BANKING AFFAIRS

Detailed explanation-1: -The Maclagan Committee of 1915 was appointed to review their performance and suggest measures for strengthening them.

Detailed explanation-2: -So, In 1914, The Government of India has appointed a committee under the chairmanship of Sir Edward Maclagan, to study and report whether the cooperative movement was proceeding on economically and financially sound lines.

Detailed explanation-3: -The Maclagan Committee, in its report, emphasised the need for proper selection of members, knowledge of co-operative principles, honesty, proper audit, careful scrutiny of loan applications, one man, one vote, thorough audit to prevent bad management and embezzlement and prompt repayment of loans.

Detailed explanation-4: -Raja Committee was appointed by the Government of India to suggest amendments to the Cooperative Law. The committee prepared a Model Act enabling state participation and appointment of Government nominees on the management of assisted Cooperative Societies.

Detailed explanation-5: -2.2 The Co-operative society Act of 1904 was passed as per the recommendations of Sir Edward Law Committee which was appointed on the basis of the report of Sir Fredrick Nicholson, who was commissioned to study the theory and practice of agricultural land banks in Europe by Government of India.