Multi-State Co-operative Societies Act : Restriction on loans. Indian Bare Acts :

Multi-State Co-operative Societies Act,2002

Act No : 39

Section : Restriction on loans.

66. Restriction on loans.-(1) A multi-State co-operative society, other than a co-operative bank, shall not make a loan to a member on the security of his share or on the security of a non-member. (2) Notwithstanding anything contained in sub-section (1), a multi-State co-operative society may make a loan to a depositor on the security of his deposit.