Justify the following statement.
Co-operative Society is eligible to be a member of the company.
(1) A co-operative society is an association formed voluntarily by a minimum of 10 members or more having common economic interests to conduct business to render services to its members and to earn a reasonable profit for survival and growth. Co-operative Banks, Co-operative Housing Societies, Consumer Co-operative Stores, etc. are examples of the co-operative society.
(2) It is required to be registered under the cooperative societies Act of the concerned state. Registration of co-operative society is compulsory in all the states in India. A co-operative society being a registered entity (distinct from its members who formed it) can be a member of the company by purchasing shares in its own name.