Cooperative Department
Rajasthan
Certificate of Registration
Certified that the application made by Rajasthan Scheduled Caste, Scheduled Tribes Finance and Development Cooperative Corporation Ltd. Jaipur, Rajasthan Sate Cooperative Bank Ltd., Jaipur, Rajasthan Small Industries development Corporation, Rajasthan Handloom Development Corporation and other, under section 6 of the Rajasthan Cooperative Society, under the Societies Act. 1965, for the registration of a Cooperative Society, under the name "The Rajasthan Minority Finance & Development Cooperative Corporation Ltd., Jaipur", district Jaipur, has been accepted and the Society is hereby registered at No. 279 LC on this 29th day of May, 2000, under section 8 of the said Act, after having received exemption from the requirements of registration u/s 138 of the Act, as issued by the Govt. of Rajasthan, subject to the conditions, stated in the said application and to the provisions of the said Act and of the bye-laws of the society.
This Registration certificate is issued under my seal and signature of this 29th day of May, 2000.
Registrar,
Cooperative Societies,
Rajasthan, Jaipur
THE RAJASTHAN MINORITY FINANCE &
DEVELOPMENT COOPERATIVE CORPORATION
LIMITED, JAIPUR
BYE LAWS
OF
THE RAJASTHAN MINORITY FINANCE & DEVELOPMENT COOPERATIVE CORPORATION LIMITED, JAIPUR
Registration No. 279/LC
Under Cooperative Societies Registration Act, 1965
BAY LAWS NO. 1
NAME, CONSTITUTION AND ADDRESS
A. This Cooperative Society shall be called "The Rajasthan Minority Finance & Development Cooperative Corporation Ltd. Jaipur''.
B. This Corporation will be registered as a Cooperative Society under the Rajasthan Cooperative Society Act, 2001.
C. Head Quarters of this society will be in Jaipur.
D. The area of operation of the Corporation shall be the whole State of Rajasthan.
BAY LAWS NO. 2
DEFINITION
A. In these byelaws, unless the context otherwise requires:-
i) "Society" Means a Cooperative Society of the Minority and any other society registered under Rajasthan Cooperative Society Act working for the welfare of the Minority persons.
ii) "Corporation" means The Rajasthan Minority Finance & Development C-operative Corporation Ltd. Jaipur.
iii) "Act." means Rajasthan Cooperative Societies Act. 2001.
iv) "Board" means the Board of Directors of the Corporation.
v) "Rules" means the Rajasthan Cooperative Societies Rules 2003.
vi) "Government" means Government of Rajasthan.
vii) "Chairman" means the Chairman of the Corporation.
viii) "Central Government" means the Government of India.
ix) "Marketing" means all activities relating to the transport, grading, polling marketing, sale of agriculture or industrial produces, whether in the primary from or semi process of processed from.
x) "Prescribed" means prescribed by Rules made under the Act.
xi) "Processing" means all activities relating to the processing of agriculture produce as to make its marketable or fit for consumption and includes purchase & storage of raw material, purchase of equipments, purchase, installations & running of machinery required for processing and storage of finished produce.
xii) "Minority" means various castes of Minority as declared by Govt. of Rajasthan as Minority Castes from time to time by official gazette.
xiii) "Small Scale Industries" means such cottage and small industry as may be notified in the official Gazette and specified by the State Government.
xiv) "Supply & Storage" means supply and storage of agriculture and other subsidiary inputs & Establishment, maintenance, running of storage, cold storage and ware houses etc.
xv) " Managing Director" means Managing Director of the Corporation.
xvi) " Secretary" means Secretary, Social Welfare and Social Security.
xvii) "Margin Money" means the margin money required by the Financial Banking Institutions, for the beneficiaries or as may be dealt by the Corporation from time to time.
