FUNCTIONS OF THE COOPERATION DEPARTMENT
The Cooperation Department has its head quarter at Tadong near Krishi Bhawan. The Cooperation department is an institution based Department mandated to organize and promote Cooperative societies. The Cooperative Societies having its area of operation in the whole state of Sikkim is registered in the headquarter whereas the district offices and the sub-division offices register Cooperative Societies in their respective jurisdictions. The primary function of the Cooperation Department is promotion of Cooperative Movement and to serve the interest of the society through the principle of self-help and welfare and provide goods and services to the consumer at a reasonable cost. To encourage productivity, savings, investment and equal distribution of surplus.
The function and power of its officer is registration of cooperative societies in all the districts and sub-divisions, inspection of all the registered cooperative societies, to deal with the legal cases arising due to dispute in the society, providing guidelines, financial assistance to the societies as and when the funds are available in the form of marketing subsidy and transport subsidy (notification no.53 dated 10/09/2016) etc. And liquidation of the societies.
 
 
 
 
 
 
 
 



Cooperative Society and Registration
When  a group of people com together and contribute to achieve a common goal, they have said to have formed a Cooperative Society.
A cooperative society is defined as as autonomous associations of persons united voluntarily to meet their common socio-economic and democratically controlled enterprise. For the convenience of management purpose of the society, a mutually agreed Bye-Laws is framed and registered through the State’s Registrar who in turn is governed by the Cooperative laws.
The early account of Cooperative movement in Sikkim dates back to the enactment of Sikkim Cooperative Societies Act 1955, which was later replaced by the Sikkim Cooperative Societies Act of 1978 and enforcement of Sikkim Cooperative Societies Rule 1981. The State has made amendments accordingly in the Sikkim Cooperative Societies Act 1978 ( amended upto 2013).
Out of the total of 4073 cooperatives throughout the state of Sikkim,there are 178 MPCS ltd to cater to the consumer and credit needs of the rural population.Apart from the MPCS there are various other cooperative societies which has been listed in the table below:

Sl No	Societies	Total number
	APEX Societies	6
	MPCS Ltd	178
	Consumer Cooperatives	51
	Milk Producer’s Cooperatives	373
	Service Coopeatives	205
	Marketing Cooperatives	120
	Livestock Cooperatives	61
	Industrial Cooperatives	17
	Weaver’s Cooperatives	9
	Construction Cooperatives	17
	GPU Level /labour/constructions	3035
	Primary Cooperatives Bank ( UCB)	1
	TOTAL	4073

THE PROCEURE FOR REGISTRATION OF COOPERATIVE SOCIETIES:

1.   The first step is to get 10 or more individuals together those who are desirous to form a society.
2. A chief promoter should be elected amongst them.
4. Name of the society has to be selected.
5.  Application to the Registration Authority for registering the society with that particular name.
6. Share capital and admission fees has to be collected from the members.
7. A bank account has to be opened in the name of society and the admission fee and share deposited, TDR of the same to be obtained fro SISCO Bank Ltd.
8. The registration fees ha to be deposited in the respective head as per the Notification and challan of the same to be obtained from SBS.
9. The application for registration of society should be submitted to the Registrar of Societies along with documents of registration which are as follows:-

1. Resolution of the meeting stating the reason for registration,indicating the name of the society,address and other details.(4 copies)
2. Bye-Laws of the society duly signed by the all the members. (4 copies)
3. TDR as mentioned above (4 copies)
4. Shareholders list (4copies)
5. Sikkim Subject/Certificate Of Identification. (4 copies each of all the members)
6. Recommendation fro the area MLA/Ward Councillor/Panchayat.(4 copies)
7. NOC from house owner for the establishment of office. (4 copies)

9.   Registration will be done within one month from the date of submission of registration application.
10. On registration the Registrar will inform the Chief Promoter and issue Registration Certificate.

