coop regulations_uganda.pdf

7/24/2019 coop regulations_uganda.pdf

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Registration the society:and documents a) a certificate of registration: andto be supplied b) a copy of the bye-laws of the society approved by himto a society and certified under his hand as having been approved by

him

Refusal to 6. When the Registrar refuses to register a society or itsRegistrar a by-laws, he shall record his reasons for doing so.Society

Bye-laws of 7. i) A society shall make bye-laws providing for the followingmatters, that is to say;

a) its name;b) its registered address;

c) the objects for which it is established;d) the area within which its operations and membershipshall be confined;

e) the qualifications for membership, the term ofadmission and the mode of election of members;

f) the withdrawal or expulsion of members andpayments, if any, to be made by such members andthe time in which such payments shall be made;

g) the nature and extent of the liability of members;h) the transfer of shares or interest of members;i) the manner of raising funds, including the fixing of the

maximum rate of interest on members deposits, ifany;

j) general meetings, the procedure and quorum at suchk) the appointment, suspension and removal of

members of the committee and officers of the society,and the powers and duties of the committee andofficers of the society;

l) mode of payment of calls on shares and financial yearof the society;

m) the consequences of default by a member in paymentof calls on shares

n) the authorization of the officers of the society to signdocuments on its behalf; and

o) the manner in which books of account shall be kept.

2) If the objects of the society include the creation offunds to be lent or advanced to its members, thesociety shall make bye-laws providing for the


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conditions on which loans or advances may be madeto members, including:-

a) the rate of interest;b) the maximum amount which may be lent to a

member;c) the extension of the term of the loans or therenewal of loans;

d) the purpose of loans; ande) the security for the repayment of loans.

3) If the members of the society are registered societies,the society shall make bye-laws providing for thefollowing matters, that is to say:-

a) the number of officers of each member society

who shall be entitled to exercise the votingpower of that society.b) the terms and conditions of employment for

any paid staff andc) the authority of the committee in relationship to

the employees of the registered society.

Amendment 8. 1) Subject to the provisions of Section 8 of theof bye-laws Statute, a registered society may, by resolution

of the members passed at a General Meetingin accordance with the provisions of sub-regulation (2) of this Regulation, amend itsbye-laws.

2) No resolution under sub-regulation (1) of thisRegulation shall be valid unless:

a) notice of the proposed amendment is givento members of the society at least fourteendays prior to the said general meeting;

b) in the case of a society with unlimitedliability, half the members of the society arepresent at the general meeting and threequarters of the members present at themeeting vote in favour of the amendment.

c) In the case of a Society with limited liability,a majority of the members of the societyvote in favour of the amendment:

d) In the case of a society with unlimitedliability or with limited liability, if the


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amendment had received the prior approvalof the Registrar, the amendment isapproved by a two-thirds majority of themembers present and voting at themeeting.

3) When a copy of any amendment is sent to theRegistrar in pursuance of the provision of sub-section (2) of Section 8 of the Statute, acertificate in the Form II set out in the Scheduleof these Regulations shall be sent to theRegistrar together with three copies of theamendment and a fee which shall bedetermined and notified by the Registrar fromtime to time.

4) The Registrar may, by writing notice, call upona registered society to make such amendmentsto its bye-laws as he considers necessary ordesirable in its interest within such a period asmay specify not exceeding two months fromthe date of service of the notice.

5) The notice shall state the exact amendmentwhich the society shall make.

Transfer ofShares of a 9. When, for any reason other than death aMember on member of a registered society of limitedhis ceasing liability which holds deposits or loans from non-to be a member members ceases to be a member he may,

subject to the provisions of Section 13 of theStatute, transfer his sharers in such society toanother member, or to a proposed member ofsuch society, but he shall not be entitled torepayment from the society of any money paidby him in respect of shares, except from theShare Transfer Fund created in accordanceWith Regulation 43 of these Regulations.

Nominees for 10. 1) Every appointment of a nominee by anyfor interest member of a registered society for the purposeof deceased of Section 37 of the Statute shall be members,members. Made in writing signed by the member in the

presence of two attesting witnesses.


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2) No member of a registered society shall be

entitled to appoint more than one nomineeunless that meme holds more than one share.

3) In any case where more than one nominee isappointed by any member, the number ofshares to be transferred to each of thesenominees shall be specified at the time of theappointment.

4) Every appointment of a nominee shall berecorded in the register of members of thesociety.

