Bye Laws of the Himachal Pradesh State Cooperative Wool Procurement and Marketing Federation Ltd. 1. Name, address and Jurisdiction. The name of the Federation shall be the Himachal Pradesh State Cooperative Wool Procurement and Marketing Federation Limited. Its registered address will be The Himachal Pradesh State Coop. Wool Procurement and Marketing Federation Ltd. Shimla-2 (Khalini). 1.1 The area of operation of the Federation shall be the entire State of Himachal Pradesh. 2. Definition. In these Bye-Laws, unless there is anything repungent in the subject or context. 2.1 'Act' means, the Himachal Pradesh State Cooperative Societies Act, 1968. 2.2 'Board' means the Board of Directors of the Federation as mentioned in these bye-laws. 2.3 'Chairman' means the Chairman of the Board of Directors of the Federation. 2.4 'Commodities' means, ungraded raw wool, graded body wool, belly wool skirtings, pieces and processed wool i.e. carded wool, wool top and yarn. 2.5 'Federation' means the Himachal Pradesh State Cooperative Wool Procurement & Marketing Federation limited. 2.6 'Government' means the Government of Himachal Pradesh. 2.7 'Member' means the member of the Federation enrolled as prescribed in these bye-laws. 2.8 'Managing Director' means the Managing Director of the Federation. 2.9 'Register' means the Register of the members of the Federation to be kept in pursuance of the provisions of the Act and the rules. 2.10 'Registrar' means the Registrar of Cooperative Societies as defined in the Cooperative Societies Act 1968. 2.11 'General Body' means the General Body of the Members of the Federation.

2.12 'Nominated Directors' means the Directors nominated by the State Government. 2.13 'Rule' means' the rules made under the H.P.Cooperative Societies Act, 1968. 3.0 Objectives: The objects for which the Federation is established are as follows: 3.1 To carry out activities, for promoting, production, shearing of Sheep, procurement of wool, processing, marketing of graded wool/processed wool for economic development of the members. 3.2 To carry on the business of purchase, sale, shearing, grading and marketing of graded/Semi processed wool/processed wool. 3.3 To establish shearing/grading/marketing centres. 3.4 To arrange for training of personnal in sheep shearing, wool grading and marketing. 3.5 To establish research and quality control Laboratories. Initially the wool analysis work will be got done at the Animal Husbandry Department, Wool Analysis Laboratories. 3.6 To undertake research and extension work in wool marketing and conduct studies for the purpose of carrying out the aforesaid objectives effectively. 3.7 To aid, counsel, assist, finance, protect and promote the interests of the cooperative societies formed with the object of promoting or engaged in Sheep Breeding or Shearing or marketing of wool or in the manufacture of woollen goods or market semi-processed wool/processed wool. The cooperative societies will be directly affiliated with the apex body i.e. the Federation. 3.8 To purchase wool from the members or from other sources, without effecting the interest of the members, pools, grade/process and sell the same. 3.9 To carry out any branch or subsidiary business, commonly carried on with the main function of the Federation. 3.10 To acquire and deal with any property real or personal, to carry on any trade or business to erect any buildings, and generally to do all type of things, which in the opinion of the Board of Directors of the Federation

may be conveniently or profitably usefully acquired and dealt with, carried on or done by the society in connection with the business. 3.11 To promote and operate schemes for development of wool industry in the State and for that purpose to operate and get prepared reports, blue-prints, statistics and other information. 3.12 With the previous approval of the Registrar, to take and otherwise acquire and hold shares in any other company having objects altogether or in part similar to those of the Federation. 3.13 Generally to purchase take on lease or in exchange, hire or otherwise acquire any movable or immovable property and any rights or privileges which the Federation may think necessary or convenient for the purpose of its business and in particular any land, machinery, plant and stock in trade. 3.14 To invest or deposit funds of the Federation not immediately required, in the manner provided in the Act, and the rules or permitted by general or special order of the Registrar Cooperative Societies H.P. 3.15 To draw, make, accept, endorse, discount, execute and issue promissory notes, bills of exchange, warrants, debentures and other negotiable or transferable instruments. 3.16 To sell, improve, manage, develop, exchange, leave, mortgage, dispose of turn to account, or to otherwise deal with all or any part of the property, assests and rights of the Federation. 3.17 To open an account, or accounts with any bank or banks and to draw and endorse cheques and to withdraw moneys from such accounts, subject to the prior approval of the Registrar Cooperative Societies. 3.18 To create any depreciation fund, reserve fund and or any other special fund, sinking fund, insurance fund, whether for depreciation or for repairing, improving, extending or maintaining any of the property of the Federation or for any other purpose conducive to the interest of the Federation. 3.19 Market its commodities and products under its own trade mark/brand name or otherwise. 4.0 Funds Funds may be raised by:

4.1 Shares. 4.2 Grants, Aids, Subsidies. 4.3 Loans, 4.4 Other borrowings. 4.5 The authorized capital of the Federation shall be rupees 2 crores divided into: a) 5,000 'A' class shares of Rs.100/- each. b) 19,500 'B' class shares of Rs.1000/- each. The value of A class shares shall be paid in full in lump sum or in installments, as may be decided by the Board of Director 'A' class shares will be allotted to the primary sheep breeders cooperative societies. Value of 'B' class shares shall be paid in one installment. 'B' class shares shall be allotted to the State. 4.6 Commencement of business. The business of the Federation may be commenced, as soon as the Board thinks fit and not withstanding the whole of the capital may not have been subscribed and part only of the shares may have been issued or allotted and part only of the capital may have been paid up. 5.0 Membership The membership of the Federation shall be open to : a) Central Govt. b) State Govt. c) Primary sheep breeders cooperatives. i) Every member shall hold atleast one share provided that the total shares held by a single member other than the Central and State Govt. shall not exceed such portion of the total share capital, as may be provided in the Act. ii) Every member shall pay an admission fee of Rs.10/- with the application which shall not be refunded. iii) It shall be open to the board to reject any application for membership, provided that the reasons for such rejection shall be recorded in writing.

The board shall also be free to allot smaller No. of shares than that applied by an applicant. iv) Any member may withdraw from the society at any time by submitting his resignation to the Board of Directors and getting it approved, but such approval shall not be given while he is in debt to the society/Federation or he is surety to another member. v) No member shall exercise any rights or privileges as member, until his application for membership has been sanctioned by the board and he has paid all moneys due on every share held by him. vi) Membership of the Society shall cease on: a) Transfer of all the shares held by him. b) Cancellation of registration or liquidation in the case of a member who is a registered body. c) Acceptance of resignation from the membership. d) Removal or expulsion. vii) A member of the Federation except the central or state Govt. may be expelled by a resolution passed by the 2/3rd majority of the members entitled to vote among those who are present at a General meeting held for the purpose and approved by the Registrar for any of the following reasons. a) If he is persistent defaulter. b) If he willfully deceives the society by giving false statements. c) If he intentionally does any act likely to lower the prestige of the Federation. d) If he persistently dishonours the suggestions and resolutions of the board. 5.1 Liability: The liability of any member shall be given time value of his subscribed shares both paid and unpaid and shall be five times of the shares paid by him, but the liability of Central or State Govt. shall be limited to the face value of the shares. 5.2 Shares: An application for a share or shares shall constitute a contract on the part of the applicant with the society to pay the sums in respect of each share applied for and the value of the share shall be payable, as may be prescribed by the Board alongwith the application wholly or by installments at the registered office of the Federation, provided that the Board shall be competent to convert the property of the State Govt., after its valuation to the satisfaction of the board into the shares, of the society, on the request of the State Govt.

