Short Answer

Yes, members of a cooperative society can ask for changes to the accounts (corrections) before approving them.

Detailed Explanation

Section 76 of the Gujarat Cooperative Societies Act, 1961 empowers the members of a cooperative society to ask for changes to the accounts before approving them. This section states that the accounts of the society shall be audited annually, and a copy of the audited accounts along with the auditor's report shall be furnished to the members. If any member has objections or suggestions regarding the accounts, they can bring them to the notice of the society.

Furthermore, Rule 91 of the Gujarat Cooperative Societies Rules, 1965 elaborates on the procedure for the audit of accounts. It specifies that the audit report should be submitted to the society, and any member can inspect the audit report and raise objections or seek clarifications. The society must address these objections before finalizing the accounts for approval by the members.

In practice, this means that members have the right to review the accounts, point out any errors or discrepancies, and request corrections before giving their approval. This ensures transparency and accountability in the financial management of the cooperative society.

Real-world Scenarios

• Scenario 1: During the annual general meeting, a member notices a calculation error in the financial statements of the cooperative society. They raise this issue with the management and request a correction before approving the accounts.

• Scenario 2: A group of members collectively review the audit report and identify inconsistencies in the income and expenditure records. They submit their observations to the society for rectification before the accounts are finalized.

• Scenario 3: A member discovers a misclassification of expenses in the accounts and brings it to the attention of the auditor for verification and correction before the accounts are presented for approval.

References

• Section 76 of the Gujarat Cooperative Societies Act, 1961: Official PDF

• Rule 91 of the Gujarat Cooperative Societies Rules, 1965: Official PDF