Short Answer

The society should treat the recovery of old dues in the accounts by following the provisions of the Gujarat Cooperative Societies Act, 1961 and the Gujarat Cooperative Societies Rules, 1965.

Detailed Explanation

Section 73 of the Gujarat Cooperative Societies Act, 1961 deals with the recovery of old dues. This section empowers the society to recover any outstanding dues from its members. It provides the legal framework for the society to take necessary actions to collect old dues, including penalties or interest, from the members. In practice, the society should maintain proper records of the old dues, including the amount, date of dues, and any penalties or interest accrued.

Rule 90 of the Gujarat Cooperative Societies Rules, 1965 further elaborates on the procedure for the recovery of old dues. This rule outlines the steps that the society must follow to recover the outstanding amounts, such as issuing notices to the defaulting members, conducting hearings if necessary, and taking appropriate legal actions if the dues remain unpaid. The rule also specifies the time limits within which the recovery process should be initiated and completed.

In real-world scenarios, societies often face challenges in recovering old dues from members who may be unwilling or unable to pay. In such cases, the society needs to follow the procedures outlined in the Act and Rules diligently to ensure proper recovery without violating the rights of the members. The step-by-step process involves sending notices, conducting meetings with defaulting members, and if necessary, seeking legal remedies through the appropriate authorities.

Practical Examples

• Scenario 1: A cooperative housing society has several members who have not paid their maintenance dues for the past six months. The society can use Section 73 of the Act to recover these old dues by sending notices to the defaulting members and initiating the recovery process as per Rule 90 of the Rules.

• Scenario 2: A cooperative credit society has outstanding loan amounts from some members who have defaulted on their payments. By following the provisions of Section 73 and Rule 90, the society can take legal actions to recover these old dues, including seizing collateral if necessary.

• Scenario 3: A cooperative agricultural society is facing financial difficulties due to unpaid dues from its members. By strictly adhering to the procedures outlined in the Act and Rules, the society can recover the old dues without resorting to coercive measures.

References

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

• Rule 90 of the Gujarat Cooperative Societies Rules, 1965: Official PDF