By-laws of the Fishermen's Co-operative Society Limited Karachi

il I i I I Ii I! FISI-IER~IEN'S CO-OPERATIVE SOCIETY LIl\llTED KARACHI FISH HARBOUR, WEST VIHAR,F o f The Society as Corrected upto 12th June, 1969. I I I I I I KARACHI. : I MuineF~ThlJmrlr.:~~ 1f Govarnment of Pilkirlt.:o.n 11 - .. . .. - ---- . 1 BYE-LAWS OFT H E FISHERMEN'S CO - OPERATIVE SOCIETY LIMITED KARACHI I. GENERAL I. The Society is registered under the Co-operative So­ cieties Act 1925' and shall be called "Fishermen's Coperative Society Ltd., Kar ach I." 2. In these Bye-Laws, unless there be something in the subject or context inconsistent therewith : (a) "The Society" means Hsherrnen's Cooperative So­ ciety Ltd .. Karachi. (b) "The Act" means the Cooperative Societies Act 1925. ' (c) "The Board" means the Board of Directors of the Society. (d). "Month',' means calender-month. (e) Words importing the masculine gender also ln­ elude the famiriine gender. 3. The Area of operation of the Society shall extend to Municipal Port Trust limits of Karachi and the islands of Baba, Bhit, Shams and the sea co asr of Karachi Division uptO Haw­ ksboy (Bulleji). Sonrnia ni , Darnb and other coastal areas of West Pakistan. Fishermen's Co o perat ive Sociecies bey crid this area can also become members of the Society and in that case the area of op e rat ion will extend to the whole of Pak­ istan. 4, The registered office of the Society shall be at Fish Harbour, Karachi. In the event of change. notice shall be given to the Deputy Registrar, within 14 days and Published in a local newspaper. 5. The first General Meeting of the members after re­ gistration shall have the same powers as are herein given to the Annual General Meeting. Ii. OBJECTS 6. The objects of the Society are : (a) to improve the condition of fishermen. who are its members. by encouraging thrift, self-help and cooperation among them. Name and Registration. Definitions. Area of Operation. Registered office. First General Meeting. Aims and Objects of the Society. 2 (I) (I) (f) (j) (b) (c) (d) (e) (h) (g.) (m) (k) to raise funds by means specified hereafter to be utilised in the business of th e Society. to grant advances or loans to members for nece­ sary purchases at a moderate rate of interest but this kind of business will only be done after the approval of the Deputy Registrar has been received In writing. to purchase and hold improved fishing appliances and crafts and/or to be sold or to be hired to members. to obtain direct leases of fisheries from Govern­ ment or local bodies. to arrange for the disposal of the catches of the members when necessary and to establish Its own purchase and sale centres If and when re­ quired. to disseminate the knowledge of the latest im­ provements in Fishing Industry and to encourage its mem bers to adopt them and also to enforce on members of the Society the adoption of such latest methods and devices. to assist its members in obtalnlng the materials required in the fishing industry such as Marine Diese! Engines. Spare Parts. Yarn, Wood. Salt. Life Saving Equip.ne nts and other requirements of fishing gear at reasonable rates b)' arranging purchase at whole-sale rates. to sell to its members and other consumers all ar ticle s of consumption bought by it or manu factured by it either by itself or in combination with other consumers' societies. to own or hold on lease or otherwise buildings or immovable properties for the purpose of doing its business. to purchase stock and sell it on its own account. to establish or assist fishIng or processing in d ustries : and to do such other things as are incidental or con­ ducive to the attainment of the above objects. III. FUNDS 7. Funds may be raised by :­ (a) Issue of shares (b) Receiving deposits Rlli~iug of Funds. 4 Directors at theIr dIscretIon. (I) Application for admission shall be sub­ mitted on the prescibed Form; (il)· An admission fee of Rs. 5/- shall be charged from each member. Applications for shares shall be made In writing and sign­ ed by the applicants and shall be disposed of by the Board at Its first meeting after the application is received or as. soon th e reaft er as is practicable. Every application must be supported by two bonafide mem bers. Note-For the purpose of this clause a Bonafide Fisherman is a person who is born in the family of persons engaged in the catching of fish by profession. Whenever the question arises whether a particuiar person Is a Bonafide Fisher­ man or not. the decision of the Board of Dir­ ectors on the point shall be final and con­ clusive. (c) Cd) if he is a persistent defaulter or ; if he Wilfully deceives the Society by false state­ ments or ; If he is' bankrupt or legally disabled or : If he intentionally does any act likely to Injure the credit of the SOCiety. In such cases; the vote shall be by ballot and expulsIon may Involve the forfeiture of all the shares held by him. Such forfeiture shall be decided upon by a vote of two thirds of the members of the General Body. No expelled member shall be re-admitted except by a vote of two thirds of the mem­ bers present and voting at a General Meeting on a motion of which notice has been given. 14. A person ceases to be a member:­ (a) on death; Members who signed the origlnai application for regIs­ tration are exempt from Bye-Law No. II (c) and (d). /2. Every member shall ·sign a declaration undertak­ ing thereby· to abide by the Bye Laws of the Society and to accept the rights, obligations and respons lb lllt ies of mem­ bership, as laid down in these Bye Laws and abide by the decision of the Board. 