(enclosed guideline no.9/Coop dated 17/01/2020)






Cooperative Education Fund
The Cooperative Societies registered under the Sikkim Cooperative Societies Act 1978 (amended up to 2013), except those falling under Cooperative Credit Structure, are bound to make an annual contribution to the Cooperative Education Fund at the rate of 2% of its net profit subject to a maximum of Rs.1.00 lakh (One lakh), as per sub-section 2 of section 55 of the Sikkim Cooperative Societies Rule 1981,(amended up to 2015). The account is maintained by the Registrar, at Sikkim State Cooperative Bank It., under the head "Cooperative Education Fund".
The Registrar Cooperative Societies will administer and utilize the fund for-  member education programs, training of the office bearers and any other activities for the promotion and development of cooperative movement in the State.
De-registration of Cooperative Societies:-
When an order of 'Cancellation of Registration' of a Society is made by the Registrar under section 75 of the Sikkim Cooperative Societies Act 1978 (amended up to 2013), the Registrar may appoint a Liquidator as per section 76 of the above Act, and the procedure for de-registration follows as per the prescribed norms under 'Winding up of Society' provided in the Sikkim Cooperative Societies Rule 1981 (amended up to 2015).
Thereafter a copy of the Order canceling the registration of the Society shall be communicated. sated to the Society as well as to the State Cooperative Bank It., and the society shall cease to exist as a corporate body.














SETTLEMENT OF DISPUTES OF COOPERATIVE SOCIETIES.
The settlement of dispute of Cooperative societies is carried as per the provisions laid down under the Sikkim Cooperative Societies Act 1978 (amended up to 2015). The Registrar is empowered to decide the legal cases, award or pass order in relation to section 72 and 73. Section 80 to section 85 of the Act empowers the Registrar or any other person empowered by him to be a civil code for recovery of any amount by attachment of any property, or when passing any order on any application made to him for such recovery.
The procedure of the same is laid down in the rules from section 63 to section 67.




















AUDIT
AUDIT is the examination or inspection of various books of account followed by an auditor to ascertain the accuracy of financial statement provided by the organisation.
Audit as laid down under sec 64 (1) of the Sikkim Cooperative Societies Act 1978 (amended up to 2013) need to be done annually and the audit of a society shall begin conducted by any of the department auditor appointed by the Registrar or by a certified auditor approved by the Registrar from time to time on such terms and conditions as he deems fit.
The audit:

1. ln case of Statutory Audit extends back to the first day of the previous cooperative year and shall be carried out up to the last date of the cooperative year immediately preceding the audit.

b.ln case of Special audit or Test audit, the order directing such an order shall specify the exact period by the Registrar.
c.The audit of the society shall be conducted in the registered office of the society.
d. Previous intimation shall be given to the society before audit.
e.The society shall give the audit officers all the assistance necessary for the completion of audit.
f.The Audit report shall state-:
i.whether or not the audit officer has obtained all the information and explanation which he requires;
ii. Whether or not in his opinion the balance sheet and profit and loss account referred to in the report are drawn up in conformity with the law;
iii.whether or not, such balance sheet exhibits a true and correct account of the state of affairs of the society according to the best of his information and explanation given to him and as shown by the books of the society.
Iv. Whether the book of accounts maintained by the society has been kept as required under the Act, the Rules and the Bye-laws;
V. Whether any net profits are available for distribution among the members.
Vi. Whether there has been any fraud or irregularity in the expenditure or in the realization of the money due to the society.
g.If the audit discloses any defect in the working of the society, the society shall within three months from the time of audit report explain to the Registrar the defect or the irregularities pointed by the auditor and take steps to rectify the  irregularities and report to the
Registrar in Form J the action taken by it thereon.

AUDIT FEE
Under Rule 60(1) of the Sikkim Cooperative Societies Rule1981(Amended up to 2015) ,a society shall  pay on or before the 31^st  March of each year as an audit fee at such rates as may be fixed by the Registrar with the prior approval of the government.
Under notification no 21/Coop dated 25/05/2012, the Registrar with the approval of the government has fixed the amount of audit fees payable by all the registered cooperative societies as under:
SI. NO. VOLUME OF BUSINESS TURNOVERA    AMOUNT OF AUDIT FEE
1. Up to Rs.20.00 Lakhs                                                                                 Rs.500/-
2. Rs.20.00 upto 50.00 Lakhs                                                 Rs. 1000/-
3. Rs. 50.00 upto 2.00 crores                                                                      Rs.2000/-
4. Rs.2.00 upto 10.00 crores                                                                        Rs.5000/-
5. Above Rs.10.00 crores                                                        Rs.10000/-



















Credit & banking under Cooperative Sector.
The Cooperation Department is the registering authority for different kinds of Cooperative Societies in the State. Amongst other forms and types of cooperative Societies the Department has as on date registered two Banks under the Sikkim Cooperative Societies Act 1978 viz, (1) Sikkim State Cooperative Bank Ltd (SISCO Bank) and (2) Citizens Urban Cooperative Bank. These banks under the cooperative sector provide various types of credit facilities to its members like personal loan, Home Loan, Business loan, Kishan Credit Card, etc, in addition to normal banking function of accepting deposits in savings bank account, Recurring Bank account and Fixed bank account. Details of which can be obtained from the Head office of the concern bank as under:

1. Sikkim State Cooperative Bank Ltd. H.O Metro Point, Tadong, Gangtok.
2.  Citizen's Unban Cooperative Bank, H.O Namnang, Gangtok

Legal Framework under Cooperative Sector.
The subject cooperatives falls under the State list and all the cooperative societies registered in the State are governed and regulated under the Sikkim Cooperative Societies Act, 1978 and Sikkim Cooperative Societies Rules, 1981. In addition, the day to day functioning and management of the cooperative societies are regulated by the Bve-laws of each individual cooperative societies which is a registered document under the Cooperative Act. The State Act and Rules as mentioned are administered by Registrar Cooperative Societies appointed by the State Government with its office at Sahakari Bhawan, Tadong, Gangtok.
Further, a Central Act in the name of Multi-State Cooperative Societies Act,2002 also governs and regulates those cooperative societies who are registered under the said Act and these societies have more than one State as its area of operation. The provisions under this Act are administered by the Central Registrar appointed by the Central Government with its office at Krishi Bhawan, New Delhi.










1. NCDC: National Cooperative Development Corporation, New Delhi is a Central Institute of financial support to Cooperative organizations through State Government with subsidies as may be notified time to time by the Corporation for developmental project in cooperative sector.
2. NCUI: The National Cooperative Union of India is apex organization of all Cooperative union in the state and which supports Sikkim State Cooperative Union (SICUN) in organizing various cooperative awareness and man power development activities.
3. NCCT: National Centre for Cooperative Training, New Delhi, which supports Regional/State level cooperative training institutes for imparting training to cooperators and office bearers of cooperative societies in the states.
4. BADP: Boarder Area Development Programme is scheme implemented by Planing and development department in the state of Sikkim and it support projects proposed in notified boarder area of the state and project approved as per their guidelines. Cooperative societies are also eligible to submit such projects for benefit of local gentries.
5 RKVY: Rastriya Krishi Vakash Yojana, is a National Scheme and for this Agriculture Department is Nodal Agency in the state. The some Cooperative sector schemes are allocated to Cooperative department based on project as may be approved by State Screening Committee constituted for the purpose.
6. Construction & Warehousing: The Cooperative marketing and ware housing is important component of cooperative infrastructure development. The Department supports Cooperative Societies as grants in aids on the basis of availability of fund in state budget.
7. PMVDY: Pradhan Mantri Vandhan Yojana is a scheme of Ministry of Tribal affairs, GoI and is implemented in 27 state of India by TRIFED Ltd. The Department of Science &Technology is State Nodal Agency and this department is Implementing Agency. Sikkim has identified 80 clusters for implementation of the Yojana. The scheme aims at promotion of tribal enterprise through sustainable harvesting, value addition, branding and marketing of minor forest produce. Training to rural SHG and cooperative members in the identified cluster is main activity under the project.








APEX COOPERATIVES
1.Denzong Agricultural Cooperative Society Ltd.
The Denzong Agriculture Cooperative Society (DACS) Ltd. was registered in 1965 during Chogyal's regime with a view to support producer farmers by creating market outlets to enable them to sell their marketable surplus. It is one of the oldest cooperatives of Sikkim. Initially, the society was formed by the private individuals wherein the majority of the shares were held by the then erstwhile royal family. However, after Sikkim becoming 22^nd State of Indian Union, the State Government acquired all the shares of private individuals and reinvested to 35 multipurpose cooperative societies in 1992 to give more democratic character to the Socicty.
 The basic objective of the society is to procure all marketable farm surpluses through its member societies by giving remunerative prices to the producer farmers. The society, since its inception has entered into negotiated Annual Contract with Army, to supply all perishable consumer goods requirement like meat, vegetables etc to the Army. It is supplied through its supply points located mostly in snow bound border areas scattered throughout the State with utmost satisfaction of Army personnel stationed in Sikkim. There are 77 cooperative societies including 19 Poultry Growers' Cooperative Societies as members of Denzong Agriculture Cooperative Society Ltd.


