Keyword(s):
Apex Society, Central Society, Co-Operative Arbitration Court, Co-Operative
Service Examination, Primary Agricultural Credit Society, Primary Credit
Society, Primary Co-Operative Agricultural and Rural Development Bank
Amendments appended: 38 of 1971, 8 of 1974, 29 of 1986, 19 of 1987, 7 of
1988, 5 of 1992, 16 of 1993, 6 of 1995, 9 of 1997, 1 of 2000, 3 of 2002, 16 of
2004, 9 of 2009, 7 of 2010, 13 of 2012, 8 of 2013

THE KERALA CO-OPERATIVE SOCIETIES ACT, 1969[1]
(Act 21 of 1969)
An Act to consolidate, amend and unify the laws relating to Co-operative Societies
in the State of Kerala.
[2] [“Preamble.—WHEREAS with a view to provide for the orderly development of the
Co-operative sector the State, by organizing the Co-operative societies as self governing
democratic institutions, to achieve objects of equity, social justice and economic
development, as envisaged in the directive principles of State Policy of the Constitution
of India, it is expedient to consolidate, amend and unify the law relating to co-operative
societies in the State.;”]
BE it enacted in the Nineteenth Year of the republic of India as follows:-

CHAPTER I
Preliminary

  1. Short title, extent and commencement.-(1) This Act may be called the Kerala Cooperative Societies Act, 1969.
    1)It extends to the whole of the State of Kerala.
    2)It shall come into force on such date as the Government may by notification in the
    Gazette, appoint:
    Provided that different dates may be appointed for different provisions of this Act and
    any reference in any such provision to the commencement of this Act shall be construed
    as a reference to the coming into force of that provision.
    2.Definitions.-In this Act, unless the context otherwise requires—

a) “apex society” means a society having the whole of the State as its area of
operation and having as its members only other societies with similar objects and
declared as such by the Registrar;
b)“bye-laws” means the registered bye-laws of a co-operative society for the time
being in force;

