Supersession of Short Term Co-operative Credit Structure

(1) The supersession of the Managing Committee of State Co-operative Bank or Central Co-operative Bank under section-41 of this Act shall be done by Registrar, Co-operative Societies in consultation with Reserve Bank. (2) The supersession of the managing committee under section-41 of this Act of a Primary Agricultural Credit Society shall be done by Registrar, only under the following conditions :- (a) if a society incurs losses for three consecutive years, or (b) if serious financial irregularities or frauds have been identified, or (c) if there are judicial directives to this effect, or (d) if there is lack of quorum for three consecutive meetings.