Question

Where was India's first Co-operative Institution started?
a. Ganagapura
b. Hulakoti
c. Bettageri
d. Kanaginahal

Answer 1

Hint: Cooperative societies can be defined as an independent group of people voluntarily united through a collectively owned and democratically regulated enterprise to meet their shared economic, social and cultural needs and aspirations.

Complete Answer:
a. In the villages, the British government decided to create credit cooperative societies. In 1904, the first Act on Cooperative Credit Societies was passed. The new Cooperative Societies Act was passed in 1912 to remove the shortcomings of the previous Act.
b. The first cooperative societies movement was started in Karnataka in Kanaginahal village (1905). It was headed by Sir Siddanagouda Patil who is also known as the father of Cooperative movement in Karnataka.
c. The British came up with the idea of cooperative societies because they realized that the farmers in India always had a lack of funds, especially during famines and floods. They were also exploited by the zamindars. The British government wanted to give financial assistance to the farmers.
Thus, the correct option is (D).

Note: in 1951 Reserve bank of IndiaI appointed a committee to survey All India Rural Credit Societies. This committee's report was submitted in 1954. This committee suggested that the state government should play an active role in cooperative societies. The sources for funds for the cooperative societies were specified, namely the Reserve Bank of India and the National Agricultural credit fund.