13. A member of the Society may be expelled by a vote of the two-thirds of the members present at the General Meetlng: (a) (b) Expulsion of e. Member. Undertaking by Members. Mernbership when ceases. 5 Liability of member. Share Certificates. Limitation on Transfer. Payment of Share money. Transfer of share or creation of charge thereon. (b) when his shares have been transferred with the sanction of the Board; (c) on expulsion or (d) on forfeiture of all the shares held by him. 15. The liability of a member shall not exceed the amount, of subscribed shares for the debts of the Society for which he or his estate is liable . 16. No member or person shall be permitted to transfer his shares or create a charge iii respect of the same in favour of another person except with the previous sanction of the Board. 17. A member may transfer his share or shares, after holding them for one year to another person or member with the approval of the Board. The transfer is not complete until the name of the transferee has been entered in the share transfer register. The transfer fee shall be Re. I/~ per share. 18. A member may be entitled to a certificate under common seal of the Society, specifying the share or shares held by hlrn. If such certificates are lost or worn out they may be renewed on applicant's executing an indemnity bend guaranteed by two respectable persons preferably members and On payment of a fee of Re. 1/- per share. 19. In the event of membership cea:;ing under bye­ Law No. /4 (c) the par value of the shares held by a member after deducting any amount due by him to the Society shall be paid to him within six month from the date of ceasation of membership. 20. (a) Each member of the Society on admission shall Nomination. nominate a person or persons to whom his shares or interest in the Society should be transferred in the event of his death; .(b) If more than one nominee is appointed, the ratio on which the share or interest of the member is to be transferred should also be specified. InvarIably more than one nominee will be permissible only when the member holds more than one share; (c) If the nominee Is a minor, the member should appoint a guardian legally competent to transact his business with the Society. He can change his, nominee or the guardian whenever he likes. Death of member arid payment of share money to his heir. Voting. Business to be transacted in Annual General Body Meeting. 6 (d) No fee shall be charged for recording such nom­ Ination or appointment of a guardian for the first time but for each subsequent revocation or variation, a fee of Pais as Twenty-five shall be charged. , 2'. On the death of a member. the amount standing to his credit by way of shares, deposits. dividends, bonus. profits or Interest shall subject to a deduction on account of his liabi!itiez, be paid to the person nominated by him or in the absence of such nominee to such person as may appear to the Board to be entitled to receive the amount as heir or legal representative of the deceased member, on his executing a deed of indemnity to the Society. The Board has the right of demanding a Succession Certificate if it deems necessary. The deposit of the deceased member may be withdrawn by such heir only if the period of dep osjt has expired. V.. GENERAL MEETING 22. The supreme authority of the Society shall be ves­ ted in the General Body consisting of all the share holders of the Society.. All such share holders present at the General Meeting shall have each· one vote only irrespective of number of shares held by any such share holder. The voting shall be by show of hands unless otherwise decided by Beard of Directors. General Meeting shall be of two kinds, Annual and Special. On all questions, the decision of the majority shall be final unless otherwise provided for. 23. The Annual Ge rieral Meeting shall be held within three months from the date ef closing of the year fixed under the rules. The functions of the Annual General Meeting are : (a) (b) (c) (d) (e) To elect Directors for three years as in Bye-Law 32 (a) and (b). To appoint Auditor to audit the accounts of the Society during the ~nslJing year and to fix their remuneration. To receive and consider the Annual Report and the statement of accounts pre par ed by the Board and to review the work of the Society during the past year. To sanction the distribution of profits and to declare dividend. To fix the maximum amount upto which the Board may raise funds under Bye·Laws No. 7 and 9. 7 (f) To consider any communication or audit memo that may have been received from the Deputy Registrar. (g) To consider any other business for which due notice has been given /5 days before the General Meeting. 24. A Special General Meeting can be summoned by a resolution of the Board or on a written order from the Deputy Registrar or upon a written requisiticn from fifr.y or one-fifth of the total number of share holders whichever be less. It shall be the duty of the Ch airman to call such a meeting within one month of the receipt of the requisition. 2.5. No resolution can be brought for cancelling a pre­ vious resolution of the General Body unless three clear months have expired after passing of the original resolution. 