Co-Operative Societies Act 1993 · Updated to 1 Apr 2015 · Part III · Duties and Privileges of Co-Operative Societies
25. Deposits by or on behalf of child
Feedback & supportA co-operative society may receive deposits from or for the benefit of children and the co-operative society may pay a bonus out of its net profit on such deposits.
co-operative society
“co-operative society” means an autonomous association of persons united voluntarily to meet their common economic, social, and cultural needs and aspirations through a jointly-owned and democratically controlled enterprise which is registered under this Act;
Any deposit made by or for the benefit of the child may, together with the bonus, be paid to the child or to the guardian of that child for the use of that child.
deposit
“ deposit” means a sum of money— (a) received or paid on terms under which it will be repayable, with or without return or interest or at a premium or discount; or (b) received or paid on terms under which it will be repayable, either wholly or in part, with any consideration in money or money’s worth, and such repayment being either on demand or at a time or in circumstances agreed by or on behalf of the person making the payment and the person receiving it, regardless whether the transaction is described as a loan, an advance, an investment, a saving, a sale or a sale and repurchase, but does not include money paid bona fide— (i) by way of an advance or a part payment under a contract for the sale, hire or other provision of property or services, and is repayable only in the event that the property or services is not or are not in fact sold, hired or otherwise provided; (ii) by way of security for the performance of a contract or by way of security in respect of any loss which may result from the non-performance of a contract; and (iii) without prejudice to subparagraph (ii), by way of security for the delivery up or return of any property, whether in a particular state of repair or otherwise, and shall include the money deposited by any person with a co-operative society in a fixed deposit account or a savings account or other deposit account but does not include a share, subscription or specific savings; Co-operative Societies 13
The receipt of any child or guardian for money paid to him by a co-operative society under this section shall be a sufficient discharge of the liability of the co-operative society in respect of that money.