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Sections 44, 46 and 47 of the Multi-State Co-operative Societies Act, 2002: bar on holding office and removal of elected members

A Minister in the Central Government or a State Government cannot be elected chairperson, president, vice-chairperson or vice-president (s.44(1)). A person cannot be elected...

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October 2, 2026
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Last updated: October 2026Verified against: Government sources

Section 44 says who cannot be elected chairperson or president, section 46 limits how many societies one person can head, and section 47 lets the general body remove an elected board member who has acted against the society's interests. None of the three was amended in 2023. They are stated as per the Ministry of Cooperation copy of the Act read with the Multi-State Co-operative Societies (Amendment) Act, 2023. Section 45, which sits between them, is now the Co-operative Election Authority provision and is covered in separate articles. A contested removal is a dispute, and our legal dispute resolution team can look at the notice, the hearing record and the vote count against the text.

Section 44: who cannot hold the top offices

Sub-section (1): Ministers

"No member of a board shall be eligible to be elected as the chairperson or president or vice-chairperson or vice-president of a multi-state cooperative society if such member is a Minister in the Central Government or a State Government." The test is the status of the person at the time of the election. The section speaks of being a Minister; it does not mention other office holders, and we add none.

Sub-section (2): two consecutive terms

A member of the board is not eligible for election as chairperson or president "after he has held the office as such during two consecutive terms, whether full or part". Three features matter:

  • the bar covers chairperson or president only; sub-section (2) does not name the vice-chairperson or vice-president;
  • the words "whether full or part" mean that a short term counts as a term;
  • the proviso restores eligibility for a member who "has ceased to hold the office of the chairperson or president continuously for one full term".

The Explanation deals with those already in office when the Act began: a member holding the office "at the commencement of this Act" who is again elected after that commencement is "deemed to have held office for one term before such election". The print says "is against elected", which looks like a slip for "again elected". We quote it and flag it. The commencement of the principal Act is by notification, date not in the source.

Section 46: office in no more than two societies

"Notwithstanding anything contained in this Act, no person shall be eligible to hold, at the same time, office of a president or chairperson or vice-president or vice-chairperson on the board of more than two multi-state cooperative societies." The phrase "at the same time" limits the bar to simultaneous office. Because it opens with "Notwithstanding anything contained in this Act", it overrides any other provision of the Act that might seem to allow a third office.

The section counts offices "on the board of" multi-State co-operative societies. It does not mention offices in other kinds of co-operative society, and we do not extend it.

Section 47: removal by the general body

The ground and the route

"An elected member of a board, who has acted adversely to the interests of multi-state cooperative society, may on the basis of a report of the Central Registrar or otherwise be removed from the board upon a resolution of the general body passed at its meeting by a majority of not less than two-third of the members present and voting at the meeting."

Note three things.

  1. The ground is that the elected member "has acted adversely to the interests" of the society. The Act does not list what counts.
  2. The report of the Central Registrar is one basis, but the words "or otherwise" mean the general body can act on other material.
  3. The majority is counted among members "present and voting", not among all members. We keep the printed form, "two-third".

The proviso: a fair hearing

"The member concerned shall not be removed unless he has been given a reasonable opportunity of making a representation in the matter." A resolution passed without that opportunity would not meet the section as printed.

What the section does not say

The section is silent on the notice period for the meeting, who presides while the resolution is taken up, whether the removed member can vote, and whether the member can be re-elected afterwards. These are left to the bye-laws and other provisions; we do not supply them. Elected members can also lose their seats by disqualification under section 43; see our note on disqualifications for being a member of the board. Meetings of the general body are covered in our note on the annual general meeting and the special general meeting.

