Co-operative Societies Act, 2003.

This Act defines "co-operative societies" and provides with respect to their registration, administration and functioning. There shall be: (a) Primary Societies with individual physical persons as members at the level of village, or area or locality; (b) County Unions with membership of primary and functional societies at the County level; (c) The Regional Unions with membership of the County Unions at the level of the Region; (d) The National Co-operatives Federation at the national level, with the membership of Regional Unions. A primary or functional Society in a village or area or locality shall subscribe to the County Co-operative Union. A County Co-operative Union shall subscribe to the Regional Co-operative Union and a Regional Co-operative Union and functional Society or Unions at the Regional level shall subscribe to the National Co-operatives Federation. The Commissioner shall make regulations for the purpose of giving effect to the provisions of this Act. The Act also defines rights of co-operative societies in respect of its members. Subject to any prior claims of the Civil Authority or the holder of a registered charge or claims resulting from liquidation, a Society shall have a first charge on the products of its members and on the implements and appliances belonging to them. No Society shall grant loans to any of its members against the security of movable property other than the produce in which it is authorized to deal.