Getting your money back from a multi-state co-operative society: which route applies

The right place to go depends on where the society stands. Find your route below, then follow the official steps.

Find your route

Check the routes in this order. To see what CRCS records for a society, including whether it is on the liquidation list, look it up in the India directory.

Which route applies: one of the four Sahara societies, use the CRCS-Sahara Refund Portal; a liquidator appointed, claim with the liquidator within the notice period; otherwise complain to the society in writing, then to the Cooperative Ombudsman, who decides within three months; the society may appeal to the Central Registrar. At any stage, report suspected fraud to the police or RBI Sachet.Your money is with a multi-stateco-operative societyOne of the fourSahara societies?yesCRCS-SaharaRefund PortalnoWound up, with aliquidator appointed?yesClaim with theliquidator, withinthe notice periodnoComplain to thesociety in writingrejected, no reply in amonth, or not satisfiedCooperative OmbudsmanForm VI, by email or postdecides within 3 monthsSociety complieswithin 1 monthIf the society appeals: to the Central Registrarwithin 1 month; decided within 45 days,and that decision is finalAt any stage, suspected fraud or anunauthorised deposit scheme:report it to the police or on RBI'sSachet portal
The four routes, in the order to check them. Each is explained below with its official source.

First: a society is not a bank

A multi-state co-operative society is not a bank. Deposits with it are not covered by DICGC deposit insurance, which covers banks, including co-operative banks. DICGC states that primary co-operative societies are not insured, and the Reserve Bank of India has cautioned that co-operative societies taking deposits from non-members are not licensed or authorised by it to do banking business, and that DICGC cover is not available for deposits placed with them.

The routes below are how a society's depositors seek their money back. If your money is in a co-operative bank instead, DICGC insures up to Rs 5,00,000 per depositor per bank, principal and interest together.

DICGC deposit insurance covers commercial banks, small finance and payments banks, regional rural banks and co-operative banks, up to Rs 5,00,000 per depositor per bank. Co-operative societies that are not banks are not covered.Insured by DICGCCommercial banksSmall finance banksPayments banksRegional rural banksCo-operative banks: state,district central and urbanup to Rs 5,00,000per depositor per bankNot insuredCo-operative societiesthat are not banks,including multi-stateco-operative societiesno deposit insurance
From DICGC's guide to deposit insurance and its information leaflet.

DICGC, guide to deposit insuranceDICGC, information leaflet 2024-25 (PDF)Reserve Bank of India, press release on co-operative societies accepting deposits (2017)

Route 1: the four Sahara societies

Depositors of Sahara Credit Cooperative Society, Saharayn Universal Multipurpose Society, Humara India Credit Cooperative Society and Stars Multipurpose Cooperative Society claim online on the Government of India's CRCS-Sahara Refund Portal, mocrefund.crcs.gov.in. Only claims filed on the portal are taken. How to claim on the portal, step by step.

PIB, Ministry of Cooperation, 18 July 2023 (Release ID 1940472)

Route 2: the society has been wound up

The Central Registrar of Cooperative Societies (CRCS) can order a multi-state society to be wound up and appoint a liquidator. The society's assets then pass to the liquidator, who investigates claims against the society and decides the order in which they are paid.

How to claim: after the winding-up order, the liquidator publishes a notice inviting claims against the society; send yours within the time the notice gives. Find your society's liquidator in the CRCS list of societies where a liquidator has been appointed. The CRCS home page also lists new liquidation orders.

If you already had a complaint with the Cooperative Ombudsman, ask the Ombudsman's office whether it continues once a liquidator is appointed.

Liquidation: the Central Registrar orders the society wound up; a liquidator is appointed and the assets pass to it; the liquidator publishes a notice and claims are sent in within the time it gives; the liquidator investigates claims and decides the order of payment.s.86Winding-up ordermade by the Central Registrars.89Liquidator appointedthe society's assets pass to itNoticeSend in your claimwithin the time the notice givess.90Claims investigatedand the order of payment decided
The highlighted step is where depositors act. Sections of the Multi-State Co-operative Societies Act 2002.

