Co-operative Housing Societies Act 1963

Co-operative Housing Societies Act 1963

An Act to make provision with respect to the formation, registration, and management of co-operative housing societies and the giving by the Treasurer of guarantees in relation to loans made to those societies, and for matters incidental thereto

Be it enacted by His Excellency the Governor of Tasmania, by and with the advice and consent of the Legislative Council and House of Assembly, in Parliament assembled, as follows:

PART I - Preliminary

1.   Short title and commencement

(1)  This Act may be cited as the Co-operative Housing Societies Act 1963 .

(2)  This Act shall commence on a date to be fixed by proclamation.

2.   Interpretation

(1)  [Section 2 Subsection (1) amended by No. 9 of 1982, s. 7 and Sched. 10 ][Section 2 Subsection (1) amended by No. 35 of 1996, s. 4, Applied:01 Apr 1997] In this Act, unless the contrary intention appears –

board means the board of directors of a society;

co-operative housing society means a society of persons that –

(a) is formed for all or any of the objects referred to in section 14 ;

(b) has under its rules a share capital divided into equal shares all of one class and ranking equally; and

(c) under its rules is to terminate on a specified date or when a specified object is attained or a specified event occurs –

but does not include a society under the rules of which, or in accordance with the objects of which, the order of advances is determined either solely or partly by the drawing of lots;

Court means the Supreme Court;

Deputy Registrar means the Deputy Registrar of Co-operative Housing Societies appointed under this Act;

[Section 2 Subsection (1) amended by No. 35 of 1996, s. 4, Applied:01 Apr 1997] distributable amount, in relation to a member, means –

(a) an amount that bears the same proportion to any surplus or deficit of all the members' loan account interest funds reported by the society in the preceding year's financial statements that the interest debited to that member's loan account bears to the total interest debited to the loan accounts of all members during that year; or

(b) an amount that bears the same proportion to any surplus or deficit of all the members' loan account interest funds reported by the society in the preceding year's financial statements that the number of shares held by that member on the last day of the financial year bears to the total number of shares in the society held on that day; or

(c) if the society does not report a surplus or a deficit, nil;

member means a member of a society;

registered company auditor means a person who is a registered company auditor within the meaning of the Companies (Tasmania) Code ;

Registrar means the Registrar of Co-operative Housing Societies appointed under this Act;

society means a co-operative housing society;

[Section 2 Subsection (1) amended by No. 35 of 1996, s. 4, Applied:01 Apr 1997] special resolution means a special resolution within the meaning of section 45 ;

[Section 2 Subsection (1) amended by No. 35 of 1996, s. 4, Applied:01 Apr 1997] [Section 2 Subsection (1) amended by No. 18 of 2000, s. 4, Applied:21 Jun 2000] supervision levy means a levy payable under section 12B .

[Section 2 Subsection (1) amended by No. 18 of 2000, s. 4, Applied:21 Jun 2000]

(2)  In this Act, and in the rules of a society, a reference (however expressed) to the erection of a dwelling-house includes a reference to –

(a) the supply, installation, and connection of sewerage fittings and connections to a dwelling-house;

(b) the provision of drainage for the land upon which a dwelling-house is or is to be erected (whether or not the drainage is or is to be wholly upon that land);

(c) the completion of the erection of a dwelling-house, notwithstanding that the foundations, footings, framework, or other portions thereof may have been constructed or commenced; and

(d) the addition of any room, out-building, or other permanent improvement, or of two or more rooms, out-buildings, or permanent improvements, to a dwelling-house in respect of which an advance has previously been made by the society.

(3)  A reference in this Act to the alteration of a rule of a society includes a reference to an addition to a rule or the rescission of a rule.

(4)  [Section 2 Subsection (4) added by No. 9 of 1982, s. 7 and Sched. 10 ]A society is not a company within the meaning of the Companies (Acquisition of Shares) (Tasmania) Code .

(5)  [Section 2 Subsection (5) inserted by No. 35 of 1996, s. 4, Applied:01 Apr 1997] Subject to subsection (6) , in this Act

officer, in relation to a body corporate or society, includes –

(a) a director, secretary, executive officer or employee of the body or society; and

(b) a receiver and manager, appointed under a power contained in an instrument, of property of the body or society; and

(c) an official manager, or deputy official manager, of the body or society; and

(d) a liquidator of the body or society appointed in a voluntary winding-up of the body or society; and

(e) a trustee or other person administering a compromise or arrangement made between the body or society and any other person.

