Amalgamation of two society

Societies co-operative acts, Muti-cooperative act and Society Registration Acts all have provisions and guidelines for amalgamation of housing societies.

The society has to convene a Special General Meeting by giving a 15-day notice to its members & creditors. The resolution to amalgamate can only be passed if there is a two-thirds majority vote by the members.

The resolution should contain a detailed purpose of why the society intends to amalgamate, transfer or divide along with proposed plan or scheme demonstrating how such a transformation is in the interest of the society. The proposed scheme for the transfer of liabilities and assets to another society should also be clearly laid out if such is the intention of the housing society and a statement is to be submitted with the application. If the plan consists of the transfer of liabilities or assets, the co-operative society is mandated to give written notice to all the members, creditors and any other person who are likely to be affected by such a decision.

After inspecting the society’s report, the Registrar if thoroughly satisfied with the proceedings, will register the amalgamated, divided or converted society and cancel the registration that was filed for the society previously.

The Registrar gives permission to members, shareholders, creditors and any other person who may have an objection to such a decision and may be affected by it. They may ask for additional information or particulars from the cooperative society, and after a thorough examination, gives his approval.