26. A Special General Meeting shal! not transact any business other than mentioned in the requisition or notice convening it, as the case may be. 27. In case of an Annual General Meeting 15 days clear notice and in case of a Special General Meeting 7 day clear notice shall be given. The notice shall specify the date, hour and place of the meeting and business to be transacted. tf a member has to bring a matter before an Annual General Meeting, he shall give a notice to the Chairman on or before 31 st July. but any rn at t e r involving the modification of a Bye­ Law must be sent to the Chairman before the! 5th of July. 28. With the permission of the two thirds of the mem­ bers present at an Annual General Meeting at which there is a quorum, any member may bring forward 3. proposal not mentioned in the notice cOllvpning the meeting provided that such proposal does not rclat e to the expulsion of a me rn­ ber or the alteration of a Bye-Law. 29. At all the General Meetings, the Chairman of the So­ clety shall preside. In the absence of the Chairman, the Vlce­ Chairman wi!1 do so. In the absence of both, the members present shall elect one of the Directors to preside. In the absence of all the Directors, the members present shall elect one of themselves to preside. 30, The presiding authority shall have a casting vote In addition to his ordinary. vote in the event of equality. 31. Two-fifths of the total number of members or fifty (whichever be less) shall' form a quorum at a General Meeting. If within half an hour and from the time appointed for an Annual or Special General Meeting quorum is not obtained, the Chairman shall, if the meeting has been called on the re Special Meeting. Notice for bring­ ing Resolution cancelling a previous one. Business to be transacted in Special General Meeting. Notice for Annual General Meeting. Br ing inj; a proposal not in Notice. Presiding over the General Meeting. Casting Vote. Quorum of General Body. The Board of Directors at its first meeting shall amongst therns e lves a Chairman and a Vice Composition of the Board. Presiding over th e Board Meeting. Election of Chairman and Vice' Chairman. Rernoval of Director. Quorum of Board. Qualifications of Elected Directors. 8 quisition of members dissolve it, in other case he shall postpone the meeting to the next day and the business transaction at such postponed meeting shall be the same as al­ ready proposed at the original meeting. If at such postponed meetings there is still no quorum, resolutions may be carried by a majority of those present. VI. ROARD OF DIRECTORS 32. The Man;l.gement of the business and affairs of the Society (subject to the General Control of the General Body) shall be entrusted to ZI Board of Directors which shall consist of not more than 15 Dir ectors as under: (a) Six Directors shall be elected from amongst the Bonaf:de Fishermen by all the Share Holders of the Society . r.s sernt le-i at the Annual General MEEci ng. (b) One Director shall be elected frorn amongst Members admitted according to Bye-Law II (aa) by all the Share Holders of the Society assem bled at the Annual General Meeting. (c) Eight Directors will be nominated by the Gov­ ernment. 33. The Meetings of the Board of Directors shall be presided over by the Chairman or in his absence by the Vice­ Chairman. In the absence of both. the Dir ect ors present shall elect a Director from among themselves for the occasion. The Chairman shall have the casting vot.e in addition to his ordinary vote. 34. elect from Chairman. 35. An Elected Director may be removed from office ac any time by resolution carried by two-thirds of the votes gIven thereon at a Special General Meeting called for this pur­ pose Nith the previous approval of Deputy Registrar. 36. Five Directors shall form a quorum at a meeting of the Board. 37. No member of the Society shall be elected as Dir­ ector and shall cease to be as such if: (a) he has not been a member of the Society for at­ least one year prior to the dace of the Annual General ~1eetlng ; or (b) he was in arrear for any un-authorised or auth­ orised dues of the Society. either as a principal borrower or as a surety to the Society at the time of the .election ; or 9 (c) he becomes a defaulter during the term of the Directorship on the Board; or NOTE ~ Defaulter shall mean and include the principal borrower as well as surety who is in arrears whether authorised or un-authorised of three or more instalments and declared by the Deputy Registrar . to bea persistent defaulter. (d) he has been sentenced by a criminal court to imprisonment or whipping for an offence punish­ able with imprisonment for a term exceeding six months, or to transportation, such sentence not having been subsequendy reversed or quashed, if, and so long 3S such sentence has not expired; or (e) he has been removed from office under Rule 48 of Cooperative Societies Rules, 1927, unless he has an order which the Deputy Registrar is hereby empowered to make in this behalf, has been relieved from the disqualification arising on account of such sentence or removal from office; or (f) he is less than 21 years of age; OJ (g) he is of unsound mind; or (h) he is an uncertified cr certif:ed bankrupt-or Is an undischarged insolvent or legally disabled to co ntract ; or li) he is a servant or officer and at the same time a borrower of the Society; or (j) he is interested. directly or indirectly in any con­ tract or employment with or by, under or by or on behalf of (he Society; or (k) he does not hold shares of the paid up value of at/east Rs. 2001- Provided however, that a per­ son referred to in this clause may appeal to the Government for the removal of the disability op­ erating in his case; or (I) he tenders his resignation in writing; or (m) he absents himself without the permission of the Board for. atleast 3 consecutive meetings; or (n) he is, for sufficient cause, removed by the majo­ rity of two-thirds of votes at a Special Gene ral Meeting called for: the purpose. 