(6)  [Section 2 Subsection (6) inserted by No. 35 of 1996, s. 4, Applied:01 Apr 1997] None of the following is an officer of the body corporate or society:

(a) a receiver who is not also a manager;

(b) a receiver and manager appointed by a court;

(c) a liquidator appointed by a court.

PART II - Administration

3.   Registrar and other officers

[Section 3 Subsection (1) amended by No. 77 of 1995, s. 3 and Sched. 1 ][Section 3 Subsection (1) substituted by No. 29 of 1984, s. 3 and Sched. 1 ][Section 3 Subsection (1) amended by No. 5 of 1990, s. 3 and Sched. 1 ][Section 3 Subsection (2) omitted by No. 29 of 1984, s. 3 and Sched. 1 ][Section 3 Substituted by No. 35 of 1996, s. 5, Applied:01 Apr 1997]

(1)  [Section 3 Subsection (1) amended by No. 18 of 2000, s. 5, Applied:21 Jun 2000] For the purposes of this Act, the Secretary of the Department is the Registrar of Co-operative Housing Societies.

(2)  [Section 3 Subsection (2) substituted by No. 18 of 2000, s. 5, Applied:21 Jun 2000] The Secretary of the Department may –

(a) appoint a person to be the Deputy Registrar of Co-operative Housing Societies; and

(b) appoint a person to be an officer for the purposes of this Act; and

(c) enter into a contractual arrangement with an appropriate body to undertake the duties of the Registrar required by this Act.

(3)  [Section 3 Subsection (3) inserted by No. 13 of 1998, s. 4, Applied:22 May 1998] The Registrar may have a seal of office approved by the Minister.

(4)  [Section 3 Subsection (4) inserted by No. 13 of 1998, s. 4, Applied:22 May 1998] [Section 3 Subsection (4) amended by No. 18 of 2000, s. 5, Applied:21 Jun 2000] The Deputy Registrar or a body with whom the Secretary of the Department has entered into a contractual arrangement under subsection (2)(c) may perform the functions and exercise the powers of the Registrar under this Act.

(5)  [Section 3 Subsection (5) inserted by No. 13 of 1998, s. 4, Applied:22 May 1998] [Section 3 Subsection (5) amended by No. 18 of 2000, s. 5, Applied:21 Jun 2000] All acts, matters and things done or omitted to be done by the Deputy Registrar, or a body with whom the Secretary of the Department has entered into a contractual arrangement under subsection (2)(c) , in the exercise of any function or power pursuant to subsection (4) are as valid and effectual as if they had been done or omitted to be done by the Registrar.

4.   Documents to be kept in office of Registrar

The Registrar shall cause to be kept in his office all documents that are required to be registered under this Act or to be transmitted to or lodged or filed with the Registrar for registration or record.

5.   Expenses of administration

The expenses incurred in the administration of this Act shall be defrayed out of moneys provided by Parliament for the purpose.

6.   Power of Registrar to require evidence, &c.

(1)  On an application for registration of a society or of a rule or other document under this Act, the Registrar may require from the applicant such information and evidence as is reasonable in order to show that the application should be granted.

(2)  The Registrar may require from a society such information and evidence as is reasonable in order to show that the society is carrying on business in good faith in accordance with the provisions of this Act.

(3)  The Registrar may require from a society such evidence as he thinks proper of any matters required to be done by or on behalf of the society under this Act, and of the particulars in any document required by or under this Act to be transmitted to or lodged or filed with him.

6A.   Financial returns

[Section 6A Inserted by No. 35 of 1996, s. 6, Applied:01 Apr 1997]

(1)  [Section 6A Subsection (1) amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] The Registrar, by notice in writing, may require a society to prepare financial returns at quarterly intervals or at any other intervals the Registrar considers desirable.

(2)  [Section 6A Subsection (2) amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] A society must lodge the return with the Registrar within any period specified in the notice.

Penalty:  Fine not exceeding 10 penalty units.

7.   Inspection of books, &c.

(1)  [Section 7 Subsection (1) amended by No. 29 of 1984, s. 3 and Sched. 1 ][Section 7 Subsection (1) substituted by No. 35 of 1996, s. 7, Applied:01 Apr 1997] The Registrar may inspect, or may authorize in writing an employee or person employed in or in connection with the office of the Registrar, or an accountant or actuary, to inspect all or any of the minutes, registers, books, and documents of a society.

