BYE – LAWS
OF
DCCB YAMUNA NAGAR

NAME AND ADDRESS 1. The Society shall be called the Yamuna Nagar Central coop, Bank Ltd. It shall be referred to herein after in these Bye- Laws the bank. Its registered office shall be at Yamuna Nagar.
AREA OF OPERATION
2. The area of operation of the Bank shall extent over whole of the Distt. Yamuna Nagar.
OBJECTS
3. The objects of the bank shall be to facilitate the operation of the affiliated co-operative societies in particular and its other constituents in general. In persuance of this object, the Bank may in addition to the business of banking, engage in any one or more of the following forms of business, namely ;-
a) The borrowing, raising or taking up of money, the lending or advancing of money either upon or without security, the drawing making, accepting, discounting, buying, selling, collecting and dealing in bills of exchange, hoondees, promissory notes, coupons, drafts, bills of lending railway receipts, warrants, debentures, certificates, scripts and other instruments, and securities whether transferable or negotiable or not ; the granting and issuing of letters of credit travelers cheques and circular notes, debit cards, credit cards, ATM etc. The buying selling and dealing in bullion and specie, the buying and selling of foreign exchange including foreign bank notes, the acquiring holding, issuing on commission underwriting and dealing in stock, funds, shares, debentures, debentures stock bonds obligations securities and investments of all kinds, of purchasing and selling of bonds ,scripts or other forms of securities on behalf of constituents of others, the negotiating of loans and advances the receiving of all kinds of bonds, scripts or valuable on deposit safe custody or otherwise the providing of safe vaults the collecting and transmitting securities;
b) Acting as agents for any Govt. or local authority or any other person or persons, the carrying on of agency business of any description including the clearing and forwarding of goods giving receipts and discharges and otherwise acting as an attorney on behalf of customers; c) Contracting for public and private loans and negotiating and issuing the same;
d) The effecting insuring, guaranteeing, participating in managing and carrying out of any issue, public or private, of State, municipal or other loans or of shares, stock debentures or debenture stock of any company, cooperative society, corporation or association and the lending of money for the purpose of any such issue;
e) Carrying on and transacting every kind of guarantees and indemnity business;
f) Managing, selling and realising any property which may come in to the possession of the cooperating bank in satisfaction or part satisfaction of any of its claims;
g) Acquiring and holding and generally dealing with any right title or interest in any such property which may forms the security or part of the security for any loans and advances or which may be connected with any such security;
h) Undertaking and executing trusts
I. Undertaking the administration of estates as executor, trustee or otherwise;
j) Establishing and supporting or aiding in the establishment and support of associations, institutions, funds, trusts
and convenience calculated to benefit employees or ex-employees of the cooperative bank of the dependent or connection of such persons granting pensions and allowances and making payments towards insurance, subscribing to or guaranteeing money for charitable or benevolent objects for any exhibition or for any public, general or useful object.
k) The acquisition, construction, maintenance and alteration of any building or works necessary or convenient for the purpose of the cooperative bank;
l) Selling, improving, managing, developing, exchanging, leasing ,mortgaging, disposing of or turning in to account or otherwise dealing with all or any part of the property any rights of the cooperative banks.
m) Acquiring and undertaking the whole or any part of the business of any person or company or cooperative society, when such business is of a nature enumerated or described in this subsection;
n) doing all such other things as are incidental or conductive to the promotion or advancement of the business of the Cooperative Bank.
o) Any other form of business which the Central Govt. may by notification in the Official Gazette, specify as a form of business in which it is lawful for a Cooperative Bank to emerge;
p) To make arrangements for supervision and inspection of the affiliated Cooperative societies; and
q) To undertake such other measure as are conductive to the attainments of its objects and spread of cooperative education.

