West Bengal Co-operative Societies Act, 2006


No. 712-L Date: 25th May, 2010


West Bengal Act XL of 2006


1. Short title, extent and commencement.

2. State policy on Co-operative societies.

3. Co-operative principles.

4. Definitions.

5. Interpretation of words and expression used in the Act.

6. Repeal and savings.

7. Construction of reference to Act of 1912, Ben. Act XXVI of 1940, West Ben. Act XXXVIII of 1973 and West Ben. Act XLV of 1983.

8. The Companies Act, 1956, not to apply.

9. The prohibition of the use of the word “Co-operative”.

10. Officers of Co-operative societies to be public servants.

11. Exemption of Co-operative societies from the provisions of the Act.


12. Appointment of Registrar and Director of Co-operative Audit and other persons to assist them.

13. Conferment of powers and duties of Registrar and Director of Co-operative Audit on other persons.

14. Co-operative society which may be registered.

15. Bar to registration.

16. Application for registration.

17. Co-operative society to be body corporate.

18. Display of name.

19. Amendment of by-laws.

20. Bye-Laws.

Change of liabilities, transfer of assets and division and amalgamation of Co-operative societies.

21. Transfer of assets and liabilities and division and amalgamation of Co-operative societies.

22. Powers of Registrar to order division, reorganisation or amalgamation of Co-operative societies.

23. Amalgamation of any Central Co-operative Bank with any other Central Co-operative Bank or with the State Co-operative Bank.

24. Change of name and its effect.

25. Promotion of subsidiary organisation.

26. Partnership of Co-operative societies.

Status and management of Co-operative society

27. General body of a Co-operative society.

28. Final authority of a Co-operative society.

29. Annual general meeting.

30. Half-yearly general meeting.

31. Special general meeting.

32. Management of Co-operative societies.

33. Deputation of Government officers to manage the affairs of Co-operative society.

34. Dissolution and reconstitution of board.

35. Dissolution of board and appointment of administrator.

36. Dissolution of the board in certain cases and appointment of special officer.

37. Summoning of meeting of Co-operative society and rescinding or suspending resolution thereof.

38. Reservation of seats on board.

Duties and obligations of Co-operative societies

39. Address of Co-operative society.

40. Change of name and its effect.

41. Books and documents to be open to inspection by members.

42. Affiliation to State and Regional Co-operative Union.

43. Appointment of persons in the service of a Co-operative society.

44. Restrictions on borrowings.

45. Issue of debentures.

46. Vesting of assets of Co-operative society in the Trustees upon issue of debenture.

47. Issue of bonds.

48. Issue of preference shares.

49. Application for loan.

50. Loans and advances to members and non-members.

51. Power of State Government to give financial assistance.

52. Limitation.

53. Debts due to Co-operative societies to be first charge.

54. Charge on immovable property of members borrowing from certain Co-operative societies.

55. Loan by Gehan.

56. Appointment of sale officer.

57. Utilisation of the sale proceeds.

58. Charge and set off of shares and interests.

59. Deduction of dues to Co-operative societies from members and sureties

60. Exemption from compulsory registration of instruments relating to shares and debentures of Co-operative and mortgage deeds executed in favour of Co-operative agriculture and rural development bank or primary Co-operative

61. Power to remit duties, fees. etc. and to prevent preference and exemption

62. Compromise or arrangement between Co-operative society and its creditor

Member of Co-operative and their duties, rights, accountability privileges and liabilities.

63. Eligibility for membership of Co-operative society.

64. Admission as member.

65. Votes of members.

66. Utilisation of loans.

67. Share or interest not liable to attachment.

68. Liability of members.

69. Liability of past member or estate of deceased member.

70. Disposal of deceased member’s share or interest.

71. Disposal of share or interest of member on expulsion or resignation or on becoming insane.

72. Restriction on transfer or possession of and interest in land held under Co-operative society.

73. Disposal of share of interest of member of dissolved Co-operative society.

74. Disposal of moneys of the deceased, expelled, resigned or insane member.

75. Restrictions on holding of shares.

76. Nomination by member.

77. Restriction on transfer of shares and interest.

78. Redemption of shares.

Properties and funds of Co-operative societies

79. Investment of funds.

80. Co-operative Education Fund.

81. Bad Debt Fund.

82. Reserve Fund.

83. Employees’ Provident Fund.

84. Retirement Benefit Fund.

85. Creation and maintenance of special funds.

86. Distribution of profit.

Special provisions for housing Co-operative societies

87. Eligibility for membership of a housing Co-operative society.

88. Type of housing Co-operative societies to be registered.

89. First general meeting of a housing Co-operative society.

90. Annual general meeting of housing Co-operative society.

91. Unit of assessment.

92. Rights of members.

93. Restrictions on letting out of house or flat by a member in housing Co-operative society.

Co-operative Service Commission, Co-operative Registration Council and Co-operative Election Commission.

