Frquently Ask Questions(FAQ)
1. The documents required to be produced for the registration of a Society as a Co-operative Society
The request of the Society
Duly completed two copies of the application (printed form
The certified copy/copies which include the relevant paragraph of the minutes of the general meeting/meetings which includes the proposals by which it was decided the proposed Society be formed as a Co-operative Society and it be registered in the Department. (Certificate relevant to rule 45).
Two copies of the proposed by- laws – The minutes to the effect that the said by-law was adopted at the relevant general meeting should be made in the last page of the by-law and it should be signed by the Hon. Chairman and Hon. Secretary.
The certified copies of the minutes including the relevant paragraph of the general meeting which include the resolution by which it was adopted to the effect that the relevant substitutions of the by-law be adopted with revisions. ( Certificate relevant to rule 45).
A Certified copy of the minutes including the paragraphs of the general meeting/committee meeting at which the resolution was passed to appoint officers/ members of the proposed society
The cash account , profit and loss account or a copy of the a balance sheet –the documents to prove the balance of the balance sheet/capital account ,shares, deposits, the cash in hand should be produced relevant to the transactions of the society from the date of commencement up to the date of applying for registration.
List of names of the members who participated for the relevant meetings.
A report including eligibility ,feasibility and economic status of the society
Two copies of the road map of the society showing the limits of the area of the society and the location of the society indicating access from the main road
The particulars of the officers of the Society / committee members/ that they are qualified according to the by-law /a report showing their names, addresses, age/employment, educational qualifications, social status and their ability to systematically govern the society.
Recommendation of the Co-operative Development Officer
2. Documents required to revise a by- law of a Co-operative Society
The request letter of the society.
A copy of the notice of calling the general meeting
A copy of the agenda of the general meeting
Proposed by- law /report of the general meeting with revisions which was certified and dated by the Chairman and one of the committee members .
A certified copy of the minutes of the general meeting including the decision of the board of directors/committee members.
A copy of the by- laws of the society
A document certified by the Chairman and the Secretary of the society to the effect that the provisions of Rule 33 of Co-operative Societies have been fully included.
Relevant certificate of attendance of the general meeting by which the revision of by- law has been proposed.
Two copies of the proposed revisions.
Recommendation of the Co-operative Development Officer.
3. Documents required to obtain relevant approval to determine the maximum liability (credit limit) of a Co-operative Society.
The maximum amount that could be obtained from non-members as credit or deposit should be determined at the General Meeting of the Society in accordance with the requirement of the Society in terms of Rule 16(1) of the Co-operative Societies Rules, 1973.
Following documents should be submitted in cases where the maximum credit limit is to be approved by the Commissioner of the Co-operative Development.
The request of the Society( outside credit limit should be explained along with the request)
The certified report of the minutes of the meeting including the decision of the above general meeting.
Last audited balance sheet.
The capital account made at the end of the month prior to the date of submission of the application
Recommendation of the Co-operative Development Officer
4. Documents required to obtain a bank loan/ bank overdraft facilities for a Co-operative Society.
request of Co-operative Society
A certified copy extracted from the minutes of the general meeting/committee meeting including the decision to obtain the loan.
A certified report extracted from the minutes of the general meeting by which the maximum credit limit has been fixed.
A Copy of the last audited balance sheet.
The capital account before the lapse of a period of three months at the date of submission of the application
Properly prepared working capital account
A copy of the schedule that includes the prospect of investing in the loan.
Completed application to obtain a bank overdraft
5. Documents required to obtain temporary bank loan/ bank overdraft facilities for a Co-operative Society
The request of the Society
A certified copy extracted from the minutes of the general meeting/committee meeting including the decision to obtain the loan.
A certified report extracted from the minutes of the general meeting by which the maximum credit limit has been fixed .
A Copy of the last audited balance sheet
The capital account before the lapse of a period of three months at the date of submission of the application.
Properly prepared working capital account
Completed application to obtain a bank overdraft.
Special reasons to obtain relevant bank loan/over draft
Recommendation of the Co-operative Development Officer
6. Documents required to open a bank account
The request of the Co-operative Society
A certified copy extracted from the minutes of the meeting of the board of directors/committee by which the officers were appointed and empowered.
