Section 56 in Karnataka Co-Operative Societies Act, 1959
56. Funds not to be divided.
- No part of the funds other than the net profits of a co-operative society shall be paid by way of bonus or dividend or otherwise distributed among its members:Provided that a member may be paid such remuneration, allowances or honoraria on such scale as may be laid down by the bye-laws for any services rendered by him to the co-operative society.[Provided further that no member shall be paid travelling allowance, daily allowance or such other allowances or fees for attending meetings of the committees or for performing any other functions as member at a rate higher than the maximum rate prescribed for the purpose, and different rates may be prescribed for different classes of co-operative societies or for different purposes.] [Inserted by Act 39 of 1975 w.e.f. 23.09.1975.]