B. Meaning of the terms specific to the Act and the Rules shall have the same meaning in these byelaws also, where used.
BAY LAWS NO. 3
OBJECTIVES AND FUNCTIONS
The primary duty of the Corporation is to undertake the takes of Economic upliftment of the members of Minority in the State of Rajasthan. The functions or Corporation shall therefore be as follows:
i) The Corporation shall plan to promote, undertake and assist Program of agriculture development, animal husbandry, marketing, processing, supply & Storage of agriculture products, small scale industries, village industries, cottage industries, industry, Trade, Business, Housing and Schemes of any other activities which will enable the members of Minority to earn a better living and help them to improve their standard of living.
ii) To promote programmers of sifting up of employment oriented industries, village Industries etc. by providing technical knowledge, managerial assistance, financial assistance and any other from of assistance which may be required in achieving its objectives, including/ providing the necessary Financial Guarantee to institutions of members of Minority.
iii) The Corporation, with a view to achieve those objectives, shall render and seek assistance from Govt. Department, Financial Institutions, Public Sector Organizations, a Cooperative society or Trust or a society registered under Society Registration Act, 1958 especially set up for the purpose.
iv) To do all other things as are incidental or conduct to the attainment of these above objective.
v) To receive grant/ Gift, Donation, loans, advances or other money on deposits or otherwise from the Rajasthan Govt. or the Govt. of India or Cooperative or Commercial Bank, Life Insurance Corporation of India, Companies, Trust or Individual with or without allowance of interest thereon in pursuance of the above object.
vi) To provide working capital and other financial assistance in nay from to the members by advancing loans and cash credits.
vii) To coordinate, supervise & Control the activities of affiliated societies and individual members indebted to the Corporation or who obtain supplies and service from the Corporation.
viii) To Act as the agent of the Govt. for procurement, supply and distribution of agricultural or other produce or other goods as and when required to do so.
xi) To provide facilities for survey, research or study or the problems relating to the cottage & village industries, small business to assess potentialities of village cottage & small scale Industries for the purpose of providing employment to its members especially the occupational groups among them.
x) To arrange for the publicity and marketing or the finished goods, products manufactured by the members. If necessary by opening showrooms, emporium, exhibitions etc.
xi) To provide for the Welfare of the persons in the employment of the Corporation and facilities including wives, widows of such persons, by establishing provident or other funds etc.
xii) To take persons on deputations from various Government Department.
xiii) To encourage self help thrift and cooperation among the affiliated societies and their members.
xiv) To rent or own godowns or undertake constructions of godowns on behalf of affiliated societies to facilities the grant of loans to members and the sale of their produce or storage of raw material and manufactured goods.
xv) Notwithstanding anything contained in these by laws, the Government may after Consultation with the Corporation entrust either conditionally or unconditionally to the Corporation, additional function in relation to the Social security or social insurance or uplift of the weaker sections of the societies in the state.
BYE LAWS NO. 4
SHARE CAPITAL
The authorized share capital of the Corporation shall be Rs. 5.00 crores made up for the following categories:
i) "A" Class shares of Rs. 1000/- each which shall available to (i) State Government, and (ii) Central Government.
ii) "B" Class share of Rs. 500/- each which shall be made available to primary and District level Cooperative societies, Financial Institutions, Commercial Banks, Autonomous and semi autonomous Banks, National Minorities Financial and Development Corporation.
iii) "C" Class share of Rs. 100/- each which shall be made available to persons of Minority.
BYE LAWS NO. 5
MEMBERSHIPS
a). The membership of the Corporation will be categorized as under:
i) "A" Class, membership will be provided to Government of India and Government of Rajasthan.
ii) "B" Class, membership will be given to any apex level Cooperative Institutions, Primary & District level Cooperative Societies registered under the Act., Financial Institutions, Commercial Banks, Autonomous and semi autonomous Bodies, State and National level Financial Corporations.
iii) "C" Class, membership will be available to individual members of Minority notified by Govt. of Rajasthan from time to time.
b). Every member, joining the Corporation, shall take at least one share and will deposit the admission fee as Rs. 10.
c). Every application for admission to the Corporation shall be in the form prescribed by the Corporation and addressed to its "Managing Director". The membership will be admitted by Board of Directors but in case the Board decides to refuse admission it shall record reasons for such refusal and the said decision with reasons thereof shall be communicated to the applicant.
d). Every applicant will have to undertake in writing that it shall abide by these Bye-Laws and any amendment made hereinafter during the period of his membership.
e). Unless the amount of minimum share and admission fee has been deposited with the corporation and the membership is admitted by the Board, no rights of membership shall accrue to the applicant.
f). Any member after the expiry of period of two years of is membership may resign after clearing of all the loan and other dues, if any, and fulfillment of contracts by giving at least a two months notice to the Corporation and this will be under the provisions made under the Act & Rules.
