The State Government on Thursday invoked the ordinance to bring all cooperative societies under the Odisha Cooperative Act, 1962 to regulate all non-banking financial companies functioning under the Odisha Self Help Cooperative Act, 2001.
Close on the heels of the chit fund scam, the State Cabinet last month had in principle decided to abolish the Self Help Cooperative Act, 2001 in order to bring all cooperative societies under the Odisha Cooperative Act, 1962, which had been amended in conformity with the 97th amendment of the Constitution.
To give effect to the new dispensation, the Cabinet had decided to bring ordinance.
The Cooperative Department on Thursday issued a Gazette notification to invoke the ordinance, which was signed by Governor SC Jamir on June 3 to give effect to the Act.