Short Answer

Maintenance funds can be spent up to 1/12th of the total amount without member approval.

Detailed Explanation

Rule 87(1) of the Gujarat Cooperative Societies Rules, 1965 states that the committee of a cooperative society can spend up to 1/12th of the total amount in the maintenance fund without seeking approval from the members. This means that the committee has the authority to utilize a portion of the maintenance fund for necessary expenses related to maintenance and utilities without having to obtain explicit consent from the members.

In practice, this provision allows the committee to address urgent maintenance issues promptly without delays caused by the need for member approval. For example, if there is a sudden breakdown of essential utilities like water supply or electricity in the society premises, the committee can use a portion of the maintenance fund to quickly address the issue and ensure the smooth functioning of the society.

Real-world scenarios where this rule applies include situations where immediate repairs or maintenance work is required to prevent further damage to the society's infrastructure or to ensure the safety and well-being of the residents. By having the flexibility to spend a limited amount from the maintenance fund without member approval, the committee can effectively manage and maintain the society's facilities in a timely manner.

In practical terms, the step-by-step process involves the committee assessing the urgency and necessity of the maintenance expenditure, ensuring that the amount to be spent does not exceed 1/12th of the total maintenance fund, and documenting the expenses for transparency and accountability purposes.

Reference

• Rule 87(1) of the Gujarat Cooperative Societies Rules, 1965: [Official PDF]