Can a registered society be amalgamated with the another society or either divide itself into two or more societies?
Can a registered Society be amalgamated with another Society or divide itself into two or more societies?
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Section 21 of A.P. Societies Registration Act, 2011 deals with this subject. Amalgamation: Any two or more societies may, by a special resolution of both or all such societies, and confirmed by a like resolution at a second meeting of both or all such societies, convened after an interval of one month after the first meeting, get amalgamated into one society with or without any dissolution or division of the funds of any of the societies with intimation to the Registrar.Any society may, by a special resolution, divide itself into two or more societies. Such resolution shall contain proposals for the division of the assets and liabilities of the society among the new societies into which it is proposed to divide itself and may specify the area of operation of an the members, who will constitute each of the new societies. An amalgamation or division in pursuance of this section shall not prejudice any right of a creditor of any society, which was a party to such amalgamation or division.
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