Exemptions and Incentives under Law No. 123 of 1983 on Fisheries Wealth Cooperatives and its Executive Regulations
12/9/2025
Exemptions and Privileges under Law No. 123 of 1983 on Fisheries Wealth Cooperatives and its Executive Regulations
Article 69 The Cooperative Union for Fisheries Wealth shall consist of all fisheries wealth cooperative societies at all levels, and its headquarters shall be in Cairo. The Union shall have a General Assembly composed of representatives from all cooperative societies affiliated with it, according to what is determined by the Executive Regulations. The provisions applicable to fisheries wealth cooperative societies, both substantive and procedural, shall apply to the Union and to all who work in it, insofar as they do not conflict with its specific provisions.
Article 70 The Cooperative Union for Fisheries Wealth shall undertake the following activities:
Participation in planning the cooperative movement for fisheries wealth in Egypt.
Promoting, publicizing, sponsoring, and developing the fisheries cooperative movement, including publishing newspapers and magazines and organizing cooperative seminars.
Coordinating among cooperative societies in achieving their objectives.
Supervising cooperative training operations for fisheries wealth cooperative societies.
Convening the general cooperative conference for fisheries wealth at least once every four years and following up on the implementation of the conference’s decisions and recommendations.
Participating in the coordination between the fisheries cooperative sector and other cooperative sectors and linking them together.
Representing the fisheries cooperative movement abroad, including membership in cooperative, regional, and Arab organizations, participation in international conferences, exchanging cooperative expertise with various international organizations, and accepting financial support from foreign cooperative organizations—all in coordination with the Minister of Agriculture.
Proposing cooperative legislation for fisheries wealth.
Defending the interests of fisheries wealth cooperative societies before cooperative governing bodies and having the right to appeal decisions issued concerning the societies as a party with standing and interest in exercising this right.
Article 71 The Board of Directors of the Union shall establish a model regulation for the system of employees and responsible managers in fisheries wealth cooperative societies, including rules for appointment, secondment, transfer, rights and duties of employees, and disciplinary procedures, to be used as a guide when establishing internal regulations.Internal regulations shall be approved by the General Authority for Fisheries Development, and the model regulation shall be approved by a decision of the Minister of Agriculture.
Article 72 The Central Auditing Organization shall audit the accounts of the Cooperative Union for Fisheries Wealth through its agencies, and the Union shall audit the accounts of the cooperative societies.
Article 73 The General Authority for Fisheries Development shall grant financial aids to the Union to facilitate the performance of its duties, and the granting of these aids shall be regulated by a decision of the Minister of Agriculture.
Article 74 The resources of the Union shall consist of:
Subscriptions and contributions paid to it by cooperative societies according to the categories and rules set by the Union’s internal regulations.
Grants, donations, and bequests accepted by the Board of Directors of the Union.
Article 75 The Union’s Board of Directors shall consist of at least eleven members. The Executive Regulations shall determine the method of forming the Board to ensure representation of the activities and objectives of cooperative societies across the Republic. The Board may appoint advisors from among those engaged in cooperative work, nominated by the General Authority for Fisheries Development.
Article 76 The Minister of Agriculture may suspend one or more members of the Union’s Board for a period not exceeding three months, after a written investigation requiring suspension. The Board may be dissolved if violations are confirmed according to this law, in which case the Minister appoints a temporary Board. The Union’s General Assembly must be convened within one year from the date of appointing the temporary Board to elect a new Board. Any concerned party may appeal these decisions to the Administrative Court within thirty days of notification, and the Court shall decide on the appeal urgently and without costs.
Article 77 The Union may be dissolved by a decision of the President of the Republic, based on a decision of the Extraordinary General Assembly at the request of the General Authority for Fisheries Development, provided that the Minister of Agriculture approves the Assembly’s decision.
Penalties
Article 78 Without prejudice to any stricter penalty provided under the Penal Code or any other law, anyone who commits the following acts shall be punished by imprisonment for a period not exceeding six months, a fine not exceeding 500 Egyptian Pounds, or either of these penalties:
Founders, members of the Board, managers, inspectors, auditors, and liquidators who intentionally include incorrect facts or figures in the society’s activities, accounts, or reports submitted to the competent authorities or the General Assembly, or intentionally hide some or all documents related to such matters.
Board members, managers, and accountants who intentionally cause the distribution of annual returns or bonuses to members not derived from the society’s actual profits.
Board members who issued shares at a value less or more than their nominal value.
Board members who lent or provided cash, in-kind funds, deposited, insured, or deducted amounts in ways inconsistent with this law, the executive regulations, or the society’s internal regulations.
Any former Board member who refuses to hand over the society’s funds, assets, books, documents, papers, or seals to the authorized person.
Any Board member or employee of a society decided to be merged or dissolved, or the liquidators, who refuse to hand over the society’s assets, books, documents, papers, or seals.
Liquidators who distributed the society’s assets to members contrary to the law, knowing this violation.
Article 79 Any member of the society who, by virtue of their position or as a proxy for another member, unlawfully receives cash, in-kind advances, production inputs, or other funds or goods of the society and does not use them for their intended purpose, or does so due to intentionally providing false information, shall be punished as stated in the previous article.
