CHAPTER - 1

INTRODUCTION

1.1 INTRODUCTION

Internship is an opportunity that offers to a student to get work experience in a particular field. It
helps to learn more about what is practical and why students benefit from them. An internship
works at a company for a fixed period, usually 3 months. Some students wi1l have a part-time
internship in which they work at the office for some days or hours per week.

1.2 IMPORTANCE OF PROJECT

➢ It helps to students to work in their interested field.

➢ It helps students to apply their theoretical knowledge to a real world and to get a valuable
experience which make them stronger candidates for future work.

➢ It can be a good way to try out a certain career. For instance, we may think that we want a job
in advertising after college, but after an internship, we may find that it's not for us; that is
valuable insight that will help us to select our future path.

1.3 FINANCIAL SERVICES

Financial services are the main economic services offered by the finance industries, which
encompass a large range of business that manage money, and credit unions, banks, credit-card
companies, insurance companies and so on. Financial service providing companies are situated
in all economically developed geographic areas and lead to groups in local, national, regional
and international financial industries.

➢ Commercial banking services: The word commercia1 is used to divide it from an investment
bank. It is a type of financia1 services which direct1y to a business raise money from other firms
in the form of bonds or stock instead of 1ending money

➢ Investment banking services:

• Capital market services: It underwrites the debt and equity and helps company deals and
restructure the debt into structured finance products.

• Private banking: These banks generally provide more persona1 services, such as wealth
management and tax planning than normal retail banks. These banks provide banking services
especially to high-net-worth customers.

• Brokerage Services: It offers the buying and selling feci1ities for financia1 securities between a
buyer and a seller by charging some brokerage.

➢ Investment services: Investment banking provide these financia1 services to focus on creating
capita1 through client investment.

➢ Financial exports: A financia1 exports is a financial service which are provide by a domestic
bank to a foreign bank or individual.

➢ Foreign exchange service: These services are given by some banks and specialist foreign
exchange brokers in the world.

• Currency exchange- where c1ients can buy and sell foreign currency bank notes in their
comfortable notes.

1.4 INDUSTRY PROFILE

Origin of Co-operative Societies

Cooperative Banks: Cooperative Banks in India have become an integral part of Indian Financial
Inclusion story. They have reached many 1andmarks since their creation and have helped a
normal rural Indian to feel empowered and safeguard. The story has not been easy and has its
share of procedural glitches and woes placed at various pocket

Co-operatives were created long before the advent of the fair-trade movement to assist people to
improve their livelihood and protect their interests. Co-operatives are an organization of
people1who have the same interest and faith. Most scholar recognize the business of the
„Rochdale Pioneers of England‟ as the first co-operative society in 1884, this group of 28 men
1
(weavers and skilled workers in other traders) formed a co-operative society. To sell the same
group of people goods in a shop they started business principles to guide their work and
established a shop. Increased risk from the changing market system was an influencing force in
their decision to get towards co-operation. Due to the emergence of mass production during this
period, entrepreneurs who had previously been goods added grass clippings to bulk-up tea,
sacrificing quality for quantity. Production was changing to accommodate found them compete

with 1arge industries that sold 1ess costly, poorly made products. In tea industry 1arge scale
producers' consumers desire for low price, plentiful products. Those who are rapidly capable of
sustainable production of high quality produced high vo1ume cou1d meet the demand of shifting
market.

Another important change in the market system was the new 1-large industries relied on unfair
labor practices to meet production targets. Workers lost control over working conditions, low
pay, long hours for claiming co-operative society to give help to the people in the society. In
Internationa1 Co-operative Alliance (ICA) it was formed in 1895 by E.V Neale of Rochdale and
Edward Owen Greening has flourished particularly in Europe, Canada and in some parts of
Africa which was mainly focus on agriculture.

Co-operatives in India:

The co-operative movement in India has passed through several stages. Scholars have noted that
co-operatives in India have begun while the passing of Co-operative Societies Act of 1904.In
India the co-operative movement has completed 108 years since its inception. Fredrick Nichollon
has documented that the idea starting co-operative societies in India was motivated by the factor
of combating rural poverty and indebtedness. The Madras government gave serious thought to
the possibilities of starting a system of land banks in that state. The Famine commission (1898)
strongly advocated the idea of co-operatives for Indian agriculturist. Lord Curzon examined this
report and constituted a committee in 1901 under the chairmanship of Edward Lawrence. The
committee explored the possibilities of launching an organized cooperative movement.

Development of co-operatives in Karnataka:

The co-operatives have existed for more than 100 years in the country. There has been vertical
and horizontal expansion of co-operatives in the country since then. The British government
enacted the co-operative credit societies act, 1904 in the country with a view to safeguard the
interest of peasants and artisans from the exploitative tendencies of the traders who took things
for granted. This act facilitated the establishment and development of co-operatives in the

country. According to the latest statistics there are about (approximation) 175 million
members,353000 co-operatives of various types, share capital of Rs.7000crore and working
capital of Rs.19000crore in India. The co-operative movement has covered almost all villages in
the country by 95200 primary agricultural co-operatives with about 67% active involvement of
rural households. Karnataka state is in the forefront of co-operative movement in India.
Krishnaraja Wodeyar- IV was highly instrumental in heralding a co-operative movement in the
state. The state of Mysore formulated the Mysore Co-operative Control Act in 1905 which was
more progressive than the national act. This act facilitated the establishment of co-operatives in
urban and rural areas. The co-operative movement in Mysore state began with the patronage of
the government and gained strength over a period through active participation of people.
In North Karnataka, Siddara Gowda, Sanna Ramana Gowda Patil established the first
cooperative credit society in Kanaginahal near Dharwad which was registered by then Registrar
of Bombay Province Robert Mack Nail. In Mysore region, the first co-operative society was
established in Bangalore in the year 1905. The first urban co-operative bank was also established
in 1907 in Bangalore under the banner of Bangalore Central Co-operative Bank, Mysore State
Co-operative Bank was started in 1908 in Bangalore. In 1915 the first marketing co-operative
society was started in Hubli. Subsequently the first primary land development bank was
established in Dharwad in 1929. During 1920-30 the co-operative movement was strengthened in
the Bombay Karnataka Province. Several conferences were held to take stock of the situation and
improve the working conditions of cooperatives, witnessed the establishment of several housing

cooperatives societies and urban cooperative banks. The state government has implemented the
progressive direction and measures of the government of India even though cooperation is the
state subject from the point of view of governance. The 5-year plan also provided adequate
budgetary provisions for the development of co-operative sector in Karnataka and elsewhere.
The recommendation of Gorawala Committee was also implemented by the state government.