BYE LAWS NO. 6
LIABILITY
The liability of the member of the Corporation shall be limited to the face value of the subscribed share capital by the respective members and shall be governed by the relating provisions of the Act & Rules.
BYE LAWS NO. 7
A. Every member shall have to purchase shares of such amount as decided by the Board of Directors but it shall not be less than 2% of its borrowings.
B. Every member shall on allotment, pay an entrance fee of Rs. 10/- and share money as prescribed under these bye laws.
C. No individual member shall hold more than 1/5th of total paid up share capital or Rs. 5000/- which ever is less.
BYE LAWS NO. 8
1
a. Every allotted of share shall be entitled to receive share certificate in respect of share or shares.
b. Share certificate or certificates shall be signed by the Managing Director and counter signed by one other Director of the Corporation. If any such share or certificate is lost or damaged/ worn out, duplicate certificate may be issued on payment of Rs. 2/- per certificate provided that such evidence as the committee may deem reasonable is produced regarding the loss of such certificate.
c. If a member dies, his membership shall cease.
d. Every member may nominate any person or persons to whom in the event of his death, the value of his share or shares or any other money due to his shall be paid.
e. The number of persons so nominated shall not excess the number of shares held by the members.
f. When member nominates more than one person in respect of shares held by him. he shall as for as possible specify the amount to be paid to each nominee in terms of whole share.
g. A nomination made by a member and any variation of revocation thereof, shall not be valid unless.
h. It is made in writing and signed by the member in the presence of at least two witnesses.
i. It is entered in the books of the Corporation kept for the purpose.
BYE LAWS NO. 9
REMOVAL OF A MEMBER
1. If a member has acted against the Corporation it shall be in competence there of the General Body to remove or expel him from membership by a resolution passed at its meeting by not less than 2/3 of the members present in voting at meeting, after giving him and opportunity to state his objections, if any.
2. The resolution referred to in bye laws No. 9 (Part I) shall not take effect until it is approved by the Registrar, Cooperative Societies.
BYE LAWS NO. 10
TRANEFER OF SHARE AND INTEREST
a). No member shall be permitted to transfer any share or interest held by it unless:-
i). The member has held such share for not less two year.
ii). The member has cleared its dues to the Corporation and that there are no debts due to Corporation, in case to which he stands surety.
iii). Board has accepted the transfer for admission to membership.
iv). Once the Board accepts the transfer, the name of the transferee, shall be entered in the share transfer Register.
v). Every endorsement upon the certificate of any share for transfer shall be signed by the Managing Director.
BYE LAWS NO. 11
The membership of a society in the Corporation shall cease if :-
1. All the shares held by the member society have been Due to cancelled.
2. Cancellation of its Registration.
BYE LAWS NO. 12
A past member shall be liable for the shares held by him as they existed on the date when he ceased to be a member for a period of two years from such date.
BYE LAWS NO. 13
The Corporation shall raise its funds from the following source :-
1. Share Capital.
2. Entrance Fees and other Fees.
3. Deposits from Members and non-members.
4. Loans:-
i) From Life Insurance Corporation of India.
ii) Cooperative Financial Agency.
iii) Commercial Banks.
iv) State & Central Government Zill Parishad & Panchayat Samities.
v) National level Finance and Development Corporation, New Delhi.
5. Grants/ Subsidies from State & Central Government.
6. Debentures/ Bonds etc.
7. Other sources on Approval from the State Govt.
NOTE:- The Corporation may accept deposits from members on such terms and conditions as the Board may decide from time to time.
BYE LAWS NO. 14
BOARD
a). The Board shall be responsible to take all decisions and terminate policies regarding the administration and execution of its policies without prejudice to its general powers and duties, the following matters shall be dealt with by the Board.
1. Consideration of Annual Report and Accounts of the Corporation and its Audit Reports.
2. Preparing proposals for disposal of net profit.
3. Proposing amendment of Bye Laws before general body.
4. Proposing expulsion of members as per Bye Laws before general body.
5. Approval of the Annual Budget of income and expenditure and its working plan for the year.
6. Review of the loan and advance sanctioned of the business done with the Corporation by he member of societies and recoveries is made.
