Tuesday 21 January 2014

THE KERALA CO-OPERATIVE SOCIETIES ACT, 1969 (Act 21 of 1969) as on 01.01.2014 Part 4

PLEASE NOTE THAT THIS ACT IS NOT CORRECTLY PROOFREAD WITH ORIGINALS. SO KINDLY MAKE SURE THAT THEY MATCH WITH THE ORIGINALS. DEFECTS IF ANY NOTICED MAY KINDLY BE BROUGHT INTO NOTICE BY WAY OF COMMENT SO THAT WE MAY CORRECT THEM. SUFFICIENT FURTHER NOTES SHALL BE INSERTED IN DUE COURSE.

THE KERALA CO-OPERATIVE SOCIETIES ACT, 1969 (Act 21 of 1969)


CHAPTER IX

SETTLEMENT OF DISPUTES

69. Disputes to be decided by Co-operative Arbitration Court and Registrar.-
(1) Notwithstanding anything contained in any law for the time being in force, if a dispute arises,-

(a) among members, past members and persons claiming through members, past members and deceased members; or

(b) between a member, past member or person claiming through a member, a past member or deceased member and the society, its committee or any officer, agent or employee of the society; or

(c) between the society or its committee and any past committee any officer, agent or employee or any past officer, past agent or past employee or the nominee, heirs or legal representatives of any deceased officer, deceased agent or deceased employee of the society; or

(d) between the society and any other society; or

(e) between a society and the members of a society affiliated to it ; or

(f) between the society and a person, other than a member of the society, who has been granted a loan by the society or with whom the society has or had business transactions or any person claiming through such a person; or

(g) between the society and a surety of a member, past member, deceased member or employee or a person, other than a member, who has been granted a loan by the society, whether such a surety is or is not a member of the society; or

(h) between the society and a creditor of the society, such dispute shall be referred to the Co-operative Arbitration Court constituted under section 70A in the case of nonmonetary disputes and to the Registrar, in the case of monetary disputes; and the Arbitration Court or the Registrar, as the case may be, shall decide such dispute and no other court or other authority shall have jurisdiction to entertain any suit or other proceedings in respect of such dispute.

(2) For the purposes of sub-section (1), the following shall also be deemed to be disputes, namely:-

(a) a claim by the society for any debt or demand due to it from a member or the nominee, heirs or legal representatives of a deceased member, whether such debt or demand be admitted or not;

(b) a claim by a surety against the principal debtor, where the society has recovered from the surety any amount in respect of any debt or demand due to it from the principal debtor, as a result of the default of the principal debtor, whether such debt or demand is admitted or not;

(c) any dispute arising in connection with the election of the Board of management or any officer of the society;

Explanation:- A dispute arising at any stage of an election commencing from the convening of the general body meeting for the election, shall be deemed to be a dispute arising in connection with the election;

(d) any dispute arising in connection with employment of officers and servants of the different classes of societies specified in sub-section (1) of section 80, including their promotion and inter se seniority.

(3) No dispute arising in connection with the election of the Board of Management or an officer of the society shall be entertained by the Co-operative Arbitration Court unless it is referred to it within one months from the date of the election.

[16.(4) All monetary disputes mentioned in Schedule III to the Act shall be filed within the time limit specified in the said Schedule.]

[14.69A. Co-operative Ombudsman.—
(1) The Government may, by notification in the official Gazette, frame a scheme to be called the "Kerala Co-operative Ombudsman Scheme" with the object of enabling redressal of complaints relating to deficiency in banking or other services rendered by co-operative societies dealing with banking business.

(2)The Government may appoint one or more persons as Ombudsman or Ombudsmen to carry out the functions entrusted to them by or under the scheme.

(3)The term of office of the Ombudsman or Ombudsmen, as the case may be, shall be three years from the date of their entering office or [17.Attaining the age of sixty five years], whichever is earlier.

(4) [16.The Ombudsman or Ombudsmen so appointed under subsection (2) shall be a person or persons having minimum of fifteen years of Bar practice and having experience and expertise in banking or co-operative field.]

(5)The functions, powers, duties etc. of the Ombudsman shall be such, as may be specified in the scheme.

(6)The Ombudsman shall be under the control of the Government.]

70. Award on disputes.- (1) The Co-operative Arbitration Court on receipt of reference of a dispute under sub-section (1) of section 69, shall pass an award [13.within one year] in accordance with the provisions of this Act and the rules and the bye-laws made thereunder and such award shall, subject to the provisions of section 82 , be final.

(2) The Co-operative Arbitration Court may, pending award of dispute referred to it under section 69, make such interlocutory orders as it may deem necessary in the interest of justice.

(3) The Co-operative Arbitration Court shall have the same powers as are vested in a civil court under the Code of Civil Procedure, 1908 (Central Act 5 of 1908), while trying a suit in respect of the following matters, namely:-

(i) the summoning and enforcing the attendance of any defendant or witness and examining the witness on oath;

(ii) the discovery and production of any document or other material object producible as evidence;

(iii) the reception of evidence on affidavits;

(iv) issuing of any commission for the examination of any witness; and

(v) any other matter which may be prescribed.

