Duties of the Management and Supervisory Committees

The Management Committee

The Management Committee is the governing body of the society elected from the general membership and consists of nine (9) members. It includes the Chairman, Vice chairman, Treasurer and Secretary all of whom are elected by the Committee from amongst the members of the Committee.

Members of the committee hold office for a period of three years provided that, one-third of the committee members retires every year but are still eligible for re-election.

The Management Committee of the society subject to any directions from the General Meeting generally direct the affairs of the society. Its procedures, powers and duties are as prescribed by the Act, Rules and the By-laws. In particular, it shall:

  • Observe in all its transactions the Act, the Rules, these By-laws and prudent business practices.
  • Act upon all applications for membership.
  • Make provision for sufficient funds for loans to members.
  • Ensure that true and accurate records and accounts of the society’s money, properties, capital reserves, liabilities, income and expenditure are kept and maintained;
  • Prepare and develop long term management plans and budgets for presentation at the General Meeting;
  • Propose to the General Meeting the amount and kind of surety bond, or other security, which shall be given by the member of the committee or employee having custody of or handling funds or property of the society;
  • Determine and recommend to the General Meeting the interest rates on loans, the maximum maturities and terms of payment or amortization of loans from time to time and the maximum amounts that may be loaned with or without security to any member;
  • Cause the audited accounts to be displayed in a conspicuous place at its registered office and branches at least two weeks before presentation of accounts to its members at the general meeting;
  • Lay before the General Meeting audited accounts, together with proposals for the disposal of net surplus, if any;
  • Recommend to the General Meeting the dividend rate to be paid on shares, if any, and interest to be paid on deposits;
  • Fill through co–option, vacancies occurring in the Management Committee between General Meetings;
  • Recommend investments of the society;
  • Authorize the conveyance of properties;
  • Authorize borrowing and lending operations of the society in accordance with the Act and the Rules;
  • Designate a depository or depositories for the funds of the society;
  • Employ and fix the remuneration of the employees in accordance with the terms and conditions of service as approved by the Commissioner;
  • Impose fines as provided for under the By-laws;
  • Approve transfer of shares;
  • Supervise the recovery and collection of loans from members and recommend to the General Meeting the write off of bad debts.
  • Perform or authorize any actions consistent with the Act, the Rules and the By-laws, unless specifically reserved for the General Meeting;
  • Provide adequate budget for education and training of members, the committee and staff; and
  • Perform such other duties as the General Meeting may from time to time direct.

The Supervisory Committee

Co-operative societies  have supervisory committees consisting of three members each elected at the General Meeting for a period of three years and one member of the supervisory committee retiring annually. The supervisory committee verifies all transactions of the co-operative society. The supervisory committee cannot perform any of the duties or exercise any of the powers of the management committee of the society.

The specific duties of the supervisory committee shall be to:

  • confirm cash regularly and reconcile it with the records
  • check out bank accounts monthly and their reconciliation
  • make pass books or members personal accounts audits
  • check delinquent loans among the committee and members and ensure appropriate action is taken
  • verify society investments
  • analyze expenses of the society
  • check loan applications and note any anomaly
  • check balance sheets and income and expenditure statements to ensure their accuracy
  • check whether the books of the society are kept in accordance with the accounting standards
  • make regular checks on budgetary control by the officials
  • attend to and receive members complaints
  • prepare and present reports to the management committee for discussion during joint meetings
  • submit its reports to the commissioner
  • present its report to the annual general meeting
  • co-operate with the management committee in seeking solution to problems facing the society
  • carry out other duties as prescribed in the Rules.

4 Responses

  1. Thanks for your help

  2. How long does office remain in office (terms) before law retires one

    • There is a rotational election system where a third of the management retires every year. One if liked by the membership can go on and on until he or she opts out voluntarily but can also be voted out during elections.

  3. … [Trackback]

    […] Find More Informations here: funnyardstick.wordpress.com/2012/03/23/duties-of-the-management-and-supervisory-committees/ […]

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: