Government’s powers to give directions in public interest, etc

The Chhattisgarh Co-operative Societies Act, 1960

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Statutory text

(1) If the State Government, on receipt of a report from the Registrar or otherwise is satisfied that in the public interest or for the purpose of securing proper implementation of co-operative production and other development programmes approved or undertaken by Government, or to secure the proper management of the business of the society generally, or for preventing the affairs of the society being conducted in a manner detrimental to the interests to the members or of the depositors or the creditors thereof, it is necessary to issue directions to any class of societies generally or to any society or societies in particular, the State Government may issue directions to them from time to time, and all societies or the societies concerned, as the case may be, shall be bound to comply with such directions. (2) The State Government may modify or cancel and directions issued under sub-section (1), and in modifying or cancelling such directions may impose such conditions as it may deem fit. (3) Where the Registrar is satisfied that any person or committee responsible for complying with any directions or modified direction issued to a society under sub-section (1) or (2) has failed without sufficient reason or justification to comply with the directions, the Registrar may- (i) in case of a committee, proceed against such committee in accordance with the provisions of section 53; and (ii) in case of a person, if the person is a member of committee of the society or an employee of the society, proceed against such person in accordance with the provisions of Section 53-B or the rules framed under sub-section (1) of section 55 as the case may be: Provided that directions involving financial losses to the societies will be given only with prior consent of the committee of such society and where necessary, of national financing institution, as well as after making the provision and advance allotment for compensating such losses fully.

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