5) For the purpose of transfer to a nominee, the

value of any share or interest shall berepresented by the sum actually paid for thatshare or interest by the member holding itunless the bye-laws of the registered societyotherwise provide.

6) Any nominee under this Regulation may bepaid all dues of evidence of death beingadduced without waiting for the results of anyprobate in all cases where the deceasedmember is in credit with the society.

7) Where any money is paid to a nominee who isa minor, a receipt given either by a minor or byhis guardian shall be sufficient discharge to theregistered society.

8) On the death of a member who has appointedmore than one nominee, any or interest o suchdeceased member other than shares shall bedistributed to the nominees in proportion to theshares bequeathed to such nominees.

Limitation to 11. A registered society may, with the approval ofto number limit the number of its members.Of members.

Records to 12. 1) A registered society shall keep up to dateBe kept by proper books of accounts and such other

A Registered records as the Registrar may from time to


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Society time direct.

2) Notwithstanding the generality of sub-regulation (1) of this Regulation, all registeredsocieties shall keep the following records.

a) a register of members showing:i) the name, membership number,address and occupation of eachmember;

ii) the date on which each memberwas admitted to membership;

iii) share holding of each member;iv) the date on which any member

ceased to be a member andv) the nominee or nominees of

each member, if any, appointed

in accordance with Regulation10 of these Regulations;b) minutes of proceedings at general

meetings;c) minutes of proceedings at committee

meetings;d) a cash book showing the details of all

money received and all moneyexpended or paid out in any waywhatsoever by the society;

e) in the case of a society which deals inproduce, a produce ledger showingdetails of all produce sold by themembers through the society; and

f) a register of the fixed assets of thesociety.

3) A registered society shall draw up its annualaccounts and balance sheet in such a form asshall comply with generally acceptedaccounting procedures and practices.

Audit and 13. 1) There shall be an established a fund known asSupervision the Audit and Supervision Fund which everyFund registered society shall, unless exempted by

the Registrar pay annually a supervision feeand, it the society s accounts are audited by anofficer of the Co-operative DevelopmentDepartment, an audit fee.


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2) The Registrar may require a registered societyto contribute to the Fund in specific cases ashe may from time to time direct.

3) The Registrar shall administer the Fund on

behalf of the contributing registered societiesand shall report annually to the Board inrespect of the income derived from the fees,the expenditure sanctioned from the Fund andthe balance remaining in the Fund.

4) The Registrar after consultation with the Boardshall fix the fees payable by the registeredsocieties pursuant to the provisions of sub-regulation (1) of this Regulation.

5) The fund shall be audited annually by anauditor appointed by the Board.

Copies of 14. For the purposes of section 38 of the Statute, aentries copy of any entry in a book of a registered

society may be certified by a certificate writtenat the foot of such copy, declaring that it is atrue copy of such entry and that the bookcontaining the entry is still in the custody of thesociety; such certificate shall be signed by theSecretary of the society and by one member ofthe committee.

Volulntary 15. 1) Where a registered society passes apreliminaryDivision of resolution to divide itself into two or moreSociety societies in accordance with the provisions of

sub-section (2) of Section 26 of the Statue, theRegistrar shall forthwith appoint an auditor toaudit the books of such society for the purposeof giving effect to the proposals of thepreliminary resolution including anyamendment thereto in accordance with theprovisions of sub-section (9) of Section 26 forthe Statute; the cost of such audit andaccounting work incidental thereto, if any, shallbe borne by that registered society.


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2) The auditor appointed under sub-regulation (1)of this Regulation

a) shall submit a detailed report of theaudited accounts and three balance

sheets to the Registrar within the periodstipulated by the Registrar notexceeding ninety days from the date ofthe preliminary resolution;

b) shall produce one balance sheet eachon the societies proposing to be dividedand one consolidated balance sheet forall such proposed societies.

3) The Registrar may, as soon as practicableafter the passing of the preliminary resolution,

appoint a valuer or valuers to assess the valueof the assets of such society, as may bespecified by the Registrar, which shall be thebasis upon which agreement of the value ofassets shall be determined.

4) Subject to the provisions of sub-section (4) ofSection 26 of the Statue, the Secretary of anapex society or a co-operative union whichproposes to be divided shall, by notice in theGazette and in at least one vernacular paper,publish the proposed division of the apexsociety or co-operative union and requesttherein any one having a claim against the saidsociety to submit such claim in writing within astated period not exceeding ninety days fromthe passing of the preliminary resolution.