38. The Directors shall hold office for three ye4rs or until new Board is elected by the Annual General Meeting after the expiry of the term of three years. But such elec Tenure of Directors. 10 To dispose of applications for membership. To raise funds or borrow money on such rates of interest as provided in the Bye-Laws. sub­ ject: to the limit approved by the General Body. To appoint, suspend. punish or dismiss such sal­ aried or non-salaried officers and other em p­ loyees as seem necessary. To receive, disburse and invest or de posit money. To hear and deal with complaints. To sanction working and Misc. expenses. To consider cases of arrear and default of loans and dues held by the members of the Society and allow exte nt ion, concession and to write off where conditions warrant such action. To prepare annual statements of account and annual report. To institute. contract, define, compromise. refer to arbitration or abandon legal and other proceed­ ings and claims by or against the Society. To draw make. give. account discount, negotiate, endorse. pledge, sell, purchase. transfer, or other­ wise deal with such bills of exchange. promissory (i) (j) (h) (c) (d) (e) (f) (g) tion shall not be delayed more than six months after the ex­ pirty of the term of three years. 39. Subject to the Bye-Laws and the resolutions passed at the General Meeting. the Board shall have full authority to carryon the business of the Society. It shall meet at least once a month. 40. The Board may delegate to the Chairman or any Direc­ tor or Directors or any other responsible officer of the Society or a Sub-Committee, constituted from amongst the Directors any or all of its powers for the proper and efficient conduct of the business of the Society. 41. Vacancies in the Board occuring through death. re­ tirement or other reasons of elected Directors be filled in by the remaining Directors by co-option and in the case of nominated Director by the nominating authorities. Co-opted or newiy nominated Director shall hold office for the remaining term of the Board. 42. No Director shall take part in any matter in which he has a personal interest. 43. The powers and duties of the Board of Directors shall be: (3) (b) Delegation of power. General power. Filling of vacancies. Disability of 11 Director ill certain matters. Powers of Board of Directors. (k) (I) (m) (n) (0) (p) (q) (r) (s) (t) (u) (v) (w) 11 notes, Government or other securities or other similar obligations on behalf of the Society. To grant power of attorney to any office-bearer or any responsible officer of the Society. To administer, purchase, sell, mortgage or man­ age movable and immovable properties of the Society and to do every thing necessary for the purpose and to enter into contracts or authorise any Director or Directors or Officer to execute contracts for and on behalf of the SOCiety. To examine and check accounts arid verify bal­ ance. To test the scales. weights and measures and to ascertian that there is no adultration. To determine and approve qualifications, amount and nature of security ifany, to be furnished by the employees or the staff members. To frame subsidiary rules for the conduct of bus­ iness of the Society in accordance with the Act, Rules. Bye-Laws. To check and examine the stock Register, to verify the stocks received and 'stocks disp~sed of and to determine selling price of' the stocks. To dispose of applications for loans, advance! and extension su bject to Bye-Law No. 6 (c). To purchase improved machinery. implements, other stocks and gear necessary for finishing industry to be sold or to be hired out to its members. To arrange for the disposal of the catches of its members on commission basis directly or In­ directly or otherwise and to manage fisheries. To generally conduct the business of the So­ ciety. To frame. alter or amend Rules regarding the Pro­ vident Fund Scheme and Gratuity for the benefit of the permanent employees of the Society and contribute to such fund. To arrange and provide sufficient funds for spreading education. health, hygiene. supply of drinking water and other amenities for the wel­ fare. wei being and uplift of the fishermen. (x) Acts done iu :;ood faith. Powers of the Chairman. Powers of Vice Chairman. 12 To Install plants; for processing, canning fish and to arrange disposal and export of the same. (y) To Install and manage Cold Storage, Ice Plant, Curing Yards. etc.• for the use of members of the SOCiety. (z) To trade in the purchase, sale. export of fish, fishing gear and other necessities for the Dev­ lopment of Fishing Industry. 