Section 173 in The U.P. Co-operative Societies Rules, 1968
173. [ [Substituted by Notification No. 2700/XLIX-1-94-7 (1)-94, dated 15.7.94.]
(1)A Co-operative Society may invest or deposit its funds in any one or more of the following modes:-(i)any mode provided in clauses (a) to (c) of section 59;(ii)post office savings bank;(iii)any saving scheme lunched by Central or State Government;(iv)the shares of a corporation or other body corporate in which the Central or the State Government or both hold more than fifty percent of the shares; and(v)the debentures floated by a corporation or a body corporate, if such debentures are guaranteed by the Central or the State Government or by Reserve Bank of India.(2)A Co-operative Society shall not invest more than one fourth and, with the general or special permission of the Registrar, more than half of its reserve fund in the shares of any other co-operative society or societies.(3)A Co-operative Society may, with the permission of Registrar, purchase shares of any co-operative society of all India character to which the Multi Unit Co-operative Societies Act, 1942 (Act No. 6 of 1942) or any other enactment pertaining to Co-operative Societies of all-India character applies:Provided that the Registrar shall not refuse permission unless there be special reasons which shall be recorded, to refuse such permission.(4)Any Central Co-operative Bank or the Uttar Pradesh Co-operative Bank may invest the amount excluding the amount to be kept by way of legal liability in profitable items subject to the norms and conditions laid down by Reserve Bank of India or National Bank for Agriculture and Rural Development.]