Address: Deorali Girls School Road, Gangtok,
East Sikkim -737102
Telefax : 03592 281378/281215 (Gangtok)
E-mail : denzongcoop@gmail.com
Website : www.dacssikkim.com
























2. Sikkim State Cooperative Supply and Marketing Federation ltd.
Sikkim State Co-operative Supply and Marketing Federation Ltd (SIMFED) was established in the year 1983 as an apex marketing federation of the State for undertaking bulk marketing of agricultural & horticulture produces including important cash crops and distribution of farm-input through cooperatives.

The federation is also supplying uniform, textbook, furniture and office equipment to the Government Departments through its branch outlets at Namchí, Jorethang, Mangan, Gangtok. It undertakes wholesale supply of consumer goods through primary multipurpose cooperatives societies, consumer cooperative societies for Siliguri market prices. SIMFED has also started organic fruits and vegetables stall "Sikkim's Organic" at Kanchenjunga Shopping Complex, Gangtok. The society has also started marketing seasonal cut-flowers viz: Cymbidium orchids, Oriental and Asiatic Lilium, Gentadesia, Gerbera, Roses to Delhi and Kolkata. There are 191 primary cooperative societies including Zilla Panchayat of East, South and West district as member of the Federation


Address: Above Sangram Hall, Development Area,
Gangtok, Sikkim, India 737101 ...
Phone Number : 7001747827,9547854214.
































3. Sikkim Cooperative Milk Producers' Union Ltd.
Sikkim Cooperative Milk Producers' Union Ltd (SCMU) is an Apex body of
the Primary Milk producers Cooperative Societies formed on Anand Model under the aegis of National Dairy Development Board (NDDB), its operation is extended to East,West and South districts of Sikkim. North District has its own Apex Milk Union.

The main objectives of the Union is to procure raw milk from the Primary Milk Producers Cooperative societies by giving remunerative prices to the producers who were mostly organized in far flung remote areas of the State. The milk collected is hygienically processcd in Dairy plants of SCMU and supplied to markets at Gangtok and Jorethang.Collection, transportation, processing and marketing of good quality hygienic milk and assist the producer farmers to market heir products is the primary objective of the Union.As on date, there are altogether 342 primary milk producers' cooperative societies comprising of both registered as well as unorganized groups as members of the Sikkim Milk Union Ltd.

Address: 5th Mile Tadong
Contact No: 03592 - 663363
Mobile No: 78783838383
Email id: milkgangtok@gmail.com


































4.Sikkim State Cooperative Bank Ltd.
The Sikkim State Cooperative Bank Ltd. (SISCO Bank) was registered in the year
1996 and came into operation from 1999 under RBI license. It is regulated by the Reserve Bank of India (RBI) and the National Bank for Agriculture and Rural Development (NABARD) and the Co-operation Department, Government of Sikkim. It is the first Bank of its kind registered in the State of Sikkim with an objective to raise Deposits and Share Capital or extending loans to its Member-Cooperative Societies and other individuals for viable Projects and schemes both in farm and non-farm sectors. SISCO Bank being an apex federated body has unique features i.e. membership of primary cooperatives and also individuals' membership. As of now,there are 393 primary cooperative Societies and 6371 individuals as its members.

Head Office
Phone - 03592 -232008 1 231005
Email- headoffice@siscobank.com
Address-SISCO Bank Head Office Tadong, Gangtok, Sikkim 737102





















5. Sikkim State Cooperative Union
The Sikkim State Cooperative Union, an apex cooperative federation has been set
up exclusively for providing orientation training and education on Cooperatives on
regular basis with a view to develop human resource in the Cooperative sector and
establishing required professionalism in the management of the Cooperative Institutions. The Union was registered in 2002 under Sikkim Cooperative Societies
Act. 1978.
The Union is managed by Board of Directors elected from primary cooperative
Societies, Chairman/Chair persons of apex cooperative institutions and Government
representatives from Finance, Planning and Information and Public Relations Departments. As of now, there are 333 primary cooperative societies including four
apex societies as members of the State Cooperative Union.
Address : Assam Linzey, East Sikkim
Contact No: NA
Email: sikkimstatecoop@yahoo.in




















6. SIKKIM CONSUMER'S COOPERATIVE SOCIETY LTD:
Sikkim Consumers' Cooperative Society (SCCS) Lid registered in the year 175 has
been supplying stationeries and sundry items to the State Government Departments
and Central Government Offices in the State of Sikkim since its inception. It has
been making profit since last many years with positive net worth and has been sustaining on its own resources for past several years. There are 355 individual members  of the SCCS Ltd and the State Government as major share holder.
 
Address: Kanchejunga Shopping Complex,
Gangtok, East Sikkim
Contact No:

 

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