5.2(a) Neither the receipt by the society of a portion of any money from any member in respect of his share nor any indulgence shown by the society in respect of payment of any such money shall preclude the society from proceeding to enforce a fore-feiture of such shares as here in provided. 5.2(b) The money, if any, which the board shall, on allotment of any shares made by them, require or direct to be paid shall immediately after such allotment become a debt due to and recoverable by the Federation from the allotee there of and shall be paid by him accordingly. 5.2(c) Every member, his successors and assignees shall pay to the Federation the propostions of the capital represented by his share or shares which may for the time being remain unpaid thereon in such amounts, at such time and in such manner, as the board shall in accordance with these bye- laws, require or fix for payment thereof. 5.2(d) Every member shall be entitled to receive gratis one certificate for all shares, registered in his name, duly signed by the Chairman of the society and countersigned by the Managing Director or by any other person or persons appointed for the purpose by the Board and every certificate of shares shall specify the number and distinctive number of the shares in respect of it, is issued and the amount paid up thereon. For any further certificate the board shall be entitled, but shall not be bound to prescribe such changes as it may think fit. 5.2(e) If any certificate is worn out, defaced, destroyed or lost or if there is no further space on the back thereof for endorsement of transfer or in case of a transferee of a share applies for a new certificate, it may be renewed or replaced on payment of such sum, as the board may prescribe and the member requiring a new certificate shall surrender the old certificate or give such evidence of its loss or destruction and such indemnity to the Federation, as the board may think fit. 5.2(f) Every endorsement upon the certificate of shares in favour of the transferee thereof shall be signed by the Managing Director or any other person for the time being authorized by the Board for that purpose. 5.2(g) The Federation shall keep a book called the 'register of transfer' and enter therein the particulars of every transfer of every share in the society. 5.2(h) Shares in the society shall be transferred by instruments in writing in such form as shall from time to time be approved by the board. Every such instrument shall be executed both by the transferor and transferee and the transferor shall be deemed to remain the holder of such share, until the name of the transferee is entered in register of transfers in respect thereof

after paying of such fee as determined by the board and with its final approval. 5.2(i) The Board may decline to register any transfer of shares recording reasons thereof. 5.2(j) The Federation shall incur no liability or responsibility whatever in consequence of their registering or giving effect to any transfer of shares made by an apparent legal owner thereof to the prejudice of persons having or claiming any equitable right, title or interest to or in the same shares, not withstanding that the society may have and notice of such equitable right, title or interest or notice prohibiting registration of such transfer and may have entered such notice or referred there to in any book of the Federation, and the Federation shall not be bound or required to attend or give effect to any notice, which may be given to them of any equitable right, title or interest or be under any liability what-so-ever refusing or negotiating so to do though it may have been entered or referred to any book of the Federation, but the Federation shall never-the- less be at liberty to regard and attend to any such notice and give effect thereto, if the board shall so think fit. 5.2(k) The Board shall have the power to close the transfer books of the Federation for such period or period of time in every year they may think fit but not exceeding 30 days in the whole year. 6.0 Obligation of Members: Every member shall, 6.1 Supply wool produced or pooled by it with the exception of what is retained for local consumption, only to the Federation and shall not supply or sell directly to any other agency. 6.2 The price for the procurement of different grades of wool through the Societies, shall be fixed by the Board of directors. 6.3 Follow directions issued by the Federation for delivering commodities possibly upto the procurement centres set up by the Federation. 6.4 Follow such directions, as the Federation may otherwise issue and provide whatever information the Federation finds necessary for promotion of the objectives of the Federation. 7.0 Organisation and Management 7.1 General Meeting.

7.1(a) Every general meeting, whether ordinary or special of the members of the Federation shall be held at the registered office of the Federation OR at such other place as the board may determine. 7.1(b) The first general meeting shall be held at a time not later than three months of the registration of the Federation, subsequent general meetings shall be held atleast once a year. The above mentioned general meeting shall be called ordinary general meeting and all other general meetings shall be called special general meetings. 7.1(c) The business of an ordinary general meeting shall be to approve the program of the activities of the Federation, prepared by the board for ensuing year, to receive and consider the profit and loss account, the balance sheet and the reports of the board and of the auditors, to conduct the elections if any, in the prescribed manner of the members of the board, other than the nominated members, under the bye-laws, to declare dividends, to appoint internal auditors and to transact any other business which under the act or the rules, or these bye-laws, ought to be transacted at an ordinary general meeting. 7.1(d) Any member of the society shall be entitled to bring before any ordinary general meeting any special business, if he has given a notice of such business and a copy of the resolution proposed to be moved by him is deposited at the registered office of the Federation at least seven days before the day fixed for such a meeting. 7.1(i) Special General Meetings. The special general meeting shall be called by the board on a requisition in writing by the Registrar or by 1/5th of the members of the Federation. Such requisition must State the subject of the meeting and must be deposited at the registered office of the Federation. 7.1(ii) Upon the receipt of such requisition, the board shall proceed to convene a special general meeting with in one month failing which the Registrar or any other person authorized by him in this behalf at such notice, as hereinafter provided, convene the meeting and that meeting shall deemed to be a meeting called by the board. 7.1(iii) Atleast fourteen days notice specifying the place, day and hour of the meeting and the agenda in case of special business the general nature of such business shall be given either by advertisement or by notice sent by post under certificate of posting or otherwise served to members entitled under these bye-laws to receive such notice. But the accidental omission to

give such notice of any member shall not invalidate the proceedings of any general meeting. 7.1(iv) Every such notice shall be signed by the Managing Director or such officer as the board may on that behalf appoint and in case of special general meeting convened by the Registrar, the notice shall be signed by the Registrar, and in case of requisition by the members then also by the Registrar or any person authorized by him, in case the Federation fails to call the meeting within one month of the receipt of the requisition. 7.1(v) No business, other than that which has been specially mentioned in any notice convening a special general meeting shall be transacted at such meeting. 7.1(vi) No business shall be transacted at any general meeting unless a quorum of members is present at the time, when the meeting proceeds to transact business. The quorum for the meeting shall be 1/3rd of the total number of members. 7.1(vii) If within one hour from the time appointed for the meeting, a quorum is not formed, the meeting if convened upon a requisition of member shall be dis-solved. In any other case, it shall stand adjourned to such other time and date not earlier than 7 days and not later than 15 days from the date of which it was convened, and such adjourned meeting, the business on the agenda of the original meeting shall be transacted whether there is a quorum or not. 7.1(viii) Whenever any meeting is adjourned, as above, at least two days notice of such adjournment shall be given to the members by post on the registered address of the members. 7.1(ix) The Chairman of the Board of Director shall preside as Chairman at every general meeting whether ordinary or special. If the Chairman is not present the members present shall choose another member as Chairman of the meeting. 7.1(x) The Chairman with the consent of the majority of the members personally present at any meeting may adjourn the same from time to time but no business shall be transacted at any adjourned meeting, other than the business left unfinished at the meeting, from which the adjournment took place. 7.1(xi) Every resolution submitted to the meeting shall be decided by a show of hands if the majority of the members present at the meeting so decide. In case of an equality of votes, the Cchairman shall have a casting vote in addition to his own.

7.1(xii) A declaration by the Chairman at any meeting that the resolution has been carried shall be conclusive. 8.0 VOTES 8.1 Every member shall be represented at the general meeting of the Federation, Whether ordinary or special, by a duly authorized person and shall have one vote irrespective of the number of shares held by him, but such member shall not be entitled to vote or speak at any general meeting either ordinary or special unless all calls, interest and expenses on or in connection with every share held by him shall have been paid. Provided that not-withstanding anything contained in these bye-laws, Directors of the Federation elected or appointed under bye-laws, 9.1 & 9.2 respectively shall have that right to attend and vote at any general meeting of the society whether ordinary or special. 9.0 BOARD OF DIRECTORS 9.1 The business of the Federation shall be carried on and managed by the Board of Directors, which shall be constituted as hereunder, and shall consist of not more than eleven members. 9.2 i) Five elected representatives of the member societies. ii) Three members to be nominated by the H.P.Govt., if it has acquired shares of the Federation. iii) Representative of financing bank. iv) Representative of N.C.D.C. v) Managing Director of the Federation. The Chairman will be elected from amongst the members. 9.3 Not- withstanding anything contained in these bye-laws, the first board of Directors shall be nominated by the Registrar Coop. Societies for a period of two years. The Govt. may extend the period of the nominated board. 9.4 For election to the office of a Director, under these bye-laws no person shall be eligible for election, unless, he is duly nominated by the primary wool procurement & marketing cooperative societies of which he is a member. Such nomination shall be on the prescribed form, duly signed by the member, the proposer, seconder and shall contain the consent of the person proposed. 9.5 Any casual vacancy occuring in the elected Directors shall be filled in by co-option.

