Recovery of dues and Bakijai Cases:

The Registrar or such other person as may be authorized in this behalf, may, on his own motion when the interest of the Government is involved or on the written requisition of a registered society, an affiliating society or financing bank for the recovery of any loan or any other sum due by a defaulting member after due inquiry as he may deem fit and after giving a reasonable opportunity of being heard, grant a Cooperative Demand Certificate for recovery of any amount found to be due.
If any installment of loan or interest payable by a member of a cooperative society or any part of such installment has remained unpaid for more than 30 days from the date on which it fell due, the Board may, in addition to any other person authorized for the recovery of such installment or part thereof, recover the installment or such part thereof by distraint and sale of the produce of the charged land including the standing crop;
On receipt of such application the Registrar or the person authorized by him may, notwithstanding anything contained in the Transfer of Property Act, 1882, take action in the manner as prescribed for the purpose of detraining and selling such produce:
Provided that no distraint shall be made after the expiry of twelve months from the date on which the installment fell due;
The value of the property distrained shall be, as nearly as possible equal to the amount due and the expenses of the distraint and the costs of the sale.

Charge and Surcharge:
Where, as the result of an audit under Section 81 or an inquiry under Section 87 or an inspection under Section 88 or a report made in the course of the winding up of a registered society, it appears to the Registrar that any member, officer or employee past or present, of the society has at any time within a period of four years prior to the date of such audit, inspection, inquiry or report, as the case may be:
Intentionally, whether individually or as an assenting member of any managing or other controlling body, made or authorized any payment or granted any loan which is contrary to the provision of this Act or to the Rules or Bye-laws or failed to take timely steps to recovery any loan at the due date or it was being improperly utilized: or
Was grossly negligent in respect of any loss or deficiency;
Failed to bring into account any sum which ought to have been brought into account; or
Misappropriated or fraudulently retained any property of the society; or
Committed breach of trust in relation to the society, the Registrar may inquire into the conduct of such officer or members of the managing or other controlling body.
The Registrar may similarly inquire into the conduct relating to the affairs of the society or of any member, officer or employees, past or present, of a registered society on the application of the present controlling or managing body of the society or liquidator, or any creditor, or any other registered society to which the society is affiliated or any contributory.
Upon such inquiry giving such member, officer or employee an opportunity of being heard and in the case of payment made contrary to the provision of this Act or Rules or Bye-laws after affording such member, officer or employee time to recovery the amount of such payment from the payee and credit it to the funds of the society, if such member, officer or employee fails to recover the amount then the Registrar may by an order in writing require such member, officer or employee to pay such sum with interest at such rate as the Registrar may direct, to the society by way of compensation in respect of such payment or loss or to restore such property as the Registrar thinks fit, and to pay such sum as the Registrar may fix to meet the cost of the proceedings under this section.
Any award made by the Registrar under sub-section (3) shall be reduced to the form of a Cooperative Demand Certificate by the officer authorized to issue such certificates.
This section shall apply notwithstanding that such member, officer or employee may by his act or omission have incurred in addition to criminal liability under this Act or any other law for the time being in force.