Student Name: Munna pervez

Student ID:19-39748-1

Section: D

Mr. Mahbub is a limited income person. he is a government officer. he and his 10 colleagues decided
to establish a co-operative business. Their reputation is good in society. They collected all the
necessary resources for this business. But, they don’t have any savings that's why they decided that
they will gather money for next 10 years after that they will buy a land and will start a factory... But
when they submitted an application to co-operative society co-operative society refused them. Why?
What co-operative society refused them?

#Answer:

Mr. Mahbub who is a reputed government officer, wants to establish a co-operative business with his
colleagues but they have no savings. They submitted an application to co-operative society but, co-
operative society refused them.

As per The Cooperative Societies Act, 2001, for banking and unlimited liability cooperatives some
financial conditions have been imposed.

As they have no savings and their economic condition is not that satisfactory, co-operative society
refused them. They have no ability to pay the future liabilities.