9.6 The Board of Directors shall meet for the disposal of business as often, as may be necessary but atleast once in 3 months. 1/3 Directors out of the total number of Directors shall form a quorum at the meeting. If there is no-quorum, the meeting shall stand adjourned to such other time not earlier than two hours from the time at which the meeting was convened as the Directors present at such meeting may determine. At any such adjourned meeting, three Directors present, shall have the powers to transact all the business specified in the agenda of the meeting which had to be adjourned for want of quorum. Question arising at any such meeting shall be decided by a majority of votes. In case of equality of votes, Chairman shall have a casting vote. 10.0 Chairman 10.1 At the first meeting of the elected board, the Directors shall elect from amongst themselves a Chairman. At any meeting if the Chairman is not present at the time appointed for holding the same the Directors present shall choose one of themselves to be the Chairman of the meeting. 10.2 The Chairman may at any time convene a meeting of the board. 10.3 The Directors other than the officers of the Government shall be entitled to be paid their reasonable travelling and other incidental expenses incurred in consequence of their attendance at the board meeting and otherwise in execution of their duties, as Directors and to a remuneration as may be fixed by the board in consonance with the directions issued by the Registrar from time to time in that behalf. 10.4 Subject to the provisions of the Act and rules no person shall be eligible for election or continue to be a Director. a) If he is at any time adjucated insolvent. b) If he is or has been convicted of any offence involving moral turpitude. c) If he or the society which he represents, is in default to this Federation, as well as, other Cooperative institution. A Director shall ex-post-facto-cease to be a Director. i) If he becomes insolvent. ii) If by reason of mental or bodily infirmity he becomes incapable of acting. iii) If he be absent for any three consecutive meetings of the board without the permission of the Board. iv) If he is convicted of any offence involving moral turpitude. v) If he ceases to be a member of the cooperative society which nominated him for election. vi) If he resigns. vii) If the primary wool procurement and marketing coop. society which elects him ceases to exist.

viii) If the society or the financial institution or any other authority, which nominated him, ceases to exist or withdraws his representative, or appoints another representative in his place. ix) If he or the society or the institution which he represents becomes a defaulter of the Federation and any other financing coop. Institution. 10.5 Minutes of all the meetings(1) General Meeting (2) Board Meetings (3) Special General Meeting shall be recorded in the proceeding book kept for the purpose. 10.6 All such minutes shall be signed by the Chairman of the meeting and the Managing Director within 72 hours from the time when the meeting was transacted and all minutes purported to have been, so signed shall for all purposes, whatever be prima facie evidence of the actual and regular transactions or occurance of the proceedings and other matters purporting to be so recorded and of the regularity of the meeting at which the same shall appear to have taken place. 11.0 POWERS OF THE BOARD 11.1 The entire administration and management of the Federation shall be vested in the Board. The Board shall have and exercise all such powers and enter into all such agreements, make all such arrangements, take all such proceedings, and do all such acts, and things, as may be necessary for carrying out the objects, for which the Federation has been established and for securing, and furthering its interests, subject to the provision of the Act, and the Rules or these bye-laws. 11.2 Without prejudice to the general powers conferred by these bye-laws, the following powers and authority are expressly given to and conferred upon the board. a) To pay the preliminary expenses incurred in the promotion and registration of the Federation. b) To purchase, buy, take on lease, or otherwise acquire any building/buildings or land(whether free hold, lease hold or otherwise) from any person with or without a house or houses, building or buildings there on and to erect, construct and build offices, or alter any building or buildings for the purpose of an office or a residence for any person in the employ of the Federation, and to pay for land and buildings whether purchased, leased or acquired or build or constructed by the Federation either in cash or otherwise, and to purchase furniture/vehicles and other things, necessary for office and residence with all fixtures, which the board may deem necessary, by maintaining minimum standards or convenient for carrying on the business of the Federation.

c) From time to time appoint and at their pleasure remove or suspend officers, other than the Managing Director and other staff for permanent, temporary or special services and to determine their powers and duties and fix their remuneration and to require security in such instance and to such amount, as they think fit, and to make regulation with the prior approval of the Registrar regarding their pay, promotion, leave, provident fund, disciplinary matters, and other conditions of service. d) To raise or borrow such sums or money by way of loans, as may be required from time to time in the interest of the Federation. e) To undertake on behalf of the Federation, the payment of all rents and performance of all conventions, conditions and agreements contained in or reserved in any lease, that may be granted or assigned to or otherwise acquired by the Federation. f) To admit members. g) To insure and keep insured, if deemed expedient all or any or the buildings or other property or as securities of the society either separately or jointly for such period and to such extent as the board may think fit and to assign, surrender or discontinue any policies or insurance affected in pursuance of the power. h) To make advance or lend moneys to the member wool procurement and marketing coop. societies established in Himachal pradesh under the Act. i) To appoint such committee or special committee consisting of atleast three Directors, to consider any specific problems or subjects. j) To establish and maintain provident or other benefit fund for the employees of the society. k) To delegate any of the powers to the Managing Director or committee consisting of such members of their body, as the board may think fit. l) To execute all deeds agreements, receipts and other documents that may be necessary/expedient for the purpose of the Federation. m) To delegate the powers, to sign on behalf of the Federation, bills notes, receipts, acceptances, endorsements, cheques releases, contracts, documents and to give the necessary authority for the purpose. n) To accept from any member on any such terms and conditions, as may be agreed, a surrender of his shares, or any part thereof..

o) To institute, conduct, defend, compound or abandon any legal proceedings by or against the Federation, or its officer or otherwise concering the affairs of the Federation and also to compound and allow time for payment or satisfaction of any debts due and of any claims or demand by or against the Federation. p) To invest and deal with any moneys of the Federation in accordance with these bye-laws and from time to vary or realize such investments. q) Subject to the provision of the act to subscribe money for any charitable or benevolent objective or any exhibition or for any public or general or other purpose, which may be considered likely directly or indirectly to further the objectives of the Federation or the interest of its members. r) To join membership of any cooperative institution, which in the opinion of the board may be desirable or necessary in the interest of the Federation. s) To regulate and sanction, the expenditure, which the Board may consider necessary or desirable to carry out the objectives of the Federation. t) To engage the services of advocates, attorneys, architects, valuers, or other professional persons for the conduct of business of the Federation or pay their fee, professional charges or honorarium. u) To invite in their absolute discretion any person or persons to attend any specific meeting of the Board or a committee. v) To frame rules necessary for the conduct of business of the Federation with the approval of the Registrar. 11.3 The board shall have power to provide a common seal for the purposes of the Federation and it shall not be used except by the authority of the board and in the presence of atleast one of the members of the board. 11.4 Every deed or document to which the seal is affixed shall be signed by the chairman or any other member authorized by the Board and the Managing Director. 11.5 The Federation shall be competent to inspect the records of its member society and its property or make other enquiries regarding its financial position, as it may deem necessary. 12.0 MANAGING DIRECTOR

12.1 The Government shall appoint a Managing Director of the Federation, who shall control and supervise the Administrative set up subject to the supervision and control of the Board. The Managing Director shall perform such duties and function, as the board may entrust or delegate to him. 12.2 The Board shall by resolution vest in such Managing Director the necessary powers over and above the powers given by these bye-laws subject to such restrictions as it may determine. The general powers and duties and responsibilities of the Managing Director shall be as under: The Managing Director shall attend all the meetings of the Federation, the board and the committees and record minutes of these proceedings in the absence of the Managing Director, the Chairman may authorize any member of the establishment to record the said minutes. The Managing Director or any other person as authorized by the Chairman of Board of Directors shall furnish to the Registrar Coop. societies a true copy of all resolutions passed either by the board of Directors or by any of its committee or in the General meeting of the Federation within 15 days from the passing of such resolutions by the Board of Directors, Committees or General meeting as the case may be. 12.2(i) He shall have general control over the administrative management, finance and business of the Federation. 12.2(ii) He shall purchase or take on lease or acquire land and building or properties not exceeding the value of 2.5 lakh. 12.2(iii) He shall be the officer to sue or be sued on behalf of the Federation and all bonds agreements made in favour of the Federation shall be in his name. 12.2(iv) He shall have powers for and on behalf of the Federation to endorse sign, negotiate cheques and other negotiable instruments on behalf of the Federation. He shall also sign all deposit receipts and operate on the accounts of the Federation with any bank. 12.2(v) He shall suspend, award punishment from service to employees of the Federation for whom he has powers of appointment. 12.2(vi) He shall allow credits to buyers/sellers within limits fixed by the Board from time to time. 12.2(vii) He shall undertake import/export business in wool/processed or other related products for and on behalf of the Federation.

