Is a co-operative society eligible to be a resolution applicant under the IBC?
In M/S Nirmal Ujjwal Credit Co-operative Society Ltd v Ravi Sethia & Ors 2026 INSC 338, the Supreme Court clarified that bye laws of the co-operative society must permit investment in business of the corporate debtor. And under Section 64(d) of Multi-State Co-operative Societies Act, 2002, a co-operative society can only invest funds in a secondary institution or an institution in the same line of business. Both conditions need to be satisfied.