Restrictions on borrowings

Restrictions on borrowings. It is proposed to amend Section 59 to provide for the limit of deposits and loans that a cooperative society can raise to be specified in the bye-laws. (1) A co-operative society shall receive deposits and loans only to such extent and under such conditions as may be specified in the bye-laws. (2) Notwithstanding anything contained in sub-section (1), the general body of a cooperative society shall have power to permit the society to borrow from a credit agency subject to such conditions as may be stipulated in the resolution of the general body. Provided that such resolution is valid till the date of the next annual general meeting