Question & AnswerQ&A (CDA MEMORANDUM CIRCULAR NO. 2010-05)
The legal basis includes Articles 14(3), 15, and 18 of RA 9520 and Section 9 of MC 2009-02 dated July 7, 2009.
It governs the registration of amendments of Articles of Cooperation and By-laws with the Authority to conform with RA 9520 and its IRR, applicable to all cooperatives issued with new certificate of registration under RA 9520.
'Authority' refers to the Cooperative Development Authority (CDA).
It means the operative act of granting validity and effectivity to the modification of Articles of Cooperation and By-laws, evidenced by the Certificate of Registration issued by the Authority.
An Amendment refers to changes for legitimate purposes in any provision stated in the Articles of Cooperation and By-laws of the cooperative in accordance with RA 9520 requirements.
Requirements include three copies of GA Resolution with 2/3 approval, three copies of amended documents, notarized BOD and Secretary certificate, Treasurer's affidavit for capital increase, letter/certificate of authority if applicable, and registration fee.
The cooperative secretary and a majority of the board of directors must certify the GA Resolution under oath.
Prohibited amendments include the names of original incorporators/cooperators, names of directors, capitalization unless changed, and transformation from single to multi-purpose without compliance with IRR.
Amendments become valid and binding upon issuance of the Certificate of Registration of Amendment by the Authority.
Dissenting members may exercise their right to withdraw their membership in accordance with Articles 30 and 31 of RA 9520.
Failure to comply shall be a ground for dissolution of the cooperative pursuant to Article 67 of RA 9520.
Mandatory filing starts immediately upon effectivity and ends on June 15, 2011.
Applications should be filed at the Central or concerned Extension Office of the Cooperative Development Authority with jurisdiction over the cooperative.
The Authority evaluates the documents with regard to the Code and may hold a clarificatory conference before deciding on the amendments.