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Sections 114 to 116 of the Multi-State Co-operative Societies Act, 2002: liquidator as public servant, notice in suits and power to amend the Schedules

A person appointed liquidator is deemed a public servant within the meaning of section 21 of the Indian Penal Code (45 of 1860). No suit may be instituted against a society or its...

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Last updated: October 2026Verified against: Government sources

Section 114 treats a liquidator as a public servant. Section 115 bars a suit against a multi-State co-operative society or its officers about its constitution, management or business until ninety days after written notice to the Central Registrar. Section 116, as amended in 2023, lets the Central Government amend the Schedules by notification.

This article follows the Ministry of Cooperation copy of the Act read with the Multi-State Co-operative Societies (Amendment) Act, 2023, which amended s.116 by its section 42. The 2023 Act came into force on 3 August 2023 (notification S.O. 3493(E)). Sections 114 and 115 were not amended.

Section 114: the liquidator as public servant

"Any person appointed as liquidator under the provisions of this Act shall be deemed to be a public servant within the meaning of section 21 of the Indian Penal Code (45 of 1860)." The text ends there. It does not say for what purposes the status matters, and this article does not say. The reader should check the current law for the corresponding provision of the Indian Penal Code. For the appointment and powers of a liquidator see our articles on appointment of the liquidator and powers of the liquidator.

Section 115: notice necessary in suits

"No suit shall be instituted against a multi-state cooperative society or any of its officers in respect of any act touching the constitution, management or the business of the society until the expiration of ninety days next after notice in writing has been delivered to the Central Registrar or left at his office, stating the cause of action, the name, description and place of residence of the plaintiff and the relief which he claims, and the plaint shall contain a statement that such notice has been so delivered or left."

ElementWords of the section
Who is protected"a multi-state cooperative society or any of its officers"
Kind of act"any act touching the constitution, management or the business of the society"
The wait"the expiration of ninety days next after notice in writing"
Where the notice goes"delivered to the Central Registrar or left at his office"
What the notice statesThe cause of action, the plaintiff's name, description and place of residence, and the relief claimed
In the plaintA statement that the notice has been delivered or left

Note that the notice goes to the Central Registrar, not to the society. The section does not say that the society must also be sent a copy. It speaks of a "suit" and does not mention arbitration; disputes of the kinds in s.84 go to arbitration, as explained in our article on reference of disputes to arbitration. The relationship of the two is not stated in s.115 itself.

Example. Karan, a former agent of the invented Barak Multi-State Tea Society, wants to sue an officer of the society over a matter touching its management. He sends a written notice to the Central Registrar's office setting out the cause of action, his name, description and residence and the relief he claims. He may not file the suit until ninety days have passed, and the plaint must state that the notice was delivered. Both sides can use legal dispute resolution support to check the notice before it goes out.

For the general shape of a legal notice and a reply, see our posts on legal notice format and drafting tips and drafting a response to a legal notice. They are general guides and do not describe s.115.

Section 116: power to amend the Schedules

The marginal heading, substituted in 2023, is "Power to amend Schedules." (earlier "Power to amend Second Schedule").

Sub-section (1) is unchanged in substance: if the Central Government is satisfied that a multi-State co-operative society should be designated as a national co-operative society, or that a national co-operative society in the Second Schedule should be omitted, it "may, by notification, amend the said Schedule", which is then "deemed to have been amended accordingly". The print has slips: "should be designate as" and "so at to include".

Sub-section (1A), inserted in 2023: "If the Central Government is satisfied that it is necessary or expedient so to do, it may, by notification, amend the First Schedule and the Third Schedule and thereupon such Schedules shall be deemed to have been amended accordingly: Provided that in case of the First Schedule, such notification shall be used only for adding to the co-operative principles in the list."

Sub-section (2): "A copy of every notification under sub-sections (1) and (1A) shall be laid before each House of Parliament as soon as may be after it is made." The 2023 Act changed "sub-section (1)" to "sub-sections (1) and (1A)".

The sub-section (2) laying requirement overlaps with s.124(3) as substituted, which provides that "any notification issued under section 116" shall be laid before each House of Parliament for thirty days and may be modified or annulled. The text prints both and does not reconcile them. No notification under s.116 is in the sources, so the Schedules are stated here as printed in the copies consulted. See our articles on the First Schedule and the Second and Third Schedules.

What the 2023 Amendment Act changed

ProvisionBeforeAfter
s.114 and s.115As printed aboveNot amended
s.116 heading"Power to amend Second Schedule""Power to amend Schedules."
s.116(1A)Not presentCentral Government may amend the First and Third Schedules by notification; First Schedule only by adding principles
s.116(2)"sub-section (1)""sub-sections (1) and (1A)"

Need help with a notice before suit?

A notice under s.115 has to state specific particulars, go to the Central Registrar and be followed by a wait of ninety days. Whether you are preparing it or have received a suit that did not follow it, our team can review the papers with you under legal dispute resolution.

Key takeaways

  • A liquidator is deemed a public servant within the meaning of section 21 of the Indian Penal Code (45 of 1860).
  • Section 115 requires ninety days' written notice to the Central Registrar before a suit about the society's constitution, management or business.
  • The notice states the cause of action, the plaintiff's particulars and the relief claimed; the plaint says it was delivered.
  • Section 116 now covers the First, Second and Third Schedules.
  • A First Schedule notification can only add co-operative principles.

Read next

Disclaimer: Based on the Ministry of Cooperation copy of the Multi-State Co-operative Societies Act, 2002 read with the Multi-State Co-operative Societies (Amendment) Act, 2023 (in force from 3 August 2023), as consulted on 2 October 2026. The Multi-State Co-operative Societies Rules, 2002 as amended, later notifications and later amendments are not covered and should be checked. This article is general information, not legal advice; check the official text before acting.

Quick recapKey facts & short answers

Key Facts About Sections 114 to 116

  • Applies in: All states across India, under the relevant central law.
  • Mode: Mostly online via the official government portal.
  • Typical timeline: Ranges from a few days to a few weeks depending on the case.
  • Non-compliance: May attract penalties, interest or late fees.
  • Expert help: TaxClue completes the entire process end to end for you.

To whom is the notice under s.115 addressed?

To the Central Registrar, delivered to him or left at his office.

How long must a plaintiff wait?

Until the expiration of ninety days next after the notice.

If a rule seems to have changed, check the date of what you are reading before you act on it.

— TaxClue Compliance Desk

Sections 114 to 116: a key compliance topic in Indian tax and corporate law that businesses and individuals must understand to remain compliant.

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Disclaimer: This article is for general informational purposes only and does not constitute professional tax, legal or financial advice. Laws, rates and due dates change and can vary by individual case — always verify with the relevant government source (e.g. mca.gov.in, incometax.gov.in) or consult a qualified professional before acting. TaxClue accepts no liability for decisions taken based on this content.

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Short, direct answers to the 5 questions readers ask most on this topic.

To the Central Registrar, delivered to him or left at his office.

Until the expiration of ninety days next after the notice.

That the notice has been delivered or left.

Section 116(1A) says a notification for the First Schedule shall be used only for adding to the list.

No. Only s.116 of these three sections was amended.