Any group of persons can form Funds Management in cooperative society of their own if they so like to act jointly for the common benefit of each other. But that is not the legal way of formation the cooperative society. All societies must be formed under the Cooperative Societies Act, 1912 or under the relevant state cooperative laws.

(1) The board may exercise all such powers as may be necessary or expedient for the purpose of carrying out its functions under Multi State Cooperative Societies Act, 2002. (2) Without prejudice to the generality of the foregoing powers, such powers shall include the power
(a) to admit members;
(b) to interpret the organizational objectives and set up specific goals to be achieved towards these objectives;
(c) to make periodic appraisal of operations;
(d) to appoint and remove a Chief Executive and such other employees of the society as are not required to be appointed by the Chief Executive;
(e) to make provisions for regulating the appointment of employees of the cooperative society registration and the scales of pay, allowances and other conditions of service of, including disciplinary action against, such employees;
(f) to place the annual report, annual financial statements, annual plan and budget for the approval of the general body;
(g) to consider audit and compliance report and place the same before the general body;
(h) to acquire or dispose of immovable property;
(i) to review membership in other co-operatives;
(j) to approve annual and supplementary budget;
(k) to raise funds;
(l) to sanction loans to the members; and
(m) to take such other measures or to do such other acts as may be prescribed or required under the Cooperative Societies Act, 2002, or the bye-laws or as may be delegated by the general body. The above is an attempt to analyze the role of company law as a whole in the regulation of principal/agent relations in multi state society. This paper, however, is not concerned with such a large topic. It deals only with the role of ‘board rules’ in addressing the three principal/agent problems identified above. Therefore, this paper will not consider in any detail company law techniques for addressing principal/agent problems which do not involve the board, for example, a rule requiring distributions by companies to be made pro rata to the proportion of the equity held by each shareholder. Sections III to V analyze the range of options in principle available to policy-makers for the use of board rules to address the three principal/agent problems; section VI says something about current trends in policy making; and section VII concludes. You can collect detailed information on cooperative society registration from here.