The 97th Constitutional Amendment Act of 2011 gave a constitutional status and protection to co-operative societies. In this context, it made the following three changes in the constitution:
- It made the right to form co-operative societies a fundamental right (Article 191 ).
- It included a new Directive Principle of State Policy on promotion of co-operative societies (Article 43-B2 ).
- It added a new Part IX-B in the Constitution which is entitled “The Co-operative Societies” (Articles 243-ZH to 243-ZT).
➤Part IX-B of the constitution contains the following provisions with respect to the cooperative societies:
Incorporation of Co-operative Societies:
The state legislature may make provisions for the incorporation, regulation and winding-up of co-operative societies based on the principles of voluntary formation, democratic member control, member- economic participation and autonomous functioning.
Number and Term of Members of Board and its Office Bearers:
The board shall consist of such number of directors as may be provided by the state legislature. But, the maximum number of directors of a co-operative society shall not exceed twenty-one.
The state legislature shall provide for the reservation of one seat for the Scheduled Castes or the Scheduled Tribes and two seats for women on the board of every co-operative society having members from such a category of persons.
The term of office of elected members of the board and its office bearers shall be five years from the date of election.
Articles Related to Co-operative Societies at a Glance
243ZH Definitions
243ZI Incorporation of Co-operative Societies
243ZJ Number and Term of Members of Board and its Office Bearers
243ZK Election of Members of Board
243ZL Supersession and Suspension of Board and Interim Management
243ZM Audit of Accounts of Co-operative Societies
243ZN Convening of General Body Meetings
243ZO Right of a Member to Get Information
243ZP Returns
243ZQ Offences and Penalties
243ZR Application to Multi-state Co-operative Societies
243ZS Application to Union Territories
243ZT Continuance of Existing Laws
