Part IXB - Co-operative Societies • Article

Article 243ZR Simplified: Application to multi-State co-operative societies

Article 243ZR extends the cooperative society rules of Part IXB to multi-state cooperative societies (societies operating in more than one state). In doing so, it replaces state-level terms with federal ones, substituting 'Parliament' for 'State Legislature', 'Central Act' for 'State Act', and 'Central Government' for 'State Government'.

Official Text

The provisions of this Part shall apply to the multi-State co-operative societies subject to the modification that any reference to “Legislature of a State”, “State Act” or “State Government” shall be construed as a reference to “Parliament”, “Central Act” or “the Central Government” respectively.

Simple Meaning

Explain Like Ten

Some cooperatives operate in more than one state (like Amul). For these, the rules are passed by the national Parliament and managed by the Central Government, instead of individual states.

Student Mode

Example

The Amul milk cooperative (which operates across multiple states) is governed by central laws passed by Parliament and regulated by the Central Registrar, rather than being subject to the separate and potentially conflicting laws of individual state legislatures.

Key Takeaway

Article 243ZR ensures uniform regulation and administrative clarity for large cooperative societies operating across state boundaries.

FAQs

Who regulates multi-State cooperative societies?

Multi-State cooperative societies are regulated by the Central Government and Parliament, as central terms are substituted for state terms under Article 243ZR.

Why does the Constitution have a separate provision for multi-State cooperatives?

To prevent conflicting laws from different state legislatures from creating regulatory chaos for cooperatives that cross state lines.

Quiz

For multi-State cooperative societies, references to 'State Legislature' are replaced with which body?

Answer: Parliament

Which of the following is a multi-State cooperative society?

Answer: A cooperative operating in three different states