Reorganization of cooperatives, implementation of development programmers, promotion of

agriculture and cottage industries, marketing of agricultural products, investment in
infrastructure development and other progressive measures were implemented in state of
Mysore. The decade of 1970s is known as the period of organized development of cooperatives
in the state. By 1972, there were 650 milk producers' co-operatives, 848 food grains co-

operatives, 59 lift irrigation co-operatives, 144 labors contract co-operatives, 38 forest workers
contract co-operatives, 29 Transport co-operatives, 25 women co-operatives in state. The
government of Karnataka established a separate department to manage the affairs of

cooperatives. The registrar of the co-operatives is the autocratic head of the department who
controls and guides the activities throughout the state. Each revenue division has a Joint
Registrar who supervises the co-operative activities in the revenue division concerned. There are
Deputy Registrars, Assistant Registrars, Co-operative Development Officers and cooperative

extension officers who work on day-to-day basis in accordance with the norms and guidelines of
the cooperative system in Karnataka State namely, Primary Land Development Banks at
grassroots 1evel, District Centra1 Co-operative Banks at the district level and State Co-operative
bank at the State level.

During 1994-95 there were 4350 Primary Agricultural Credit Societies, 7081 Milk Consumer
Societies and Unions, 1768 Consumer Co-operatives, 1734 employees Credit Societies, 1643
Housing Co-operatives, 1401 Industrial co-operatives in the state of Karnataka. Co-operatives
are now considered as strong vehicles for empowerment which is a big paradigm shift. The co-
operative has been undoubtedly empowering the people by eliminating poverty, generating self-

employment opportunities, creating income generating opportunities and enrichment of social

standards. The co-operatives are actively involved in the empowerment of marginalized sections
of society by improving effectiveness of their interventions in the market.

Introduction to Banking Sector:

To increase the agricultural production of a country or a state, while providing a better livelihood
for the people who engage in farm activities is a complex task. Agriculture and allied sectors
contribute 13.7 percent of GDP in 2012-2013. Agriculture is the main source of livelihood for
more than 58 per cent of Indian population. The manufacturing sector derives its importance
from the fact that it has main supp1y and demand links with the agriculture sector. Historically
agricu1ture in Indian has always been a way of 1ife and suffered from stagnation due to low
productivity increasing from improper investment. This was especially true about subsistence
agriculture. The emergence of green revo1ution in India during the 1ast 60th has rapidly changed

the character of Indian agricu1ture due to adoption of scientific and modern practices using
HYV (High Yielding Variety) seeds, chemica1 fertilizers, pesticides, machinery and equipment
with investments for land improvement and use of irrigation facilities. It is important to
recognize that farming is a business insofar as production is concerned to realize this one must
Analyse what cause farmers to change farm enterprises link crop and livestock on their farm and

methods of production. Modern farming involves more and more buying and selling. Each
farmer’s purpose of production is to produce products either for sale or for his family.
To produce more, farmers must spend more on improved seeds, pesticides, fertilizers, farm
implements and irrigation facilities. These have become cash inputs in recent times and such
expenditures must be financed either out of savings or by borrowing. It is often argued that

borrowing is the only way to meet these needs because farmers, particularly small and marginal
farmers, are unable to invest money in agriculture from their savings. It has been clearly stated
that “the farmers in the underdeveloped countries cannot expect their capita1 needs to come from
savings, because their income from farm operation might be sufficient to provide the minimum
necessities of life”.

Features of a Cooperative Society

1. Voluntary Membership

Cooperative Societies are built upon the cornerstone of voluntary membership, emphasizing that
individuals with shared interests and adherence to the society’s rules possess the right to become
members. This inclusivity extends to all, transcending barriers of caste, race, colour, or creed.
Members retain the independence to make a choice regarding their association with society,
whether to join, sustain their membership, or discontinue it at their discretion.

2. Sources of Finances

The financial foundation of a Cooperative Society is built upon the collective contributions of its
members, primarily through the purchase of shares. However, since a significant portion of
members often comes from economically disadvantaged backgrounds, the accumulated funds
may be insufficient. To address this issue, the government extends financial support to these
societies in the form of loans, typically facilitated by Central or Central Co-operative Banks.
There are also limitations on the maximum number of shares a member can purchase.

3. Democratic Control

Democracy forms a fundamental principle in the operational framework of Cooperative

Societies. Annually, they convene an Annual General Meeting (AGM), providing every member
with the chance to actively engage. Within this AGM, members partake in the election of a
managing committee, which is then tasked with the responsibility of overseeing the society’s
affairs.

4. Separate Legal Entity

A Cooperative Society is mandated by law to complete its registration under the Cooperative
Societies Act of 1912. Upon successful registration, it attains the designation of a separate legal

entity, distinctly separate from its individual members. This legal demarcation establishes the
society’s unique legal identity, rights, and responsibilities, a pivotal aspect for its effective
functioning and accountability.

Aims and Objectives of Cooperative Society in India

1. Collaboration with Government and Similar Organization's.

Another one of the important objectives of Cooperative Society is that Cooperative Societies
often seek to establish partnerships and collaborations with government agencies and other
organizations engaged in similar business activities. Such alliances can facilitate access to
resources, knowledge, and support for society’s members.

2. Undertaking Activities for Member Welfare and Community Development

Among the central objectives of Cooperative Society is to partake in activities that advance the
welfare and prosperity of both its members and the larger society. These activities encompass
vital services, educational and healthcare promotions, and efforts to tackle socio-economic
challenges prevalent in the community.

3. Promoting Unity and Eliminating Internal Competition

Cooperative Societies aim to foster unity and solidarity among their members, and this is also
one of the important objectives of Cooperative Society in India. They actively work to eliminate
internal competition, ensuring that members collaborate rather than compete against each other.
This cooperative spirit enhances the overall success and sustainability of society.
4. Practicing Transparent and Ethical Business Dealings

Transparency and ethical conduct are core objectives of Cooperative Society. They are
committed to conducting business with honesty and fairness, maintaining the trust of their
members and stakeholders. Transparent operations contribute to society’s credibility and long-
term success.

Procedure for Cooperative Society Registration

After having understood the objectives of Cooperative Society, let us look at the process of
cooperative society registration. Registering a cooperative society under the Cooperative Society
Act, 1912 is a critical step in achieving its objectives. The registration process involves several
steps, including

1. Assemble a Minimum of 10 Individuals:

Gather a group of at least 10 individuals who intend to form a cooperative society for mutual
benefit.

2. Convene an Annual General Meeting (AGM):

Hold an AGM with all the members to establish a provisional committee and elect a chief
promoter for the society.

