The agriculture multi state cooperative society structure in the Punjab State is broadly divided into two sectors, one dealing with the short-terms and medium terms finance and the other with the long-term credit. In the State, the short-term and medium term credit structure is based on a three-tier system, i.e., the Apex Cooperative Bank at the State level, the central Co-operative Bank at the district/tensile level and the Primary Agricultural credit cooperative societies at the village level. The major objectives of the primary agricultural credit service societies are to supply agricultural credit to meet the requirements of funds for agricultural production, the distribution of essential consumer commodities, the provision of storage and marketing facilities and for light agricultural implements and machinery. Owing to an increasing emphasis on the development of land and agriculture, long-term cooperative credit has assumed great importance. There is the Punjab State Land Mortgage Bank at the Apex and the Punjab Mortgage Bank at the district/tensile level. These Primary Land Mortgage Banks advance loans to the farmers for long term purposes. At the operational level, there exists a primary cooperative to extend credit to the farmer. This unit epitomizes the vitality and service potential of the multi state cooperative society movement in India. The organization of these societies dates back to 1904, when the first Cooperative Societies Act was passed. These societies were started with the object of providing cheap credit to the agriculturists in order to free them from the clutches of the rapacious money-lenders. The agricultural primary credit society is the foundation-stone on which the whole co-operative edifice is built. Even now these societies dominate the cooperative society picture. The first Agricultural Credit Society in the Firepot District was registered on 4 October 1911, at the Village of Chichi Kati in the Firepot Tensile. Originally, the movement was confined to the credit societies only and, thus, credit dominated till the partition (1947). After the partition, the Movement began to spread to other field, via labor, construction and farming.