(4) The Registrar may, on receipt of the reference of a dispute under sub-section (1) of section 69, -

(a)   elect to decide the dispute himself; or

(b) transfer it for disposal to any person who has been invested by the Government with powers in that behalf; or

(c) refer it for disposal to an arbitrator appointed by the Registrar:

Provided that a transfer under clause (b) or a reference under clause (c) shall not be made to a person equal or superior to him in rank.

(5) The Registrar may withdraw any reference transferred under clause (b) of sub-section (4) or referred under clause (c) of that sub-section and he may elect to decide the dispute himself or transfer it to any other person under clause (b) of sub-section (4) or refer it to any other arbitrator under clause (c) of that sub-section.

(6) The Registrar or the person invested with powers in this behalf shall, decide the dispute or the arbitrator shall pass an award, in accordance with the provisions of this Act and the rules and the bye-laws and such decision or award shall, subject to the provisions of section 82, be final. Pending decision or award, the Registrar, such person or the arbitrator, as the case may be, may make such interlocutory orders as he may deem necessary in the interest of justice.

70A. Co-operative Arbitration Courts.- (1) The Government shall constitute such number of Co-operative Arbitration Courts as are necessary to exercise the powers and discharge the functions conferred on it under this Act.

(2) The qualifications, term salary and allowances and other conditions of service of the person to be appointed as the Co-operative Arbitration court shall be such as may be decided by the Government from time to time.

(3) The Government shall make rules for regulating the procedure and disposal of business of the Co-operative Arbitration Court.

(4) [14.The Government or Registrar shall appoint as many officers and employees as may be necessary, to assist the Co-operative Arbitration Court.]

(5) The officers and employees referred to in sub-section (4) shall continue to be Government servants for all purposes and their terms and conditions of service shall continue to be the same as applicable to them under the Government.

70B. Provisions as to pending proceedings.- On the constitution of Co-operative Arbitration Court, every dispute pending before the Registrar or any person invested with the power to dispose of the dispute by the Government or the arbitrator appointed by the Registrar, in respect of non-monitory disputes, relating to the local area of jurisdiction of the Arbitration Court, shall be transferred to such Arbitration Court and the Court shall dispose of the same as if it were a dispute referred to it under section 69”.]

CHAPTER X
WINDING UP AND DISSOLUTION OF CO-OPERATIVE SOCIETIES

71. Winding up of societies.- (1) If the Registrar, after an inquiry has been held under section 65 or an inspection has been made under section 66 or on receipt of an application made by not less than three-fourths of the members of a society, is of opinion that the society ought to be wound up, he may, after giving the society an opportunity of making its representation and in consultation with the financing bank to which the society is affiliated and the circle co-operative union, by order in writing, direct it to be wound up.

(2) The Registrar may of his own motion, by order in writing, direct the winding up of a society,-

(a) where it is a condition of the registration of the society that the society shall consist of at least twenty-five members and the number of members has been reduced to less than twenty-five; or

(b) where the society has not commenced working within six months of its registration, unless extension of time is granted by the Registrar, or has ceased to work; or

(c) where the number of actual workers falls below the prescribed limit in the case of a society formed exclusively for the benefit of persons engaged in a particular industry or occupation.

[10.(3) If a proposal for revitalisation of a society, in respect of which an order under subsection (2) has been passed, is received by the Registrar within a period of one year from the date of such order, the Registrar may cancel the same and allow the society to continue to exist;

Provided that this sub-section shall not apply in the case of a society which does not commence functioning within a period of six months from the date of registration”.]

72. Liquidator.- (1) Where the Registrar has made an order under section 71 for the winding up of a society, he shall appoint a liquidator for the purpose and may fix his remuneration.

(2) The liquidator shall, on appointment, take into his custody or under his control all the property, effects and actionable claims to which the society is or appears to be entitled and shall take such steps as he may deem necessary or expedient to prevent loss or deterioration of, or damage to, such property, effects and claim.

(3) Where an appeal is preferred under section [1.83], against an order of winding up of a society made under section 71 such order shall not operate thereafter until it is confirmed in appeal:

Provided that the liquidator shall continue to have custody or control of the property, effects and actionable claims mentioned in sub-section (2) and to have authority to take the steps referred to in that sub-section.

(4) Where an order of winding up of a society is set aside in appeal, the property, effects and actionable claims of the society shall re-vest in the society.

73. Powers of liquidator.- (1) Subject to any rules made in this behalf, the whole of the assets of a society in respect of which an order of winding up has been made shall vest in the liquidator appointed under section 72 from the date on which the order takes effect and the liquidator shall have power to realize such assets by sale or otherwise.