3. Select a Name:

The chief promoter and members should mutually agree on the name of the cooperative society.

4. Prepare and Apply:

File an application with the registration authority that outlines the proposed society’s business
operations. Include all necessary documents.

If the application is accepted, the authority will issue a certificate of name approval.

5. Collect Registration Fees and Share Capital:

Collect the prescribed registration fees and share capital amount from each prospective member.
6. Open a Bank Account:

Open a separate bank account in the name of the cooperative society. Deposit the collected
registration fees and share capital amount into this account to obtain a bank certificate.

7. Apply for Society Registration:

The chief promoter should submit the application for society registration in Form No. Along
with all the required documents.

Obtain the consent of at least 90% of prospective members.

8. Verification by Registrar:

The Registrar will review the authenticity of the documents provided. If satisfied, a Registration
Certificate will be issued. Any discrepancies in the application must be rectified before approval.

9. Receipt for Application:

The Registrar will issue a receipt for the submission of the application. You can use this receipt
to check the status of your application.

10. Entry in Register:

The registering authority will enter all the details of the newly formed cooperative society in the
official register.

11. Notification and Registration Certificate:

Once the Registrar is fully satisfied and all requirements are met, the society’s registration will
be notified in the official gazette. A Registration Certificate will be issued to the cooperative
society, confirming its legal status.

Completing these steps ensures that the cooperative society is officially registered and
recognized under the cooperative society Act 1912.
Types of Cooperative Society

1. Producer Cooperative
To protect the interest of small producers, these societies are set up. The co-operative society
members may be farmers, landowners, owners of the fishing operations. To increase the
marketing possibilities and production efficiency, producers decide to work together or as
separate entities.

2. Consumer Cooperative
These businesses are owned and governed by consumers of a particular area for their mutual
benefit. Their view is to provide daily necessary commodities at an optimum price. Rather than
earning a pecuniary profit, their aim is to provide service to the consumers.

3. Credit Unions
Credit unions are generally member-owned financial cooperatives. Their principle is people
helping people. They provide credit and financial services to the members at competitive prices.
Each depositor has the right to become a member. Members attend the annual meeting and are
given the right to elect a board of directors.

4. Marketing Cooperative Society

With an aim of helping small producers in selling their products, these societies are established.
The producers who wish to obtain reasonable prices for their output are the members of this
society.

For securing a favorable market for the products they eliminate the middlemen and improve the
competitive position of its members. It collects the output of individual members. Various
marketing functions like transportation, packaging, warehousing, etc are performed by the
cooperative societies to sell the product at the best possible price.

5. Housing Cooperative Society

To help people with limited income to construct houses at reasonable costs, these societies are
established. Their aim is to solve the housing problems of the members. A member of this
society aims to procure residential houses at lower cost.

They construct the houses and give the option to members to pay in installments to purchase the
house. They construct flats or provide plots for members on which the members themselves can
construct the houses as per their choice.

1.5 COMPANY PROFILE:

Name Karnataka State Prosecution and

Government Litigation Department
Employee’s Co-operative Society Ltd
Year of Establishment 17-10-2000
Nature of business Service Provider
Turnover 50,00,000
Location 6th Floor, K.H.B. Complex, Kaveri
Bhavan Kempe Gowda Road,
Bangalore-560 009
Registered number of bank UBC4/14/27148/2000-2001
Telephone number 9482155114
Fax number _

Board of Directors of Karnataka State Prosecution and Government

Litigation Department Employee’s Co-operative Society Ltd

Mr. Chinnavenkataravnappa President

Mr. Sreedhara Murthy Vice President

Mr. Nanjaraje Uras Secretary

Mr.Syed Ghouse Anegundi Director

 Mrs.Akshatha Director

Mr. Mallikarjunaswamy Director

Mr. Biradar T.Y. Director

Mr.Muniraju . M. Director

Mr. Shivakumar.L. Director

Mrs. Vidhya Kamathe Director

Mr.Shivakumar Director

1.6: SWOC ANALYSIS

Strength

➢ Business among members

➢ Trust within members

➢ Affordable Interest rate

➢ Good relationship with other banks

➢ Social responsibility

➢ Well educated Accounting Staff

Weakness

➢ Lack of professionalism

➢ Lack of Infrastructure

➢ Lack of technical knowledge

➢ Identification of new customers

➢ Burden of heavy work

➢ Inexperienced personnel

Opportunities

➢ Future growth and expansion

➢ Changing demographic and Socio-cu1tura1 factors

➢ Provision for house construction and site purchase loan

Challenges

➢ Government Policies

➢ Recession

➢ Competition

➢ Unrecovered loan

➢ Increase in competition

1.7: Future growth and prospects

➢ Planning to have various benefits for house purchase and construction.

➢ Planning to core banking facilities.

➢ The society is planning to have less interest rate on all the services for the betterment of the
customers.

➢ The society is planning to have Online banking for the customers.

FUNCTIONS OF CREDIT CO-OPERATIVE SOCIETY

1. Providing financial services to members. This includes loans, savings accounts, and
insurance.

2. Providing goods and services to members. This can include anything from groceries
to housing to healthcare.
3. Promoting economic development among members. This can include providing or
helping members to purchase house, Construction of house, and purchasing of site.

4. Representing the interests of members to government and other

organizations. This can include advocating for policies that benefit members or resolving
disputes between members and other organizations.

In addition to these specific functions, cooperative societies also share some common principles,
such as:

 Voluntary and Open Membership: Membership is voluntary and open to all who
can use its services and meet the membership requirements.

Democratic Member Control: Members have equal voting rights and participate in the
control of the cooperative.

 Member Economic Participation: Members contribute equitably to, and

democratically control, the capital of the cooperative. They share in the profits thereof in
proportion to their respective shares.

 Autonomy and Independence: Cooperatives are autonomous, self-help organizations

controlled by their members.

 Education, Training, and Information: Cooperatives provide education and

training for their members, elected representatives, managers, and employees so they can
contribute effectively to the development of their cooperation.