MEMBERSHIP

4. The membership of the Bank shall be open to:
i) Cooperative societies registered within the area of operation of the bank;
ii) the Government ;
iii) Such class or classes of persons or associations of persons as may be notified by the Govt. in this behalf. iv) Persons admitted as nominal or associate member in accordance with the provisions of SEC.18 of the Haryana Cooperative Societies Act, 1984 as applicable to the State of Haryana provided that the associate or nominal members shall not be entitled to any share in any form what-so-ever in the assets or profits of the Bank. They shall also not incur any liability in the event of loss to the Bank. They shall also not have a right of vote in the affairs of the society.
5. Application for membership of the bank shall be addressed to the C.E.O. of the Bank. Every such application shall be disposed off not later than the expiration of a period of one month from the date of receipt of the application by the Manager. The Manager shall be competent to enroll a society as a member of the Bank subject to the confirmation of the Executive Committee in the next meeting.
The Applicant to whom admission is refused may appeal to the Registrar Cooperative Societies, Haryana, within 30 days of the communication of the decision, as provided in section 114 © of the Act.
6. A member of the bank may be expelled by a majority of two third of those present at a general meeting. For one or more of the following reason:-
i) If member persistently defaults in the payment of any sum due to the bank.
ii) If the member fails to observe the Bye-Laws without any reasonable cause;
iii) If the conduct of the member is contrary to the stated objects of the bank or is pre-judicial to the interests in and reputation of the Bank;
iv) If he is convicted for a criminal offence involving moral turpitude or dishonesty; and
v) If he has applied or declared as insolvent.
7. The membership of the bank shall stand terminated by:-
i) Cancellation on the registration of an affiliated society.
ii) Expulsion under Bye-Laws 7 above ;and
iii) By retirement of shares in full.
8. Every member shall hold at least one share of the value of Rs.100 each. Value of the share shall be payable by the members on admission, along with an admission of Rs.10/-
9. Every member shall, without payment of any fee be entitled to a specifying the share or shares held by him and the amount in respect their of. Such a certificate shall be signed by any two of the following:-
i) President of the Bank;
ii) Administrator of the Bank, if any;
iii) Managing Director of the Bank;
iv) Accountant of the Bank;
10. Except as provided in the Act, and the rules no Shares shall be withdrawn by any member, but shares may be transferred to a member. However in the case of societies under orders of winding up under Section 105 the C.E.O. may, on the request of the liquidator, dispose off the shares as he thinks fit.
11. A nominal or associate member shall not be required to hold any share. He shall, however, pay the admission fee only.

LIABILITY

12. The liability of a member for deficit in the assets of the bank in the event of its being wound up, shall be limited to the face value of the share or shares held by him.

CAPITAL

13. The authorised share capital of the Bank shall be Rs.15 crore made up of ordinary shares of the face value of Rs.100 each.

FUNDS

14. The Bank shall ordinarily obtain funds from the following sources:-
i) Share subscription and admission fee from the members;
ii) Deposits from members and non members;
iii) Loans and Subsidies from the Government;
iv) Loans from the Reserve Bank of INDIA & NABARD and nationalised banks, Haryana State Cooperative Apex Bank and such other banks as may be approved by the Registrar, Cooperative Societies.
v) Any other source as may be specified by the Registrar Cooperative Societies from time to time.

MAXIMUN CREDIT LIMIT

15. Unless specifically reduced by the Registrar, Cooperative Societies, the maximum credit of the Bank shall be 25 times its owned capital.

