According to the seventh schedule of the Indian Constitution, 'Co-operative societies' comes under the legislative jurisdiction of:

The correct answer is State Legislature Only.

Key Points

• The Seventh Schedule of the Indian Constitution distributes powers between the Union and the States under three lists: Union List, State List, and Concurrent List.
• 'Co-operative Societies' is listed under the State List (Entry 32), giving exclusive jurisdiction to the State Legislatures to legislate on this subject.
• The 97th Constitutional Amendment Act, 2011 added a new Part IXB to the Constitution, dealing exclusively with co-operative societies.
• Although co-operative societies fall under the State List, the Parliament can legislate on multi-state co-operative societies under its powers in the Union List.
• This arrangement ensures that matters pertaining to local-level co-operatives are primarily handled by the respective State Legislatures.

Additional Information

• Seventh Schedule of the Indian Constitution
  • It divides the subjects of legislation into three lists: Union List, State List, and Concurrent List.
  • The Union List contains 100 subjects, the State List contains 61 subjects, and the Concurrent List contains 52 subjects (as of the latest updates).
  • The Union List includes matters of national importance, while the State List covers regional and local matters.
  • The Concurrent List allows both the Union and State Governments to legislate, but in case of conflict, Union law prevails.
• 97th Constitutional Amendment Act, 2011
  • This amendment granted constitutional status and protection to co-operative societies.
  • It added the word "co-operatives" to Article 19(1)(c), ensuring the right to form co-operative societies.
  • Part IXB was added to the Constitution to establish guidelines for the management and functioning of co-operatives.
• Multi-State Co-operative Societies Act, 2002
  • This Act governs co-operative societies that operate in more than one state.
  • Such societies are regulated by the Central Government under the Ministry of Cooperation.
  • The Act ensures better management, autonomy, and accountability of multi-state co-operative societies.
• Key Differences Between Co-operatives and Companies
  • Co-operatives are member-driven organizations aimed at mutual benefit, while companies are profit-oriented entities.
  • Co-operatives operate on the principle of "one member, one vote," unlike companies, where voting power depends on shareholding.
  • Co-operatives are regulated by state laws (or the Multi-State Co-operative Societies Act, for multi-state operations), while companies are governed by the Companies Act, 2013.