No part of the funds in other than net profits, of a multi state cooperative society registration shall be distributed by way of bonus or dividend or among its members Payment of dividend to the members on their paid-up share capital as specified in the bye-laws. The bye-laws of a multi state society may provide for it ion of patronage bonus to its members in consonance with the tins of a member with the society Every multi state cooperative society may also provide for in its subjects and purposes for which the reserve fund will be utilized of multi state societies Rules, 2002 is corresponding multi state society (Privileges, Properties & Funds, Audit, Winding Up & Execution of Decrees, Orders & Decisions) change in heading. Earlier heading was "Disposal of Net Profits here are following insertions cooperative society Rules, 2002 provides for distribution of patronage bonus to its members in consonance with the transactions of a member with the society. Multi state society Rules, 2002 provides that subjects and purposes for which reserve fund will be utilized are to be provided in the bye-laws. addition to above insertions, there are following changes in city of multi state cooperative societies (Privileges, Properties Funds, Accounts, Audit, Winding Up & Execution of Decrees, Orders & Decisions) Rules, 1985 are compiled in cooperative Societies Rules, 2002. (Village, Properties & Funds, Accounts, Audit, Winding Up & Execution of Decrees, Orders & Decisions) Rules, 1985 have been deleted. Besides the above mentioned insertions and changes, there is no other change. The above rule explains the procedure of distribution of profit .It has been made very clear that no part of the funds other than net. Distributed by way of bonus or dividend or otherwise among embers. Dividend shall be based on paid-up share capital as specified in bye-laws of multi state cooperative society. The bye-laws of the society may provide for distribution of age bonus to its members and subjects and purposes for which reserve. Visit here for knowledgeable news on approval of application to register amendment of bye-laws of MSCS.