12.2(viii) He shall carry out negotiations with the Government and other organizations. 12.2(ix) He shall make necessary arrangements or contracts for purchase, sale, lease of land, buildings required for the working of the Federation and to execute document on behalf of the Federation and to represent it in all legal actions, instituted by or on behalf of the Federation with the permission of the Board of Directors.. 12.2(x) He shall arrange to insure all properties of the Federation against risk of all kinds. 12.2(xi) He shall arrange to impart training to the staff members of the Federation and societies. 12.2(xii) He shall make necessary arrangements for transport and storage of wool and allied products/produce. 12.2(xiii) He shall arrange to maintain proper Accounts of the Federation. 12.2(xiv) He shall arrange to prepare Annual Report, Balance sheet of the proceeding financial year and budget of the Federation for the ensuing year for placing before the Board of Directors. 12.2(xv) He shall convene, the meeting of the Board of Directors, as required under these bye-laws and General Meeting, as & when directed by the Board or found necessary or on receipt of requisition from the requisite number of members or upon requisition from the Registrar. 12.2(xvi) He shall arrange to supervise the member societies. 12.2(xvii) He shall appoint consultants/experts and fix their remunerations with the approval of the Board of Directors. 12.2(xviii) The Managing Director shall be authorized to delegate any of his powers conferred on him by this bye-law to any of the senior officer of the Federation. 13.0 NOTICE 13.1 A notice may be served by the Federation upon any member either personally or by sending it through the post addressed to such member at his registered place of address.

13.2 Each share holder, may from time to time notify in writing to the Federation an address in India which will be deemed his registered place of address within the meaning of the last proceeding bye-law. 13.3 Any notice required to be given by the Federation to the members and not expressly provided by these bye-laws shall be sufficiently given, if given by advertisement in atleast one leading daily paper. 13.4 Any notice if given by post, shall be deemed to have been served at the time when the letter containing the same is posted and for such service, it shall be sufficient to prove that the letter containing the same was properly addressed and put in the post office (i.e. under postal certificate). 13.5 Every member who by operation of law, transfer or other means, whatever shall become entitled to any share, shall be bound by every notice, duly given to the member from whom he derives the title of such share, prior to the registration of the transfer of the said share to his name. 13.6 All notices which may be given to the Federation by or on behalf of any member shall be left at or sent by post to the Registered office of the Federation. 14.0 PROFITS 14.1 The annual net profits of the Federation as declared by the Registrar in his audit certificate shall be disposed of in the following manner: 14.1(a) At least 25% of the net profit after providing for unrealized interst, shall be carried to the reserve fund. 14.1 (b) 3% of the net profit shall be carried to the cooperative Education fund. 14.1 (c) Not less than 10% and not more that 20% of the net profit shall be carried to the price fluctuation fund. 14.1 (d) Out of the remainder, a dividend may be paid not exceeding the rate as permissible under the Himachal Pradesh Cooperative societies Act and Rule on the amount of shares held by the members subject to the rule that no dividend shall be payable on amount paid up on any share which has not been held for atleast six months at the close of the year for which profits are being distributed on share held. On share held for a period of less than a year and more than six months dividends shall be payable on shares. 14.2 Not less than one third of the remainder shall be carried to the bad debts reserve.

14.3 Any balance remaining may be allotted to any or all of the following as the general body may think fit subject to the general restrictions, as may be prescribed by the Act or the rules framed there under: 14.3 (i) i) Building Fund. ii) Loss equalization fund. iii) Bonus to staff not exceeding one months salary. iv) Staff gratuity fund according to the rules framed by the Board. v) Common good fund. 14.3 (ii) The allotment to the funds specified in the sub clause 14.3(i) and clause 14.1(a) shall as far as possible be made in the order of priority mentioned there in. 14.3 (iii) Unappropriate or undisbursable balance, if any, shall be added to the reserve fund. 14.3 (iv) If any share holder does not claim any dividend within 3 years of its declaration, he shall forfeit his right to dividend and such dividend shall be carried to the reserve fund of the Federation. 14.3(v) No unpaid dividend shall bear interest against the Federation. 14.4 The Federation in general meeting may declare a dividend to be paid to the members, and may fix the time for its payment. No larger dividend shall be declared than is recommended by the board, but in the Federation in general meeting may declare a smaller dividend. 14.5 No member shall be entitled to receive payment of any dividend in respect of his shares until any money due or owing by him to the Federation in respect of such shares have been paid. 14.6 The Board may retain any dividend on which the Federation has a lien and may apply the same in or towards satisfaction of which the lien exists. 14.7 A transfer of shares shall not pass the right of any dividend declared thereon before the registration of the transfer. 14.8 Unless otherwise directed any dividend may be paid by cheque or warrant sent through the post to the registered address of the member entitled and every cheque of warrant so sent shall be made payable to the order of the person to whom it is sent. 14.9 Notice of the declaration of any dividend shall be given to the holders of Registered shares in manner herein before provided.

15.0 INDEMNITY Every Director, Managing Director, Accountant, Auditor and other Officers or servant of the Federation and the trustees (if any) for the time being acting in relation to any of the affairs of the Federation and every of them and every of their heirs, executors and Administrators, shall be indemnified by the Federation against, and it shall be the duty of the Board, out of the funds of the Federation, to pay all costs, losses and expenses, which any such officer, or servant may incur or become liable to any reason of a contract entered into or act or thing done by him as such officer or servant or in any way in the discharge of his duties, except such (if any) as he shall incur or sustain through his own willful neglect or default. No member of the Board or other officer of the Federation or trustee for the time being acting in relation to any of the affairs of the society shall be liable for acts, receipts, neglects or defaults of any other Director or Officer for joining in any receipt of other act for conformity or for any loss or expenses happening to the Federation through the inefficiency or deficiency of title to any property acquired by order of the Board for or on behalf of the Federation or for the insufficiency or deficiency of any security in or upon which any of the money, of the Federation shall be invested or for any loss or damage arising from insolvency or tortuous act of any person with any moneys, securities or effects shall be deposited or for any loss occasioned by any error of judgement or oversight on his part or any loss damage or misfortune whatever which shall happen in the execution of his duties of his respective office or in relation thereto, unless the same happen through his own willful act or default. 16.0 SECRECY 16.1 Every Director, Manging Director, Auditor, trustee, member of a Committee, officer, servant, accountant, or other persons employed in the business of the Federation shall if so required by the Directors before entering upon his duties, sign a declaration pledging himself to observe a strict secrecy respecting all transactions of the Federation and the State of the accounts thereof and in matters relating thereto and shall, by such declarations pledge himself not to reveal any of the matters which may come to his knowledge in the discharge of his duties except when required so to do by the Directors or by any meeting or by a court of law or by the person to whom such matter relate and except so far as may be necessary in order to comply with any of the provisions of the act and rules and these bye-laws for the time being in force. 16.2 No member shall be entitled to require discovery of or any information respecting of detail of the Federation's business or any matter which may relate to the conduct of the business of the Federation and which in the

Himachal Pradesh State Wool Procurement & Marketing Federation

opinion of the Directors would be expedient in the interests of the members or improper in the conduct of the Federation to communicate. 17.0 AMENDMENTS 17.1 None of the bye-laws here in contained shall be altered or rescinded and no bye-laws shall be added except by a vote of a majority consisting or atleast 2/3rd of the members present and voting at the general meeting as convened for the purpose. Every alteration amendment, rescission or addition resolved upon by such majority shall be submitted to the Registrar for his sanction and shall take effect from the date on which the intimation of the Registrars approval is received. 18.0 Interpretation of these Bye- laws. 18.1 Any dispute arising about the interpretation of these bye-laws shall be referred to the Registrar whose decision in the matter shall be final and binding on all concerned.

AMENDEMENT TO BE MADE IN THE BYE LAWS OF THE HIMACHAL PRADESH STATE COOPERATIVE WOOL PROCUREMENT AND

MARKETING FEDERATION LTD. SHIMLA-171009.

