Lok Sabha Question No. 305 (STARRED), answered on 2021-08-10
Subject: Ease of Doing Business
Ministry: COOPERATION
Asked by: Sukanta Majumdar, Jayanta Kumar Roy

## GOVERNMENT OF INDIA MINISTRY OF COOPERATION

## LOK SABHA STARRED QUESTION No. 305

TO BE ANSWERED ON 10 TH  AUGUST 2021

## EASE OF DOING BUSINESS

*305.  DR. SUKANTA MAJUMDAR:

DR. JAYANTA KUMAR ROY:

Will the Minister of COOPERATION सहकारता मंी be pleased to state:

- (a)    whether  the  Ministry  has  been  entrusted  with  the  responsibility  to  streamline processes  for  'Ease  of  doing  business'  for  cooperatives  and  enable  development  of Multi-State Cooperatives in the country and if so, the details thereof;
- (b)    whether  the  Ministry  is  aware  of  the  problem  of  pseudo  cooperative  financial companies  launched  by  some  big  corporate  houses  to  siphoning  public  money  from commercial venture to cooperative society;
- (c)     if so, the reaction of the Government thereto;
- (d)      whether  the  Government  has  been  informed  by  the  Serious  Fraud  Investigation Office  (SFIO)  regarding  investment  of  any  such  Group  which  is  being  converted  into other schemes like cooperative or other multipurpose societies of the same group; and
- (e)      if so, the status of investigation and action taken by the Government thereon?

## ANSWER

Minister of COOPERATION सहकारता मंी (SHRI AMIT SHAH)

- (a) to (e): A statement is laid on the Table of the House.

## STATEMENT  REFERRED  TO  IN  REPLY  TO  PARTS  (a)  TO  (e)  OF  LOK  SABHA STARRED QUESTION NO. 305 DUE FOR REPLY ON 10 th  AUGUST, 2021

- (a): The  Ministry  of  Cooperation  has  been  allocated  work  as  per  Government  of India (Allocation of Business) Rules, 1961 as shown in Annexure - I.
- (b) & (c): The  cooperative  societies  registered  under  the  Multi  State  Cooperative Societies (MSCS) Act, 2002 are functioning as autonomous cooperative organizations accountable  to  their  members.    In  case  of  complaints  against  any  multi  -  State cooperative society, action is taken as per the provisions of MSCS Act, 2002, including winding up and initiation of liquidation proceedings.
- (d) & (e): Serious Fraud Investigation Office (SFIO) has sent reports to the Ministry regarding companies  and their promoters who  alsohave substantial interest in cooperative societies registered under MSCS Act, 2002. Action on reports of SFIO is taken  under  Multi  State  Cooperative  Societies  Act,  2002  and/or  The  Companies  Act, 2013. The Investigation by SFIO is at different stages.

## Annexure -I

1. General  Policy  in  the  field  of  Co-operation  and  Co-ordination  of  Cooperation activities in all sectors

Note:- The Ministries concerned are responsible for Co-operatives in the fields.

2. Realization of vision' from cooperation to prosperity'
3. Strengthening of cooperative movement in the country and deepening its reach up to the grassroots.
4. Promotion of cooperative-based economic development model, including the spirit of responsibility among its members to develop the country.
5. Creation  of  appropriate  policy,  legal  and  institutional  framework  to  help cooperatives realize their potential.
6. Matters relating to National Co-operative organization
7. National Co-operative Development Corporation
8. Incorporation,  regulation  and  winding  up  of  Co-operative  societies  with objects  not  confined  to  one  State  including  administration  of  'the  MultiState Co-operative Societies Act, 2002 (39 of 2002)':

Provided  that  the  administrative  Ministry  or  Department  shall  be  'the Central Government' for the purpose of exercising powers under the MultiState Co-operative Societies Act, 2002(39 of 2002), for Co-operative units functioning under its control.

9. Training of personnel  of co-operative  departments  and  co-operative institutions  (including  education  of  members,  office  bearers  and  nonofficials).

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