The copies of the appointment letters of the officers.(if nominated)
Mandate Paper
A report on the decision of the Director Board on opening a bank account
A copy of by- laws ( A certified copy of the relevant paragraph.)
Recommendation report of the Co-operative Development Officer
7. The requirements to be fulfilled in case of lending loans to a Co-operative Society by another Co-operative Society.
The request of the Society.
Report of the director board on lending conditions of the relevant lending Society
A report to the effect that the consent of the Board of Directors have been given to accept the conditions of the society which grants the loan.
Full report on the financial conditions of both Societies
Recommendation of the Co-operative Development officer in charge of the Co-operative Societies.
8. Documents required to be produced in applying to extend the period of the limits of outside loans.
The request letter of the Society
Reasons for not receiving the approval of the General Council
A copy of the balance sheet of the audit report
The capital account before the lapse of a period of three months
A report of the of the board of directors including decision made to extend the period of the limit of outside loans for a specific period.
Recommendation report of the Co-operative Development Officer
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9. Documents required to obtain loans for other purposes from the surplus of Rural Banks
Request of the society
The copies of the reports on the decisions of the board of directors.
Final balance sheet/capital account
Account made to calculate surplus of Rural Banks (as per the instructions of the circular)
Estimate made for the confirmation of amount and the requirement of the loan
Recommendation of the Co-operative Development Officer
10.Requirements to be fulfilled in relation to attesting of signatures of the officers of the Co-operative Societies.
• The request of the Society
• Two copies of report of the board of directors /committee
• Two copies of the report of the board of directors /committee containing the decision to delegate authority to the relevant officer.
• A certified copy of the by- law containing the relevant paragraph.
• Signature cards with specimen signatures.
• A report together with the recommendation of the Co-operative Development officer with the assurance whether the authority has been vested as per the by- law.
11. Purchasing of Assets/ Disposal of Assets (as per rule 48)
*Purchasing of Lands*
The request of the Society ( Details including the manner of raising funds)
A certified copy of the minutes of the meeting with the decision of the general meeting.
The minutes of the meeting including the decision of the board of directors / committee regarding procurement and bidding (Including the details of the land to be acquired).
A copy of the last audited balance sheet.
The capital account before the lapse of a period of three months at the date of submission of the application.
Properly made working capital account.
A certified copy of the development plan including the relevant matter
A certified copy of a valuation report of a reputed organization, in relevant occasions
Proposed feasibility report, cash flow estimate.
If the construction is for a project, the project report or fitness report.
The copies of the bidding document.
The copies of the letters exchanged between the owner of the land and the society.(including the letter of consent of the owner)
A certified copies of the ground plan and the deed
Street line certificate and non- acquisition certificate (issued by the Local Government Institute)
Title report (should be made by an attorney at law with ten years of service experience)
Folios of the land (for the last 10 years)
The manner of raising funds for this purchase ( If the loan is to be obtained from an outside institute ,maximum credit limit decided by the general meeting should be submitted along with a certified copy of the minutes of the meeting).
Observations and recommendation of the Co-operative Development Officer
*Purchasing of vehicles*
The request of the Society (including the details of the manner of raising funds)
A certified copy of the minutes of the meeting including the decision adopted by the general meeting.
Minutes of the meeting including the decision of the board of directors /committee regarding procurement and bidding (including the details of the vehicle proposed to be acquired)
A copy of the last audited balance sheet.
The capital account before the lapse of a period of three months at the date of submission of the application.
Properly made working capital account
A certified copy of the development plan including the relevant matter.
A certified copy of a valuation/technical report of a reputed organization ,in relevant occasions .
Proposed feasibility report ,cash flow estimate
Project report, if the purchase is made for a project
The copies of the bidding documents
The copies of the letters exchanged between the owner of the vehicle and the society (including the letter of consent of the owner of the vehicle)
The manner of raising funds for this purchase ( If the loan is to be obtained from an outside institute ,maximum credit limit decided by the General Council should be submitted together with a certified copy of the minutes of the meeting).
