Prohibition on society fund distribution; payments allowed only after prescribed reserve and under rules, with extra restriction for unlimited liability. Prohibition on division of a registered society's funds among members by way of bonus, dividend or otherwise. Payments to members from remaining current ... Summary
Prohibition on society fund distribution; payments allowed only after prescribed reserve and under rules, with extra restriction for unlimited liability.
Prohibition on division of a registered society's funds among members by way of bonus, dividend or otherwise. Payments to members from remaining current or past distributable profits are permitted only after a prescribed portion of net profits has been carried to a reserve fund and then subject to the society's rules or by laws; societies with unlimited liability require the State Government's general or special order before any such distribution.
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