Short Answer

No, a defaulter (non-paying member) cannot stand for or be elected to the committee of a cooperative society.

Detailed Explanation

Section 73 of the Gujarat Cooperative Societies Act, 1961 prohibits a defaulter from being eligible to stand for or be elected to the committee of a cooperative society. This means that any member who has defaulted on payments owed to the society is disqualified from holding a position on the committee. This provision aims to ensure financial discipline within the society and prevent individuals who do not fulfill their financial obligations from having decision-making authority.

In practice, before conducting elections for the committee, the society must verify the payment status of all members to determine their eligibility. If a member is found to be a defaulter, they cannot be nominated or elected to the committee. This rule helps maintain the integrity and financial stability of the cooperative society by ensuring that only responsible and financially compliant members lead the organization.

Real-world Scenarios

• Scenario 1: Mr. A, a member of a cooperative society, has not paid his maintenance fees for several months. When the society conducts elections for the committee, Mr. A expresses his interest in standing for a position. However, as per Section 73 of the Act, Mr. A is ineligible to be elected due to his defaulter status.

• Scenario 2: A cooperative society discovers that one of the candidates running for the committee has outstanding dues towards the society. In accordance with the Act, the society informs the candidate that they are disqualified from the election process due to their defaulter status.

• Scenario 3: During the verification process before the committee elections, the society identifies multiple members who are defaulters. These members are informed that they cannot participate in the election process as candidates due to their non-payment status.

Reference

• Gujarat Cooperative Societies Act, 1961: Section 73

• Official PDF