(2)  [Section 7 Subsection (2) amended by No. 55 of 1965, s. 5 ][Section 7 Subsection (2) amended by No. 46 of 1980, s. 13 and Sched. 1 ][Section 7 Subsection (2) amended by No. 43 of 1991, s. 5 and Sched. 1 ]The Registrar or a person authorized under subsection (1) may require an officer of a society to produce to him all the minutes, registers, books, and documents of the society or such of them as the Registrar or that person may require, and an officer so required who fails without reasonable excuse to comply with the requirement is guilty of an offence against this Act.

Penalty:  Fine not exceeding 50 penalty units.

(3)  [Section 7 Subsection (3) amended by No. 74 of 1999, Sched. 2, Applied:01 Jan 2000] An authorised deposit-taking institution in which a society keeps an account shall, when so required in writing by the Registrar, furnish to the Registrar a statement of that account and any other particulars required by the Registrar to be so furnished.

(4)  [Section 7 Subsection (4) amended by No. 74 of 1999, Sched. 2, Applied:01 Jan 2000] An authorised deposit-taking institution does not incur any liability, whether in respect of a breach of trust or otherwise, by reason only of the furnishing of a statement or particulars pursuant to this section.

8.   Inspection of documents at office of Registrar

A person may, on payment of the prescribed fee –

(a) inspect at the office of the Registrar the registration and rules of a society;

(b) obtain from the Registrar a certificate of the registration of a society and a certified copy of the rules or of any part of the rules of a society; and

(c) with the permission of the Registrar, inspect at his office and obtain from him a certified copy of any other registered document, or of any part thereof.

9.   Annual report by Registrar

The Registrar shall, as soon as possible after the end of each financial year, make to the Minister a report of his proceedings and of the principal matters transacted by him and of the administration of this Act generally during that financial year, and the Minister shall cause copies of the report to be laid on the table of each House of Parliament within the first 10 sitting days of the House after the report is received by him.

10.   Special meeting and inquiry on application of board, &c.

(1)  The Registrar shall, on the application of a majority of the board or of not less than one-third of the members of a society –

(a) call a special general meeting of the society; or

(b) hold an inquiry into the affairs of the society.

(2)  An application under this section shall be supported by such evidence as the Registrar directs for the purpose of showing that the applicants have good reason for requiring the meeting or inquiry and that the application is made without malicious motive.

(3)  Such notice of an application under this section shall be given to the society as the Registrar directs.

(4)  On an application under this section, the applicants shall give such security for the expenses of the meeting or inquiry as the Registrar directs.

(5)  The Registrar may direct at what time and place a meeting called pursuant to this section is to be held and what matters are to be discussed and determined at the meeting, and shall give such notice to members of the holding of the meeting as he deems fit, notwithstanding any provisions in the rules of the society as to the giving of notice of meetings.

(6)  A meeting of a society called pursuant to this section has all the powers of a meeting called in accordance with the rules of the society, and has power to appoint its own chairman, notwithstanding any rule of the society to the contrary.

(7)  The Registrar may appoint an inspector for the purposes of the holding of an inquiry pursuant to this section.

(8)  All expenses of and incidental to a meeting or inquiry to which this section relates shall be defrayed by the applicants, or out of the funds of the society, or by any officer or member or former officer or member of the society, as the Registrar directs, or in any two or more of those ways, in such proportions as the Registrar directs, and may be recovered by the Registrar by action in a court of competent jurisdiction.

11.   Inquiry by Registrar or inspector

(1)  The Registrar may, of his own motion, hold an inquiry or appoint an inspector to hold an inquiry into the affairs of a society.

(2)  Upon the completion of an inquiry under this section or under section 10 , the Registrar may, if he thinks fit, call a special general meeting of the society.

(3)  The provisions of subsections (5) , (6) , and (8) of section 10 , so far as they are applicable, apply to and in relation to a meeting called pursuant to this section.

12.   Powers of persons holding inquiries under this Act

[Section 12 Substituted by No. 71 of 1995, s. 3 and Sched. 1 ]For the purpose of an inquiry held under this Act, the Registrar or the inspector or other person appointed to hold the inquiry has and may exercise the same powers as are conferred by Part 3 of the Commissions of Inquiry Act 1995 on Commissions established under section 4 of that Act in respect of inquiries under that Act.

