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  "title": "CO-OPERATIVE SOCIETIES ACT, 1925",
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  "text": "Co-Operative Societies \r\n1925: Act VII \r\nCONTENTS \r\nCHAPTER I \r\nPreliminary \r\n1. Short title. \r\n2. Extent. \r\n3. Definitions. \r\nCHAPTER II \r\nRegistration \r\n4. The Registrar. \r\n 4-A. Power of Registrar to issue search warrant. \r\n5. Societies which may be registered. \r\n6. Restrictions on interest of member of society with li mited liability and a \r\nshare capital. \r\n7. Conditions of registration. \r\n 7-A. Eligibility for membership. \r\n8. Power of Registrar to decide certain questions. \r\n9. Application for registration. \r\n 10. Registration. \r\n 11. Evidence of registration. \r\n 12. Annual general meeting. \r\n 13. Special general meeting. \r\n 14. Change of name: its effect. \r\n 15. Amalgamation and division of societies. \r\n 15-A. Merger of a society in a company, etc. \r\n 16. Amendment of the by-laws of a society. \r\n16-A. Powers of the Registrar to amend bye-laws. \r\nTHE CO-OPERATIVE SOCIETIES ACT, 1925 \r\n \r\n(VII of 1925) \r\n \r\nCHAPTER III \r\nRights and liabilities of members \r\n 17. No rights of membership to be exercised till due payments are made. \r\n17A. Special provisions for membership of Resource societies. \r\n17-B. Expulsion of a member. \r\n17-C. Transfer of interest in a housing society. \r\n 18. Votes of members. \r\n18-A. General body and managing committee. \r\n18-B. Disqualification for being, and for voting at an election of Director, \r\nManager or other officer of the society. \r\n 19. Restrictions on transfer of share or interest. \r\nCHAPTER IV \r\nDuties of societies \r\n 20. Address of societies. \r\n20-A. Provision of information. \r\n20-B. Provision of information by the Registrar. \r\n 21. Copy of Act etc., to be open to inspection. \r\n21-A. Updating of records of societies. \r\n 22. Audit. \r\n22A. Power of Registrar to exercise powers under section 50A in the course \r\nof an audit. \r\n 22-B. Internal audit committee. \r\nCHAPTER V \r\nPrivileges of societies \r\n 23. Societies to be bodies corporate. \r\n 24. Prior claim of society. \r\n 25. Charge and set-off in respect of shares or interest of member. \r\n 26. Shares or interest not liable to attachment. \r\n 27. Transfer of interest on death of member. \r\n 28. Liability of past member. \r\n 29. Liability of the estate of deceased member. \r\n 30. Register of members. \r\n 31. Admissibility of copy of entry as evidence. \r\n 32. Exemption from compul sory registration of instruments relating to \r\nshares etc of society. \r\n 33. Power to exempt from income -tax, stamp -duty, registration and court \r\nfees. \r\n33A. Government may give loans or guarantee interest or return. \r\nCHAPTER VI \r\nProperty and funds of societies \r\n 34. Restrictions on loans. \r\n34-A. Prohibition on issuance of bearer shares, warrants. \r\n 35. Restrictions on borrowing and donations. \r\n 36. Restrictions on other transactions with non-members. \r\n 37. Investment of funds. \r\n 38. Restriction on dividend. \r\n 39. Reserve fund. \r\n 40. Restriction on distribution of profits. \r\n 41. Provident fund. \r\n 42. Contribution to charitable purpose. \r\nCHAPTER VII \r\nInspection of affairs \r\n 43. Inquiry by Registrar. \r\n 44. Inspection of books of indebted society. \r\n44-A. Inspection of books and properties. \r\n44B. Power of Registrar to exercise powers under section 50A in the course of \r\nan inquiry or inspection. \r\n44-C. Power to remove officers. \r\n44-D. Power of Registrar to give directions. \r\n44-E. Special measures. \r\n44-F. Grievance redressal. \r\n 45. Costs of inquiry. \r\n 46. Recovery of costs. \r\nCHAPTER VIII \r\nLiquidation and Arbitration \r\n47. Winding up. \r\n48. Society may be wound up if membership is reduced. \r\n48-A. Winding up of housing society. \r\n 49. Effect of cancellation of registration. \r\n49-A. Records of cancelled societies. \r\n 50. Power of a liquidator. \r\n50-A. Power of Registrar to assess damage against delinquent promoters, etc. \r\n 51. Bar of suit in winding up and dissolution matters. \r\n 52. Disposal of surplus assets. \r\n 53. Surplus assets of housing society. \r\n 54. Arbitration. \r\n54-A. Registrar’s power to set aside the award and order the dispute to be \r\nreferred back to arbitration. \r\n 55. Attachment before award. \r\n 56. Appeal against award of arbitrator. \r\n 57. Finality of awards in certain orders. \r\n 58. Powers to enforce attendance. \r\n 59. Money how recovered. \r\nPowers of Reg istrar to recover certain sums by attachment and sale of \r\nproperty. \r\nRegistrar or person empowered by him to be a Civil Court for certain \r\npurposes. \r\n59A. Transfer of property which cannot be sold. \r\nCHAPTER VIII-A \r\nDistraint \r\n59-B. Definitions. \r\n59C. Cases in which application for distraint may be made. \r\n59D. Form of application. \r\n59E. Procedure on receipt of application. \r\n59F. Execution of order for distraint. \r\n59G. Service of notice of demand and the grounds of distraint. \r\n59H. Right to reap, etc., produce. \r\n 59I. Sale proclamation to be issued unless demand is satisfied. \r\n59J. Place of sale. \r\n59K. Provisions relating to growing crops. \r\n59L. Manner of sale.  \r\n59M. Postponement of sale. \r\n59N. Payment of purchase money. \r\n59O. Certificate be given to the purchaser. \r\n59P. Proceeds of sale how to be applied. \r\n59Q. Certain persons may not purchase. \r\n59R. Procedure where demand is paid before the sale. \r\n59S. Distraint of property which is under attachment. \r\n59T. Suit for compensation for wrongful distraint and appeals. \r\n59U. Savings. \r\nCHAPTER IX \r\nOffences \r\n 60. Offences. \r\nDefault by a society, officer or member. \r\nWilful neglect or default by a society, etc. \r\nWilful furnishing of false information. \r\nDisobedience of summons, requisition, or order. \r\nIndulgence in fraudulent activities. \r\nPerforming acts without approval. \r\nMaking a false report or refusing to do an act. \r\nViolation of the master plan. \r\nFailure to provide information. \r\n 61. Penalty for offences not otherwise provided for. \r\n61-A. Penalty for offences under clause (i) of section 60. \r\n 62. Prohibition of the use of the word “co-operative”. \r\n62-A. Penalty. \r\n 63. Cognizance of offences. \r\nCHAPTER X \r\nAppeals and Revisions \r\n 64. Appeals. \r\n64-A. Power of  Secretary Cooperatives and the Registrar to call for \r\nproceedings of subordinate officers and to pass orders thereon. \r\n 64AA. Finality of orders of Secretary Cooperatives. \r\nCHAPTER XI \r\nMiscellaneous \r\n 65. Recovery of sums due to Government. \r\n65A.  \r\n65-B. Officers of societies to be public servants. \r\n 66. Power to exempt societies from conditions as to registration. \r\n 67. Powers to exempt societies from provisions of Act. \r\n 68. Companies Act not to apply. \r\n 69. Branches, etc., of societies outside the Province. \r\n 70. Notice necessary in suits. \r\n70-A. Bar of Jurisdiction. \r\n70-B. Assistance by law enforcement agencies. \r\n 71. Rules. \r\n 72. Repeal and Savings. \r\n72A. Construction of references to Co -operative Societies Act, 1912, in \r\nenactments. \r\n72B. [Repealed] \r\n 73. [Repealed] \r\nTHE SCHEDULE \r\n[repealed] \r\nTEXT \r\n1\r\nTHE CO-OPERATIVE SOCIETIES ACT, 1925 \r\n(VII of 1925) \r\n[4 December 1925] \r\nAn \r\nAct \r\nto consolidate and amend the law relating to co-operative societies in \r\n2\r\n[\r\n3\r\n[Province of the \r\nPunjab]]. \r\n4\r\n[Preamble.– WHEREAS it is expedient to provide for the formation, registration and \r\nregulation of cooperative societies for the promotion of thrift, self help and mutual assistance \r\namongst agriculturist or other persons with common economic or social interests and for \r\nachieving better standards of living and for the matters incidental thereto; \r\nIt is hereby enacted as follows:–] \r\n5\r\n[CHAPTER I \r\nPreliminary] \r\n1. Short title.– This Act may be called the \r\n6\r\n[*] Co-operative Societies Act, 1925. \r\n7\r\n[\r\n8\r\n[2. Extent.– This Act shall extend to whole of the Punjab.]] \r\n3. Definitions.– In this Act, unless there is anything repugnant in the subject or context, \r\n1\r\n[(a) “beneficial owner” means a natural person who owns or controls a society, whether  \r\n                                                           \r\n1For Statement of Objects and Reasons, see Bombay Government Gazette 1924, Part V, pp.  46-48; for R eport of Select \r\nCommittee, see ibid., 1924, Part V, pp. 108-13 and ibid., 1925, Part V, pp. 68-70; and for Proceedings in Council, see Bombay \r\nLegislative Council Debates, 1924 and 1925, Vols. XII, XIII and XV.  Also see the Bombay Code , Supplementary Volume , \r\nSecond Edition, Part I, printed in 1935, also see the Bombay Code, Volume V, Fifth Edition, printed in 1938. \r\n2Substituted for the word “Sind” by the Sind Co-operative Societies (West Pakistan Amendment) Ordinance, 1965 (VII of 1965), \r\npublished in the Gazette of West Pakistan (Extraordinary), dated April 30, 1965, pp. 1987-1989, s. 2. It was earlier substituted \r\nfor the words “the Province of Sind” by the West Pakistan Laws (Adaptation) Order, 1964, published in the Gazette of West \r\nPakistan (Extraordinary), dated June 3, 1964, pp. 1805-1849, s. 2 read with the Schedule, Part IV, it came into force on June 8, \r\n1962. The words “Province of Sind” were previously substituted for the words “presidency of Bombay” by the Sind Laws \r\n(Adaptation, Revision, Repeal and Declaration) Ordinance, 1955 (Sind Ordinance V of 1955). \r\n3Substituted for the words “the Province of West Pakistan” by the Co-operative Societies (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(b). \r\n4Substituted by the Cooperative Societies (Amendment) Act 2006 (VI of 2006), published in the Punjab Gazette (Extraordinary), \r\ndated July 1, 2006, pp. 3-10, s. 2. \r\n5Substituted for the word “Preliminary” by the Sind Laws (Adaptation, Revision, Repeal and Declaration) Ordinance, 1955 (Sind \r\nOrdinance V of 1955), s. 7 read with the Schedule III, Part IV, it came into force with effect from April 24,1947. Earlier the words \r\nand figure “Chapter I -Preliminary” were substituted for the word  “Preliminary” by the Bombay Co -operative Societies (Sind \r\nAmendment) Act, 1936 (Sind Act VIII of 1936), s. 2.  \r\n6Omitted the word “Sind” by the Sind Co -operative Societies (West Pakistan Amendment) Ordinance, 1965 (VII of 1965), \r\npublished in the Gazette of West  Pakistan (Extraordinary), dated April 30, 1965, pp.  1987-1989, s. 3.The word “Sind” was \r\nearlier substituted for the word “Bombay” by the Sind Laws (Adaptation, Revision, Repeal and Declaration) Ordinance, 1955 \r\n(Sind Ordinance V of 1955), s. 3(i).  \r\n7Substituted for the original section 2 by the Sind Co -operative Societies (West Pakistan Amendment) Ordinance, 1965 (VII of \r\n1965), published in the Gazette of West Pakistan (Extraordinary) dated April 30, 1965, pp. 1987-1989, s. 4, as amended by the \r\nSind Laws (Adaptation, Revision, Repeal and Declaration) Ordinance, 1955 (Sind Ordinance V of 1955) and the West Pakistan \r\nLaws (Adaptation) Order, 1964, published in the Gazette of West Pakistan (Extraordinary), dated June 3, 1964, pp. 1805-1849, \r\ns. 2 read with the Schedule, Part IV, it came into force on June 8, 1962. \r\n8Substituted by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), published in the Punjab Gazette \r\n(Extraordinary), dated August 11, 2020, pp. 585-588, s. 3. \r\ndirectly or indirectly or by voting rights or by exercising effective control in that society or by \r\nsuch other means as may be prescribed;] \r\n2\r\n[(aa)] “by-laws” means by -laws registered under this Act and for the time being in \r\nforce and includes a registered amendment of such by-laws; \r\n(b) “Committee” means the Committee of Management or other directing body to \r\nwhom the management of the affairs of a society is entrusted; \r\n3\r\n[(bb) “Financing Bank” means a society the main object of which is to make loans \r\nin cash or in kind to any other society or to an agriculturist who is not a \r\nmember of a society or to both societies and such agriculturists;] \r\n \r\n4\r\n[(bb-i) “Government” means Government of the Punjab;] \r\n \r\n5\r\n[(bbb) “Loan” includes finance as defined in the Banking Tribunals Ordinance, 1984 \r\n(Ordinance No. LVIII of 1984) and all cognate expressions shall be construed \r\naccordingly]; \r\n(c) “Member” includes a person joining in the application for the registration of a \r\nsociety or a person admitted to membership after registration in accordance \r\nwith the rules and by-laws applicable to such society; \r\n(d) “Officer” includes a Chairman, Secretary, Treasurer , member of committee or \r\nother person empowered under the rules or under the by -laws of a society to \r\ngive directions in regard to the business of such society; \r\n6\r\n[(dd) “prescribed” means prescribed by the rules made under this Act.]  \r\n(e) “Society” means a s ociety registered or deemed to be registered or deemed \r\nto be registered under this Act; \r\n(f) “Registrar” means a person appointed to perform the duties of a Registrar of \r\nCo-operative Societies under this Act; \r\n(g) “Rules” means rules made under this Act; \r\n7\r\n[(gg) “Secretary Cooperatives” means Secretary to the Government, Cooperatives \r\nDepartment;]  \r\n(h)       (1) a “resource society” means a society formed with the object of \r\nobtaining for its members the credit, goods or services required by \r\nthem; \r\n(2) a “produce rs‟ society” means a society formed with the object of \r\nproducing and disposing of goods as the collective property of its \r\nmembers and includes a society formed with the object of the \r\ncollective disposal of the labour of the members of such society; \r\n                                                                                                                                                                                     \r\n1Added by the Co-operative Societies (Second Amendment) Act 2020, published in the Punjab Gazette (Extraordinary), dated \r\nSeptember 10, 2020, pp. 1053-1056, s. 2(a).  \r\n2Renumbered for “a” by the Act ibid. \r\n3Substituted by the Bombay Co -operative Societies (Sind Amendment) Act, 1947 (Sind Act XX of 1947), s. 2. Earlier inserted  \r\nby the Bombay Co-operative Societies (Sind Amendment) Act, 1943 (Sind Act XVI of 1943), s. 2.  \r\n4Inserted by the Co-operative Societies (Amendment) Act 2020 (XIX of 2020), published in the Punjab Gazette (Extraordinary), \r\ndated August 11, 2020, pp. 585-588, s. 4(a).  \r\n5Inserted by the Cooperative Societies (Punjab Amendment) Ordinance, 1984 (XL of 1984), published in the Punjab  Gazette \r\n(Extraordinary), dated December 31, 1984, pp. 3023-3026, s. 2(1). \r\n6Inserted by the Co-operative Societies (Second Amendment) Act 2020, published in the Punjab Gazette (Extraordinary), dated \r\nSeptember 10, 2020, pp. 1053-1056, s. 2(b).  \r\n7Inserted by the Co-operative Societies (Amendment) Act 2020 (XIX of 2020), published in the Punjab Gazette (Extra ordinary), \r\ndated August 11, 2020, pp. 585-588, s. 4(b). \r\n(3) a “ consumers‟ society” means a society formed with the object of \r\nobtaining and distributing goods to or of performing services for its \r\nmembers, as well as to other consumers and of dividing among its \r\nmembers and customers in a proportion prescribed by the rul es or by \r\nthe by-laws of such society, the profits accruing from such supply and \r\ndistribution; \r\n(4) a “housing society” means a society formed with the object of \r\nproviding its members with dwelling houses \r\n1\r\n[and facilities relating to \r\nhousing needs] on conditions to be determined by its by-laws; \r\n(5) a “general society” means a society not falling under any of the four \r\nclasses above-mentioned. \r\nThe Registrar shall classify all societies under one or other of the above heads and his \r\ndecision shall be final. \r\nA society formed with the object of facilitating the operations of any one of the above \r\nclasses of societies shall be classified as a society of that class. \r\nA list of all such societies, so classified shall be published annually in the \r\n2\r\n[Official \r\nGazette]. \r\n3\r\n[CHAPTER II \r\nRegistration] \r\n4. The Registrar.– \r\n4\r\n[The \r\n5\r\n[Government]] may appoint a person to be Registrar of Co -\r\noperative Societies for \r\n6\r\n[the Province] or any portion of it, and may appoint a person or \r\npersons to assist such Registrar, and may, by general or spe cial order, confer on any such \r\nperson or persons all or any of the powers of a Registrar under this Act. \r\n7\r\n[4-A. Power of Registrar to issue search warrant .– (1) For the purpose of recovering \r\nany papers, documents or books of account belonging to a society,  the Registrar may issue \r\na search warrant and exercise all such powers with respect thereto as may be lawfully \r\nexercised by a magistrate under the p rovisions of Chapter VII of the Code of Criminal \r\nProcedure, 1898\r\n8\r\n, and all such searches shall be made in accordance with the provisions of \r\nthat Code. \r\n                                                           \r\n1Ibid., s. 4(c). \r\n2Substituted for the words “Bombay Government Gazette” by the Government of India (Adaptation of Indian Laws) Order, 1937, \r\npublished in the Gazette of India (Extraordinary), dated  April 1,  1937, pp.  75-344, Article 4 (1) read with  Table of General \r\nAdaptations. \r\n3The words and figures “Chapter II -Registration” were substituted for the word “ Registration” by the Sind Laws (Adaptation, \r\nRevision, Repeal and Declaration) Ordinance, 1955 (Sind Ordinance V of 1955), s. 7 read with the Schedule III, Part IV, it came \r\ninto force on 24 April 1947. Also see the Bombay Co-operative Societies (Sind Amendment) Act 1936 (Sind Act VIII of 1936), s. \r\n2.  \r\n4Substituted for the word “Government” by the Government of India (Adaptation of Indian Laws) Order, 1937, published in the \r\nGazette of India (Extraordinary), dated April 1, 1937, pp. 75-344, Article 3 read with Schedule III (Bombay Acts). \r\n5Substituted for the words “Provincial Government” by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a).   \r\n6Substituted for the word “Sind” by the Sind Co-operative Societies (West Pakistan Amendment) Ordinance, 1965 (VII of 1965), \r\npublished in the Gazette of West  Pakistan (Extraordinary) dated April 30, 1965, pp. 1987-1989, s. 5. It was earlier substituted \r\nfor the words “the Province” by the West Pakistan Laws (Adaptation) Order, 1964, published in the Gazette of West P akistan \r\n(Extraordinary), dated June 3, 1964, pp. 1805-1849, s. 2 read with the Schedule, Part IV, it came into force on  June 8, 1962. \r\nThe word “Province” was previously substituted for the word “Presidency” by the Sind Laws (Adaptation, Revision, Repeal and  \r\nDeclaration) Ordinance, 1955 (Sind Ordinance V of 1955). \r\n7Inserted by the Bombay Co-operative Societies (Sind Amendment) Act, 1943 (Sind Act XVI of 1943), s. 3. \r\n8V of 1898.  \r\n  (2) The powers under sub -section (1) shall not be exercised by the Registrar \r\nbefore serving a notice on the society and giving it a reasonable opportunity to produce such \r\npapers, documents or books of account as are specified in such notice.] \r\n5.  Societies which may be registered .– Subject to the provisions hereinafter \r\ncontained a society which has as its object the promotion of the economic interests of its \r\nmembers in accordance with co-operative principles, or a society established with the object \r\nof facilitating the operations of such a society, may be registered under this Act with or \r\nwithout limited liability: \r\n  Provided that, unless \r\n1\r\n[the \r\n2\r\n[Government]] by general or special order otherwise \r\ndirects– \r\n(a) the liability of a society of which a member is a society shall be limited; \r\n3\r\n[(b) if a society is a member of another society, that society shall nominate any of \r\nits members to serve as a director of the society of which it is a member;  \r\n(c) the director of a soci ety who is nominated under clause (b) shall be a natural \r\nperson and shall provide prescribed information to the society to which he is \r\nnominated in the prescribed manner;  \r\n(d) the secretary of a society shall keep an updated record of any nominated \r\ndirectors, as well as provide prescribed information of the nominated directors \r\nto the Registrar both annually and from time to time when changes occur in \r\nthe prescribed manner;  \r\n(e) the Registrar shall keep an updated record of the nominated Directors of all \r\nsocieties in the prescribed manner;  \r\n(f) other than as set out in subsection (b), no director shall nominate on his \r\nbehalf a member or director to perform the membership rights on his behalf.] \r\n4\r\n[(g)] the liability of a society of which the primary object is the creation of funds to \r\nbe lent to its members, and of which the majority of the members are \r\nagriculturists and of which no member is a registered society shall be \r\nunlimited and the members of such a society shall, on its liquidation, be jointly \r\nand severally liable for and in respect of all obligations of such a society: \r\nprovided further that when the question whether the liability of a society is limited or \r\nunlimited has once been decided by the Registrar at the time of registration \r\nhis decision shall be final. \r\n6. Restrictions on interest of member of society with limited liability and a share \r\ncapital.– Where the liability of the members of a society is limited by shares, no member \r\nother than a society shall– \r\n(a) hold more than such portion of the share capital of the  society, subject to a \r\nmaximum of one-fifth, as may be prescribed by the rules; or \r\n                                                           \r\n1Substituted for the word “Government” by the Government of India (Adaptation of Indian Laws) Order, 1937, published in the \r\nGazette of India (Extraordinary), dated April 1, 1937, pp. 75-344, Article 3 read with Schedule III (Bombay Acts). \r\n2Substituted for the words “Provincial Government” by the Co -operative Societies (Amendment) Act 2 020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n3Inserted by the Co-operative Societies (Second Amendment) Act 2020, published in the Punjab Gazette (Extraordinary), dated \r\nSeptember 10, 2020, pp. 1053-1056, s. 3. \r\n4Renumbered for “b” by the Act ibid.  \r\n1\r\n[\r\n2\r\n[(b) have or claim to have an interest in the shares of the society not exceeding \r\ntwo hundred thousand rupees and if the society is a housing society, a \r\nmember may have o r claim to have an interest in the shares of the society, \r\nnot exceeding five hundred thousand rupees:  \r\nprovided that the aforementioned restrictions shall not apply to the \r\nGovernment if it chooses to become a member of a society, in public interest, \r\nexcept a housing society.]] \r\n3\r\n[7. Conditions of registration .