COOPERATIVE DEVELOPMENT AUTHORITY

Region XI Extension Office

INSPECTION REPORT

AREAS OF CONCERN/ LEGAL FINDINGS COOP'S

NO. BASIS (Itemized) RECOMMENDATION COMMENT/RESPONSE REASO
1 1. The name of the cooperative The name of the Within 12 months, the board On process of enc
contains its type and is consistent cooperative does of directors is advised to amendments.
with its registered name. (RA9520, not contained its register with the Authority the
AC/BL) type and is proposed amendments to the
(AC/BL, OR, Contracts, Signage, consistent with its Articles of Cooperation and
COR) registered name. By-laws to include the type as
(RA9520, AC/BL) approved by the General
Assembly.
2 2. The Articles of Cooperation and The Articles of Within 12 months, the board On process of enc
By-Laws are amended in Cooperation and By- of directors is advised to amendments.
conformity with RA 9520. (Arts. 14 Laws are not register with the Authority the
& 15 RA 9520) amended in proposed amendments to the
(Amended AC/BL, CRA ) conformity with RA Articles of Cooperation and
9520. (Arts. 14 & 15 By-laws in conformity with RA
RA 9520) 9520 as approved by the
General Assembly.
3 8. The acceptance of associate The acceptance of Within 12 months, the board On process of enc
members is within the provisions of associate members of directors is advised to amendments.
the by-laws and articles of is not within the register with the Authority the
 AREAS OF CONCERN/ LEGAL FINDINGS COOP'S
NO. BASIS (Itemized) RECOMMENDATION COMMENT/RESPONSE REASO
cooperation. (Art. 15 (2) (a) RA provisions of the by- proposed amendments to the
9520) laws and articles of Articles of Cooperation and
(ACBL, Membership Registry) cooperation. No By-laws in conformity with RA
provisions for 9520 and the provision of
Preferred shares. Preferred shares for the
Associate members, as
approved by the General
Assembly.
4 10. The articles of cooperation The articles of Within 12 months, the board On process of enc
contains allocation of preferred cooperation does of directors is advised to amendments.
shares for associate members. (Rule not contained register with the Authority the
10, Sections 3 & 4 Revised IRR, AC) allocation of proposed amendments to the
(AC, Share and Transfer Book) preferred shares for Articles of Cooperation and
associate members. By-laws in conformity with RA
(Rule 10, Sections 3 9520 and the provision of
& 4 Revised IRR, AC) Preferred shares for the
Associate members, as
approved by the General
Assembly.
5 17. Members' subscribed and paid The subscription Within 90 days, the Secretary Looking for stand
up shares are covered by agreement does not is advised to revised the
subscription agreement. (MC 2013- conformed to the subscription agreement form
04) standard to conform with the standard.
(Subscription Agreement, Books of subscription form,
Accounts) not binding between
the member and the
 AREAS OF CONCERN/ LEGAL FINDINGS COOP'S
NO. BASIS (Itemized) RECOMMENDATION COMMENT/RESPONSE REASO
cooperative. The
number of years
pledged to pay is
too long and no
specific frequency of
payment, no
signatures of the
approving officers.
6 18. The cooperative maintains a Share and Transfer Within 90 days, the board of The Secretary is b
Share and Transfer Book. (Article 52 books are not directors is advised to require
(1) of RA 9520) updated, issuance of the Secretary to update
(Share and Transfer Book) share certificates for regularly the Share and
the previous years Transfer book and record all
not yet recorded. the share certificates
issuances.