12A.   Investigation into affairs of society

[Section 12A Inserted by No. 9 of 1982, s. 7 and Sched. 10 ]Without prejudice to the exercise by the Registrar of the powers conferred by sections 6 , 7 , 10 , 11 , and 12 , the provisions of Part VII of the Companies (Tasmania) Code apply to and in relation to a society as if it were a corporation within the meaning of that Code, and, for the purposes of that application, those provisions shall be construed as if –

(a) a reference in that Part to the National Companies and Securities Commission were a reference to the Registrar of Co-operative Housing Societies;

(b) a reference in that Part to an employee of the National Companies and Securities Commission were a reference to a person employed in the office of the Registrar;

(c) all provisions in that Part, to the extent that they confer functions or powers on the Ministerial Council for Companies and Securities, were omitted;

(d) any reference in that Part to "the Agreement" (being the Agreement as defined in section 9 of the Companies and Securities (Interpretation and Miscellaneous Provisions) (Tasmania) Code ) were omitted;

(e) the definition of relevant authority in section 289 of that Code were omitted;

(f) a reference in that Part to the relevant authority were a reference to the Minister; and

(g) section 294 of that Code were omitted.

12B.   Supervision levy

[Section 12B Inserted by No. 35 of 1996, s. 8, Applied:01 Apr 1997]

(1)  [Section 12B Subsection (1) amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] The Registrar, by notice in writing, may require a society formed after the commencement of the Co-operative Housing Societies Amendment Act 1996 to pay a supervision levy towards the costs incurred by the Registrar arising from the supervision and administration of the society.

(2)  [Section 12B Subsection (2) amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] The Registrar may fix the amount of the levy as –

(a) a specified amount; or

(b) a percentage of an amount to be determined, on a particular day, by reference to specified factors relating to societies; or

(c) both a specified amount and such a percentage.

(3)  [Section 12B Subsection (3) amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] If the levy is fixed, wholly or partly, in accordance with subsection (2)(b) , the Registrar may include in the determination directions as to how the levy is to be determined.

(4)  [Section 12B Subsection (4) amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] The Registrar may –

(a) fix the amount of the levy differently for different societies; and

(b) determine that the levy is not payable by a particular society.

(5)  [Section 12B Subsection (5) amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] The Registrar, in determining the levy, may –

(a) require it to be paid in one amount by a specified time; or

(b) permit it to be paid by specified instalments.

(6)  [Section 12B Subsection (6) amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] If the Registrar permits the levy to be paid by instalments, the Registrar may –

(a) allow a discount for payment in one amount by a specified time; or

(b) require payment of an additional amount or percentage, by way of interest, in the instalments.

(7)  [Section 12B Subsection (7) amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] The Registrar may require the payment of an amount, by way of late payment charge, interest or both, in relation to any amount of levy not paid as required by the determination.

(8)  [Section 12B Subsection (8) amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] The Registrar may include in the determination directions as to how any amount of late payment charge or interest is to be determined.

(9)  [Section 12B Subsection (9) amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] Any amount of levy is, when due and payable, a debt due and payable by the society concerned to the Registrar, and may be sued for and recovered in a court of competent jurisdiction.

(10)  [Section 12B Subsection (10) amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] The Registrar, on the application of a society, may vary –

(a) an amount of levy payable by the society; or

(b) the time within which the society is to pay an amount of levy.

(11)  An amount paid by a society as levy is an expense in the accounts of the society.

(12)  [Section 12B Subsection (12) omitted by No. 18 of 2000, s. 6, Applied:21 Jun 2000] .  .  .  .  .  .  .  .  

(13)  In this section,

levy includes late payment charge and interest in relation to levy.

12C.   Consultation

[Section 12C Inserted by No. 35 of 1996, s. 8, Applied:01 Apr 1997] [Section 12C Amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] In determining the amount to be paid as supervision levy the Registrar, if it is appropriate and practicable to do so, may consult with any industry body or society.

PART III - Formation, Registration, and Incorporation of societies

13.   Co-operative housing societies to be formed and registered under this Act

[Section 13 Subsection (2) amended by No. 68 of 1994, s. 3 and Sched. 1 ]

(1)  No society shall carry on business unless it is formed and registered under this Act.

(2)  [Section 13 Subsection (2) amended by No. 9 of 1982, s. 7 and Sched. 10 ][Section 13 Subsection (2) amended by No. 85 of 1999, Sched. 7, Applied:24 May 2000] A society that is formed and registered under this Act need not be registered or incorporated under the Financial Institutions (Tasmania) Code , the Cooperatives Act 1999 , or the Companies (Tasmania) Code .

