DAILY NEWS ANALYSIS

GS-II : Governance Decentralized governance

07 July, 2021
12 Min Read

Cabinet creates a new and separate “Ministry of Cooperation”

In a historic move, a separate ‘Ministry of Co-operation’ has been created by the Modi Government for realizing the vision of ‘Sahkar se Samriddhi’.
This ministry will provide a separate administrative, legal and policy framework for strengthening the cooperative movement in the country.
It will help deepen Co-operatives as a true people-based movement reaching up to the grassroots.
In our country, a Co-operative based economic development model is very relevant where each member works with a spirit of responsibility.
The Ministry will work to streamline processes for ‘Ease of doing business for co-operatives and enable the development of Multi-State Co-operatives (MSCS).
The Central Government has signalled its deep commitment to community-based developmental partnership. The creation of a separate Ministry for Co-operation also fulfils the budget announcement made by the Finance Minister.

Cooperatives – Inserted in Part 9-B by 97^th Constitutional Amendment, 2011

It gave Constitutional status and protection to Cooperative societies.
It made 3 changes to the Constitution

1. Art 19: It made the Right to form cooperative societies an FR.

2. It included a new DPSP on the promotion of cooperative societies (Art 43 B)

3. It added a new Part 9 B (Art 243 ZH to Art 243 ZT)

State Legislatures (SL) may make a law on the incorporation, regulation, and winding up of cooperatives based on principles of voluntary formation, democratic member control, member-economic participation and autonomous functioning.
Tenure = 5 years (re-election within 6 months) and

Composition

SL may provide for the directors but the max no. of directors should be less than 21. 1 seat for SC or ST and 2 seats for women.
SL shall make provisions for co-option of persons having experience in banking, management, finance, etc. but it should be ≤ 2 in addition to 21. Plus, they won’t have the Right to vote in any election of cooperatives society or be eligible to be elected as office bearers of the Board.
Functional directors of cooperative society shall also be member of the board. They won’t be counted in 21.
Election of Members of Board: Shall be vested in a body as provided by SL.
SL may make provisions for the maintenance of accounts and auditing of such accounts. Shall be audited within 6 months of the close of FY.
This part shall apply to UTs. But Prez may direct that provisions may or may not apply to UTs.
These provisions shall also apply to multi-state cooperatives.

Source: PIB

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Cabinet creates a new and separate “Ministry of Cooperation”

Cabinet creates a new and separate “Ministry of Cooperation”

Formation Day

Turtle (Kachhua) Wildlife Sanctuary

Introduction of AI and Computational Thinking (CT) in

Sal Tree

US Resumes Nuclear Weapon Testing

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