– \r\n4\r\n[(1) No society, other than a society of which a \r\nmember is a society, shall be registered under this Act, unless it consists of at least ten \r\nmembers; in case of a producers‟ society consists of at least fifty members; and, in case of a \r\nhousing society consists of at least one hundred members:  \r\n Provided that each member of a society, except the housing society and producers‟ \r\nsociety, shall have the ordinary place of abode in the same patwar circle or adjoining patwar \r\ncircle.] \r\n  (2) No society shall be registered for the purpose of carrying on business as a \r\nbanking society, financing bank or which uses as part of its name under which it proposes to \r\ncarry on business, the word “bank” or “banking” unless– \r\n(a) it has a paid up capital of not less than twenty million rupees or such higher \r\namount, as may be prescribed; and  \r\n(b) satisfies such other conditions as may be prescribed. \r\n(3) The word “Limited” shall be the last word in the name of every society \r\nregistered with limited liability.] \r\n5\r\n[7-A. Eligibility for membership .– A person shall be eligible to become member of a \r\nsociety if– (a) in case of an individual, he is above the age of eighteen years, is of sound \r\nmind, is solvent and has not applied to be adjudged as an un-discharged insolvent; \r\n(b) it is a cooperative society; or \r\n(c) it is a body corporate or a company.] \r\n \r\n6\r\n[\r\n7\r\n[8. Power of Registrar to decide certain questions .– If any question arises as to \r\nwhether for the purposes of this Act, a person is an agriculturist or not, or as to which patwar \r\ncircle he is resident of, the question shall be decided by the Registrar, whose decision shall \r\nbe the final.]  \r\n9.  Application for registration .– (1) For purposes of registration an application to \r\nregister shall be made to the Registrar. \r\n                                                           \r\n1Substituted by the Cooperative Societies (Amendment) Act 2006 (VI of 2006), published in the Punjab Gazette (Extraordinary), \r\ndated July 1, 2006, pp. 3-10, s. 3. \r\n2Substituted by the Co -operative S ocieties (Amendment) Act 2020 (XIX of 2020), published in the Punjab Gazette \r\n(Extraordinary), dated August 11, 2020, pp. 585-588, s. 5. \r\n3Substituted by the Cooperative Societies (Amendment) Act 2006 (VI of 2006), published in the Punjab Gazette (Extraordinary), \r\ndated July 1, 2006, pp. 3-10, s. 4. \r\n4Substituted by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), published in the Punjab Gazette \r\n(Extraordinary), dated August 11, 2020, pp. 585-588, s. 6. \r\n5Inserted by the Cooperative Societies (Amen dment) Act 2006 (VI of 2006), published in the Punjab Gazette (Extraordinary), \r\ndated July 1, 2006, pp. 3-10, s. 5. \r\n6Substituted by the Act ibid., s. 6. \r\n7Substituted by the Co -operative Societies (Second Amendment) Act 2020  (XXII of 2020) , published in the Punjab Gazette \r\n(Extraordinary), dated September 10, 2020, pp. 1053-1056, s. 4. \r\n1\r\n[(2) The application for registration of a cooperative society shall be– \r\n(a) made in writing specifying the address of its proposed registered office; \r\n2\r\n[(b) signed by at least fifty persons in case of a producers‟ society; hundred \r\npersons in case of a housing society; and, at least ten persons for any other \r\ncategory of societies with proof of the identifications of those persons: \r\nprovided that the condition as to the number of persons shall not be \r\napplicable in case where at least one of the proposed members is a society;] \r\n(c) accompanied, in the case of producers, or housing society or any other \r\nsociety which is likely to adversely affect the environment, approval of the \r\ncompetent authority in accordance with section 12 of the Pakis tan \r\nEnvironmental Protection Act, 1997 (Act XXXIV of 1997); \r\n(d) accompanied by the following documents: \r\n(i) a feasibility report showing its financial viability; \r\nExplanation.– Financial viability shall include a statement of finances relating to the \r\nexpected business turn over of the society, stating the number of members and \r\nexpenditures being within its income; \r\n(ii) proof that promoter members‟ contributions towards the paid up share capital \r\nare in accordance with the feasibility report; \r\n(iii) proof of the payment of such registration fee as may be prescribed; provided \r\nthat different registration fee may be prescribed for different categories of \r\nsocieties; provided further that in case of agriculture society, the registration \r\nfee shall not exceed five hundred rupees; \r\n3\r\n[*] \r\n(iv) a copy of the proposed by-laws of the society \r\n4\r\n[;]  \r\n5\r\n[(v) information as may be prescribed about its members, beneficial owners, \r\nrunning affairs of the society; and \r\n(vi) information as may be prescribed regarding its employees and off icers, and \r\nthe reasons, if any, for running the affairs by them, in case the society is run \r\nby non-members i.e. officers or employees.] \r\n (3) A housing society shall, within a period of one year of its registration, furnish \r\nthe schedule of proposed developm ent of land, master plan, site plan indicating availability \r\nof the existing public utilities, public amenities and other allied facilities in the area and, in \r\ncase of its failure, the Registrar may de-register the society after affording it an opportunity of \r\nhearing. \r\n  (4) The Registration fee shall be deposited in the account of the Registrar and \r\nshall be utilized in the prescribed manner.] \r\n                                                           \r\n1Substituted by the Cooperative Societies (Amendment) Act 2006 (VI of 2006), published in the Punjab Gazette (Extraordinary), \r\ndated July 1, 2006, pp. 3-10, s. 7. \r\n2Substituted by  the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), published in the Punjab Gazette \r\n(Extraordinary), dated August 11, 2020, pp. 585-588, s. 7.   \r\n3Omitted the word “and” by the Co -operative Societies (Second Amendment) Act 2020, published in the  Punjab Gazette \r\n(Extraordinary), dated September 10, 2020, pp. 1053-1056, s. 5(a). \r\n4Substituted for the full stop by the Act ibid., s. 5(b). \r\n5Added by the Act ibid. \r\n10.  Registration.– If the Registrar is satisfied that a society has complied with the \r\nprovisions of this Act and the  rules and that its proposed by -laws are not contrary to \r\n1\r\n[any \r\nlaw for the time being in force], he may register the society and its by-laws. \r\n11.  Evidence of registration.– A certificate of registration signed by the Registrar shall \r\nbe conclusive evidence  that the society therein mentioned is duly registered unless it is \r\nproved that the registration of the society has been cancelled. \r\n12.  Annual general meeting.– Every society shall within a period of three months after \r\nthe date fixed for making up its acc ounts for the year under the rules for the time being in \r\nforce call a general meeting of its members. \r\n13.  Special general meeting.– A special general meeting may be called at any time by \r\na majority of the committee and shall be called within one month– \r\n(1) on the requisition in writing of one-fifth of the members of the society, or \r\n(2) at the instance of the Registrar. \r\n14.  Change of name: its effect .– A society may, by a resolution of a general meeting \r\nand with the approval of the Registrar, change its name: but such change shall not affect any \r\nright or obligation of the society, or of any of its members, or past members and any legal \r\nproceedings pending may be continued by or against the society under its new name. \r\n2\r\n[15. Amalgamation and division of socie ties.– (1) Any two or more societies may, with \r\nthe prior approval of the Registrar, by a resolution passed by two -third majority of the \r\nmembers present and voting in a general or special meeting of the societies, amalgamate as \r\na single society. \r\n (2) A society may, with the prior approval of the Registrar, by a resolution passed \r\nby two-third majority of the members present and voting in a general or special meeting of \r\nthe society divide the society into two or more societies. \r\n (3) A society or societies, as the case may be, by way of a resolution passed in \r\naccordance with this section, transfer to, divide or amalgamate its or their assets and  \r\nliabilities with any other society or societies in case of division or amalgamation with the prior \r\nwritten consent of the creditor or creditors, if any, of the society or the societies. \r\n (4) Division of assets and liabilities shall take place after due approval and audit \r\nand in such manner, as may be prescribed. \r\n (5) No new society arising out of an existing society shall  be registered unless it \r\nsatisfies the conditions of registration of a society under this Act or the rules.] \r\n3\r\n[15-A. Merger of a society in a company, etc.– \r\n4\r\n[(1) Notwithstanding anything contained in \r\nthis Act and subject to any other law for the time bein g in force, a society may, with the \r\nwritten consent of its creditors and the approval of the Registrar, by a resolution passed by \r\ntwo-third majority of its members present and voting in a special general meeting and \r\nincorporating the terms and conditions of the proposed merger, merge itself in a company or \r\n                                                           \r\n1Substituted for the words “this Act or to the rules” by the Cooperative Societies (Amendment) Act, 1992 (I of 1992), published \r\nin the Punjab Gazette (Extraordinary), dated June 4, 1992, s. 2. \r\n2Substituted by the Cooperative Societies (Amendment) Act 2006 (VI of 2006), published in the Punjab Gazette (Extraordinary), \r\ndated July 1, 2006, pp. 3-10, s. 8. \r\n3Inserted by the Cooperative Societies (Amendment) Act 2006 (VI of 2006), published in the Punjab Gazette (Extraordinary), \r\ndated July 1, 2006, pp. 3-10, s. 9. \r\n4Substituted by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), published in the Punjab Gazette \r\n(Extraordinary), dated August 11, 2020, pp. 585-588, s. 8. \r\na body corporate and the merger of a society shall be as a whole rather than merger of any \r\npart or phase of such society:  \r\nProvided that notice of the special general meeting shall be served upon all the \r\nmembers of the society through registered post, recognized courier service and through \r\npublication in a daily newspaper of national circulation at least fifteen days before such \r\nmeeting.] \r\n(2) On the fulfillment of the legal formalities and disposal of obje ctions, if any, the \r\nRegistrar may issue a certificate authorizing such merger. \r\n(3) On the issuance of the certificate under sub -section (2), all the assets and \r\nliabilities of the society shall stand transferred to the company or the body corporate, as the \r\ncase may be.] \r\n16.  Amendment of the by-laws of a society.– \r\n1\r\n[(1) No amendment of the bye-laws of a \r\nsociety shall be valid until it is registered under this Act.] \r\n  (2) If the Registrar is satisfied that any amendment of the by -laws \r\n2\r\n[made by a \r\nsociety] is not contrary to \r\n3\r\n[any law for the time being in force], he may register the \r\namendment. \r\n  (3) When the Registrar registers an amendment of by -laws of a society \r\n4\r\n[under \r\nsub-section (2)], he shall issue to the society a copy of the amendment certified by him,  \r\nwhich shall be conclusive evidence that the same is duly registered. \r\n \r\n5\r\n[16-A.  Powers of the Registrar to amend bye -laws.– (1) If the Registrar is satisfied that \r\nthe bye-laws of a society are inconsistent with any law for the time being in force, or it is  \r\nnecessary in the interest of the society and its members to make amendments in such bye -\r\nlaws, he may, by means of a notice in writing, giving reasons, bring the fact to the notice of \r\nthe society and advise the society to make the amendments within a period of sixty days. \r\n(2) If the society fails to make such amendments w ithin the time specified in \r\nsubsection (1), the Registrar may, after giving the society an opportunity of being heard, \r\nregister such amendments as he may decide and issue to the society a c opy of the \r\namendment registered by him. \r\n(3) An appeal shall lie to the \r\n6\r\n[Secretary Cooperatives] from an order of  the \r\nRegistrar passed under sub section (2) within two months of the date of communication of \r\nthe order.] \r\n7\r\n[CHAPTER III \r\n                                                           \r\n1Substituted by the Bombay Co-operative Societies (Sind Amendment) Act, 1943 (Sind Act XVI of 1943), s. 5(i). \r\n2Inserted by the Act ibid., s. 5(ii). \r\n3Substituted for the words “this Act or to the rules” by the Cooperative Societies (Amendment) Act, 1992 (I of 1992), published \r\nin the Punjab Gazette (Extraordinary), dated June 4, 1992, s. 3. \r\n4Inserted by the Bombay Co-operative Societies (Sind Amendment) Act, 1943 (Sind Act XVI of 1943), s. 5(iii). \r\n5Added by the Cooperative Societies (Amendment) Act, 1992 ( I of 1992), published in the Punjab Gazette (Extraordinary), \r\ndated June 4, 1992, s. 4, and substituted by the Cooperative Societies (Amendment) Ordinance, 2001 (I of 2002), published in \r\nthe Punja b Gazette (Extraordinary) dated  January 5, 2002, s.  2, It will remain in force under the Provisional Constitution \r\n(Amendment) Order, 1999 (9 of 1999), Article 4, notwithstanding the maximum limit of three months prescribed under Article \r\n128 of the Constitution of the Islamic Republic of Pakistan. \r\n6Substituted for the word “Government” by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), published in the \r\nPunjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 9. \r\n7Substituted for the words “Rights and liabilities of members” by the Sind Laws (Adaptation, Revision, Repeal and Declaration) \r\nOrdinance, 1955 (Sind Ordinance V of 1955), s. 7, Schedule III, Part IV, it came into force with effect from 24 April 1947. Earlier \r\nthe words and figures “Chapter III -Rights and liabilities of members” were substituted for the word s “Rights and liabilities of \r\nmembers” by the Bombay Co-operative Societies (Sind Amendment) Act, 1936 (Sind Act No. VIII of 1936), s. 2. \r\nRights and liabilities of members] \r\n17.  No rights of membership to be exercised till due payments are made .– No \r\nperson shall exercise the rights of a member of a society unless or until he has made such \r\npayment to the society in respect of membership, or acquired such interest in  the society as \r\nmay be prescribed by the rules or the by-laws of such society. \r\n1\r\n[17A. Special provisions for membership of R esource societies .– Notwithstanding \r\nanything contained in this Act and any other law for the time being in force– \r\n(i) every applicat ion made by any person for membership of an Agricultural \r\nCredit Society shall be accompanied by a declaration specifying the \r\nimmovable property on which he agrees to have a charge created for the \r\ndues of the society; and no such person shall be admitted as  a member or \r\nshall exercise rights of a member of such society unless he makes such \r\ndeclaration; \r\n(ii) any member of an Agricultural Credit Society may at any time make a \r\ndeclaration as in clause (i) regarding immovable property on which he agrees \r\nto have a charge created for the dues of the society of which he is a member; \r\n(iii) a declaration made under clause  (i) or (ii) may be varied at any time by a \r\nmember with the consent of the society in favour of which such charge is \r\ncreated; \r\n(iv) no member of an Agr icultural Credit Society so long as he continues to \r\nremain such member shall alienate the whole or any part of the property \r\nspecified in the declaration made under clause (i) or (ii); \r\n(v) any alienation of any property specified in the declaration made und er clause \r\n(i) or (ii) by such member shall be void; \r\n(vi) subject to the prior claim of \r\n2\r\n[Government] in respect of land revenue or any \r\nmoney recoverable as arrears of land revenue, there shall be a first charge in \r\nfavour of the society on the property spec ified in the declaration under clause \r\n(i) or (ii) in respect of and to the extent of any debt or other outstanding \r\ndemand owing by such member to the society; \r\n(vii) an entry regarding a charge on immovable property created by a declaration \r\nunder clause (i) or (ii) or any variation made therein under clause (iii) shall be \r\nmade in the record of ri ghts maintained under Chapter XA of the \r\n3\r\n[Sind] Land \r\nRevenue Code, 1879, \r\n4\r\n[or the relevant provisions of any other law relating to \r\nland revenue in force in the area, ] notwithstanding anything contained in the \r\nsaid Chapter. \r\nExplanation.– For the purposes of this section an „Agricultural Credit Society‟ means a \r\nresource society of which the primary object is the creation of funds to be lent to its members \r\nand of which a  majority of the members are agriculturists and of which no member is a \r\nregistered society and the liability of which is limited.] \r\n                                                           \r\n1Inserted by the Bombay Co-operative Societies (Sind Amendment) Act, 1943 (Sind Act XVI of 1943), s. 6. \r\n2Substituted for the words “the Crown” by the West Pakistan Laws (Adaptation) Order, 1964, published in the Gazette of West \r\nPakistan (Extraordinary), dated 3 June 1964, pp. 1805-1849, s. 2 read with the Schedule, Part IV; it came into force on 8 June \r\n1962. \r\n3Substituted for the word “Bombay” by the Sind Laws (Adaptation, Revision, Repeal and Declaration) Ordinance, 1955 (Sind \r\nOrdinance V of 1955), section 3(i); it came into force with effect from 30 May 1951. \r\n4Added by the Sind Co -operative Societies (West Pakistan Amendment) Ordinance, 1965 (VII of 1965), published in the \r\nGazette of West Pakistan (Extraordinary) dated April 30, 1965, pp. 1987-1989, s. 6. \r\n1\r\n[17-B. Expulsion of a member .– (1) A society may recommend to the Registrar to expel \r\nfrom its membership a member who is a p ersistent defaulter of the dues of the society or \r\nwho commits any act prejudicial to the interests of the society: \r\nProvided that the managing committee of the society shall, after affording the \r\nmember an opportunity of hearing, place the matter before the general body of the society \r\nand approval thereof shall be communicated to the Registrar. \r\n  (2) The Registrar may expel such a member from the society after affording him \r\nan opportunity of hearing. \r\n  (3) The Registrar shall, before passing the expulsion ord er, determine the \r\namount payable, if any, by the society to the member and may direct that the expulsion order \r\nwould take effect from the date of payment of the amount to such member or its deposit in \r\nthe account of the Registrar. \r\n  \r\n2\r\n[(4) Subject to subsection (3), a member shall cease to be member of the society \r\nfrom the date when the expulsion order of the Registrar takes effect, and in case of housing \r\nsociety, the plot of the defaulter member shall also be cancelled along with cancellation of \r\nmembership under subsection (1):  \r\n  Provided that this provision shall not apply to a member of a housing society who has \r\nmade full payment towards the cost of land and the requisite development charges.]] \r\n3\r\n[17-C. Transfer of interest in a housing society .– A member of a society shall cease to \r\nbe the member of such society in case all his interests in the immovable property in the \r\nsociety are transferred in favour of any other person by sale, inheritance, gift or otherwise, \r\nand the person acquiring such interests shall subject to the rules, be admitted as a member:  \r\n  Provided that where more than one persons acquire the interests, one of such \r\npersons, with mutual consent or the person older in age, shall be admitted as a member \r\nhaving right to vote while other persons shall be the members without right to vote:  \r\n Provided further that where a minor or mentally disabled person acquires the \r\ninterests, the natural or legal guardian of the minor or, as the case may be, the person \r\nbound to maintain the disabled person shall be admitted as a member and such membership \r\nshall stand transferred to the minor as soon as he acquires majority or to the disabled \r\nperson as soon as his disability is removed.] \r\n18. Votes of members.– (1) No member of any society shall have more than one vote in \r\nits affairs, provided that in the case of an equality of votes the chairman shall have a casting \r\nvote. \r\n  (2) A Society which has invested any part of its funds in the shares of another \r\nsociety, may appoint one of its members to vote in the affairs of such other registered \r\nsociety. \r\n4\r\n[18-A. General body and managing committee .– (1) The powers and management of a \r\nsociety shall vest in its general body consisting of all its members. \r\n                                                           \r\n1Inserted by the Co operative Societies (Amendment) Act 2006 (VI of 2006), published in the Punjab Gazette (Extraordinary), \r\ndated July 1, 2006, pp. 3-10, s. 10. \r\n2Substituted by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), published in the Punjab Gazette \r\n(Extraordinary), dated August 11, 2020, pp. 585-588, s. 10. \r\n3Inserted by the Act ibid., s. 11. \r\n4Inserted by the Cooperative Societies (Amendment) Act 2006 (VI of 2006), published in the Punjab G azette (Extraordinary), \r\ndated July 1, 2006, pp. 3-10, s. 11. \r\n (2) A society shall have a managing committee, constituted in accordan ce with \r\nthe rules and the by -laws, which shall exercise such powers and functions as may be \r\ndelegated to it by the general body. \r\n (3) Subject to any general or special order of the \r\n1\r\n[Government], the Registrar \r\nmay, on such terms and conditions as he may de em fit, appoint not more than two experts \r\non the managing committee of a society for the development and proper management of the \r\nsociety. \r\n (4) The Registrar may require a society to obtain approval of its general body, in \r\nany matter concerning the business of the society, before proceeding further in the matter.] \r\n2\r\n[\r\n3\r\n[18-B]. Disqualification for being, and for voting at an election of Director, \r\nManager or other officer of the society.– A member of the society to which the provisions \r\nof this section have bee n applied by the \r\n4\r\n[Government] by notification in the Official Gazette \r\nshall be disqualified for being, and for voting at an election of, a Director, Manager or other \r\nofficer of the Society– \r\n(a) if he has taken a loan from the Society which has been outsta nding for six \r\nmonths or more after it has become payable and has not been re -paid up to \r\nthe day immediately preceding the date of the election, or \r\n(b) if he has taken a loan from the Society which is repayable by installments and \r\nthe amount of three or more installments has been outstanding for six months \r\nor more from the date on which the amount of the last installment became \r\npayable and has not been re-paid up to the day immediately preceding the date \r\nof the election. \r\nExplanation.