The objects of the “Surety Relief Fund” are to provide relief to the members who stand surety to the borrower member, and where the loan is not fully or partly recovered on account of cessation of his/her membership in the Society due to resignation / dismissal / voluntary vacation of service / death / removal of his/her service in the Bank.
To do all such things as are incidental or conducive to the attainment of the above stated object.
Every member shall contribute to this fund while availing the loans from the Society, a sum not exceeding as under:
a) For Short Term Loan Rs. 20/- (applicable on renewal)
b) For Long Term Loan Rs. 25/- (applicable on renewal)
a) For Special Long Term Loan Rs.30/- (applicable on renewal)
i) The Scheme is for self-help and mutual help and is in the true spirit of the Co-operative movement.
ii) Financial relief from the fund may be granted to the sureties only to the extent of loan of the principal borrowers found irrecoverable, on account of cessation of his/her membership in the Society due to resignation / dismissal / removal / voluntary vacation / death.
The fund shall be managed by the State Bank of Hyderabad Employees’ Co-operative Credit Society .
The Managing Committee of the Society shall be the Managing Committee of the Fund.
The accounts of the fund shall be maintained separately. The annual statement of accounts of the fund duly audited shall be presented for adoption at the General Body meeting of the Society.
It shall be competent for the Managing Committee of the Society either to increase / reduce the rate of contribution to the fund keeping in view of the requirement to be met from the fund or to frame such further working rules as may be considered necessary from time to time for proper working of the fund subject to approval of General Body.
MATTERS NOT COVERED IN THESE RULES
It shall be competent for the Managing Committee of the Society to take decision on any matter not covered in these rules subject to ratification by the General Body of the Society at its next annual General Body meeting.
The fund monies shall be utilised either in the business of the Society for advancement of loans to its members or in accordance with provisions of Bye-law No. 18, with the approval of the Managing Committee of the Society.