Recovery of amount from member defaulter
Que.Recovery of amount from member defaulter?
A member who does not pay his dues to the Society may become a defaulting
member. The society has to take any action for recovery of dues from him as
a)The society has to send 3 letters to him at a span of 15 days each asking him to
pay the amount and making him aware that legal action of recovery will be taken
against him if he does not pay his dues.
b)Society has to pass resolutions about the interest to be charged on such dues
and the actions to be taken against defaulters in its Annual General Meeting. The
society can charge up to a maximum of 21% interest
c) Society has to file an application along with all necessary documents and Court
fee stamp for obtaining Recovery Certificate against the defaulting member with
the Deputy Registrar Cooperative Department of the Area within which the society
D)On receiving a Recovery Certificate the society has to hand it over to the
Recovery Officer for further process of Recovery.