chhatramani/Nepal-Legal-Text-Corpus-44laws huggingface dataset:
Cooperatives Act 2074

Chapter 2 Formation and Registration of Cooperative Organisation

Section 13: No Operation of Cooperative Organisation without Registration
No one shall operate a Cooperative Organization without getting it Registered.

Cooperatives Act 2074

Chapter 2 Formation and Registration of Cooperative Organisation

Section 14: Application to be Submitted for Registration
1) The Cooperative Organizations formed under this Act shall, for the purpose of registration, submit application in the prescribed format to the authority authorised by the Registrar in case of the Organization referred to in Section 3, District Sectoral Cooperatives Association referred to in Section 4 or District Cooperatives Association referred to in Section 5; and to the Registrar in case of Provincial Sectoral Cooperatives Association referred to in Section 6, Provincial Cooperatives Association referred to in Section 7, Central Sectoral Cooperatives Association referred to in 8, Special Cooperatives Association referred to in Section 9, National Federation of Cooperatives referred to in Section 10 or Cooperative Bank referred to in Section 12.
2) The following documents shall have to be submitted along with the application referred to in sub-Section (1):-
a) Proposed Byelaws of a Cooperative Organization’
b) Report of the feasibility study of the operation of the Cooperative Organisation,
c) Details as to the number of shares undertaken to subscribe by the members and amount of shares,
d) Other details as prescribed.
3) While submitting an application for registration of a Cooperative Bank pursuant to sub-Section (1), prior approval of the Nepal Rastra Bank, in addition to the documents referred to in sub-Section (2), shall also be included.
Cooperatives Act 2074

Chapter 2 Formation and Registration of Cooperative Organisation

Section 15: To be Registered
1) In case the following conditions are found to have been met while conducting an inquiry on the documents along with the application referred to in sub-Section (1) of Section 14, the Registrar or the authority authorised by the Registrar shall, within 30 days from the date of filing of the application, Registrar the Cooperative Organization and issue a certificate thereof in the prescribed format.
(a) The Byelaws submitted along with the application by  consistent with this Act and the Rules framed under this Act,
(b) There is the basis that the proposed Cooperative Organization could be run according to the values, norms and principles of cooperatives,
(c) There is a clear basis that the Cooperative Organization could be run and controlled being community-based and member-centric,
(d) Other bases prescribed are completed.
2) While carrying out inquiry pursuant to sub-Section (1), in case it is found that the proposed Cooperative Organization could not be Registered without amendment to the Byelaws of the organisation, the Registrar or the authority authorised by the Registrar shall issue a notice to that effect to the applicant within fifteen days of the date of receipt of the application.
3) Notwithstanding anything contained elsewhere in this Act, the Cooperative Organisations which are registered and operated at the commencement of this Act shall be deemed to have been registered under this Act.
4) While registering a Cooperative Organization under this Act, the authority referred to in sub-section (1) of Section 14 may prescribe any condition to be fulfilled by such Cooperative Organization.
5) In case any condition is prescribed pursuant to sub-Section (4), it shall be the duty of the concerned Cooperative Organization to comply with such condition.
6) Notwithstanding anything contained elsewhere in this Section, savings and credit Cooperative Organizations shall be registered in the case of a Municipal Corporation and sub-municipal Corporation and in one Municipality or Rural Municipality according to the prescribed standards.
7) In the case of a specialised Organization referred to in Section 9, such an organisation may be registered without having duplication in the services to be provided by the District Sectoral Cooperatives Association or by the Central Sectoral Cooperatives Association.
Cooperatives Act 2074

Chapter 2 Formation and Registration of Cooperative Organisation

Section 16: Registration may be Denied
1) In case there is no condition referred to in sub-section (1) of Section 15, in case the applicant rejects to amend to the Byelaws within the period of time when information has been given to amend the Byelaws under the same Section, in the Byelaws is not amended within thirty days from the date of providing such information or the Byelaws is not amended as stated in the information, the Registrar or the authority authorised by the Registrar may reject to Registrar such Cooperative Organization.
2) In case the Registrar denies to the Registrar the Cooperative Organization pursuant to sub-Section (1), the Registrar or the authority authorised by the Registrar shall have to give notice thereof to the concerned applicant within three days specifying[1]the reasons thereof.

