A STUDY ON COOPERATIVE THRIFT AND LOAN SOCIETY
 (A CASE STUDY OF FEDERAL MINISTRY OF INDUSTRY AND TECHNOLOGY, OWERRI, IMO STATE  - 1998 – JUNE 2004)
ABSTRACT
This research project titled “Co-operative Thrift and Loan Society of Federal Ministry of Industry and Technology, Owerri, Imo state.  The study was motivated by the necessity of requirement for the award of Higher National Diploma in Co-operative Economics and Management of Institute of Management and Technology (IMT), Enugu.  It aimed at identifying the causes of the study of co-operative thrift and loan society in Owerri, Imo State.
To solve the research problems both primary and secondary data were collected.  The research instruments used in collecting the data were questionnaire and oral interview.  The respondents comprised of members of the society its employees and some members of staff of Federal Ministry of Commerce and Industry, Owerri, Imo State.
In organizing and presenting data collected frequency, distribute tables; charts percentage and degrees were used.  Data analysis and interpretation gave the following findings and among others.
 A.        LOAN DISBURSEMENT
Some dishonesty leaders among the members, something fails to disburse the loan to the members, which leads to present and embezzlement of fund among co-operative practitioners.
 B.        RECOVERY/REPAYMENT OF LOAN
Some of the members fails to pay back the loan, when its due for them to pay beck the loan to the society.
C.        LOAN DEFAULTERS
Some loan defaulters often fail to authorize the deduction of their money when indebted to the society.
There is no external co-operative audit in the co-operative thrift and loan society.  The conclusion of the study is that there is a problem in co-operative thrift and loan society, which is the fail, that it does fairly satisfy its member’s financial need.  This is as a result of a number of factors such as poor management, lack of co-operation in the society and many other.  The said society will satisfy its members if the above listed recommendations are implemented in the society.
 TABLE OF CONTENTS
CHAPTER ONE
1.0              INTRODUCTION
1.1       Background of the Study
1.2       Statement of the problem
1.3       Purpose of the Study
1.4       Significant of the Study
1.5       Scope and Delimitation of the Study
1.6       Research Questions
CHAPTER   TWO  
2.0       Literature Review
2.1       Historical Development of Co-operative Thrift and Loan Society
2.2       Meaning of Co-operative Thrift and Loan Society
2.3       Sources of Co-operative Thrift and Loan Society (CTLS) Fund
2.4       Method of Disbursement of Loan in Co-operative Thrift and Loan Society
2.5       Recovery/Repayment of Loan
2.6       Benefit of Co-operative Thrift and Loan Society to It’s Members
2.7       Problem of Co-operative Thrift and Loan Society
CHAPTER   THREE
3.0       Research Design and Methodology
3.1       Introduction
3.2       Location of the Study
3.3       Population of the Study
3.4       Sources of Data
3.5       Sampling Method Sample size
3.6       Method of Investigation
CHAPTER   FOUR
4.0       Presentation and analysis of Data
4.1       Introduction
CHAPTER   FIVE
5.0       Discussion of findings, Recommendations and Conclusion
5.1       Introduction
5.2       Restatement of the problem
5.3       Research Findings
5.4       Recommendation
            BIBLIOGRAPHY
            ‘APPENDIX  ‘A’
            ‘APPENDIX ‘B’
CHAPTER   ONE
1.0                                                INTRODUCTION
This chapter deals with background of the Study, statement of the problems, objectives of the study, significance of the study, research questions, scope and definitions of the study.
1.1                               BACKGROUND OF THE STUDY
The essence of a credit society is to create a pull of fund.  It has from it’s beginning, been charged with designing and building members owned and controlled co-operative Finance System.  The greatest handicap to goal attainment is fund.  This society encourages the extension of micro and other credit facilities to rural and urban to galvanize their economic activities, which will create employment and raise the statement of human existence.
Consequently, co-operators have given much thought and effort to setting up their own financial institutions so as to marshal the financial resources necessary to provide the many services that modern co-operative business requires.  It was largely the credit problems of farmers Co-operative that arose major public concern and caused the first widespread co-operative finance association to be formed in the farming sector, although consumers co-operatives have also encountered the need for more credits.
Those days, the citizens helped them selves by communal efforts as well as embarking on personal or collective savings.  In Ibo land for instance, “Isusu” clubs provided a forum for collection of saving from members of the society.  The members agreed on how the money was to be given out as loans to the members.  Though the weakness of “Isusu” was that members did not always get the money they needed it.  As a result of the problems of lack of credit, there arose a need for co-operative thrift and loan society to combat the problems and shortcomings of the “Isusu Clubs.  
A co-operative Thrift and Loan Society is a co-operative society that provides its members with convenient and secured means of interest.  This is most suitable for workers in one organization.  These workers pay for their saving and loans from the source of their income.
