Section 391 in The U.P. Co-operative Societies Rules, 1968
391.
(a)The Registrar may, under sub-section (2) of Section 123, fix the amount of contribution to be paid by a co-operative society or class of co-operative societies towards expenditure in respect of supervision of the societies and where such contributions (hereinafter referred as supervision fees) are to be paid by a co-operative society affiliated to a Central Co-operative Bank, the Registrar may order the bank to pay supervision fees on behalf of the affiliated society, whereupon the bank shall pay such fees.(b)Where a Central Co-operative Bank pays under sub-rule (a) supervision fees on behalf of a co-operative society affiliated to it, such bank shall be entitled to recover the same from the affiliated society subject to the conditions laid down below:(i)No supervision fees shall be charged from a society the owned capital of which was less than sixty per cent of its working capital on 30th June last:Provided that the Registrar may, by order and for reasons to be recorded permit for such a period as he may specify in the order, recovery of supervision fees from society, the owned capital of which is not less than thirty per cent of its working capital;(ii)the rate of supervision fees to be charged shall not exceed one-twentieth of the interest earned by such society during the preceding co-operative year; and(iii)the amount charged shall not exceed that sum paid by the bank.(c)The Registrar may, for reasons to be recorded, grant total or partial exemption from the payment of supervision fees levied against any co-operative society or class of co-operative societies; whereupon the amount exempted shall not be recovered by the bank.