44. All acts done in good faith by the Board or any person acting as a Director shall not-withstanding that it is af:erwards discovered that there was some defect in the app­ ointment of such Board or persons; be as val id as if the Board and every such person had been duly appointed. VII. CHAIRMAN 45. The powers of the Chairman shall be (a) To preside and conduct the Board's meetings. (b) To call the special meetings. of the Board. (c) To preside and' conduct the meetings of the General Body. (d) To adjourn the meeting of th'e Board if it be­ comes unrully for not mor evthan a week. . I (e) To give rulings on the points of order. (f) To bring or permit any propcs al he considers necessary for discussion by the Board. (g) To supervise and [oak after the general adminis­ tration of the Society. (h) To exercise casting vote in case of equal lty of votes in addition to his ordinary vote. (i) To call the meetings .of the Board as and when necessary. subject to any resolution of the Board. (j) To frame the ..Agenda for Board's meeting. (k) To control the salarIed staff of the Society and assign or take work from them. (I) To see that minutes of the meetings of the Board or of General Body are properly recorded In the Minute Book. VIII. VICE CHAIRMAN 46. He shall exercise all the powers of the Chairman In his absence and functian as such. 47. His (a) (b) (c) (d) (e) (f) (g) (h) IX. MANAGER powers and duties shall be : To control the salaried staff of the Society and assign or take work from them as approved by the Chairman. To supervise and inspect the accounts, check stocks arid record maintained by the staff. To watch arrears and recoveries and report the cases of default to the Board. To supervise the conduct of sales, measure­ ments, welghments. and proper storing of ar­ ticles of consumption and other commodities etc. To be responsible for the General Administra­ tion and proper managemenLof the affairs of the Society. To test the scales, weights; measures, etc. of the Society To maintain cleanliness In the Society's premises i. e. Jetty, Ice Plant & Cold Storage at Fish Harbour and other Buildings an d Installations situated out sid·~ Fish Harbour. To prepare a li st of trustworthy brokers or merchants th roigh or to whom t he prod uce may be disposed of and get ic app rove d by the '30ard. x. LOANS AND ADVANCES Powers 3"d dutIes of Manager. 48. Any member wishing co obtain a 102.rl shall forward to the Chairman an application. stating the amount requlred , purpose, sureties or security offered. period of repayment desired and any other information required by the Board. 49. A loan may be granted in kind or In cash to any member at the discretion of the Board, provided necessary security has been furnished and the member has no liability. 50. In the case 'of all loans the period of repayment will be fixed by the Board, but. shall be lesser than the period of loan given to the Society. 5 I. The loan due to the Society with. interest shall be the first charge on the sale price of the catches of the members. 52. Loans may be allowed to a member against the secu­ rity of his fixed deposits With the Society to the extent of 90% of the amount of such fixed deposits upro the unexpired Appllc:;tion for loan. Grant of loa.n discretionary. Period of repayment. Loan to be a first charge on catches, Loan against Fixed Deposi.s. limit of Loan. Rate of lneer ese. o ecl rr arlen by applicant for 103n. Mortgage Deed Ii.nd/or Agreement CO be drawn. Instalments of Lc rn and default th e r aof', Nor. payment of du s s. 1'11sappllcatlon of loan amount. Power of Board to call back loan. 14 periods at a rate of Interest atleast I% above than the pre­ vailing Bank rates, 53. A member may be allowed loan over and above the limits of Rupees ten thousand under special circumstances. Loans exceeding Rupees ten thousand will be allowed on the approval of the Deputy Registrar. 54. The rate of interest to be charged on loans to mem­ bers shall be nine percent per annum. 55.. Any member 'who makes an application for loan to the Society shall have to sign a declaration that he Is not indebted' to any other Cooperative Society or Bank and on this clear understanding his applicatlcn for loan will be en­ tertained. In case his declaration is subs equ e nt ly found co be Incorrect he will be pr ose cute d under Section 420 P.P.c. for' the offence of cheating. 56. For every loan. mortgage deed and/or agreement shall be executed stating the rate of interest, the period of loan and' the nature of security and personal sureties with their full particulars. 57. When the payment of instalment of loan is not re­ ceived regularly. the Chairman within 14 days of default shall In writing require the borrower 'and each of his, sureties co pay. and in the event of payment being de laye d for one month from the date. the Board shall take steps co' recover' the amcunt due with interest by referring the matter to arbitration. unless it is satisfied that the borrower had shown sufficient cause fer no n-p ayrne nt. 58. If no sufficient reason is advanced for non-payment of the dues or the Board is not satisfied with the reason given, it nlay demand immediate payment of entire dues with interest within 30 days of its decision. The decision of the Board In such cases shall be final. The Board can demand penal interest at the rate of two percent per annum. 59. When a loan obtained by a member for a specific purpose, Is mis-applied. the Boad shall have power to recall the loan with in terest due upto the date of repayment within a month of service of the notice of recall and in case of de­ fault of the debtor It shall take steps to recover the loan. The decision of the Board as to the mis-application shall be final. 60. The Board shall have power to call back at any time before the due date the entire amount of loan inclusive of interest. In case the Board is satisfied that the principal borrower and the sureties' financlal stability is In danger and, thatv che se cur lty offered for the loan has deprec! IS ated or is likely to be depreciated and !n case they have called upon the parties to pay up the whole amount or to furnish further security and the parties fall to do so within three days time or any such time as may be determined by the Board. 