 Cooperation among Cooperatives: Cooperatives serve their members most

effectively and strengthen the cooperative movement by working together through local,
national, regional, and international structures.
 Concern for Community: Cooperatives work for the sustainable development of their
communities through policies approved by their members.
These principles help to ensure that cooperative societies are democratic and member-owned,
and that they are committed to serving the needs of their members and their communities.
1.8 DIVIDEND DISTRIBUTION FOR THE YEAR 2018-2019

Order no Percentage Fund name Amount

01 25 Reserve Fund 7,07,179.00
(5.7,07,179=5.71,21,
537=50)

02 2 Cooperative 42,430.00
Education Fund
(0.21,21,537-50-
0.42,430=

20,79,107)

03 14 Dividend 20,68,755.00
04 5 Draft Loan Fund 517.00
05 10 General welfare 983.00
fund

06 10 Dharm Artha 885.00

Vidya institution

07 10 Death relief fund 797.00

 08 Balance Balance 7170.50
(0.7.170=50)
Total amount Rs28,28,716.50

1.9 Accounts

For the members of the society facilities like fixed deposit, recurring deposit and share account
are provided. Also to help the members of society short-term loans and loans for house
construction and purchase of sites are available. Rate of interest will be fixed by the committee
or in the monthly meeting.

The recurring deposit account will be for 3 years minimum EMI of 100 to 25,000 per month.
After the maturity interest will be calculated and added to the principal amount. Also, the amount
will be transferred to the member. When it comes to fixed deposits the society will attract 7% per
annum, that is for 1year the account may be renewed or closed and the amount will be
transferred to the members. However, there is no limitations for investment

CURRENT RATE OF INTEREST

For investment namely RD, FD –7%.

Loan, short-term loan – 11%.

House construction and purchase of site – 8.5%

SHARES

As per the byelaw for the value per share is 200/- members can purchase the shares without any
limitations and there is no limit to buy the share one can purchase the share without any limits.
APPOINTMENT OF THE MEMBERS The regular employee who will result to take a
membership has to give the application to the society and pay the application fee that is 5/-, entry
fee is Rs 10/- death relief fund fee rs2000/-, minimum share amount is 5000/- and share fee will
be 1250/-.

Application will be put in the monthly meeting for getting the membership, committee will
approve the application and sanction the membership. The members will be entitled to all the
savings and benefits of society will be given.

Short–term loans of 100,000 will be provided and The amount should be cleared in 50
installments with an interest rate of 11%. Also interest for purchasing the site and construction of
the house will be 8.5% and the maximum period of clearance of the loan is 120 months (about 10
years). Now the maximum amount of loan will be for construction and site purchase is up to
50,00,000 the loan will be sanctioned depending on the salary taken by the member

CALCULATIONS OF LOANS

The member who wants the loan should send the prescribed loan form to the society and get
approval. The EMI will be divided as per the byelaw. Every month the loan amount should be
paid by the members by cash, cheque, or online. The staff will calculate and give the receipt the
payment. If the member fails to pay the loan amount the staff of the organization will remind
through phone call if its more the 6 months or more the loan amount haven't recovered case will
be transferred to the legal opinion and the legal adviser will file the suit against the party and
notice will be served with the loan drawing officer and demand draft will be served to the party
and the surety .

GENERAL BODY MEETINGS

The organization is meant for the regular employees and for the office department only. Any
changes to be made in the bylaw of the company the changes should be taken permission in a
special general body meeting or annual general body meeting. Changes should be intimated to
the members of the society before 21 days (about 3 weeks) by post or acknowledgement should
be taken in the general body meeting. For the changes to the byelaw the majority should be there.
Otherwise, all the members in the meeting should give their opinion. The changes should be
helpful for the employees and the members of the organization.

Amendment should be noticed by the registrar of the co-operative society. For amendment the
organization should pay the prescribed fees to the government. After approval of the registrar,
the charges have been amendment will be affected in future.

The members of the organization should attend the meeting 3 times in five years otherwise the
members will not be allowed to cast their vote.

After completion of the financial year, that is from 1 st April to 31st march the account should be
submitted to an auditor for calculating the dividends for the year. After calculating the dividends
for the year, it will be announced in the general body meeting and the amount will be distributed
to the members after taking approval from the committee.

Amendment of the by-laws of registered society: No amendment of any by-law of a

registered society shall be valid until the same has been registered under this Act. An application
for the registration of amendment of the by-laws of a registered society shall be made to the
Registrar in the prescribed manner and shall be accompanied by a copy of the amendment of the
by-laws If the Registrar is satisfied that an amendment of the by-laws is not contrary to the
provisions of this Act or the rules or to the co-operative principles or to any other law applicable
to the society, he may within such time as may be prescribed register the amendment: Provided
that no order refusing to register the amendment of the by-laws shall be passed except after
giving the registered society an opportunity of making its representations. If the Registrar refuses
to register an amendment of the by-laws of a registered society, he shall communicate within the
time prescribed under sub-section (3) the order of refusal to the registered society together with
the reasons for the refusal. When the Registrar registers an amendment of the by-laws, he shall
issue to the registered society a copy of the amendment of the by-laws certified by him, which
shall be conclusive evidence that the amendment has been duly registered. Where no order of
refusal is communicated under sub-section (4) within the time specified in that sub-section, it
shall be deemed that the Registrar has registered the amendment on the last date of the time
specified in sub-section (4). Notwithstanding anything contained in sub-section (6), the Registrar
shall review within such period as may be prescribed, the case of every amendment of the by-
laws which is deemed to have been registered under sub-section (6), and satisfy himself whether
such amendment of the by-laws complies with the provisions of sub-section (3) and in case such
amendment does not comply with any of the provisions of the said sub-section (3), the Registrar
shall annul the amendment of the by-laws deemed to have been registered. An amendment of the
by-laws of a registered society shall take effect from the date, if any, specified in the amendment.
Where no such date is specified, the amendment shall take effect from the date on which it is
registered. Without prejudice to the provisions of this section, where any amendment of the by-
laws proposed by a society involves, in the opinion of the Registrar, a material change in the
objects or operations of the society, the amendment shall be registered only subject to such rules
as may be made in this behalf.

Power to direct amendment of by-laws : Where the Registrar is satisfied that for the
purpose of altering the area of operation of a registered society or for the purpose of improving
the services rendered by it or for any other purpose specified in the rules, an amendment of the
by-laws is necessary, he may, after consulting in the manner prescribed the board of the
financing bank, if any , to which the society is affiliated, by notice in writing, call upon the
society to show cause, within such time as may be specified in the notice, why the amendment
should not be made: Provided that if the board of the financing bank does not communicate its
comments within sixty days of the receipt of the communication from the Registrar in this regard
it shall be deemed that the board of the financing bank has no comments to make on the
amendment proposed to the by-laws under this sub-section. (2) If, within the time specified in
the notice referred to in sub-section (1), the registered society fails to make the amendment, the
Registrar may, after giving the society an opportunity of making its representation, register the
amendment and issue to the society a copy of such amendment. Any amendment of the by-laws
registered under sub-section (2) shall have the same effect as an amendment of the by-laws
registered under section 11 unless the registration is cancelled in pursuance of a decision in
appeal.