– The date on which the l oan or installment becomes payable is the date \r\nspecified in the bond or any other instrument in writing evidencing the loan but does not \r\ninclude any extension thereof.] \r\n19.  Restrictions on transfer of share or interest .– (1) The transfer or charge of the \r\nshare or interest of a member in the capital of a society shall be subject to such conditions \r\nas to maximum holding as may be prescribed by this Act or by the rules. \r\n (2) A member shall not transfer any share held by him or his interest in the \r\ncapital or property of any society or any part thereof unless– \r\n(a) he has held such share or interest for not less than one year; and \r\n(b) the transfer or charge is made to the society or to a member of the society or \r\nto a person whose application for membership has be en accepted by the \r\nsociety. \r\n5\r\n[CHAPTER IV \r\nDuties of societies] \r\n                                                           \r\n1Substituted for the words “Provincial Government” by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a).   \r\n2Inserted by the Bombay Co -operative Societies (Sind Amendment) Act, 1941 (Sind Act XVIII of 1941), published in the Sind \r\nGovernment Gazette, dated February 26, 1942, s. 2. \r\n3Section 18A renumbered as 18 -B by the Cooperative Societies (Amendment) Act 2006 (VI of 2006), published in the Punjab \r\nGazette (Extraordinary), dated July 1, 2006, pp. 3-10, s. 11. \r\n4Substituted for the words “Provincial Government” by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n5Substituted for the words “Duties of Societies” by the Sind Laws (Adaptation, Revision, Repeal and Declaration) Ordinance, \r\n1955 (Sind Ordinance V of 1955), s. 7, Schedule III, Part IV, it came into force with effect from 24 April 1947.  Earlier the words \r\nand figures “Chapter IV-Duties of societies” were substituted for the words “Duties of societies” by Bombay 8 of 1936, s. 2. \r\n1\r\n[20. Address of societies .– (1) Every society shall have a registered office which shall \r\nbe the address of the society. \r\n  (2) A society shall not change its address without the prior approval o f the \r\nRegistrar: \r\n  Provided that before seeking the approval of the Registrar, the society shall inform its \r\nmembers‟ creditors and where applicable, the society of which it is a member, by post and \r\nalso through two national daily Newspapers, as to the proposed change of the address. \r\n  (3) The approval of the Registrar shall immediately be communicated by the \r\nsociety to its members‟ creditors and the society of which it is a member.] \r\n \r\n2\r\n[20-A. Provision of information.– (1) The Secretary of a society shall pr ovide information \r\nto the Registrar annually or as and when required by Registrar, in such manner and in such \r\nform as may be prescribed.  \r\n  (2) The Secretary of a society shall provide any information, including but not \r\nlimited to information regarding bene ficial owners, members, nominees of the members, \r\nofficers, employees and Managing Committee of the Society, in the prescribed manner to \r\nthe relevant officer or authority under the Anti-Money Laundering Act, 2010 (VII of 2010).  \r\n20-B.  Provision of information by the Registrar.– The Registrar shall provide information \r\nto any officer or the authority mentioned under section 20 -A upon a request in writing, \r\nregarding the members and beneficial owners, officers/employees of the society, assets or \r\nshares held by the members in the society, their addresses, nominees of the members, \r\nproperties and financial condition of the society.] \r\n21.  Copy of Act etc., to be open to inspection .– Every society shall keep open to \r\ninspection at all reasonable times at the registered address of the society– \r\n(a) a copy of this Act, \r\n(b) a copy of the rules governing such society, \r\n(c) a copy of the by-laws of such society, \r\n3\r\n[*] \r\n4\r\n[(d) an up to date register of its members and nominees of the members,]  \r\n5\r\n[(e) an up to date register to its beneficial owners, and  \r\n(f) such other information as may from time to time be required by the Registrar.]  \r\n6\r\n[21-A. Updating of records of societies .– (1) The Registrar shall keep such record of the \r\nbeneficial owners, members, nominees of the members, directors, managing committee and \r\nemployees of the societies as may be prescribed.  \r\n  (2) Within three months of the commencement of the Punjab Cooperative \r\nSocieties (Amendment) Act 2020, every society shall provide the information about its \r\nbeneficial owners to the Registrar.  \r\n                                                           \r\n1Substituted by the Cooperative Societies (Amendment) Act 2006 (VI of 2006), published in the Punjab Gazette (Extraordinary), \r\ndated July 1, 2006, pp. 3-10, s. 12. \r\n2Inserted by the Co-operative Societies (Second Amendment) Act 2020, published in the Punjab Gazette (Extraordinary), dated \r\nSeptember 10, 2020, pp. 1053-1056, s. 6.  \r\n3Omitted the word “and” by the Co -operative Societies  (Second Amendment) Act 2020, published in the Punjab Gazette \r\n(Extraordinary), dated September 10, 2020, pp. 1053-1056, s. 7(a).  \r\n4Substituted by the Act ibid. \r\n5Added by the Act ibid., s. 7(b). \r\n6Inserted by the Act ibid., s.8. \r\n  (3) If a society fails to provide the information as required under subsection (2), \r\nthe Registrar may proceed under section 4-A of this Act.  \r\n  (4) For the purposes of ensuring the requirements set out in subsections (1), (2) \r\nand (3), the Registrar shall exercise such responsibilities and powers as may be prescribed.] \r\n22.  Audit.– \r\n1\r\n[(1) The Registrar shall, by himself, an auditor or a committee of auditors \r\nappointed by him, through general or special order in this behalf, specifying th e period for \r\ncompletion, audit the accounts of every society once at least in a year: \r\n  Provided that no person shall audit the accounts of a society for two consecutive \r\nyears.] \r\n \r\n2\r\n[(1-A) The Registrar may, by general or special order, determine the fee pay able to \r\nthe auditor or the committee of the auditors, as the case may be, and the fee so determined \r\nshall be payable by the society.] \r\n  (2) The audit under sub -section (1) shall include an examination of overdue \r\ndebts, if any, the verification of cash bala nce and securities, and a valuation of the assets \r\nand liabilities of the society. \r\n  (3) The Registrar or other person auditing the accounts of any society shall have \r\nfree access to the books, accounts and vouchers of such society and shall be allowed to \r\nverify its cash balances and securities. \r\n  The Directors, Managers, and other officers of the society shall furnish to the \r\nRegistrar or other person appointed to audit the accounts of a society all such information as \r\nto its transactions and working as the Registrar or such person may require. \r\n  (4) The Registrar and every other person appointed to audit the accounts of a \r\nsociety shall have power, when necessary– \r\n(i) to summon at the time of his audit any officer, agent, servant or member of \r\nthe society who h e has reason to believe can give valuable information in \r\nregard to any transaction of the society or the management of its affairs, or \r\n(ii) to require the production of any book or document relating to the affairs of any \r\ncash or securities belonging to the  society by the officer, agent, servant, or \r\nmember in possession of such book, document, cash or securities. \r\n3\r\n[22A. Power of Registrar to e xercise powers under section 50 A in the course of an \r\naudit.– Where, in the course of an audit under section 22 it app ears to the Registrar that \r\nthere exists any such ground as is specified in section 50A, he may, of his own motion or on \r\nthe application of the person authorised by him under section 22, exercise the  powers \r\nspecified in section 50A]. \r\n4\r\n[22-B. Internal audit committee.– (1) Every housing and producers‟ society, in addition to \r\nthe audit of accounts under section 22, shall also get the accounts audited by an internal \r\naudit committee comprising at least three members of the society other than the members of \r\nits managing committee as may be appointed by the general body with their consent. \r\n                                                           \r\n1Substituted by the Cooperative Societies (Amendment) Act 2006 (VI of 2006), published in the Punjab Gazette (Extraordinary), \r\ndated July 1, 2006, pp. 3-10, s. 13. \r\n2Inserted by the Act ibid., s.14. \r\n3Inserted by the Bombay Co-operative Societies (Sind Amendment) Act, 1943 (Sind Act XVI of 1943), s. 7. \r\n4Inserted by the Cooperative Societies (Amendment) Act 2006 (VI of 2006), published in the Punjab Gazette (Extraordinary), \r\ndated July 1, 2006, pp. 3-10, s. 15. \r\n (2) The report of the internal audit committee shall be submitted by the society or \r\nthe committee to the Registrar within one month of the receipt or compilation of such report.] \r\n1\r\n[CHAPTER V \r\nPrivileges of societies] \r\n23. Societies to be bodies corporate .– The registration of a society shall render it a \r\nbody corporate by the name under which it is registered, with perpetual succession and a \r\ncommon seal, and with power to hold prope rty, to enter into contracts, to institute, and \r\ndefend suits and other legal proceedings and to do all things necessary for the purposes of \r\nits constitution. \r\n24. Prior claim of society .– Subject to any prior claim of \r\n2\r\n[Government] in respect of \r\nland revenue or any money recoverable as land revenue or of a landlord in respect of rent or \r\nany money recoverable as rent, \r\n(a) any debt or outstanding demand owing to a society by any  member or past \r\nmember \r\n3\r\n[or, in the case of a society authorised under sub -section (1) of \r\nsection 34 to make loans to non -members, by a non-member] shall be a first \r\ncharge (i) upon crops or other agricultural produce raised in whole or in part \r\nwith a loan taken from the society by  \r\n4\r\n[such member, past member or non -\r\nmember], and (ii) upon any cattle, fodder for cattle, agricultural or industrial \r\nimplements or machinery, or raw materials for manufacture or workshop, \r\ngodown or place of business, supplied to or purchased by  \r\n5\r\n[such member, \r\npast member or non -member] in whole or in part from any  loan whether in \r\nmoney or goods given, him by the society: \r\nProvided that nothing contained in this clause shall effect the claims of any bona fide \r\npurchaser or transferee for value without notice of any such crops or other agricultural \r\nproduce, cattle, fod der for cattle or raw materials for manufacture or workshops, or \r\nagricultural or industrial implements; and \r\n(b) any outstanding demands or dues payable to a housing society by any \r\nmember or past member in respect of rent, shares, loans, or purchase money \r\nor any other rights or amounts payable to such society shall be a first charge \r\nupon his interest in the immovable property of the society. \r\n25. Charge and set -off in respect of shares or interest of member .– A society shall \r\nhave a charge upon the share or in terest in the capital and on the deposits of a member or \r\npast member and upon any dividend, bonus or profits payable to a member or past member \r\nin respect of any debt due from such member or past member to the society, and may set-off \r\nany sum credited or p ayable to a member or past member in or towards payment of any \r\nsuch debt. \r\n                                                           \r\n1Substituted for the words “Privileges of Societies” by the Sind Laws (Adaptation, Revision, Repeal and Declaration) Ordinance, \r\n1955 (Sind Ordinance V of 1955), s. 7, Schedule III, Part IV, it came into force with effect from 24 April 1947.  Earlier the words \r\nand figures “Chapter V-Privileges of societies” were substituted for the word s “Privileges of societies” by Bombay 8 of 1936, s.  \r\n2. \r\n2Substituted for the words “the Crown” by the West Pakistan Laws (Adaptation) Order, 1964, published in the Gazette of West \r\nPakistan (Extraordinary), dated 3 June 1964, pp. 1805-1849, s. 2 read with the Schedule, Part IV; it came into force on 8 June \r\n1962. These were earlier substituted for the word “Government” by the Government of India (Adaptation of Indian Laws) Order, \r\n1937, published in the Gazette of India (Extraordinary), dated April 1, 1937, pp.  75-344, Article 3 read with Schedule III \r\n(Bombay Acts). \r\n3Inserted by the Bombay Co-operative Societies (Sind Amendment) Act, 1947 (Sind Act XX of 1947), s. 4(a). \r\n4Substituted for the words “such member or past member.” by the Act ibid., s. 4(b).  \r\n5Ibid. \r\n26. Shares or interest not liable to attachment .– Subject to the provisions of section \r\n25, the share or interest of a member in the capital of a society or in any provident fund \r\nestablished under section 41 of this Act shall not be liable to attachment or sale under any \r\ndecree or order of a Court of justice in respect of any debt or liability incurred by such \r\nmember, and \r\n1\r\n[neither the Official Assignee under the  Insolvency (Karachi Division \r\n2\r\n[* * *]) \r\nAct, 1909 nor a receiver under the Provincial Insolvency Act, 1920, shall] be entitled to or have \r\nany claim on such share or interest. \r\n27. Transfer of interest on death of member .– (1) On the death of a member of a \r\nsociety such society may within a period of one year from the death of such member transfer \r\nthe share or interest of the deceased member to a person or persons nominated in \r\naccordance with the by -laws of the society, if duly admitted a member of the Society, in \r\naccordance with the rules or the by-laws of the society, or, if there is no person so nominated, \r\nto such person as may appear to the Committee to be the heir or legal representative of the \r\ndeceased member if duly elected a member of the society, or may pay to such nominee, heir \r\nor legal representative, as the case may be, a sum representing the value of such member‟s \r\nshare or interest as ascertained in accordance with the rules or by-laws: \r\n Provided that such nominee, heir or legal representative, as the case may be, may \r\nrequire that payment shall be made by the society within one year from the death of the \r\nmember of the value of the share or interest of such member ascertained as aforesaid. \r\n3\r\n[Provided further that the nominee, heir or legal representative shall distribute th e \r\namount received by him among the heirs of the deceased.] \r\n (2) A society shall subject to the provisions of section 25 and unless prevented \r\nby an order of a competent court pay to such nominee, heir or legal representative, as the \r\ncase may be, all other moneys due to the deceased member from the society. \r\n (3) All transfers and payments made by a society in accordance with the \r\nprovisions of this section shall be valid and effectual against any demand made upon the \r\nsociety by any other person. \r\n28. Liability of past member.– The liability of a past member for the debts of a society \r\nas they existed at the time when he ceases to be a member, shall continue for a period of \r\ntwo years from the date of his ceasing to be a member. \r\n4\r\n[29. Liability of the estate of dec eased member.– The estate of a deceased member \r\nshall be liable for the debts of the society, at the time of his death, for a period of one year.] \r\n30. Register of members .– Any register or list of members or shares kept by any \r\nsociety shall be prima facie evidence of any of the following particulars entered therein:– \r\n(a) the date at which the name of any person was entered in such register or list \r\nas a member; \r\n(b) the date at which any such person ceased to be a member. \r\n                                                           \r\n1Substituted for the words “a Receiver under the Provincial Insolvency Act, 1920, shall not” by the Sind Co -operative Societies \r\n(West Pakistan Amendment) Ordinance, 1965 (VII of 1965), published in the Gazette of West Pakistan (Extraordinary) dated  \r\nApril 30, 1965, pp. 1987-1989, s. 7. These words were earlier substituted for the words “neither the Official Assignee under the \r\nPresidency Town, Insolvency Act, 1920, shall” by the Sind Laws (Adaptation, Revision, Repeal and Declaration) Ordinance, 1955 \r\n(Sind Ordinance V of 1955), s. 7 read with Schedule III. \r\n2Deleted the words “and Dacca” by the Cooperative Societies (Punjab Amendment) Ordinance, 1984 (XL of 1984), published in \r\nthe Punjab Gazette (Extraordinary), dated December 31, 1984, pp. 3023-3026, s. 2(2). \r\n3Added by the Cooperative Societies (Amendment) Ordinance, 1985 (VIII of 1985), published in the Punjab Gazette \r\n(Extraordinary), dated February 23, 1985, s. 2. \r\n4Substituted by the Cooperative Societies (Amendment) Act 2006 (VI of 2006), published in the Punjab Gazette (Extraordinary), \r\ndated July 1, 2006, pp. 3-10, s. 16. \r\n31. Admissibility of copy of entry as evidence.– (1) A copy of any entry in any book, \r\nregister or list regularly kept in the course of business in the possession of a society shall, if \r\nduly certified in such manner as may be prescribed by the rules, be admissible in evidence \r\nof the existence o f the entry and shall be admitted as evidence of the matters and \r\ntransactions therein recorded in every case where, and to the same extent to which the \r\noriginal entry would, if produced, have been admissible to prove such matters. \r\n (2) In the case of such societies as \r\n1\r\n[the \r\n2\r\n[Government]] by ge neral or special \r\norder may direct no officer of a society shall in any legal proceedings to which the society is \r\nnot a party be compelled to produce any of the society‟s books, the contents of which can be \r\nproved under sub-section (1), or to appear as a witness to prove the matters, transactions \r\nand accounts therein recorded, unless by order of the Court or a Judge made for special \r\ncause. \r\n32. Exemption from compulsory registration of instruments relating to shares \r\n3\r\n[etc] \r\nof society.– Nothing in section 17, sub -section (1), clauses (b) and (c), of the \r\n4\r\n[* * * * *] \r\nRegistration Act, 1908\r\n5\r\n, shall apply to– \r\n(1) any instrument relating to shares in a society notwithstanding that the assets \r\nof the society consist in whole or in part of immovable property; or \r\n(2) any debenture \r\n6\r\n[participation term certificate  \r\n7\r\n[term] finance certificate, \r\nmusharika certificate, modaraba certificate and such other instruments as \r\nmay be approved by the State Bank of Pakistan], issued by any societ y and \r\nnot creating, declaring, assigning, limiting or extinguishing any right, title or \r\ninterest to or in immovable property except in so far as it entitles the holder to \r\nthe security afforded by a registered instrument whereby the society has \r\nmortgaged, c onveyed or otherwise transferred the whole or part of its \r\nimmovable property or any interest therein to trustees upon trust for the \r\nbenefit of the holders of \r\n8\r\n[such instruments]; or \r\n(3) any endorsement upon or transfer of any debenture \r\n9\r\n[participation term  \r\ncertificate, term finance certificate, musharika certificate, modaraba \r\ncertificate, and such other instruments as may be approved by the State Bank \r\nof Pakistan], issued by any society. \r\n33. Power to exempt from income-tax, stamp-duty, registration and court fees.– (1) \r\nThe \r\n10\r\n[\r\n1\r\n[Federal] Government], by notification in the \r\n2\r\n[Official Gazette], may, in the case of \r\n                                                           \r\n1Substituted for the word “Government” by the Government of India (Adaptation of Indian Laws) Order, 1937, published in the \r\nGazette of India (Extraordinary), dated April 1, 1937, pp. 75-344, Article 3 read with Schedule III (Bombay Acts). \r\n2Substituted for the words “Provincial Government” by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n3Substituted for the words “and debentures” by the Cooperative Societies (Punjab Amendment) Ordinance, 1984 (XL of 1984), \r\npublished in the Punjab Gazette (Extraordinary), dated December 31, 1984, pp. 3023-3026, s. 2(3)(i). \r\n4The word “Indian” was omitted by the Sind Laws (Adaptation, Revision, Repeal and Declaration) Ordinance, 1955 (Sind Ordinance \r\nV of 1955), s. 4; it came into force with effect from 30 May 1951. \r\n5XVI of 1908. \r\n6Inserted by the Cooperative Societies (Punjab Amendment) Ordinance, 1984 (XL  of 1984), published in the Punjab Gazette \r\n(Extraordinary), dated December 31, 1984, pp. 3023-3026, s. 2(3)(ii)(a). \r\n7Added by corrigendum published at p. 3029 in the Gazette of Punjab (Extraordinary), dated December 31, 1984. \r\n8Substituted for the words “su ch debentures” by the Cooperative Societies (Punjab Amendment) Ordinance, 1984 (XL of 1984), \r\npublished in the Punjab Gazette (Extraordinary), dated December 31, 1984, pp. 3023-3026, s. 2(3)(ii)(b). \r\n9Inserted by the Ordinance ibid., s. 2(3)(iii). \r\n10Substituted for “Governor-General in Council” by the Government of India (Adaptation of Indian Laws) Order, 1937, published in the \r\nGazette of India (Extraordinary), dated: 1 April 1937, pp.  75-344, Article 4(1) and Table of General Adaptations. Now „Federal \r\nany society or class of societies, remit the income -tax or super-tax payable in respect of the \r\nprofits of the society, or of the dividends or other p ayment received by the members of the \r\nsociety on account of profits or in respect of interest \r\n3\r\n[or return] on securities held by the \r\nsociety. \r\n (2) The \r\n4\r\n[\r\n5\r\n[Government]] by notification in the  \r\n6\r\n[Official Gazette], may, in the case \r\nof any society or class of societies, remit– \r\n(a) the stamp -duty with which, under any law for the time being in force, \r\ninstruments executed by or on behalf of a society or by an officer or member \r\nand relating to the business of the society, or any class of such instruments \r\n7\r\n[or secu rity bonds executed by or on behalf of officers or servants of a \r\nsociety] or awards of the Registrar or arbitrators under this Act are \r\nrespectively chargeable; and \r\n(b) any fee payable under the law of registration and of court fees for the time \r\nbeing in force. \r\n8\r\n[* * * * * * * * *   ] \r\n33A. \r\n9\r\n[Government] may give loans or guarantee interest \r\n10\r\n[or return ].– With such \r\nsafeguards as may be prescribed by rules in this behalf \r\n11\r\n[the \r\n12\r\n[Government]] may give loans \r\n                                                                                                                                                                                     \r\nGovernment‟, see the Federal Adaptation of Laws Order, 1975 (P.O. 4 of 1975), published in Gazette of Pakistan (Extraordinary), Part-I, \r\ndated August 1, 1975, pp. 435-467, see Article 2 read with Table of General Adaptations. \r\n1Substituted for the word “Central” by the Co-operative Societies (Amendment) Act 2020 (XIX of 2020), published in the Punjab Gazette \r\n(Extraordinary), dated August 11, 2020, pp. 585-588, s. 12.   \r\n2Substituted for the words “Gazette of India” by the Government of India (Adaptation of Indian Law s) Order, 1937, published in the \r\nGazette of India (Extraordinary), dated April 1, 1937, pp. 75-344, Article 4(1) read with Table of General Adaptations. \r\n3Inserted by the Cooperative Societies (Punjab Amendment) Ordinance, 1984 (XL of 1984), published in th e Punjab Gazette \r\n(Extraordinary), dated December 31, 1984, pp. 3023-3026, s. 2(4). \r\n4Substituted for the word “Government” by the Sind Co -operative Societies (West Pakistan Amendment) Ordinance, 1965 (VII of 1965), \r\npublished in the Gazette of West  Pakistan (Extraordinary) dated April 30, 1965, pp. 1987-1989, s. 8(a), which was earlier substituted for \r\nthe words “Local Government” by the Government of India (Adaptation of Indian Laws) Order, 1937, published in the Gazette of India \r\n(Extraordinary), dated April 1, 1937, pp. 75-344, Article 3 read with Schedule III (Bombay Acts). \r\n5Substituted for the words “Provincial Government” by the Co-operative Societies (Amendment) Act 2020 (XIX of 2020), published in the \r\nPunjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n6Substituted for the words “Bombay Government Gazette” by the Government of India (Adaptation of Indian Laws) Order, 1937, \r\npublished in the Gazette o f India (Extraordinary), dated April 1 , 1937, pp.  75-344, Article 4(1) read with  Table of General \r\nAdaptations. \r\n7Inserted by the Bombay Co-operative Societies (Sind Amendment) Act, 1943 (Sind Act XVI of 1943), s. 8. \r\n8The paragraph beginning with the words “in this sub -section” and ending with the words “the Provincial Government”, which \r\nwas earlier inserted by the Government of India (Adaptation of Indian Laws) Order, 1937, published in the Gazette of India \r\n(Extraordinary), dated April 1, 1937, pp. 75-344, Article 3 read with Schedule III (Bombay Acts) were omitted by the Sind Co -\r\noperative Societies (West Pakistan Amendment) Ordinance, 1965 (VII of 1965), published in the Gazette of West  Pakistan \r\n(Extraordinary) dated April 30, 1965, pp. 1987-1989, s. 8. \r\n9Substituted for the words “Provincial Government” by the Co -operative Societies (Amend ment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n10Inserted by the Cooperative Societies (Punjab Amendment) Ordinance, 1984 (XL of 1984), published in the Punjab Gazette \r\n(Extraordinary), dated December 31, 1984, pp. 3023-3026, s. 2(5)(i). \r\n11Substituted for the word “Government” by the Government of India (Adaptation of Indian Laws) Order, 1937, published in the \r\nGazette of India (Extraordinary), dated April 1, 1937, pp. 75-344, Article 3 read with Schedule III (Bombay Acts). \r\n12Substituted for the words “Provincial Government” by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\nto societies or guarantee the payment of \r\n1\r\n[the principal of debentures issued by them or of \r\ninterest \r\n2\r\n[or return] thereon or both].] \r\n3\r\n[CHAPTER VI \r\nProperty and funds of societies] \r\n34. Restrictions on loans .– (1) Except with the general or special sanction of the \r\nRegistrar \r\n4\r\n[and subject to such terms and condit ions as he may impose] a society shall not \r\nmake a loan to any person other than a member. \r\n(2) Save with the sanction of the Registrar, a society with unlimited liability shall \r\nnot lend money on the security of movable property. \r\n(3) \r\n5\r\n[The \r\n6\r\n[Government]] may, by general or special order, prohibit or restrict the \r\nlending of money on mortgage of immovable property by any society or class of societies. \r\n7\r\n[(4) Where the Registrar has accorded sanction to a financing bank under sub -\r\nsection (1) to make loans to non -members, a society which is a member of such financing \r\nbank may, subject to the terms of the sanction and such other terms and conditions as the \r\nRegistrar may impose, act as an agent of the financing bank and as such agent carry out, on \r\nor without the payment of any commission, all or any transactions connected with any loan s \r\nmade or to be made by the financing bank]. \r\n8\r\n[34-A. Prohibition on issuance of bearer shares, warrants.– No society shall allot, issue, \r\nsell, transfer or assign any bearer shares, beare r share warrants or any other equity or debt \r\nsecurity of a bearer nature, by whatever name called, and any allotment, issue, sale, \r\ntransfer, assignment or other disposition of any bearer shares or bearer share warrants or \r\nany other equity or debt security of a bearer nature, shall be void.] \r\n35. Restrictions on borrowing \r\n9\r\n[and donations].– A society shall receive deposits \r\n10\r\n[, \r\ndonations, grants] and loans from persons who are not members only to such extent and \r\nunder such conditions as may be prescribed by the rules or by the bye-laws of the society. \r\n36. Restrictions on other transactions with non -members.– Consumers‟, producers‟ \r\nand housing societies may to the extent permitted by their by -laws trade with persons who \r\nare not members, but the transactions of a  resource society with persons other than \r\n                                                           \r\n1Substituted for the word s “interest on debentures issued by them” by the Bombay Co-operative Societies (Sind Amendment) \r\nAct, 1935 (Bombay Act XXII of 1935), s. 2. \r\n2Inserted by the Cooperative Societies (Punjab Amendment) Ordinance, 1984 (XL of 1984), published  in the Punjab Gazette \r\n(Extraordinary), dated December 31, 1984, pp. 3023-3026, s. 2(5)(ii). \r\n3Substituted for the words “property and funds of Societies” by the Sind Laws (Adaptation, Revision, Repeal and Declaration) \r\nOrdinance, 1955 (Sind Ordinance V of  1955), s. 7, Schedule III , Part IV,  it came into force with effect from April 24, 1947. \r\nEarlier the words and figures “Chapter VI-Property and funds of societies” were substituted for the words “Property and funds of \r\nsocieties” by Bombay Co-operative Societies (Sind Amendment) Act, 1936 (Sind Act No. VIII of 1936), s. 2. \r\n4Inserted by the Bombay Co-operative Societies (Sind Amendment) Act, 1947 (Sind Act XX of 1947), s. 5(a).  \r\n5Substituted for the word “Government” by the Government of India (Adaptation of In dian Laws) Order, 1937, published in the \r\nGazette of India (Extraordinary), dated April 1, 1937, pp. 75-344, Article 3 read with Schedule III (Bombay Acts). \r\n6Substituted for the words “Provincial Government” by the Co -operative Societies (Amendment) Act 202 0 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n7Added by the Bombay Co-operative Societies (Sind Amendment) Act, 1947 (Sind Act XX of 1947), s. 5(b). \r\n8Inserted by the Co-operative Societies (Second Amendment) Act 2020, published in the Punjab Gazette (Extraordinary), dated \r\nSeptember 10, 2020, pp. 1053-1056, s. 9. \r\n9Added by the Cooperative Societies (Amendment) Act 2006 (VI of 2006), published in the Punjab Gazette (Extraordinary), \r\ndated July 1, 2006, pp. 3-10, s. 17(a). \r\n10Inserted by the Act ibid., s.17(b). \r\nmembers except as provided under section 34 or 35 shall be subject to such prohibitions \r\nand restrictions, if any, as \r\n1\r\n[the \r\n2\r\n[Government]] may by rules prescribe. \r\n37. Investment of funds.– A society may invest or deposit its funds– \r\n(a) in the Government Saving Bank; or \r\n(b) in any of the securities specified in section 20 of the \r\n3\r\n[* * *] Trusts Act, 1882\r\n4\r\n; \r\nor \r\n(c) in the shares or on the security of any other society, provided that no such \r\ninvestment shall be made in t he shares of any society other than one with \r\nlimited liability; or \r\n(d) with any bank or person carrying on the business of banking approved for this \r\npurpose by the Registrar; or \r\n(e) in any other mode permitted by the rules. \r\n5\r\n[38. Restriction on dividend.– (1) No society, other than housing, banking or producers‟ \r\nsociety, shall pay a dividend to its members at a rate exceeding ten percent of its net profits. \r\n (2) A housing, banking or producers‟ society shall pay a dividend to its members \r\nat a rate not exceeding twenty percent of its net profits.] \r\n39. Reserve fund .– (1) Every society which does or can derive a profit from its \r\ntransactions shall maintain a reserve fund. \r\n (2) In the case of a resource or producers‟ society at least 1/4 th of the net profits \r\nof the society each year shall be carried to the reserve fund and in the case of any other \r\nsociety at least 1/10th of the net profits of the society each year shall be carried to the reserve \r\nfund, and such reserve fund may be used in the business of the societ y or may be invested, \r\nsubject to the provisions of section 37, as \r\n6\r\n[the \r\n7\r\n[Government]] may by general or special \r\norder direct, or may, with the previous sanction of \r\n8\r\n[the \r\n9\r\n[Government]] be used in part for \r\nsome public purpose likely to promote the objects of this Act or for some purposes of \r\nprovincial or local interest. \r\n40. Restriction on distribution of profits .– Subject to the provisions of section 38 the \r\nbalance of the profits of a society after making the prescribed provisions for the reserve fund \r\nmay, together with any available profits of past years be distributed among its members, and \r\nin the case of consumers‟ and producers‟ societies, also among persons who are not \r\n                                                           \r\n1Substituted for the word “Government” by the Government of India (Adaptation of Indian Laws) Order, 1937, published in the \r\nGazette of India (Extraordinary), dated April 1, 1937, pp. 75-344, Article 3 read with Schedule III (Bombay Acts). \r\n2Substituted for the words “Provincial Government” by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n3The word “Indian” omitted by the Sind Laws (Adaptation, Revision, Repeal and Declaration) Ordinance, 1955 (Sind Ordinance \r\nV of 1955), s. 4; it came into force with effect from 30 May 1951. \r\n4II of 1882. \r\n5Substituted by the Cooperative Societies (Amendment) Act 2006 (VI of 2006), published in the Punjab Gazette (Extraordinary), \r\ndated July 1, 2006, pp. 3-10, s. 18. \r\n6Substituted for the word “Government” by the Government of India (Adaptation of Indian Laws) Order, 1937, published in the \r\nGazette of India (Extraordinary), dated April 1, 1937, pp. 75-344, Article 3 read with Schedule III (Bombay Acts). \r\n7Substituted for the words “Provincial Government” by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n8Substituted for the word “Government” by the Government of India (Adaptation of Indian Laws) Order, 1937, published in the \r\nGazette of India (Extraordinary), dated April 1, 1937, pp. 75-344, Article 3 read with Schedule III (Bombay Acts). \r\n9Substituted for the words “Provincial Government” by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\nmembers, to the extent and under the conditions prescribed by the rules or by the by-laws of \r\nsuch societies, provided that:– \r\n(a) in the case of a resource society on a basis of unlimited liability in which the \r\nmembers do not hold shares, no distribution of profits shall be made without \r\nthe general or special order of \r\n1\r\n[the \r\n2\r\n[Government]] in this behalf; and \r\n(b) in the case of a resource society on a basis of unlimited liability in which the \r\nmembers hold shares, no such distribution of profits shall be made until 10 \r\nyears from the date of registration of the society have elapsed. \r\n41. Provident fund.– Any society may establish a provident fund for its members out of \r\ncontributions from such members in accordance with by -laws made by the society in this \r\nbehalf and may contribute to such provident fund from its net profits, after the prescribed \r\npayments have been made to the reserve fund, provided that such provident fund shall not \r\nbe used in the business of the society but shall be invested under the provisions of section \r\n37; and provided further, that no part of such provident fund shall be cons idered as an asset \r\nof the society. \r\n42. Contribution to charitable purpose.– With the approval of the \r\n3\r\n[Registrar] and after \r\nthe payments prescribed by sub -section (2) of section 39 have been made to the reserve \r\nfund, any society may– \r\n(a) set aside a sum not exceeding 20 per cent of its net profits, and \r\n(b) utilize from time to time the whole of such sum in contributing to any public or \r\nco-operative purpose, or to a charitable purpose as defined in section 2 of the \r\nCharitable Endowments Act, 1890\r\n4\r\n. \r\n5\r\n[CHAPTER VII \r\nInspection of affairs] \r\n43. Inquiry by Registrar .– (1) The Registrar may of his own motion by himself or by a \r\nperson duly authorised by him in writing in this behalf hold an inquiry into the constitution, \r\nworking and financial condition of a society. \r\n (2) The Registrar shall hold such an inquiry as is contemplated in sub -section (1) \r\nof this section– \r\n(a) on the requisition of a society, duly authorised by rules made in this behalf to \r\nmake such requisition, in respect of one of its members, such member be ing \r\nitself a society, \r\n(b) on the application of a majority of the Committee of the society, \r\n(c) on the application of 1/3rd of the members of the society. \r\n                                                           \r\n1Substituted for the word “Government” by the Government of India (Adaptation of Indian Laws) Order, 1937, published in the \r\nGazette of India (Extraordinary), dated April 1, 1937, pp.75-344, Article 3 read with Schedule III (Bombay Acts). \r\n2Substituted for the words “Pr ovincial Government” by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n3Substituted for the words “Bombay Central Co -operative Institute” by the  Bombay Co-operative Societies ( Sind Third \r\nAmendment) Act, 1940 (Sind Act XVI of 1940), s. 2. \r\n4VI of 1890. \r\n5Substituted for the words “Inspection of Affairs” by the Sind Laws (Adaptation, Revision, Repeal and Declaration) Ordinance, \r\n1955 (Sind Ordinance V of 1955), s. 7, Schedule III, Part IV, it came into force with effect from April 24, 1947. Earlier the words \r\nand figures “Chapter VII-Inspection of affairs” were substituted for the words “Inspection of affairs” by Bombay 8 of 1936, s. 2. \r\n  (3) All officers and members of the society whose affairs are investigated shall \r\nfurnish such infor mation in their possession in regard to the affairs of the society as the \r\nRegistrar or the person authorized by the Registrar may require. \r\n  (4) The result of any inquiry under this section shall be communicated to the \r\nsociety whose affairs have been investigated. \r\n44. Inspection of books of indebted society .– (1) The Registrar may, on the \r\napplication of a creditor of a society inspect or direct some person authorized by him by \r\norder in writing in this behalf to inspect the books of the society: \r\nProvided that– \r\n(a) the applicant satisfies the Registrar that the debt is a sum then due, and that \r\nhe has demanded payment thereof and has not received satisfaction within a \r\nreasonable time; and  \r\n(b) the applicant deposits with the Registrar such sum as security for t he costs of \r\nthe proposed inspection as the Registrar may require. \r\n  (2) The Registrar shall communicate the result of any such inspection to the \r\ncreditor. \r\n1\r\n[\r\n2\r\n[44-A. Inspection of books and properties .– The Registrar, or any of his \r\nauthorized representative, shall have access and right to inspect the books, accounts, cash, \r\ndocuments, properties and securities of a society and every employee, past or present, of \r\nthe society shall produce the same and furnish such information with regard to the \r\ntransactions and working of the society as the person making such inspection may require.]] \r\n3\r\n[44B.   Power of Registrar to exercise powers under section 50A in the course of \r\nan inquiry or inspection .– Where, in the course of any inquiry under section 43 or an \r\ninspection under section 44 or section 44 A it appears to the Registrar that there exists any \r\nsuch ground as is specified in section 50A, he may, of his own motion or on the application of \r\nthe person authorised by him under section 43 or section 44 or sec tion 44A, exercise the \r\npowers specified in section 50A]. \r\n4\r\n[44-C.  Power to remove officers .– (1) An officer of a Society, by whatever name \r\ncalled may be removed by the Registrar, if, on an enquiry, he is satisfied that the said \r\nofficer– \r\n(i) acts in a manner prejudicial  to the interest of the society or its \r\nmembers; or \r\n(ii) has incurred any of the disqualifications or has ceased to possess any \r\nof the qualifications for being an officer provided by the Act, rules or \r\nbye-laws; or \r\n(iii) has committed an act in respect of wh ich the Registrar is empowered \r\nto take action under section 50-A. \r\n                                                           \r\n1Inserted by the Bombay Co-operative Societies ( Sind Amendment) Act, 1943 (Sind Act XVI of 1943), published in the Sind \r\nGovernment Gazette, dated April 15, 1943, s. 9.  \r\n2Substituted by the Cooperative Societies (Amendment) Act 2006 (VI of 2006), published in the Punjab Gazette (Extraordinary), \r\ndated July 1, 2006, pp. 3-10, s. 19. \r\n3Inserted by the Bombay Co-operative Societies (Sind Amendment) Act, 1943 (Sind Act XVI of 1943), s. 9. \r\n4Added sections 44-C, 44-D and 44-E by the Cooperative Societies (Amendment) Act, 1992 (I of 1992), published in the Punjab \r\nGazette (Extraordinary), dated June 4, 1992, s. 5. \r\n  (2) An order under sub -section (1) shall not be passed without giving to the \r\nconcerned officer a reasonable opportunity of being heard. \r\n  (3) On being removed, the officer shall not perfor m any functions as such in \r\nrelation to the society. \r\n  (4) An officer aggrieved by an order under sub-section (1) may, within a period of \r\nseven days from the date of the order of his removal, prefer an appeal to such Appellate \r\nAuthority as may be constituted by the Government and the decision of the said Authority shall \r\nbe final: \r\n  Provided that the provisions of this section shall not apply to the Punjab Provincial \r\nCooperative Bank Ltd. \r\n1\r\n[\r\n2\r\n[(5) The Registrar may suspend, for a period not exceeding three mon ths, a \r\nmember of the managing committee of a society or any officer or official of the society \r\nagainst whom an inquiry is pending under this Act or there are reasons to believe that any \r\nsuch member, officer or official has committed any irregularity, illeg ality, breach of trust or \r\nact prejudicial to the interests of the society.]] \r\n44-D.  Power of Registrar to give directions .– (1) Where the Registrar is satisfied that in \r\nthe public interest or to prevent the affairs of any society from being conducted in a manner \r\ndetrimental to the interest of its members or depositors or the society or to secure the proper \r\nmanagement of any society generally, it is necessary to issue directions to the societies \r\ngenerally or to any society in particular, it may issue necessa ry directions and the societies \r\nor as the case may be the society shall be bound to comply with such directions. \r\n  (2) The Registrar may on a representation made to him or on his own motion \r\nmodify or cancel any direction issued under sub-section (1) and in so modifying or cancelling \r\nany direction impose such conditions as he may think fit subject to which the modification or \r\ncancellation shall have effect. \r\n44-E.  Special measures .– (1) If it appears to the Registrar that in the interest of the \r\nmembers of a society or its depositors , it is necessary that the moneys received and other \r\nassets of the Society, whether held in the name of that society or any other person, are \r\nprotected and preserved, the Registrar or any other person authorised by him, may without  \r\nprejudice to any other action or proceedings which may be taken against the society under \r\nany law for the time being in force- \r\n(i) enter and search any premises and seize books of account or other \r\ndocuments or records; \r\n(ii) take in his custody all moneys,  cash securities, title deeds, properties, \r\nwhether movable or immovable, belonging to such society including those \r\nbeing held on behalf of or in the name of any officer, employee or agent of the \r\nsociety, beneficiary or transferee of such Society or other p erson or their \r\ndependents; \r\n(iii) direct any bank, financial institution or person to freeze all moneys deposited \r\nwith it or him on behalf of the society or of any officer, employee, agent, \r\nbeneficiary or transferee of such society; \r\n(iv) take all necessary steps and measures for identifying assets and property of \r\nthe society and for realization, protection and preservation thereof; \r\n                                                           \r\n1Substituted by the Cooperative Societies (Amendment) Act 2006 (VI of 2006), published in the Punjab Gazette (Extraordinary), \r\ndated July 1, 2006, pp. 3-10, s. 20. \r\n2Substituted by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), published in the Punjab Gazette \r\n(Extraordinary), dated August 11, 2020, pp. 585-588, s. 13. \r\n(v) restrain any society or officer, employee, agent, beneficiary or transferee of \r\nsuch society or any person deriving or claiming title through any of them from \r\nalienating, transferring, selling, assigning, disposing of or parting with \r\npossession of any property  movable or immovable  or deriving any benefit, \r\nrent or income therefrom; \r\n(vi) make such order for realization, protection  and preservation of deposits of \r\nmoney and other assets and property of the society as he may deem fit. \r\n  (2) The order passed under sub -section (1) may at any time be withdrawn and \r\nshall not remain in force for more than one year.] \r\n1\r\n[44-F. Grievance redressal.– (1) A member or a society can approach the Registrar for \r\nredressal of grievances, not covered under section 54, by filing an application.  \r\n(2) The Registrar may issue notice to the parties, and after providing an opportunity of \r\nhearing, redress the grievance through a written order.  \r\n(3) Any party aggrieved by an order of the Registrar may file an appeal in the manner as \r\nprovided under section 64 of this Act, before the Secretary Cooperatives within two months \r\nof the date of communication of the order.] \r\n45.  Costs of inquiry .