Asset distribution priority ensures outside liabilities, member claims, and share refunds are paid in a strict pro rata sequence during liquidation. Assets of a multi state cooperative society are to be applied in ranked pro rata order for liabilities: first, pro rata payment of outside liabilities; second, pro rata repayment of members' loans and deposits; third, pro rata refund of share capital; and finally, pro rata payment of dividend on shares for the liquidation period at a capped rate.
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Provisions expressly mentioned in the judgment/order text.
Asset distribution priority ensures outside liabilities, member claims, and share refunds are paid in a strict pro rata sequence during liquidation.
Assets of a multi state cooperative society are to be applied in ranked pro rata order for liabilities: first, pro rata payment of outside liabilities; second, pro rata repayment of members' loans and deposits; third, pro rata refund of share capital; and finally, pro rata payment of dividend on shares for the liquidation period at a capped rate.
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