Chapter VII
UNIONS OF COOPERATIVES, FEDERATIONS OF COOPERATIVES
Article 44.- Unions of cooperatives
1. Those cooperatives, which wish and volunteer to establish a union of cooperatives, may jointly do so.
A union of cooperatives is an economic organization operating on the principles on organization and operation of cooperatives prescribed in Article 5 of this Law, aiming to raise the production/business efficiency of member cooperatives, support one another in their activities and satisfy other demands of the participating members.
The union of cooperatives shall set up the Management Board and the Directorate.
The head of the Management Board is the chairman; the head of the Directorate is the director or general director.
The union of cooperatives shall make business registration at the provincial-level business registration agency.
2. The union of cooperatives may select its own name and logo by itself in accordance with law provisions. The seal, signboard and transaction papers of the union of cooperatives must bear the sign "LHHTX" (Union of cooperatives).
3. The objectives, functions, tasks and organizational structures of unions of cooperatives shall be prescribed in the charters of the unions of cooperatives, adopted by the congress of their members.
Article 45.- Federations of cooperatives
1. A federation of cooperatives is a socio-economic organization which is voluntarily and jointly established by cooperatives or unions of cooperatives. The federations of cooperatives shall be organized according to branches and economic sectors. The federations of cooperatives shall be set up at the central and provincial/municipal levels.
2. Federations of cooperatives shall have the following functions:
a/ To represent and protect legitimate interests of member cooperatives and unions of cooperatives;
b/ To propagate and mobilize for the development of cooperatives;
c/ To provide support and necessary services for the formation and development of cooperatives and unions of cooperatives; to carry out programs in support of development of cooperatives, which are assigned by the Government; to train and foster officials of cooperatives according to the Government's regulations;
d/ To participate in formulating policies and legislation on cooperatives;
dd/ To represent cooperatives and unions of cooperatives in relations of the members' coordination with domestic and foreign organizations according to law provisions.
3. The rights, tasks, organizational structures, names and finance of federations of cooperatives shall be prescribed by the charters of federations of cooperatives.
4. The Prime Minister shall issue a decision to recognize the charter of central federation of cooperatives; the presidents of the provincial/municipal People's Committees shall issue decisions to recognize the charters of provincial/municipal federations of cooperatives.
5. The State shall create conditions for the central and local federations of cooperatives to operate according to law provisions.
6. The Government shall specify the working relations between federations of cooperatives and the administrations of all levels.
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