Section 53 in The Chhattisgarh Co-Operative Societies Act, 1960
53. Supersession of committee.
- [(1) If in the opinion of the Registrar, the Board of Directors of any Society -(a)is in persistent default; or(b)is negligent in the performance of the duties imposed on him/her by or under this Act or bye-laws of the Society or by any lawful order passed by the Registrar or is unwilling to perform such duties; or(c)commits acts which are prejudicial to the interest of the Society or its members; or(d)violates the provisions of this Act or rules made thereunder or bylaws of the Society;the Registrar may, by order in writing, remove the Board of Directors and appoint an administrator to manage the affairs of the society for a specified period, which shall not exceed six months and in case of a Cooperative Bank one year:Provided that, the Board of Directors of any such Co-operative Society shall not be superseded or kept under suspension, where there is no Government shareholding or loan or financial assistance or any guarantee by the Government:Provided further that, in case of a Co-operative Bank, the order of supersession shall not be passed without previous consultation with the Reserve Bank:Provided also that, if no communication containing the views of the Reserve Bank, on action proposed is received within thirty days of the receipt by that Bank of the request soliciting consultation, it shall be presumed that the Reserve Bank agrees with the proposed action and the Registrar shall be free to pass such order as may be deemed fit.] [Substituted by C.G. Act No. 8 of 2015, dated 26.3.2015.](2)No order under sub-section (1) shall be passed unless a list of allegations, documents and witnesses in support of charges leveled against it has been provided and the committee has been given a reasonable opportunity of showing cause against the proposed order and representation, if any, made by it, is considered,(3)[ No such order shall remain in force for more than six months, and one year in case of Co-operative Banks.] [Substituted by C.G. Act No. 6 of 2013, dated 13.2.2013.](4)The person or persons so appointed, shall subject to the control of the Registrar and to such instructions as he may, from time to time, give, have power to exercise all or any of the powers and to discharge all or any of the functions of the committee or of any officer of the society, and to take all such actions, as may be required in the interest of the society.(5)The Registrar may fix the remuneration payable to the person or persons so appointed. The amount of such remuneration and other costs, if any, incurred in the management of the society shall be payable from its funds.(6)The person or persons so appointed shall, before the expiry of the period of his or their appointment, arrange the constitution of a new committee in accordance with the bye-laws of the society:Provided that where the Board of Directors of a co-operative credit structure has been superseded, the person so appointed shall arrange for the constitution of new Board of Directors in accordance with the bye-laws of the society within two months, and if the Registrar has extended the period under the first proviso to sub-section (1), the person so appointed shall arrange the constitution of new Board of Directors within the extended period.(7)Before taking action under sub-section (1) in respect of a financing Bank or in respect of a society indebted to a financing bank, the Registrar shall consult, in the former case, the Chhattisgarh State Co-operative Bank Limited and, in the latter case, the financing bank concerned, regarding such action. If the Chhattisgarh State Co-operative Bank Limited or the financing bank, as the case may be, fails to communicate its views within forty five days of the receipt by such bank of the request soliciting consultation, it shall be presumed that the Chhattisgarh State Co-operative Bank Limited, or the financing bank concerned, as the case may be, agreed with the proposed action.(8)Notwithstanding anything contained in Sections 48, 49 and 50, if there is a difference of opinion between the general body of society and the person or persons appointed under sub-section (1) in respect of any matter, it shall be referred to the Registrar for decision and his decision thereon shall be final :Provided that if the Registrar fails to take any decision within three months of the general body meeting, the decision of the general body of the society shall prevail.(9)Nothing in this section shall be deemed to affect the power of the Registrar to direct the winding up of the society.(10)During the period between the issuance of notice and the passing of an order removing the committee, the committee may be required by the Registrar to function under the supervision, and with the approval of such authority as the Registrar may specify in this behalf and no order made or resolution passed or any other act performed by the committee, shall be effectual unless it is approved by such specified authority :Provided where the Registrar, while proceeding to take action under sub-section (2), is of the opinion that the supersession of the committee during the period of proceeding is necessary in the interest of the society he may suspend the committee, which shall thereupon cease to function and make such arrangement as he thinks fit, of the affairs of the society till the proceedings are completed and order issued under sub-section (1):Provided further that the period of suspension shall not exceed six months and on the expiry of said period the suspension of the Committee shall stand revoked :Provided also that, if the committee so suspended, is not superseded after undergoing the proceeding mentioned above, it shall be re-instated and the period during which it has remained suspended shall not count towards its term :Provided also that no order of suspension shall be made unless the committee of the society has been given a reasonable opportunity of being heard.[***] [Omitted '(11)' by C.G. Act No. 8 of 2015, dated 26.3.2015.](12)When a committee of a society has been superseded under sub-section (1) any member of the committee, notwithstanding anything contained in this Act, rules made thereunder or bye-laws of the society, shall not be eligible for contesting the election as a member of the committee nor he shall be eligible for co-option or nomination in that society for a period of seven years :Provided that nothing in this sub-section shall apply to a member of the committee of a society who was not a party of such a decision of the committee which led to the supersession of it.[***] [Omitted '(13)' by C.G. Act No. 6 of 2013, dated 13.2.2013.][***] [Omitted '(14)' by C.G. Act No. 8 of 2015, dated 26.3.2015.]