7. Review of the business done with the Corporation by the members of the Board and their relatives and any other irregularity intimated by the Registrar.
9. Any other matter with the permission of the Chairman.
b). The General Body may delegate by a resolution to the Board of Director its powers in respect of any item as considered necessary by it or specific reasons or withdraw by resolution such powers at any time.
c). A special General Body meeting shall be convened by the Managing Director within a period of the one month in the following circumstance :-
1. If the Board of Directors have resolved for such meeting.
2. If requisition for such meeting signed by not less than 1/5 members has been received.
3. On written order of the Registrar.
d). In the special General meeting no other business shall be transacted except that for which the meeting has been summoned.
e). A notice of the meeting of the General Body shall be issued specifying, place and date of the meeting at least 15 days in advance. If possible the notice may also published in the Newspapers.
f). The quorum of the General Body shall be 2/3 of the total number of members, on rolls. The meeting postponed due to want of quorum may be held as per provisions of Rules. Every member shall exercise one vote. All the matters shall be decided by the majority of the votes. In case of equality of votes, the Chairman shall exercise his casting vote. No. member or representative shall qualified to attend the General Body meeting of the Corporation if incurs any disqualification under the Act, Rules and these Bye-Laws.
g). The Chairman of the Corporation or in his absence, one of the member elected by the General Body for the purpose shall Chair the meeting, who will conduct the proceedings.
h). The proceeding of the General Body meeting shall be recorded in the minutes book of the Corporation within three days, which will be signed by the Chairman of the meeting and the Managing Director.
BYE LAWS NO. 15
MANAGEMENT OF THE CORPORATION
The management of the Corporation shall vest in a Board of Directors. The Board shall consist of 15 persons as detailed below.
To be elected from B class members-7
i). from primary societies-3
ii). from central societies-3
iii).from other instituations-1
To be elected from C class members-4
Members of the State Government-3
Managing Director of the Corporation-members Secretary
The first Board meeting after the rejection of the members of the board of Directors shall elect to Chairperson from amongst the elected members of the Board in secure dance with the procedure laid down in the Act & Rules. The Chairperson shall hold office till the expiry of the term of the board unless disqualified by the Act, the Rules of these byelaws. To that case it here Chairman shall be elected from amongst the elected member of the board for the remaining term as per the rules and byelaws.
BYE LAWS NO. 16
a. The members of the Board except these nominated by the Government shall be elected b y the General Body in accordance with the provisions of the Rajasthan Cooperative Society Act and Rules made therefore.
b. The terms of the members of the Board shall be for a period of five years.
c. Each members of the Board shall have one Vote.
d. Any interim vacancy or vacancies of the elected members shall be filled by option by the remaining members or the Board at a meeting. The members of the Board co-opted in any interim vacancy shall also vacate their office on the expiry of the term of office of the Board.
e. The proceedings of the Board shall not be invalidated on account of any vacancy or vacancies on the Board which may remain unfilled.
f. Any members of the Board may at any time resign from his office by sending a letter of resignation which shall take effect from the date on which shall it is accepted by the Board.
BYE LAWS NO. 17
ELECTIONS
Election to the Board of Directions and the office between shall be conduced by the Rajasthan State Election Authority in accordance with the provisions of the Act & the Rules.
BYE LAWS NO. 18
MANAGING DIRECTOR
The Government shall appoint an officer of the Government as Managing Director of the Corporation.
BYE LAWS NO. 19
MEETING OF THE BOARD
a. The Board shall meet as often as necessary to conduct the business of the Corporation. Such meeting shall be convened by the Managing Director giving 10 days notice of the meeting. Quorum for the meeting shall be valid when 7 members are present. If the meeting is postponed for want of quorum, an adjourned meeting be called, provided this information is given in the meeting agenda. No quorum shall be necessary to be observed in the adjourned meeting.
b. All questions, before the Board, shall be decided by majority of votes, in case of equality of votes the Chairman or any other member of the Board presiding at the meeting in the absence of the Chairman, shall exercise a casting vote. No member of the Board shall be present at any meeting of the Board where any matter in which he personally interested is being discussed.
c). The Managing Director of the Corporation shall also with in a period of 15 days from the date of receipt of requisition for meeting of the Managing Board from at least 7 members of the Board or from the Registrar would convene a meeting stating the subject to be considered there at.
d). Notice for the meeting shall be sent by local delivery or by post under certificate of posting.