(3)  [Section 13 Subsection (3) amended by No. 9 of 1982, s. 7 and Sched. 10 ][Section 13 Subsection (3) amended by No. 85 of 1999, Sched. 7, Applied:24 May 2000] Except as otherwise expressly provided in this Act, nothing in the Financial Institutions (Tasmania) Code , the Cooperatives Act 1999 , or the Companies (Tasmania) Code applies to or in relation to a society that is formed and registered under this Act.

14.   Objects for which society may be formed

(1)  A society may be formed for all or any of the following objects, namely:

(a) to enable each of its members –

(i) to purchase land and to erect a dwelling-house thereon;

(ii) to erect a dwelling-house on land owned by him;

(iii) to purchase land upon which a dwelling-house is situated (including a dwelling-house upon which an advance has been made by the society to another member from whom the first-mentioned member proposes to purchase the land);

(iv) to discharge a mortgage over any land owned by the member; or

(v) to maintain his dwelling-house and keep it in proper repair; and

(b) for all or any of those objects to make advances to its members upon the security of freehold land.

(2)  In this section –

purchase includes the completion of a purchase under an existing contract of sale.

15.   Society to be formed with limited liability

A society shall be formed with limited liability.

16.   Formation and registration of society

(1)  [Section 16 Subsection (1) amended by No. 43 of 1975, s. 2 ]A society may be formed by any 5 or more eligible persons.

(2)  [Section 16 Subsection (2) amended by No. 43 of 1975, s. 2 ]No society shall be registered unless –

(a) there has been a meeting at which 5 or more eligible persons were present; and

(b) at that meeting there was presented –

(i) a written statement showing the objects of the proposed society and the reasons for believing that, when registered, it will be able to carry out its objects successfully; and

(ii) a copy of the rules that it is proposed to tender for registration.

(3)  [Section 16 Subsection (3) amended by No. 43 of 1975, s. 2 ]If, at the meeting referred to in subsection (2) or at any adjournment thereof or at a subsequent meeting, after consideration of the statement referred to in that subsection and of the draft rules, 5 or more eligible persons approve the rules with or without amendment and sign an application for membership, they shall forthwith proceed to elect the first directors of the society in accordance with the rules as so approved.

(4)  [Section 16 Subsection (4) amended by No. 43 of 1975, s. 2 ]Within a period of 2 months after the date of the election of the first directors of a society, the board shall cause an application to be made in the prescribed manner to the Registrar for the registration of the society, and the application shall be accompanied by –

(a) statutory declarations by the persons who acted as chairman and secretary of the meeting as to compliance with the requirements of this section;

(b) a copy of the statement presented to the meeting;

(c) 2 copies of the proposed rules signed by not less than 5 applicants for membership;

(d) a list containing the full name and the occupation and address of each director;

(e) a list containing the full name and the occupation and address of each applicant for membership and the number of shares subscribed for by him; and

(f) such other documents and particulars (if any) as may be prescribed.

(5)  Each of the signatures appearing on the copies of the proposed rules referred to in subsection (4) (c) shall be attested by a witness.

(6)  Where, before the expiration of the period referred to in subsection (4) , a request in writing for the extension of that period is lodged with the Registrar and the Registrar is satisfied that circumstances beyond the control of the society have precluded and will preclude the making of the application for registration within that period, the Registrar may, if he thinks fit, by writing under his hand, extend the period for the making of the application by such further period (not exceeding one month) as he thinks proper, and in such a case the making of the application within that further period shall be deemed to be in compliance with the provisions of this Act.

(7)  The statutory declarations mentioned in subsection (4) may be accepted by the Registrar as sufficient evidence of compliance with the requirements of this section.

(8)  If the Registrar is satisfied that –

(a) a society has complied with the provisions of this Act;

(b) the proposed rules of the society are not contrary to this Act and are suitable and sufficient for the purposes of the society; and

(c) there are reasonable grounds for believing that the society will be able to carry out its objects successfully –

the Registrar may register the society by registering its rules.

(9)  The expenses of and incidental to the formation of a society may be paid either out of capital or out of income.

(10)  [Section 16 Subsection (10) amended by No. 21 of 1973, s. 5 and Sched. 1 ]In this section, eligible person, used in relation to a proposed society, means a person who –

(a) is of or over the age of 18 years; and

(b) is eligible under this Act and the rules of the society, as approved and registered, to be a member of the society.

