Section 115 in West Bengal Co-operative Societies Rules, 2011
115. Manner of recalling a loan not utilized for proper purpose.
(1) Where the Board of a society has reasonable cause to believe that a member has not utilized a loan for the purpose for which it was advanced, the society may, by a notice, direct the member to show cause, within such time as may be specified in the notice, why the loan shall not be recalled, and where no cause is shown to the satisfaction of the society within the time specified, the society :(a)may recall the loan; and(b)if the loan is not refunded immediately on recall shall apply to the Registrar for an award under section 139 in order to recover the loan.(2)where cause is shown, the society may after holding an enquiry and giving such member an opportunity of being heard, take such decision as it may consider expedient.