Cooperatives Act 2074

Chapter 2 Formation and Registration of Cooperative Organisation

Section 17: Cooperative Organisation to be a Corporate Entity
1) A Cooperative Organisation shall be an autonomous corporate body having perpetual succession.
2) There shall be a separate seal for carrying out functions and activities of the Cooperative Organization.
3) Cooperative Organisation may subject to this Act, acquire, utilise, sell or dispose of movable or immovable property as a person.
4) A Cooperative Organisation may sue a case as a person, and it may be sued against it in its name.
5) A Cooperative Organisation may conclude a contract as a person.
Cooperatives Act 2074

Chapter 2 Formation and Registration of Cooperative Organisation

Section 19: Working Area of Association and Cooperative Bank
The working areas of the Association and Cooperative Bank shall be as follows:-
a) One district in the case of District Sectoral Cooperative Association or District Cooperative Association,
b) One province in the case of Province Sectoral Cooperative Association or Province Cooperative Association,
c) Throughout Nepal in the case of the Central Sectoral Cooperative Association or National Federation of Cooperatives,
d) In the case of a specialised Association, depending upon collection, distribution or flow of service based on its nature,
e) In the case of a Cooperative Bank, as specified by the Nepal Rastra Bank.

Cooperatives Act 2074

Chapter 2 Formation and Registration of Cooperative Organisation

Section 20: Classification may be made on Sectoral Basis
Organisation or Association may be classified based on sectors as prescribed.
Cooperatives Act 2074

Chapter 2 Formation and Registration of Cooperative Organisation

Section 21: Transaction, Business, Industries, or Project may be operated
1) After receiving the certificate of registration pursuant to Section 15, the Organisation or Association may operate necessary transactions, businesses, industries, or projects subject to this Act and Byelaws for the purpose of attainment of the objectives referred to in Section 24.
2) The Cooperative Bank may operate its transactions or services only after obtaining a license from the Nepal Rastra Bank.
3) Notwithstanding anything contained in the prevailing laws, the Organisation or Association does not need to Registrar an organisation separately in order to carry on transactions, businesses, industries, or projects referred to in sub-Section (1).
Provided that in case the prevailing law requires such permission, approval or license has to be obtained to carry on such transaction, business, industries, or project, such transaction, business, industries, or project shall be carried out only after obtaining the permission, approval or license, accordingly.
4) In case the Organisation or Association obtains permission, approval or license from the agency or authority authorised according to the prevailing laws, it shall inform the Registrar or the authority authorised by the Registrar within fifteen days of the date of receipt of such permission, approval or license.
5) Two or more Organisations and Associations may, subject to this Act, carry on transactions, businesses, industries, or projects for the marketing of their product or services jointly or in partnership.
6) Other provisions relating to the operation of transactions, businesses, industries, or projects referred to in sub-Section (5) shall be as prescribed.
7) Notwithstanding anything contained in the prevailing laws, the Organisation or Association may sell the product of the transaction, business, industries, or project to be operated pursuant to sub-Section (1) in the brand name of the Co-operative.
Provided that in case the prevailing law requires that the approval of receiving such a brand has to be obtained, such approval shall be obtained accordingly.
8) The process and basis of issuance of the certificate of origin of the goods to be produced by the Organisation or Association shall be as prescribed.

Cooperatives Act 2074

Chapter 2 Formation and Registration of Cooperative Organisation

Section 22: Liabilities to be limited
1) Liability of a member in terms of a transaction of a Cooperative Organization shall be limited only up to the maximum limit of the shares he/she has subscribed or agreed to subscribe to.
2) The name of a Cooperative Organization shall contain “cooperative”, and it shall contain the word “limited” at the end.

Cooperatives Act 2074

Chapter 2 Formation and Registration of Cooperative Organisation

Section 23: Values, norms and principles of cooperative to be complied with
Values, norms and principles of cooperative shall be complied with while forming and operating a Cooperative Organisation.
Cooperatives Act 2074

Chapter 2 Formation and Registration of Cooperative Organisation

Section 23A: Standards to be Followed
1
1) Notwithstanding anything contained elsewhere in this Act, the body responsible for regulating, inspecting and supervising a cooperative organisation engaged in the main business of savings and loans shall comply with the instructions and standards issued by Nepal Rastra Bank in this regard.
2) If a cooperative organisation, as referred to in Sub-section (1) in existence at the time of the commencement of this Section, has not established the standards determined by Nepal Rastra Bank, it shall establish such standards within two years from the date of commencement of this Section.
1 Added by the Act to Amend Certain Acts Relating to the Prevention of Money Laundering and Promotion of Business Environment, 2080.

Cooperatives Act 2074

Chapter 3 Objectives and Functions of Organisation or Association

Section 24: Objective of Organisation or Association
The main objective of an Organisation or Association shall be to attain economic, social and cultural prosperity based on working areas and on being concentrated on its members.

