Credit Cooperative Societies are flourishing over a period of years with the state support, the cooperatives have craved out a formidable niche for themselves in various fields of economy like rural credit and banking, fertilizers, sugar, dairy etc. There are at present 4.9 lakh Cooperative Societies engaged in diverse business activities with a membership of over 200 million. They have 100% villages and 67% of rural house holds.

(l) A Multi State Cooperative Society may, by resolution passed by a majority of not less than two-thirds of the members present and voting at a general meeting of members held for the purpose, expel a member for acts which are detrimental to the proper working of the society: Provided that the member concerned shall no; be expelled unless he has been given a reasonable opportunity of making representation in the matter.
(2) No member of the credit cooperative society who has been expelled under sub-section (1), shall be eligible for re-admission as a member of that society, for a period of one year from the date of such expulsion. A member of a cooperative society cannot lay rights attached to the membership if he has not made to the society any scribed in respect of membership or if he has not acquired or failed to acquire in the society as is specified in the bye-laws. The dies qualification under these for non-payment of his share of membership. The bye-laws may also prevent rights as member if the member defaults in any other manner. It is condition r a person to deposit the membership fee and the amount of qualifying shares become a member within 14 days of approval of his name by the managing f the society. The failure on the part of the person to deposit the required automatically makes the approval of the managing committee null and valid during the winding up. The liability of the past member shall on the day on which he ceased to be a member and in the case of deceased .he date of his death. Such liability continues for a period of two years from Therefore, if a society is wound up within two years of a member ceasing to r his death, he or his estate shall be liable to fulfill the deficit to the extent of folding. There is no liability to pay on the expiry of period of two years. The cooperative society has first charge on the crops and rural produce, fodder for cattle, agricultural or industrial implements or raw materials for manufacture and any finished produce manufactured from trials belonging to the past member or forming part of the estate of the ember, This charge is to settle any debt or outstanding demand owing to the emend shall have a prior claim on these assets in respect of land revenue or recoverable as land revenue. A member cannot transfer any property which is in charge and has to seek prior permission of the society in writing for such assets.