– Where an inquiry is held under section 43 or an inspection is \r\nmade under section 44 the Registrar may apportion the costs, or such part of the costs, as \r\nhe may think right, between the society, the members or creditors demanding  the inquiry or \r\ninspection, the officers or former officers, and the members  or past members of the society \r\n2\r\n[Costs may also be awarded by the Registrar to the financing bank in the case of inspection \r\nunder section 44 A of the books of any society other tha n an Agricultural Credit Society the \r\nliability of which is unlimited]: \r\n  Provided that– \r\n(a) no order of apportionment \r\n3\r\n[or award] of the costs shall be made under this \r\nsection unless the society or persons liable to pay the costs thereunder has or \r\nhave been heard or has or have had a reasonable opportunity of being heard; \r\n(b) the Registrar shall state in writing under his own hand the grounds on which \r\nthe costs are apportioned \r\n4\r\n[or awarded]. \r\n5\r\n[Explanation.– For the purposes of this section an Agricultural C redit Society means a \r\nresource society of which the primary object is the creation of funds to be lent to its members \r\nand of which a majority of the members are agriculturists and of which no member is a \r\nregistered society and the liability of which is unlimited.] collaborate  \r\n \r\n6\r\n[46. Recovery of costs .– Any sum awarded by way of costs under section 45, may be \r\nrecovered, on the application of the Registrar, by a Magistrate having jurisdiction in the place \r\nwhere the person from whom the money is claimable act ually and voluntarily resides, or \r\ncarries on business, or by an officer authorized in this behalf by the Government, by distress \r\n                                                           \r\n1Inserted by the Co-operative Societies (Amendment) Act 2020 (XIX of 2020), published in the Punja b Gazette (Extraordinary), \r\ndated August 11, 2020, pp. 585-588, s. 14. \r\n2Added by the Bombay Co-operative Societies (Sind Amendment) Act, 1943 (Sind Act XVI of 1943), s. 10(i). \r\n3Inserted by the Act ibid., s.10 (ii). \r\n4Ibid. \r\n5Ibid. \r\n6Substituted by the Cooperative Societies (Amendment) Act 2006 (VI of 2006), published in the Punjab Gazette (Extraordinary), \r\ndated July 1, 2006, pp. 3-10, s. 21. \r\nand sale of any movable property belonging to such person, within the limits of the \r\njurisdiction of such Magistrate or any such officer.] \r\n1\r\n[CHAPTER VIII \r\nLiquidation and Arbitration] \r\n47. Winding up.– If the Registrar, after an inquiry has been held  under section 43 or \r\nafter an inspection has been made under section 44  \r\n2\r\n[or section 44 -A] or on receipt of an \r\napplication made by  \r\n3\r\n[two third] of the members of a society present at a special general \r\nmeeting, called for the purpose or of his own motion, in the case of a society that has not \r\ncommenced working, or has ceased working \r\n4\r\n[***], is of opinion that the society ought to be \r\nwound up he may issue an order directing it to be wound up, and the when necessary, may \r\nappoint a liquidator for the purpose and fix his remuneration. \r\n \r\n5\r\n[48. Society may be wound up if membership is reduced .– (1) The Registrar may, by \r\norder in writing, direct a s ociety to be wound up, if at any time it is proved to his satisfaction \r\nthat the membership of the society has been reduced to less than the requisite minimum \r\nnumber of members and the society, despite a reasonable opportunity, has failed to raise \r\nthe number of members to be in accordance with the provisions of this Act. \r\n (2) All existing societies shall, within two years of the commencement of this Act, \r\nraise their membership to be in accordance with the provisions of this Act, failing which the \r\nRegistrar may wind up such a society after affording it an opportunity of being heard.] \r\n6\r\n[48-A. Winding up of housing society.– If a housing society fails to complete development \r\nand allotment of plots in accordance with its development schedule, the Registrar may or der \r\nthe winding up of the society after affording it an opportunity of hearing.] \r\n49. Effect of cancellation of registration .– When the affairs of a society for which a \r\nliquidator has been appointed under section 47 have been wound up, or, where no liquidator \r\nhas been appointed, after two months from the date of an order under section 47, or after \r\nconfirmation of such order in appeal, the Registrar shall make an order cancelling the \r\nregistration of the society, and the society shall be deemed to be dissolved  from the date of \r\nsuch order. \r\n7\r\n[49-A. Records of cancelled societies .– (1) The Registrar shall keep all the records of a \r\nsociety along with proceeding of liquidation completed whose registration has been \r\ncancelled for a period not less than five years.  \r\n (2) The Secretary of a society whose registration has been cancelled shall also \r\nkeep the record of the society for a period not less than five years: \r\n                                                           \r\n1Substituted for the words “Liquidation and Arbitration” by the Sind Laws (Adaptation, Revision, Repeal and Declaration) \r\nOrdinance, 1955 (Si nd Ordinance V of 1955), s.  7, Schedule III , Part IV,  it came into force with effect from  April 24, 1947. \r\nEarlier the words and figures “Chapter VIII -Liquidation and Arbitration” were substituted for the words “Liquidation and \r\nArbitration” by the Bombay Co-operative Societies (Sind Amendment) Act, 1936 (Sind Act No. VIII of 1936), s. 2. \r\n2Inserted by the Bombay Co-operative Societies (Sind Amendment) Act, 1943 (Sind Act XVI of 1943), s. 11. \r\n3Substituted for the words “three  fourths” by the Cooperative Societies (Amendment) Act 2006 (VI of 2006), published in the \r\nPunjab Gazette (Extraordinary), dated July 1, 2006, pp. 3-10, s. 22(a). \r\n4Omitted the words “or possesses shares or members deposits not exceeding Rs.500/-” by the Act ibid., s. 22(b). \r\n5Substituted by the Act ibid., s.23. \r\n6Inserted by the Act ibid., s.24. \r\n7Inserted by the Co-operative Societies (Second Amendment) Act 2020, published in the Punjab Gazette (Extraordinary), dated \r\nSeptember 10, 2020, pp. 1053-1056, s. 10. \r\n provided that the society shall dispose of its record after five years after the approval of \r\nthe Registrar Cooperative Societies.] \r\n50.  Power of a liquidator .– A liquidator appointed under section 47 shall have power \r\nwith the sanction of the Registrar to do all or any of the following things:– \r\n(a) pay any class or classes of creditors in full; \r\n(b) make any com promise or arrangement with creditors or persons claiming to \r\nbe creditors or having or alleging themselves to have any claim, present or \r\nfuture, whereby the society may be rendered liable; \r\n(c) to compromise all calls or liabilities to calls and debts, and liabilities capable \r\nof resulting in debts, and all claims, present or future, certain or contingent, \r\nsubsisting or supposed to subsist between the society and a contributory or \r\nalleged contributory or other debtor or person apprehending liability to the \r\nsociety and all questions in any way relating to or affecting the assets or the \r\nwinding up of the society on such terms as may be agreed and take any \r\nsecurity for the discharge of any such call, liability, debt, or claim and give a \r\ncomplete discharge in respect thereof; \r\n(d) from time to time to determine the contribution to be made or remaining to be \r\nmade by the members or past members or by the estates or nominees, heirs \r\nor legal representatives of deceased members or by any officer to the assets \r\nof the soci ety, such contribution including debts due from such members or \r\npersons; \r\n(e) to institute and defend suits and other legal proceedings on behalf of the \r\nsociety in the name of his office; \r\n(f) to issue requisitions under section 59 upon the Collector for the  recovery as \r\narrears of land revenue of any sum ordered by him to be recovered as dues \r\nfrom members, or as a contribution to the assets of the society or to the cost \r\nof liquidation; \r\n(g) to get disputes referred to arbitration; \r\n(h) to investigate all claims  against the society and subject to the provisions of \r\nthis Act as to decide questions of priority arising out of such claims, and to \r\npay rateably according to the amount of such debts, the surplus if any being \r\napplied in payment of interest \r\n1\r\n[or return] from the date of liquidation at a rate \r\nto be fixed by the Registrar and not exceeding the contract rate; \r\n(i) to determine by what persons and in what proportion the cost of the \r\nliquidation shall be borne; \r\n(j) to give such directions in regard to the collection and distribution of the assets \r\nof the society as may appear to him to be necessary for winding up the affairs \r\nof the society; \r\n(k) to fix the time or times within which creditors shall prove their debts and \r\nclaims or be included for the benefit of any di stribution made before those \r\ndebts or claims are proved; \r\n(l) to carry on the business of the society so far as may be necessary for the \r\nbeneficial winding up of the same: \r\n                                                           \r\n1Inserted by the  Cooperative Societies (Punjab Amendment) Ordinance, 1984 (XL of 1984), published in the Punjab Gazette \r\n(Extraordinary), dated December 31, 1984, pp. 3023-3026, s. 2(6). \r\n Provided that no liquidator shall determine the contribution, debt or dues to be \r\nrecovered from a past member or the representative of a deceased member \r\nunless opportunity has been given to such past member or to such \r\nrepresentative to answer the claim. \r\n1\r\n[Provided further that all debts due to \r\n2\r\n[Government] shall have priority over all debts \r\nwhich are not secured by a mortgage, charge or lien on the property of the society or \r\nany part thereof but nothing herein contained shall affect the provisions of sections \r\n137 and 138 of the \r\n3\r\n[Sind] Land Revenue Code, 1879\r\n4\r\n \r\n5\r\n[, or any other law relatin g to \r\nland revenue in force in the area].] \r\n50-A. Power of Registrar to assess damage against delinquent promoters, etc .– \r\n6\r\n[(1) \r\nWhere, in the course of winding up of a society, it appears that any person who has taken \r\npart in the organization or management o f the society or any past or present Chairman, \r\nSecretary, member of managing committee or any officer of the society has misapplied or \r\nretained or become liable or accountable for any money or property of the society or has \r\nbeen guilty of misfeasance or breach of trust in relation to the society or, where the society is \r\nacting under subsection (4) of section 34 as agent of the financing bank, has made any \r\npayment contrary to the instructions of the financing bank, the Registrar may himself or on \r\nthe recommendation of the liquidators, auditor, enquiry officer in case of violation of section \r\n44-D or any of the creditor or contributory of such society, examine into the conduct of such \r\nperson and make an order requiring him to repay or restore the money or prope rty or any \r\npart thereof respectively with interest at such rate as the Registrar thinks just, or to \r\ncontribute such sum to the assets of the society or of the financing bank by way of \r\ncompensation in regard to the misapplication, retainer misfeasance or br each of trust as the \r\nRegistrar thinks just.] \r\n  (2) This section shall apply notwithstanding that the act is one for which the \r\noffender may be criminally responsible. \r\n51.  Bar of suit in winding up and dissolution matters .– Save in so far as is expressly \r\nprovided in this Act no civil court shall take cognizance of any matter  \r\n7\r\n[arising out of any \r\nproceedings under Chapter VIII -A or] connected with the winding up or dissolution of a \r\nsociety under this Act and when a winding up order has been made no suit or ot her legal \r\nproceeding shall lie or be proceeded with against the society except by leave of the \r\nRegistrar and subject to such terms as he may impose. \r\n52.  Disposal of surplus assets .– After all the liabilities including the paid -up share \r\ncapital of a cancel led society have been met, the surplus assets shall not be divided \r\namongst its members but they shall be devoted to any object or objects described in the by -\r\nlaws of the society and when no object is so described to any object of public utility \r\ndetermined by the general meeting of the society and approved by the Registrar or they may \r\n                                                           \r\n1Added by the Bombay Co-operative Societies (Sind Amendment) Act, 1943 (Sind Act XVI of 1943), s. 12. \r\n2Substituted for the words “the Crown” by the West Pakistan Laws (Adaptation) Order, 1964, published in the Gazette of West \r\nPakistan (Extraordinary), dated 3 June 1964, pp. 1805-1849, s. 2 read with the Schedule, Part IV; it came into force  on 8 June \r\n1962. \r\n3Substituted for the word “Bombay” by the Sind Laws (Adaptation, Revision, Repeal and Declaration) Ordinance, 1955 (S ind \r\nOrdinance V of 1955), s. 3(i) (with effect from May 30, 1951). \r\n4Sind V of 1879. \r\n5Added by the Sind Co -operative Societ ies (West Pakistan Amendment) Ordinance, 1965 (VII of 1965), published in the \r\nGazette of West Pakistan (Extraordinary) dated April 30, 1965, pp. 1987-1989, s. 9. \r\n6Substituted by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), published in th e Punjab Gazette \r\n(Extraordinary), dated August 11, 2020, pp. 585-588, s. 15. \r\n7Inserted by the Bombay Co-operative Societies (Sind Amendment) Act, 1947 (Sind Act XX of 1947), s. 7. \r\nin consultation with them either be assigned by the Registrar in whole or in part to any or all \r\nof the following:– \r\n(a) an object of public utility of local or communal interest,  \r\n(b) a charitable purpose as defined in section 2 of the Charitable Endowments \r\nAct, 1890\r\n1\r\n. \r\n(c) the \r\n2\r\n[\r\n3\r\n[* * *] Provincial Co -operative Institute], or may be placed on deposit \r\nwith \r\n4\r\n[the Provincial Co-operative Bank] until such time as a new society with \r\nsimilar conditions is registered when with the consent of the registrar such \r\nsurplus may be credited to the reserve fund of such new society. \r\n53. Surplus assets of housing society.– Where the society directed to be wound up is \r\na housing society, its assets, both movable and immovable, shall for the purposes of winding \r\nup or dissolution of the society jointly vest, subject to all rights and equities, in three persons \r\nof whom one shall be nominated by the Registrar, one shall be nominated by the said \r\nsociety in a general meeting specifically called for the purpose and one shall be nominated \r\nby the \r\n5\r\n[ \r\n6\r\n[* * *] Provincial Co -operative Institute]. Such persons shall, for the purpose of \r\nwinding up or dissolution of the society be Joint Liquidators and shall have al l the powers of \r\na liquidator under this Act. They may, with the sanction of the Registrar, continue the \r\nworking of the society, or may, subject to his sanction and in consultation with the members \r\nof the society in a general meeting, reconstruct the societ y or may sell off the premises of \r\nthe society to the best advantage of all interests concerned, and when all the liabilities of the \r\nsociety are met, may dispose of the surplus assets of the society, if any, as provided in \r\nsection 52. \r\n54.  Arbitration.– \r\n7\r\n[If any dispute touching the business of a society (other than a dispute \r\nregarding disciplinary action taken by the society or its committee against a paid servant of \r\nthe society) arises– \r\n(a) between members or past members of the society or persons claiming  \r\nthrough a member or past member, or \r\n(b) between members or past members or persons so claiming and any past or \r\npresent officer, agent or servant of the society, or \r\n(c) between the society or its committee, and any past or present member of the \r\nsociety, or  \r\n(d) between the society or its committee, and any past or present officer, agent or \r\nservant of the society, or a surety of such officer, agent or servant, whether \r\nsuch surety is or is not a member of the society, \r\n8\r\n[or]. \r\n                                                           \r\n1VI of 1890. \r\n2Substituted for the words “Bombay Central Co-operative Institu te” by the Bombay Co-operative Societies ( Sind Third \r\nAmendment) Act, 1940 (Sind Act XVI of 1940), s. 3. \r\n3Omitted t he word “Sind” by the Sind Co -operative Societies (West Pakistan Amendment) Ordinance, 1965 (VII of 1965), \r\npublished in the Gazette of West Pakistan (Extraordinary) dated April 30, 1965, pp. 1987-1989, s. 10. \r\n4Substituted for the words “a Central Co -operative Bank” by the Cooperative Societies (Punjab Amendment) Ordinance, 1984 \r\n(XL of 1984), published in the Punjab Gazette (Extraordinary), dated December 31, 1984, pp. 3023-3026, s. 2(8). \r\n5Substituted for the words “Bombay Provincial Co -operative Institute” by the Bombay Cooperative Societies ( Sindh Third \r\nAmendment) Act, 1940 (Sind Act XVI of 1940). \r\n6Omitted t he word “Sind” by the Sind Co -operative Societies (West Pakistan Amendment) Ordinance, 1965 (VII of 1965), \r\npublished in the Gazette of West Pakistan (Extraordinary) dated 30 April 1965, pp. 1987-1989, s. 10. \r\n7Substituted for the first paragraph by the Bombay Co-operative Societies (Sind Amendment) Act, 1944 (Sind Act VIII of 1944), \r\ns. 2. \r\n8Added by the Bombay Co-operative Societies (Sind Amendment) Act, 1947 (Sind Act XX of 1947), s. 8(a). \r\n1\r\n[(e) between a financing bank aut horised under sub-section (1) of section 34 and \r\na person who is not a member of a society], \r\n2\r\n[or] \r\n3\r\n[(f) between two societies.] \r\nit shall be referred to the Registrar for decision by himself or his nominee, or if either \r\nof the parties so desires, to arbitra tion of three arbitrators who shall be the Registrar or his \r\nnominee and two persons of whom one shall be nominated by each of the parties \r\nconcerned.] \r\nA dispute shall include \r\n4\r\n[the question whether a person is or was a member of a \r\nsociety and also] claims b y a society for debts or demands due to it from \r\n5\r\n[a member, past \r\nmember or non-member] or the heirs or assets of a past member \r\n6\r\n[or non-member] whether \r\nsuch debts or demands be admitted or not: \r\nProvided that if the question at issue between a society and a  claimant, or between \r\ndifferent claimants, is one involving complicated questions of law and fact, the Registrar \r\nmay, if he thinks fit, suspend proceeding, in the matter until the question has been tried by a \r\nregular suit instituted by one of the parties or by the society. If no such suit is instituted within \r\nsix months of the Registrar‟s order suspending proceedings, the Registrar shall take action \r\nas laid down in paragraph 1 of this section. \r\n \r\n7\r\n[54-A. Registrar’s power to set aside the award and order the dispute to be referred \r\nback to arbitration .– \r\n8\r\n[(1) In the case of any award made by the arbitrators under section \r\n54, the Registrar, if he is not one of such arbitrators,  may of his own motion or on the \r\napplication of any of the parties to the award, by an  order in writing rec ording reasons \r\ntherefor,– \r\n(a) modify or correct the award (i) where it appears that a part of the award is \r\nupon a matter not referred to arbitration and such part can be separated from \r\nthe other part and does not affect the decision on  the matter referred; or (ii) \r\nwhere the award is imperfect in form or contains any obvious error which can \r\nbe amended without affecting such decision; or (iii) where the award contains \r\na clerical mistake or an error arising from an accidental slip or omission; or \r\n(b) remit the award or any matter referred to arbitration to the arbitrators for \r\nreconsideration– \r\n(i) where the award has left undetermined any of the matters referred to \r\narbitration or where it determines any matter not referred to arbitration \r\nand such matter cannot be separated without affecting the \r\ndetermination of the matters referred, or \r\n(ii) where the award is so indefinite as to be incapable of execution, or \r\n                                                           \r\n1Inserted by the Act ibid. \r\n2Inserted by the Co-operative Societies (Amendment) Act 2020 (XIX of 2020), published in the Punjab Gazette (Extraordinary), \r\ndated August 11, 2020, pp. 585-588, s. 16. \r\n3Added by the Act ibid. \r\n4Added by the Bombay Co-operative Societies (Sind Amendment) Act, 1943 (Sind Act XVI of 1943), s. 13 (ii). \r\n5Substituted for the words “a member or past member” by the Bombay Co-operative Societies ( Sind Amendment) Act, 1947 \r\n(Sind Act XX of 1947), s. 8(b)(i). \r\n6Inserted by the Act ibid., s. 8(b)(ii). \r\n7Inserted by the Bombay Co-operative Societies ( Sind Amendment) Act, 1938 (Sind  Act X of 1938), publ ished in the Sind \r\nGovernment Gazette, dated June, 9, 1938, s. 2. \r\n8Substituted by the Bombay Co-operative Societies (Sind Amendment) Act, 1943 (Sind Act XVI of 1943), s. 14(i). \r\n(c) set aside the award and order that the dispute shall be referred to arbitration \r\nin the manner provided in the said section: \r\nProvided that no order referred to in clauses (a) to (c) shall be made after the issue of \r\na certificate under section 59 for the execution of the award: \r\nProvided further that no order under clause (c) shall be mad e unless the Registrar is \r\nof opinion that– \r\n(i) an objection to the legality of the award is apparent on the face of it, or \r\n(ii) the award has been vitiated in consequence of corruption or \r\nmisconduct on the part of the arbitrators, or \r\n(iii) the award is in any way perverse.] \r\n  (2) In making an order under \r\n1\r\n[clause (c) of] sub -section (1), the Registrar may \r\ndirect that all or any of the arbitrators who made the award shall not act again as arbitrators \r\nfor deciding the dispute. \r\n  (3) Where a dispute is referre d back to arbitration under \r\n2\r\n[clause (c) of] sub -\r\nsection (1), the arbitrators shall make a fresh award within such time as may be fixed by the \r\nRegistrar. If the arbitrators fail to make a fresh award within the time so fixed, the Registrar \r\nor his nominee shall decide the dispute.] \r\n55.  Attachment before award .– Where a dispute has been referred to the Registrar \r\nunder section 54 or to arbitration under clause (g) of section 50, the Registrar or his nominee \r\nor the arbitrators, as the case may be, if satisfied on inquiry or otherwise, that a party to such \r\narbitration with intent to delay or obstruct the execution of any award that may be made,– \r\n(a) is about to dispose of the whole or any part of his property, or \r\n(b) is about to remove the whole or any part of h is property from the jurisdiction \r\nof the Registrar, may unless adequate security is furnished direct the \r\nconditional attachment of the said property; and such attachment shall have \r\nthe same effect as if made by a competent Civil Court. \r\n56.  Appeal against award of arbitrator .