2. The notice of meeting shall be deemed sufficient and proper, if sent to the address given by the members, it will be their duty to keep the Corporation up to date in terms of any change in their address.
BYE LAWS NO. 20
DISQUALIFICATION OF A MEMBER OF THE BOARD
A delegate of an affiliate society which is in default to their Corporation or toe any other society for a period exceeding 6 months shall cease to be a Director in the Corporation or vote at the meeting of the General Body. The Provision of any qualification mentioned in the Act & Rules shall also apply for the directors.
BYE LAWS NO. 21
DISQUALIFICATION
No. delegate of any affiliated society shall be eligible for being chosen as and for being member of Board if :-
A. He is a Defaulter to the society which he belongs or to any other society for a period exceeding three months.
B. He is a delegate of the Society which is defunct or is a defaulter to the Corporation or any other society for a period exceeding six months.
C. He acquires any interest in any other get to work being done for the Corporation except us otherwise prescribed in the Rules.
D. He is of unsound mind and stands so declared by competent court.
E. Ceased to be member of the Society of which he representative.
F. He is appearing as a paid legal counsel on behalf of the Corporation or if he is appearing against the Corporation, has held office as a Director of the Apex or the Central or one apex and one central society.
G. He resigns.
H. His delegation is withdrawn.
I. The Board which elected him as a delegate has been superseded.
J. The affairs of the affiliated society, of which he is the delegate, are waived of.
BYE LAWS NO. 22
POWERS OF THE BOARD OF DIRECTORS
A. To raise funds for the purpose of the Corporation in the form of loan grants, subsidies and determine the terms on which they should be raised.
B. Admit members.
C. To appoint, suspend, remove or dismiss of otherwise deal with the employee of Corporation.
D. To establish and maintained provident funds for other benefits funds for the employees as laid down in the Bye Laws.
E. To determine from time to time who shall be entitled to sign on behalf of the Corporation on bills, notes, receipts, acceptance, endorsement cheques, release contract and document to give the necessary authority for purpose in the absence of the Managing Director.
F. To frame subsidiary regulations for the conduct of business of the Corporation with the approval of Registrar, Rajasthan Cooperative Societies.
G. To institutes, conduct, defend, compose or abandon any legal proceeding by or against the Corporation or its officers.
H. To sanctions or approve investment of funds of the Corporation and to grant loans and advances to members.
I. To scrutinize and put up the annual budget and their expenditure to the General Body.
J. To sanction, creation of post for the management of the Corporation subject to Budget Allotment and to appoint or take on loan service of officers of the Government for carrying out the business of the Corporation.
K. To prescribe or regulate from time to time the strength of office and field staff, their scales, salaries, allowances and other condition of service and to incur such budget allotment and to expenditure as may be necessary for the management of the Corporation with reference to the scale and without budget limit.
L. To arrange for the efficient supervision of affiliated societies.
M. To present annual report and the statement of account to the General Body.
N. To sanction extension of the period for loans which become due for payment.
O. To convene meeting of the General Body and to convene special meeting of the General Body of the affiliated societies and to address them.
P. To direct the society concerned to take action for recoveries of amount due from the members of concerning society.
Q. To sanction all over business incidental to the Administration of the Corporation and to arrange to maintain such accounts and registers as prescribed under Act/ Rules and Bye-laws.
R. To sanction loans and assistance to the employees for purpose specified in the Bye-Laws.
BYE LAWS NO. 23
OFFICER OF THE CORPORAITON
CHAIRMAN:- The Chairman shall preside over all meetings of the General Body, Board of directors and such other bodies/meetings formed/convened under the provisions in these byelaws or as decided by the board.
CHAIRMAN:- The Chairman shall be nominated by the State Government for such period as it may decided from time to time.
POWER OF THE MANAGING DIRECTOR
1. The Managing Director shall be the Chief Executive of the Corporation and shall have a seat on the Board for implementing the resolutions of the Board and the General Body. The Managing Director shall be responsible for the executive administration of the Corporation.