61. When a person who has stood as surety for loan dies or become insolvent or in the opinion of the Board is not sufficiently safe, they may by a notice through the Manager require the borrower to find another surety to the satisfac­ tion of the Board within 30 days of its decision. If the borr­ ower fails to find another surety when so required to the sxttsfactton of the Board. the lean shall be repayable immedia­ tely with interest ::0 the date of payment and In case of de­ fault of the debtor it shall take steps to recover the entire loan. The estate of the original surety shall. however. remain liable until a substitute has been accepted by the Board. 62. The Board shall have power to set off the amount of share money. deposits. dividends. bonus or Interest pay­ able to a member against any liabilities outstanding ag:linst him, either as a principal borrower or as a surety for debt borrowed from the Society. 63. A penal interest of two percent will be charged In addltto n to the ordinary rate of interest on all re payrrte nt s of loans from the date of default on the amount defaulted If not paid within one month from the due date. The Board may waive the con d i rion in a suitable case. XI. PURCHASES AND SALES 64. Every member of the Society shall be bound to sell his catches in the sale and d isp osal centres established by the Society through persons authorised by the Society and shall pay commission on such sales as may be fixed by the Board from time co time. Non observance of this Bye-Law shall make the defaulting member liable for such action as may be decided by the Board including stoppage' elf all faci­ lities of that member by the Society,penallties etc-. XII. CASH BALANCE 65~ All the unused funds of the Society shall be deposi­ ted in the apex Cooperative Bank. Central Cooperative Bank or any other Bank approved by the Deputy Registrar. 66. A cash balance not exceeding Rs. 3,OOO/-may be maintained for office use which shall remain with the respon­ sible officers of the Society. All payments as for as possible be made by cheques. Death or insolvency of surety. Set-off of share money. Penal Interest. M~mbe r s bound to sell catches rhr o ugh Societies Hie and disposal centres. Deposit of unused Funds. Cash Balance (or office use. Fixed and Advance Deposit Accounts. Rules d~Jling with Deposits. Amount and period of Dcpostt and interest thereon. Gross Profit. deduction. Net Proflrs and distribution thcr ecf. /6 XIII. DEPOSITS 67. Deposits may be received at any tlme within the limits fixed by Bye-Laws No. 9 and 43 (b) in fixed and Advance Deposit Accounts only. 68. The Board shall frame rules dealing with the de­ posits of the kinds mentioned in Bye-Law No. 67 and amend them from time to time as the circumstances require In con­ formity with the Bye-Laws and any resolution that the General Body may pass in respect thereof but these shall come into force after the approval of the Deputy Registrar. 69. The Board may fran: time to time fix the minimum amount which may be accepted as a fixed deposit and fix the rate of interest on such deposits for various periods and allow special rate of interest in special cases for charitable purposes. XIV. DISTRIBUTION OF PROFITS 70. At the Annual General Meeting the gross profits earned inth.e previous year shall be announced and the follcwlng deductions shall be made : (3) Interest payable on dep os lts and loans; (b) Losses; (c) Depreciation on stock. build ings ari~ other wasting assets. (d) Rebate to members when considered necessary on sale and purchase of their catches and fishing gear. The balance remaining after these deductions shall be treated as Gross Profits with the follOWing charges on it: (i) Provision. for Reserve for bad and doubtful debts, minimum of 5% of profits or more if re· quired ; (ii) ProvisIon for Reserve for over-due interest. 71. The balance remaIning after these deductions shall be treated as. Net Profits and shall be distribured as under: ( I ) (2) A sum not less than 25% a ( the net profits shall first be carried to the statutory reserve fund: A sum not exceeding 40% of the net profit shall be ci istributed as Dividend and carried to Divid­ end Euqlllz ation Fund provided Dividend is not paid during that year exced ing 100 .;) on the paid up share capiral and pr ovld ed amount not 17 exceeding 2% of the paid up share capital Is credited In that year to the Dividend Equtllza­ tion Fund until the total amount in such fund amounts at 6}% of the paid up share capital, ex­ cept fer the purpose of paying the Dividend no withdrawal from the Dividend Equilizatlon Fund shall be made without the the previous written sanction of the Deputy Registrar. (3) A sum not exceeding 10% of the net profits shall be dis tr ibute d as Bonus to the employees of the Society provided such bonus not exceed two months salary of each employee. (4) A sum not exceeding 101~/~ of the net profits shall be carried over to the Building Godown Re­ serve. (5) A sum not exceeding 2% of the net profits shall be set apart for Co-operative Propaganda and Education and spent either directly or throu gh the Co-operaclve Union. (6) A sum not exceeding 10% of the net profits shall be set apart and utilized from time to time for contribution to any public or cooperative purpose or for a charitable purpose as defined in Section 2 of Charitable Endowment Act of 1890, with the permission of Deputy Re­ gistrar. (7) The balance if any, shall be carried to next year's account. 