Multi State Cooperative Society

Types of multi-state cooperative societies and requirements: -

A multi-state cooperative society is of different types- Credit, Housing, Farming, Transport, Healthcare facility, Sugar, Stores, Fishery, Handloom, Labor, Consumer, and Multi-Function Co-operative Society. The standard formalities for forming this society is to organize at least 50 members from 2 states each.

The function of Governing Body Members of Multi-State:-.

As far as the interim management committee list is worried who is accountable for the management and handling of the society, the society must minimum 7 members and this list can go upto 21 members. Simply for example in a credit cooperative society, if the society desires to make any scheme like gold loan, auto loan, repaired deposit loan, double deposit strategy, triple deposit plan or any special plan, the society has to give a prior 15 days notice to all its members by rate post, paper publication and so on. As per the guidelines of the MSCS Act 2002, an individual currently being a member of a society can not be a member of a multi-state cooperative society of the exact same kind.

Management of a Multi-State Cooperative Society: -.

No part of the funds, various other than net profits of a multi-state cooperative society will be divided by way of perk or dividend or otherwise dispersed amongst its members. In the case of multi-state cooperative societies that do not have a share capital, the surplus of earnings over expense shall not be dealt with as net profits and such surplus shall be dealt with in accordance with the bye-laws. A multi-state cooperative society shall, out of its net profits in any year move a quantity not less than twenty-five percent to the reserve fund, credit one percent to cooperative education fund maintained by the National Co-operative Union of India Limited, New Delhi or transfer an amount not less than ten percent to a reserve fund for conference unforeseen losses.