Welcome to the world of Karnataka State Souharda Federal Cooperative Ltd, the first Apex Body of New generation cooperatives in India. Souharda Federal Cooperative is a democratically elected self-regulatory organization of the cooperatives registered under Karnataka Souharda Sahakari Act, 1997.


India is celebrating centenary celebration of Cooperative Law. The first Cooperative Law of India The Cooperative Credit Societies Act, 1904 was passed on 25th March 1904.


  • Co-operatives are voluntary organizations, open to all persons able to use their services and willing to accept the responsibilities of membership, without gender, social, racial, political or religious discrimination.

  • Co-operatives are democratic organizations controlled by their members, who actively participate in setting their policies and making decisions. Men and women serving as electedrepresentatives are accountable to the membership. In Primary co-operatives, members have equal voting rights (One member, one vote) and co-operatives at other levels are organized in a democratic manner.

  • Members contribute equitably to, and democratically control the capital of their co-operative. Atleast part of that capital is usually the common property of the co-operative. They usually receive limited compensation, if any, on the capital subscribed as a condition of membership. Members allocate surpluses for any or all of the following purposes, developing the co-operative possibly by setting up reserves part of which atleast would be indivisible, ben-efitting members in proportion to their transactions with the co-operative, and supporting other activities approved by the membership.

  • Co-operatives are autonomous, self-help organizations controlled by their members. If they enter into agreements with other organizations including Government or raise capital from external sources, they do so on terms that ensure democratic control by their members and maintain their co-operative autonomy.

  • Co-operatives provide education and training for their members, elected representatives, managers, and employees so they can contribute effectively to the development of their co-operatives. They inform the general public particularly young people and leaders about the nature and benefits of co-operation.

  • Co-operatives serve their members most effectively and strengthen the co-operative movement by working together through local, regional, national and international structures.

  • While focusing on member needs, co-operatives work for the sustainable development of their communities through policies accepted by their members.


The basic guidelines for the formation of Co-operatives under Karnataka Souharda Sahakri Act, 1997 are as follows:

  • Promoters meeting
  • Collecting initial share capital
  • Registration
  • Election to first Board
  • Beginning of activities

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