A practical example

Ganga Valley Multi-State Co-operative Society has a chairperson, Mr. Desai, who has served two consecutive terms, the second a part term after a vacancy. Under section 44(2) he is not eligible to be elected chairperson again until he has stayed out of that office for one full term. The society also has an elected director, Ms. Iyer, who has been favouring a rival supplier against the society's interests. A general body meeting has 180 members present and voting. A resolution to remove her needs not less than two-third of those present and voting, so at least 120 votes in favour, and only after she has had a reasonable opportunity to make a representation. If she has already been heard and the vote is carried, she is removed under section 47.

What the 2023 Amendment Act changed

SectionBefore and after
44Not amended; same text
46Not amended; same text
47Not amended; same text

The 2023 Act did substitute section 45, which now deals with the Co-operative Election Authority. Elections are therefore conducted under the substituted section 45 and sections 45A to 45L, but the offices barred under sections 44 and 46 and the removal route in section 47 read as before.

Need help with removal or eligibility questions?

Before a removal resolution is moved, a society should check the notice, the record of the representation given to the member and the vote count. If a board member or a society wants an opinion on eligibility for chairperson or on a removal, our legal dispute resolution team can go through the facts with you.

Key takeaways

  • A Minister in the Central Government or a State Government cannot be elected chairperson, president, vice-chairperson or vice-president.
  • Two consecutive terms, full or part, bar a person from chairperson or president until one full term has passed.
  • No one may hold the top offices on the boards of more than two multi-State co-operative societies at the same time.
  • Removal under section 47 needs not less than two-third of the members present and voting, and a reasonable opportunity to make a representation.
  • The Central Registrar's report is one basis for removal but not the only one.

Read next

Disclaimer: Based on the Ministry of Cooperation copy of the Multi-State Co-operative Societies Act, 2002 read with the Multi-State Co-operative Societies (Amendment) Act, 2023 (in force from 3 August 2023), as consulted on 2 October 2026. The Multi-State Co-operative Societies Rules, 2002 as amended, later notifications and later amendments are not covered and should be checked. This article is general information, not legal advice; check the official text before acting.

Quick recapKey facts & short answers

Key Facts About Sections 44

  • Applies in: All states across India, under the relevant central law.
  • Mode: Mostly online via the official government portal.
  • Typical timeline: Ranges from a few days to a few weeks depending on the case.
  • Non-compliance: May attract penalties, interest or late fees.
  • Expert help: TaxClue completes the entire process end to end for you.

Can a Minister be a director of a multi-State co-operative society?

Section 44(1) only bars a board member who is a Minister from being elected chairperson, president, vice-chairperson or vice-president. It does not, in terms, bar a Minister from the board itself.

Does the two-term bar apply to the vice-chairperson?

Section 44(2) names the chairperson or president only. The vice-chairperson is not mentioned in that sub-section.

Registration is not permanent — note its validity and apply for renewal well inside the window.

— TaxClue NGO & Trust Desk

Sections 44: a key compliance topic in Indian tax and corporate law that businesses and individuals must understand to remain compliant.

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Disclaimer: This article is for general informational purposes only and does not constitute professional tax, legal or financial advice. Laws, rates and due dates change and can vary by individual case — always verify with the relevant government source (e.g. mca.gov.in, incometax.gov.in) or consult a qualified professional before acting. TaxClue accepts no liability for decisions taken based on this content.

People also ask

Questions, answered

Short, direct answers to the 6 questions readers ask most on this topic.

Section 44(1) only bars a board member who is a Minister from being elected chairperson, president, vice-chairperson or vice-president. It does not, in terms, bar a Minister from the board itself.

Section 44(2) names the chairperson or president only. The vice-chairperson is not mentioned in that sub-section.

No, not at the same time. Section 46 caps the offices of president, chairperson, vice-president or vice-chairperson at two societies.

The section says removal is by a resolution of the general body, and may rest on a report of the Central Registrar or otherwise. It does not say who must move the resolution.

Not less than two-third of the members present and voting at the meeting.

Yes. The proviso to section 47 says the member shall not be removed unless he has been given a reasonable opportunity of making a representation.