Division and amalgamation of societies: Any registered society may, at a meeting of its
general body specially called for the purpose of which at least fifteen clear days' notice shall be
given to its members, resolve to divide itself into two or more societies. The said resolution
(hereafter in this sub-section referred to as the preliminary resolution) shall contain proposals for
the divisions of the assets and liabilities of the society among the new societies into which it is
proposed to divide it and may prescribe the area of operation of, and specify the members who
will constitute, each of the new societies. The proposed by-laws of the new societies shall be
annexed to the preliminary resolution. A copy of the preliminary resolution shall be sent to all
the members and creditors of the society. Any member of the society may, notwithstanding any
by-law to the contrary, by notice given to the society within a period of one month from the date
of receipt by him of the preliminary resolution, intimate his intention not to become a member of
any of the new societies. Any creditor of the society may, notwithstanding any agreement to the
contrary, by notice given to the society within a period of one month from the date of receipt by
him of the preliminary resolution, intimate his intention to demand a return of the amount due to
him. After the expiry of two months from 9 the date of dispatch of the preliminary resolution to
all the members and creditors of the society, a meeting of the general body of the society of
which at least fifteen clear days' notice shall be given to its members, shall be convened for
considering the preliminary resolution and the proposed by-laws. If, at such meeting, the
preliminary resolution and the proposed by-laws of the new societies are confirmed by a
resolution passed by a majority of not less than two-third of the members present and voting,
either without changes or with such changes, as, in the opinion of the Registrar, are not material,
he may, subject to the provisions of clause and of section 9, but notwithstanding anything
contained in section 8 and on receipt of a copy of such resolution certified in the manner
prescribed, register the new societies and the by-laws thereof. On such registration, the
registration of the original society shall be deemed to have been cancelled. The opinion of the
Registrar as to whether the changes made in the preliminary resolution are, or are not, material
shall be final. At the meeting referred to in clause provision shall be made by another resolution
for the repayment of the share or interest in the capital and other moneys due to all the members
who have given notice under sub-clause (ii) of clause (b); and (B) the satisfaction of the claims
of all the creditors who have given notice under sub-clause (iii) of clause (b): Provided that no
member or creditor shall be entitled to such repayment or satisfaction until the preliminary
resolution is confirmed as provided in clause (c); and 10 (ii) the constitution of an interim board
consisting of the members specified in the resolution to conduct the affairs of each of the new
societies for a period of three months from the date of registration or for such further period or
periods not exceeding six months in the aggregate from the date of registration as the Registrar
may consider necessary; but the interim board constituted under this sub-clause shall cease to
function as soon as a board has been constituted in accordance with the provisions of this Act,
the rules and the by-laws. (e) If the Registrar is satisfied the provision for the repayment of the
share or interest in the capital and other moneys due to all the members and for the satisfaction of
the claims of all the creditors referred to in clause (d) has not been made, he may refuse to
register the new societies. The registration of new societies shall be a sufficient conveyance to
vest the assets and liabilities of the original society in the manner specified in the preliminary
resolution as confirmed under clause (c). (2) (a) Two or more registered societies may, at
meetings of their respective general bodies specially called for the purpose of which at least
fifteen clear days' notice shall be given to their respective members resolve to amalgamate into
one society. The said resolution is hereafter in this sub- 10 section referred to as the preliminary
resolution. The proposed by-laws of the amalgamated society shall be annexed to the preliminary
resolution. (b) (i) A copy of the preliminary resolution of each society shall be sent to all the
members and creditors thereof. (ii) Any member of any such society may, notwithstanding any
by-laws to the contrary, within a period of one month from the date of receipt by him of the
preliminary resolution, intimate his intention not to become a member of the amalgamated
society; by notice given to the society of which he is a member. (iii) Any creditor of any such
society may, notwithstanding any agreement to the contrary, within a period of one month from
the date of receipt by him of the preliminary resolution, intimate his intention to demand a return
of the amount due to him, by notice given to the society of which he is a creditor. (c) After the
expiry of two months from the date of dispatch of the preliminary resolution to all the members
and creditors of all the societies, a joint meeting of the members of such societies of which at
least fifteen clear days' notice shall be given to them, shall be convened for considering the
preliminary resolution and the proposed by-laws. The quorum for the joint meeting shall be the
total of the quorum specified in the by-laws of all the societies or one-fourth of the total number
of members of all the societies, whichever is less. If, at such meeting the preliminary resolution
and the proposed by-laws are confirmed by a resolution passed by a majority of not less than
two-thirds of the members present and voting, either without changes or with such changes as, in
the opinion of the Registrar, are not material, he may, subject to the provisions of clause (f) and
of section 9, but notwithstanding anything contained in section 8, and on receipt of a copy of
such resolution certified in the 11 manner prescribed, register the amalgamated society and the
by-laws thereof. On such registration, the registration of the original societies shall be deemed to
have been cancelled. The opinion of the Registrar as to whether the changes made in the
preliminary resolution are, or are not, material shall be final. (d) At the joint meeting referred to
in clause (c), provision shall be made by another resolution for__ (i) (A) the repayment of the
share or interest in the capital and other moneys due to all the members who have given notice
under sub-clause (ii) of clause (b); and (B) the satisfaction of the claims of all the creditors who
have given notice under sub-clause (iii) of clause (b) : Provided that no member or creditor shall
be entitled to such repayment or satisfaction until the preliminary resolution is confirmed as
provided in clause (c); and (ii) the constitution of an interim board consisting of the members
specified in the resolution to conduct the affairs of the amalgamated society for a period of three
months from the date of registration or for such 11 further period or periods not exceeding six
months in the aggregate from the date of registration as the Registrar may consider necessary;
but the interim board constituted under this sub-clause shall cease to function as soon as a board
has been constituted in accordance with the provisions of this Act, the rules and the by-laws. (e)
The person by whom a joint meeting referred to in clause (c) shall be convened and the
procedure to be followed thereat shall be as may be prescribed. (f) If the Registrar is satisfied
that provision for the repayment of the share or interest in the capital and other moneys due to all
the members and for the satisfaction of the claims of all the creditors referred to in clause (d) has
not been made, he may refuse to register the amalgamated society. (g) The registration of the
amalgamated society shall be a sufficient conveyance to vest in it all the assets and liabilities of
the original societies.
What is the agenda of the first general body meeting?