Recommendation of the Co-operative Development Officer
*Building Construction*
The request of the society (details including the manner of raising funds)
A certified copy of the minutes of the general meeting including the decision adopted by the general meeting.
The extract of the minutes which include the decision of the Board of Directors / Committee with regard to this matter including calling bids (including the details of the building proposed to be constructed)
A copy of the last audited balance sheet
The capital account before lapse of a period of three months at the date of submission of the application
Properly made working capital account.
A certified copy of a development plan including the relevant matter
A copy of the letter of approval for the acquisition of the land proposed for construction
The certified copies of documents which confirms the undisputed possession of the land (a copy of the deed ,folios)
Approved plan
Approved expenditure estimate prepared by the authorized officers within the relevant expenditure limits.
(As this construction is with regard to a Rural Bank branch and as such it should be in accordance with the guidelines given in my letter No.SPC/Co.D/D/6 dated 30.08.2014, the prior activities like plan ,expenditure estimate shall be in accordance thereto)
If the construction is made for a project ,the project report or fitness report.
The copies of bidding documents ,if the bids have been called for a construction( bids should be prepared as per the items and the number of units according to the estimate)
The manner of raising funds for this purchase ( If the loan is to be obtained from an outside institute ,maximum credit limit decided by the general meeting should be submitted together with a certified copy of the minutes of the meeting).
Recommendation of the Co-operative Development Officer.
*Purchasing of Technical Instruments including Computers*
he request of the Society ( including the details of the manner of raising funds)
A certified copy of the minutes of the meeting including the decision of the general meeting.
The extract of the minutes of the meeting including the decision of the board of directors/committee with regard to the matters including the determination of specifications, purchasing ,calling of bids (including the particulars of instruments to be purchased)
A copy of the last audited balance sheet
The capital account before the lapse of a period of three months at the date of submission of the application.
Properly made working capital account.
A certified copy of the development plan including the relevant matter.
A certified copy of the valuation/technical report of a reputed organization
Proposed feasibility report ,cash flow estimate
Project report, if purchase is made for a project.
The copies of bidding document- include the promotion allowances and services given by the institutes.
The manner in which funds are raised for this purchase ( If a loan is to be obtained from an outside establishment the decision of the maximum limit of the loan decided by the general meeting should be submitted together with a certified copy of the minutes of the meeting).
Recommendation of the Co-operative Development Officer.
*Purchasing of other assets *
The request of the Society ( with details of the manner of raising funds)
A certified copy of the minutes of the meeting including the decision of the general meeting.
The extract of the minutes of the meeting including the decision of the board of directors/committee with regard to the matters including the determination of specifications, purchasing ,calling of bids (including the particulars of instruments to be purchased)
Last audited balance sheet
The capital account before the lapse of a period of n three months at the date of submission of the application.
Properly made working capital account
A certified copy of the development plan with the relevant matter.
A certified copy of the valuation/ technical report of a reputed organization ,whenever necessary.
Proposed feasibility report, cash flow estimate
Project report ,if the purchase is made for a project
The copies of bidding documents –include promotional allowances and services given by the institute.
The manner in which funds are raised for this purchase ( If a loan is to be obtained from an outside establishment the decision of the maximum limit of the loan decided by the general meeting should be submitted together with a certified copy of the minutes of the meeting).
Recommendation of the Co-operative Development Officer
12. Installing Computer software and networking.
The request of the society (details including the manner of raising funds)
A certified copy of the minutes of the meeting including the decision adopted by the general meeting.
The extract of the minutes of the meeting including the decision of the board of directors/committee with regard to the matters including the determination of specifications, purchasing ,calling of bids (including the particulars of instruments to be purchased)
A copy of the last audited balance sheet.
The capital account before the lapse of a period of three months at the date of submission of the application.
Propely made working capital account
A certified copy of the development plan
A certified copy of the valuation/technical report of a reputed institute, whenever necessary
A copy of the letter confirming that the approval of the Department has already been obtained.
Proposed feasibility report, cash flow estimate
Project report ,if purchased for a project
The copies of the bidding documents –include the details of promotional allowances and services given by the institute.