Existing Provision Proposed Amendement

1. Name Address and Jurisdiction Proposed Amendement

The name of the Federation shall be the Himachal Pradesh State Cooperative Wool procurement and Marketing Federation Ltd. Its registered address will be H.P.State Cooperative Wool

The Name of the Federation shall be The Himachal Pradesh State Cooperative Wool Procurement and Marketing Federation Ltd Its registered address will be The H.P. State Coop. Wool Procurement and

Procurement and Marketing Federation Marketing Federation Ltd. block No.23, Ltd. Shimla-2(Khalini). SDA Complex, Kasumpti, Shimla-9 Existing Provision Proposed Addition 5.0 Membership Existing Bye-Laws d) Nominal Members d) d) The persons having financial dealing with the Federation such as supplies, Contracts, admitted by the Board to nominal membership shall not be required to hold the share but have to pay a fee of Rs.100/- only per annum. They shall have no right to vote or to participate in the Management of the Federation or in its distribution of profits. They shall continue as members so long as they have business relation with the Federation. They shall incur no liabilities in the event of winding up of the Federation. 9.0 Board of Director 9.7 Existing Bye-Laws Proposed Addition 9.7) In case of urgency when a particular decision can not wait till the Board meets, the decision can be obtained by a circular resolution among all its members and nay resolution so approved by more than 50% of the members shall be effective and binding.

HIMACHAL PRADESH STATE COOPERATIVE WOOL PROCUREMENT & MARKETING FEDERATION LTD. EMPLOYEES (NON-WORKMAN) SERVICE REGULATIONS, 1988. CHAPTER-I PRELIMINARY 1. Short title commencement and application: (1) These regulations shall be called the Himachal pradesh State Cooperative Wool Procurement and Marketing Federation Ltd. Employees (Non- Workman) Service Regulations, 1995. (2) These regulations shall come into force from the date of its approval by the Registrar, Cooperative Societies. H.P. (3) These regulations shall apply to such employees of the Himachal Pradesh State Cooperative Wool Procurement and Marketing Federation Ltd. who are not on deputation or on contract services and are not 'workman' under the definition of Industrial Disputes Act, 1947. The category of employees covered under these regulations is given in schedule-I appended to these regulations. 2. Definitions: In these regulations, unless the context otherwise require:- (a) 'Act' means the Himachal Pradesh Cooperative societies Act, 1968(Act No.3 of 1969). (b) 'Rules' means the Himachal Pradesh Cooperative Societies Rules, 1971. (c) 'Registrar' means Registrar, Cooperative Societies, Himachal Pradesh. (d) 'Appointing Authority' in relation to any employee means; i) The authority empowered to make appointments to the category of post of which the employee is for the time being a member or to the grade in which the employee is for the time being included or the post which the employee for the time being holds or. ii) The authority which appointed the employee to such grade or post as the case may be or whichever authority is the higher authority. (e) 'Board of Directors' means the Board of Directors of the Himachal Pradesh State Cooperative Wool Procurement and Marketing Federation Ltd.

(f) 'Federation' means Himachal Pradesh State Cooperative wool Procurement and Marketing Federation Ltd. and includes its units. (g) 'Non-Workmen' means employees not covered under the definition of 'Workmen' under the Industrial Disputes Act, 1947. (h) 'Competent Authority' in relation to exercise of any powers means the Board of Directors or the Managing Director or any other authority to whom powers are delegated under these regulations or by the Board of directors subject to the provisions of the bye-laws of the Federation. (i) 'Employee' means a person who is in the whole time service of the Federation but does not include a person employed by the Federation on casual or daily wages, or on contract basis. (j) 'Government Servant' means a person who holds a post under the Government of Himachal Pradesh, Central or State Govt. and whose services are temporarily placed on deputation at the disposal of the Federation. (k) 'Chief Executive' means the Managing Director/General and the Executive Officer of the Federation. (l) Recruitment Schedule means the schedule attached to Himachal Pradesh State Cooperative Wool procurement and Marketing Federation Ltd. conditions of recruitment and promotion regulations. (m) 'State Government' means the Government of Himachal Pradesh. (n) 'Substantive Pay' means the pay other than officiating pay, personal pay or any other emoluments which may be specially classified as pay by the Board of Directors to which an employee is entitled on account of a post to which he has been appointed substantively or by reasons of his substantive position in a cadre. 3. Classification and number of posts: The Board of Directors, subject to the approval of Registrar, Cooperative Societies, shall from time to time determine the categories of staff and the strength of the staff of various cadres necessary for carrying out the functions of the Federation and its units. 4. Category of Employees: Official in permanent employment means an employee who is confirmed against a permanent post or would hold a lien on a permanent post had the lien not been suspended. Official in temporary employment means an

employee who is selected and appointed against a post which has been created for a specific period and it will also include employee temporarily appointed against a permanent post. CHAPTER-II 5. General conditions relating to appointment: The following general conditions shall apply to all appointments to the service of the Federation:- I Age on first appointment: (a) No person who is below 18 years shall be appointed to any post in the Federation. The maximum age for Class-III & IV posts will be 35 years and 45 years for Class-I & II posts. (b) For the purpose of these rules, age would be determined on the basis of date of birth as recorded in the Matriculation/high School/Secondary Certificate/School Leaving Certificate. In the absence of School Leaving Certificate, the appointing authority may accept the date of birth on the basis of Municipal/Panchayat Birth Certificate. II Educational and other qualifications: The minimum educational, professional and other qualifications including experience etc. necessary in respect of each post shall be as indicated in the recruitment schedule for each post at Appendix-A to these rules. III Verification of character: No person recruited directly shall be appointed to any post under the Federation unless his character and antecedents have been verified to the satisfaction of the appointing authority. IV Disqualification for appointment: (a) No person shall be eligible for appointment(s) who has previously been dismissed from the service of any cooperative institution or from a service of central/State Government or from any other Government institution or public sector organization. (b) Who has been convicted in the court of law for any criminal offence or otherwise for other serious offences, including acts of dishonesty or moral turpitude. (c) Who is of un-sound mind or lunatic. (d) Who is declared insolvent by a court of law.

V. Plural Marriage: No person who has more than one spouse living or who having a spouse living marries and when marriage is void by reason of its taking place during the life time of such spouse, shall be eligible for appointment to the service of the institution. VI Medical examination at the time of first appointment: No person shall be appointed by direct recruitment unless he has been certified by a Chief Medical Officer under the employment of the State Government to be of sound constitution and medically fit to discharge his duties. The fee, if any for such medical examination/certificate shall be paid by the employee concerned. VII Furnishing of security by employee: The members of the service shall furnish such security in favour of the Federation as may be decided by the BOD for the post on the basis of instructions issued by the Registrar/Government from time to time. VIII Letter of appointment: Every person to be appointed under terms and conditions of these regulations and an employee of the institution will be given a letter of appointment stating among other things his monthly pay, scale of pay and other emoluments if any, the period of service (for temporary post) and period of probation. IX Letter of Acceptance: Any person to whom a letter of appointment has been issued shall confirm in writing his acceptance of the offer within the prescribed time limit as stipulated in aforesaid letter of appointment. X Joining Report; Every person to whom a letter of appointment has been issued and who has accepted the employment with the institution as per his letter of acceptance shall report himself for duty at the place and time specified in the aforesaid letter of appointment and shall give his joining report for first appointment to the post. XI The persons appointed through direct recruitment/promotion shall be on probation for a period of two years. Such period can be further extended at the most for one year. The person will be confirmed on promotion after satisfactory completion of the probation period, subject to availability of permanent post in that particular cadre.

