(1)

A registered society not being an establishment to which the Payment of Gratuity Act, 1972 (Central Act 39 of 1972) applies, may provide in its bye-laws for payment of gratuity to the employees at such rates and on such conditions as may be specified in the bye-laws and such society may establish a gratuity fund or make other arrangements for the purpose.

(2)

A gratuity fund, if any, established by a registered society under sub-section (1) shall be invested in the financing bank, but shall not-

(a) be used in the business of the society;

(b) form part of the assets of the society;

(c) be liable to attachment or be subject to any other process of any Court or other authority.