law: Co-Operative Societies Act, 1912
  29. Restrictions on loans
  (1) A registered society shall not make a loan
  
  to any person other than a member :
  Provided that, with the general or special
  
  sanction of the Registrar, a registered society may make loans to another
  
  registered society.
  (2) Save with the sanction of the Registrar, a
  
  society with unlimited liability shall not lend money on the security of
  
  moveable property.
  (3) The 4[State Government] may, by general or
  
  special order, prohibit or restrict the lending of money on mortgage of
  
  immoveable property by any registered society or class of registered societies.