17.   Names of societies

(1)  [Section 17 Subsection (1) amended by No. 9 of 1982, s. 7 and Sched. 10 ]A society shall not be registered –

(a) by a name that is identical with a name by which –

(i) another society is registered under this Act;

(ii) a company or a foreign company is registered under the Companies (Tasmania) Code ;

(iia) a recognized company or a recognized foreign company is registered under the law of another State or a Territory corresponding to the Companies (Tasmania) Code , being a company in respect of which there is currently lodged with the National Companies and Securities Commission notice of the situation of its principal office in Tasmania;

(iii) a building society is registered under the Building Societies Act 1876 ;

(iv) [Section 17 Subsection (1) amended by No. 66 of 1997, Sched. 1, Applied:01 Feb 1998] a body is registered under the Friendly Societies (Tasmania) Code as a society; or

(v) [Section 17 Subsection (1) amended by No. 85 of 1999, Sched. 7, Applied:24 May 2000] a cooperative is registered under the Cooperatives Act 1999  –

or that so nearly resembles any such name as, in the opinion of the Registrar, to be calculated to deceive; or

(b) except with the consent of the Minister, by a name that, in the opinion of the Registrar, is undesirable or is a name, or a name of a kind, that the Minister has directed the Registrar not to accept for registration.

(2)  A direction under subsection (1) is a statutory rule within the meaning of the Rules Publication Act 1953 .

(3)  The name of the society shall include the words "Co-operative Housing Society" as part of the name and the word "Limited" as the last word of the name.

(4)  If a society is (whether through inadvertence or otherwise) registered by a name by which it could not be registered without contravention of subsection (1) , the society shall, if the Registrar so directs, change its name, by special resolution, to a name by which it could be registered without contravention of that subsection.

(5)  A society may, by special resolution and with the approval of the Registrar, change its name to any other name by which it could be registered without contravention of subsection (1) .

(6)  [Section 17 Subsection (6) substituted by No. 9 of 1982, s. 7 and Sched. 10 ]Notwithstanding anything in subsections (1) to (5) inclusive, a society may change its name to a new name that is identical with a name by which –

(a) some other society is registered under this Act;

(b) a company or a foreign company is registered under the Companies (Tasmania) Code ;

(c) a recognized company or a recognized foreign company is registered under the law of another State or a Territory corresponding to the Companies (Tasmania) Code , being a company in respect of which there is currently lodged with the National Companies and Securities Commission notice of the situation of its principal office in Tasmania;

(d) a building society is registered under the Building Societies Act 1876 ;

(e) [Section 17 Subsection (6) amended by No. 66 of 1997, Applied:01 Feb 1998] a body is registered under the Friendly Societies (Tasmania) Code as a society; or

(f) [Section 17 Subsection (6) amended by No. 85 of 1999, Sched. 7, Applied:24 May 2000] a cooperative is registered under the Cooperatives Act 1999  –

or that so nearly resembles any such name as, in the opinion of the Registrar, may deceive any person, if and only if the Registrar is satisfied that the other society registered under this Act or, as the case may be, that the company, foreign company, recognized company, recognized foreign company, building society, friendly society, or co-operative industrial society is in the course of being wound up and has consented, in writing, to the registration of the first-mentioned society by that new name.

(7)  An application for the approval of the Registrar to a change of name pursuant to this section –

(a) shall be in the prescribed form;

(b) shall be verified as prescribed;

(c) shall be made, by an officer of the society, within the prescribed period after the date of the meeting at which the special resolution for the change of name was passed; and

(d) shall be lodged with the Registrar, together with such other documents as may be prescribed.

(8)  The Registrar shall register the change of name, and shall either note the change on the certificate of incorporation or issue a new certificate of incorporation in lieu thereof in the prescribed form.

(9)  A change of name shall be advertised by the Registrar as prescribed.

(10)  Upon the making of an application under subsection (7) , the person by whom the application is made shall pay to the Registrar such sum as the Registrar may determine to be reasonably necessary to defray all expenses likely to be incurred by the Registrar in publishing any advertisements required to be published by him for the purposes of subsection (9) .

(11)  A change of name does not affect the identity of a society or any right or obligation of a society or of any member or other person, or render defective any legal proceedings by or against a society.

(12)  Any legal proceedings that might have been continued or commenced against a society by its former name may be continued or commenced against it by its new name.