Cooperatives Act 2074

Chapter 3 Objectives and Functions of Organisation or Association

Section 25: Functions of Organisation or Association
The Organization or Association shall carry out the following functions:-
a) To comply with or cause to be complied with the values, norms and principles of cooperatives,
b) To promote the interests of members and its own and to carry out or cause to be carried out their marketing,
c) To provide education, training and information to members and to promote or cause to promote good governance in an Organisation or Association,
d) To promote or cause to be promoted mutual cooperation between Organisation and Association,
e) To determine standards of the products and services of the organisation or Association and to carry out functions as to quality reform, economic stability and risk management,
f) To submit the internal control system,
g) To operate activities relating to commercial promotion and development of an Organisation or Association,
h) To comply with the directives of the Ministry, Registrar, Province, local level or office,
i) To carry out functions referred to in the bylaws.
Cooperatives Act 2074

Chapter 3 Objectives and Functions of Organisation or Association

Section 26: Functions of National Cooperatives Federation
The National Federation of Co-operatives shall carry out the following functions for the promotion of the interests of members:-
a) To comply with or cause to be complied with the values, norms and principles of cooperatives,
b) To play leading roles in the promotion of the interests of members,
c) To carry out coordination and collaboration with various agencies of the Government of Nepal on the promotion of the cooperative sector,
d) To conduct and cause to be conducted commercial and market-related studies and research for the promotion of cooperative enterprises,
e) To provide or cause to be provided education, training, and information,
f) To develop a market information system,
g) To promote or cause to be promoted mutual cooperation among Organisations and Associations,
h) To promote mutual cooperation in international cooperatives movement and to coordinate and expand relations,
i) To promote good governance in the cooperative sector,
j) To carry out such other functions as referred to in the bylaws.

Cooperatives Act 2074

Chapter 4 Bylaws and Internal Procedures

Section 27: Bylaws to be framed
1) The Cooperative Organization shall frame bylaws for conducting its business subject to this Act and the Rules, Directives, Standards, and procedures framed under this Act.
2) The byelaws referred to in sub-Section (1) shall come into force after being approved by the Registrar or the officer authorised by him or her.
3) Notwithstanding anything contained in sub-Section (2), the Registrar shall obtain consultation with the Nepal Rastra Bank before approving the Bylaws of the Cooperative Bank.

Cooperatives Act 2074

Chapter 4 Bylaws and Internal Procedures

Section 28: Internal Procedures may be framed
1) A Cooperative Organisation may frame bylaws as necessary for conducting its business subject to this Act and the Rules, Directives, Standards, and Procedures framed under this Act.
2) The internal procedures referred to in sub-Section (1) shall come into force after it is approved by the General Meeting.

Cooperatives Act 2074

Chapter 4 Bylaws and Internal Procedures

Section 29: Amendment to Bylaws and Internal Procedures
1) Bylaws and internal procedures may be amended by the majority of the members of the General Meeting of the Cooperative Organisation.
2) The amendment to the Bylaws referred to in sub-Section (1) shall come into force after the approval by the Registrar or the officer authorised by him or her.
Cooperatives Act 2074

Chapter 5 Membership

Section 30: Membership of Organisation
1) The following Nepali citizens having completed the age of sixteen years may become members of an Organisation:-
(a) Residing within the working area of the Organisation,
(b) Having subscribed at least one share of the Organisation,
c) Having agreed to comply with the terms and conditions referred to in the Bylaws of the Organisation,
(d) Having agreed to bear the responsibility of the Organisation,
(e) Not having had transactions that are competitive with the transactions being carried out by the Organisation.
2) Notwithstanding anything contained elsewhere in this Act, it shall hinder any agencies of the Government of Nepal, Provincial Government, local level, cooperative and community schools, trusts, local clubs, non-profit making organisations Registered at a local level, production-oriented or service-oriented organisations and associations, consumers groups to become a member of the Organization.
3) Notwithstanding anything contained elsewhere in this Section, it shall not hinder a Cooperative Organisation from becoming a member of a health Cooperative Organisation.

