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Expulsion of a Member from a Co-operative Society: Procedure and Considerations


 

Introduction: The expulsion of a member from a co-operative society is a serious step that is taken when a member's actions or behavior are in violation of the society's rules and regulations. It is a decision that requires careful consideration, adherence to legal requirements, and a fair process. In this blog post, we will delve into the procedure for expelling a member from a co-operative society, the reasons for expulsion, and the implications involved.

1.    Reasons for Expulsion: Expulsion may be considered when a member's actions:

·       Violate the society's bye-laws or code of conduct.

·       Jeopardize the society's integrity, reputation, or functioning.

·       Disrupt harmony within the society or hinder its objectives.

·       Involve fraudulent, illegal, or unethical activities.

2.    Initiating the Expulsion Process: The process of expelling a member typically involves the following steps:

·       Complaint or Allegation: A complaint or allegation against the member's conduct is brought to the attention of the society's managing committee.

·       Preliminary Inquiry: The managing committee conducts a preliminary inquiry to determine if the allegations have merit and if they warrant further action.

3.    Formal Complaint and Show Cause Notice: If the managing committee finds grounds for expulsion, a formal complaint is lodged against the member. The member is issued a show cause notice, outlining the allegations and giving them an opportunity to respond within a specified timeframe.

4.    Member Response and Committee Decision: The member's response to the show cause notice is considered by the managing committee. After careful evaluation, the committee decides whether to proceed with the expulsion process.

5.    General Body Meeting: If the managing committee decides to pursue expulsion, the matter is presented to the society's general body during a special general body meeting. The member in question has the right to attend the meeting and present their case.

6.    Voting and Decision: The general body votes on the matter, and a specific majority, as outlined in the society's bye-laws or the Co-operative Societies Act, is required for the decision to expel the member to be approved.

7.    Appeals and Reconsideration: If the member is expelled, they may have the right to appeal the decision. Some societies may also provide provisions for reconsideration if new evidence or information comes to light.

8.    Communication of Decision: The member is informed of the expulsion decision in writing. The decision should include the reasons for expulsion and the effective date of expulsion.

9.    Transfer of Rights and Assets: Upon expulsion, the member's rights, shares, and assets in the society may need to be transferred or dealt with as per the society's bye-laws and relevant legal provisions.

10. Legal Compliance: The entire expulsion process should adhere to the legal requirements stipulated in the Co-operative Societies Act and other relevant laws.

Conclusion: The expulsion of a member from a co-operative society is a significant decision that must be approached with fairness, transparency, and adherence to due process. By following a structured procedure, societies can ensure that the interests of the society and its members are protected while upholding the principles of justice and accountability.

ADV LEENA KAULGEKAR

 


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