5) No transaction involving immovable property orcapital expenditure shall be entered into by thesociety between the passing of the preliminaryresolution and the registration of the newsocieties, which have divided, without the priorwritten consent of the Registrar.

16. 1) Where a Co-operative Union or an apex societypresents its estimates in conformity with Section 13of the Statute, such estimates shall be in the form of abudget.


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2) The Registrar may require any register society tosubmit for his approval periodic plans.

General 17. 1) The supreme authority in a registered society shallMeetings be vested in the general meeting of members at

which every member has the right to attend and vote.

2) Every member of a registered society shall vote inperson and Proxies shall not be allowed at anygeneral meeting.

Annual 18. As soon as the report on the audited accounts andGeneral balance sheet of a registered society is received by

the committee, the committee shall convene anAnnual General Meeting of the members of thatsociety within three months after the end of the

Financial Year of that society; but where thecommittee fails to convene the meeting which shallproceed as if it had been convened by the committee.

First 19. The first general meeting of a registered society shallGeneral exercise powers and perform the same duties as areMeeting exercised and performed by the annual general

meeting and shall be held not later than one monthafter the receipt of the certificate of registration of theSociety.

Duties of an 20. The annual general meeting of a registered societyAnnual general shall:Meeting a) consider and confirm with the necessary

amendments, if meeting any, the minutes ofthe last immediately preceding Annual GeneralMeeting.

b) consider the reports of the committee and thebalance sheet together with the report on theaudit of the accounts for the society for theprevious year.;

c) adopt the accounts of if the accounts are notadopted cause the Secretary to notify theRegistrar of the reasons why such accountshave not been adopted who in consultationwith the Board shall consider the matter andmake his decision thereon, and the decision somade as to the correctness of the accountsshall be final and conclusive;


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d) consider and direct the Secretary to inform the

Registrar of the manner in which any availablesurplus shall be distributed or invested;

e) elect members of the committee for theensuing year;

f) consider and direct the Secretary to submit tothe Registrar in the Form V set out in theSchedule to these Regulations, the maximumborrowing powers which in the opinion of thegeneral meeting the registered society shouldincur for the ensuing year; provided that thecommittee for the society; may, from time totime and subject to subsequent ratification by

the general meeting, amend that maximumliability;

g) appoint an auditor or auditors for the ensuingyear subject to the approval by the Registrar;

h) transact any other business which, in the caseof a co-operative union or apex organization,fourteen days , notice has been given and inthe case of other societies the business hasbeen raised at the meeting and allowed by theChairman.

Special 21. 1) A special general meeting of a society may beGeneral convened at any time by the committee of the society.Meeting

2) A special general meeting of a society shall beconvened by the committee on receipt of a demandfor such meeting signed by such number of membersof the society as are required by the bye-law of thesociety and stating the reasons for the calling of suchmeeting.

3) If within fourteen days next following the receipt of thedemand for the meeting, the committee fails toconvene a meeting in accordance with the provisionsof sub-regulation (2) of this Regulation such membersmay convene the meeting giving seven days notice toall the members of the society stating in such notice


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the reasons for the calling of the meeting and the factthat the committee has failed to convene the meeting.

4) The Registrar may at any time convene a specialgeneral meeting of a registered society.

Quorum at 22. 1) The quorum at any general meeting of a registeredGeneral society shall be laid down in the by-laws of theMeeting society.

2) When a meeting is convened by the Registrar underthe provisions of sub-regulation (4) of Regulation 21of these Regulations, the members present at suchmeetings shall constitute a quorum.

Chairman at 23. 1) The Chairman shall preside at all general meetings ofGeneral a registered society and in his absence the ViceMeeting Chairman or, if there is no Vice Chairman or if both

the Chairman and Vice Chairman are absent, anyother person elected by a majority of those presentshall preside:

Provide that the Registrar or a person appointed byhim may, at the discretion of the Registrar or suchperson, preside at any meeting convened under theprovisions of sub-regulation (4) of Regulation 21 ofthese Regulations.

2) The Chairman of any general meeting of a registeredsociety shall have the right to order the closure of adiscussion and put the matter under discussion to thevote of the meeting.

3) Subject to the provisions of Section 24 and 26 of theStatute, and of Regulation 7 of these Regulations, allquestions presented to the meeting shall be decided,unless otherwise specifically provided for by bye-laws,by a majority of those present and entitled to vote.

4) Any motion on which the voting is equal shall bedetermined according to sub-regulation 6 of thisRegulation.

5) The Chairman shall have one vote only.