18.   Incorporation of societies

(1)  On the registration of the rules of a society the Registrar shall issue under his hand and seal a certificate in the prescribed form certifying that the society, on and from the date specified in the certificate, is incorporated under this Act.

(2)  A certificate of incorporation under this Act is conclusive evidence that all the requirements of this Act in respect of registration and matters precedent or incidental thereto have been complied with.

(3)  Nothing in this section affects any provision of this Act relating to the winding up or dissolution of a society or the cancellation of its registration.

PART IV - Members and Funds of Societies

19.   Eligibility for membership

(1)  [Section 19 Subsection (1) amended by No. 46 of 1980, s. 5 ]A person who is of or over the age of 18 years is, subject to this Act, eligible to be a member of a society.

(2)  [Section 19 Subsection (2) omitted by No. 21 of 1973, s. 5 and Sched. 1 ].  .  .  .  .  .  .  .  

(3)  [Section 19 Subsection (3) omitted by No. 21 of 1973, s. 5 and Sched. 1 ].  .  .  .  .  .  .  .  

(4)  [Section 19 Subsection (4) omitted by No. 21 of 1973, s. 5 and Sched. 1 ].  .  .  .  .  .  .  .  

(5)  No person shall at any one time be a member of more societies than one unless –

(a) before becoming a member of each society (other than the one of which he is first a member) he obtains the consent in writing of the Registrar; and

(b) all societies of which he is a member have the same registered office.

(6)  Nothing in subsection (5) applies to or in relation to a person who becomes or is registered as the holder of shares in a society as the executor or administrator of the estate of a deceased member of that society.

20.   Members of societies

(1)  The members of a society that is formed under this Act are the persons who sign the application for membership on the formation of the society, and any other persons who are admitted to membership in accordance with this Act and the rules of the society.

(2)  No rights of membership shall be exercised by a member until he has made such payment to the society in respect of membership, or acquired such share or interest as is provided in the rules of the society in that behalf.

(3)  A person ceases to be a member of a society if –

(a) his shares are transferred to another person in accordance with the rules of the society and the transferee is registered in his place as the holder of those shares;

(b) his shares are forfeited in accordance with the rules of the society;

(c) a power of sale (whether express or implied) in a mortgage given by the member to the society is exercised by the society;

(d) he becomes bankrupt or applies to take or takes advantage of any law relating to bankruptcy and the official receiver or assignee disclaims in accordance with the provisions of that law;

(e) the contract of membership is rescinded on the ground of misrepresentation or mistake;

(f) he ceases to be a member in accordance with the rules of the society;

(g) the value of his shares is repaid or a refund in respect of his subscriptions is made to him in accordance with the rules of the society; or

(h) he dies.

(4)  Notwithstanding anything in subsection (3) , the estate of a deceased person remains liable, and his executor or administrator shall be deemed to be, and may be registered as, the holder of the shares of the deceased member as executor or administrator (whether eligible to be a member of the society or not) until some person who is so eligible is registered as the holder of the shares by transfer from the executor or administrator or until the shares are withdrawn or discharged in accordance with this Act and the rules of the society, and while any such executor or administrator is so registered he shall be deemed to be, and has the rights and obligations of, a member of the society for all purposes other than voting at meetings of members of the society and becoming a director of the society.

(5)  Where shares are held by the executor or administrator of a deceased member, the board may in its discretion, by notice in writing to the executor or administrator, call upon him to transfer the shares to a person who is eligible to be a member of the society or to withdraw or discharge the shares within 6 months after receipt of the notice or within such further time as the board may in a particular case allow, and unless the shares are so transferred, withdrawn, or discharged they may, at the discretion of the society, be forfeited and dealt with as forfeited shares in accordance with this Act and the rules of the society.

21.   Capital and shares

(1)  The capital of a society shall vary in amount according to the nominal value of shares from time to time subscribed.

(2)  The capital of a society shall be divided into shares of a fixed amount, which shall be specified in the rules, and all the shares shall be of one class, ranking equally.

(3)  [Section 21 Subsection (3) substituted by No. 46 of 1980, s. 3 ]Subject to subsection (4) , the rules of a society shall provide that an advance may be made to a member only on condition that he holds a number of fully paid-up shares in the society determined, in accordance with those rules, by reference to the amount of the advance.

(4)  [Section 21 Subsection (4) substituted by No. 46 of 1980, s. 3 ] Subsection (3) applies to societies registered after the commencement of section 3 of the Co-operative Housing Societies Amendment Act 1980 and to societies registered before that commencement that are expressed in their rules to be credit foncier co-operative housing societies.

