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    Question

    Which of the following statements accurately reflects

    the constitutional status of Part 9B (Cooperative Societies) after the Supreme Court's judgment in 2021? 
    A Part 9B was entirely struck down and is no longer operative in any form Correct Answer Incorrect Answer
    B Part 9B remains fully operative with respect to all cooperative societies, both single-state and multi-state Correct Answer Incorrect Answer
    C Part 9B remains operative only insofar as it concerns Multi-State Cooperative Societies Correct Answer Incorrect Answer
    D Part 9B applies only to cooperative societies registered before 15 February 2012 Correct Answer Incorrect Answer
    E Part 9B has been suspended pending further legislative amendments by all State Legislatures Correct Answer Incorrect Answer

    Solution

    The Constitution (97th Amendment) Act, 2011, which introduced Part 9B (Articles 243ZH to 243ZT) dealing with cooperative societies, came into force on 15 February 2012. However, the Gujarat High Court initially declared Part 9B ultra vires the Constitution in 2013 for not complying with Article 368(2) requiring ratification by a majority of State Legislatures. Subsequently, the Supreme Court of India, in its majority judgment dated 20 July 2021 (Special Leave Petition challenging the Gujarat High Court order), held that "Part 9B of the Constitution of India is operative only insofar as it concerns Multi-State Co-operative Societies." This determination reflects the balance between Union and State powers, as multi-state cooperative societies fall under the Union List (Entry 44, Seventh Schedule), while single-state cooperative societies remain under State List (Entry 32, Seventh Schedule), governed by respective state laws rather than Part 9B of the Constitution.

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