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6) A registered society may make rules of procedure forthe proper conduct of its general meetings.

7) The chairman shall preside at all meetings ofcommittee and in the absence of the Chairman, the

Vice-Chairman or, if there is no vice-chairman or ifboth the chairman and the vice chairman are absent,the committee shall elect one of its members topreside.

8) The committee may make standing orders for theproper conduct of its committee meetings.

9) The Registrar or his representative may attend anymeeting of the committee of a registered society.

Eligibility 25. 1) The Registrar in consultation with the Board, mayFor member prescribe from time to time minimum educational andShip of the professional qualifications for eligibility forCommittee membership of the committee of any co-operative

society or class of societies.

2) Subject to the provisions of sub-regulation (1) of thisRegulation, no person shall be eligible formembership of a committee of a registered society orremain member of such committee if:a) he is under eighteen years of age;b) he is not a registered member of the society, or

if he is a registered member and he does notpatronize the society;

c) he receives any remuneration, salary or otherpayments from the society which has not beenlawfully approved by a resolution passed at ageneral meeting of the society;

d) in the case of a society that lends money to itsmembers, he lends money on his own account;

e) in the case of a society that trades in goods orproduce, he either on his own account or onsome other persons account,

f) he is an undischarged bankrupt;g) he is of unsound mind;h) he has been convicted of an offence involving

moral turpitudei) he has been convicted of any offence involving

dishonesty or of an offence under the Statute


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or under these Regulations or he is adismissed employee of a registered society;

j) he is in debt to the society other than in respectof a loan made pursuant to the provisions ofRegulation 39 of these Regulations;

k) he is a person who has been removed from thecommittee of a society by the Registrar underthe provisions of sub-section (5) of Section 51of the Statute or has been a member of acommittee dissolved under that provision of theStatute

Provided that a dismissed or removed memberof the committee may, with the writtenpermission of the Registrar, be elected to thecommittee after the expiration of five y ears

after his dismissal or removal.

3) Nobody may be a member of the managementcommittee of more than one national or apex co-operative society provided that a person elected tothe Board shall relinquish his membership of anymanagement committee of a national or apex co-operative society.

Duties of 26. 1) The committee of the registered society shall be thethe controlling authority of the society and subject to thecommittee bye-laws and any directions issued by a general

meeting of the society, shall direct the affairs of thesociety and may bind the society in contract, borrowmoney on behalf of the society to an amount notexceeding the amount fixed under Section 43 of theStatute, and may institute, defend and settle any legalproceedings on behalf of the society.

2) The committee of a registered society shall holdregular meetings at which,

a) the minutes of the previous meeting shall bescrutinized and checked;

b) the accounts, bank books and cash shall bescrutinized and checked;

c) any loans due and owing to the society shall beconsidered and any action considerednecessary in respect of such loans shall beauthorized;


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d) in the case of an apex society or a co-operativeunion, the committee shall cause theappropriate officer managing the affairs of theapex society or co-operative union to submit tothe committee on behalf of the committee, a

periodic report on the activities of the apexsociety or co-operative union in the formspecified by the Registrar; and such reportshall be considered by the committee:Provided that when any matter arises fordisposal by the Board under the provisions ofSection 28 of the statute, the Board shall besummoned for a special general meeting.

3) The committee of a registered society shall,

a) send annually to the Registrar a return in theForm III set out in the Schedule to theseRegulations;

b) send an estimate of income and expenditurefor the ensuing year in accordance with theprovisions of Section 23 of the Statute for theopinion of the Registrar before any expendituremay be incurred;

c) keep available for inspection at all times,

i) the certificate of registration of thesociety.

ii) the registered bye-laws of the society;iii) the latest balance sheet of the society;iv) the register of membersv) the list of the officers of the society;vi) the register of property including leases.

4) In the conduct of the affairs of a registered society,the committee and every member thereof, shallexercise prudence and diligence and shall be jointlyand severally responsible for any loss sustained bythe registered society through any act which iscontrary to the law and bye-laws of the society or thedirections of any general meeting.

5) If for any reasons whatsoever, a committee memberis deemed to be incompetent in accordance with sub-regulation (4) of this Regulation, the Registrar inconsultation with the Board, may direct his removal


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from the committee and thereafter the committee mayfill the vacancy in accordance with the bye-laws of thesociety.

Appointment 27. 1) The committee of a registered society shall appoint

and a Secretary to the society who shall be either aqualifications of the committee or paid employee of the societyof a provided that if the person appointed secretary isSecretary a paid employee of the society, he shall not become a

voting member of the committee.