(2) The liquidator shall also have power, subject to the control the Registrar,-

(a) to institute and defend suits and other legal proceedings on behalf of the society by the name of his office;

(b) to determine from time to time the contribution (including debts due) to be made or remaining to be made by the members or past members or by the estates or nominees, heirs or legal representatives of deceased members or by any officers or former officers, to the assets of the society;

(c) to investigate all claims against the society and, subject to the provisions of this Act, to decide questions of priority arising between claimants;

(d) to pay claims against the society including interest up to the date of winding up according to their respective priorities, if any, in full or rateably, as the assets of the society may permit the surplus, if any, remaining after payment of the claims being applied in payment of interest from the date of such order of winding up at a rate fixed by him but not exceeding the contract rate in any case;

(e) to determine by what persons and in what proportions the costs of the liquidation are to be borne;

(f) to determine whether any person is a member, past member or nominee of a deceased member;

(g) to give such directions in regard to the collection and distribution of the assets of the society as may appear to him to be necessary for winding up the affairs of the society.

(h) to carry on the business of the society so far as may be necessary for the beneficial winding up of the same;

(i) to make any compromise or arrangement with creditor, or persons claiming to be creditors or having or alleging to have any claim, present or future, whereby the society may be rendered liable; and

(j) to compromise all calls or liabilities to calls and debt and liabilities capable of resulting in debts and all claims present or future, certain or contingent subsisting or supposed to subsist, between the society and a contributory or alleged contributory or other debtor or person apprehending liability to the society and all questions in any way relating to or affecting the assets or the winding up of the society, on such terms as may be agreed upon and to take any security for the discharge of any such call, liability, debt or claim and give a complete discharge in respect thereof.

[10.(2A) The liquidator shall complete the winding up proceedings within a period of three years from the date of his appointment under sub-section (1) of section 72.

Explanation.- In computing the period of three years, the period during which an appeal, if any, preferred against an order of winding up of a society under section71 is pending, shall be excluded.]

(3) When the affairs of a society have been wound up, the liquidator shall make a report to the Registrar and deposit the records of the society in such place as the Registrar may direct.

74. Cancellation of registration of a society.- Where in respect of a society which has been ordered to be wound up under section 71 no liquidator has been appointed under section 72 after two months from the date of such order, or if an appeal has been filed against the order of winding, up, from the date of confirmation of the order in appeal, or where the affairs of a society in respect of which a liquidator has been appointed under section 72 have been wound up or where the Registrar is satisfied that the final winding up of the affairs of the society is not possible on account of the destruction of the records, the Registrar shall, by order in writing, cancel the registration of the society and the society shall be deemed to be dissolved and shall cease to exist as a corporate body from the date of such order of cancellation.

[2.CHAPTER X- A
INSURED CO-OPERATIVE BANKS

74A. Insured co-operative banks.- Notwithstanding anything contained in this Act, in the case of an insured co-operative bank,-

(i) an order for the winding up, or an order sanctioning a scheme of com promise or arrangement or of amalgamation or reconstruction (including division or reorganization) of the bank may be made only with the previous sanction in writing of the Reserve Bank of India;

(ii) an order for the winding up of the bank shall be made by the Registrar if so required by the Reserve Bank of India in the circumstances referred to in section 13D of the Deposit Insurance Corporation Act, 1961 (Central Act 47 of 1961);

(iii) If so required by the Reserve Bank of India in the public interest or for preventing the affairs of the bank being conducted in a manner detrimental to the interest of the depositors or for securing the proper management of the bank, an order shall be made for the supersession (removal) of the committee of management or other managing body (by whatever name called) of the bank and the appointment of an administrator therefor for such period or periods, not exceeding five years in the aggregate, as may from time to time be specified by the Reserve Bank of India, and the administrator so appointed shall, after the expiry of his term of office, continue in office until the day immediately preceding the date of the first meeting of the new committee;

(iv) no appeal, revision or review shall lie or be permissible against an order referred to in clause (i), (ii) or (iii) made with the previous sanction in writing or on the requisition of the Reserve Bank of India and such order or sanction shall not be liable to be called in question in any manner;

(v) the liquidator or the insured co-operative bank or transferee bank, as the case may be, shall be under an obligation to repay the Deposit Insurance Corporation established under the Deposit Insurance Corporation Act, 1961, in the circumstances, to the extent and in the manner referred to in section 21 of that Act.

Explanation.- For the purpose of this section,-

(i) “co-operative bank” means a bank as has been defined in the Deposit Insurance Corporation Act, 1961;

(ii) “insured co-operative bank” means a society which is an insured bank under the provisions of the Deposit Insurance Corporation Act, 1961;

(iii) “transferee bank” in relation to an insured co-operative bank, means a co-operative bank-

(a) with which such insured co-operative bank is amalgamated; or

(b)   to which the assets and liabilities of such insured co-operative bank are transferred; or

(c)into which such insured co-operative bank is divided or converted under the provisions of section 12 of section 14 of the Kerala Co-operative Societies Act, 1969 (21 of 1969).]

[14.CHAPTER X B
SPECIAL PROVISIONS RELATING TO CO-OPERATIVE SOCIETIES, THEIR OFFICE BEARERS AND EMPLOYEES
74B.Opening of Branches.—
(1) The State Co-operative Bank, The State Co-operative Agricultural and Rural Development Bank and District Co-operative Banks may open branches in the area of operation of their member credit societies if such member credit societies are weak and not functioning enough to provide service to the members or to the public.

