Short Answer

Yes, members of cooperative societies in Gujarat are required to disclose if they are renting their premises to family members or outsiders.

Detailed Explanation

Section 73 of the Gujarat Cooperative Societies Act, 1961 addresses the issue of disclosure of tenancy. It states that every member who is a tenant of a cooperative society shall disclose the fact of tenancy to the society within a specified time. This disclosure requirement applies regardless of whether the tenant is renting to family members or outsiders. The purpose of this provision is to ensure transparency within the cooperative society and to prevent any conflicts of interest or misuse of the premises.

In practice, this means that any member who is renting out their premises, whether to family members or outsiders, must inform the cooperative society about this arrangement. Failure to disclose such information can lead to penalties or disciplinary actions by the society. This rule helps in maintaining proper records of tenancy within the society and enables the management to monitor the utilization of the premises effectively.

Real-world Scenarios

• Example 1: Mr. Patel, a member of a cooperative society, rents out his flat to his cousin without informing the society. As per Section 73, Mr. Patel is required to disclose this tenancy arrangement to the society to comply with the law.

• Example 2: Ms. Desai rents out her shop in a cooperative society to an outsider without disclosing the tenancy details to the society. The society can take action against Ms. Desai for not following the disclosure requirements under the Act.

Reference

• Section 73 of the Gujarat Cooperative Societies Act, 1961: Official PDF