2) The committee of the registered society shall if itthinks it, require any person appointed secretary tofurnish such security as it may require before heassumes the functions of his office.

3) The qualifications for the appointment of a Manager,Secretary, Accountant or any other officer of thesociety shall be such as may, from time to time, bedetermined by the Registrar in consultation with theBoard.

Duties of the 28. The duties of the Secretary of a registered societySecretary shall include:

a) the summoning of all meetings of thesociety and its committee;

b) his attendance at all meetings of thesociety its committee and thepreparation of the minutes of suchmeetings;

c) the conduct of the correspondences ofthe society;

d) the custody of the register of membersof the society and the keeping of suchregister correct and up to date;

e) the preparation of the reports of thecommittee and the recordings of alltransactions and accounts of the societynot otherwise provided for;

f) the acceptance of service of any legaldocuments which are addressed to thesociety.

g) The custody of the register of theinsurance policies of the society, if any,and keeping of such registers correctand up to date; and


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h) The custody of the register oilimmovable property of the society, ifany, and keeping of such registerscorrect and up to date; and

i) Any other duties which the bye-laws or

the committee of the society mayrequire of him to perform.Duties of 29. The duties of the Treasure of a registeredThe Treasurer society shall include:

a) his attendance at all meetings of thesociety and its committee;

b) the collection and receipt of all moniespayable to the society and the issue ofreceipts for such monies;

c) the payment of all monies owing by thesociety and the obtaining of receipt for

such payments;d) the keeping of such books as may berequired by these Regulations or thebye-laws of the society showing thereceipt and payments of moneyreceived and paid in accordance withthe provisions of paragraphs (b) and (c)of this Regulation;

e) the preparation of the Annual Accountsand Balance sheet showing the incomeand expenditure, the surplus or loss ofassets and liabilities of the society;

f) the custody of all the books of accountsof the society;

g) the custody of all ready cash andcheques belonging to the societyseparate from any other monies in thesafe, cash box or other place of suchcash at the earliest opportunity into ahank or other investment pursuant to theprovisions of section 45 of the statute;

h) the production of any cash in hand,cheques, books of account or otherdocuments to the committee or anyperson entitled by law to see them; and

i) any other duties which the bye-laws orthe committee of the society mayrequire him to perform.

Remuneration 30. 1) Where a society proposes to remunerate anyOf members member of the committee of the society by way


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of salary or other payment for servicesrendered or to be rendered or to permit anymember of the committee to receive anysalary, commission or other payment from anyperson other than the society, the Secretary

shall forthwith notify the Registrar in writing ofsuch proposal for his opinion.2) On receipt of such notification, the Registrar

shall forthwith inform the society of his opinion.

3) On the receipt by the society of the Registrar sopinion, the committee shall submit to ageneral meeting of the members of the societythe question as to whether or not the society sproposal; shall be approved.

4) The secretary shall at such general meetingsinform the members of the proposal of thesociety and opinion of the Registrar thereon,and no action shall be taken on the society sproposal unless a majority of the memberspresent and voting vote in favour of the same.

Form IV 5) After the holding of the general meeting, thesecretary of the Form IV society shall notifythe Registrar the decision of the meeting in theForm IV set out in the Schedule to theseRegulations.

Delegation 31.1) A society may, by resolution duly passed at aOf powers. general meeting of the members of the society,

authorize the committee, the secretary or thetreasurer of such society to delegate all or anyof their duties a competent officer or employeeof the society but in the case of a co-operativeunion and an apex society, the duty to signcheques and generally to operate the bankaccount of such co-operative union or apexsociety shall be delegated to the appropriateemployees.

2) For the purposes of sub-regulation (1) of thisRegulation an apex society or co-operativeunion, the committee of an apex society or co-operative union shall specify terms andconditions of employment for its employees


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detailing authority, power and responsibility ofeach employee or class of employee of theapex society or co-operative union.

3) Where any duty is delegated in accordance

with the provisions of this Regulation, thecommittee shall cause to be produced reportsand returns by the employee or class ofemployee to whom such duties are delegatedat intervals specified by the committee afterconsultation with the Registrar.

Property 32.1) The funds of the society shall be devoted onlyand funds to the promotion of the stated objects of the

society, the running of the society and suchother purposes as are set out in the Statute,

these Regulations and the bye-laws of ehsociety.

