(1) If the Registrar, after an inquiry has been held under section 55, or an inspection has been made under section 56, or on receipt of an application made by not less than three-fourths of the members of a co-operative society, is of opinion that the society ought to be wound up, he may issue an order directing it to be wound up.
     (2) The Registrar may of his own motion make an order directing the winding up of a co-operative society--
         (a) where it is a condition of the registration of the society that the society shall consist of at least ten members and the number of members has been reduced to less than ten, or
         (b) where the co-operative society has not commenced working or has ceased to function in accordance with co-operative principles.
     (3) The Registrar may cancel an order for the winding up of a co-operative society, at any time, in any case where, in his opinion, the society should continue to exist.
     (4) A copy of such order shall be communicated by registered post to the society and to the financing institutions, if any, of which the society is a member.
     (5) Notwithstanding anything contained in this section no co-operative bank shall be wound up except with the previous sanction in writing of the Reserve Bank.