Section 35 of the Co-operative Societies Act, 1912 - Inquiry by Registrar

Section 35 empowers the Registrar to inquire into the constitution, working and financial condition of a registered co-operative society. It also identifies the circumstances in which an inquiry must be held and requires officers and members to furnish information needed for the inquiry.

Applicability note: The Co-operative Societies Act, 1912 is a historical Central enactment. Co-operative societies are primarily governed by State legislation, and many States have enacted their own co-operative societies laws. Before relying on Section 35 in a particular matter, verify the law presently applicable in the relevant State or Union Territory.

Text of Section 35 - Inquiry by Registrar

35. Inquiry by Registrar. - (1) The Registrar may of his own motion, and shall on the request of the Collector, or on the application of a majority of the committee, or of not less than one-third of the members, hold an inquiry or direct some person authorised by him by order in writing in this behalf to hold an inquiry into the constitution, working and financial condition of a registered society.

(2) All officers and members of the society shall furnish such information in regard to the affairs of the society as the Registrar or the person authorised by the Registrar may require.

Meaning and scope of Section 35

The provision falls under the part of the Act dealing with inspection of the affairs of registered societies. Its purpose is to provide a statutory mechanism for examining whether a society is properly constituted and functioning and to permit scrutiny of its financial condition.

Who may initiate or request an inquiry?

The Registrar may begin an inquiry on his or her own motion. The section further provides that an inquiry shall be held when requested by the Collector, when applied for by a majority of the committee, or when applied for by not less than one-third of the members of the registered society.

Who may conduct the inquiry?

The Registrar may conduct the inquiry personally or may direct another person to conduct it. Where another person is authorised, the authority must be given by an order in writing for that purpose.

What may the inquiry examine?

The statutory inquiry may cover three broad areas: the constitution of the registered society, its working or functioning, and its financial condition. These expressions give the inquiry a wider scope than a review of accounts alone.

Duty of officers and members to provide information

Sub-section (2) places a duty on all officers and members of the society to furnish information concerning the affairs of the society when required by the Registrar or the person authorised to conduct the inquiry.

Key requirements at a glance

The Registrar has power to initiate an inquiry suo motu.
An inquiry is mandatory on a qualifying request or application specified in Section 35(1).
A person other than the Registrar may conduct the inquiry only when authorised by an order in writing.
The inquiry concerns the society's constitution, working and financial condition.
Officers and members must furnish information required for the inquiry.

Related provisions

Section 35 should be read with the provisions immediately following it. Section 36 concerns inspection of the books of an indebted society, Section 37 deals with costs of an inquiry or inspection, Section 38 provides for recovery of such costs, and Section 39 deals with dissolution and expressly refers to an inquiry under Section 35.

Official legal source

For the authoritative Central Act text, refer to the Government of India version of the Co-operative Societies Act, 1912 available through the India Code legislative database. State amendments, repeals and State-specific co-operative societies legislation should also be checked before applying the provision to a current dispute.

Official text - Co-operative Societies Act, 1912 (India Code)