Question

The nature and type of state aid to cooperatives are depicted in the following table. Match the section as per Cooperative Societies Act and type or feature of state aid to cooperatives appropriately. Type/Nature of State Aid to Cooperatives - Section I. Direct Subscription to share capital by Govt. - a. Section 44 II. Principal State Partnership Fund - b. Section 50 III. Disposal of PSPF/SSPF - c. Section 42 IV. Disposal of share capital/dividend Section - Section 51

• A. a c b d
• B. a с d b
• C. c a d b
• D. c a b d

Answer 1

Answer:

C. c a d b

There are several ways that cooperatives can receive aid, including: Financial assistance The National Cooperative Development Corporation (NCDC) provides financial assistance to cooperatives in the form of: Term loans Investment loans Working capital loans Credit linked subsidies Financial assistance for deep sea trawlers Share capital contribution The government provides financial assistance to cooperative societies in the form of share capital contribution. Managerial subsidy The government provides managerial subsidy to cooperative societies to help with management costs. State government support The state government can: Subscribe to the share capital of a cooperative society Provide money to a state-level cooperative society to purchase shares in other cooperative societies