94. Co-operative Service Commission.

95. Co-operative Registration Council.

96. Co-operative Election Commission.

Audit, inspection and inquiry

97. Audit of accounts of Co-operative society.

98. Audit report.

99. Inspection by Registrar or financing bank or apex Co-operative society or Central Co-operative society.

100. Inquiry by Registrar.

101. Cost of inspection or inquiry.

Settlement of disputes

102. Dispute to be filed before Registrar.

103. Settlement of disputes.

104. Appointment of forum of arbitrators.

105. Force and effect of certain award.

Dissolution of Co-operative society

106. Dissolution of Co-operative society by the Registrar on basis of report of inspection, inquiry etc.

107. Dissolution of Co-operative society by Registrar at instance of board or its members.

108. Dissolution of Co-operative society by Registrar of his own motion.

109. Order of dissolution to be published and communicated.

110. Appointment or removal of liquidator.

111. Powers and obligation of liquidator.

112. Priority of contribution assessed by liquidator.

113. Cancellation of order of dissolution.

Special provisions for State Co-operative Bank, Co-operative Agriculture and Rural Development Bank, Central Co-operative Bank, Primary Co-operative Credit Society, Apex Housing Co-operative Society and Urban Co-operative Bank.

114. Payment of prior debt of mortgagor.

115. Procedure for dealing with applications for loan;

116. Restriction on transfer of. or charge on, equity of redemption.

117 Mortgage not to be questioned on insolvency of mortgagor

118 Priority of mortgage over certain loans.

119. Constructive borrowings.

120. Power to distrain and sale.

121. Application of the proceeds of distrain and sale.

122. Power to bring mortgaged property to sale and delivery possession in respect of property sold without intervention of court.

123. Right to purchase and sell under this Chapter.

124. Title of purchaser not to be questioned.

125. Appointment of Receiver.

126. Power of Co-operative bank or Co-operative societies etc. if mortgaged property is destroyed or security becomes insufficient.

127. Power of trustee or West Bengal State Co-operative and rural development bank to direct or to lake certain action.

128. Officers of agriculture and rural development bank etc. not to bid on personal account at sales.

129. Exemption from personal attendance.

130. Power to Co-operative agriculture and rural development bank etc. to receive money notwithstanding transfer of mortgage deed to West Bengal State Cooperative agriculture and rural development bank etc.

131. Mortgage executed by members of joint Hindu family.

132. Special provisions for Co-operative agriculture and rural development bank to apply to branches of West Bengal State Co-operative agriculture and rural development bank.

133. Provision of sections 123, 124 and 127 to apply to loans issued against Gehan.

134. Certain other provisions relating to urban co-operative banks.

Enforcement of obligation and recovery of sums due

135. Access to documents etc.

136. Power to enforce attendance of witness and production of documents.

137. Delivery of possession of books, accounts etc. of Co-operative society.

138. Power to direct conditional attachment.

139. Power to direct payment of dues.

140. Charge and surcharge.

141. Penally for certain misdemeanours.

142. Registrar’s power to enforce performance of obligations.

143. Recovery or sums due.

144. Acts of Co-operative society not to be invalidated by certain defects.

Jurisdiction, Appeal and Review

145. Indemnity and bar to jurisdiction of Courts.

146. Tribunal.

147. Appellable orders, appellate authority and period of limitation.

148. Review and revision.

Offences, penalties and procedures

149. Offences and penalties.

150. Cognizance of offence.

151. Presumption raised by entry in register of members.

152. Proof of entry in book of Co-operative society.

153. Punishment for corrupt practices.


154. Overriding effect of the Act.

155. Co-operative bank to get insured.

156. Power to add to the Fifth Schedule.

157. Power to make rules.

Download: West Bengal Co-operative Societies Act 2006

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