Power to direct amalgamation and reorganisation

(1) Notwithstanding anything contained in this Act, if the Registrar is of the opinion that - (a) for the purpose of ensuring economic viability of any society or societies; or (b) for avoiding overlapping or conflict of jurisdictions of societies in any area; or (c) in order to secure proper management of any society; or (d) in the public interest; or (e) in the interest of the co-operative movement in the State as a whole; or (f) in the interest of depositors; or (g) in the interest of the co-operative credit structure in the State as a whole, it is necessary to amalgamate two or more societies or to reorganise any society, he may by order published in the Official Gazette provide for amalgamation of two or more such societies into a single society with limited liability or to reorganise the society. (2) Such order may also provide for - (a) reduction of the interests or the rights which the members, depositors, creditors, employees and other persons may have in or against any society so to be amalgamated or reorganised, to such extent as the Registrar may consider necessary in the interest of such persons or for the maintenance of the business of that society having due regard to the proportion of the assets of such society to its liabilities. (b) such incidental, consequential and supplemental provisions as may in the opinion of the Registrar be necessary to give effect to the amalgamation of the societies. (3) No order shall be made under sub-section (1) unless - (a) a copy of the proposed order has been sent in draft to each of the societies concerned; and (b) the Registrar has considered and made such modifications in the draft order as may seem to him desirable in the light of any suggestions or objections which may be received by him within such period (not being less than fifteen days from the date on which the copy of the proposed order was received by the societies) as the Registrar may fix in that behalf, either from the societies or any members, depositors, creditors, employees or other persons concerned. (4) Notwithstanding anything contained in this Act or in any other law, or in any contract, award or other instrument for the time being in force, on the issue of an order under sub-section (1), the provisions thereof shall be binding on all societies and their members, past members, depositors, creditors, employees and all other persons having dealings with the concerned societies. (5) On and from the date from which the amalgamation takes effect, the assets and liabilities of the societies referred to therein shall stand amalgamated or merged with the assets and liabilities of the societies formed out of such amalgamation and the members, creditors and debtors of such societies, shall be deemed to be members, creditors and debtors, as the case may be, of the new society or societies as ordered by the Registrar. (6) Notwithstanding anything contained in any law for the time being in force relating to transfer of properties or registration of documents, an order issued under this section shall be sufficient conveyance to transfer the assets and liabilities of the society or societies covered by any order passed under sub-section (1) of this section. (7) Any order made by the Registrar under this section shall be final and conclusive, and shall not be called in question in any Court.