Articles of incorporation.
Section 16
SEC. 16. Articles of incorporation.— Articles of incorporation of a proposed co-operative shall be signed by each of the subscribers and acknowledged by them if natural persons, and by the presidents or secretaries if cooperatives, before a notary public or other officers authorized to take acknowledgments. The articles of incorporation shall, within the limitations of this Act, set forth: The name of the co-operative which shall include the word "co-operative"; the co-operative registered under this Act with unlimited liability shall also include at the end of its name the word "unlimited"; The purpose or purposes for which the co-operatives is to be registered; The term of existence of the co-operative which may be perpetual; The area of operation and the postal address of its principal office; The names, nationality and the postal addresses of the subscribers; The field of membership; The names and postal addresses of the directors who shall manage the co-operative for the first term; A statement of whether the co-operative is to be registered with or without capital stock and the number of shares of stock or membership subscribed for; If with capital stock, a statement of the amount of authorized capital, the number and types of shares and the par value thereof which may be placed at any figure, and the rights, preferences and restrictions of each type of shares; and the number and amount of capital stock subscribed for and the amount paid thereon by each member, indicating their names and postal addresses; If without capital stock, a statement of whether the property rights of members shall be equal or unequal, and, if unequal, the general rule or rules by which the rights and interests of each member shall be determined and fixed; The articles of incorporation may also contain any other provisions not inconsistent with this Act or any other law, for the conduct of the business affairs of the co-operative. Four copies each of the articles of incorporation, proposed by-laws and the result of the survey required under section thirteen together with the bond of the accountable officers in such amount as may be prescribed in regulations, shall be submitted to the Administrator for registration. The Administrator shall not register a co-operative unless the articles of incorporation is accompanied by a sworn statement of the treasurer elected by the subscribers showing: In the case of a co-operative with capital stock, that at least twenty per centum of the number of authorized shares of capital stock has been subscribed and that at least twenty per centum of the subscription has been either paid to him in cash or that there has been transferred to him in trust and received by him property the fair valuation of which is equal to twenty per centum of the subscriptions; or In the case of a co-operative without capital stock, the number of members and the amount of their capital contribution either paid to him in cash or that there has been transferred to him in trust and received by him property the fair valuation of which is equal to the capital contribution of the members; under both clauses (a) and (b) of this subsection, for the benefit and to the credit of the co-operative, and further, that the Administrator shall satisfy himself that the capital contribution of members under this subsection is sufficient for the initial operation of the cooperative.