SAHAKARA SINDHU
Department Of Cooperation, Government of Karnataka

KARNATAKA  CO-OPERATIVE SOCIETIES ACT 1959, SECTION.64

1) When Inquiry under section 64 is ordered?

    When the Registrar/auditor finds doubts or defects in the matter specified  the constitution working/financial condition of a co-operative  society      
 section 64 can be ordered.

2)  Who  orders inquiry under section 64 ?

         The Registrar or Registrar of the concerned jurisdiction orders section.64.

  3)Who are the eligible persons to be appointed as inquiry officer by the Registrar?

       Employee of the co-operative department or retired  knowledgeable person   can be ordered as an inquiry officer.

4) Under  which circumstances inquiry under section 64 can be held?

       1.Co-operative society to which the society concerned is affiliated
       2.a majority of the members of  the committee of the society or
       3. not less than one-third of the total number of the members of the members of the society.   

5)What is the maximum stipulated period for completing the inquiry?

    An inquiry should  be completed within a period  of  twelve months.

6) How long  the registrar can  extend after stipulated  period ?

    Registrar  (for the reasons to be recorded in writing) extend for a period of six months.    
 

7) What are the powers given to the Registrar or the person  authorised  by the registrar for the purpose of inquiry?

  a) An inquiry officer at all times, have free access to the books,accounts,documents,securities,cash  and  other properties belonging  to or in the custody of the society and may summon any person in possession or responsible for the custody of any such  books,accounts, documents,securities,cash or other properties to produce the same at any public office at the headquarters of the society or any branch thereof.

b) An inquiry officer may summon any person who, he has reason to believe has knowledge of any of the affairs of the society to appear before him at public office at the headquarters of the society or any branch thereof and may examine such person on oath. 

8)What is the maximum stipulated period for completing the inquiry?

          a) An inquiry officer may, notwithstanding  any rule or byelaw specifying the period  of  the  notice for a general meeting of the society, require the (office  bearers) of the  society to call a general meeting at such time and place at the headquarters  of  the  society or any branch thereof and to determine such   matters as may be  directed by him and where the (office-bearers) of the society refuse or fail to  call such meeting he shall have power to call it       himself.

9)Is quorum necessary for the general meeting called by th inquiry officer?

         Any meeting called by the inquiry officer for the purpose of an inquiry  shall  have the powers of the general meeting called under the bye-law of the  society and its proceeding shall be regulated  by such bye-law except that no  quorum shall be necessary for such meeting.

10) Whom the inquiry report is to be communicated?

   When an inquiry is made under this section the Registrar shall communicate  the result of the inquiry to the society and to the co-operative society,if any   to which that society is affiliated (and also to the Director of Co-operative Audit).

KARNATAKA  CO-OPERATIVE SOCIETIES ACT 1959, SECTION.65

1)When section 65 is ordered?

    The Registrar may of his own motion or on the application of a creditor of  a  co-operative society,inspect or direct any person authorised by him by      order in writing in this behalf, to inspect the books of the society.

2)Who  orders inspection under section 65 ?

     The Registrar or Registrar of the concerned jurisdiction can order  section.64.

3)Under which circumstances section.65 inspection  held?
                    

 Section 65 can be ordered when the applicant:-

1. satisfies the Registrar that the debt is a sum then due and that he has demanded payment thereof and has not received satisfaction within a              reasonable time  and
2. deposits with the Registrar such sum as security for the costs of the proposed  inspection as the Registrar may require.

4) whom the inspection report should be communicated?

   The Registrar shall communicate the results of any such inspection to the Director of co-operatie Audit and
            (a) Where the inspection is made of his own motion to the society and
            (b) where the inspection is made on the application of a creditor to the creditor and the society.