c)“circle cooperative union” means a circle co-operative union constituted under section 88;
[3][“(d). “central society” means a society having jurisdiction over one or more
Revenue Districts but not the whole of the State as its area of operation; and having as its
members only other societies and declared as such by the Registrar or the Government;”]
e)“committee” means the governing body of a co-operative society by whatever
name called, to which the management of the affairs of the society is entrusted;
[4][“ [5][(ea)] “ Co-operative Arbitration Court” means a court constituted under
section 70A;”;]
[6][“(eb) “Consortium Lending Scheme” means the consortium Lending Scheme
framed under section 57C;
(ec) “Co-operative Development and Welfare Fund” means the Co-operative
Development Welfare Fund established under section 57A;
(ed) “Co-operative Service Examination Board” means the Co-operative Service
Examination Board constituted under section 80B;”; ]
(f)“co-operative society” or “society” means a co-operative society registered or
deemed to be registered under this Act;
(g)“co-operative society with limited liability” means a society in which the liability
of its members for the debts of the society in the event of its being wound up is limited by
its bye-laws-
(i)to the amount, if any, unpaid on the shares respectively held by them; or
(ii) to such amount as they may, respectively undertake to contribute to the assets of
the society;
(h)“co-operative society with unlimited liability” means a society, the members of
which are, in the event of its being wound up, jointly and severally liable for and in
respect of all its obligations and to contribute to any deficit in the assets of the society::
[7][“(ha) Deposit Guarantee Scheme” means the Deposit Guarantee Scheme framed
under section 57 B;
(hb) “Director of Co-operative Audit” means the Director of Co-operative Audit
appointed under sub section (1) of section 63 and includes any office on whom all or any
of the powers of the Director of Co-operative Audit under this Act are conferred;”;]
(i)“dispute” means any matter touching the business, constitution, establishments
or management of a society capable of being the subject of litigation and includes a claim
in respect of any sum payable to or by a society whether such claim be admitted or not;
[8] [ “ [9] [(ia)] “District Co-operative Bank” means a central society having
jurisdiction over one revenue district and having as its members Primary Agricultural
Credit Societies and Urban Co-operative Banks and the principal object of which is to
raise funds to be lent to its members, including nominal or associate members;”;]
[10][“(ib) “Federal Co-operative Society” means a society having more than one
district as its and operation and having individuals and other co-operative societies as its
members;”; ]
(j) “financing bank” means a co-operative society having as its members only
other co-operative societies and the main object of which is to raise money and lend the
same to its members;
(k) “general body meeting” means a meeting of the members who are entitled to
vote in the affairs of the society;
(l) “member “ means a person joining in the application for the registration of a
Co-operative society or a person admitted to membership after such registration in
accordance with this Act, the rules and the bye-laws, and includes a nominal or associate
member;
(m) “nominal or associate member” means a member who possesses only such
privileges and rights of a member and who is subject only to such liabilities of a member
as may be specified in the bye-laws;
(n) “officer” means the president, vice-president, chairman, vice chairman,
secretary, manager, member of committee or treasurer and includes a liquidator,
administrator and any other person empowered under the rules or the bye-laws to give
directions in regard to the business of a co-operative society;
(o) “prescribed” means prescribed by rules made under this Act;
[11] [“(oa) “Primary Agricultural Credit Society” means a Service Co-operative
Society, a Service Co-operative Bank, a Farmers’ Service Co-operative Bank and a Rural
Bank, the principal object of which is to undertake agricultural credit activities and
having its area of operation confined to a Village Panchayat or a Municipality:
Provided that the restriction regarding the area of operation shall not apply to Societies
or Banks in existence at the commencement of the Kerala Co-operative Societies
(Amendment) Act, 1999;”.]
[12][“ [(ob)’] [13] [“primary credit society” means a society other than an apex or
central society which has as its principal object the raising of funds to be lent to its
members;”;]
[14][ “(oc) “Primary Co-operative Agricultural and Rural Development Bank”
means a society having its area of operation confined to a taluk and the principal object of
which is to provide for long term credit for agricultural and rural development activities:
Provided that the societies in existence at the commencement of the Kerala Cooperative Societies (Amendment) Act, 1999, having more than one taluk as its area of
operation shall, restrict such area of operation to the taluk where the headquarter of such
society is situated, within a period of six months]
(p) “Registrar” means the Registrar of Co-operative Societies appointed under subsection (1) of section 3 and includes any person on whom all or any of the powers of the
Registrar under this Act are conferred;
(q) “rules” means the rules made under this Act;
[15][“(qa) “Scheduled Castes” means the Scheduled Castes in the State of Kerala as
specified in the Constitution (Scheduled Castes) Order, 1950;]
[16][ “(qb) “Scheduled Tribes” means the Scheduled Tribes in the State of Kerala as
specified in the Constitution (Scheduled Tribes) Order, 1950;”].
(r) “State” means the State of Kerala;
[17][“(ra) “State Co-operative Agricultural and Rural Development Bank” means
an apex society having only Primary Co-operative Agricultural and Rural Development
Banks as its members and functioning in accordance with the provisions contained in the
Kerala State Co-operative Agricultural and Rural Development Banks Act, 1984 (20 of
1984);]
(rb) “State Co-operative Bank” means an apex society having only District Cooperative Banks as its members;
(rc) “State Co-operative Election Commission “means the State Co-operative
Election commission constituted under section 28B;”;
(s)State Co-operative Union” means the State Co-operative Union established under
section 89;
(t)“Tribunal” means the Tribunal constituted under section 81;
[18] [ “(ta) “Urban Co-operative Bank” means a society registered under this Act
having its area of operation in the urban areas and which undertakes banking business;
(tb) “Vigilance Officer” means the Vigilance Officer appointed under section
68A;”.]
(u)“year means the period commencing on the [19][“ first day of April of any year
and ending with 30st of March”] of the succeeding year or in the case of any registered
society or class of registered societies, the accounts of which are made upto any other
date with the previous sanction of the Registrar, the year ending with such date.]