Article 80 Without prejudice to any stricter penalty under the Penal Code or any other law, anyone who commits the following acts shall be punished by imprisonment not exceeding two years, a fine not exceeding 2,000 Egyptian Pounds, or either of these penalties:
Any founder, Board member, manager, employee, auditor, or liquidator who refuses, without legitimate reason and intending to harm the society’s objectives, to perform a duty, fulfill an obligation, or take an action required by this law, its executive regulations, or the society’s internal regulations.
Anyone who intentionally prevents inspectors, auditors, liquidators, or other public officials responsible for implementing the law from performing their duties.
Any founder who engages in cooperative activities under the society’s name before its registration.
Any Board member or employee of cooperative sector units who receives bonuses or sums exceeding the legally prescribed limit.
Article 81 Anyone who unlawfully claims in their commercial correspondence, shop signs, advertisements, or public notices that their work or project is a fisheries wealth cooperative, or uses a name suggesting that the work or project is a fisheries cooperative, shall be punished by imprisonment for up to two years, a fine not exceeding 2,000 Egyptian Pounds, or either of these penalties. Additionally, the name shall be removed, and the judgment shall be published at the convicted party’s expense in one daily newspaper.
Article 82 Without prejudice to any stricter penalty under the Penal Code or any other law, anyone who publishes false reports about the financial or administrative status of any cooperative society shall be punished by a fine not exceeding 100 Egyptian Pounds. The penalty shall multiply with multiple publications
Ministerial Decree No. 181 of 1984 – Executive Regulations of Law No. 123 of 1983
Issuing the Law of Fisheries Cooperatives Minister of State for Agriculture and Food Security: Dr. Youssef Amin Wali
After reviewing Law No. 123 of 1983 issuing the Law of Fisheries Cooperatives, and based on the proposal of the General Authority for Fish Resources Development and the approval of its Board of Directors in the session held on 4/2/1984, it is decided as follows:
Article 1
The provisions of the attached executive regulations shall apply to all cooperative societies subject to Law No. 123 of 1983.
Article 2
Existing cooperative societies at the time of the application of Law No. 123 of 1983 must adjust their status and internal regulations and re-register according to its provisions within a maximum period of one year from the date of issuance of these regulations. Otherwise, they shall be dissolved by a decision of the General Authority for Fish Resources Development.
Article 3
Every society that re-registers its internal regulations must reconstitute its Board of Directors according to the new system within a period not exceeding three months from the date of publication.
Article 4
This decree shall be published in the Official Gazette and shall take effect from the date of its publication.
Minister of State for Agriculture and Food Security: Dr. Youssef Amin Wali
Chapter One: Establishing the Society and Registration Procedures
Article 1 – Contents of the Establishment Contract
With due regard to the provisions of Law No. 123 of 1983, the establishment contract of the cooperative society must include the following:
Date of contract drafting.
Place of contract drafting.
Name of the society, including its headquarters.
Area of operation of the society.
Type of the society.
Purpose of the society.
Paid-up capital of the society and the value of each share.
Names of the founders, their addresses, occupations, or professions.
Certificate of deposit of the society’s paid-up capital in a bank.
Article 2 – Contents of the Internal Regulations
With due regard to Law No. 123 of 1983, the society’s internal regulations must include all relevant information, especially:
Activities carried out by the society and rules governing them.
Area of operation and headquarters.
Capital structure, value of shares, payment methods, redemption, and withdrawal procedures.
Minimum and maximum number of shares and their value.
Membership conditions, duties, and procedures for expulsion or withdrawal.
Liability of members for the society’s obligations.
Number of board members, term, representation, and membership requirements.
Election procedures, board functioning, meeting schedules, quorum, decision-making process, board member incentives, committee allowances, suspension or removal of board members, notification procedures, and representation before third parties.
Powers of the General Assembly, invitation procedures, meeting schedules, voting, and quorum requirements.
Treatment of non-members.
Financial year of the society.
Accounting and administrative records, preparation and approval of the final accounts.
Creation of reserve funds and their types.
Distribution of surplus and settlement of losses.
Rules for distributing production incentives to board members and the maximum allowed.
Rules for amending the society’s regulations.
Rules for dissolving, merging, and liquidating the society’s assets.
Article 3 – Registration Application by the Interim Committee
The interim committee elected by the founders must submit a registration application to the local office of the General Authority for Fish Resources Development, where the society is headquartered. The application must include:
(a) Minutes of the election of the interim committee (original + three copies), consisting of a Chairperson, Secretary, and Treasurer. (b) Four copies of the establishment contract and internal regulations, signed by the founders and certified by the local authority. (c) Four copies of a list of founders and their subscribed shares, signed by the interim committee. For local societies, this must include details of owned or leased vessels, engine power for motorized boats or classification for non-motorized boats, and certification for foot fishermen to participate. (d) Deposit receipt of the society’s capital in a bank for registration purposes. (e) Draft of the society’s activity plan and annual program prepared by the founders for presentation to the General Assembly at its first meeting.