[16.(2) All primary credit societies including Primary Agricultural Credit Societies may open branches in their area of operation with the prior written permission of the Registrar.]
74C.Inspection in certain Co-operatives.—Notwithstanding anything contained in section 66, the Registrar shall inspect or cause to inspect the "affairs" of all apex, federal and central societies every year and the power of inspecting officers shall be as specified under sub-section (4) of section 66.

Explanation:—Inspection conducted under this section shall be in addition to and not in derogation of the inspection conducted under any other law for the time being in force.

74D.Duty of Chief Executive to supply confirmation certificate.—It shall be the duty of the chief executive of a society to supply confirmation certificate correctly and within the time limit required by the auditor in respect of any accounts maintained in that society by another society in whose favour the Auditor requires certificate.

74E.Manner of acceptance of deposits and lending of money.—Acceptance of deposits and lending of money by all co-operative societies and banks shall be in such manner, as may be prescribed.

74F.Write off of loans.—Notwithstanding anything contained in any Act or Rules, no Authority or Commission, other than the Government or Registrar, shall have the power to write off agricultural or non-agricultural debts of borrowers of any society.

74G.Library in Co-operative Societies.—Every co-operative society shall establish a library :

Provided that nothing contained in this provision shall apply to a society which is working on loss for a continuous period of five years.]

CHAPTER XI
EXECUTION OF AWARDS, DECREES, ORDERS AND DECISIONS

75. Enforcement of charge.- Notwithstanding anything contained in Chapter IX or any other law for the time being in force, but without prejudice to any other mode of recovery provided in this Act, the Registrar or any person subordinate to him empowered by the Registrar in this behalf, may; on the application of a society, by order in writing, direct the payment of any debt or outstanding demand due to the society by any member or past member or deceased member, by sale of the property or any interest therein, which is subject to a charge under sub-section (1) of section 35:

Provided that no order shall be made under this section, unless the member, past member or the nominee, heir or legal representative of the deceased member, has been served with a notice of the application and has failed to pay the debt or outstanding demand within thirty days from the date of such service.

76. Execution of orders, etc.- Every order made under sub-section (2) 68 or under section 75, every decision or award made under section 70, every order made by the liquidator under section 73 and every order made by the Tribunal under section 82, section 84, section 85 or section 86 and every order made under section 83, shall , if not carried out,-
(a) on a certificate signed by the Registrar or any person authorised by him in this behalf, be deemed to be a decree of a civil court and shall be executed in the same manner as a decree of such court; or

(b) where the order is for the recovery of money, be executed according to the law and under this rules for the time being in force for the recovery of arrears of public revenue due on land:

Provided that any application for such recovery shall be made-

(i) to the Collector and shall be accompanied by a certificate signed by the Registrar or by any person authorized by him in this behalf;

(ii) within twelve years from the date fixed in the order, decision or award and if no such date is fixed, within twelve years from the date of the order, decision or award, as  the case may be; or

(c) be executed by the Registrar or any other person subordinate to him empowered by the Registrar in this behalf, by the attachment and sale or sale without attachment of any property of the person or a society against whom the order, decision or award has been obtained or passed.

77. Registrar or person empowered by him to be a civil court for certain purposes.- The Registrar or any person empowered by him in this behalf shall be deemed, when exercising any power under this Act for the recovery of any amount by the attachment and sale or by sale without attachment of any property, or when passing any orders on any application made to him for such recovery, to be a civil court for the purpose of Article 146 of the Schedule to the Limitation Act, 1963 (Central Act 36 of 1963).

78. Attachment of property before award or order.- If the Registrar is satisfied on an application, report, inquiry or otherwise that any person with intent to delay or obstruct the enforcement of any order, decision or award that may be made against him under the provisions of this Act-

(a) is about to dispose of the whole or any part of his property; or

(b) is about to remove the whole or any part of his property from the jurisdiction of the Registrar, the arbitrator or the liquidator, as the case may be, he may, unless adequate security is furnished, by order in writing, direct the attachment of the said property, and such attachment shall have the same effect as if made by a competent civil court.

79. Recovery of sums due to Government.-
(1) All sums due from a society or from an officer or member or past member or deceased member of a society as such to the government, including any costs awarded to the Government under any provision of this Act, may, on a certificate issued by the Registrar [16.or Director of Co-operative Audit] in this behalf, be recovered in the same manner as arrears of public revenue due on land.

(2) Sums due from a society to the Government and recoverable under sub-section (1) may be recovered first, from the property of the society and secondly, in the case of a society the liability of the members of which is limited, from the members, past members or the estates of deceased members, subject to the limit of their liability, and in the case of other societies, from the members, past members or the estates of the deceased members;

Provided that the liability of past members and estates of deceased members shall in all cases be subject to the provisions of section 26.

CHAPTER XII
ESTABLISHMENT

80. Officers, etc. of co-operative societies.- (1) The Government shall classify the societies in the State according to their type and financial position.

