Pakshal SecretryAIR 8 · CSE 2025 · 213 wordsTheir whole copy
Opening
UN declared 2025 as international Year of Cooperatives and India recently launched global conference of cooperatives highlighting their significance.
Body · points and prose
Challenges faced by cooperatives
(A) governance challenges (i) Political interference in functioning (ii) Ruled / Run by Administrator instead of professional managers
(iii) Corruption & diversion of funds → eg PMC Cooperative Bank fraud (iv) Poor Account keeping & lack of oversight in governance (B) Autonomy Related (v) Dual Regulation → RBI + MoC / State government (vi) No functional independence → Tied funds & functions (vii) Excessive executive/government regulation
Multi-State Cooperative Societies Amendment Act tries to solve this problem
| Amendment | Solves problem of |
|---|---|
| (1) Mandatory SC/ST member + women in board | → Lack of Inclusion in Multistate cooperative |
Central cooperative election committee → Solve problem of irregular election in cooperatives.
Regulation by Ministry of Cooperative → Solve dual regulation problem of cooperatives.
Autonomy to raise fund and issue shares → Improve corporate governance → Market discipline in cooperatives.
Central Audit Control board → To ensure proper audit of cooperative.
Issues → Excessive Regulation → Impact viability → Mandatory ties fund of cooperative
Close · a way forward
Handholding through initiatives like Cooperative policy, 2023 is key to realise vision of "sahkar se samriddhi"