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Topic : Co-operative Societies Not Bound by RTI Act

GS-2 Mains  : Polity and Governance

Revision Notes

 

Why in News ?

  • The Madras High Court recently ruled that co-operative societies in Tamil Nadu are not obligated to provide information under the Right to Information (RTI) Act 2005.
  • This judgement overturned an order by the Tamil Nadu Information Commission (TNIC) directing a co-operative society to disclose loan details.

Key Points of Judgement:

  • Co-operative societies registered under the Tamil Nadu Co-operative Societies Act (1983) don’t fall under the definition of “public authority” as per the RTI Act’s Section 2(h).
  • This implies they are not legally bound to respond to RTI requests for information about their functions.

Right to Information Act 2005:

  • Mandates timely government response to citizen requests for information.
  • Enables citizens to access data, documents, and other government-held information.

About Cooperative Societies:

  • Voluntary associations formed by individuals with shared economic, social, and cultural interests.
  • Originated in India’s agricultural sector to empower farmers against moneylenders.
  • Range from credit providers to producers and marketers of various goods (fertilizers, milk, sugar, fish).

Constitutional Provisions:

  • “Cooperative Societies” is a state subject.
  • 97th Amendment introduced Part IXB (The Co-operative Societies) to the Constitution.
    • Right to form cooperatives became a fundamental right under Article 19(1).
    • Article 43B (Promotion of co-operative societies) was added as a Directive Principle of State Policy.
      • This article mandates states to promote voluntary formation, democratic control, and professional management of cooperatives.

Issues with Cooperatives:

  • Increased government and legislative control has led to reports of mismanagement and corruption.
  • State intervention, often in the name of public interest, hinders cooperative autonomy.
  • Many societies struggle with financial viability and uneven development across the country.
  • Irregular elections and frequent supersessions by the state plague some cooperatives.

Related Steps:

  • Multi-State Cooperative Societies (MSCS) were formed to facilitate nationwide operations.
  • The MSCS (Amendment) Act & Rules (2023) aim to strengthen governance, transparency, accountability, and electoral processes in cooperatives.
  • The Ministry of Cooperation was created to streamline processes and enable development of MSCS.

Conclusion:

  • Cooperatives play a vital role in poverty alleviation, food security, and resource management.
  • Their independent and autonomous character is crucial for their effective functioning.
  • While the movement certainly needs reforms, the Madras HC judgement highlights the importance of a balance between autonomy and accountability.

 

 

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