Liquidation of Cooperative Societies in Tanzania

Abstract

The purpose of this paper is to examine the provisions concerning the liquidation of cooperative societies with a view to see how far they reflect the ideals of democracy and autonomy in cooperatives. This is important, in my opinion, especially with reference to the Act which has been hailed as an important piece of legislation towards the democratisation of cooperatives in Tanzania. It is my argument that as far as liquidation is concerned, the provisions are far from enhancing democracy. The Act places the process of liquidation in the hands of the state and what is even more serious, the Act violates some of the known principles of liquidation and thus leaves cooperative property unprotected. In the course of the arguments, I shall attempt to highlight my contentions by drawing on examples of past experiences and also by comparing our law with laws in other countries. Reference will also made to the Companies Ordinance for comparison purposes