Cooperatives Act 2074

Chapter 5 Membership

Section 31: Application to be submitted to acquire membership
1) The concerned person willing to obtain membership in the Organization shall submit an application to the committee of the Organisation.
2) The committee shall, within thirty-five days from the date of submission of the application pursuant to sub-Section (1), have to take a decision whether or not to confer membership subject to this Act, Rules and Byelaws framed under this Act.
3) While taking a decision pursuant to sub-Section (2), in case the committee decides not to confer membership, it shall inform the applicant within seven days specifying the reason thereof.
4) The concerned person may file a complaint to the official authorised by the Registrar against such Organization within thirty days from the date of receipt of the information referred to in sub-Section (3).
5) The official authorised by the Registrar may, if it finds it appropriate to confer the membership following an inquiry on the complaint received pursuant to sub-Section (5), order the concerned Organization to confer the membership.
6) If the order pursuant to sub-Section (5) is received, the concerned organisation shall confer membership on the applicant within seven days of the date of receipt and inform the official authorised by the registrar.
Cooperatives Act 2074

Chapter 5 Membership

Section 32: Restriction on membership
1) No person shall be a member of more than one Organization of the same nature at the same local level.
Provided that in case a person is a member of more than one Organization of the same nature at the same local level before the commencement of this Act, he/she has to retain membership of only one Organization within a period of three years from the date of commencement of this Act.
2.) In case any agency of the Government of Nepal or any artificial person, other than those referred to in sub-Section (2) of Section 30, is a member of any Organization at the commencement of this Act, it shall terminate the membership within five years from the date of being the member.
Provided that this sub-section shall not apply in the case of health and education Cooperative Organizations registered prior to the commencement of this Act.

Cooperatives Act 2074

Chapter 5 Membership

Section 33: May become members
1) The District Sectoral Organisations may become members of the District Sectoral Cooperative Association referred to in Section 4
2) The Organisations in the district and district Sectoral Associations may become members of the District Cooperative Association referred to in Section 5.
3) The Sectoral Organisations in the province and District Sectoral Associations may become members of the Province Sectoral Cooperative Association referred to in Section 6.
4) Organisations in the Province, District Sectoral Cooperative Associations, District Cooperative Organisations and Province Sectoral Cooperative Associations may become members of the Province Cooperative Association.
5) Sectoral Organisations, District Sectoral Associations and Province Sectoral Associations may become members of the Central Sectoral Cooperative Association referred to in Section 8.
6) District sectoral organisations, district cooperative associations, provincial sectoral associations, provincial cooperative associations, and central sectoral cooperative associations may become members of the National Federation of Co-operatives referred to in Section 10.
7) Only Organisations and Associations may become members of the Cooperatives Bank.
8) The process of acquiring membership under this Section shall be as prescribed.
Cooperatives Act 2074

Chapter 5 Membership

Section 34: Termination of membership
1) Membership of any member shall be terminated in the following circumstances:-
(a) In case a member withdraws its membership,
(b) In case a member is absent from the Annual General Meeting for three consecutive times without notice,
(c) In case a member frequently violates the provisions it has to comply with according to this Act, Rules or Bylaws framed under this Act.
(d) In the case of a member who has no qualifications referred to in Section 30.
2) Notwithstanding anything contained in sub-Section (1), in case any member has any amount received from, or to be repaid to, a Cooperative Organization, the membership shall not be terminated until such an amount is settled or if such a member has obtained any credit or has any liability to be met or has guaranteed on behalf of any other member, the membership shall not be terminated until such liability is absolved.
3) Notwithstanding anything contained in this Section, no one shall be removed from the membership after the decision is taken to hold the General Meeting and until the General Meeting is held.
4) Other matters as to the termination of membership shall be as prescribed.

Cooperatives Act 2074

Chapter 5 Membership

Section 35: Facilities not to be entitled to
In case any member does not repay any liability to be repaid to any Cooperative Organisation within the fixed period or frequently violates the provisions of this Act, Rules or Bylaws framed under this Act, such a shall not be entitled to the facilities as other members.

Cooperatives Act 2074

Chapter 6 General Meeting, Board of Directors and Account Supervision Committee

Section 36: General Meeting
1) There shall be a General Meeting as the supreme body of a Cooperative Organization.
2) All members of a Cooperative Organization shall be the members of the General Meeting.
3) The General Meeting of a Cooperative Organization shall be as follows:-
(a) Preliminary General Meeting,
(b) Annual General Meeting,
(c) Extraordinary General Meeting.

Cooperatives Act 2074

Chapter 6 General Meeting, Board of Directors and Account Supervision Committee

Section 37: Functions, Duties and Powers of Preliminary General Meeting
Functions, duties and powers of the preliminary General Meeting shall be as follows:
(a) To get information on actions taken and financial transactions made until the day preceding the holding of the preliminary General Meeting,
(b) To approve the annual program and budget for the current fiscal year,
(c) To approve reports and financial statements,
(d) To elect Committee and Accounts Supervision Committee as specified in the Bylaws,
(e) To adopt internal procedures,
(f) To appoint an Auditor and determine his or her remuneration,
(g) To carry out such other functions as referred to in the bylaws.