Short Answer

Members can ensure the maintenance fund is used only for society purposes by following the guidelines set out in the Gujarat Cooperative Societies Act, 1961, and the Gujarat Cooperative Societies Rules, 1965.

Detailed Explanation

Rule 97 of the Gujarat Cooperative Societies Rules, 1965 states that the maintenance fund of a cooperative society should be utilized only for the maintenance, repair, and upkeep of the society's property. This means that the funds collected from members for maintenance purposes cannot be diverted for any other use. In practice, this rule ensures transparency and accountability in the management of society funds. Members can monitor the utilization of the maintenance fund by regularly reviewing the financial statements and accounts of the society.

Additionally, Section 73 of the Gujarat Cooperative Societies Act, 1961 empowers the Registrar to inquire into the management of a society, including the utilization of funds. If members suspect any misuse of the maintenance fund, they can file a complaint with the Registrar, who can then investigate the matter and take appropriate action. This provision acts as a safeguard against mismanagement and misuse of society funds.

Practical Examples

• Scenario 1: A cooperative housing society collects a monthly maintenance fee from its members. However, the funds are being used to pay for personal expenses of the committee members. In this case, members can refer to Rule 97 of the Gujarat Cooperative Societies Rules, 1965 and file a complaint with the Registrar for investigation.

• Scenario 2: A society decides to undertake a major renovation project using the maintenance fund without consulting the members. Section 73 of the Gujarat Cooperative Societies Act, 1961 allows members to raise objections and seek clarification on the utilization of funds.

Reference

• Gujarat Cooperative Societies Act, 1961: Section 73

• Gujarat Cooperative Societies Rules, 1965: Rule 97