Section 41(1) in The Bihar Co-operative Societies Act, 1935
(1)In the opinion of Registrar, the Managing Committee of any registered society, in which the economic interest of the Government is apparently clear, is mismanaging the affairs of the registered society or is persistently making default or is negligent in the performance of the duties imposed on it by this Act, the Rules or the bye laws, he may, after giving opportunity to the managing committee to state its objection if any and after obtaining opinion within twenty one days from the chief executive of the affiliating Federation/ Society, by order in writing' suspend the Managing Committee for a period not exceeding six months. During the period of suspension the Managing Committee of the registered society shall there upon cease to function. Registrar shall appoint, any Government Servant a special officer to conduct the affairs of the society and shall fix his duties and liabilities.Provided that the suspended managing committee, if not reinstated earlier shall resume functioning immediately after six months. The "period under suspension shall count towards its term."
