Logo
Court Book - India Code App - Play Store

advertisement

Section 39

Dissolution by Members.

(1) A Co-operative Society may, by a special resolution, authorize its own dissolution:

Provided that a notice of the general meeting shall also be sent with an invitation to attend, to the Registrar, to any federations of which the Co-operative Society is affiliated, to creditors and to any organisation with which a partner-ship contract has been entered into.

(2) Invites under the proviso of sub-section (1) shall have the right to make a representation to the general body if they so wish to, giving reasons why dissolution is not called for.

(3) Within fifteen days of such authorization for dissolution, the Co-operative Society shall send to the Registrar a copy of the authorisation to dissolve the Co-operative Society by registered post.

(4) The authorisation approved in pursuance of subsection (1) is required to set out the following, namely:-

(a) the assets and liabilities of the Co-operative Society;

(b) the claim of creditors, and collaborators and protected shareholders;

(c) the number of members;

(d) the nature and extent of the member’s interest in the Co-operative Society; and

(e) the name of the liquidator, if appointed by the general body, or a request to the Registrar to appoint the liquidator or a request to the Registrar to issue a certificate of dissolution where there are no assets or liabilities.

(5) Where the Registrar receives the special resolution passed in pursuance of sub-section (1), he shall cause at the expense of the Co-operative Society a notice of the special resolution to be published once a week for two weeks in a newspaper published or distributed in the district where the registered office of the Co-operative Society is located.

(6) The Registrar may require from the Co-operative Society, the liquidator appointed by the Co-operative Society or any other person who is required to furnish information, a periodical return showing:-

(a) the progress of dissolution;

(b) the distribution of any undistributed surplus or reserve; and

(c) any other relevant information that if any require.