They do not as a rule, have a regular weekly or daily income, but receive a comparatively large sum of money at the end of the month, which enable the deduction of their payment from the extravagant spending which so often occurs when there is money in the pocket.
1.2       STATEMENT OF THE PROBLEM
Workers are always in need of money to meet up with emergency, investment or provision for their retirement, what they need is loan that will be granted to them fro production or emergency purpose.
But in spite of all the effort of credit co-operatives, it is still experiencing low or decreasing productivity as it relates to the satisfaction of the members need especially in the rural and sub-urban areas.  These are relatively low levels of productivity as some of the members are no more interested in their society.  What are the causes of this low productivity in their services?  Is it as a result of poor management, poor inspection by the co-operatives assistance, lack of co-operation among the co-operators?
1.3       PURPOSE OF THE STUDY
The general objective of the study is to determine the problem of the co-operatives thrift and loan society Limited in Owerri, (FMKT), Imo State Zone 1998 – 2004.
To determine the general study of co-operative thrift and loan society in Owerri Imo State.
To access the operation of co-operative thrift and loan society, and in relation to the members, to determine the sources of capital and how members obtain loan and their pay-back system.
To access how often the director of co-operative inspects co-operative societies in Owerri, Imo State and its impact on the effective management of the co-operative thrift and loan societies.
1.4       SIGNIFICANCE OF THE STUDY
If the purposes of this study are achieved, it is point to be of a great importance to the management of the co-operative thrift and loan society.  The members, other co-operative societies, the economy of our society to the institution of the researcher in the following ways:
-           To the management of the co-operative thrift and loan society.  It is necessary to investigate their budget planning and execution and evaluate their effectiveness especially today that camping is going on for every body to became a member of co-operative society.  This study will determine why co-operative thrift and loan societies do not thrive as other co-operative societies.
Moreover, the committee members will know that co-operative thrift and loan society must achieve their objective in order to justify the existence.
To the members of co-operative thrift and loan society, through this study they will know that they have an important role to play in order to insure the viability of the co-operative thrift and loan society.  According to self-help value of co-operative, there must be co-operation between them and the management.
Therefore, everybody should put in his best to achieve the goal of the society.  Therefore every member has the right to vote and be voted for.  Besides, the general meeting is the superior authority of a co-operative society.
To other co-operative societies, the solution to the problem of co-operative thrift and loan society can put them in a right position to solve theirs.  Also, they can loan, a lesion from the efficient management of the co-operative thrift and loan society if enhanced.
The society as a whole will benefit a lot from the viability of a co-operative thrift and loan societies, as it will go a long way in reducing unemployment problems in the country.  Moreover, the production of co-operative thrift and loan society if enhanced, will increase the national income of our economy.
To the researcher’s institute, it will be a thing of honor and prestige to produce a student who could carry out a successful study like this, which shows the quantity of education, which the institute offers.
To the researcher, this has exposed him to various publications in his field of studies as well as knowing in details the practice of co-operatives.  Finally, it qualifies him the award of Higher Nation Diploma in co-operative Economics and Management.
1.5                   SCOPE OF THE STUDY
The researcher of this study intended to study the problems of co-operative thrifts and loan societies in Owerri, Imo State, but will limit the study to co-operative thrift and loan society of the Federal Ministry of Industry and Technology Owerri, Imo State.
 1.6       RESEARCH QUESTIONS
1.         Does co-operative thrift and loan society no satisfy its members’ need?
2.         Is lack of sound co-operative one of the Problems of co-operative thrift and loan societies?
3.         Is there poor inspection in co-operatives?
4.         does there exist co-operation within co-operative thrift and loan societies?
5.         Does the management committee of co-operatives thrift and loan
societies apply the principles and laws of co-operatives in the management of their societies.
6.         Is constant withdrawal of members a prolem to co-operative thrift and societies?
7.         Is constant withdrawal of members of problem to co-operative thrift and loan society?
8.         Do debtor-members of co-operative thrift and Loan society pay their debts as at when due?
 Lack of co-operative education poses another problem to co-operative thrift and loan society.  Bonna 91996:118) quoting Duberon at the First congress of co-operative union of 1869, one of the greatest difficulties among co-operators was the want of education on the part of the managers and officers.  Staner (A Swedish Co-operative expert as in Onoh (1996), “If I am given to choose between two alternative of capital with out educated members and a co-operative society with small amount of capital but with educated members, I will choose the later” People cannot be good co-operators unless they are men of business and they cannot be good business unless they are men of education.  If the co-operative movement were to continue to pursue its mission, it must educate its members with the objective of making the good co-operative citizens (Bonua) 1961:199).