Section 72
Qualifications disqualifications of auditors.
The Multi-State Co-operative Societies Act, 2002
About this Act
An Act to consolidate and amend the law relating to co-operative societies, with objects not confined to one State and serving the interests of members in more than one State, to facilitate the voluntary formation and democratic functioning of co-operative s as peoples institutions based on self-help and mutual aid and to enable them to promote their economic and social betterment and to provide functional autonomy and for matters connected therewith or incidental thereto.
(1) A person shall not be qualified for
appointment as an auditor of a multi-State co-operative society unless he is a chartered accountant within
the meaning of the Chartered Accountants Act, 1949 (38 of 1949).
(2) None of the following persons shall be qualified for appointment as auditor of a multi-State cooperative society--
(a) a body corporate;
(b) an officer or employee of the multi-State co-operative society;
(c) a person who is a member, or who is in the employment, of an officer or employee or the multi-State co-operative society;
(d) a person who is indebted to the multi-State co-operative society or who has given any guarantee or provided any security in connection with the indebtedness of any third person to the multi-State co-operative society for an amount exceeding one thousand rupees.
(3) A person shall also not be qualified for appointment as an auditor of a multi-State co-operative society if he is, by virtue of sub-section (2), disqualified for appointment as an auditor of any other body corporate or multi-State co-operative society or co-operative society.
(4) If an auditor becomes subject, after his appointment, to any of the disqualifications specified in sub-sections (2) and (3), he shall be deemed to have vacated his office as such.
(2) None of the following persons shall be qualified for appointment as auditor of a multi-State cooperative society--
(a) a body corporate;
(b) an officer or employee of the multi-State co-operative society;
(c) a person who is a member, or who is in the employment, of an officer or employee or the multi-State co-operative society;
(d) a person who is indebted to the multi-State co-operative society or who has given any guarantee or provided any security in connection with the indebtedness of any third person to the multi-State co-operative society for an amount exceeding one thousand rupees.
(3) A person shall also not be qualified for appointment as an auditor of a multi-State co-operative society if he is, by virtue of sub-section (2), disqualified for appointment as an auditor of any other body corporate or multi-State co-operative society or co-operative society.
(4) If an auditor becomes subject, after his appointment, to any of the disqualifications specified in sub-sections (2) and (3), he shall be deemed to have vacated his office as such.