Background: The 97th Amendment Act, enacted in 2011, significantly altered the constitutional framework concerning cooperative societies in India. It aimed to revitalize and strengthen cooperative societies by providing them with constitutional status and protection.
Legislative Passage: The bill for the 97th Amendment was indeed passed by the Lok Sabha on December 28, 2011, and by the Rajya Sabha on December 20, 2011.
New Part IX-B: A crucial aspect of this amendment was the addition of Part IX-B to the Constitution, titled "The Co-operative Societies." This new part grants constitutional recognition to cooperative societies.
Key Articles Introduced/Amended:
Article 243ZI: Defines cooperative societies.
Article 243ZJ: Deals with the incorporation of cooperative societies.
Article 243ZK: Pertains to the number and tenure of members of the board and its office bearers.
Article 243ZL: Empowers the state legislature to make provisions for the election of board members.
Article 243ZM: Concerns the superseding of the board and suspension of the board.
Article 243ZN: Deals with the audit of accounts of cooperative societies.
Article 243ZO: This article, however, does not provide for the right of members to access information in cooperative societies. Instead, it relates to the continuance of existing laws. The right to information within cooperative societies is generally governed by their respective by-laws and the Right to Information Act, 2005, though not specifically enshrined in Article 243ZO.
Board Member Limit: The amendment specifies that the board of a cooperative society shall consist of a certain number of members, but it does not rigidly fix the maximum number of board members at 21, including co-opted members. State laws and the bye-laws of the cooperative societies typically govern the exact number of members, with provisions for co-option. The amendment focuses on ensuring a democratic and autonomous functioning of these bodies.
