Section 37 in The Karnataka Souharda Sahakari Act, 1997
37. Action on inquiry Report.
- [The Registrar] [Substituted by Act 21 of 2004 w.e.f. 31.3.2004.] , after such inquiry, if satisfied that any or all of the office bearers or directors or Chief Executive is or are responsible for any payment contrary to the Act, rules or the bye-laws and has or have caused loss or deficiency in the assets of the Co-operative by breach of trust or negligence or has or have misappropriated or fraudulently retained any money or property belonging to such Co-operative, without prejudice to any civil or criminal proceedings to which they may be liable, may direct the board to convene the general meeting within such reasonable time as or the Registrar, specify to discuss the findings of the inquiry report and for initiating necessary action against the concerned. [The general body if fails to initiate action against culprits and Registrar shall issue direction to take action against the culprits, and follow up action till the defects are rectify.] [Inserted by Act 34 of 2014 w.e.f. 06.09.2014.]
