Section 15 in The Tamil Nadu Co-Operative Societies Act, 1983
15. Transfer of assets and liabilities among registered societies.
(1)Two or more registered societies may, at meetings of their respective general bodies specially called for the purpose, of which at least fifteen clear days notice shall be given to their respective members, resolve to effect in whole or in part a transfer among themselves of their respective assets and liabilities. The said resolution is hereafter in the section referred to as the preliminary resolution.(2)(a)A copy of the preliminary resolution of each society shall be sent to all its members and creditors.(b)Any member of any such society may notwithstanding any bye-law to the contrary, within a period of one month from the date of receipt by him of the preliminary resolution, intimate his intention to withdraw his share or interest in the capital and other moneys due to him from the society, by notice given to the society of which he is a member.(c)Any creditor of any such society may, notwithstanding any agreement to the contrary, within a period of one month from the date of receipt by him of the preliminary resolution, intimate his intention to demand a return of the amount due to him, by notice given to the society of which he is a creditor.(3)After expiry of two months from the date of despatch of the preliminary resolution to all the members and creditors of all the societies, a meeting of the general body of each society of which at least fifteen clear days' notice shall be given to its members, shall be convened for considering the preliminary resolution. If, at such meeting the preliminary resolution is confirmed by a resolution passed by a majority of not less than two-third of the members present and voting, either without changes or with such changes as, in the opinion of the Registrar, are not material, he may, on receipt of a copy of such resolution certified in the manner prescribed, accord his approval for the transfer of the assets and liabilities among the societies.The opinion of the Registrar as to whether the changes made in the preliminary resolution are, or are not, material shall be final.(4)At the meeting referred to in sub-section (3), provision shall be made by another resolution for-(a)the re-payment of the share or interest in the capital and other moneys due to all the members who have given notice under clause (b) of sub-section (2); and(b)the satisfaction of the claims of all the creditors who have given notice under clause (c) of sub-section (2):Provided that no member or creditor shall be entitled to such re-payment or satisfaction until the preliminary resolution is confirmed as provided in sub-section (3).(5)(a)If the Registrar is satisfied that provision for re-payment of the share capital of all the members and for the satisfaction of the claims of all the creditors referred to in sub-section (4) has not been made, he may refuse to accord his approval for the transfer of the assets and liabilities among the societies.(b)Any transfer of the assets and liabilities of the societies under this section without the approval of the Registrar under sub-section (3) shall be null and void.(6)The confirmation of the preliminary resolution under sub-section (3) shall, on approval by the Registrar, be a sufficient conveyance to vest in the societies concerned the assets and liabilities transferred under this section.