2) Where the Registrar is satisfied that thepurchase of shares in any company registeredunder the companies Act or statutorycorporation will be to the advantage of asociety he may allow that society to purchaseshares in such company of statutorycorporation.

Prohibition 33. The Registrar may prohibit or restrictby registrar of transactions of any registered society with non-transactions members if in his opinion such transactions arewith non- contrary to co-operative principles or involve anmembers abuse of any privilege accorded to registered

societies.

Duty to 34. 1) Every registered society shall maintain aMaintain a reserve fund into which shall be paid at the endReserve fund of each Financial year ten percent of the net

gain or surplus resulting from the operations ofthe society during that Financial Year.

2) The Registrar may, subject to the provisions ofSection 46 of the Statute, on the application ofany society, sanction the payment into thereserve fund of such lesser amount as he shallthink fit and any society whose application isrefused by the Registrar may approve within


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thirty days of such refusal; to the Board whosedecision shall be final.

3) The reserve fund shall be invested in aregistered Co-operative Bank, or such other

mode as the Registrar may approve.

4) No withdrawal shall be made from the reservefund of a registered society without the consentin writing of the Registrar and any suchwithdrawals shall be made good from the nextavailable funds accruing to the society.

5) The reserve fund shall be indivisible and nomember shall e entitled to claim a specifiedshare of it.

Application 35. 1) On the dissolution of a registered society, theOf Reserve reserve fund shall be applied to discharging theFund on liabilities of the society and the repayment ofDissolution. the share capital.

2) Any proportion of the reserve fund that mayremain after discharging the liabilities of thesociety and the repayment of its share capitalshall be distributed or otherwise disposed of insuch manner as the members may, in generalmeeting, decide.

Duty to 36. 1) There shall be a Co-operative DevelopmentMaintain Revolving Fund into which every registeredRevolving society shall pay five percent of its surplusFund. annually.

2) The fund shall be administered by a committeeof trustees which shall be composed of fivemembers appointed by the Board.

3) The fund shall be invested in the Co-operativeBank or such other mode as the Board mayapprove.

4) After the fund has existed for three years, aregistered co-operative society may borrowfrom the fund on terms and conditions that


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shall be determined by the Board from time totime.

5) A registered society may withdraw its annualcontribution after five years.

Form of 37. Every registered society shall submit an annualAnnual return to the Registrar in Form III set out inForm III Schedule to these Regulations.

Form of 38. The particulars of charge required to be filedParticulars pursuant to sub-paragraph (1) of paragraphOf charge. 1 Schedule 1 to the statute shall be in theForm IV. Form VI set out in the Schedule to these

Regulations and shall be accompanied by acopy of the instrument creating the charge,

certified to be a true copy under the seal of thesociety or under the hand of some personinterested therein otherwise than on behalf ofthe society.

Loans to 39. 1) No loans shall be made to a member ofMembers registered society save in accordance with the

Conditions laid down for the making of suchLoans in the bye-laws of the society.

2) A member of the committee of a registeredsociety other than a co-operative savings andcredit society may not borrow money or obtaingoods or services on credit from the societywithout written approval by the Registrar.

Maximum 40. No registered society shall pay an annualDividend on dividend exceeding ten per cent on shares ofShares. The paid up capital.

Transfer of 41. 1) Subject to the provisions of Section 13 and 18Shares by a of the Statute and sub-regulation (3) of thismember Regulation, a member may transfer his share

or shares in a registered society to any othermember of the society.


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2) No transfer of any share in a registered societyshall be effective until such transfer has beenregistered by the Secretary of the society.

3) No transfer of any share in a registered society

shall be effective if made by a member in debtis due for payment or not.

Accounting 42. Any society retaining or obtaining funds onFor Educa- account of the Education Fund according to the

provisions of Section 48 of the Statute shallaccount for the use of the funds at everyannual general meeting.

Share 43. Every registered society shall maintain a fundTransfer to be known as the Share Transfer Fund and

Fund. shall allocate annually out of its surplus, if anyamount to be determined b the Registrar fromtime to time, not exceeding five per cent of theregistered society s share capital, such a fundshall be invested in the Co-operative Bank orany other bank approved by the Registrar.

Registrar s 44. 1) Before the Registrar makes an order againstnotice any person pursuant to the provisions of sub-pending section (1) of Section 69 of the statute, hesurcharge. shall serve written notice on that person

requiring him to show cause within the timespecified in the notice why such an ordershould not be made against him.

