and mutual aid.
- Financial cooperative societies involved in thrift and credit must meet specific guidelines regarding paid-up capital, reserves, liquidity, and exposure risk limits.
- The registrar must decide on the registration application within three months, though this can be extended by up to two months if the applicant needs to correct mistakes.
- If the registrar refuses the application, they must give the applicant a hearing opportunity and share the reasons in writing, but if they fail to decide within the deadline, the application is deemed accepted.
Practical examples
FAQ
1. What is the maximum time limit for the Central Registrar to dispose of a registration application under Section 7 of The Multi-State Co-operative Societies Act, 2002?
Under Section 7 of The Multi-State Co-operative Societies Act, 2002, the Central Registrar must dispose of the application within three months, which can be extended by a maximum of two months to allow for rectification of mistakes if requested by the applicant.
2. What happens if the Central Registrar fails to decide on a registration application within the deadline under Section 7 of The Multi-State Co-operative Societies Act, 2002?
Under Section 7 of The Multi-State Co-operative Societies Act, 2002, if the Central Registrar fails to dispose of the application or communicate a refusal order within the allowed period, the application is deemed to have been accepted for registration, and a certificate must be issued.
3. Can the Central Registrar reject a registration application without a hearing under Section 7 of The Multi-State Co-operative Societies Act, 2002?
No, under Section 7 of The Multi-State Co-operative Societies Act, 2002, the Central Registrar is legally prohibited from issuing an order of refusal unless the applicant has been given a reasonable opportunity of being heard.
Test yourself
Q1.Under Section 7 of The Multi-State Co-operative Societies Act, 2002, what is the default time period within which the Central Registrar must dispose of an application for registration?
Q2.Under Section 7 of The Multi-State Co-operative Societies Act, 2002, by how much can the disposal period of three months be extended for the rectification of mistakes?
Q3.Under Section 7 of The Multi-State Co-operative Societies Act, 2002, what happens if the Central Registrar fails to communicate an order of refusal within the legally prescribed time frame?
Q4.Under Section 6 and Section 7 of The Multi-State Co-operative Societies Act, 2002, which of the following is a mandatory condition that a proposed society's bye-laws must satisfy to be registered?