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97th Amendment Act, 2011: Empowering Cooperatives in India



  Nov 17, 2023

97th Amendment Act, 2011: Promoting Cooperative Societies



Introduction:

The 97th Amendment Act, 2011, was a significant legislative step in India, aimed at promoting cooperative societies. This amendment introduced comprehensive provisions in the Constitution to support the formation and efficient management of cooperative societies.

Key Features:

Insertion of Part IX B:

New Constitutional Part: A complete Part IX B was added to the Constitution, detailing the formation, administration, and regulation of cooperative societies.

Article 43B - State's Role:

Promotion of Cooperatives: The newly inserted Article 43B directs the State to encourage the voluntary formation, autonomous functioning, democratic control, and professional management of cooperative societies.

Amendment to Article 19:

Right to Form Cooperatives: Article 19 was amended to include the 'right to form cooperative societies'. This was achieved by inserting the words “or cooperative societies” in sub-clause (c) of clause (1) of Article 19, which pertains to the right to form associations or unions.

Implications:

Strengthening Cooperatives:

The amendment provides a constitutional status and framework for cooperative societies, aiming to make them more autonomous, democratic, and professionally managed.

Empowering Communities:

By recognizing the right to form cooperatives, the amendment empowers individuals and communities to collectively address their economic and social needs.

State's Role in Promotion:

The State is mandated to facilitate the growth and development of cooperatives, ensuring their democratic functioning and autonomy.

Criticism and Legal Challenges:

Challenges in Implementation: The amendment faced challenges in terms of aligning with existing state laws and managing the diverse nature of cooperatives across states.

Legal Scrutiny: Certain aspects of the amendment, especially concerning the autonomy of cooperative societies, have been subject to legal scrutiny and debate.

Conclusion:

The 97th Amendment Act, 2011, marks a pivotal development in India's constitutional and legal landscape, reinforcing the role of cooperative societies in the nation's socio-economic fabric. It underscores the importance of cooperative movements in fostering self-reliance and democratic values at the grassroots level.

SRIRAM’s


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