GENERAL BODY

16. The General Body of the bank shall consists of all its members including the Government nominees appointed on its Board of Director under section 29 of the Act.
However, in the case of a Cooperative Societies, the committee of which has been superceded by the Registrar, Cooperative Societies under Section 34 of the Act, the Administrator so appointed may nominate a representative to attend the General Meeting of the Bank, from amongst members of the society.
17. The General Meeting of the Bank shall meet from time to time, at least once a year.
18. The General Meeting of the Bank shall be convened by the Manager of the Bank under the direction of Board of Director of the Bank .
A General Meeting shall also be convened after the requisition for such a meeting signed by not less than one- third of the total members, exclusive of associate members is received by the Manager. If on the receipt of a requisition the Manager fails to call the general meeting with in 30 days the signatories of the requisition may refer the matter to the Registrar, who may summon the general meeting. The general meeting so convened shall transact only the business mentioned in the requisition. The Registrar, Cooperative Societies, may on his own nation may, at any time, summon the general meeting of the Bank.
19. At least 15 days clear notice, specifying the date, place, time and agenda of the general meeting shall be given to all members. The quorum for the general meeting shall be 1\5th of the total members or 30 whichever is less. If within one hour from the time for a general meeting quorum is not forthcoming, the Chairman of the meeting shall, if the meeting has been called on the requisition of the members, adjourn it and no further general meeting is convened on the strength of the requisition. If the General Meeting has been convened otherwise than on requisition, the Chairman shall postpone the meeting to a further date. A fresh notice for the subsequent General Meeting shall be given to all members. The business at the subsequent meeting may be transacted with the numbers of members present.
20. The President of the Board of Directors or in his absence Vice-President shall preside over the meeting of the General Body. In the absence of both of them the members present may elect a Chairman from amongst themselves to preside over the meeting.
21. All the members are entitled to attend the General Meeting through a duly authorised representative of the society, and each member shall have one vote only, irrespective of the number of Shares held expecting the Government where all its nominees shall attend the General Meeting and shall have one vote each.Associate members shall be entitled to attend the General meeting but they shall no right of voting.
22. Every resolution before the General Meeting shall be decided by the majority of voters of the members present. In the case of equality of votes, the Chairman shall have a casting vote.
23. A declaration by the President of any meeting that the resolution has been carried upon by a show of hands shall be conclusive unless immediately on such a declaration, re-counting of votes is demanded by at-least 15 members present in meeting.
24. The proceeding of the General Meeting shall be recorded a minute book to be kept for the purpose and shall be signed by the President
25. Unless otherwise provided in these Bye-Laws, the ultimate authority in all matters relating to the affairs of the Bank shall vest in the General Meeting.
26. Without prejudice to the general provisions of the proceeding bye-laws, the following among, other matters shall be dealt with by the General Meeting of Bank.
i) Audit report and the Annual report;
ii) Disposal of the net profits in accordance with Act, Rules and the Bye-Laws;
iii) Amendment or repeal of any existing by-law including adoption of new Bye-Laws;
iv) Expulsion of the members;
v) Approval of the programme of the activities of the Bank prepared by the Board of Director for the ensuing year.
vi) Any other matter which may be brought forward in accordance with the Bye-Laws.

BOARD OF DIRECTORS

27. The Board of Directors of the Bank shall be constituted in the following manner:-
I.
a) 7 Director to be elected by the Cooperative Agricultural credit/Service Societies holding shares in the Bank.
b) 3 Directors to be elected by the Cooperative Societies other than the Cooperative Agri. Credit/Service Societies, holding shares in the bank;
c) An officer of the Haryana State Cooperative Bank Ltd; nominated by the Board of Directors
d) Government nominee appointed under section 29 of the Act; and
e) Registrar or his nominee but such nominee shall only be from amongst the officers of the Cooperative Department.
II. Not with standing any-thing contained in class 1above if for any reasons election is not held for one or more of the zones, the Board of Directors consisting of such Directors as have already been elected and such of the Directors as nominated under sub clause ( c) ( e ) above all functions, provided these Directors constitute the quorum required for the meeting of the Board of Directors under the Bye-Laws and the election of the remaining Zone/Zones shall be held within six months from the date of the partially constituted Board commences functioning.
28. Not with standing anything contained in the proceeding Bye-Laws where at the time of adoption of these Bye- Laws, there is already functioning a Board of Directors elected in accordance with the provisions of the Bye- Laws such Board shall continue to function for its full tenure as determined under the Bye-Laws re-placed.
29. Where a vacancy occurs from amongst the elected members of the Board of Directors, the Board shall fill the vacancy by nomination of a person from amongst the members of the Bank . Such nominated person shall function as the member of the Board of Directors for the un-expired period of the person in whose place he has been nominated or coopted.
30. The members of the Board of Directors shall hold office for a period of three years from the date of election and shall be eligible for re-election on according to the provisions of these Bye-Laws, the Act and Rules.
31. The election of the Board of Directors shall be conducted In such a manner as may be laid down in the rules of election framed by the Govt. from to time.
32. The President and Vice-President of the Bank shall be elected by the members of the Board of Directors from amongst its elected members.
33. An elected member of the Board of Directors shall cease to hold office it;-
I) He is representative of society which is under winding up orders or is in ‘D’ class.
II) He ceases to be share-holder of the society which he represents;
III) He becomes paid employee of:
a) Any Cooperative society;
b) The Bank;
c) The Government;
iv) He is convicted of any offence involving dishonesty or moral turpitude;
v) He applies for bankrupsy or is declared insolvent;
vi) He becomes of unsound mind;
vii) He received any honorarium from any cooperative society of the Bank.
viii) He becomes interested directly in any contract with the bank or any sale or purchase made by the bank privately or in auction.
ix) He becomes related to any employee of the bank;
x) He becomes defaulter in regard to personal loan or borrows above his M.C.L. from any society;
xi) He becomes subjects to any other disqualification which would have prevented him from seeking election had he incurred this disqualification before the election; and
xii) He absents from three consecutive meetings of the Board without sufficient reasons.
34. The President shall preside over the meeting of the Board of Directors and Executive Committee. In absence of President, Vice-President shall preside over such meetings. In absence of both their, the members present at the meeting shall elect one from amongst themselves as President for the day.
35. The Board of Directors shall meet at-least once in three months for the disposal or the business of the Bank or as often as may be necessary.
36. One-third or five members of the Board of Directors shall from quorum for the meeting. Each member shall have one vote. Unless otherwise provided in these Bye-Laws or by the statutory rules notified by the Government or as provided in the Act, all matters shall be decided by a majority of votes. In case of equality of votes, the President of the meeting shall have a casting vote.
37. The Meeting of the Board of Directors shall be convened by the C.E.O. at his own motion or under the directions of the President or the Registrar. At least 15 days clear notice of the meeting shall be given specifying the date, time and place. The agenda notes to the members of the Board shall be circulated well in time before the meeting is held. With the prior approval of the Registrar an emergent meeting may be held after giving a notice of at-least 3 days. An item on the agenda shall have to be included by the C.E.O. for consideration in case at least 3 members of Board of Director sponsor an item for the agenda in writing.
38. Meetings of the Board of Directors once fixed shall not be postponed unless at the time of meeting it is found that the quorum for the meeting is inadequate.
39. One third members of the Board of Directors may requisite a special meeting of the Board of Directors by giving at least 21 days clear notice to the C.E.O. of the Bank. On receipt of the requisition the C.E.O. shall convene a meeting of the Board of Directors. If he fails to do so with in a period of 21 days of receipt of requisition from the members; the Registrar on the application of the signatories of the requisition summon a meeting of the Board of Directors.
The Registrar may , on his own motion, summons at any time a meeting of the Board of Directors. If at the hour fixed for the meeting of the Board of Directors a Quorum is not forthcoming ,the chairman of meeting shall, if the meeting has been called on the requisition of members of Board of Directors, adjourn it and no further meeting of the Board of directors shall be convened on the strength of the requisition. if the meeting has been convened otherwise, than on requisition the chairmen shall postpone the meeting to a further date. A fresh notice for the subsequent meeting of the Board of Directors shall given to all members. The business at the subsequent meeting may be transacted with the number of Director present.

