Part IXB: Co-operative Societies

Article 243ZR: Application to Multi-State Co-operative Societies

Original Article:

The provisions of this Part shall apply to the multi-State co-operative societies subject to the modification that any reference to "Legislature of a State," "State Act" or "State Government" shall be construed as a reference to "Parliament," "Central Act" or "the Central Government" respectively.

Explanations:

Article 243ZR aligns the governance of multi-state co-operative societies under central legislation, ensuring uniformity across states. By substituting state-level references with central ones, the Article provides a cohesive legal framework for societies operating in multiple states.

• Central Legislation - Ensures that multi-state co-operative societies follow uniform regulations under the Central Government.
• Legal Clarity - Eliminates confusion arising from varied state laws.

Legislative History:

Article 243ZR was introduced by the Constitution (97th Amendment) Act, 2011, to address the challenges faced by multi-state co-operatives in navigating different state laws. It aimed to create a streamlined legal environment for these entities.

Historical Significance:

This Article is a testament to the recognition of the economic and social impact of multi-state co-operatives, ensuring their efficient functioning through a unified legal approach. It underlines the importance of such societies in India’s cooperative movement.

Real-Life Examples:

Organizations like IFFCO (Indian Farmers Fertiliser Co-operative Limited) operate as multi-state co-operatives and benefit from centralized governance under Article 243ZR. This allows them to maintain uniform practices across states while contributing to national development.

Similarly, KRIBHCO (Krishak Bharati Co-operative Limited) demonstrates the efficiency of this Article by navigating interstate operations seamlessly under central laws.