(2) the Government shall, in consultation with the [16.Registrar], fix or alter the number and designation of the officer and servants of the different classes of societies specified in sub-section (1).

(3) The Government shall, [16.Omitted] make rules [5.either prospectively or retrospectively] regulating the qualification, remuneration, allowances and other conditions of service of the officers and servants of the different classes of societies specified in sub-section (1).

[8.(3A) Notwithstanding anything contained in this Act or the rules made or orders issued thereunder or in the bye-laws of any society relating to the recruitment and conditions of service of officers and servants of societies, all appointments of officers and servants of the societies mentioned in the [16.Scheduled I] for which direct recruitment is resorted to shall be made from a select list of candidates furnished by the Kerala Public Service Commission [14.and in making such recruitment the reservation principles under rule 14 to 17 of the Kerala State and Subordinate Service Rules, 1958 shall be followed.

(3AA) Notwithstanding anything contained in this Act or any other law, or judgment or order of any court, all appointments already made on the advice by the Kerala Public Service Commission following the reservation principles under rule 14 to 17 of the Kerala State and Subordinate Service Rules, 1958 to the societies mentioned in the schedule for which direct recruitment shall be resorted to shall be deemed to have been validly done as if such provisions were in force at that time.]

(3B) All appointments made by direct recruitment to the societies referred to in subsection (3A) on or after the 25 th day of April, 1995 and before the date of publication of the Kerala Co-operative Societies (Amendment) Ordinance, 1995 (Ordinance No. 10 of 1995) shall be invalid.]

[3.(4) Not withstanding anything contained in sub-section (1) of sub-section (2), ten per cent of the posts of employees of every society shall be reserved for appointment from persons belonging to the Scheduled Castes and Scheduled Tribes where the method of appointment to such posts is by direct recruitment.]

[14.(5) Notwithstanding anything contained in sub-section (1) or (2), three per cent of the total posts of employees of every society shall be reserved for physically handicapped persons having disability of forty per cent or above, as certified by the medical board and the procedure of appointment shall be such as may be prescribed:

Provided that in societies where there are more than ten and less than thirty three employees including cadre and sanctioned posts, there shall be reserved a minimum of one employee belonging to physically handicapped persons.

(6) [16.Government shall have power to fix or alter the maximum and minimum limit of establishment expenses of co-operative societies including the pay and allowances and other benefits of employees of co-operative societies :

Provided that societies run on net loss can give pay and allowances to its employees below the minimum limit fixed by the Government.]

(7) Notwithstanding anything contained in the bye-laws, a society shall not pay bonus to its employees exceeding the amount and the rate fixed by the Government or the Registrar from time to time.

(8) Government shall, by order, frame uniform Service Rules and Conduct Rules for the employees of any or all classes of the co-operative societies.

(9) Suspension and disciplinary action in relation to an officer, employee or servant of a cooperative society shall be such, as may be prescribed.]

[16.(10) The Government may, on mutually agreed terms and on application of a society, depute a Government servant to the service of the society for the purpose of managing its affairs and the Government servant so deputed shall exercise such powers and perform such duties as may be prescribed.]

[7.(80A) Pension Scheme.- (1) The Government may, by notification in the Gazette, frame a Self Financing Pension Scheme for the establishment of a Pension Fund for payment of pension to the employees of the societies in the manner provided therein and may appoint different dates for the application of the scheme to different classes of societies.

[11.(IA) The Self Financing Pension Scheme framed under sub-section (1) may also provide for payment of pension from the pension fund, at such rates and subject to such conditions and restrictions as may be specified therein, to persons retired from service of any society during the period between 1st January.1974 and 3rd June, 1993 and are alive.]

(2) The Pension Fund established under the Self Financing Pension scheme framed under sub-section (1) shall vest in, and be administered by, such body or authority as may be specified in the said scheme.]

[10.(80B) Co-operative Service Examination Board.- (1) Notwithstanding anything contained in this Act or the rules or in the bye-laws of any society relating to the recruitment of officers and servants thereof, the Government shall, by notification in the Gazette, constitute a Co-operative Service Examination Board for the conduct of written examination for all direct recruitment to posts of and above the category of Junior Clerks in the Primary Agricultural Credit Societies Primary Credit Societies, Urban Cooperative Banks and Primary Agricultural and Rural Development banks in the State.

[14.(1A) The Co-operative Service Examination Board shall also conduct competitive or qualifying examinations if any for promotion of employees in the societies, in such manner as may be prescribed.]

(2) The Examination Board shall consist of not more than three members and the term of the Board shall be five years. The powers and functions and other conditions of appointment of the members of the Board and the procedures to be followed by the Board for the conduct of examination and the preparation of list of candidates to be interviewed for appointment shall be such as may be prescribed.

(3) All appointments shall be made by the committee concerned from the list of candidates after conducting an interview of the candidates and making a select list therefrom in such manner as may be prescribed.

(4) Notwithstanding anything contained in sub-section (3A) of section 80 and in subsection (1) of this section, the committee of a society may, with the prior approval of the Registrar, appoint persons who are professionally or technically qualified or persons with experience and expertise to posts requiring such technical or professional qualifications on contract basis or by the method of deputation for such period, but not exceeding five years, as may be specified.”]

[17.80C. The Kerala Co-operative Employees’ Welfare Scheme.—(1) The Government may, by notification in the Gazette, frame a Scheme to be called the Kerala Co-operative Employees’ Welfare Scheme for the establishment and management of a fund by name “the Kerala Co-operative Employees’ Welfare Fund” and there shall be established, as soon as may be, after framing of the Scheme, a fund in accordance with the provisions of this Act and the Scheme.

(2) The Welfare Fund established under the Scheme shall vest in the Kerala State Co-operative Employees’ Welfare Board and be administered by such body or authority as may be specified in the Scheme.

(3) Subject to the provisions of this Act, the Scheme may provide for the following matters, namely:—

(i) the management and administration of the Kerala State Co-operative Employees’ Welfare Fund;

(ii) powers and functions of the authority or body to be constituted thereunder; and

(iii) the composition and pattern of the establishment set-up of the Kerala State Co-operative Employees’ Welfare Board constituted under the Scheme.

80D. The Kerala State Co-operative Employees’ Welfare Board.—(1) The Government shall, by notification in the Gazette, constitute a Board to be called “the Kerala State Co-operative Employees’ Welfare Board” for implementing the welfare schemes for the regular employees, commission agents and the persons working in the capacity of any other name on commission basis in a co-operative society registered or deemed to be registered under this Act and coming under the administrative control of the Registrar of Co-operative Societies as well as other departments of the State Government in accordance with the provisions of this Act and the Scheme.

(2) The Board constituted under sub-section (1) shall provide for the constitution of a Welfare Fund and specify therein, the manner in which its fund shall be raised and administered for the welfare of the employees and the rates of contribution to be paid by the employees and the co-operative societies towards the fund.

(3) The Board may provide money and other aids to the employees in their indigent conditions and for the following purposes, namely:—

(i) for the payment of financial assistance to the family of the deceased employees ;

(ii) for the payment of medical assistance to the employees who have undergone treatment for diseases to be specified therein ;

(iii) for refund of the contributions made by the employees on their retirement or relief on other grounds ;

(iv) for the grant of advances to the employees for meeting their medical expenses ;

(v) for awarding cash prizes to the children of employees at such rates and subject to such conditions as may be prescribed therein ; and

(vi) for any other purposes provided for in the Scheme or which may be found necessary or proper for the implementation of the Scheme.

(4) The Government may make Rules with regard to the terms and conditions of the services of the employees of the Kerala State Co-operative Employees’ Welfare Board.

80E. Transfer of assets and control of the existing Kerala State Co-operative Employees’ Welfare Board.—(1) Notwithstanding anything contained in the Rules for the constitution and administration of the Kerala State Co-operative Employees’ Welfare Board issued under G.O. (Rt.) No.383/86/Co-op. dated 30th September, 1986, on and from the date of constitution of the Kerala State Co-operative Employees’ Welfare Board under sub-section (1) of section 80D, all assets and liabilities of the existing Kerala State Co-operative Employees’ Welfare Board shall be transferred to the Kerala State Co-operative Employees’ Welfare Board constituted under the said sub-section.

(2) On and from the date of constitution of the Kerala State Co-operative Employees’ Welfare Board under sub-section (1) of section 80D, the existing Kerala State Co-operative Employees’ Welfare Fund constituted under G.O. (Rt.) No. 383/86/Co-op. dated 30th September, 1986 shall vest in the Kerala State Co-operative Employees’ Welfare Board constituted under the said sub-section and the control and supervision of the existing fund shall be with the said Board.]

CHAPTER XIII
APPEALS, REVISION AND REVIEW

[1.81. Tribunal.- (1) The Government shall constitute a single member Tribunal to exercise the powers and discharge the functions conferred on the Tribunal under this Act.

(2) A person shall not be qualified for appointment as a member of the Tribunal unless he is or has been holding the post of a District Judge in the State.

(3) The term, salary and allowances and other conditions for service of the member shall be such as may be decided by Government from time to time.

(4) The Government shall make rules for regulating the procedure and disposal of the business of the Tribunal.

81A. Provisions as to certain pending Proceeding.- Every proceeding pending before the Tribunal immediately before the commencement of this Act shall stand transferred to and will be decided by the Tribunal constituted under this Act:

Provided that all such proceedings relating to orders passed by the Registrar under sections 32 and 33 of the Act, shall be sent to the Government for their decision.

Explanation.- ‘Proceeding’ includes any appeal, revision, petition or application for review.]