– Any party aggrieved by any decision of the \r\nRegistrar‟s nominee made under section 54 \r\n3\r\n[or sub-section (3) of section 54 -A] or an order \r\npassed under section 55 by the Registrar‟s nominee or arbitrators may within one month of \r\nthe date of the award or order appeal to the Registrar and the Registrar shall decide the \r\nappeal \r\n4\r\n[* * *]. \r\n \r\n5\r\n[57. Finality of awards in certain orders.– The award of arbitrators or a decision by the \r\nRegistrar or his nominee under section 54 or section 54A or an ord er passed in appeal by \r\nthe Registrar under section 56 shall, subject to the provision  of sections 64 and 64 -A, be \r\nfinal and conclusive and shall not be liable to be called in question in any civil or revenue \r\ncourt.] \r\n58.  Powers to enforce attendance .– Wherever in this Act it is provided that the \r\nRegistrar or person duly authorized by general or special order in writing by the Registrar in \r\n                                                           \r\n1Inserted by the Bombay Co-operative Societies (Sind Amendment) Act, 1943 (Sind Act XVI of 1943), s. 14(ii). \r\n2Ibid. \r\n3Inserted by the Bombay Co-operative Societies ( Sind Amendment) Act, 1938 ( Sind Act X of 1938),  published in the \r\nGovernment Gazette, dated June 9, 1938, s. 3. \r\n4Omitted the word “himself” by the Bombay Co-operative Societies (Sind Amendment) Act, 1943 (Sind Act XVI of 1943), s. 15. \r\n5Substituted by the Act ibid., s. 16. \r\nthis behalf shall hold an inquiry under section 43 or shall make an inspection under section \r\n44 or shall wind up a socie ty or shall arbitrate, such Registrar, or person authorized, as the \r\ncase may be, shall have the power to summon and enforce the attendance of witnesses \r\nincluding the parties interested or any of them and to compel them to give evidence, and to \r\ncompel the production of documents by the same means and as far as possible in the same \r\nmanner as is provided in the case of a civil court by the Code of Civil Procedure, 1908\r\n1\r\n. \r\n59.  Money how recovered .– (1) \r\n2\r\n[Every order passed by a liquidator under section 50, \r\nor by the Registrar under section 50A, or by the Registrar or his nominee or arbitrators on \r\ndisputes referred to him or them under clause (g) of section 50 or under section 54 or unde r \r\nsub-section (3) of section 54 A, every order passed in appeal, under section  56, every order \r\npassed by the \r\n3\r\n[\r\n4\r\n[Secretary Cooperatives]] in appeal against orders under sections 50, 50 A, \r\n54 or sub-section (3) of section 54 A and every order passed under section 64 A shall, if not \r\ncarried out, \r\n5\r\n[* * *]]: \r\n6\r\n[(a) on a certificate signed b y the Registrar or a liquidator, be deemed to be a \r\ndecree of a civil court and shall be executed in the same manner as a decree \r\nof such court; or] \r\n7\r\n[(b) be executed according to the law for the time being in force for the recovery \r\nof arrears of land revenu e; provided that any application for recovery of the \r\namount in such a manner shall be made to the Collector and shall be \r\naccompanied by a certificate signed by the Registrar or by an officer \r\nsubordinate to the Registrar to whom the said power has been dele gated by \r\nthe Registrar.] \r\n8\r\n[(2) Powers of Registrar to recover certain sums by attachment and sale of \r\nproperty.– The Registrar or any person subordinate to him empowered by the Registrar in \r\nthis behalf may,  subject to such rules as may be prescribed by the  \r\n9\r\n[Government] and \r\nwithout prejudice to any other mode of recovery provided by or under this Act, recover by \r\nexercising powers of the Collector under the  \r\n10\r\n[Sind] Land Revenue Code, 1879\r\n11\r\n, \r\n12\r\n[or the \r\nrelevant provisions of any other law relating to land revenu e in force in the area], and the \r\nRules thereunder– \r\n                                                           \r\n1V of 1908. \r\n2Substituted for the words beginning with “Every order passed by a liquidator” and endin g with “be executed” by the Bombay  \r\nCo-operative Societies (Sind Amendment) Act, 1940 (Sind Act V of 1940),  published in the Sind Government Gazette, dated \r\nMarch 7, 1940, s. 4 which came into force with effect from December 4, 1925. \r\n3Substituted for the words “Provincial Government” by the Co -operative Societies  (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n4Substituted for the word “Government” by the Act ibid., s. 17(a). \r\n5Omitted the words “be executed” by the Bombay Co-operative Societies (Sind Amendment) Act, 1943 (Sind Act XVI of 1943), \r\ns. 17(i). \r\n6Substituted by the Act ibid., s. 17(ii). \r\n7Substituted by the Cooperative Societies (Amendment) Act 2006 (VI of 2006), published in the Punjab Gazette (Extraordinary), \r\ndated July 1, 2006, pp. 3-10, s. 25(1). \r\n8Inserted sub-sections (2) and (3) by the Bombay Cooperative Societies (Sind Amendment) Act, 1950 (Sind Act XXVI of 1950), \r\ns. 2. The original sub -section (2) was repealed by the Bombay Co-operative Societies (Sind Amendment) Act, 1935 (Sind Act \r\nXXII of 1935), s. 3. \r\n9Substituted for the words “Provincial Government” by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n10Substituted for the word “Bombay” by the Sind Laws (Adaptation, Revision, Repeal and Declaration) Ordinance, 1955 (Sind \r\nOrdinance V of 1955), s. 3(i); it came into force with effect from 30 May 1951. \r\n11Sind V of 1879. \r\n12Inserted by the Sind Co -operative Societies (We st Pakistan Amendment) Ordinance, 1965 (VII of 1965), published in the \r\nGazette of West Pakistan (Extraordinary) dated April 30, 1965, pp. 1987-1989, s. 6. \r\n(a) any amount due under a decree or order of a Civil Court, a decision or an \r\naward of the Registrar, obtained by a registered society including a financing \r\nbank or liquidator; or \r\n(b) any sum awarded by way of costs under sections 44-B and 45; or \r\n(c) damages assessed in sections 22-A and 50-A; or \r\n(d) penalty provided for in sections 61 and 62; or \r\n(e) sums due to \r\n1\r\n[Government] under section 65, together with the interest, \r\n2\r\n[or \r\nreturn], if any, due on such am ount or sum and the cost of process, by the \r\nattachment and sale or by the sale without attachment of property of the \r\nperson against whom such decree, decision, award or order has been \r\nobtained or passed. \r\n(3) Registrar or person empowered by him to be a Civ il Court for certain \r\npurposes.– The Registrar or any person empowered by him in that behalf shall be deemed \r\nwhen exercising any powers under this Act for the recovery of any amount by the attachment \r\nand sale or by the sale without attachment of any propert y, or when passing any orders on \r\nany application made to him for such recovery or to take some step -in-aid of such recovery \r\nto be a Civil Court for the purposes of Article 182 of the First Schedule to the Limitation Act, \r\n1908\r\n3.] \r\n \r\n4\r\n[(4) The \r\n5\r\n[Secretary Cooperatives] or the Registrar may, on an application, direct \r\nthat an order or award, passed under this Act, shall be executed in accordance with the \r\nprovisions of the Civil Procedure Code, 1908 (Act V of 1908) or any other law for the time \r\nbeing in force. \r\n(5) The Registrar or any other officer subordinate to him, duly authorized by the \r\nGovernment to execute the orders or the awards, shall be deemed to be a civil court and shall \r\nhave the powers vested in an executing court under the Civil Procedure Code 1908 (Act V of \r\n1908).] \r\n \r\n6\r\n[59A. Transfer of property which cannot be sold .– (1) When in execution of an order \r\nsought to be executed under section 59, any property cannot be sold for want of buyers, if \r\nsuch property is in the occupancy of the defaulter or of some p erson on his behalf or of \r\nsome person claiming under a title created by the defaulter subsequently to the issue of the \r\ncertificate of the Registrar, Liquidator or Assistant Registrar under clause (a) or (b) of sub -\r\nsection (1), the Court or the Collector, as the case may be, may, with the previous consent of \r\nthe Registrar, direct that the said property or any portion thereof shall be transferred to the \r\nsociety which has applied for the execution of the said order and that the said property or the \r\nportion shall be delivered to the society in the prescribed manner. \r\n  (2) Subject to such rules as may be made in this behalf and to any right, \r\nencumbrances, charges or equities lawfully subsisting in favour of any other person, such \r\n                                                           \r\n1Substituted for the words “the Crown” by the West Pakistan Laws (Adaptation) Order, 1964, published in the Gazette of West \r\nPakistan (Extraordinary), dated June 3, 1964, pp. 1805-1849, s. 2 read with the Schedule, Part IV, it came into force on June 8, \r\n1962. \r\n2Inserted by the Cooperative Societies (Punjab Amendment) Ordinance, 1984 (XL of 1984), published in the Punjab Gazette \r\n(Extraordinary), dated December 31, 1984, pp. 3023-3026, s. 2(9). \r\n3IX of 1908. \r\n4Inserted by the Cooperative Societies (Amendment) Act 2006 (VI of 2006), published in the Punjab  Gazette (Extraordinary), \r\ndated July 1, 2006, pp. 3-10, s. 25(2). \r\n5Substituted for the word “Government” by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), published in the \r\nPunjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 17(b). \r\n6Inserted by the Bombay Co-operative Societies (Sind Amendment) Act, 1935 (Sind Act XXII of 1935), s. 4. \r\nproperty or portion thereof shall be held by the said society on such terms and conditions as \r\nmay be agreed upon between the Court or the Collector, as the case may be, and the said \r\nsociety: \r\n  Provided that any private transfer or delivery of or encumbrance or charge on the \r\nproperty made or created after the issue of the certificate of the Registrar, Liquidator or \r\nAssistant Registrar, as the case may be, under section 59 shall be null and void as against \r\nthe said society]. \r\n1\r\n[CHAPTER VIII-A \r\nDistraint] \r\n59-B.  Definitions.– In this Chapter, u nless there is anything repugnant in the subject or \r\ncontext– \r\n(a) “Collector” includes an officer appointed by the \r\n2\r\n[Government] to discharge \r\nany of the functions of the Collector under this Chapter; \r\n(b) “defaulter” means a person (including his legal repre sentatives if he is dead) \r\nfrom whom any such debt or outstanding demand as is referred to in section \r\n59C is recoverable; \r\n(c) words and expressions used herein and not hereinbefore defined shall have \r\nthe meanings respectively assigned to them by the \r\n3\r\n[Sind] Land Revenue \r\nCode, 1879\r\n4\r\n \r\n5\r\n[or any other law relating to land revenue in force in the area]. \r\n59C.  Cases in which application for distraint may be made .– Where any debt or \r\noutstanding demand is due to a society from any member or past member or is due to a  \r\nsociety, which is authorised by the Registrar under sub -section (1) of section 34 to make \r\nloans to non-members, from any person who is not a member of a society, the society may, \r\nin addition to any other remedy to which it is entitled by law, present an a pplication to the \r\nRegistrar requesting him to recover the debt or outstanding demand by distraining, while in \r\nthe possession of the defaulter , any crop or other produce belonging to him, whether the \r\nsame is growing or is ungathered or has been reaped or gathered. \r\n59D.  Form of application .– (1) Every application under the last foregoing section shall \r\nspecify– \r\n(a) particulars of the land on which the crop or produce is or has been grown; \r\n(b) the name of the defaulter; \r\n(c) a detailed account of the debts and outstanding demands due to the society; \r\n(d) the nature and approximate value of the crop or produce to be distrained; \r\n(e) if the crop or produce is growing or is ungathered, the time at which it is likely \r\nto be fit to be reaped or gathered; and  \r\n                                                           \r\n1Chapter VIII-A (sections 59-B to 59-U), inserted by the Bombay Co-operative Societies (Sind Amendment) Act, 1947 (Sind Act \r\nXX of 1947), s. 9. \r\n2Substituted for the words “Provincial Government” by th e Co -operative Societies (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n3Substituted for the word “Bombay” by the Sind Laws (Adaptation, Revision, Repeal and Declaration) Or dinance, 1955 (Sind \r\nOrdinance V of 1955), s. 3(i); it came into force with effect from 30 May 1951. \r\n4Sind V of 1879. \r\n5Added by the Sind Co -operative Societies (West Pakistan Amendment) Ordinance, 1965 (VII of 1965), published in the \r\nGazette of West Pakistan (Extraordinary) dated April 30, 1965, pp. 1987-1989, s. 9. \r\n(f) if the crop or produce has been reaped or gathered, the place where it is kept \r\nor such other particulars as may suffice for its identification. \r\n  (2) The application shall be signed and verified in the manner prescribed by the \r\nCode of Civil Procedure, 1908, for the signing and verification of plaints. \r\n59E.  Procedure on receipt of application .– (1) A society shall at the time of making an \r\napplication under section 59 C, file before the Registrar such documentary evidence, if any, \r\nas it may consider necessary for t he purpose of proving the statements made in the \r\napplication. \r\n (2) The Registrar may, after taking such evidence as he thinks fit, admit the \r\napplication or reject it: \r\n Provided that the person against whom the application is made shall be given a \r\nreasonable opportunity of being heard. \r\n (3) Where the Registrar does not at once admit or reject the application, he may \r\nmake an order prohibiting the removal of the crop or other produce specified in the \r\napplication, pending a final decision on the application. \r\n (4) Where an order for distraining any crop or produce is made under this section \r\na considerable time before the crop or produce is likely to be fit to be reaped or gathered, the \r\nRegistrar may suspend the execution of the order for such time as he thinks fi t and may \r\nmake a further order prohibiting the removal of such crop or produce pending the execution \r\nof the order of distraint. \r\n (5) An order under sub -section (3) or sub -section (4) shall be served and \r\npublished in such manner as may be prescribed by rules. \r\n (6) Any person who shall disobey any order made under sub -section (4) \r\nprohibiting the removal of any crop or produce pending the execution of the order of distraint, \r\nafter the same has been published or served upon him, or who shall, within the meaning  of \r\nthe \r\n1\r\n[Pakistan] Penal Code, abet the disobedience of any such order, shall be liable, on \r\nconviction after a summary enquiry by the Collector, to a fine not exceeding double the \r\namount due to the society for the recovery of which it is proposed to make the distraint. Such \r\nfine shall be recovered as an arrear of land revenue. \r\n59F.  Execution of order for distraint .– (1) If the application is admitted under the last \r\nforegoing section and an order for distraining any crop or produce is made, the Registrar \r\nshall send to the Collector for execution a copy of the order together with such particulars as \r\nmay be prescribed by rules. \r\n (2) Upon receipt of a copy of the order referred to in sub -section (1) the Collector \r\nshall depute an officer to distrain the crop or  produce specified therein or such portion \r\nthereof as the Collector thinks fit and the officer so deputed shall at once proceed to the \r\nplace where the crop or produce is or is kept, and distrain the same by taking charge of it \r\nhimself or by placing it in t he charge of some other person appointed by him in this behalf. \r\nThe distraining officer shall publish a notification of the distraint in the manner prescribed by \r\nrules. \r\n (3) Any crop or produce which from its nature does not admit of being stored \r\nshall not be distrained at any time less than twenty days before the time at which it is likely to \r\nbe fit to be reaped or gathered. \r\n                                                           \r\n1Substituted for the word “Indian” by the Sind Laws (Adaptation, Revision, Repeal and Declaration) Ordinance, 1955 (Sind \r\nOrdinance V of 1955), s. 4; it came into force with effect from 30 May 1951. \r\n59G. Service of notice of demand and the grounds of distraint .– (1) The distraining \r\nofficer shall, at the time of making the distraint serve on the defaulter– \r\n(a) a notice of demand for the amount due and the costs incurred in making the \r\ndistraint (herein after called the demand amount); and  \r\n(b) a statement of the grounds on which the distraint is made. \r\n  (2) The notice of demand and t he statement shall be served in such manner as \r\nmay be prescribed by rules. \r\n59H.  Right to reap, etc., produce .– (1) Subject to such conditions as the Collector may \r\nimpose in this behalf either in the order of distraint or in any subsequent order, the defau lter \r\nmay tend, reap, gather or store the crop or produce and do any other act necessary for \r\nmaturing or preserving it; and if the defaulter fails to do all or any of such acts, the distraining \r\nofficer may appoint a person to do all or any of them, and the costs incurred by the \r\ndistraining officer for this purpose shall be recoverable from the defaulter as if they were \r\nincluded in the costs of distraint. \r\n (2) The crop or produce reaped or gathered by the defaulter shall remain in \r\ncharge of the distraining officer or some other person appointed by him in this behalf. \r\n59I. Sale proclamation to be issued unless demand is satisfied .– (1) Unless the \r\ndemand amount is immediately paid, the distraining officer shall issue a proclamation in \r\n1\r\n[the \r\nlocal language of the  area] of the intended sale specifying the particulars of the property \r\ndistrained and the demand amount for which it is distrained and shall further notify that he \r\nwill, at a place and on a day specified, not being less than three or more than seven days \r\nfrom the date of the distraint, sell the distrained property by public auction: \r\n Provided that when the crop or other produce distrained is capable of being  stored \r\nbut has not been stored  the day of the sale shall be so fixed as to allow of its being stored  \r\nbefore the sale. \r\n (2) Such proclamation shall be made by beat of drum in the village in which the \r\ndistrained property was seized and a copy of the proclamation shall be affixed in some \r\npublic place in the village and in the Mukhtiarkar‟s office. \r\n59J. Place of sale.– The sale shall be held– \r\n(a) in the case of a growing crop , on or near the land on which such crop has \r\nbeen grown, or \r\n(b) if the crop or produce has been reaped or gathered, at or near the place \r\nwhere it is kept: \r\nProvided that the distraining of ficer may direct the sale to be held at the nearest \r\nplace of public resort, if he is of opinion that the crop or produce is thereby likely to sell to \r\ngreater advantage. \r\n59K. Provisions relating to growing crops .– (1) Where the crop is growing one and \r\nfrom its nature admits of being stored, the sale shall not be held until the crop is reaped or \r\ngathered and is ready for storing. \r\n (2) Where the crop from its nature does not admit of being stored, it may be sold \r\nbefore it is reaped or gathered, and the purchas er shall be entitled to enter on the land by \r\nhimself or by any other person appointed by him in this behalf and to do all acts necessary \r\nfor the purpose of tending, reaping or gathering the crop. \r\n                                                           \r\n1Substituted for the word “Sindhi” by the Sind Co -operative Societies (West Pakistan Amendment) Ordinance, 1965 (VII of \r\n1965), published in the Gazette of West Pakistan (Extraordinary) dated April 30, 1965, pp. 1987-1989, s. 11. \r\n59L. Manner of sale .– The distrained property shall be sold by public auction in one or \r\nmore lots as the officer holding the sale may determine; and if the demand amount is \r\nrealised by the sale of a portion of the property, the order of distraint shall not be executed \r\nwith respect to the remainder. \r\n59M. Postponement of sale .– If, on the distrained property being put up for sale, a fair \r\nprice, in the opinion of the officer holding the sale, is not offered for it, and if the owner of the \r\nproperty or a person authorised to act on his behalf applies to have the sale pos tponed to \r\nthe next day, the sale shall be postponed until that date and shall then be completed \r\nwhatever may be the price offered for the property. \r\n59N. Payment of purchase money.– (1) The price of each lot shall be paid at the time of \r\nsale or as soon ther eafter as the officer holding the sale directs, and in default of such \r\npayment the property shall forthwith be resold. \r\n (2) Any deficiency of price which may happen on a resale by reason of the \r\npurchaser‟s default, and all expenses attending such resale, s hall be certified to the \r\nCollector by the officer holding the sale, and shall, at the instance of the society or the \r\ndefaulter, be recoverable from the defaulting purchaser as if they were an arrear of land \r\nrevenue. \r\n59O. Certificate be given to the purchas er.– When the purchase money has been paid \r\nin full the officer holding the sale shall grant a receipt for the same and the sale shall become \r\nabsolute as against all persons whomsoever. \r\n59P. Proceeds of sale how to be applied .– (1) When any property is sold  under this \r\nChapter the proceeds of the sale shall be applied to defraying the costs of distraint and sale \r\nand to the payment of the amount for which the distraint was made and the surplus, if any, \r\nshall be paid to the person whose property has been sold. \r\n (2) The costs of distraint and sale shall be estimated at such rates as may, from \r\ntime to time, be sanctioned by the \r\n1\r\n[Executive District Officer (Revenue) or any other officer \r\nauthorized by the Government in this behalf]. \r\n59Q. Certain persons may not purchase.– No officer or other person having any duty to \r\nperform in connection with any distraint or sale made under this Chapter and no officer or \r\nservant of any society shall, either directly or indirectly, acquire or attempt to acquire any \r\ninterest in the property sold. \r\n59R. Procedure where demand is paid before the sale .