The manner in which funds are raised for this purchase ( If a loan is to be obtained from an outside establishment the decision of the maximum limit of the loan decided by the general meeting should be submitted together with a certified copy of the minutes of the meeting).
Recommendation of the Co-operative Development Officer
13.Renovations / repairs to the buildings.
The request of the Society ( including the particulars of the manner of raising funds)
A certified copy of the minutes of the meeting containing the decision of the general meeting.
The extract of the minutes of the meeting including the decision of the board of directors/committee with regard to the matter including calling bids (including the particulars of the proposed building to be repaired/modified)
Minutes of the meeting containing the decision of the director board /committee on bidding (including the details of the building proposed to be repaired/renovated)
A copy of last audited balance sheet.
The capital account before the lapse of a period of three months to the date of submission of the application.
Properly made working capital account.
A certified copy of the development plan including the relevant matter
A copy of the letter by which approval is granted to construct/purchase the building expected to be renovated/repaired,
A copy of the letter of approval regarding construction/ purchase of the building proposed to be renovated /repaired.
The approved plan.
The approved estimate of expenditure prepared by the authorized officers empowered to approve within the relevant limits of expenditure .(as this construction is with regard to a Rural Bank branch and as such it should be in accordance with the guidelines given in my letter No.SPC/Co.D/D/6 dated 30.08.2014 the prior activities like plan ,cost estimate shall be in accordance thereto)
If renovation / repair is made for a project, project report or feasibility report.
If bids have been called in relation to renovation/repair ,the copies of bidding document ( bids should be called as per the items and number of units according to the estimate)
The manner in which funds are raised for this purchase ( If a loan is to be obtained from an outside establishment the decision of the maximum limit of the loan decided by the general meeting be submitted together with a certified copy of the minutes of the meeting).
Recommendation of the Co-operative Development Officer.
14 .Repairs to Vehicles
The request of the society (with details of the manner of raising funds)
A certified copy of the minutes of the meeting including the decision of the general meeting.
A certified copy of the report of the general meeting including the decision of the general meeting.
The extract of the minutes of the meeting including the decision of the Board of Directors/ Committee with regard to the matters including calling for bids . (including the details of the proposed vehicle to be repaired)
The copy of the last audited balance sheet
The capital account before the lapse of a period of three months at the date of submission of the application.
Properly prepared working capital account
certified copy of the development plan including the relevant matter.
A copy of the letter of approval regarding purchase of the vehicle to be repaired
Technical report of a recognized institution. (e.g. – Sri Lanka Transport Board )
Approved expenditure estimate (Should be made by the authorized officers empowered to approve within the relevant limits expenditure)
If repairs /renovations are made in connection with a project, project report or fitness report.
If the bids have been called in relation to a renovation/repair ,the copies of bidding document ( bids should be called as per the items and number of units according to the estimate).
The manner in which funds are raised for this purchase ( If a loan is to be obtained from an outside establishment the decision of the maximum limit of the loan decided by the general meeting be submitted together with a certified copy of the minutes of the meeting).
Recommendation of the Co-operative Development Officer.
15. Sale of Vehicles/Machinery/Lands
The request made by the society.
A certified copy of the extract of the minutes of the meeting including the decision made by the general meeting.
The extract of the minutes of the meeting including the decision of the board of directors /committee with regard to the matters of selling ,calling of bids and publishing (including the particulars of the proposed property for sale)
The copy of the last audited balance sheet.
The capital account before the lapse of e a period of three months at the date of submission of the application.
A certified copy of the development plan including the relevant matter
In relevant occasions, a certified copy of the valuation report of a recognized establishment (If this is to be obtained as a confidential report to assess the value of the anticipated property to sell ,a letter stating that fact be annexed thereto)
The copies of the bidding documents.
Recommendation of the Co-operative Development Officer
16 .Auction of Damaged Materials
The request made by the society.
A certified copy of the extract of the minutes of the meeting including the decision made by the general meeting.
The extract of the minutes of the meeting including the decision of the board of directors /committee with regard to the matters of auction, determining prices ,calling of bids and publishing (including the particulars of the proposed property for sale)
The copy of the last audited balance sheet.
