Short Answer

Yes, a society is allowed to hire an accountant or auditor and charge that to maintenance.

Detailed Explanation

Section 73 of the Gujarat Cooperative Societies Act, 1961 empowers a cooperative society to appoint an auditor or accountants. The Act allows the society to engage these professionals for the proper maintenance of accounts and records. This provision ensures transparency and accuracy in financial matters within the society. The expenses incurred for hiring an accountant or auditor can be charged to the maintenance fund of the society.

Furthermore, Rule 102 of the Gujarat Cooperative Societies Rules, 1965 provides guidelines regarding the appointment and remuneration of auditors. It stipulates that the society must appoint a qualified auditor to audit its accounts annually. The remuneration of the auditor can be paid from the funds of the society, including the maintenance fund.

In practice, societies often hire accountants or auditors to ensure compliance with financial regulations, maintain accurate records, and provide financial transparency to the members. These professionals play a crucial role in safeguarding the financial interests of the society and its members.

Practical Examples

• Scenario 1: A cooperative housing society in Gujarat decides to hire a chartered accountant to audit its annual financial statements. The society passes a resolution in a general body meeting to appoint the accountant, and the expenses incurred for the audit are charged to the maintenance fund.

• Scenario 2: A cooperative society running a commercial complex appoints a professional accountant to maintain its financial records and prepare balance sheets. The fees of the accountant are paid from the society's maintenance fund as per the provisions of the Act and Rules.

• Scenario 3: A cooperative society with multiple residential buildings engages an auditor to conduct a special audit to investigate discrepancies in its financial transactions. The auditor's remuneration is borne by the society and charged to the maintenance fund.

References

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

• Rule 102 of the Gujarat Cooperative Societies Rules, 1965: Official PDF