Registration of Co-op Society

The procedure for registration of society can be explained as the following steps:

APPOINTMENT OF CHIEF PROMOTER

1. Select a provisional committee and elect a Chief Promoter for formation of a society and
2. Select a name for such Society with three alternatives and to pass appropriate resolutions in that behalf.
3. To collect the entrance fee and share capital from the prospective members.
4. To open the Bank account in the name of chief promoter
5. To decide about area of operation of the Society and
6. To decide about the registered office of the Society
7. To authorize chief promoter to submit the proposal for registration and to do any other thing to get the society registered.

NAME RESERVATION

The second step would be to apply to the registration authority (RA) for reservation of name for the society and obtain letter from the RA in that connection. The resolutions passed at the promoters meeting as above should accompany such application for reservation of name as aforesaid. The letter reserving the name of the society shall be valid for 3 months. The validity of the name is normally extended on an application for 1 or 2 further terms of 3 months each.

BANK ACCOUNT AND DEPOSITS

The third step would be to (a) open a bank account in the name of the proposed Society as per the RA’s directions in that behalf that shall contain in the letter reserving the name and (b) deposit therein the entrance fee share money and the amount recovered for preliminary expenses from the promoters and obtain the certificate from such bank in respect of such deposits. Normally the directions of the RA are to open account with a proximate branch of the District Central Co-operative Bank or any Maharashtra State Co-operative Bank or any other urban Co-operative bank.

REGISTRATION FEE

The fourth step is to deposit the registration fee with the Reserve Bank of India and to obtain the receipted challan in that behalf. The registration fee for Housing Society is Rs.2,500/- and for general Society is Rs.1250/-.

REGISTRATION PROPOSAL

The fifth and final step is to prepare and to submit to RA the proposal for registration of the society. Under Rule 4 of Maharashtra Co-operative Societies Rules the chief promoter should submit the following documents for registration

1. Application for registration - Form A An application for registration of a society should be made in form. The specimen of Form A. The application for registration in quadruplicate should be signed by at least 60% of the promoter’s members and Chief Promoter should attest their signatures.
2. Four copies of the proposed bye-laws of the society
3. A list of promoter’s members, such as the name age occupation current residential a address of the promoter member the cost of share amount etc.
4. A certificate from the Bank or Banks stating the credit balance therein in favour of the proposed society
5. A scheme showing the details explaining how the working of the society will be economically sound and where the scheme envisages the holding of immovable property by the society, the description of such property proposed to be purchased, acquired or transferred to the society
6. Such other documents as may be specified in the model bye-laws, if any, framed by the Registrar
7. The registration fees at the applicable rates
8. Other documents like affidavit, indemnity bonds, copy of ration cards, public notice in newspaper etc., as may applicable for different types of society as per the notification issued from time to time

REGISTRATION PROCEDURE

As per rule 5[1] On receipt of an application under Rule 4 the Registrar shall enter particulars of the application in the register of application to be maintained in Form ‘B’ give a serial number to the application and issue a receipt in acknowledgement thereof.

5[2] The Registrar may give where necessary opportunity to the promoters to modify the proposed bye-laws before finally registering the society or rejecting the application for registration of the society.

5[3] On registering a society and its bye-laws under sub-section (1) of section 9 the Registrar shall as soon as may be, notify the registration of the society in the Official Gazette and grant to the society a certificate the Registration number of the society, and the date of its registration. The registrar shall also furnish the society with a certified copy of the bye-laws approved and registered by him.

REFUSAL OF REGISTRATION

Where any society does not furnish the information in regard to the society as required by the Registrar or fulfill any of the conditions laid down in the Act or these Rules, Notification or orders, the Registrar may refuse to register that society.

APPEALS

Under section 152 an appeal against an order or decisions of registration of society, refusal of registration of society shall lie

(a) if made or sanctioned or approved by the Registrar, or the Additional or Joint Registrar on whom powers of the Registrar are conferred, to the State Government. (b) If made or sanctioned by any person other than the Registrar, or the Additional or Joint Registrar on whom the powers of the Registrar are conferred to the Registrar. Ultimately a remedy of Writ Petition under Article 226 or 227 of the Constitution of India is always available even to a Co-operative society or a person aggrieved in an extraordinary circumstances. Which means if the decision of State government on the appeal made by the aggrieved party is not acceptable a Writ Petition can be filled in the High Court and then Supreme Court.