Maharashtra HSC Co-operation key terms

A voluntary association of persons who join together on democratic and equal terms to pursue common economic goals, sharing risks and benefits rather than serving outside shareholders.

A registered body of persons who unite voluntarily to promote their common economic interests through jointly owned and democratically controlled enterprise, governed by co-operative law.

Membership that is open to all persons able to use the society's services, entered and left by personal choice without compulsion or artificial restriction.

The co-operative principle that any eligible person may join without discrimination, and no member can be forced to remain in the society against their will.

The principle that members govern the society on the basis of one member, one vote, regardless of how much capital each member has contributed.

The voting rule under which every member carries a single vote in the general body, preventing control from shifting to the largest capital contributors.

The principle that members contribute capital fairly, control it democratically, and share surpluses in proportion to their dealings with the society rather than their shareholding.

The principle that a co-operative is a self-help organisation controlled by its members, and any agreement with government or other bodies must preserve member control.

The principle requiring societies to educate members, elected representatives and employees so they contribute effectively, and to inform the public about co-operation.

The principle that societies strengthen the movement by working together through local, national and international structures and by supporting one another's activities.

The principle that co-operatives work for the sustainable development of their communities through policies approved by their members.

The ethical foundations of the movement: self-help, self-responsibility, democracy, equality, equity and solidarity, supported by honesty, openness, social responsibility and caring for others.

The seven guidelines adopted by the International Co-operative Alliance in 1995 that translate co-operative values into operating rules for societies worldwide.

The value holding that members solve their own problems through their own joint effort and resources instead of depending on charity or external patronage.

The global apex body founded in 1895 that represents co-operatives worldwide, defines co-operative identity, and issues the statement of values and principles.

The 1844 consumer society of twenty-eight weavers in England whose rules on membership, dividends and education became the model for modern co-operation.

A rural credit model developed in Germany by Friedrich Wilhelm Raiffeisen, based on small village banks lending to farmers on character and mutual liability.

An urban credit model of Germany based on people's banks serving artisans and traders, using share capital and limited liability rather than purely mutual liability.

The practice of members pooling resources so each can be helped in turn, forming the practical basis of early credit, insurance and consumer societies.

A society that collects savings and deposits from members and lends to them for productive and consumption needs, usually at the primary village or urban level.

The village-level short-term credit society that borrows from the district central co-operative bank and lends seasonal crop loans to farmer members.

The middle tier of the short-term co-operative credit structure, which finances primary societies in its district and is affiliated to the state co-operative bank.

The apex institution of the short-term co-operative credit structure in a state, which lends to district central banks and acts as a link with the Reserve Bank.

The three-tier rural co-operative credit system of state bank, district central bank and primary society that supplies seasonal agricultural finance.

The co-operative channel for investment credit, running from state land development banks or state co-operative agricultural banks down to primary land development banks.

A primary co-operative society conducting banking business in urban or semi-urban areas, licensed by the Reserve Bank and governed by co-operative law.

The arrangement under which co-operative banks are registered and administered under state co-operative law while their banking operations are regulated by the Reserve Bank.

A co-operative credit society serving salaried employees, artisans or traders, lending mainly for non-farm purposes and often drawing members from a defined group.

A society that aggregates members' produce, grades and sells it, and passes back the realised price after deducting handling costs and reserves.

The marketing practice in which members' produce is collected and sold as a single lot, with proceeds shared according to each member's contribution.

A society owned by producers that converts members' raw produce into finished goods, such as sugar or cotton, so members capture the value added.

A producer-owned mill in which cane growers hold shares and supply cane, receiving both cane price and a share of profits on their supply.

The increase in worth created by processing, grading, packing or branding a product before sale, retained by members when the society owns the process.

A society that buys goods in bulk and sells them to members at fair prices, returning surplus in proportion to members' purchases.

A co-operative of flat or plot owners that holds or develops property and manages common areas, collecting contributions for shared maintenance costs.

A housing society in which the society holds the land and building and members hold shares carrying the right to occupy specified flats.

A distribution of surplus to members in proportion to their transactions with the society, such as purchases made or produce supplied, rather than capital held.

The excess of a society's income over expenditure, which is allocated to reserves, member patronage refunds and common purposes as the law and bylaws allow.

The assembly of all members that is the supreme authority of a society, electing the managing committee and approving budgets, accounts and major decisions.

The elected board of a society that runs its affairs between general body meetings, subject to the Act, rules and registered bylaws.

The full-time executive appointed under co-operative law to conduct the day-to-day administration of specified societies, distinct from the elected committee.

The statutory officer who registers societies, supervises their functioning, orders audits and inquiries, and can intervene in disputes under state co-operative law.

The formal process by which a proposed society with the required promoters and bylaws is entered in the register and thereby acquires corporate status.

The registered internal rules of a society covering membership, capital, management, meetings and distribution of surplus, which bind the society and its members.

The compulsory examination of a society's accounts by an authorised auditor, whose report is placed before the general body and the Registrar.

The legal fiction by which ownership of land and building is treated as transferred to a housing society when the promoter fails to execute a conveyance.

The layered organisation of the movement in which primary societies form unions, federations and apex bodies that serve and represent them.

Training and awareness activity that builds members' understanding of co-operative values, their rights in the society and sound business practice.

The organised network of co-operative institutions and their supporting bodies, treated as a social and economic force for member welfare.

The contribution of co-operatives to capital formation, credit access, employment, fair distribution and inclusive growth in rural and urban areas.