CO-OPERATIVES
EDUCATION
Place:
The Registered Office of a Society
Co-operative Officer: " Good Morning Mr. Brow, I am here
from the Co-operative Department to conduct an inspection of
your Society's Records." (show the relevant identification
and a copy of the letter which was forwarded to the Society
re: Date to conduct Inspection and the Officer that would be
conducting same.)
Mr. Brown (Treasurer): "Good Morning Mr. Jones, mi really
did received your letter but a tell yuh the truth we don't
like people fasing in wi business, yuh noh wi love wi privacy
and the Chairman did done tell mi noffi mek nobaddy look
thru the people dem books. So mi really can help yuh."
WRONG !!!! KNOW THE LAWS
Any person authorised the Registrar
should have access to a Society's records and be able to
inspect the cash in hand, and the officers and employees of
the Society should furnish information pertinent to
the Society as request for Inspection. (Section 39 of
the Co-operative Societies Act)
Place:
The Registered Office of a Society
Secretary: Good Morning, gentlemen,
and how is the morning.
(Men in chorus): Good! Good!
Secretary: So what brings you
here this morning.
Man: Well! Misiss. Anderson, George
tell us a thing dis marning and wi come fi fin out if a
true.
Secretary: What is that now.
Another Answers: Well! Him sey lass
night yuh tell him sey fi tell wi sey the Society's AGM is
dis week Friday, but that couldden be right Miss A. because
as far as me know wi shoulda get at least one (1) weeks
notice of the date of the AGM.
Secretary: Good Lord! You don't have to be so
exact, the way I see it whether you get the message today
tomorrow or one day next week, you still get it!!!
WRONG !!!! KNOW THE LAWS
The Secretary's way of dealing with the
Meetings is indeed wrong. The Board reserves the right
to fix a time and date to have the Co-operative's Annual
General Meeting but prior notice of at least seven (7) days
needs to be given. According to the
Co-operative Societies Act, Section 19 "At least seven
(7) days clear notice shall be given of the date of the
Annual General Meeting before any meeting can be held"
Place:
The Registered Office of a Society
(In the Managers Office)
Mr. Miller (Manager): Mr. Gomez I am so delighted
that you decided to join our humble establishment. We are a
reputable company registered under the Companies Act. The
company is controlled by shareholders some whom you will
meet and become familiar with as time goes by.
Mr. Gomez: Thanks for your courtesy
Mr. Miller I am sure that my investment in this company will
pay off, but before I leave I have a few concerns.
Mr. Miller: Whatever they are, I am
sure that we can clear them up.
Mr. Gomez: I hope so. Firstly you say
that you are registered under the Companies Act yet you have
the word Co-operative at the end of the business’ name
instead of the word Company. Why is that so?
Mr. Miller: Well! Mr. Gomez I am glad
you noticed because if I do say so myself I think that
naming the company as it is was a brilliant move on my
father’s part. As you know people are drawn to Co-operatives
so my father thought that if he added the word Co-operative
to the Company’s name people would be drawn to it and indeed
he was right. Besides, we aren’t breaking any laws by using
the name Co-operative.
WRONG !!!! KNOW THE LAWS
According to the Co-operative Societies Act only registered
Co-operatives may use the word Co-operative as part of their
names. In addition, the control of the company also
needs to be revisited because Mr. Miller stated that control
of the company was in the hands of member patrons when in
fact investors and stockholders are the ones who control
companies. It just goes to show that it pays to KNOW THE
LAW!!!
Place:
The Registered Office of a Society
Proposed Members: Good Morning!
Secretary: Good Morning, and what can
I do for you this morning?
Proposed Member: Well! I had
submitted my application for membership to the Society at a
members meeting held two (2) weeks ago so I have come to
find out if my membership was accepted.
Secretary: Just a moment Sir (open
filling cabinet) What is your name?
Propose Member: John Brown, Maam.
Secretary:( searches membership file
for application) Aah, yes!!! Mr. Brown, here is your
application (pauses). It seems that your
application has been denied.
Proposed Members: Denied! On what
grounds.
Secretary: Wee I see here where you
application has been turned down on the grounds that you are
too young.
Propose Member: Too young!!! But, I'm
twenty-one and the Rules of the Society states that
membership shall be open to all individuals over the age of
eighteen years old.
Secretary: Well Sir, I am sorry but
the Board of Directors, has the right to do whatever they
please.
WRONG !!!! KNOW THE LAWS
According to the Co-operative Societies
Regulation (Section 9): "The election and admission of
members to a registered Society, other than original
members, shall be in such manner and on such conditions as
the Rules shall prescribe."
Place:
Forall Awee Co-operative Ltd. Board Meeting
Chairman: Now we will go to -Any Other Business. Is
there any other business?
(Members said no) Well… I have something to say. I have a
growing concern; this Society has been registered for twelve
(12) years and we are not making enough surplus from what we
produce. Members are not working hard enough. Furthermore,
the Society about fifteen (15) miles away from us is
performing better than us and they have just been registered
for three (3) years. Sometimes I just do not want to have
anything to do with this Society. I don’t see any reason why
we should remain a Co-operative.