The capital account before the lapse of a period of three months at the date of submission of the application.
A certified copy of the development plan including the relevant matter.
In relevant occasions a certified photocopy of the valuation report of a recognized establishment (In a matter with regard to the minimum bid at an auction and for the valuation of the anticipated property - if it is to be obtained as a confidential report- a letter stating that fact be annexed thereto)
The copies of the bidding documents
Recommendation of the co-operative development officer.
17. Leasing and Taking on Lease
The request made by the society.
A certified copy of the extract of the minutes of the meeting including the decision of the general meeting .
The extract of the minutes including the decision of the board of directors /committee with regard to the matters of leasing /taking on lease and calling of bids.(including the particulars of proposed property for sale)
The copy of the last audited balance sheet .
The capital account before the lapse of a period of three months at the date of submitting of the application.
A certified copy of the development plan including the relevant matter
•In relevant occasions a certified photocopy of the valuation report of a recognized etablishment (In a matter with regard to leasing/taking on lease and for the valuation of the anticipated property - if it is obtained as a confidential report- a letter stating that fact be annexed thereto)
The copies of bidding documents.
A copy of the agreement/conditions
Recommendation of the Co-operative Development Officer
18. Documents required to obtain approval for a new project of a society.
The request made by the society.
A report containing the decision adopted by the general meeting. (certified copy)
An extract of the minutes including the decision adopted by the board of directors/committee. (certified copy)
Fitness report and the estimate
A report whether the project is based on the development plan of the society
The particulars that should be included in the project report.
i Nature and introduction to the project
ii Objective
iii Benefits received by members and customers
iv Social and environmental eligibility
v Permanent market place for production and orders
vi Method of accessing raw materials and appliances
vii Quality assurance of relevant products
viiiSkilled and unskilled labourers and employees
ix Management
x Estimate
*Buildings
*Machinery
*Instruments
*Salaries & Allowances
*Raw Materials
*Tools
*Electricity
*Production Capacity
*Welfare
xi Financial Report
xii Profit analysis
xiiiRecommendation of the Co-operative Development Officer.
19. Documents required to submit related to approving of manpower assessment of a society.
The request letter of the society
A copy of the minutes of the meeting including the decision made by the board of directors/committee. (certified copy)
Report on the basic information and operations of the society.
The capital account before the lapse of a period of three months at the date of submission of the application.
Final accounts and balance sheet of the final audit report.
The salary particulars proposed according to the approved monthly salary scheme and a detailed document in relation to the percentage of the gross profit.(separate copy for each branch)
Salaries and allowances currently paid for each profession.
Internal memo .
Currently approved manpower assessment and the schedule with proposed amendments.
Descriptions of the estimated total salary with regard to administration, consumer, Rural Banks and other sectors.
If there are any employments to be suppressed once the manpower assessment is submitted for approval ,alternatives for that matter should be given.
If the estimate of manpower is to be amended for a proposed branch to be started or for a project, feasibility study project report thereof and the particulars of the income expected.
If the employment is proposed according to a special circular or special requirement, relevant circular or a copy of the information should be submitted.
Annexures related to the approval/revision of manpower assessment as required.
Recommendation of the Co-operative Development Officer.
20.Documents required to approve a division of profits
The request letter of the Society.
The extract of the minutes including the decision of the general meeting consisting with the plan of dividing profits (A certified copy)
The copies of the reports consisting with the decision of the board of directors/committee including the plan of division of profits. (certified copies)
The copies of the report including the decision made by the board of directors/committee. (certified copies)
The capital account before the lapse of a period of three months at the date of submission of the application.
A copy of the last audited balance sheet
Properly prepared working capital account
The copies of the profit & loss account/accounts which were audited in the proposed year/years of profit division.
The copies of the profit appropriation account/accounts which were audited in the proposed year/years of profit division.
The plan of the division of profits (as per the rules and the by-laws)
The title reports should be annexed when it is proposed to pay shares, dividend, rebate, and bonuses.
Certificate under Rule 15
Report together with the recommendation of the Co-operative Development Officer.