1. Election of a President/Chairman for the meeting.

2. Review membership applications/ admit new members to the society (other than the
promoter member

3. Form a working (provisional) managing committee which will function for one year till
the time regular elections of the managing committee start and will have all the powers of
the MC

Clearly outline the functions of each member of the provisional committee

Receiving and approving Statement of Accounts made by the Chief Promoter (as on 14 days
(about 2 weeks) prior to the date of the first general body meeting)
 4. To decide the monthly charges to be paid by the members to the society, including
maintenance charges, sinking fund, property tax, parking slots/charges, non-occupancy
charges, common electricity charges, building insurance and lift charges, transfer
premium charges, interest charges for defaulters, charges for the use of society’s open

spaces (if any), water charges, municipal tax, . Any other changes that society deems
necessary should be decided in the meeting.

5. To approve all the expenses incurred from the date of registration up until the first
general body meeting Fix the limit of amount up to which funds can be borrowed

6. Authorize/appoint committee members who would be responsible for obtaining right,

title, conveyance deed under the name of the society from the builder

7. Appoint an Internal Auditor of the society and fix his compensation (if any)

8. Appoint a member of the provisional committee to call the first provisional committee
meeting

9. Discuss and review opportunities of affiliation with any district or federal institutions.

10. To pass rules, regulations and code of conduct for the members to ensure smooth
functioning of the society.

To authorize a provisional committee member to carry out bank transactions, cheque signing,
transfer of bank account to a district co-op bank, etc.

The first general body meeting is the place where several important rules are set forth and
monthly charges are arrived at. The first general body meeting should be held within three
months of the date that the society is registered. It is to be called and conducted by the Chief
Promoter, however in his absence, it can be conducted by anyone else who is assigned the
responsibility by the Registrar. All members of the society are to be informed about the first
general body meeting 14 days (about 2 weeks) before the date of the meeting and a notice is to
be placed on the society’s notice board. In the same notice, the society should invite nominations
from members to form a provisional working committee.

FUNDINGS FOR CREDIT CO-OPERATIVE SOCIETY

A. The primary sources of funds for Co-operatives include member contributions, share
capital, loans and advances from financial institutions, government grants, retained
earnings, and revenue generated from business operations or services rendered by the
society.
B. Co-operative societies typically create various funds to meet specific purposes, including
share capital fund, reserve fund, dividend equalization fund, and welfare fund. Each fund
serves distinct functions, such as capital formation, risk mitigation, and social welfare
initiatives, contributing to the society's overall financial stability and sustainability.
C. Society funds encompass the collective financial resources accumulated and managed by
a Co-operative society to support its operations, investments, and social objectives. These
funds comprise various components such as share capital, reserves, profits, and other
contributions from members and external sources.

The profit of a Co-operative society is typically distributed among its members in proportion to
their participation or patronage, as specified in the society's bylaws or policies. Distribution
methods may include dividends on share capital, interest on savings or deposits, rebates, or
allocations to reserve or welfare funds.

WHY IF FINANCE IMPORTANT FOR CREDIT CO-OPERATIVE

SOCIETY:

The primary purpose of credit cooperative societies is to promote thrift, savings, and financial
inclusion within communities. They offer various services such as savings accounts, loans,
insurance, and other financial products tailored to meet the specific needs of their members.
Members of these societies are also owners, with each member having an equal say in the
decision-making process, regardless of the size of their financial contribution. This democratic
structure ensures that the interests of the members are prioritized, fostering a sense of community
ownership and accountability.

BENEFITS OF CREDIT CO-OPERATIVE SOCIETIES

Credit co-operatives offer benefits to their members, contributing significantly to their financial
well-being and overall development.

1. Access to credit: Credit co-operative societies provide access to affordable credit

facilities, especially to people and small business who may struggle to secure loans from
traditional financial institutions. By pooling resources and funds from members, these
societies offer loans at reasonable interest rates, thus enabling members to meet their
financial needs without falling into predatory lending debt.

2. Member empowerment: Being member-owned and democratically controlled

entities, Credit Cooperative Societies empower their members by providing them with a
platform to collectively address their financial needs. Members actively participate in
decision-making processes, ensuring that the society's operations align with their interests
and goals. This sense of ownership fosters a strong sense of community and solidarity
among members.

3. Financial education and support: Credit Cooperative Societies not only provide
financial services but also offer financial literacy programs and training to their members.
These educational initiatives help members develop better financial management skills,
make informed financial decisions, and ultimately improve their financial well-being.
Additionally, members receive support and guidance from society in navigating various
financial challenges they may encounter.
 4. Sustainable community development: By promoting thrift and self-help among
members, Credit Cooperative Societies contribute to the sustainable development of
communities.

CHAPTER – 2
DESIGN OF THE STUDY

INTRODUCTION OF THE STUDY

This project report entitled the credit facilities. This has been bought out to know the customers
or members' opinion about the credit facilities provided by the society. This project is also
prepared to know the performance of society.

In the beginning of human existence needs were simple and every individual Produced all that
was necessary to sustain life, keep provided his own food of animal flesh and vegetables, prepare
his own clothing, and found his own shelter.
After this state barter system came into existence. The barter system means trade with exchange
of goods with absence of money. At this stage the concept of dependency emerged in the routine
life of human beings. And their dependency demanded cooperation, that is how cooperation was
born.

In the course of time people settled down in different occupations and with specializations
exchange of goods became wider and the money was introduced in trading which was widely
accepted for payment. As money started getting importance. Corporation was hand in hand with
it.

So, cooperation is an important thing, which plays an important role in all goods and services
and in settlement of debts. Money is given and received without reference to the standing of a
person who offers it in payment.

According to D.H.Robertson ‘Money is anything which is widely accepted in payment of goods

or in discharge of other kinds of business obligations.

OBJECTIVES OF THE PROJECT REPORT

➢ To determine the variation in the items of income statement and balance sheet by common
size statement

➢ To evaluate the performance of the bank by comparative study

➢ To ascertain the so1vency, liquidity and financial position of the bank using ratios.

➢ To analyze bank’s data over a period using trend analysis.

STATEMENT OF THE PROBLEM

The co-operative thrift and credit society have tried their possible best in promoting their
member interest, but due to decrease in members of the organization as well as the society the
fund received from depositors have been decreased so it impacts on the interest of the members.
All the members of the organization from low level of hierarchy to the top level everyone will
the member of this society but only some will know about the laws and principle inside the
organization. They conduct a general body meeting once in every year due to that some members
will not have a clear knowledge about the changes in terms and conditions of the society, regular
conducting of general body meeting once in 3 months will give them a clear understanding. And
one of the important problem is about the surety loan which is the highest loan is provide with
some of the demerits, as one person will act as surety to other person if the person who fails are
cannot pay the loan the person who act as the surety gets the full response to pay the pending, but
these type of situation occurs rarely.

