While replying to a query raised by Rajya Sabha Member of Parliament Smt. Geeta related to the provisions existing in the constitution of India to strengthen co-op societies during winter session, Union Cooperative Minister Amit Shah had said, “The Ninety-Seventh (97th) Constitution (Amendment) Act, 2011 granted constitutional status to the Cooperative Societies and made the provisions”.
“Right to form cooperative societies was included as a Fundamental Right by insertion of the words “cooperative societies” in Article 19(1)(c) in Part III of the Constitution. Article 43B was inserted in Part IV of the Constitution as Directive Principle of State Policy for promotion of cooperative societies.
Part IX B ‘The Cooperative Societies’ was inserted with provisions for incorporation, regulation and winding up of co-operative societies”, he added.
Shah further added, “Cooperative societies with objects confined to a single State fall under entry 32 of list II (State list) of seventh schedule of the Constitution for which states are competent to legislate”.
Accordingly, such societies are governed by respective State Cooperative Acts. Cooperative Societies with objects not confined to one State fall under entry 44 of list I (Union list) for which the Parliament is empowered to make laws and accordingly Parliament has enacted Multi-State Cooperative Societies Act, 2002, Union Cooperation Minister reply concluded.