– (1) If at any time after a \r\ndistraint has been made under this Chapter and before the sale of the distrained property the \r\ndefaulter or any other person deposits with the Collector or with the distraining officer the \r\ndemand amount together with such costs as may have been incurred after the service of the \r\nnotice of demand, the order of distraint shall not be executed. \r\n (2) When the distraining officer receives the deposit, he shall forthwith  remit it to \r\nthe Collector. \r\n (3) After the expiration of one month from the date on which the deposit is made \r\nunder sub-section (1), the Collector shall pay to the society which applied for distraint the \r\namount due to it: \r\n                                                           \r\n1Substituted for the wor d “Commissioner” by the Cooperative Societies (Amendment) Act 2006 (VI of 2006), published in the \r\nPunjab Gazette (Extraordinary), dated July 1, 2006, pp.  3-10, s.  26. It was earlier substituted for the words “Revenue \r\nCommissioner” by the Sind Co-operative Societies (West Pakistan Amendment) Ordinance, 1965 (VII of 1965), published in the \r\nGazette of West Pakistan (Extraordinary) dated April 30, 1965, pp. 1987-1989, s. 12. \r\n Provided that, if before the expi ry of the said period the Collector receives notice of \r\nany suit in which the legality of the distraint order is questioned or compensation is claimed \r\nfor illegal distraint, he shall withhold payment to the society and shall deal with the money in \r\naccordance with such decree \r\n1\r\n[or] order as may be passed in the suit. \r\n59S. Distraint of property which is under attachment .– Where an order of distraint \r\nissued under this Chapter and an order made by a Civil Court for attachment or sale relate to \r\nthe same property,  the order of distraint shall prevail; but if the property is sold under the \r\norder of distraint the surplus proceeds of the sale sha ll not be paid under section 59 P to the \r\nowner of the property without the sanction of the court by which the order of attach ment or \r\nsale was made. \r\n59T. Suit for compensation for wrongful distraint and appeals .– No appeal shall lie \r\nagainst an order made by the Registrar or the Collector under this Chapter; but a person \r\nwhose property is distrained on an ap plication made under se ction 59C may institute a suit \r\nagainst the applicant for recovery of compensation if such an application is not competent \r\nunder that section. \r\n59U. Savings.– Nothing contained in this Chapter shall affect the operation of the \r\nprovisions of \r\n2\r\n[the Punjab Land Revenue Act, 1967 (W.P. Act XVII of 1967)] in so far as they \r\ngive priority to claims of the \r\n3\r\n[Government] to any moneys recoverable under the provisions \r\nof that Chapter over any other debt, demand or claim.] \r\n4\r\n[CHAPTER IX \r\nOffences] \r\n60. Offences.– It shall be an offence under this Act if– \r\n(a) Default by a society, officer or member.– a society with a working capital of \r\nRs.50,000 or more or an officer or member thereof fails without any \r\nreasonable excuse to give any notice, send any return or document, do or \r\nallow to be done anything which the society, officer or member is by this Act \r\n5\r\n[or rules made thereunder] required to give, send, do or allow to be done; or \r\n(b) Wilful neglect or default by a society, etc .– a society or an officer or a \r\nmember thereof wilfu lly neglects or refuses to do any act or to furnish any \r\ninformation required for the purposes of this Act \r\n6\r\n[or rules made thereunder] \r\nby the Registrar or other person duly authorised by him in writing in this \r\nbehalf; or \r\n(c) Wilful furnishing of false infor mation.– a society or an officer or member \r\nthereof wilfully makes a false return or furnishes false information; or \r\n                                                           \r\n1Substituted for the word “of” by the Sind Laws (Adaptation, Revision, Repeal and Decla ration) Ordinance, 1955 (Sind V of  \r\n1955), s. 7, Schedule III, Par IV. \r\n2Substituted for the words “Chapter XI of the Sind Land Revenue Code, 1879, or the relevant provisions of any other law \r\nrelating to land revenue in force in the area,” by the Cooperative Societies (Amendment) Act 2006 (VI of 2006), published in the \r\nPunjab Gazette (Extraordinary), dated July 1, 2006, pp. 3-10, s. 27. \r\n3Substituted for the words “Provincial Government” by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n4Substituted for the word “Offences” by the Sind Laws (Adaptation, Revision, Repeal and Declaration), Ordinance, 1955 (Sind \r\nOrdinance V of 1955), s . 7, Schedule III, Part IV, it came into force with effect from 24 April 1947.  Earlier the word and figures \r\n“Chapter IX-Offences” were substituted for the word “Offences” by Bombay 8 of 1936, s. 2. \r\n5Inserted by the Bombay Co-operative Societies (Sind Amendment) Act, 1943 (Sind Act XVI of 1943), s. 18. \r\n6Inserted by the Bombay Co-operative Societies (Sind Amendment) Act, 1943 (Sind Act XVI of 1943), s.18. \r\n(d) Disobedience of summons, requisition, or order .– any person wilfully or \r\nwithout any reasonable excuse disobeys any summons, requisition or lawful \r\nwritten order issued under the provisions of this Act \r\n1\r\n[or rules made \r\nthereunder] or does not furnish any information lawfully required from him by \r\na person authorized to do so under the provisions of this Act \r\n2\r\n[or rules made \r\nthereunder] \r\n3\r\n[; or] \r\n4\r\n[(e) Indulgence in fraudulent activities .– a member of a society indulges in \r\nfraudulent or corrupt activities concerning the management or business of the \r\nsociety, or indulges in any illegal or corrupt practices, as defined in the  \r\n5\r\n[Punjab Local Governmen t Act, 2019 (XIII of 2019)], in the conduct of \r\nelections of the managing committee of the society; or \r\n(f) Performing acts without approval.– an officer, an employee of a society or \r\na member of the managing committee of the society performs any act without \r\nprior approval of the Registrar or of the general body of the society where \r\nsuch prior approval is required by law; or \r\n(g) Making a false report or refusing to do an act .– an officer or a member of \r\nthe internal audit committee of a society refuses or negle cts to do an act \r\nwhich he is required by law to do or makes a false report; or \r\n(h) Violation of the master plan .– a member of the managing committee of a \r\ncooperative housing society commits any violation or breach of an approved \r\nmaster plan \r\n6\r\n[; or]] \r\n7\r\n[(i) Failure to provide information .– a member, employee, director, officer or \r\nsecretary of the society does not furnish information under clauses (viii), (ix), \r\n(x) and (xi) of section 5, section 20 -A, 21 -A, or does not comply with \r\nsubsection (1) of section 49-A or section 34-A of this Act.] \r\n8\r\n[61. Penalty for offences not otherwise provided for .– (1) Every \r\n9\r\n[*] officer or member \r\nof a society or other person guilty of an offence under this Act for which no penalty is \r\nexpressly provided in this Act shall be liable to a penalty not exceeding rupees one million.  \r\n \r\n10\r\n[(1a) Every society guilty of an offence under this Act for which no penalty is \r\nexpressly provided shall be liable to a penalty not exceeding rupees ten million.]  \r\n (2) The Registrar or a person duly autho rized by him shall be empowered to \r\nimpose such penalty after affording an opportunity of hearing to the concerned.] \r\n                                                           \r\n1Ibid. \r\n2Ibid. \r\n3Substituted for the full-stop by the Cooperative Societies (Amendment) Act 2006 (VI of 2006), published in the Punjab Gazette \r\n(Extraordinary), dated July 1, 2006, pp. 3-10, s. 28(1). \r\n4Inserted by the Act ibid., s.28(2). \r\n5Substituted for the words “Punjab Local Government Ordinance, 2001 (XIII of 2001)” by the Co -operative Societies \r\n(Amendment) Act 2020 (XIX of 2020), published in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585 -588, s. \r\n18.  \r\n6Substituted for the full stop by the Co -operative Societies (Second Amendment) Act 2020, published in the Punjab Gazette \r\n(Extraordinary), dated September 10, 2020, pp. 1053-1056, s. 11. \r\n7Added by the Co -operative Societies (Second Amendment) Act 2020, published in the Punjab Gazette (Extraordinary), dated \r\nSeptember 10, 2020, pp. 1053-1056, s. 11. \r\n8Substituted by the Co -operative Societies (Amendment) Act 2020  (XIX of 2020) , published in the Punjab Gazette \r\n(Extraordinary), dated August 11, 2020, pp. 585-588, s. 19. \r\n9Omitted the expression “society,” by the Co -operative Societies (Second Amendment) Act 2020, published in the Punjab \r\nGazette (Extraordinary), dated September 10, 2020, pp. 1053-1056, s. 12(a). \r\n10Inserted by the Act ibid., s. 12(b). \r\n1\r\n[61-A. Penalty for offences under clause (i) of section 60 .– Any member, employee, \r\ndirector, officer or secretary of the society found guil ty under clause (i) of section 60 shall be \r\npunishable with imprisonment for a term which may extend to five years or with fine up to \r\nrupees two million or with both, and if any society is found guilty under clause (i) of section \r\n60, it shall be liable to a fine up to a maximum of one fourth of its working capital.] \r\n62. Prohibition of the use of the word “co -operative”.– (1) No person other than a \r\nregistered society shall without the sanction of \r\n2\r\n[the \r\n3\r\n[Government]], trade or carry on \r\nbusiness under any name  or title of which the word “co -operative” or its vernacular \r\nequivalent forms part: \r\n Provided that nothing in this section shall apply to the use by any person or his \r\nsuccessor in interest of any name or title under which he traded or carried on business at the \r\ndate on which this Act comes into operation. \r\n (2) Whoever contravenes the provisions of this section shall be punishable with \r\nfine which may extend to \r\n4\r\n[fifty thousand] rupees and in the case of a continuing offence with \r\nfurther fine of \r\n5\r\n[five hundred] rupees for each day on which the offence is continued after \r\nconviction therefor. \r\n6\r\n[62-A. Penalty.– (1) Whoever contravenes the provisions of sub section (3) of section 44 -C \r\nor any direction given by the Registrar under section 44 -D shall be guilty of an offence \r\npunishable with imprisonment of either description for a term which may extend to six \r\nmonths or with fine or with both. \r\n (2) Whoever contravenes an order passed under section 44 -E shall be guilty of \r\nan offence which shall be punished with imprisonm ent for a term which may extend to three \r\nyears but which shall not be less than six months and shall also be liable to be punished with \r\nfine]. \r\n7\r\n[63. Cognizance of offences .– No Court shall take cognizance of any offence \r\npunishable under this Act except on a complaint in writing made by the Registrar or by a \r\nperson duly authorised, for the purpose, by him: \r\n Provided that cognizance of an offence under s ubsection (2) of section 62 -A may be \r\ntaken even otherwise than on such complaint.] \r\n8\r\n[CHAPTER X \r\nAppeals and Revisions] \r\n1\r\n[64. Appeals.– An appeal against an order or decision of or sanctioned by the Registrar \r\nunder sections 10, 16, 44-F, 45, 47, 50, 50-A, 54 or subsection (3) of section 54-A and 61 may \r\n                                                           \r\n1Ibid., s.13.  \r\n2Substituted for the word “Government” by the Government of India (Adaptation of Indian Laws) Order, 1937, published in the \r\nGazette of India (Extraordinary), dated April 1, 1937, pp. 75-344, Article 3 read with Schedule III (Bombay Acts). \r\n3Substituted for the words “Provincial Government” by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n4Substituted for the word “fifty” by the Cooperative Societies (Amendment) Act 2006 (VI of 2006), published in the Punjab \r\nGazette (Extraordinary), dated July 1, 2006, pp. 3-10, s. 30. \r\n5Substituted for the word “five” by the Act ibid. \r\n6Added by the Cooperative Societies (Amendment) Act, 1992 (I of 1992), published in the Punjab Gazette (Extraordinary), \r\ndated June 4, 1992, s. 7.  \r\n7Substituted by the Act ibid., s. 8. \r\n8Substituted for the words “Appeals and Revision” by the Sind Laws (Adaptation, Revision, Repeal and Declaration) Ordinance, \r\n1955 (Sind Ordinance V of 1955), s. 7, Schedule III; it came into force with effect from 24 April 1947. \r\nbe made by any party aggrieved or affec ted by the order or de cision to the Secretary \r\nCooperatives within two months of the date of the communication of the order: \r\n provided that in case the Secretary Cooperative is not available or he refuses to hear \r\nan appeal, the Chief Minister may assign such appeal to any other Secretary to the \r\nGovernment for hearing and disposal.]  \r\n64-A. Power of \r\n2\r\n[\r\n3\r\n[Secretary Cooperatives]] and the Registrar to call for proceedings of \r\nsubordinate officers and to pass orders thereon.– \r\n4\r\n[The \r\n5\r\n[\r\n6\r\n[Secretary Cooperatives]]] and \r\nthe Registrar may cal l for and examine the record of any inquiry or the proceedings of any \r\nofficer subordinate to them for the purpose of satisfying themselves as to the legality or \r\npropriety of any decision or order passed and as to the regularity of the proceedings of such \r\nofficer. If in any case, it shall appear to \r\n7\r\n[the \r\n8\r\n[\r\n9\r\n[Secretary Cooperatives]]] or the Registrar that \r\nany decision or order or proceedings so called for should be modified, annulled or reversed, \r\n10\r\n[the \r\n11\r\n[\r\n12\r\n[Secretary Cooperatives]]] or the Registrar, as the case may be, may pass such order \r\nthereon as to it or him may seem fit. \r\n  \r\n13\r\n[64AA. Finality of orders of \r\n14\r\n[\r\n15\r\n[Secretary Cooperatives]].– An order passed in \r\nappeal under section 64 or in revision under section 64 A by the \r\n16\r\n[\r\n17\r\n[Secretary Cooperatives]] \r\nshall be fi nal and conclusive and shall not be liable to be called in question in any civil or \r\nrevenue court.] \r\n18\r\n[CHAPTER XI \r\n                                                                                                                                                                                     \r\n1Substituted by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), published  in the Punjab Gazette \r\n(Extraordinary), dated August 11, 2020, pp. 585-588, s. 20.  \r\n2Substituted for the words “Provincial Government” by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n3Substituted for the word “Government” by the Act ibid., s. 21. \r\n4Substituted for the word “Government” by the Government of India (Adaptation of Indian Laws) Order, 1937, published in the \r\nGazette of India (Extraordinary), dated 1 April 1937, pp. 75-344, Article 3 read with Schedule III. \r\n5Substituted for the words “Provincial Government” by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n6Substituted for the word “Government” by the Act ibid., s.21. \r\n7Substituted for the word “Government” by the Government of India (Adaptation of Indian Laws) Order, 1937, published in the \r\nGazette of India (Extraordinary), dated 1 April 1937, pp. 75-344, Article 3 read with Schedule III. \r\n8Substituted for the words “Provincial Government” by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n9Substituted for the word “Government” by the Act ibid., s. 21. \r\n10Substituted for the word “Government” by the Government of India (Adaptation of Indian Laws) Order, 1937, published in the \r\nGazette of India (Extraordinary), dated 1 April 1937, pp. 75-344, Article 3 read with Schedule III. \r\n11Substituted for the words “Provincial Government” by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n12Substituted for the word “Government” by the Act ibid., s. 21. \r\n13Inserted by the Bombay Cooperative Societies (Sind Amendment) Act, 1943 (Sind Act XVI of 1943), s. 20. \r\n14Substituted for the words “Provincial Government” by the Co -operative Societies (Amendme nt) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n15Substituted for the word “Government” by the Act ibid., s. 22. \r\n16Substituted for the words “Provincial Government” by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n17Substituted for the word “Government” by the Act ibid., s. 22. \r\n18Substituted for the word “Miscellaneous” by the Si nd Laws (Adaptation, Revision, Repeal and Declaration) Ordinance, 1955 \r\n(Sind Ordinance V of 1955), s . 7, Schedule III, Part IV, it came into force with effect from 24 April 1947.  Earlier the words and \r\nfigures “Chapter X-Appeals and Revision” were substituted for the words “Appeals and Revision” by Bombay 8 of 1936, s. 2. \r\nMiscellaneous] \r\n65. Recovery of sums due to Government.– (1) All sums due from a society or from an \r\nofficer or member or past member of a societ y as such to \r\n1\r\n[Government], may be recovered \r\naccording to the law and under the rules for the time being in force for the recovery of \r\narrears of land revenue. \r\n (2) Sums due from a society to \r\n2\r\n[Government] and recoverable under sub-section \r\n(1) may be recove red, firstly from the property of the society; secondly, in the case of a \r\nsociety of which the liability of the members is limited, from the members or past members \r\nsubject to the limit of their liability; and, thirdly, in the case of other societies, from  the \r\nmembers or past members. \r\n (3) The liability of past members shall in all cases by subject to the provisions of \r\nsection 28. \r\n3\r\n[65A. (1) A member of a society may execute an agreement in favour of the society \r\nproviding that his employer shall be competen t to deduct every month from the salary or \r\nwages payable to him by the employer such amount , not exceeding the amount prescribed \r\nby rules, as may be specified in the application and pay the amount so deducted to the \r\nsociety in satisfaction of any debt or other demand owing by the member to the society. \r\n (2) On the execution of such agreement the employer shall, if so required by the \r\nsociety and so long as such debt or demand or any part of it remains unpaid, make the \r\ndeduction in accordance with the agreement and pay the amount so deducted to the society. \r\n (3) The provisions of this section shall also apply to all such agreements of the \r\nnature referred to in sub -section (1) as were in force on the date of the commencement of \r\nthe \r\n4\r\n[Sind] Co-operative Societies \r\n5\r\n[* * *] (Second Amendment) Act, 1940, but nothing herein \r\ncontained shall be deemed to authorise the deduction, under any such agreement, of any \r\namount in excess of that prescribed by the rules. \r\n6\r\n[(4) Nothing contained in this section shall apply to pers ons employed in mines of \r\nnuclear fuels, mineral oils and natural gas.]] \r\n7\r\n[65-B. Officers of societies to be public servants .– Every officer of a society, including a \r\nCo-operative bank, shall be deemed to be a public servant within the meaning of section 21  \r\nof the Pakistan Penal Code (Act XLV of 1860).] \r\n                                                           \r\n1Substituted for the words “the Crown” by the West Pakistan Laws (Adaptation) Order, 1964, published in the Gazette of West \r\nPakistan (Extraordinary), dated June 3, 1964, pp. 1805-1849, s. 2 read with the Schedule, Part IV, it came into force on June 8, \r\n1962. These were earlier substituted for the word “Government” by the Government of India (Adaptation of Indian Laws) Order, \r\n1937, published in the Gazette of  India (Extraordinary), dated  April 1, 1937, pp. 75-344, Article 3 read with the Schedule III \r\n(Bombay Acts). \r\n2Ibid. \r\n3Inserted by the Bombay Co-operative Societies (Sind Second Amendment) Act, 1940 (Sind Act XXVII of 1940),  published in \r\nthe Sind Government Gazette, dated February 13, 1940, s. 2. \r\n4Substituted for the word “Bombay” by the Sind Laws (Adaptation, Revision, Repeal and Declaration) Ordinance, 1955 (Sind \r\nOrdinance V of 1955), s. 3(i), it came into force with effect from May 30, 1951. \r\n5Omitted the word “Sind” by the Ordinance ibid., s. 3(ii)(b), it came into force with effect from May 30,1951. \r\n6Substituted by the Sind Co -operative Societies (West Pakistan Amendment) Ordinance, 1965 (VII of 1965), published in the \r\nGazette of West Pakistan (Extraordinary) dated April 30, 1965, pp. 1987-1989, s. 13, for the original subsection (4) as amended \r\nby the West Pakistan Laws (Adaptation) Order, 1964, published in the Gazette of West Pakistan (Extraordinary), dated June 3, \r\n1964, pp. 1805-1849, s. 2 read with the Schedule, Part IV, it came into force on June 8, 1962. \r\n7Inserted by the Co -operative Societies (Second Amendment) Ordinance, 1966 (XVII of 1966), published in the Gazette of \r\nWest Pakistan (Extraordinary), dated April 27, 1966, pp. 1051-1053, s. 2. \r\n66. Power to exempt societies from conditions as to registration .– Notwithstanding \r\nanything contained in this Act,  \r\n1\r\n[the \r\n2\r\n[Government]] may, by special order in each case and \r\nsubject to such conditions, if an y, as it may impose, exempt any society from any of the \r\nrequirements of this Act as to registration. \r\n67. Powers to exempt societies from provisions of Act .– \r\n3\r\n[The \r\n4\r\n[Government]] may, \r\nby general or special order to be published in the \r\n5\r\n[Official Gazette], exempt any society or \r\nclass of societies from any of the provisions of this Act, or may direct that such provisions \r\nshall apply to such society or class of societies with such modifications as may be specified \r\nin the order; provided that no order to the prejudice of any society shall be passed without an \r\nopportunity being given to such society to represent its case. \r\n68. Companies Act not to apply.– The provisions of the \r\n6\r\n[* * *] Companies Act of 1913\r\n7\r\n, \r\nshall not apply to societies registered under this Act. \r\n69. Branches, etc., of societies outside the Province .– Every co -operative society \r\nregistered outside \r\n8\r\n[Province of the Punjab] , which has or establishes a branch or place of \r\nbusiness in \r\n9\r\n[Province of the Punjab] shall within six months from the commencement of this \r\nAct or from the establishment of such branch or place of business, file with the Registrar a \r\ncertified copy of the by -laws and amendments and, if these are not written in the English \r\nlanguage, a certified translation in English thereof, and shal l submit to the Registrar such \r\nreturns and information as are submitted by similar societies in \r\n10\r\n[Province of the Punjab] in \r\naddition to those submitted to the Registrar of the province where it is registered. \r\n70. Notice necessary in suits.