82. Appeals to Tribunal.- [10.(1) Any person aggrieved by.-

(a)   an award of the Co-operative Arbitration Court under sub-section (1) of section 70; or

(b)   an order of the Registrar made under clause (ii) of sub-section (8) or clause (ii) of subsection (9) of section 14; or

(c)    any decision of the Registrar made under sub-section (6) of section 70; or]

(d)   any decision under sub-section (6) of section70 of the person invested with powers in that behalf by the Government; or

(e)   any award of the arbitrator under sub-section (6) of section 70, may, within sixty days from the date of such decision or award, as the case may be, appeal to the Tribunal and the Tribunal may pass such orders on the appeal, as it may deem fit.]

[14.(1A) The Tribunal shall pass an order under sub-section (1) within six months with direction to communicate the copies thereof within fifteen days to the parties thereof.]

(2) An order passed by the Tribunal under sub-section (1) shall be final.

83. Appeals to other authorities.- (1) An appeal shall lie under this section against-
(a) an order of the Registrar made under sub-section (2) of section 7 refusing to register a society; or

(b) an order of the Registrar made under sub-sections (4) and (6) of section 12 refusing to register an amendment of the bye-laws of a society; or

(c) a decision of a society refusing to admit any personas as a member of the society or expelling any member of the society; or

(d) an order made by the Registrar under section 67 apportioning the cost of inquiry held under section 65 or an inspection made under section 66; or

(e) an order of surcharge made by the Registrar under section 68; or

(f) an order made by the Registrar under section 71 directing the winding up of a society; or

(g) any order made by the liquidator of a society in exercise of the powers conferred on him by section73; or

(h) any order made under section 76; or

(i) an order for attachment of any property made by the Registrar under section78; or

(j) any order made by any person exercising all or any of the powers of the Registrar.

(2) An appeal under sub-section (1) shall be made within sixty days from the date of the order or decision,-

(a) If the order or decision was made by the Registrar, to the Government; and

(b) in order cases, the Registrar, and the Government or the Registrar, as the case may be, may pass such order on the appeal as they or he may think fit.

84. Revision by Tribunal.- The Tribunal may call for and examine the record of any proceedings in which an appeal lies to it for the purpose of satisfying itself as to the legality or propriety of any decision or order passed and if in any case it shall appear to the Tribunal that any such decision or order should be modified, annulled or revised, the Tribunal may pass such order thereon as it may deem fit:

Provided that the Tribunal shall not take any action under this section if

(a) the time for appeal against the decision or order has not expired; or

(b) the decision or order has been made the subject-matter of an appeal;

Provided further that no order shall be made under this section unless notice has been given to all interested parties and they have been given a reasonable opportunity of being heard.

85. Review of orders by Tribunal.- (1) The Tribunal may, either on the application of the Registrar or on the application of any party interest, review its own order in any case and pass in reference there to such order as it think fit:

Provided that no such application shall be entertained unless the Tribunal is satisfied that there has been a discovery of new and important matter or evidence which after the exercise of due diligence was not within the knowledge of the applicant or could not be produced by him at the time when its order was made or that there has been some mistake or error apparent on the face of the record or that there is any other sufficient reason for reviewing its order;

Provided further that no such order shall be made under this sub-section unless notice has been given to all interested parties and they have been given a reasonable opportunity of being heard.

(2) An application for review under sub-section (1) by any party shall be made within ninety days from the date of communication of the order of the Tribunal.

86. Interlocutory orders by Tribunal.- Where an appeals made to the Tribunal under section 82 or where the Tribunal calls for the record of a case under section 84, it may, in order to prevent the ends of justice being defeated, make such interlocutory order pending the decision of the appeal or revision as it may deem fit.

87. Powers of revision of Registrar and Government.- (1) The Registrar may of his own motion or on application call for and examine the record of any officer subordinate to him not being an officer exercising the powers of the Registrar, and the Government may of their own motion or on application call for and examine the record of the Registrar including any officer exercising the powers of the Registrar, in respect of any proceeding, not being a proceeding in respect of which an appeal to the Tribunal is provided by section 82, to satisfy himself or themselves as to the regularity of such proceedings, or the correctness, legality of propriety of any decision passed or order made thereon, and if, in any case it appears to the Registrar or the Government that any such decision or order should be modified, annulled, reversed or remitted for reconsideration, he or they may pass orders accordingly:

Provided that every application to the Registrar or the Government for the exercise of the powers under this section shall be preferred within three months from the date on which the proceeding, decision or order to which the application relates was communicated to the applicant.

(2) No order prejudicial to any person shall be passed under sub-section (1) unless such person has been given an opportunity or making his representation.

(3) The Registrar or the Government, as the case may be, may suspend the execution of any decision or order pending the exercise of his or their power under sub-section (1) in respect thereof.

(4) The Registrar or the Government may award costs in proceedings under this section to be paid either out of the funds of the society or by such party to the application for revision as the Registrar or the Government may deem fit. 