2) Any person on whom written notice is served inAccordance with the provisions of sub-regulation (1) of this Regulation may showcause by addressing the Registrar in person orin writing within a period specified in the noticeby the Registrar.

Publication 45. A liquidator appointed under Section 61 of theby the Statute shall publish in the Gazette and in atliquidator or least one vernacular newspaper circulating innotice the area in which the society concernedrequiring operates a notice requiring claims against suchclaims to be society to be submitted to him within twomade months from the date of the publication of the

notice.


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Reference 46. 1) Where, in pursuance of the provisions ofTo arbitra- paragraph (c) of the Section 62 of the statute,tion by a liquidator decides to refer a dispute by toliquidator, arbitration such decision shall be embodied

in order of reference under his hand.

2) Every order of reference under this RegulationShall,

a) Specify the name, surname, place ofabode and occupation of the arbitrator;

b) Set out the dispute and full particularsthereof; and

c) Limit the time within which the award

shall be forwarded by the arbitrator;Provided that, if good cause is shown tohis satisfaction, the liquidator may by afurther order extend the time whetherbefore or after the time limit by the orderof reference has expired.

3) Where the liquidator decides to refer a disputeto more than one arbitrator, such referenceshall be to three arbitrators, of whom one shallbe nominated by each of the parties to thedispute and the third shall be nominated by theliquidator and shall be the Chairman.

4) Where, under sub-regulation (3) of thisRegulation reference is made to threearbitrators the following previsions shall apply,that is to say,

a) if any party to the dispute fails tonominate an arbitrator within such timeas the liquidator may specify, theliquidator shall nominate the arbitrator;

b) if an arbitrator nominated by one of theparties to the dispute dies, refuses orneglects to act or, by absence orotherwise becomes incapable of acting,the liquidator shall call upon the partyconcerned to nominate a new arbitratorwithin such time as the arbitrator may


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specify and, if no new arbitrator isnominated accordingly, the liquidatorshall nominate one himself;

c) if the arbitrator who dies or refuses orneglects to act, or becomes incapable of

acting, was nominated by the liquidatora new arbitrator shall be nominated inhis place by the liquidator; and

d) the opinion of the majority of thearbitrators shall prevail.

Proceedings 47. 1) The proceedings before the arbitrator shall asbefore an nearly as possible, be conducted in the samearbitrator way as proceedings before a court of law, and,

in particular, the following provisions shallapply that is to say,

a) at least ten days notice of the time andplace at which the proceedings are to beheld shall be given to the parties to thedispute;

b) a record of the evidence adduced beforethe arbitrator shall be made and signedby the arbitrator;

c) documents produced as exhibits beforethe arbitrator and shall be attached tothe file of the proceedings; and

d) in the absence of any party duly notifiedto attend, the dispute may be decidedby the artibrator ex-parte.

2) The award of the arbitrator,

a) shall be written; and signed by thearbitrator and

b) shall state the amount of costs andexpenses of the arbitration, if any andby which party or parties to the disputethe same is to be paid.

3) Upon the completion of the proceedings, thearbitrator shall forward to the liquidator:

a) the file of the proceedings; andb) the award.


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Lodging of 48. An aggrieved party under Section 72(3) of theDisputes. Statute shall write to the defendant clearly

stating the nature of the dispute, proposingwho to arbitrate. The defendant shall respondby accepting the proposed arbitrator(s) or

proposing who else to arbitrate.

Disputes 49. The provisions of Regulations 47 and 48 ofReferred to these Regulations shall apply to the settlement

Arbitration of disputes referred to under Section 72 of theStatute provided that when a dispute involvesUganda Co-operative Alliance Limited or theBoard, that dispute shall be referred to theRegistrar for settlement.

Copies of 50. Copies of the bye-laws and balance sheets of

Bye-laws all registered societies shall be open forinspection at the office of the Registrar whoshall on request and on payment of a fee whichshall be determined by the Registrar from timeto time, supply certified copies thereof.

Revocation 51. The Co-operative Societies Regulations 1971S1 No. 53 is revoked.


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TO: The Registrar of the Co-operative Societies,P. O. Box 3585KAMPALA

Dear Sir,

APPLICATION FOR REGISTRATION OF A CO-OPERATIVE SOCIETY

1/We, the undersigned, hereby apply that the society, the particulars of which areset out hereunder, be registered as a Co-operative under the Co-operativeSocieties Status 1991.

