Chapter VII ACCOUNTS AND RECORD

A co-operative society or a class of co-operative societies shall maintain the accounts books and other record in such form and manner as may be directed by the Registrar by a general or special order, from time to time.

A co-operative society shall maintain a list of such of its employees or members of its committee as having custody of books, record, securities and other property of the society in the manner prescribed.

If the record, registers, the books of accounts, funds and other property of a co-operative society are likely to be tampered with or destroyed, misappropriated or misapplied or if a person having its custody fails to hand over its charge to a person entitled to receive such charge, the Registrar may, suo motu or on an application of an aggrieved party, authorize any officer not below the rank of Inspector, Co-operative Societies to enter and search any place where the record and the property are kept or are believed to be kept and to seize such record and property and hand over such record and property to the person authorized by the Registrar. The person so authorized may seek necessary help from police authority having jurisdiction in the area when need arises in seizing the record and property and the police shall provide the necessary assistance.

(1) Where the books, record, cash, securities and other property belonging to the society is not produced or handed over to a person entitled to the same under this Act, the Registrar may suo motu or on an application of the committee, any creditor, cadre society, auditor, liquidator or inspecting officer, inquiry officer, enquire himself or direct any person authorized by him by an order in writing in this behalf to inquire into the conduct of the custodian of books who has failed to produce or hand over the record and other property. (2) Where an inquiry is made under sub-section (1) the Registrar may after giving the person concerned an opportunity of being heard, make an order requiring the custodian to produce or hand over the money, books, record, securities or property or any part thereof, to the persons entitled to receive and may require such person to pay compensation to such persons and to such extent as the Registrar may consider just and equitable.