Disqualification for being elected or continued as director

(1) A person shall be disqualified for being elected or continued as director of the Federal Co-operative, if such person,- (i) has at any time lost the right to vote as a member or to continue as such; or (ii) has not been a voting member of the Federal Co-operative for a period of atleast two years, immediately preceeding the year of election; or (iii) incurs any other disqualification specified in the bye-laws of the Federal Co-operative; or (iv) absents himself from three consecutive board meetings or general meetings without leave of absence; or (v) is convicted for an offence involving moral turpitude under any law for the time being in force or for an offence committed under this Act. (2) In addition to such disqualification as may be specified in the bye-laws, the directors of the Federal cooperative shall incur disqualification for being elected or continued as directors of the Federal cooperative or any other cooperative if, during their term of office, they have – (a) not provided necessary assistance to the cooperative election authority for conducting elections to the board before the term of expiry of the outgoing board; (b) not conducted the annual general meeting within the twenty fifth day of September every year or have not conducted the special general meeting within the specified time from the date of requisition; (c) failed to present the audit report along with audited financial statements of the preceding year in the annual general meeting; (d) failed to submit returns to the Registrar as per section 64A within six months from the date of close of the cooperative year; (e) committed grave financial irregularities or fraud which have been detected. (f) If he/she fails to submit every financial year the declaration of assets and liabilities of his/her and his/her family. Explanation:- For the purpose of this clause “family” means “Director and his/her Spouse, Unmarried Daughter and Undivided Son. (3) If any question arises as to whether a member of the board was or has become subject to any of the disqualification mentioned in this section, the Registrar shall either suo motu or on a report made to him shall decide the question after giving the person concerned a reasonable opportunity of being heard. (4) The provisions shall mutatis-mutandis apply to the Federal cooperative if its directors incur any of the disqualifications mentioned in clauses (a), (b), (c), (d) and (e) of sub-section (2).