POWER AND DUTIES OF THE BOARD OF DIRECTORS

40. The powers of duties of the board of Directors shall be:-
i) To observe the Act, the Rules, and the Bye-Laws in all transaction
ii) To raise, Borrow such sums of money as may be requires from time to time and to approve terms and conditions relating to such sums of money.
iii) To frame service rules, subject to the approval of the Registrar for the staff of the bank, containing interalia , clauses about their appointment, punishment, suspension, removal, training, travelling allowances, other facilities like pay-scales gratuity, leave, bonus etc.
iv) To elect President and Vice-President from amongst the elected Directors;
v) To establish branch offices at suitable places with the approval of the registrar and to determine their area of operation.
vi) To frame and subsequent amend rules for regularising the business of branches and the general working of the bank consistent with the provisions of these Bye-Laws, the Act and the rules as also the instructions of the registrar, Cooperative societies, Haryana and the Reserve Bank of India and NABARD;
vii) To appoint one of its members to represent the bank in the meeting of the Managing Committee. General Body of any cooperative institution or any other institution of which the bank is a share holder; viii) To arrange for the inspection of the accounts of the member in debited societies through its staff, where necessary;
ix) To make arrangements for the recovery of loans due to it by the member-societies;
x) To create such posts and appoint such staff as is necessary to ensure efficient working of the Bank in accordance with the provisions of the Service Rules;
xi) To institute, conduct, defend compromise, refer to arbitration or suspend legal proceedings and claims by or against the Bank through any member or officer of the Bank;
xii) To ensure compliance of the objections and consider suggestions and instructions contained in the inspection or audit note of the Bank and consider them for implementation;
xiii) To sanction extension of period of repayment in respect of loans which becomes due for payment, in consistent with the rules, circulated by the Registrar, cooperative societies for the purpose;
xiv) To open accounts with other banks subject to the approval of the Registrar, The board may however, open its banking accounts with any of the nationalised bank or the post office or any other bank notified by the Reserve Bank of India under the Banking Regulation Act, 1949 for the purpose of the said Act, without the approval of the Registrar;
xv) To decide the terms on, the period for and the rates of interest at which loans are to be given;
xvi) To decide the terms on, the period for and the rates of interest on which deposits are to be raised.
xvii) To accept or reject the resignation of the Director;
xviii) To fix T. A. payable to Directors, subject to the approval of the Registrar, Cooperative societies;
xix) To write off condemned articles of furniture and fixture ;
xx) To acquire, hire, lease, or sell for the bank, land or building, to build premises and to repair and extend existing premises according to the need of the Bank subject to the provisions of the cooperative societies Rule as notified by the state Government from time to time;
xxi) The Board of Directors may delegate in writing any of its powers to any smaller body or the President or the Manager as may be considered necessary for the working of the Bank.