1. Name of the society ..............2. Area of operations ..3. Type of society

4. Whether limited or unlimited liability is desired .. ..

5. Language and character in which the books and accounts will be kept

6. Name of person appointed to be Secretary of the society pending the firstannual general meeting .

7. Address of the society for purposes of registration .....................

8. We attach true copies of proposed by-laws of the society in English dulySigned.Name Occupation Age Place of Signature Residence

Dated this .day of 19 .

* Note that the application form must be signed

a) in the case of a primary society, by not less than thirty personsqualified for membership of the society in accordance with section 12of the Statute;

b) in the case of a co-operative union or an apex society, by a personauthorized to sign for each registered society or co-operative unionwho is a member of that society or union.


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Dear Sir,

CERTIFICATE OF AMENDMENT OF BYE-LAWS OF A SOCIETY

We the undersigned hereby certify that,

a) the enclosed amendment of the bye-laws, etc

..

b) on that date there were members of the society ofwhom ..sere present at the meeting.

c) .members voted for the amendment;

d) Written notice of the meeting and proposed amendment was served onon all the members of the society on the day of .19 ..and the voting paper was duly issued to every member.

Chairman.

Secretary.

.Co-operative Society.

Date this .day of 19


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TO: The Registrar of the Co-operative SocietiesP. O. Box 3585KAMPALA

Dear Sir,

FORM OF ANNUAL RETURN.

(To be submitted within four months of end of financial year)1) Name of Society ..2) Registration number ...3) Date of registration .4) Registered address . .. .

5) Type of society6) The liability of the member is*,i) limited to the nominal value of each share held;ii) limited to .times the nominal value of each share held;iii) unlimited.

7) The number of members of the society is .8) the number of shares issued is9) The nominal value of one share is Shs ..10) The total indebtedness of the society secured by registered charges is

Shs11) The date of annual general meeting was12) The maximum liability which the society may incur in loans or deposits is

Shs13) Particulars of officials elected for the year to are as follows:

Title of office Name of holder.Chairman .. .. ..Vice-ChairmanSecretaryTreasurer .Committee members .

14) A copy of the last audited Balance-sheet is filed herewith.Dated this day of .19

Secretary.*Delete whichever is not applicable


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TO: The Registrar of Co-operative Societies,P. O. Box 3585,KAMPALA

Dear Sir,

NOTICE TO THE REGISTRAR OF DECISION OF SOCIETY AS TO THE

REMUNERATION OF COMMITTEE MEMBERS AND MEMBERS.

1) Name of Society2) Registered number3) I beg to inform you that at a *Special/General Meeting of the above

Society held on the .day of .19 ., the following resolutionPassed:

..

.

.

.The society has members.There were members present at theMeeting of whom ..voted in favour of the resolution and .

Against it.

There was accordingly a majority of the members of the society who votedin favour of the resolution.

I HEREBY CERTIFY that the particulars contained above are correct.

.Secretary.

Dated this day of 19 .

*Delete word not applicable.*Here copy resolution


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Name of Society

Registered number ...

I beg to inform you that at a *Special/General/Committee Meeting of the abovesociety held on the day of ..19 .thefollowing resolution was passed:-

That the maximum liability which the society may incur in loans or deposits fromnon-members, under section 42 of the Statute, should be a s um of Shs.

.(in words) .

And that Form xxx proving details of this liability be submitted by the Secretary tothe Registrar for his direction under section 42 of the Statute.

The society . membersThere were members present at theMeeting of whom .. voted in favour of theResolution and ..against it.

Accordingly the resolution was passed by a two-thirds majority of all themembers of the society.

I HEREBY CERTIFY that the particulars contained above are correct and that thedetails of the proposed liability xxx are correctly stated on the reverse of thisform.

Dated this ..day of ..19

..Secretary

*Delete words not applicable.


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Name of Details of prupose for Period of proposed liabilityProposed which loan or depositLender or is required Months/Year/Date from/Date toDepositor


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TO: The Registrar of the Co-operative Societies,P. O. Box 3585,KAMPALA

Dear Sir,

PARTICULARS OF MORTGAGE OR CHARGE CREATED BY A SOCIETY.

1. Name of Society ..

2. Registered number .

3. Date and description of the instrument creating or evidencing the

Mortgage of charge:

4. Amount secured by the mortgage or change:

5. Short particulars of the property mortgaged: -

6. Names, address and descriptions of the mortgage or person entitled to the

Charge ..

Dated this 3rd

day of November, 1992

R.H. KaijukaMinistry of Commerce, Industry and Co-operatives

Documents

coop regulations_uganda.pdf