NOTES

* This Act came into force on 15.05.1969 by Notification No. 24314/C3/69 AD dated 12.05.1969 and was published in Kerala Gazette Extraordinary No. 102 dated 11.04.1969. The Bill was published in Kerala Gazette Extraordinary No. 94 dated 13.06.1967. The report of the select committee was published in Kerala Gazette Extraordinary No. 20 dated 22.01.1968.
1.  Amended by Act 38 of 1971. Act 38 of 1971 was published in Kerala Gazette Extraordinary No. dated w.e.f. 23.12.1971.
2. Amended by Act 8 of 1974. Act 8 of 1974 was published in Kerala Gazette Extraordinary No. dated w.e.f.. 13.03.1974.
3. Amended by Act 29 of 1986. . Act 29 of 1986 was published in Kerala Gazette Extraordinary No. 1078 dated 28.11.1986 w.e.f. 25.02.1985. Amendments to Sections Sections 2, 28A and 80 shall be deemed to have come into force on the 25 th day of February, 1985, Amendments to sections 69 and 70 shall be deemed to have come into force on the 15 th day of May, 1969, Amendments to sections 88 and 89 shall be deemed to have come into force on the 14 th day of February, 1986 and the remaining provisions of this Act shall come into force on 28.11.1986).
4. Amended by ACT 19 OF 1987. Act No. 19 of 1987 was published in Kerala Gazette Extraordinary No. 711 dated 25.08.1987.
5. Amended by ACT 7 OF 1988. Act 7 of 1988 was published in Kerala Gazette Extraordinary No. 351 dated 21.04.1988 w.e.f. 15.02.1988.
6. Amended by ACT 5 OF 1992. Act 5 of 1992 was published in Kerala Gazette Extraordinary No. 17 dated 12.04.1992 w.e.f. 07.02.1992.
7. Amended by ACT 16 OF 1993.  Act 16 of 1993 was published in Kerala Gazette Extraordinary No. 38 dated 20.08.1993 w.e.f. 06.02.1993.
8. Amended by ACT 6 OF 1995. Act 6 of 1995 was published in Kerala Gazette Extraordinary No. 793 dated 05.08.1995.
8A. Amended by ACT 9 of 1997. Act 9 of 1997 was published in Kerala Gazette No. 42 dated 03.05.1997 w.e.f.
9. Amended by ACT 15 of 1997. Act No. 15 of 1997 was published in Kerala Gazette Extraordinary No. 42 dated 29.12.1997 w.e.f. 03.06.1997.
10. Amended by Act 1 of 2000. Act 1 of 2000 was published in Kerala Gazette Extraordinary No. 1 dated 01.01.2000 w.e.f. 01.01.2000 Sections 13, 16, 17, 18 and 21 of this Act shall come into force on such dates as the Government may by notification in the Gazette appoint; and different dates may be appointed for different provisions of this Act, and the other provisions of this Act shall come into force at once i.e. w.e.f. 01.01.2000. Section 28B was given effect from 07.03.2001 as per SRO 244/2001 published in Kerala Gazette Extraordinary No. 46 dated 07.03.2001. Sections 57A and 57B came into force on 04.07.2000 and 02.01.2001 respectively. Sections 70, 70A and 70B were given effect from 02.01.2003 by SRO 369/2003 published in Kerala Gazette Extraordinary No. 48 dated 12.05.2003. Section 80B was given effect from 25.01.2001 as per SRO 89/2001 published in Kerala Gazette Extraordinary No. 46 dated 29.01.2001.
11. Amended by ACT 3 OF 2002. Act 3 of 2002 was published in Kerala Gazette Extraordinary No. 47 dated 15.07.2002 w.e.f. 04.05.2002.
12. Amended by ACT 16 OF 2004. Act 16 of 2004 was published in Kerala Gazette Extraordinary No. dated 23.06.2004 w.e.f. 23.06.2004.
13. Amended by ACT 9 OF 2009.  Act 9 of 2009 was published in Kerala Gazette Extraordinary No. dated  w.e.f. 11.12.2007.
14. Amended by ACT 7 OF 2010. Act 7 of 2010 was published in Kerala Gazette Notification No. 14953/LegB2/09/Law dated  28.04.2010 w.e.f. 28.04.2010.
15. Amended by ACT 13 OF 2012. Act 13 of 2012 was published in Kerala Gazette Notification No. 1318/LegH2/2012/Law dated  23.07.2012. Amendments to Sections Sections 2(oc) and 2(qc) and 28(1D) to 28(1E) shall be deemed to have come into force on 12.08.2011, Sections 2(ia), 18 and 28(1F) to 28(1I) and the special provisions in respect of the existing DCBs shall be deemed to have come into force on 11.02.2012
16. Amended by ACT 8 OF 2013. Act 8 of 2013 was published in Kerala Gazette Notification No. 816/LegH2/2013/Law dated  14.02.2013 w.e.f. 14.02.2013.
17. Amended by ACT 22 OF 2013. Act 22 of 2013 was published in Kerala Gazette Notification No. 4576/LegH2/2013/Law dated  25.04.2013. Amendments to Sections 56A, 80C, 80D and 80E shall be deemed to have come into force on 30.04.2011, Sections 33, 63(3), 66 and 69A shall be deemed to have come into force on 28.04.2010, Section 63(13) shall be deemed to have come into force on 05.06.2007 and all other Amendments shall be deemed to have come into force on 25.04.2013.
 

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