ADMINISTRATIVE COMMITTEE

41. The Board of Directors shall elect, in the manner given below, as administrative committee, out of its own members:-
i) President of the Board of Directors;
ii) One of the Government Nominee;
iii) 5 Directors elected from amongst themselves;
iv) One nominee of the R.C.C.
v) One Nominee of the Apex Bank.

POWERS OF THE ADMINISTRATIVE COMITTEE

42. Subject for the control of the Board of Directors the administrative committee shall exercise all or any of the following powers in respect of the staff of the Bank:-
i) To determine the strength of staff to be appointed on various categories in the Bank;
ii) To approve scales of pay of various categories of staff appointed \ to be appointed in the bank;
iii) To appoint staff in the Bank;
iv) To sanction increments to all members of staff of the status of Branch Manager and above;
v) To sanction earned leave to staff beyond 15 days;
vi) To approve admission of new members;
vii) To exercise any other power specifically delegated by the Board of Directors;
43. The Board of Directors shall also elect, in the manner given below, a business committee, out of its own members:-
i) President of Board of Director;
ii) One of the Government Nominee;
iii) 5 Directors elected from amongst themselves;
iv) One nominee of the RCS.
v) One Nominee of the Apex Bank in the business committee.
44. Subject to the control of the Board of Directors the Business Committee shall have the following powers:- i) To buy, sell, endorse, assign, pledge and negotiate Govt. securities and other trustee securities on behalf of the Bank as well as on behalf of other cooperative institutions or any person and to authorise and officer or officer of the bank in this behalf;
ii) To approve investment of the funds of the Bank;
iii) To examine the accounts of the Bank whenever considered necessary;
iv) To approve admission of new members.
v) To grant loans within sanctioned MCL to members socs;
vi) To approve contingent expenditure beyond Rs.5000/-,
vii) To exercise any other powers delegated specifically by the Board of Directors.
45. The proceedings of all the meetings of the Administrative/Business committee shall be put up for information and approval in the next meeting of the Board of Directors;
46. In the conduct of affairs, the members of the Board of Directors, Administrative Committee, Business Committee, and other committee of ordinary men of business shall be responsible for any loss sustained by the Bank through act of ommission and commission and contrary to these Bye-Laws, the Rules and the Act, for the time being in force.

MANAGER

47. The Board of Directors shall appoint a person in accordance with the Service Rules and with the prior approval of the Registrar, Cooperative Societies, to work as Manager of the Bank. His duties and powers shall be as under:-
i) To superintendent the working of the office and to be responsible for the proper and punctual maintainance of accounts including a cash book and ledger showing the accounts of every share holders, depositor, creditor and borrower and stock registrar;
ii) To sanction loans in accordance with the instructions of the Business Committee;
iii) To sanction and make advances to the liquidators and execution agents on the recommendation of the Assistant Registrar of the circle concerned;
iv) To ensure the execution of bonds and other documents for the issue of loans;
v) To make advances against fixed deposit receipts;
vi) To sanction loans to its deposit Rs. against the security of LIC policies and Govt./trustee securities;
vii) To receive deposits and issue receipts;
viii) To receive money due to the Bank and issue receipts therefor and to pay money due from the Bank;
ix) To make call and short-term deposits with other banks approval for the purpose by the Business Committee;
x) To incure contingent expenditure up to Rs. 5000/-
xi) To receive articles for safe custody;
xii) To conduct the correspondence on behalf of the bank;
xiii) To facilitate the conduct of annual audit and inspection of the bank by various officers;
xiv) To submit to the general body annual report and the audited balance sheet;
xv) To call meetings of the General Body, Board of Directors, Administrative Committee, Business Committee and other committee if any, and to attend those meetings as member secretary;
xvi) To certify copies in the books in accordance with the Act and the Rules;
xvii) To make, draw, accept, endorse, and execute cheques , indemnity bonds, bill, promissory notes, dividend warrants, cash order, payment orders, telegraphic and mail transfers, fixed deposit receipts, drafts, hoondies, ware-house receipts, rail-way receipts, and other negotiable instruments jointly with other officer/officers as may be determined by the Board of Directors/Business Committee, consistent with these Bye-Laws-;
xviii) To refund shares of under-liquidation societies on demand;
xix) To institute, conduct, defend or abandon legal proceedings on behalf of the bank;
xx) To sanction casual and earned leave to the members of the staff;
xxi) To open accounts in the name of the bank with the Haryana state Cooperative Apex Bank, State Bank of India and its subsidiaries and any other nationalised bank, post office and any other Bank notified by RBI under BR Act. and to operate upon these accounts at whether at credit or debit;
xxii) To sanction increments to the members of staff below the status of Branch Manager;
xxiii) To recommend punishment/promotion of staff to the Administrative Committee;
xxiv) To transfer clerks/senior clerks and class iv staff of the Bank;
xxv) To make investment in Govt. or other trustee securities when such investment is required to be made in shortest possible time in consultation with the president of the Bank
xxvi) To supervise and control the staff of the bank and to maintain their confidential files and other service records.
xxvii) Generally to conduct the current business of the Bank and to perform all duties entrusted to him by the Board of Directors, Registrar Cooperative Societies, State Co-operative Bank and the Reserve Bank on India in fullfilment of the objects of the Bank in accordance with the Act, Rules and the Bye-Laws-;
xxviii) Any other power subsequently delegated to him by the Board of Directors/ Administrative Committee, Business Committee.

MANAGING DIRECTOR

48. If and when a Managing Director is appointed by the Government or any other authority empowered in this behalf in accordance with the provisions of the Act, he shall exercise all the powers contained in Bye-Laws no.48 to the manager. The manager of the Bank shall work under his administrative control.

AMENDMENT OF Bye-Laws

49. Amendment to these Bye-Laws shall be carried out in accordance with the provisions of the Co-operative Societies Act in force in state and the rules framed there-under.

DISPOSAL OF PROFITS

50. The net profits of the Bank as per audited balance sheet shall be disposed off in the following manner by the Board of Directors, with the approval of the Registrar, Cooperative Societies:-
i) At least 25% of the net profits shall be carried to the Reserve fund.
ii) At least 15% of the net profits shall be carried to the Agricultural Credit Stablisation fund;
iii) A dividend not exceeding 10% per annum on the paid up share capital may be paid to the share-holders of the Bank in proportion to the period during which the share capital was held by the members exclusive of associate members;
iv) Contribution towards Cooperative Education Fund at the rate prescribed by the Registrar from time to time under the provisions of the Act and the Rules or Bye-Laws;
v) The Bank may create a common good fund out of its net profits not exceeding 5% of its total net profits for any of the purposes specified by the Registrar;
vi) The balance may be utilised for one or more of the following purposes:-
a) Bad & doubtful debt fund;
b) Investment Depreciation fund;
c) Building Fund;
d) Dividend Equilisation fund;
e) Share transfer fund;
f) Distribution of bonus to staff in accordance with the provision of payments of bonus act, 1965 as amended from time to time;
g) Gratuity fund as created in accordance with the provisions of the Service rules;
h) Any other fund that may be considered necessary;
i) The surplus, if any, may be carried over to the next years profits or credited to the Reserve Fund;
j) The distribution of the net profits shall be decided upon by the general body after getting its approval from the Registrar;
k) The Reserve fund shall be indivisible and shall belong to the Bank as a whole. No member can claim a share in it. It shall be invested in any of the securities specified in section 20 of the Indian Trust Act,1882, or in any manner as may be directed by the Registrar;
l) All dividend that may remain unpaid/unclaimed for three years after its having been declared may be forfeited by the Board of Directors and the same shall be carried to the Reserve fund of the Bank.

PAYMENT OF AUDIT FEE

51. The Bank shall pay to the State Government audit fee as may be assessed from time to time by the competent authority.