XII Reservation: In making recruitment, the representation given to S.C. and S.T. categories will be calculated at such percentage of the total number of posts as may be prescribed by the H.P. Government from time to time for its employees. Where sufficient number of candidates belonging to S/C and S/T are not available to fill up the vacancies reserved for them in direct recruitment, the vacancies shall not be filled by candidates not belonging to these communities. These vacancies shall be treated as back-log vacancies and shall be carried forward until the next recruitment year. If the vacancies reserved for S/C and S/T cannot be filled up and are carried forward as back-log vacancies and remain unfilled for 3 successive recruitment years, the vacancy earmarked for S/C could be filled by S/T candidate or vice-versa in all subsequent attempts, if suitable candidates belonging to the category for which the vacancy is reserved is not available, provided the prescribed percentage of reservation has not been achieved by either of the category. XIII. Ratio schedule for each category to be determined for appointment by direct recruitment and by promotion shall be as prescribed in the recruitment schedule. In case suitable candidates for promotion/direct recruitment are not available, the respective posts shall be carried forward in their respective quota until next recruitment/promotion. CHAPTER-III 6 MEHODS AND PRINCIPLES OF RECRUITMENT: The posts under the Federation shall be filled by one or the other of the following methods:- i) By direct recruitment. ii) By promotion iii) By deputation iv) On contract/daily wages. 7. PROCEDURE FOR DIRECT RECRUITMENT I) Inviting of applications: Applications for recruitment to various posts mentioned in the schedule attached shall be invited by the Federation by advertising the vacancies to be so filled through Employment Exchange, giving full information regarding the nature and duties of the post and giving full details about the qualification and experience required for the concerned post. In case suitable candidates are not available through Employment Exchange, then the post can be filled in by advertising the vacancies in the leading

newspapers, provided all vacancies in category of ministerial and Class-IV shall be notified to the Employment Exchange. II) Form of applications: The applications shall be made in the form prescribed by the Federation on payment of such fee as the Federation may fix from time to time. III) Scrutiny of applications: The Federation shall scrutinize the applications received and require candidate fulfilling qualification to appear before the Selection Committee for an interview. Provided that the number of candidates so called will not be ordinarily more than six times of the total number of vacancies. Provided further that in case there are insufficient number of qualified candidates, the post may be readvertised. IV) Selection from among the eligible candidates shall be made on the basis of written test or practical text, as the case may be. The candidates qualifying written test or practical text may be called for interview. The percentage of marks for written text/practical test and interview may be fixed at par with the Govt. Institutions. V) Direct recruitment to various categories of posts shall be made from amongst the names recommended by the Selection Committee. The names of the selected candidates shall be arranged in order of merit and the appointing authority shall make appointments in that order only. The selection committee may to the extent of 50% of the advertised vacancies keep names of suitable candidates in order of merit in the reserve list which will remain in force for a period not exceeding one year. VI) The selection committee for selecting person for various posts shall consist of such persons as determined by Board of directors. If necessary, an expert from outside the organization will be included in the selection committee. 8. (a) PROCEDURE FOR RECRUITMENT BY PROMOTION I) Criteria for promotion For purpose of recruitment to the posts to be filled through promotion, a selection strictly on seniority cum-merit shall be made from among all the persons eligible for such promotion under the provisions of these regulations. II) Procedure for selection: As soon as it is decided that a certain number of vacancies in category of employees mentioned in the schedule will be filled by promotion, the chief Executive shall prepare a list in order of seniority of all the eligible members of each feeder category and shall forward it together with the

confidential rolls and personal files to the Federation Promotion Committee. III) The Federation Promotion Committee shall consider the cases of all the persons included in the list who fulfill the requisite qualifications and shall select a number of candidates equal to number of vacancies likely to be filled by promotion. The names of candidates so selected shall be arranged in a list in order of seniority-cum-merit. IV) The committee shall also prepare a separate waiting list containing names of persons in order of seniority-cum-merit equal to half of the number of vacancies. In case of any post falling vacant within a period of one year, candidates from this waiting list shall be appointed to fill such posts in order or seniority-cum-merit. V) Preference will be given to those candidates who have professional and educational qualifications in consonance atleast with the minimum prescribed for the post. VI) The Federation Promotion Committee shall be constituted by the Board of Directors. 8. (b) Procedure/terms and conditions for taking employees on deputation and retired employees: The posts will be filled initially on deputation basis preferable from Animal Husbandry Department, H.P. and the Department of Cooperation or other Departments through circulation giving, full details regarding number of posts to be filled, age, qualification, place of posting, probable duration of deputation etc. and will be governed by the following general condition or as per stipulation/instructions issued by the H.P. Government from time to time. (c) The Board in the interest of Federation and farmers and in order to make saving on salary of the employees may consider appointing retired employees of the Animal husbandry Department and Cooperative Deptt. on terms and conditions to be mutually decided. (i) Deputation Allowance: The deputation allowance shall be 5% of the employees' basic pay subject to the maximum of Rs.250/- p.m. if the transfer is within the same station or 10% for outside station subject to maximum of Rs.500/- if transfer is from another station. (ii) Dearness Allowance: As admissible to an employee in his parent office from time to time, if he opts to retain his parent office pay or the D.A. and other

allowances as admissible on the post in the H.P.State Coop. Wool Procurement and Marketing Fed. Ltd. Shimla. (iii) Transfer traveling allowance on taking up assisgnment: He will be paid by the Federation for his journey to take up the assignment and to return there from, T.T.A. both ways for family of the official will also be paid by the Federation. Travelling Allowance: (iv) T.A. will be paid by the Federation for any journey undertaken for the work of the Federation in accordance with the rules applicable to him in his parent office. (iv) He will remain subject to leave rules applicable to him in his parent office. (v) Joining time, pay of the official when proceeding on foreign service and reversion there-from shall be paid by the Federation. (vi) Provident Fund He will not be allowed to join any pension scheme of the H.P.State Cooperative Wool procurement and Marketing Federation Ltd. Shimla. He will, however, subscribe to the General Provident Fund of the Government of Himachal Pradesh compulsorily in accordance with the relevant rules. (vii) Leave Travel Concession: He will continue to be entitled to L.T.C. as per Government instructions as amended from time to time and the cost thereof shall be borne by the Federation. (viii) The H.P.State Cooperative Wool Procurement and Marketing Federation Ltd. Shimla shall pay leave emoluments in respect of disability leave granted to him on account of any disability incurred in and through foreign service. (ix) The H.P.State Cooperative Wool Procurement and Marketing Federation Ltd. Shimla shall extend to the official medical facilities not inferior to those which he would have enjoyed in the Govt. service, but for his transfer to foreign service. (x) Commencement of foreign service: The period of foreign service will commence from the date of making over charge and on the date of resuming charge of the post under the H.P.Govt. on his reversion. 9. Principles for determining seniority: (i) Seniority shall be determined with reference to the date of appointment to a particular post or grade or in an equivalent post or grade. If more than one person is appointed in the same grade at one scale then the seniority

will be reckoned on the basis of merits prepared by the selection committee. (ii) When appointments are made on the basis of competitive examination or test, names of the successful candidates shall be arranged in the order of merit as determined by the number of marks obtained in the examination or test and their seniority will be in the order of merit so determined. (iii) The person who is promoted, his seniority will be fixed vis-à-vis a person who is appointed to the same category/class through direct recruitment as per roster followed by H.P. Government. (iv) If any question arises regarding the seniority of an employee, the decision of the authority next higher to the appointing authority shall be final in the matter. CHAPTER-V 10. Leave and Joining Time: General conditions governing grant of leave: The following general principles shall govern the grant of leave to employees:- (i) When the exigencies of Federation service so require, the discretion to refuse, postpone, curtail or revoke leave of any description or to recall to duty an employee already on leave is reserved to the authority competent to grant it. (ii) An employee while on leave shall not take up any other service or accept any employment or business whether of a temporary or permanent nature. (iii) Leave shall not be availed of without obtaining the prior sanction of the competent authority. Application for such sanction shall be submitted in writing to the competent authority in such form as may be prescribed by the Federation, sufficiently in advance which in the case of earned leave shall not be less than 15 days before the date on which the leave applied for is to commence. (iv) If an employee wants to curtail his sanctioned leave he may do with the prior permission of the sanctioning authority. The final decision to accord sanction or to refuse leave will be with the sanctioning authority. (v) If an employee after proceeding on leave desires an extension thereof, he shall apply by letter or telegram to the leave sanctioning authority as aforesaid, in sufficient time for the reply to reach him before the date which the employee would have to start back to resume his duties. (vi) If on account of sickness, accident or the like an employee is unable to resume his duties by the due date he shall notify the leave sanctioning authority as aforesaid without any delay alongwith a certificate from a Registered Medical Practitioner. (vii) Any kind of leave may be granted in combination with or in continuation of any other kind of leave. Provided that casual leave cannot be availed of in combination or in continuation with any other kind of leave. (viii) Unless otherwise provided, employees on deputation shall be governed by the leave rules applicable in their parent department.