MEASURES OF ECCS:
The Employee’s Co-operative credit society plays an important role by providing the financial
help to the laborers, workers and employee’s, these credit societies are organized to serve the
common man and liberate him from the exploitation of the economically strong class of people.
The importance of Employee’s Co-operative credit societies is as follows.

1. The employee’s Co-operative credit society is run on democratic principles, therefore, that a
member has the right to verify his accounts

2. The liability of the members is limited to the extent of the face value of the shares held by
them.

3. Every member of the credit society must contribute some money towards the shares and
deposits

4. “One member one vote” is the main principle of the employee’s Cooperative credit society

5. “Service without profit” the motto of the credit society

6. There is a monthly salary deduction for the recovery of the loan; there is no possibility of bad
debts and being overdue.

7. The credit Co-operative societies help the members by giving short-term loans to meet the
basic needs. Considering this background, they study of financial aspects of employees

RESEARCH DESIGN
Research Design is the blueprint of any research and it’s the strategy to integrate the different
components of the research project in a cohesive and coherent way. The design used for studying
the employee welfare measures is descriptive research. The research strategy used for the study
is survey strategy. A survey is the collection of data from a given population for the purpose of
analysis of a particular issue. Here a questionnaire is given to the respondents for getting
information.

SOURCES OF DATA

Primary Data

Primary data collection is necessary when a researcher cannot find the data needed in secondary
sources. This data is collected from the employees directly by means of collecting the filled
questionnaire and interviewing with the workmen of the company for finding their responses for
different questions.

Secondary Data

Secondary Data is data collected by someone other than the user. Common sources of secondary
data for research include censuses, surveys, organizational records and data collected through
qualitative methodologies or qualitative research.

STRUCTURE OF QUESTIONNAIRE:

The questionnaire was divided into two sections. The first part was designed to know the general
information about and the Members of the organization, second part contained what the members
of the organization think about it and what type of loan they receive, or type of deposits made.

ANALYTICAL TOOLS

The tools used for data analysis are

• Descriptive analysis

• Simple Percentage Analysis

DESCRIPTIVE ANALYSIS
Descriptive analysis means and standard deviation has been analysis by using the variable like
Understanding of the company, Includes setting out, Training opportunities, Sincere welcome,
Overview of job roles, Communication techniques, Job specific training opportunities, Feel
comfortable,Pre-planned,Office hours and payroll policies.

SIMPLE PERCENTAGE ANALYSIS

Simple percentage analysis deals with the demographic factors of the respondents’ age, gender
and experience.

SCOPE OF CREDIT CO-OPERATIVE SOCIETY

1. works for the economic welfare of poor or weaker sections of society.
2. To eliminate middlemen.
3. protect the interest of its members and society.
4. Helping their members.
5. Have an equitable and fair distribution of economic results based on the volume of
operations made through them.
6.

NEED FOR THE STUDY:

The study of intra firms helps the company to know the financial position and solvency of both
competitors and the company itself, which assists the survival and growth of the business. This
study helps to identify the competitive strength of a company among its competitors. The study
helps the company to know the strength and weaknesses of similar business unit which provide
platform to get success in the market and most importantly this study helps in making necessary
changes in the firm's operations to improve its performance and to get financial benefits.
OBJECTIVES OF THE STUDY

1. The main objective of a cooperative society is not to make a profit but to give service to its
members. The cooperative society is formed for the welfare of the people.

2. Co-operative societies are rightly called a service-oriented organization, Maximization of

profit is not the aim.

3. The main objective of my study in this organization is to know how the organization is
maintained and what are all the books maintained in this organization, how the fund is generated
if there is insufficient of fund how the funds are generated and given to the members.

4. This organization generates those funds from its members and circulates the funds by
providing loans and receiving deposits. This acts like a bank but only to its members.

5. There are lot of procedure to receive loan from bank it takes lot of time and the rate of interest
in Hight but in this the loan is provided immediately and interest rate is less, so the members
inside the organization prefer this to bank.

SCOPE FOR THE STUDY

The researcher of this study intended to study the problems of co-operative thrift and loan
societies inside society. Scope of this study is to know how this co-operative society generates
it's fund from and how it lends loan to employees without any document and how it helps the
people in needy time, why do people prefer this society rather than getting funds from banks and
other institutions and to know what are the benefits for the depositor who makes deposit in this
organization. How It differs from bank, what are the inconvenience faced by the surety who
takes surety loan keeping another person as nominee. How this society is managed by only a few
people and 08 directors who perform as the people person. And the important point is to know
why this society has a limit of funds to people and how it can be managed.
LIMITATIONS OF THE STUDY

a. The availability of resource documents, which is due to inefficiency in management, has

become a barrier to knowing about the past performance of the organization.

b. As the cooperative society provides loan based on trust basis only to the employees working
inside the organization sometimes, they may face lack of security which employees cannot
provide sometimes in time of emergency.

c. There is a difference of opinion among the members as all of them are not members of society,
so some of the people in high positions prefer to invest in a bank. Only the middle-class person
needs the help of society, so due to those the deposit rate is decreasing as many of them with
high salary level not showing interest to deposit in society.
 CHAPTER – 3

DATA ANALYSIS

PERCENTAGE ANALYSIS

DISTRIBUTION OF RESPONDENTS ON THE BASIS OF AGE

FERQUENCY PERCENTAGE

21 – 30 YEARS 8 6.6

31 – 40 YEARS 38 31.1

41 – 50 YEARS 36 29.3

51 – 60 YEARS 41 33.3

TOTAL 123 100.3

Source: Primary data

Chart showing Age wise classification

Interpretation:

From the above table it is interpreted that the number of respondents collected based on their
age, of respondents are members from 25 to 30 age are 8 numbers, 31 to 40 ages are 38 numbers,
41-50 age are 36 number and 51- 60 age are 41 numbers so total of 123 members responses are
collected.

Inference:

The majority 41 (33.3) number of the respondents are collected from the age group from 51 to
60. The least number of responses 8 (6.6) response are collected from the age group of 25-30
years

Classification of members based on their position

Position in cooperative society Frequency Percentage

Depositor 24 19.7 %

Loan Receiver 99 80.3 %

Interpretation:
From the above table it is interpreted that the number of people acting as the Depositor is low
compared to the loan receiving members. Only 19.7% of members provide deposit to the society
from which a part of fund is generated. The other 80.3% of members are loan receivers.

Inference: Majority of 80.3 % of people are loan receivers out of 100%, only 19.7% of people
are depositors who makes deposit in co-operative society.