GENERAL

52. All disputes relating to the working of the bank shall be disposed off in the manner provided under section 102 of the Haryana Cooperative Societies Act, 1984, and the rule framed there-under.
53. All cheques and other instruments executed on behalf of the Bank shall, except receipts, bear signatures of any two of the (a) Manager (b) Assistant Manager (c) Accountant (d) Junior Accountant or Cashier jointly. The Board of Directors, by a resolution, in the case of a Branch, authorise the Branch Manager and the cashier to sign jointly, in addition to the officers mentioned above, the documents, cheques, drafts and other instruments and also to operate jointly on the banking accounts whether the accounts are at credit or debit.
54. Share linking with the borrowing by the societies shall be in accordance with the instructions issued by the Registrar, Co-operative Societies from time to time; however, the Registrar may, on the request of the bank or of his own grant relaxation to any society or class of societies, in exceptional circumstances from share linkage.
55. No loan shall ordinarily be advanced by the Bank for a period exceeding 10 years except with the approval of the Registrar, Cooperative Societies.
56. It shall be competent for the State Government, Registrar, State Cooperative Bank and the Reserve Bank of INDIA & NABARD to inspect the Bank at any time and have access to the books and record of the Bank. The Manager of the Bank shall arrange to produce all the record and books before the authorised representative of the State Government, The Registrar, Haryana State Cooperative Apex Bank or the Reserve Bank of INDIA and NABARD.
57. The Bank shall be audited at-least once in each Cooperative year in accordance with the law for the time being in force. The Bank shall submit all the necessary statements for the purpose of audit.
58. The Bank shall be competent to incur expenditure on such measure as are conducive to the spreading of Cooperative education and training. For this purpose the bank shall contribute to the Haryana State Cooperative Development Federation Limited as the case may be, every year, such amount as may be sanctioned by the Board of Directors, subject to the direction of the Registrar, cooperative societies, issued from time to time under rule 73 of the Rules in this behalf.
59. The services of the members of the Board of Directors and other smaller bodies shall be honorary but such members may be paid travelling allowance and daily allowance on scales fixed by the Board of Directors and approved by the Registrar.
60. Should any doubt arise either in the interpretation of the Haryana Cooperative Societies Act, 1984 the rules framed there under or the Bye-Laws of the Bank, it shall be referred to the Registrar and his advice/decision shall be final and binding;
61. The books of account shall be open for inspection to any depositor interest in his account except that no one shall be allowed to see the deposit account of any other person without that persons consent in writing.
62. Copies of the Bye-Laws and the balance sheet shall be supplied free to all members on demand. The last balance sheet shall be open to public inspection during all the office hours. The balance sheet shall also be published in accordance with provisions of the Banking Regulations Act,1949,as applicable to Cooperative Societies.
63. Should any conflict arise between the Bye-Laws of the bank and those of the affiliated societies, the Bye-Laws of the Bank shall prevail.
64. The Bank may, in the event of its unsatisfactory work be wound up and cancelled by the order of the Registrar in accordance with the law for the time being in force. In such case, the Reserve fund and other funds belongings to the Bank shall be disposed off in the manner laid down in the Act and the Rules framed there-under.

COMMON CADRE OF STAFF

The Service of the Chief Executive of the Bank and such other staff, as may be specified by the Registrar, Cooperative Societies from time to time, shall be borne on the strength of the “Common-Cadre” of the Haryana State Coop. Apex Bank. Their services shall be governed by the Service Rules of common cadre framed by the Registrar, Cooperative Societies and amended or modified by him from time to time and these rules shall interalia certain provisions regarding financial obligations for the bank, transfer, punishment, promotion etc. of the staff.

Bye-laws No.14

Add
(vi) Share capital contribution from the Govt. with the restruction of 25% of the member paid up share of the Bank & the nomination shall be limited to One member only.
Bye-laws No.15
Existing : Unless specifically reduced by the Registrar Cooperative Societies, the Maximum credit of the Bank shall be 25 times its owned capital.
Proposed : Provided that the total amount of Borrowings including deposits of the Bank during a financial year shall not Exceed Ten times of owned capital.
Bye-laws No.27

Existing :1. a) 7 Director to be elected by the Cooperative Agricultural Credit/Service Societies holding shares in the Bank.
b) 3 Director to be elected by the Cooperative Societies other than the Cooperative Agri. Credit/Service Societies, holding shares in the Bank;
Proposed : a) 6 Director to be elected by the Primary Cooperativ Credit Societies holding share in the Bank.
b) 4 Director to be elected from Societies other than Those in (a) above provided one Zone each for Women and Scheduled caste shall be reserved.