2. He shall be the officer to use or to be used on document executed in favors of the Corporation which shall in his name and he shall be the custodian of the property of the Corporation and shall also arrange the custody of the property and cash belonging to the Corporation through the subordinate staff working under him.
3. He can open and operate the bank account of the Corporation individually or jointly with any other officer authorized for the purpose and subject to such directions and limits as may be laid down by the Board.
4. He can buy, sell, pledge, endorse and transfer promissory notes, Govt. and other securities standing in the same and held by the Corporation.
5. To sign endorse and negotiate cheques and other negotiable instruments and to sign all receipts and other documents connected with the business of the Corporation.
6. To cause the maintenance of all the accounts and registers as per the Bye Laws and submission in time such return as prescribed under the Rajasthan Cooperative Society Rules.
7. To exercise control over all the members/ of the staff working in the Corporation. To appoint and promote members of staff within the sanction scale of establishment to all the posts of the grade pay in scales with basic starting salary as may be laid down by the Board.
8. To rent and take on leas any building or premises or site for location of office or institution connected with the Corporation and sanction rents as market rate.
9. He shall be competent to transfer all officers of the Corporation he can award, punishment including dismissal from service to employees whom he is competent to appoint subject, however taken appeal to the Board, on other employees up to stoppage of increment up to 3 years in accordance with the Rajasthan Service Rules to impose all punishment and he shall have the power to suspend any employee of the Corporation. The Managing Director shall while taking any disciplinary action against any employee of the Board follow the procedure laid down by the State Government for its employees.
10. He can exercise from time to time the powers, duties and responsibilities up to Rs. 50,000/- for capital expenditure and Rs. 25,000/- for Revenue expenditure at a time and any expenditure incurred in promotion and registration of the Corporation.
BYE LAWS NO. 24
POWER TO MAKE SUBSIDIARY RULES
It shall be within the competence for the Board of the Corporation to frame subsidiary regulations for the conduct of the business of the Corporation consistent with the Act. Rules & the Bye-laws. Such subsidiary regulations shall be entered on the minute book of the Corporation.
BYE LAWS NO. 25
TRAVELLING ALLOWANCE
The members of the Board shall be eligible for such TA & DA sitting fees may be decided by the Board, provided that they shall not be eligible for any other allowances from any Cooperative Institutions for journey made for the meetings or such institutions on or about the same date of the meeting of the committee.
BYE LAWS NO. 26
GENERAL MEETINGS
A. The Board may call at any time a General Meeting of the Corporation but such meeting shall be called for and held at least once in a year.
B. The General Meeting shall consist of share holders and Government Nominees.
C. A Notice of the meeting of the General Body shall be issued specifying time, place and date of meeting at least 15 days in advance. Such notice shall be sent by any one or the following namely:-
1. By local delivery or
2. By post, under certificate of posting
2. Publishing in News Papers.
D. The quorum for the General Meeting shall be 2/3rd of the total number of member's rolls.
E. The Chairman or in his absence one of the members elected for the purpose shall preside at the General Meeting.
BYE LAWS NO. 27
LOANS
1. Loan and cash credit may be given to all the share holders referred in Bye-Law 4.
2. Loans and Cash credit to member shall be sanctioned by the Board of Directors.
3. The Board shall also frame regulation, Governing the terms and conditions on which it may grant conversion of short term loans into medium term loans or extension of the period of repayment of loan due to the Corporation from its member.
4. The Board shall also frame regulations to be approved by the Registrar Cooperative Societies Governing the terms & conditions on which it may sanction short term, medium term and long term loans, the period of repayment of loans and the security to be obtained to.
5. If the Board of Director is of the opinion that a loan of cash credit granted by the Corporation has been misapplied it shall at once cancel it and take stops to recover it with interest without waiting for the expiry of the period for which it is granted.
BYE LAWS NO. 28
APPROPRIATION OF PAYMENT FROM MEMBERS
When a member, from whom money is due, pays sums, it shall be appropriated in the following orders:-
1. To fees, fines, postal registration and other miscellaneous charges due by the members.
2. To interest to principle.
BYE LAWS NO. 29
SUPPLY OF AGRICULTURE & DOMESTIC REQUIREMENTS
The Board shall frame suitable regulation for the condition or its business, as principal or as on agent in the supply of agriculture or domestic requirements of cottage or small scale industry of its members.
