Cooperative Movement: Subject-Rural Development
Cooperative Movement: Subject-Rural Development
Cooperative Movement: Subject-Rural Development
RBI Act 1934, Banking Regulation Act 1949. Review the existing cooperative laws and practices.
PARALLEL
COOPERATIVE 1. From the ninth plan onwards 9 states enacted parallel cooperative act to enable and ensure
LEGISLATION autonomous and democratic functioning of cooperatives.
MULTI STATE
COOPERATIVE 1. The Multi-State Cooperative Societies (MSCS) Act, 1984 was modified in 2002 relating to the Model
SOCIETIES ACT, 2002 cooperatives act.
NATIONAL
COOPERATIVE 1. OBJECTIVE is to facilitate all round development of cooperatives in the country.
POLICY(2002) 2. Task force by ministry of cooperation suggested a single law. No involvement of MPs or MLAs.
THE COMPANIES
AMENDMENT ACT,
2002 1. It gave the idea about the cooperative enterprises which is an alternative for institutional form.
COOPERATIVE EDUCATION
Degree of success in cooperative organization is determined by awareness of the members
towards rights and responsibilities.
Each member should know his right and should be willing to exercise his right so that the
organization may maintain true democratic character.
Commission on Cooperative Principles classified into four groups which are to be brought under
cooperative education.
a) One Man-one Vote Unique to • In the case of private and public sectors, the ultimate decision makers in
Cooperatives cooperatives are member-shareholders.
c) Member participation to be •Cooperative is formed to meet the needs of a group of people, the
monitored and managed organization has to fully understand the implications of meeting the needs.
e) Leadership based on
•Leadership is any business organisation needs entrepreneurial qualities. The
entrepreneurial and representational
role of leadership changes at different stages of the organisation’s life cycle.
abilities
f) Conferring intangible benefits on • Intangible benefits can be conferred through investments in good education,
shareholder members medical and other infrastructural development.
COOPERATION ACTIVITIES
CREDIT ACTIVITIES
Organised cooperatives consisting of members working for ameliorating the conditions of the
rural poor through integrated rural development approach would magnificently create social
consciousness merely inhibiting democratic ideas, sense of social responsibility and
amalgamating poverty stricken groups to mobilize their talent and leadership for rural
reconstruction cutting across the constructional stratifications in the society.
COOPERATIVES AND RURAL DEVELOPMENT
1. Need for Cooperatives in Rural Development
A
cooperative
has better
intimate
knowledge
Federal in
of the local
situation in character to
which it enable the It is capable
operates. individual of Cooperative
member in a identifying
has horizontal
village the small
producers and vertical
society to It is nearer
who need linkages so
avail services to the
help on that it could
of a people and
priority provide
federation. hence
basis. integrated
appreciate
services.
their needs
2. Cooperative Programmes
Some of the cooperative programmes for the rural development are discussed below:
•Majority of rural women in India are still illiterate, engaged in unorganized and activities
in agricultural and allied sectors.
3
•Exclusive women's cooperatives were organized and wherever, these cooperatives have
been successful, it has helped to improve the economic condition and social status of
4 women.
•In the year 1990 there were 5478 women primary cooperative societies with a total
membership of 3,43,404. The paid up and working and capital was Rs.67.3 crores and the
5 business operation of these societies were to the tune of Rs. 28.6 crores.
FUNCTION OF THE COOPERATIVE DEPARTMENT
Power of Registration
• The Registrar is empowered to register a cooperative under the Cooperative Societies Act and the cooperative cannot
formally start functioning unless it is registered by the Registrar or any other officer duly authorized by him in his behalf. The
Registrar issues a registration certificate under his seal and signature.
Power of Audit
• The Registrar in most States is having the powers to get the accounts of a cooperative audited by the staff appointed for the
purpose. In certain States like U.P. audit is independent of the Registrar of Cooperative Societies.
Power of Arbitration
• The Registrar has got powers to decide a dispute referred to him or to an officer duly authorized by him.
Power of Winding up Power of Winding up
• The Registrar has the power to order for winding-up of a cooperative and appoint to a liquidator subject to the right of the
cooperative concerned for making an appeal to the Same Government.
Powers of Inspection, Enquiry and Control
• Registrar or a person duly authorized by him can inspect any cooperative and can make enquiry into the financial status of a
cooperative. The Registrar has also the powers to supersede the management of a cooperative if on enquiry it is found that
the operations of the cooperative are detrimental to the interests of the members.
Powers to issue corrective directives
• The Registrar has been empowered to take corrective measures under the Act and Rules in cases where he considers
necessary and expedient in the interest of a cooperative in particular and cooperative movement in general.
ROLE OF VOLUNTARY ORGANIZATION IN COOPERATIVE DEVELOPMENT
Organization Of Women Cooperatives For Rural Women
Cooperatives:
Cooperatives will give them joint
bargaining power for better wages development will be necessary.
and save them from other
exploitation.
4. Cooperative extension/education
services and other social
developmental services could be
extended to such women groups.
NATIONAL COOPERATIVE DEVELOPMENT CORPORATION
Serious inadequacies
in governance
including that related
to Boards roles and
responsibilities.
Inability to ensure
A general lack of
active membership,
recognition of
speedy exit of non-
cooperatives as
user members, lack
economic institutions
of member
both amongst the
communication and
policy makers and
awareness building
public at large.
measures.
Politicization and
excessive role of the
government chiefly arising
out of the loop holes and
restrictive provisions in
Lack of cost the Cooperative Acts.
competitiveness
arising out of issues
such as overstaffing, Inability to attract
a general top-down and retain competent
approach in forming professionals.
cooperatives
including the tiered
structures. Lack of efforts for
capital formation
particularly that
concerning enhancing
member equity and
member stake.
AMENDMENT TO THE CONSTITUTION
Supersession of Board of
Election of members of Board Directors
Those who come together have a common economic aim which they cannot
achieve by individual isolated action because of the weakness of the economic
position of a large number of them”.