(ix) An employee proceeding on any leave other than casual shall intimate to the competent authority his address while on leave and shall keep the said authority informed of any change in the address from time to time. (x) Leave may be prefixed or suffixed to a holiday but holidays intervening during the period of leave shall count as part of leave except in the case of casual leave. (xi) willful absence from duty will debar the employee from getting his salary for the period of unauthorized absence and liable to disciplinary action. 11. CASUAL LEAVE Casual leave may be granted upto a maximum of 12 days during a calendar year. An employee will not be permitted to avail himself of more than 8 days casual leave at a time. Casual leave unavailed of at the end of the calendar year shall lapse. 12. EARNED LEAVE i) Earned leave will be credited to the leave account of the employee twice in a calendar year, i.e. Ist of January and Ist of July, i.e. 15 days each. The total accumulation of leave will not be permissible beyond 240 days. An employee may be granted leave with a maximum of 120 days at a stretch. The same rule will apply to temporary employees too. ii) An employee on earned leave shall during the period of earned leave draw leave salary equal to the last pay drawn and allowances appropriate thereto. 13, Maternity Leave: (1) A woman employee of the Federation may be granted maternity leave twice during the entire period of her service on full pay for a period which may extend upto the end of 90 days from the date of its commencement. (2) Maternity leave may also be granted in case of miscarriage including abortion which is complete, subject to the condition that:- i) The leave does not exceed six week and ii) The application is accompanied by a certificate from an authorized medical officer. iii) Such leave will be granted only once without prejudice to leave mentioned at 13(1) (3) Temporary woman employees having put in service of one year may also be allowed maternity leave. (4) Maternity leave may be combined with leave of any kind but any leave applied for in continuation of the maternity leave may be granted only if the request be supported by medical certificate. 14 SPECIAL DISABILITY LEAVE i) subject to the conditions specified in these regulations, Federation may grant special disability leave to an employee who is disabled by injury

inflicted or caused or in consequence of due performance of his duties in the Federation service. ii) Such leave shall not be granted unless the disability manifest itself within three months of the occurrence to which it is attributed and the person disabled acted with due promptitude in bringing it to the notice of the Federation. iii) The period of leave granted shall be such as is certified by the Medical authority specified by the Federation. iv) Such leave shall be counted as duty in calculating service for contributory provident fund rules and other service benefits. 15. HALF PAY LEAVE AND MEDICAL LEAVE i) Half pay leave shall be admissible to an employee at the rate of 20 days in respect of each completed year of service. This leave will be granted to an employee on medical certificate. ii) A permanent employee can be permitted to avail himself of medical leave on average pay during the period of his service, such leave on average pay being entered as double duration of leave taken in his leave account. 16 JOINING TIME: (1) Joining time may be granted to an employee to enable him to join at a post to which he has been transferred. (2) when a person is transferred from one post to another, the normal joining time will be 7 days. (3) Persons appointed through direct recruitment would not get any joining time. (4) The transferring authority would be competent to extend the period of normal joining time wherever required to a maximum of 10 days, subject to the condition that the transfer is not within the same station. (5) The number of days saved from normal joining time of 7 days will be credited to the earned leave account of the employee concerned, subject to the following conditions:- i) He is ordered to join the new post without availing full joining time, or

ii) He proceeds along to the new place of posting and takes his family later within the permissible time for claiming T.A. for the family and; iii) The total including this credit does not exceed 240 days. 17 SERVICE RECORD (i) A record of particulars of service of each employee shall be maintained in a prescribed form. But it shall be the duty of each employee for notifying the management any change of his permanent address. (ii) Annual performance Appraisal Reports for the Cooperative year in respect of each employee shall be drawn up annually by the competent authority in such manner as may be prescribed. 18 RETIREMENT FROM SERVICE (a) Any employee of the Federation may after giving atleast three months prior notice in writing to the appointing authority to retire from service on attaining. i) 50 years age, if he belongs to Group 'A'/Group 'B' and entered service 35 years age. ii) 55 years age or 30 years qualifying service in all other cases. Retirement becomes effective after appointing authority's approval. (b) The Board of Directors, may after giving 3 months' prior notice in writing or by payment of three months pay and allowances in lieu of such notice require an employee to retire from service on the date on which he attains the age of 50 years which ever is earlier or any other date thereafter. (c) The service of a temporary employee can be terminated by one month's notice in writing or by paying one month's pay in lieu of notice. The Federation may similarly deduct one month's pay from the dues of the employee who leaves its employment without giving due notice. But this can be exempted on the discretion of the appointing authority. (d) Services of an employee whose appointment has been made or extended upto a specified period or date shall stand automatically terminated on the expiry of that period or date. No notice for termination of services of such employee will be necessary. (e) An employee recruited directly on probation will not be required to be given any notice for termination of his services if his work at any stage during his probation period is found to be unsatisfactory. If appointed otherwise (by promotion) revert him to his former post. 19 RESIGNATION i) Permanent employee who wish to leave the Federation services must give 3 months notice to the Federation (one month notice for temporary employees). The appointing authority will have the discretion to exempt

the employee from payment, salary and allowances in lieu of notice, as the case may be. ii) If an employee leaves the service of the Federation without the requisite notice, then without prejudice for any other action under his contract of services he is liable to pay salary/allowances required under clause (1) above. If no such wages are due, take re-course to such legal action as may be necessary. 20 SUPERANNUATION AND RETIREMENT i) Every employee shall retire on attaining the age of fifty eight years, i.e. superannuation age and sixty years in case of Class-IV employees. ii) Notwithstanding anything contained in these regulations, an employee shall, on invalidation by a Medical Board as may be constituted for the purpose cease to be in service on account of complete permanent incapacitation. CHAPTER-VII 21. PAY AND ADDITIONS TO PAY a) Pay Scales i) The pay scales of the posts shall be laid down by the Board of Directors of the Federation subject to the approval of the Registrar, Cooperative Societies, H.P. An employee shall draw such pay for the post held by him as per schedule OR which may be sanctioned by the competent authority from time to time. ii) The Board of Directors may in consideration of special/higher qualification, training or experience allow higher initial start to a person appointed to any of the post. b) Regulations of pay on promotion or appointment to a higher post and regulation of increments Pay fixation in all cases and regulation of increments will be governed by regulations as applicable to the H.P. Government employees as amended from time to time. c) PAY ON REVERSION TO A LOWER POST AS PENALTY i) An employee reverted as a penalty from a higher post to a lower grade or post may be allowed any pay not exceeding the maximum of the lower grade or as may be considered proper by a competent authority. ii) The competent authority ordering reduction of an employee to a lower stage in his time scale as a measure of penalty shall state the period for which the reduction shall be effective and whether on restoration the

period of reduction shall operate to postpone future increment and if so, to what extent. Provided when an employee is reduced to a particular stage, his pay will remain constant at that stage for the entire period of reduction iii) After the expiry of the period of reduction, the pay of the employee shall be regulated as under:- a) If the order of reduction lays down that the period of reduction shall not operate to postpone future increments, the employee shall be allowed the pay which he would have drawn in normal course but for his reduction. b) If the order specified that the period of reduction was to operate to postpone future increments for any specified period, the pay of an employee shall be fixed in accordance with (a) above but after the period for which the increments were to be postponed for increments. 22 DEARNESS AND OTHER ALLOWANCES: The employees of the Federation as appointed in its services, shall be entitled to dearness and other allowances at such rates as determined by the Board of Directors from time to time subject to the financial condition of the Federation. 23. HOUSE RENT ALLOWANCE House rent allowance will be admissible to the employees of the Federation at places and rates as permissible to H.P. Government employees 24. MEDICAL BENEFITS Employees of the Federation shall be entitled to medical benefits as per rules made by Government of Himachal Pradesh. 25 TRAVELLING ALLOWANCE a) The rate of allowances admissible to an employee for travelling on duty or on transfer shall be those as are admissible for the employees of H.P. Government. b) The hotel expenses may be allowed as those admissible to H.P. Government employees and time to time revision thereof. c) Every employee of the Federation who undertakes local journeys within Metropolitan cities and State capitals in India are allowed local fare charges on the same rates which are admissible to the employees of H.P. Government. The employees concerned shall be required to mention each place of visit, distance covered and the purpose for which the journey was undertaken in the T.A.bill. 26 Ex-Gratia

Ex-gratia grant will be allowed to the employees of Woolfed as is admissible to the employees of the H.P.Govt. from time to time. 27. BONUS The payment of Bonus as per the Bonus Act, 1965 amended from time to time is applicable to this Federation and units. 28. PROVIDENT FUND Employees shall be entitled to benefits of CPF in accordance with provident fund Act after 12 months service provided that the Federation will contribute at the rate not more than 8% of the basic pay of the employee as provided in the Act, subject to approval of the Registrar, Cooperative Societies, Himachal Pradesh. 29. GRATUITY Employees shall be entitled to payment of gratuity in accordance with the payment of Gratuity Act, 1972 and the rules made thereunder. The officers of the Federation will also be entitled to payment of gratuity as per the Act and the Rules.

