Section 18 in The Meghalaya Co-operative Societies Rules
18. The manner of recalling a loan not utilised for the purpose for which advanced.
- When the managing body of a co-operative society is convinced or has reason to believe that a member has not utilised a loan fully or in part for the purpose for which it was advanced it may by a written notice, direct the member-(1)to show cause within a reasonable time specified in the notice why the loan shall not be recalled ;(2)where no cause is shown to the satisfaction of the society within the specified period, the managing body may recall the loan and if the loan is not refunded immediately it shall apply to the Register for an award under Section 70 in order to recover the loan.