(An agreed nod came from a few members)
Secretary: We should never compare ourselves with
other people. All we need to do is motivate and encourage
the members. The surplus might be small but that does not
mean we should give up. Do you have any other solution?
Chairman: I have spoken to some of the members of the
Board and they agree with what I have said and -
Treasurer: What exactly are you saying, Mr. Chairman.
(Getting upset)
Chairman: If you will give me a chance to speak, I
will tell you. (Pause). Thank you. (Speaks emphatically)
After speaking with some of the members of the Board they
agreed with me in having the Society dissolved.
(Loud mumbling began)
Hear me out. Silence!!!
Treasurer: (shouted) you cannot do that without the
members' involvement. Also, maybe it is the person at the
head of the Board who is to be blamed for the members’ poor
production.
Chairman: (impatient) I disagree with that statement;
I have done everything in my power to help this Society. I
did most of the work. Furthermore, I am the Chairman and I
have that right to dissolve if I want to. So Let us have a
vote….
WRONG !!!! KNOW THE LAWS
The Board of Directors cannot make such a decision or a
crucial ruling without the members’ knowledge and approval.
According to the Rules of the Society, a Society may be
dissolved by the consent of three-fourth (3/4) of its
members, but only in the manner provided by the Act.
Neither the Chairman nor the Board of Directors can make
such a decision without the approval of the members. It just
goes to show that it pays to know the Law!
Place:
Forall Awee Co-operative Ltd. Board Meeting
Mr. King (Chairman): Member! The Secretary has inform
me that XYZ Ltd has threatened to file legal action against
the Co-op to recover unpaid debts owing to that company for
materials supplied to the Co-op last year. Wi know
tings not bright but wi need to find money to pay them
before they take us to court.
Mr. Simpleton: (taken aback) But Mr.
King how is the first time me hearing about we owing money
to XYZ for supplies? What kind of supplies and
who signed for them?
Mr. King: (quite annoyed) The
Secretary and myself signed the documents with XYZ for for
them to supply the material needed for the brick-making
project.
Mr. Simpleton: (bemused) But I can't
recall the Board giving any permission for anyone to enter
into agreement on behalf of the Co-op to buy any material
Mr. King: (real mad) None of the
material never end up a mi yard, so what we need to decide
is where to get the money from to pay the bill, and that is
final. Uh!!!
WRONG !!!! KNOW THE LAWS
Officers of the Co-operatives are permitted to enter into
contracts on behalf of the Society only after they duly are
authorised by the Board of Directors to do so. This
authorisation may come as a decision by the Board at a duly
constituted meeting or as stated in an authorisation
schedule approved by the Board of Directors or the members
in General Meeting.
Contracts emanating otherwise are not binding
on the Co-operative unless the decisions are made as
aforesaid and duly signed by the individuals authorised to
sign in accorandance with the Society's Rules.
Consequently officers run the risk of being called upon to
pay debts if they operate contrary to the Society's Rules
and established Policies.
Place:
Forall Awee Co-operative Ltd. Board Meeting
Chairman: Now we will go to Any Other Business.
Is there any other business?
(Members said no) Well… I have something to say. I have a
growing concern; this Society has been registered for twelve
(12) years and we are not making enough surplus from what we
produce. Members are not working hard enough. Furthermore,
the Society about fifteen (15) miles away from us is
performing better than us and they have just been registered
for three (3) years. Sometimes I just do not want to have
anything to do with this Society. I don’t see any reason why
we should remain a Co-operative.
(An agreed nod came from a few members)
Secretary: We should never compare ourselves with
other people. All we need to do is motivate and encourage
the members. The surplus might be small but that does not
mean we should give up. Do you have any other solution?
Chairman: I have spoken to some of the members of the
Board and they agree with what I have said and -
Treasurer: What exactly are you saying, Mr. Chairman.
(Getting upset)
Chairman: If you will give me a chance to speak, I
will tell you. (Pause). Thank you. (Speaks emphatically)
After speaking with some of the members of the Board they
agreed with me in having the Society dissolved.
(Loud mumbling began) Hear me out. Silence!!!
Treasurer: (shouted) You cannot do that without the
members' involvement. Also, maybe it is the person at the
head of the Board who is to be blamed for the members’ poor
production.
Chairman: (impatient) I disagree with that statement;
I have done everything in my power to help this Society. I
did most of the work. Furthermore, I am the Chairman and I
have that right to dissolve if I want to. So Let us have a
vote….
WRONG !!!! KNOW THE LAWS
The Board of Directors cannot make such a decision or a
crucial ruling without the members’ knowledge and approval.
According to the Rules of the Society, a Society may be
dissolved by the consent of three-fourth (3/4) of its
members, but only in the manner provided by the Act.
Neither the Chairman nor the Board of Directors can make
such a decision without the approval of the members.
It just goes to show that it pays to know the Law!
Know the Laws. You may view the
Co-operative Societies Act and Regulations
online or
purchase a copy from the Department of Co-operatives and
Friendly Societies or the Jamaica Printing Services (1992)
Ltd. (Government Printers).