Section 14 in Karnataka Co-Operative Societies Act, 1959
14. Amalgamation, transfer of assets and liabilities and division of co-operative societies.
(1)A co-operative society may, by a resolution passed by a two-thirds majority of the members present and voting at a general meeting of the society,-(a)divide itself into two or more co-operative societies; or(b)transfer its assets and liabilities in whole or in part to any other co-operative society which by a like resolution agrees to such transfer.(2)Any two or more co-operative societies may, by a resolution passed by a two-thirds majority of the members present and voting at a general meeting of each such society amalgamate themselves and form a new co-operative society.(3)The resolution of a co-operative society under sub-section (1) or sub-section (2) shall contain all particulars of the transfer, division or amalgamation, as the case may be, and no such resolution shall have any effect unless approved by the Registrar.[Provided that in the case of a co-operative bank, the Registrar shall not approve such resolution without the previous sanction in writing of the Reserve Bank.] [Inserted by Act 39 of 1975 w.e.f. 23.09.1975.](4)When a co-operative society has passed any such resolution, and it has been approved by the Registrar, the co-operative society shall give notice thereof in writing to all its creditors and such members of the society as did not vote in favour of the resolution and, notwithstanding any bye-laws or contract to the contrary, any creditor or any member to whom such notice is given shall during the period of one month from the date of service of the notice upon him, have the option of withdrawing his shares, deposits or loans, as the case may be.(5)Any member or creditor who does not exercise his option within the period specified in sub-section (4) and every member who has voted in favour of the resolution shall be deemed to have assented to the proposals contained in the resolution.(6)A resolution passed by a co-operative society under this section shall not take effect until either,-(a)the assent thereto of all the members and creditors has been, or deemed to have been, obtained under this section or;(b)all claims of members and creditors who exercise the option referred to in sub-section (4) within the period specified therein, have been met in full.(7)Where a resolution passed by a co-operative society under this section involves the transfer of any assets and liabilities, the resolution shall, notwithstanding anything contained in any law for the time being in force, be a sufficient conveyance to vest the assets and liabilities in the transferee without any further assurance.[[14A. [Sections 14A inserted by Act 39 of 1975 w.e.f. 23.9.1975.]***]]