72. All Dividends undaimed for 5 years from the date of the declaration thereof succeeding the year to which they relate shall be forfeited and credited to the Reserve Fund of the Society provided that before the Dividend is forfeited, one month's notice shall be given to the party concerned. XV. RESERyE FUND 73. In adlllition to the sum realised under Section 39 of the Act all admission fees and receipt of account of forfeited shares, fines, penal interest and donations shall be credited to the Reserve Fund. 74. Any loss occuring as the net result of the year's working with the previous sanction of the Deputy Registrar, be made good from the Reserve Fund bs t this amount must be restored to the Fund fr orn the profits of the next ye~r. For( el lure of Dividends. Admission fee and amount of forfeited shares. LOB be made good from Reserve fund Maintenance of Accounts and Records. Share money paid after 5th day of a month. I nspectlon of Register or re cor d by a member. Annual Statement of Account. Directors' Allowance. Certain employees to furnish ~ ecurity. 18 XVI ACCOUNTS BOOKS 75. Accounts and records shall de maintained in the forms prescribed with such additions and modifications as the Board may think necessary. All documents, cheques and re­ ceipts etc. passed or issued on behalf of the Society shall be signed by ·the Manager or any other officer for the time being who may be duly authorised by the Board by power of Att­ orney signed by the Direccors authorised by the Board. But any documents creating a charge or obligation on the Society shall be signed by the Chairman or the Vice-Chairman and the Manager with one Director of the Board and shall bear the common seal of the Society. 76. Share money paid before the close of fifth date of a month shall earn Dividend for the whole of that month, but that after the fifth shall earn no Dividend for that month. 77. Any member of the Society may by previous arr­ angement inspect any of the registers of records during office hours as he is entitled to inspect under the Act. subject to any Resolution of the General Body in this behalf. 78. Before 31st July annually, the Board shall draw statements shOWing the receipts and exp endit ur e, assets and Ifabilities and profit and loss for the previous year. A copy of these statements shall be supplied to the Governme nt Audi­ tors, and placed before the General Body. XVII ALLOWANCE TO DIRECTORS 79. The services of all the Directors shall be gratuitous. They will, however be .entit.led to draw travelling expenses for attending rneettngs. according. to a schedule fixed by the Board' from time to time.. The Board may sanction a re lrn­ burse of medical charges incurred by a Director on his person.. For any special assignment entrusted to a Director or Directors. the Board may sanction adequate honrarium. XVIII. SECURITY FROM STAFF 80. Every person holding any office touching the receipts or charge of monies of the Society shall before entering on the execution of his office furnish such securities. as the Board require and approve. for rendering a full and true accounts of all monies received or paid by him on account of the Society or determined and directed by Deputy Registrar. 19 XIX. AMENDMENTS TO BYE-LAWS 81. Subject to the Act and Rules framed by the Local Government thereunder, none of the Bye-Laws herein contained shall be altered or revised and no Bye-Laws shall be added unless two third of the members present at a General Meeting approve the same provided that notice of such alterations and additions has been given to the Deputy Registrar and the Mem bers 14 days prior to the Meeting. Amendmenc shall come into effect after being registered under section 16 (3) of the Act. 82. A copy of the Bye-Laws shall be supplied free to the members only at the time of their enrolling themselves as mem­ bers, after which they shall be supplied Qn receipt of Re. 1/- only as fee for the same. 83. In cases where a notice is to be given. posting or delivery of the notice at the registered address of the member shall be deemed sufficient. xx. ARBITRATION 84. Any dispute concerning the business of the Soclety shall be referred to the Deputy Registrar in accordance with l-aw on the subject. XXI. LIQUIDATION Method for Amendin: the Bye Laws. Supply of c:opy of Bye-Laws to members. Servic:e of Notlc:e. Disputes be referr­ ed to [.eputy RegiHrar. 85. Winding up will be done according to the Act and WInding up. Rules. XXII. AUDITORS 86. In addition to the Government audit, the Soclety shall appoint at Its Annual General Meeting an officer who shall audit the accounts of the Society to be prepared by the Board as herein before provided and shall examine the annual returns and verify the same with accounts relating thereto and shall either sign the same as found by him to be correct, duly vouched and in accordance with law or specially report to the Society in what respects he finds them incorrect, unvouched and not in accor­ dance with law. 87. The Auditor shall be entitled to call for and examine any paper or document etc. belonging to the Society and shall make a sp ecial report to the Society upon any matter connected with the accounts which appear to him to require notice. AppoIntment of Audltorl. AudItors to make special Report to Soc:iety. Membership of K.C.U. Ltd./ W.P.C.U. 20 XXIII. AFFILIATION 88. The Society shall be a. subscribing member of the Karachi Co-operative UnionfWest Pakistan Co-operative Union. Registered Karach i 12-6-69 Sdj- Deputy Registrar Cooperative Societies Karachi BVE-fLAWS OFT HE FISHERMEN'S CO-OPERATIVE SOCIETY LIMITED KARACHI LIST OF CONTENTS Bye Laws No. I. 2. 3. 4. S. 6. 7. 8. 9. 10. II. 12. 13. 