Section 20 - Partnership of societies
(1) Any two or more societies may, with the prior approval of the Registrar by resolution
passed by three-fourths majority of the me members present and voting at a general meeting of
each such society, enter into partnership for carrying out any specific business or
business, provided that each member has had clear ten days, written notice of the
resolution and the date of the meeting.
[Provided that, in case of a society which has not taken any financial assistance from the
Government, in the form of sh are capital, loan or guarantee, the prior approval of the
Registrar for entering into such partnership shall not be required.]
(2) Nothing in the Indian Partnership Act, 1932, shall apply to such partnership.
1. Provison inserted by Mah. 34 of 2001, (w.e.f. 7-9-2001), s. 2.
Section 20A - Collaboration by societies
(1) Any society or societies may, with the prior approval of the State Government,
[and subject to such terms and conditions
as the State Government may impose and in such
manner as may be prescribed] enter into collaboration with any Government undertaking
or any undertaking approved by the State Government for carrying on any specific
business or businesses, including industrial investment, financial aid or marketing and
(2) Before approving any such scheme of collaboration by any society or societies under
sub-section (1), the State Government shall have due regard to the following matters,
(a) that the scheme is economically viable;
(b) that it can be implemented without, in any way, eroding the co-operative character of
the society or the societies concerned;
(c) that the scheme is in furtherance of the interests of the members of the society or
societies concerned, or is in the public interest, and in the interest of the co-operative
movement in general.
[Provided that, no prior approval of the State Government shall be necessary in case of a
society which has not taken any financial assistance from the Government in the from of
share capital, loan or guarantee and such society may enter into collaboration with any
undertaking with the prior approval of it's general body if the requirements laid down in
clauses (a), (b) and (c) of sub-section (2), are being fulfilled in case of such society.]
1. Section 20 A was inserted by Mah. 20 of 1986, s. 10.
2. Inserted by Mah. 10 of 1988, s. 4.
3. This provison was added by Mah. 34 of 2001, (w.e.f. 7 - 9 - 2001) s. 3.
Section 21 - Cancellation of registration
The Registrar shall make an order cancelling the registration of a society if it transfers the
whole of its assets and liabilities to another society, or amalgamates with another society,
or divides itself into two or more societies or if its affairs are wound up, [or it is de registered
under the provisions of sub-section (1) of section 21A]
[or winding up
proceedings in respect of the society are closed or terminated under section 109
[* * * *].
The society shall, from the date of such order of cancellation, be deemed to be dissolved
and shall cease to exist as a corporate body.
1. Inserted by Mah.10 of 1988, s.5.
2. This portion was inserted by Mah. 3 of 1974, s.4.
3. The portion beginning with "or it has commenced business" and ending with "be cancelled" was deleted by Mah. 3 of 1974, s. 5.
Section 21A - De-registration of societies
(1) If the Registrar is satisfied that any society is registered on mis-representation made
by applicants, or where the work of the society is completed or exhausted or the purposes
for which the society has been registered are not served, he may, after giving an
opportunity of being heard to the Chief Promoter, the committee and the members of the
society, de-register the society:
Provided that, where the number of members of the society is so large and it is not
possible to ascertain the correct addresses of all such members from the records in the
office of the Registrar and, in the opinion of the Registrar it is not practicable to serve a
notice of hearing on each such individual member, a public notice of the proceedings of
the de-registration shall be given in the prescribed manner and such notice shall be
deemed to be notice to all the members of the society including the Chief Promoter and
the members of the Committee of the Society, and no proceeding in respect of the deregistration
of the society shall be called in question in any Court merely on the ground
that individual notice is not served on any such member.
(2) When a society is de-registered under the provisions of sub-section ( 1), the Registrar
may, notwithstanding anything contained in this Act or any other law for the time being
in force, make such incidental and consequential orders including appointment of Official
Assignee as the circumstances may require.
(3) Subject to the rules made under this Act, the Official Assignee shall realise the assets
and liquidate the liabilities within a period of one year from the date he takes over the
charge of property, assets, books, records, and other documents, which period may, at the
discretion of the Registrar, be extended from time to time, so however, that the total
period does not exceed three years in the aggregate.
(4) The Official Assignee shall be paid such remuneration and allowances as may be
prescribed; and he shall not be entitled to any remuneration whatever beyond the
prescribed remuneration or allowances.
(5) The powers of the Registrar under sub-sections (1) and (2) shall not be exercised by
any [officer below the rank of a Joint Registrar of Co-operative Societies.]
1. Section 21-A was inserted by Mah. 20 of 1986, s. 11.
2. These words were substituted for the portion beginning with the word "person" and ending with the word and figure "section 3 " by Mah. 10 of 1988, s. 6.