The Multi-State Cooperative Societies (Amendment) Bill, 2022 passed by the lok sabha on 25th July, 2023. It brings significant amendment in the Multi State Cooperative Societies Act (MSCS Act), 2002. The Multi-State Cooperative Societies Act,1984 was replaced by the 2002 Act on the recommendation of the Committee under the Chairmanship of Choudhary Brahm Perkash.

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The new Amendment in the Multi-State Cooperative Societies Act

The amendment substituted Section 45 of the Act and introduced the Cooperative Election Authority to conduct and supervise elections, direct, and control the preparation of electoral rolls, and perform other prescribed functions.. The Authority shall be appointed by the Central Government on recommendation of a Selection Committee. In addition, if one third vacancies are created in the board a provision has been made to hold elections again for the vacant post. The chairman, vice chairman and members of the committee will be required to call board meeting in once in 3 months. In order to bring transparency in the governance of the cooperative society a provision has been made to give majority to the equality shareholders. The Bill also provides for the reservation to one scheduled caste or scheduled tribe and one woman in the committee which will increase representation of this section in the committee. The Bill allows state co-operative societies to merge into an existing multi-state co-operative society, subject to the respective state laws.  At least two-thirds of the members of the co-operative society present and voting at a general meeting must pass a resolution to allow such a merger.

Constitution (Ninety Seventh Amendment) Act and Multi-State Cooperative Societies