14. IS. 16. 17. 18. 19. 20. 21. MAJOR HEAD I GENERAL II OBJECTS III FUNDS IV MEMBERSHIP SUB HEAD Name and Registration Definitions Area of Operation Registered Office. First General Meeting. Aims and Objects of the Society Raising of Funds. Share Capital Deposits and loans Investment or deposit of fund Qualifications of Membenhip Undertaking by Members Explusion of a Member Membership when ceases Liability of member Transfer of share or creation of charge thereon. limitation on transfer Share Certificates. Payment of Share money Nomination, Death of member and payment of share money to his heir Page No. 2 3 4 5 6 Bye Laws No. 22. 23. 24. 25. 26. 27. 28. 29. 30. 31. MAJOR HEAD V GENERAL MEETING ( 1/ ) SUB HEAD Voting Business to be transferred in Annual General Body Meeting Special Meeting Notices for bringing Resolution cancelling a previous one Business to be transacted in Special General Meeting Notice for Annual General t'1eeting Bringing a proposal not in Notice Presiding over the General Meeting Casting Vote. Quorum of General Body Page No. 6 7 32. 33. 34. 35. 36. 37. 38. 39. ~O. 41. 42. 43. 44. 45. 46. VI BOARD OF DIRECTORS Composltlon of the Board 8 Presiding over the Board Meeing \ Election of Chairman and Vice Chairman Removal of Director. Quorum of Board Qualifications of Elected Directors. Tenure of Directors 9 Genera! Power 10 Delegation of Power Filling of vacancies Disability of a Director in certain matters. Powers of Board of Directors. 10-12 Acts done in good faith VII CHAIRMAN Powers of the Chairman VIII VICE CHAI RMAN Powers of Vice Chairman IX MANAGER 47. . Powers and duties of Manager 13 ~UB HEADBye Laws No. 48. 49. 50. 5/. 52. 53. 54. 55. 56. 57. 58. 59. 60. 6/. 62. 63. 64. 65. 66. 67. 68. 69. 70. 71. 72. ( Ii i' ) MAJOR HEAD X LOANS AND ADVANCES Application (or loan Grant of Loan discretionary, Period of repayment. Loan to be a first charge on catches Loan against Fixed De posits. limit of Loan Rate of Interest Declaration by applicant for Loan Mortgage Deed and/or Agreement to be drawn Instlaments of Loan and default thereof. Non payment of dues. Misapplication of loan amount Power of Board to call back loan Death or insolvency of surety Set-off of Share money Penal interest. XI PURCHASES AND SALES Mem bers bound to sell catches though Societies sale and disposal centres. XII CASH BALANCE Deposits of unused Funds. Cash Ba!ance for office use. XIII DEPOSITS Fixed and Advance Deposit Accounts Rules dealing with Deposits. Amount and period of Deposits and interest thereof. XIV DISTRIBUTION OF PROFITS Gross Profits deduction Net Profits and distribution thereof. forfeiture of Dividends 13 14 i5 i6 I} Bye Laws No. MAJOR HEAD XV RESERVE FUND ( IV) SUB HEAD Page No. 73. Admission fee and amount of 17 forfeited shares 74. Loss be made good from Reserve Fund XVI ACCOUNTS BOOKS 75. Maintenance of Accounts and Records 18 76. Share money paid after 5th day of a month. 77. Inspection of Register or record by a member. 78. Annual statement of Account XVII ALLOWANCE TO DIRECTORS 79. Director's Allowance XVIII SECURITY FROM STAFF 80. Certain employees to furnish Security XIX AMEDMENT TO BYE·LAWS 81. Method for Amending the Bye Law' 19 82. Supply of copy of Bye-Laws to members 83. Service of Notice. XX ARBITRATION 84. Disputes be referred to Deputy Registrar XXI LIQUIDATION 85. Winding up XXII AUDITORS 86. Appointment of Auditors 87. Auditors to make special report to Society XXIII AFFILIATION 88. Membership of K.C.U. Ltd.fW.P.C.U. 20 Fishermen's Cooperative Society Ltd., Karachi. PREFACE The Soclety was established In 1945 under the name of Karachi. Fishermen's Cooperative Purchase & Sale Society Ltd .• and registered with the Registrar Cooperative Societies, Karachi. Its first promoters were : I. Haji Mohammed s/o Ismail. 2. Mohammed Ayoob Hap Abdullah. 3. Mohd Yakub Haji Abu Bakar. 4. Mohammed s/o lssa. 5. Abu Bakar Mohd Siddik. 6. Hassan slo Mohd. 7. Ha]l Ali Hajl Usman. 8. Mohammed Ahmed. 9. Ali Mohammed Ismail. 10. Yousuf t10hamm ed. II. Yakub Mohd Siddtk. 12. l<.halid Bin Ali. I 3. Jam 0 t e Vv' aliM 0 hd. 14. Mr. Dad Mohd 1'1ubarak. In the first instance the office of the Society was established in a small room at Khadda. Later on it was shifted to Serai Road and at the time of evention of Fish Harbour, the same was shifted to its present place at Fish Harbour. The objectives of the Society were to take measures for the welfare and benefit of the poor fishermen and to supply daily requlrernents at reduced rates. Its first Chairman was t"lr. Mahmood A. Haroon, (Now Minister of Agriculture and Works, Government of Pakistan). who worked till 1948. Then Hakim Mohd. Ahsan (No'"'' Ambassader of Pakistan to Afghanistan) took over and continued till 1951. Later on Mian Mohammed Shan became the Chairman. He devoted his time. health and everything for the cause of fishermen cormnunlty. He died in 1960. Since then Mr. G. S. Kehar, 'S.Q.A., Is the Chairman of the Society. ( vi ) In 1956 only 6 boats were mechanized with the help of I.C.A. and now our fishermen have a fleet of 1.000 mechanized boats which earn foreign exchange more than Rs. 8 crores annually. The Bye Laws of the Society have passed through various stages. The Bye Laws were overhauled and corrected in 1957, 1961 and 1967. The present shape of Bye Laws is the outcome of the good efforts of Mr. Mushtaq Ahmed, Deputy Registrar. Cooperative S-ocieties, Karachi and Mr. Ghulam Mohammad Noorudin. an elected Directcr, who completed this job on the request of the Board of Directors. (Mohammad Hussain) Director.