What it can do

  • Takes over the society's assets
  • Investigates claims against the society
  • Decides the order in which claims are paid

What it cannot do, or needs first

  • Claims go in within the period set in the liquidator's notice
  • No deposit insurance stands behind what it pays

Multi-State Co-operative Societies Act 2002 as amended, sections 86, 89 and 90 (CRCS, PDF)CRCS, societies where a liquidator has been appointed (PDF)

Route 3: the society is still running

  1. Complain to the society in writing first, and keep a copy of your letter and of any reply.
  2. Then the Cooperative Ombudsman. If the society rejects your complaint, does not reply within one month, or you are not satisfied with its reply, you can complain to the Cooperative Ombudsman under section 85A of the Multi-State Co-operative Societies Act. Use Form VI with the documents it asks for, and send it by email to [email protected] or by post. File it within one month of the society's reply, or within two months of your complaint if the society has not replied (the conditions are set out on Form VI and the CRCS Ombudsman page).
  3. The decision. The Ombudsman is to complete the inquiry and decide within three months of receiving the complaint. The society must comply with the Ombudsman's directions within one month. If the society is aggrieved, it can appeal to the Central Registrar within one month; the Registrar decides within 45 days, and that decision is final.
The Ombudsman route: write to the society; after one month without a reply, or a rejection, or a reply you are not satisfied with, file Form VI; the Ombudsman decides within three months; the society complies within one month or appeals to the Central Registrar within one month; the Registrar decides within 45 days.StartWrite to the societykeep a copyThenNo reply in a month, rejectedor not satisfied: Form VI3 monthsOmbudsman inquiresand decides1 monthSociety complies, orappeals to the Registrar45 daysCentral Registrardecides; final
Time limits from section 85A of the Act and the CRCS Ombudsman page.

What it can do

  • Takes members' complaints about deposits, equitable benefits of the society's functioning, or other issues affecting a member's own rights
  • Inquires and decides within three months
  • Gives directions the society must comply with within one month
  • Hears a member's appeal when the society's Co-operative Information Officer refuses information (Form VII, within one month)

What it cannot do, or needs first

  • Complaints come from members of the society
  • You complain to the society in writing first
  • The society can appeal a direction to the Central Registrar

CRCS, Cooperative OmbudsmanForm VI (PDF)Multi-State Co-operative Societies Act 2002, as amended in 2023, section 85A (PDF)

Route 4: report a suspected fraud

Reporting runs alongside your claim; it does not replace it. You can report at your local police station.

The Reserve Bank of India runs Sachet, where the public can check whether an entity may accept deposits, lodge complaints and share information about the illegal acceptance of deposits.

For online fraud, the cyber fraud helpline is 1930.

What it can do

  • Records your information and complaint
  • Shows whether an entity is allowed to accept deposits

What it cannot do, or needs first

  • It is not a refund claim: file your claim on route 1, 2 or 3 as well

RBI, About SachetReserve Bank of India, press release on SachetPIB, Release ID 2115852

Questions depositors ask

Is my deposit in a multi-state co-operative society insured?

No. DICGC deposit insurance covers banks, including co-operative banks, and DICGC says primary co-operative societies are not insured. If your money is in a co-operative bank, DICGC covers up to Rs 5,00,000 per depositor per bank, principal and interest together.

Who can complain to the Cooperative Ombudsman?

A member of the multi-state co-operative society, about deposits, equitable benefits of the society's functioning, or any other issue affecting the member's individual rights. The member first complains to the society in writing.

How do I file a complaint with the Ombudsman?

Fill in Form VI, published on the CRCS website, and send it with the documents it asks for by email to [email protected] or by post to the Office of the Cooperative Ombudsman, World Trade Centre, Tower E, New Delhi. The full postal address is on the CRCS Ombudsman page.

How long does the Ombudsman take?

The Act asks the Ombudsman to complete the inquiry and decide within three months of receiving the complaint. The society must comply with the Ombudsman's directions within one month, or it can appeal to the Central Registrar within one month.

The society has been wound up. Where do I claim?

With the liquidator. CRCS publishes a list of the multi-state societies where a liquidator has been appointed, naming the liquidator for each. Watch for the liquidator's notice inviting claims, and send your claim within the time it gives.

Where do I report a suspected fraud?

At your local police station, and on RBI's Sachet portal (sachet.rbi.org.in), where the public can lodge complaints and share information about the illegal acceptance of deposits.

This guide explains the official routes. Check each official page for its latest forms and notices.