BYE LAWS NO. 30
PROCESSING UNITS
It shall be competent for the Board to own or hire process plants and transport vehicles like trucks, tractors etc. and to frame rules for the purpose.
BYE LAWS NO. 31
PROFIT AND LOSS ACCOUNT
The net profit of the Corporation as declared by the Chief Auditor or any person authorized by him in this behalf and after the issue of the audit certificate may disposed as follows:-
1. 25% of the net profits shall be carried over to the reserve funds.
2. 1% of the net profits will be provided for Cooperative education and trawling funds.
3. Dividence shall be paid to the members up to 5% of the net profit.
The balance of net profits will be utilized as below:-
1. Out of the remainder sum not exceeding 15% of the net profits should be carried to (a) bad debt reserve and (b) for unforeseen losses.
2. The balance of the net profit may be utilized for all or any of the following purpose.
a. Bonus to the establishment of the Corporation as per the provisions in the Bonus Act.
b. A sum not exceeding 10% of the net profits shall be carried to the building fund.
c. A sum not exceeding 7.5% of the net profits shall be carried to the common welfare fund.
d. The balance if any and profits not allowed in the above manner shall be carried in the reserve fund.
e. All undisbursable and in dividable profits shall be added to the Reserve Fund.
BYE LAWS NO. 32
RESERVE FUND
1. The reserve fund shall belong to the Corporation as whole and is intended to meet unforeseen losses. It shall be indivisible and no member shall have any claim to a share in it.
2. The reserve fund shall be invested, deposited or applied in the manner prescribed in the Rules.
BYE LAWS NO. 33
ANNUAL STATEMENTS
The Corporation shall prepare annual statement in such form as may be prescribed by the Registrar.
a. A statement showing receipt and disbursements.
b. A profit & loss Account.
c. Such other statement as may be prescribed to the Registrar from time to time.
d. A balance sheet and this statement shall be made up to 31st March of every year and copy of each shall be sent to the Registrar with in 10 days from the close of the Financial Year ending 31st March.
BYE LAWS NO. 34
MINUTE BOOKS
The Proceeding of the General Body/ Board shall be recorded in the Minute Book of the Corporation kept by Managing Director and signed jointly by Managing Director and the Chairman of the meeting concerned at the close of the proceedings.
BYE LAWS NO. 35
CORPORATION TO KEEP COPY OF THE ACT/ RULES AND BYE-LAWS
The Corporation shall keep a copy of the Act, the Rules and its Bye-Laws, the last audited Annual Balance sheet the profit and loss Account and the list of the Members of the Board, copy to inspection by its members free of charge at all reasonable times in its registered office.
BYE LAWS NO. 36
USE OF THE PREMISES
The Corporation shall not use or allow to be used any premises or portion thereof which is intended for its business for any purpose other than such business or other activity relating to the Corporation.
BYE LAWS NO. 37
CASH
All cash balance of the Corporation shall be deposited in the nearest Nationalized Cooperative Bank, Approved by the Board.
BYE LAWS NO. 38
LIMITATIONS
Any amount due by the Corporation and not claimed with in the period of limitation allowed by the Indian Limitation Act shall be added to the reserve Funds of the Corporation.
BYE LAWS NO. 39
MISCELLANEOUS
1. No amendment to alter in or cancellation in Bye-Laws not the enactment of a new Bye Law shall be made except as provide in the act.
2. All the registered documents having a bearing upon the assets of the Corporation shall be signed by the Chairman and Managing Director and two of the Directors of the Board and shall bear the common seal of the Corporation.
3. All disputes amongst the members, between members and the Corporation of its Board of Director touching the businesses constitution of the Corporation shall decided by the Registrar through arbitration under the Act and Rules.
4. Any doubt pertaining to the interpretation and composition of Bye-Laws shall be referred to the Rajasthan Cooperative Society whose decision shall be final.
5. The Corporation may be wind up by the Registrar only in accordance with the provisions of the Act, and Rules.