– No suit shall be instituted against a society or any of its \r\nofficers in respect of any Act touching the business of the society until the expiration of two \r\nmonths next after notice in writing has been delivered to the Registrar, or left at his office, \r\nstating the cause of action, the name, description and place of residence of the plaintiff and \r\nthe relief which he claims; and the plaint shall contain a statement that such notice has been \r\nso delivered or left. \r\n                                                           \r\n1Substituted for the word “Government” by the Government of India (Adaptation of Indian Laws) Order, 1937, published in the \r\nGazette of India (Extraordinary), dated 1 April 1937, pp. 75-344, Article 3 and Schedule III. \r\n2Substituted for the words “Provincial Government” by the Co -operative Societies  (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n3Substituted for the word “Government” by the Government of India (Adaptation of Indian Laws) Order, 1937, published in the \r\nGazette of India (Extraordinary), dated 1 April 1937, pp. 75-344, Article 3 and Schedule III. \r\n4Substituted for the words “Provincial Government” by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n5Substituted for the words “Bombay Government Gazette” by the Government of India (Adaptation of Indian Laws) Order, 1937, \r\npublished in the Gazette of India (Extraordinary), dated 1 April 1937, pp.  75-344, Ar ticle 4(1) read with Table of General \r\nAdaptations. \r\n6Omitted the word “Indian” by the Sind Laws (Adaptation, Revision, Repeal and Declaration) Ordinance, 1955 (Sind Ordinance \r\nV of 1955), s. 4; it came into force with effect from May 30, 1951. \r\n7VII of 1913. \r\n8Substituted for the words “the Province of West Pakistan” by the Co-operative Societies (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated Augu st 11, 2020, pp. 585-588, s. 2(b). Earlier substituted for the words \r\n“Province of the Sind” by the Sind Co -operative Societies (West Pakistan Amendment) Ordinance, 1965 (VII of 1965), \r\npublished in the Gazette of West Pakistan (Extraordinary) dated April 30, 1965, pp. 1987-1989, s. 14, for the words “Province of \r\nSind”. Earlier substituted for the words “Bombay Presidency” by the Sind Laws (Adaptation, Revision, Repeal and Declaration) \r\nOrdinance, 1955 (Sind Ordinance V of 1955).  \r\n9Ibid.  \r\n10Ibid. \r\n1\r\n[70-A. Bar of Jurisdiction.– (1) Notwithstanding anything provided in any other law for the \r\ntime being in force, but save as expressly provided in this Act– \r\n(a) no Court or other authority whatsoever shall have jurisdiction to entertain, or \r\nto adjudicate upon, any matter which the \r\n2\r\n[\r\n3\r\n[Secretary Cooperatives]], the \r\nRegistrar or his nominee, any arbitrator or liquidator, a society, a financing \r\nbank, a Co-operative bank or any other person is empowered by or under this \r\nAct, or the rules or bye-laws framed thereunder, to dispose of or to determine; \r\n(b) the validity of an ything done or an order passed by the \r\n4\r\n[\r\n5\r\n[Secretary \r\nCooperatives]], a society, a financing bank, a Co-operative bank, the Registrar \r\nor any other person referred to in clause ( a), under this Act or the rules and \r\nbye-laws framed thereunder, shall not be call ed in question in any manner \r\nwhatever before or by any Court or other authority whatsoever; and \r\n(c) no Court or other authority whatsoever shall be competent to grant any \r\ninjunction or pass any other order in relation to any proceedings under this Act \r\nor a ny rules or by e-laws framed thereunder before the  \r\n6\r\n[\r\n7\r\n[Secretary \r\nCooperatives]], a society, a financing bank, a Co-operative bank, the Registrar \r\nor any other person referred to in clause (a). \r\n (2) The provisions of sub -section (1) shall be applicable to pro ceedings, appeals \r\nand revisions pending adjudication or disposal before or in any Court or other authority \r\nwhatsoever on the date that the Co -operative Societies (Amendment) Ordinance, 1966, \r\ncomes into force,  and any order passed in such proceedings, wheth er before or after the \r\ncoming into force of the said Ordinance, in regard to matters referred to in sub -section (1), \r\nshall stand vacated and be without any force.] \r\n8\r\n[70-B. Assistance by law enforcement agencies .– All law enforcement agencies \r\nincluding poli ce shall be bound to provide necessary assistance to Registrar or his \r\nauthorized officers to execute the orders passed under this Act.] \r\n71. Rules.– (1) \r\n9\r\n[The \r\n10\r\n[Government]] may, for the whole or any part of the \r\n11\r\n[Province] \r\nand for any society or class of societies, make rules to carry out the purposes of this Act. \r\n (2) In particular and without prejudice to the generality of the foregoing power \r\nsuch rules may– \r\n                                                           \r\n1Inserted by the Co-operative Societies (Amendment) Ordinance, 1966 (XII of 1966), published in the Gazette of West Pakistan \r\n(Extraordinary), dated April 4, 1966, pp. 751-752, s. 2.  \r\n2Substituted for the words “Provincial Government” by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n3Substituted for the word “Government” by the Act ibid., s. 23. \r\n4Substituted for the words “Provincial Government” by the Act ibid., s. 2(a). \r\n5Substituted for the word “Government” by the Act ibid., s. 23. \r\n6Substituted for the words “Provincial Government” by the Act ibid., s. 2(a). \r\n7Substituted for the word “Government” by the Act ibid., s. 23. \r\n8Inserted by the Co -operative Societies (Second Amendment) Act 2020 (XXII of 2020), published in the Punjab Gaze tte \r\n(Extraordinary), dated September 10, 2020, pp. 1053-1056, s. 14. \r\n9Substituted for the word “Government” by the Government of India (Adaptation of Indian Laws) Order, 1937, published in the Ga zette \r\nof India (Extraordinary), dated April 1, 1937, pp. 75-344, Article 3 read with Schedule III (Bombay Acts). \r\n10Substituted for the words “Provincial Government” by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), published in \r\nthe Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n11Substituted for the word “Presidency” by the Sind Laws (Adaptation, Revision, Repeal and Declaration) Ordinance, 1955 (Sind \r\nOrdinance V of 1955), (with effect from 30th May, 1951). \r\n(a) subject to the provisions of section 6, prescribe the maximum number of \r\nshares or portion of the capital of a society which may be held by a member; \r\n(b) prescribe the forms to be used and the conditions to be complied with in the \r\nmaking of applications for the registration of a society and the procedure in \r\nthe matter of such applications; \r\n(c) prescribe the matters in respect of which a society may or shall make by -laws \r\nand the procedure to be followed in making, altering and abrogating by -laws \r\nand the conditions to be satisfied prior to such making, alteration or \r\nabrogation; \r\n(d) prescribe the condit ions to be complied with by persons applying for \r\nadmission or admitted as members and provide for the election and \r\nadmission of members and the payment to be made and the interests to be \r\nacquired before the exercise of the right of membership; \r\n(e) provide for ascertaining the value of a deceased member‟s share or interest; \r\n(f) provide for general meetings of the members and for the procedure at such \r\nmeetings and the powers to be exercised by such meetings; \r\n(g) provide for the appointment, suspension and rem oval of the members of the \r\ncommittee and other officers and for the procedure at meetings of the \r\ncommittee and for the powers to be exercised and the duties to be performed \r\nby the committee and other officers; \r\n1\r\n[\r\n2\r\n[(ga)] provide, where all the members of th e committee have been suspended or \r\nremoved, for the appointment of a person to administer the affairs of the \r\nsociety and for the powers to be exercised and the duties to be performed by \r\nsuch person;] \r\n(h) prescribe the accounts and the books to be kept by a  society and provide for \r\nthe audit of such accounts, and the charges, if any, to be made for such audit, \r\nand for the periodical publication of a balance sheet showing the assets and \r\nliabilities of a society; \r\n(i) prescribe the returns to be submitted by a society to the Registrar and provide \r\nfor the persons by whom and the form in which such returns shall be \r\nsubmitted; \r\n(j) provide for the persons by whom and the form in which copies of documents \r\nor entries in books of societies may be certified, and for the charges to be \r\nlevied for the supply of such copies; \r\n(k) provide for the formation and maintenance of a register of members, and \r\nwhere the liability of the members is limited by shares, of a register of shares; \r\n(l) prescribe the payments to be made and the conditions to be complied with by \r\nmembers applying for loans, and the period for which loans may be made, \r\nand the amount which may be lent to an individual member; \r\n3\r\n[(m) prescribe the conditions, prohibitions and restrictions subject to which a \r\nsociety may– \r\n(i) transact business with persons who are not members; or \r\n                                                           \r\n1Inserted the clause (gg) by the Bombay Co-operative Societies (Sind Amendment) Act, 1943 (Sind Act XVI of 1943), s. 21(i). \r\n2Re-numbered the clause (gg) as clause (ga) by the Sind Laws (Adaptation, Revision, Repeal and Declaration ) Ordinance, 1955 (Sind \r\nOrdinance V of 1955), s. 7, Schedule III, Part IV. \r\n3Substituted by the Bombay Co-operative Societies (Sind Amendment) Act, 1947 (Sind Act XX of 1947), s. 10(1). \r\n(ii) make loans against the security of movable property;] \r\n(n) provide for the formation and maintenance of reserve funds, and the objects \r\nto which such funds may be applied, and for the investme nt of any funds \r\nunder the control of a society; \r\n(o) prescribe the extent to which a society may limit the number of its members; \r\n(p) prescribe the conditions under which profits may be distributed to the \r\nmembers of a society and the maximum rate of dividen d which may be paid \r\nby societies; \r\n(q) prescribe the procedure to be followed in presenting and disposing of \r\nappeals; \r\n(r) provide for securing that the share capital of any society shall be variable in \r\nsuch a way as may be necessary to secure that shares shall not appreciate in \r\nvalue and that necessary capital shall be available for the society as required; \r\n(s) provide that persons qualified under the by -laws of a society shall not be \r\nexcluded from membership without due cause; \r\n(t) prescribe the procedure to be followed by a liquidator appointed under section \r\n47; \r\n(u) prescribe the mode of appointing an arbitrator or arbitrators and the \r\nprocedure to be followed in proceedings before the Registrar or such \r\narbitrator or arbitrators and for fixing and levying the  expenses of determining \r\nthe dispute; \r\n(v) provide for the issue and service of processes and for proof of service \r\nthereof; \r\n(w) provide for the writing off of bad debts; \r\n(x) regulate the manner in which funds may be raised by means of shares or \r\ndebentures \r\n1\r\n[, participation term certificates, term finance certificates, \r\nmusharika certificates, modaraba certificates, and such other instruments as \r\nmay be approved by the State Bank of Pakistan], or otherwise; \r\n(y) provide for the withdrawal and expulsion of members and for the payments to \r\nbe made to them and for the liabilities of past members; \r\n(z) provide for the nomination of a person to whom the interest of a deceased \r\nmember may be paid or transferred; \r\n(aa) prescribe the cases in which an appeal shall lie from t he order of a liquidator \r\nappointed under section 47; \r\n(bb) provide for the inspection of documents in the Registrar‟s office and the levy \r\nof fees for granting certified copies of the same; \r\n(cc) prescribe the procedure to be followed for the custody of prope rty attached \r\nunder section 55; \r\n \r\n2\r\n[(cca) prescribe the manner in which an order under sub -section (3) o r sub-section \r\n(4) of section 59E or a notice of demand shall be served or published; \r\n                                                           \r\n1Inserted by the Cooperative Societies (Punjab Amendment) Ordinance, 1984 (XL of 1984), published in the Punjab Gazette \r\n(Extraordinary), dated December 31, 1984, pp. 3023-3026, s. 2(10)(i). \r\n2Clauses (cca), (ccb) and (ccc) were inserted by the Bombay Co-operative Societies (Sind Amendment) Act, 1947 (Sind Act XX \r\nof 1947), s. 10(2). \r\n(ccb) prescribe the particulars to be supplied to the Collector under  sub-section (1) \r\nof section 59F; \r\n (ccc) prescribe the manner in which a notification of distraint should be published \r\nunder sub-section (2) of section 59F;] \r\n(dd) provide for the payment of contributions at such rates and subject to such \r\nconditions as may from time to time be prescribed by co-operative societies to \r\nany provident fund which may be established for the benefit of officers and \r\nservants employed by them; \r\n1\r\n[*] \r\n(ee) prescribe the period and terms under which Government aid may be given to \r\nco-operative societies and the terms under which  \r\n2\r\n[the \r\n3\r\n[Government]] may \r\nguarantee the payment of \r\n4\r\n[the principal of and] interest \r\n5\r\n[or return] on  \r\n6\r\n[instruments referred to in clause (x) of this sub -section] issued by registered \r\nsocieties; \r\n7\r\n[(ff) prescribing the m anner in which any property shall be delivered to, and the \r\nterms and conditions subject to which such property shall be held  by, a \r\nsociety under section 59A \r\n8\r\n[;] \r\n9\r\n[(gg)] provide that the contravention of any rule or order issued thereunder shall be \r\npunishable with fine not exceeding rupees \r\n10\r\n[five thousands] \r\n11\r\n[; and] \r\n12\r\n[(hh) prescribe the environmental standards and the standards for the use of land.] \r\n(3) \r\n13\r\n[The \r\n14\r\n[Government]] may, subject to such conditions, if any, as it thinks fit, \r\ndelegate all or any of its powers to make rules under this section to any authority specified in \r\nthe order of delegation. \r\n(4) The power to make rules conferred by this section is subject to the condition \r\nof the rules being made after previous publication. \r\n1\r\n[(5) *  *  *  *  *  *  *  *  * ] \r\n                                                           \r\n1Repealed the word “and” by the Sind Laws (Adaptation, Revision, Repeal and Declaration ) Ordinance, 1955 (Sind Ordinance V of \r\n1955), s. 6, Schedule II. \r\n2Substituted for the word “Government” by the Government of India (Adaptation of Indian Laws) Order, 1937, published in the Ga zette \r\nof India (Extraordinary), dated April 1, 1937, pp. 75-344, Article 3 read with Schedule III (Bombay Acts). \r\n3Substituted for the words “Provincial Government” by the Co-operative Societies (Amendment) Act 2020 (XIX of 2020), published in the \r\nPunjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n4Inserted by the Bombay Co-operative Societies (Sind Amendment) Act, 1935 (Sind Act XXII of 1935), s. 5(1). \r\n5Inserted by the Cooperative Societies (Punjab Amendment) Ordinance, 1984 (XL of 1984), published in the Punjab Gazette \r\n(Extraordinary), dated December 31, 1984, pp. 3023-3026, s. 2(10)(ii)(a). \r\n6Substituted for the word “debentures” by the Ordinance ibid., s.2(10)(ii)(b). \r\n7Clause (ff) was inserted by the Bombay Co-operative Societies (Sind Amendment) Act, 1935 (Sind Act XXII of 1935), s. 5(c). \r\n8Substituted for full stop by the Sind Laws (Adaptation, Revision, Repeal and Declaration) Ordinance, 1955 (Sind Ordinance V of 1955), \r\ns. 7, Schedule III, Part IV. \r\n9Re-numbered clause (mm) as clause (gg) by the Sind Laws (Adaptation, Revision, Repeal and Decla ration) Ordinance, 1955 (Sind \r\nOrdinance V of 1955), s. 7, Schedule III, Part IV.  Earlier clause (mm) was inserted by the Bombay Co-operative Societies ( Sind \r\nAmendment) Act, 1943 (Sind Act XVI of 1943), s. 21(ii).  \r\n10Substituted for the word “fifty” by the C ooperative Societies (Amendment) Act 2006 (VI of 2006), published in the Punjab Gazette \r\n(Extraordinary), dated July 1, 2006, pp. 3-10, s. 31(1)(a). \r\n11Substituted for the full-stop by the Act ibid., s.31(1)(b). \r\n12Inserted by the Act ibid., s.31(2). \r\n13Substituted for the word “Government” by the Government of India (Adaptation of Indian Laws) Order, 1937, published in the Gazette \r\nof India (Extraordinary), dated April 1, 1937, pp. 75-344, Article 3 read with Schedule III (Bombay Acts). \r\n14Substituted for the words “Provincial Government” by the Co -operative Societies (Amendment) Act 2020 (XIX of 2020), published in \r\nthe Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(a). \r\n2\r\n[72. Repeal and Savings.– (1) The following enactments are hereby repealed:– \r\n(a) the Co-operative Societies Act, 1912\r\n3\r\n; and \r\n(b) the Bombay Co-operative Societies Act, 1925\r\n4\r\n, as applicable to the District of \r\nKarachi. \r\n (2) Every society now existing which has been registered under the Co-operative Societies \r\nAct, 1904\r\n5\r\n, or under the Co-operative Societies Act, 1912\r\n6\r\n, shall be deemed to be registered \r\nunder this Act, and its by-laws shall, so far as the same are not inconsistent with the express \r\nprovisions of this Act, continue in force until altered or rescinded. \r\n (3) All rules, regulations, notifications and orders made or issued under this Act and in \r\nforce at the time of the commencement of the Sind Co -operative Societies (West Pakistan \r\nAmendment) Ordinance, 1965\r\n7\r\n, shall, so far as may be, extend and apply, until altered, \r\namended or rescinded by competent authority to the areas to which this Act has been \r\nextended by the Sind Co -operative Societies (West Pakistan Amendment) Ordinance, \r\n1965\r\n8\r\n]. \r\n9\r\n[(4) The repeal of the Acts specified in sub -section (1), hereinafter referred to as \r\nthe repealed Acts, shall not– \r\n(a) revive anything not in force or existing at the time at which the repeal takes \r\neffect; or \r\n(b) affect the previous operation of the repealed Acts or anythi ng duly done or \r\nsuffered thereunder; or \r\n(c) affect any right, privilege, obligation or liability acquired, accrued or incurred \r\nunder the repealed Acts; or \r\n(d) affect any penalty, forfeiture or punishment incurred in respect of any offence \r\ncommitted against any repealed Act; or \r\n(e) affect any investigation, legal proceeding or remedy in respect of any such \r\nright, privilege, obligation, liability, penalty, forfeiture, or punishment as \r\naforesaid, and any such investigation, legal proceeding or remedy may be \r\ninstituted, continued, or enforced, and any such penalty or forfeiture or \r\npunishment may be imposed as if this Act had not been passed. \r\n (5) Any person who immediately before the coming into force of the Sind Co -\r\noperative Societies (West Pakistan Amendment) Ordinance, 1965, was appointed as, or was \r\nexercising the powers of, a Registrar, Liquidator, Registrar‟s nominee or any other authority, \r\nunder any repealed Act, shall be deemed to have been so appointed under this Act, and \r\nshall continue to exercise the po wers of the Registrar, Liquidator, Registrar‟s nominee, or \r\n                                                                                                                                                                                     \r\n1Omitted s ub-section (5) by  the West Pakistan (Adaptation and Repeal of Laws) Act, 1957 ( XVI of 1957), published in the \r\nGazette of West Pakistan (Extraordinary), dated July 25, pp. 709-789, s. 3(3) read with Schedule III (Sind Acts). \r\n2Substituted for the original section 72 by the Sind Co-operative Societies (West Pakistan Amendment) Ordinance, 1965 (VII of \r\n1965), published in the Gazette of West Pakistan (Extraordinary) dated April 30, 1965, pp. 1987-1989, s. 15. \r\n3II of 1912. \r\n4Bombay VII of 1925. \r\n5X of 1904. \r\n6II of 1912. \r\n7W.P. Ord. VII of 1965. \r\n8W.P. Ord. VII of 1965. \r\n9Added by the Co-operative Societies (Second Amendment) Ordinance, 1966 (XVII of 1966), published in the Gazette of West \r\nPakistan (Extraordinary), dated April 27, 1966, pp. 1051-1053, s. 3, above added subsections came into force with effect from  \r\nApril 30, 1965. \r\nother corresponding authority, as the case may be, under this Act, until such appointment is \r\nrescinded by the competent authority under this Act.] \r\n1\r\n[72A. Construction of references to Co -operative Societies Act, 1912, in \r\nenactments.– All references to the Co -operative Societies Act, 1912\r\n2\r\n, occurring in any \r\nenactment made by any authority in \r\n3\r\n[Pakistan] and for the time being in force in  \r\n4\r\n[\r\n5\r\n[Province \r\nof the Punjab] ] shall, in the application, to the  \r\n6\r\n[said Province], of any such enactment, be \r\nread and construed as references to this Act and anything done or any proceeding \r\ncommenced in pursuance of any such enactment on or after the date on which this Act shall \r\nhave come into operation shall be deemed to have been done or to have been commenced \r\nand to have had effect as if the reference in such enactment to the Co -operative Societies \r\nAct, 1912\r\n7\r\n, had been the reference to this Act, and no such thing or proceeding shall be \r\ndeemed to have been invalid on the ground that such enactment did not refer to this Act.] \r\n8\r\n[72B.  * * * * * * * * *   ] \r\n9\r\n[73. *  * * * * * * * *   ] \r\n10\r\n[* * * * * *] \r\n \r\n \r\n \r\n \r\n \r\n \r\n                                                           \r\n1Inserted section 72-A by the Bombay Co-operative Societies (Amendment) Act, 1933 (Bombay Act VIII of 1933), s. 2. \r\n2II of 1912. \r\n3Substituted for the words “British India” by the Sind Laws (Adaptation, Revision, Repeal and Declaration) Ordinance, 1955, \r\n(Sind Ordinance V of 1955), s. 3(ii)(b); it came into force with effect from 30 May 1951. \r\n4Substituted for the word “Sind” by the Sind Co-operative Societies (West Pakistan Amendment) Ordinance, 1965 (VII of 1965), \r\npublished in the Gazette of West Pakistan (Extraordinary) dated April 30, 1965, pp. 1987-1989, s. 2. It was earlier substituted for \r\nthe words “the Province of Sind” by the West Pakistan Laws (Adaptation) Order, 1964, published in the Gazette of West \r\nPakistan (Extraordinary), dated June 3, 1964, pp. 1805-1849, s. 2 read with the Schedule, Part IV, it came into force on June 8, \r\n1962. The words “Province of Sind” were previously substituted for the word “Sind” by the Sind Laws (Adaptation, Revision, \r\nRepeal and Declaration) Ordinance, 1955 (Sind Ordinance V of 1955).  \r\n5Substituted for the words “the Province of West Pakistan” by the Co-operative Societies (Amendment) Act 2020 (XIX of 2020), \r\npublished in the Punjab Gazette (Extraordinary), dated August 11, 2020, pp. 585-588, s. 2(b). \r\n6Substituted for the words “said territories” ibid., s. 16. These were earlier substituted for the words “said Province” by the West \r\nPakistan Laws (Adaptation) Order, 1964, published in the Gazette of West Pa kistan (Extraordinary), dated June 3, 1964, pp. \r\n1805-1849, s. 2 read with the Schedule, Part IV, it came into force on June 8, 1962. The words “said Province” were previously \r\nsubstituted for “Presidency” by the Sind Laws (Adaptation, Revision, Repeal and Declaration) Ordinance, 1955 (Sind Ordinance \r\nV of 1955). \r\n7II of 1912. \r\n8Repealed by the Sind Laws (Adaptation, Revision, Repeal and Declaration) Ordinance, 1955 (Sind Ordinance V of 1955), s. 6, \r\nSchedule II. \r\n9Ibid. Earlier it was inserted by the Bombay Co-operative Societies (Sind Amendment), 1935 (Sind Act No. XXII of 1935), s. 6. \r\n10Repealed by the Sind Laws (Adaptation, Revision, Repeal and Declaration) Ordinance, 1955 (Sind Ordinance V of 1955), s . \r\n6, Schedule II.",
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