Bye-laws No.27

Add
f) Provided further that two professional Directors having experience as specified by the Reserve Bank of India shall be co-opted in the committee in the Bank if not elected. The Director so co-opted shall have all the voting rights.

Bye-laws No. 50

Existing :i) At least 25% of the net profits shall be carried to the reserve fund
iii) A Dividend not exceeding 10% per annum on the paid up share capital may be paid to the share-holders of the Bank in proportion to the period during which the share capital was held by the members exclusive of associate members;
vi) a)Bad & Doubtful Debt fund; Proposed : (i) (a) At least 25% of the net profits shall be carried to the Reserve fund
(b) At least 10% of the net profits shall be carriedto Bad & Doubtful Debts

(iii) A Dividend not exceeding such percentage as may be provided in the Act shall be paid to the share holders of the Bank in proportion to the period during which the share capital was held by the members.
(vi) (a) To be deleted

Bye-laws No.51

Add : Provided that the Registrar may get the accounts of a society Audited by a Chartered Accountant in accordance with the guide lines approved by him. The remuneration of the Chartered Accountant shall be approved by the Registrar and the expenditure on this account shall be meet out of the funds of the society.

Bye-laws No.65

Existing : The Service of the Chief Executive of the Bank and such other staff, as may be specified by the Registrar, Cooperative Societies from time to time, shall be borne on the strength of the “Common-Cadre” of the Haryana Sate Coop Apex Bank. Their services shall be governed by the Service Rules of common cadre framed by the Registrar, Cooperative Societies and amended or modified by him from time to time and these rules shall interalia certain provisions regarding financial obligations for the Bank, transfer, punishment, promotion etc., of the staff.
Proposed: To be deleted

Existing Bye-Laws 1. The Board of Directors of the bank shall be constituted in the following manner:-
I.
a) 7 Director to be elected by the Primary Cooperative Agricultural Credit/Service Societies and Farmers Service Societies holding shares in the bank.
b) 3 Directors to be elected by the cooperative societies other than those in clause 29 (a) above provided that one zone each for woman and scheduled caste shall be reserved as per the provisions of Section 28 of the Haryana State Cooperative Societies Act, 1984. Provided further that at least one member belonging to backward class shall also be represented through election in the committee if their number is 10 percent or more of the total membership of the society in the manner prescribed.
c) Managing Director of the Haryana State Cooperative Bank Ltd; or his nominee.
d) Government nominee appointed under section 29 of the Act and
e) Two professional directors having experience, as specified by the RBI, shall be co-opted with full voting rights in the Committee, if not already elected.
II. Not with standing anything contained in clause (i) above, partial BODs can be constituted provided quorum is attained. However, election of remaining zone shall be held within six months from the date of the partially constituted Board commences functioning.
2. Where a vacancy occurs due to death, resignation, removal if any member etc. on the board shall be filled by election for the residual period if residual tenure of the board is more than six months.

Purposed Bye-Laws

1. The Board of Directors of the bank shall be constituted in the following manner:-
I.
a) 6 Director to be elected by the Primary Cooperative Agricultural Credit/Service Societies and Farmers Service Societies holding shares in the bank.
b) 6 Directors to be elected by the cooperative societies other than those in clause 29 (a) above provided that two zone for woman and one zone fr scheduled caste shall be reserved as per the provisions of Section 28 of the Haryana State Cooperative Societies Act, 1984. Provided further that at least one member belonging to backward class shall also be represented through election in the committee if their number is 10 percent or more of the total membership of the society in the manner prescribed.
c) Managing Director of the Haryana State Cooperative Bank Ltd; or his nominee.
d) Government nominee appointed under section 29 of the Act and
e) Two professional directors having experience, as specified by the RBI, shall be co-opted in the committee, if not already elected. Provided further that the number of such co-opted members to be called as functional directors, shall not exceed two in addition to twenty-one directors as specified in clause (xx) of sub-section (2) of section 9A and shall be members but not have the right to vote in any election or be eligible to be elected as office bearer of the committee.
II. Not with standing anything contained in clause (i) above, partial BODs can be constituted provided quorum is attained. However, election of remaining zone shall be held within six months from the date of the partially constituted Board commences functioning.
2. Provide that irrespective of anything contained in the bye-laws, the committee may fill a casual vacancy in the committee by election, if the term of office of the committee is more than half of its original term, or by co-option, if the term of office of the committee is less than half of its original term, as the case may be, out of the same class of members in respect of which the casual vacancy has arisen.