Classification based on preference of the people

Options Frequency Percentage

Co-operative society 121 98.4%

Bank 2 1.6%

Chart based on members preference

Interpretation: From the above table it is interpreted that the number of people is more
benefited by the cooperative society than banks. So, most of the people except 1.6% of people
opt for cooperative society. 98.4 % of members out of 100 % opted for cooperative society.

Inference: 98.4% opted for cooperative society, balance 1.6 % chose bank.

Classification of members based on the deposits made

Type of Deposit Percentage of people

Thrift Deposit 36.3 %

Share capital 45 %

Fixed deposit 8.7 %

Family welfare deposit 10 %

Interpretation: From the above table it is interpreted that most percentage of members make
their deposits in share capital as it provides dividends and profit. Most people don’t prefer fixed
deposits.

Inference: Majority of 45 % of people make their deposits in Share capital, 36.3 % make their
investments in thrift deposits, 10 % of people make their deposit in FD, only 8.7 % people make
their deposits in Family welfare deposits.

Ratings of overall performance of the society:

Criteria Percentage of votes

Excellent 2.5 %

Very good 37.7 %

Good 47.5 %

Average 12.3 %

Poor 0
 Chart showing the overall performance of the society

Interpretation: From the above table it is interpreted that most of the people or members of
the cooperative society voted for a good and very good performance. Excellency is very low
compared to the other three.

Inference: Lowest percentage of 2.5% of votes has been casted for excellent performance,
37.7% voted for very good performance of the society, 47.5% has been voted for Goof
performance and 12,3 voted for average performance of the Co-operative society.

NO OF MEMEBERS INCREASE OF DECREASE

YEAR NO OF MEMBERS

2017-18 209

2018-19 201

2019-20 196

2020-21 178

2021-22 154
 Chart showing the No of members in the society

Interpretation: From the above table it is interpreted that there is a reduction in the number
of members of the society. For the past 5 years it has been gradually decreasing.

Inference: Compared to 2017-18 there is a difference of 55 members compared with 2021-22.

It is clearly decreasing.

Profit earned:

YEARS PROFITS
2014-15 14.48

2015-16 20.62

2016-17 23.95

2017-18 28.32

2018-19 36.31

2019-20 34.79

2020-21 26.69

2021-22 30.09
 Chart showing Profit made during the years

Interpretation

From the above table it is seen that there has been a fluctuation in the profit year in the past five
years. The percentage of profit earned in 2018-19 is higher than compared to other eight years.

Inference

From this line chart we can understand that there has been a growth in the profit earned by the
society compared to the last eight years.

CHAPTER – 4

LEARNING OUTCOME

FINDINGS
1. 41 (33.3%) number of the respondents are collected from the age group from 51 to 60. The
least number of responses, 8 (6.6%) responses are collected from the age group of 25-30 years.

2. Majority of 60 members is being member of the society only past 11 to 20 years, only 11
members has been the member of the cooperative society for 31 to 40 years.

3. 80.3 % of people are loan receivers out of 100%, only 19.7% of people are depositors who
makes deposit in co-operative society.

4. 98.4 % opted for cooperative society, balance 1.6 % chose bank.

5. 45 % of people make their deposits in Share capital, 36.3 % make their investment in thrift
deposits, 10 % of people make their deposit in FD, only 8.7 % people make their deposits in
Family welfare deposits.

6. Majority of 77.1 person opted for emergency loan balance 11.9 % for festival loan and 11 %
for surety loan out of 100 %.

7. Lowest percentage of 2.5% of votes has been casted for excellent performance, 37.7% voted
for very good performance of the society, 47.5% has been voted for Goof performance and 12,3
voted for average performance of the Co-operative society.

8. The profit of the organization has been increasing from 14.48 during the period of 2014- 15
has increased to 30.09 during 2021-22. So, from this we can understand and realize its
efficiency.

SUGGESTIONS:

Co-operative society is basically a not-for-profit organization, it is established to maintain the

welfare of the people. There are various cooperative societies, which are still unknow to many
people. From the research and study in made in this field from that I would suggest that people
should be aware about this type of cooperative society which will be helpful in times of needy,
many organizations should come front to establish a cooperative society inside their organization
to maintain the welfare of its employee.

Suggestions to the Organization:

The Karnataka State prosecution and Government litigations Employees Credit Corporative
Society Ltd, works hard to maintain a financial welfare balance among the employees who are
the members of this organization. But they should attract a greater number of depositors to invest
in this organization so that it will increase the interest of the investors and will be easy to
circulate funds. The amount which is collected from the members as a family welfare fund as a
mandatory one monthly should be increased so that they get a reasonable amount at the end. The
task of surety as proof sometimes is an unlucky game but it happens once in blue moon so
maximizing that should be avoided. More employees should be required so that there will be an
increase in the number of members of the organization, which leads to investment in deposits
being a key factor for increasing the capital fund of the organization. It is basically a not-for-
profit organization which works to gain profit to run the organization.

QUESTIONER

1. Educational Qualification?

2.. How long have you been a member of cooperative society?

3. Your position in cooperative society.

4. Do you prefer cooperative society or bank?

5. Do cooperative society satisfies your need?

6. Are the members of the cooperative society aware of the principles and law laid inside the
cooperative?
7. What are the benefits of cooperative society from your point of view?

8. Does personal problem between the employees affect the borrowing process inside the
society?

9. What other loans are available for members?

10. What is the maximum amount that can be granted under surety loan?

11. Overall Feedback Rating about the cooperative society

CONLCUSION

According to the cooperative principles, Cooperatives are formed to satisfy the needs of their
members. They are voluntary, autonomous, self-help democratic organizations owned and
controlled by their members. Membership in cooperatives is open and voluntary. Any person
who can use the services and accepts the responsibility of membership may become a member
without any discrimination. The whole system is controlled in a democratic manner. The
members elect their representatives to manage the affairs of their cooperatives. The managers
and the staff are appointed and removed by the cooperatives. They are accountable to the elected
leaders/Board of Directors and in turn Board of Directors are accountable to the members
(General Body Meeting). Every matter is decided democratically by a majority of votes. There is
limited interest in share capital and members share profit and loss based on their participation as
users of the services provided by the cooperatives. Cooperatives also provide education and
training for their members, elected representatives, managers and employees so that they can
contribute effectively to the development of their cooperatives. They serve their members most
effectively and strengthen the movement by working together through local, national, regional
and international structures. They also work for the sustainable development of the communities
in which they operate. The task of accomplishing mutual intelligibility to rapidly build next
action creates an environment that would promote the emergence of Peircean symbols,
themselves forms of co-operative action, in the natural world. Co-operative action’s
transformation of history, cognition, and sociality is central to the human adaptation.