Charge and set off in respect of shares or interest of members in the capital of a co-operative society

A co-operative society shall have a charge on the share or interest in the capital and on the deposits of a member, a past member or a deceased member and on any dividend, bonus or profits, payable to a member or a past member, or the heirs or legal representatives of a deceased member in respect of any debt or outstanding demand owing to the co-operative society and may notwithstanding anything to the contrary contained in any other law for the time being in force, set off any sums so credited or payable to such member or his heirs or legal representatives towards payment of any such debt or outstanding demand : Provided that no financing bank to which a co-operative society is affiliated shall have a charge upon any sum invested in financing bank as reserve fund by the society if the bank’s share in the total amount of loans taken by the society is less than 75 percent, or be entitled to set off any such sum credited or payable to the society towards any debt due from such society. Attachment shares- under this section, the share of a member is not liable to sale and attachment.