CHAPER-VIII 30 TRAINING i) Persons recruited directly or promoted to any post shall undergo such training and Refresher courses as may be prescribed from time to time. ii) Every employee deputed for training at the expenses of the Federation shall execute a Bond to serve the Federation after the completion of such training for a minimum period to be specified therein failing which he shall be liable to refund to the Federation the cost of training and the emoluments received by him during the period of training. Provided that the Board may, at its discretion exempt any unexpired portion of the Bond in the event of the termination of his service of compulsory retirement or for removal or dismissal from the service by the Federation or for any other reason before the expiry of the period of that bond. 31. Advance to employees The employees shall be given such advances, subject to availability of funds for purchase of conveyance, House Building Advance, Food grain, Festival advance etc. as may be decided by the Board of Directors from time to time. 32. Previous Action All actions in respect of appointment, promotions, confirmations and other service matters taken prior to the coming into force of these rules in accordance to the existing rules shall be deemed to have taken under these regulations.

33. Amendments Amendments to the rules may be made by 2/3rd majority of the Board of Directors of the Federation, subject to the approval of the Registrar, Cooperative societies, Himachal Pradesh. 34. Penalties (Discipline and Appeal) Notwithstanding anything contained in any other regulation and without prejudice to such action to which employee becomes liable under any other law or regulation of the Federation, shall be governed by discipline, punishment and appeal Rules given in Appendix-B.

APPENDIX-A

RECRUITMENT SCHEDUCE

Sr. No.

Name of the post Pay Scale Educational Qualifications/Experience

Whether Tech. or Non-tech.

Method of recruitment No. of post(s)

1 Managing Director To be appointed by the H.P.Government

1

2 General Manager 4125-5600 B.V.Sc. & AH with PG in Sheep & Wool Production/Technology. Atleast 5 years experience in Sheep & Wool Production.

Tech Deputation, failing which by direct recruitment. By promotion from amongst Managers, Wool Grading-cum Marketing Centres 50:50 having 5 years regular service.

1

3 Manager, Wool Grading & Marketing Centres

3700-5300 B.V.Sc & AH with atleast 5 years experience of working in an organized sheep farm

Deputation, failing which direct recruitment. By promotion from amongst Wool Grading Officers 50:50 having 5 years regular service.

2/3

4 Wool Grading Officer (with 8 years (with 18 years

2200-4000 3000-4500 3700-5300

B.V.Sc & AH with atleast 3 years experience of working in sheep farm and wool Grading Centres.

Tech. Deputation, failing which by direct recruitment.

2/3

5 Sr.Wool Grader 1640-2925 One year Vety. Ph,Course 5 years experience in Sheep Shearing/Wool grading.

Tech. Deputation or direct recruitment. By promotion from amongst Wool Graders. 50:50 having 5 years regular service.

4

6 Wool Graders 1410-2460 One year Pharmacist Trg. course. Minimum two years experience of working in

Tech. By deputation from A.H.Deptt. By direct recruitment.

10

Sheep/Livestock Farms. 7 Asstt.

Registrar/Dy.Registrar 2100-3700 2400-4000

As per R&P Rules prevalent in State Coop. Department.

N-Tech. Deputation

8 Coop. Inspector 1640-2925 As per R&P rules prevalent in State Coop.Deptt.

N-Tech. Deputation 2

9 Sr.Accounts Officer 2400-4000 S.A.S.from Finance Deptt. N-Tech. Deputation 1 10 P.A. to M.D./G.M. 2000-3500 English 120 S.H.type 60 WPM

Hindi 100 S.H.Type 40 WPM 8 Yrs. experience in shorthand/typing.

N-Tech. On deputation from A.H.Deptt./direct recruitment.

2

11 Sr.Stenographer 1800-3200 English 120 S.H.Type 60 WPM. Hindi 100 S.H.Type 40 WPM 5 years experience in shorthand and typing.

N-Tech. On deputation from A.H.Deptt/direct recruitment.

2

12 Assistants 1800-3200 N-Tech. On deputation initially, later 100% promotion from the rank of Sr.Clerk/Acctts.

2

13 Accountants 1800-3200 N-Tech. On deputation initially, later 100% promotion from the rank of Sr.Clerk/Acctts.

3

14 Superintendent Grade-I

2200-4000 N-Tech. Initially on deputation. 100% by promotion from rank of Assistants. Must have 5 years experience as Office Asstt.

1

15 Sr.Photographer 1800-3200 Tech. As applicable to photographers in Govt. side.

1

16 Cashier 1200-2100/ 1500-2640

N-Tech. Initially deputation. 100% by promotion from the rank of Clerks.

3

17 Clerks 950-1800 Matriculate from recognized Board/University. Speed of

N-Tech. Initially on deputation/direct recruitment

3

typing essential. 18 Peons 750-1350 Middle Pass N-Tech. 100% direct recruitment. 4 19 Drivers 950-1800 Possessing a Heavy Light

Vehicle driving licence. 3 years driving experience.

N-Tech. Direct recruitment 4

20 Store-keepers 950-1800 Matriculate from recognized Board/University.

N-Tech. Initially on deputation/direct recruitment

2

21 Chowkidars 750-1350 Middle Pass N-Tech. Direct recruitment 2 22 Conductor 750-1350 Middle Pass Semi

skilled Direct recruitment 1

Appendix-B PENALITIES The following penalties may, for good and sufficient reasons and as hereinafter provided, be imposed on a Federation employee, namely – Minor Penalties: (i) Censure (ii) Withholding of his promotion; (iii) Recovery from his pay of the whole or part of any pecuninary loss caused by him to the Federation by negligence or breach of orders; (iv) Withholding of increments of pay; Major Penalties: (v) reduction to a lower stage in the time-scale of pay for a specified period, with further directions as to whether or not the delinquent official will earn increments of pay during the period of such reduction and whether on the expiry of such period, the reduction will or will not have the effect of postponing the future increments of his pay; (vi) reduction to lower time-scale of pay, grade, post or service which shall ordinarily be a bar to the promotion of the delinquent official to the time scale of pay, grade, post or service from which he was reduced, with or without further directions regarding conditions of restoration to the grade or post or service which the delinquent official was reduced and his seniority and pay on such restoration to the grade, post or service; (vii) Compulsory retirement (viii) removal from service which shall not be a disqualification for future employment under the Federation. (ix) dismissal from service which shall ordinarily be a disqualification for future employment under the Federation/Government. The Federation shall strictly follow the detailed procedure for awarding punishment on any employee as per Rules applicable to the Government employees. The authority competent to impose minor/major punishments shall be as given below:- Sr.No. Name of the post Disciplinary Appellete Revisional Authority Authority Authority 1 Managing Director BOD RCS,HP Secy. to the Govt. 2. General manager -do- -do- -do- 3 Manager, Wool Grading & Marketing Centres 4 Wool Grading Officer Managing BOD RCS, HP 5. Asstt. Registrar/ Director Deputy Registrar 6. Sr.Accounts Officer 7. Supdt. Grade-I 8. Sr.Wool Grader, Wool MD/GM BOD RCS, HP

Graders, Coop. Inspectors, P.A.to M.D/G.M.,Sr. Stenographer, Assistant, Accountants, Sr.Photographer, Cashier, Clerks, Store-keepers Drivers. 9. Peons, Chowkidars, MD/GM BOD RCS,HP Conductor An appeal against the order of penalty shall be made within a period of 30 days from the date of receipt of the copy of the order by the delinquent official. The decision of the Appellete Authority shall be final, except in case of compulsory retirement, removal from service and dismissal. A revision petition shall be made to the authorities specified above within a period of 30 days from the date of appellate order. The decision of the Revisional Authority shall be final and binding on both the parties.