(5)  No member shall hold more shares in a society than such proportion of the shares in the society as is prescribed by the rules of the society.

(6)  A member shall subscribe for such minimum number of shares as is prescribed by the rules of the society.

(7)  A share may be held by two or more persons jointly and, in such a case, notices for the purposes of the society may be given to the joint holder whose name appears first on the register of shares in respect of the share.

(8)  Where shares are held jointly by two or more persons, the total number of shares so held by those persons shall not exceed the proportion of the shares in the society that, by virtue of the rules of the society, may be held by any one person.

(9)  A share shall not be sold or transferred without the consent of the board.

(10)  A purported sale or transfer of a share that is made without the consent of the board is void.

22.   Liability of members

(1)  A member is liable to the society for the amount, if any, unpaid on the shares held by him, together with any charges and other moneys payable by him to the society as prescribed by this Act or the rules of the society.

(2)  Where –

(a) under or in relation to a contract or policy of life insurance, or accident insurance, or sickness insurance, or a similar contract, in a form approved by the Registrar after consideration of a report thereon from an actuary; or

(b) by virtue of any legal or equitable assignment of or trust created in respect of any such contract or policy or pursuant to any scheme relating to life insurance, or accident insurance, or sickness insurance approved by the Registrar after consideration of such a report –

provision is made whereby, in the event of the death of, or of any accident to or sickness of, a member of a society or of the death of, or of any accident to or sickness of, the spouse of any such member (being a member to whom the contract, policy, or scheme applies) moneys will be available for or towards the discharge of the member's liability to the society, the society may –

(c) receive from the member, at such times as are agreed upon between the member and the society, the amount of each periodical premium or contribution payable by him in respect of the contract or policy, or pursuant to the scheme;

(d) pay or otherwise deal with any such amount in such manner as the contract, policy, or scheme requires or allows; and

(e) if the member makes default in payment of any such amount at the agreed time –

(i) make such payment thereof pursuant to the contract, policy, or scheme on his behalf or take such other action as the contract, policy, or scheme requires or allows; and

(ii) recover from the member any amount in respect of which the member has so made default –

and any amount so recoverable is, until paid, a debt due to the society from the member, and the provisions of this Act apply to and in relation to it accordingly.

(3)  A society may, either by itself or in conjunction with any other society or societies, enter into or make any contract or arrangement relating to or connected with the carrying into effect of subsection (2) , and may carry out any such contract or arrangement.

23.   Cancellation of shares

A society may cancel a share that is forfeited to the society in accordance with the rules of the society.

24.   Society's charge on shares, &c.

A society has a charge on the share or interest in the capital of a member or past member in respect of any debt due from the member or past member to the society, and may set off any sum credited or payable to the member or past member in or towards payment of the debt.

25.   Provision for payment of sum due on unadvanced shares of deceased member without production of probate or letters of administration

[Section 25 Amended by No. 55 of 1965, s. 5 ]Notwithstanding anything to the contrary in the rules of a society, where a member of a society to whom an advance has not been made dies and upon the withdrawal of his shares there is payable by the society a sum not exceeding $400, the society –

(a) after the expiration of 2 months after the death of the member, if probate or letters of administration have not been produced to the secretary and notice in writing of intention to apply therefor has not been received by the secretary; or

(b) after the expiration of 3 months after the death of the member, if any such notice of intention has been received by the secretary within the period of 2 months after the death but probate or letters of administration have not been produced to the secretary –

may pay that sum to the person or persons appearing to the directors to be entitled thereto according to law as on the intestacy of the deceased member, and any such payment is valid and effectual with respect to any demand against the society or the directors by any other person as the member's next of kin, legatees, or personal representatives, but the next of kin, legatees, or personal representatives may recover the whole or any portion of any such sum so paid from the person or persons who have received it from the society.

PART V - Privileges, Powers, and Duties of Societies

26.   Society to be a body corporate

A society is a body corporate by the name under which it is registered, with perpetual succession and a common seal, and has power to enter into contracts, to institute and defend legal proceedings, and to do all things necessary for the purposes of its constitution.

27.   Exemption from fees

No fee is chargeable for the registration of a society or of its rules or of any alteration of its rules.

28.   Acquisition of property

(1)  A society may acquire by lease, purchase, donation, devise, bequest, or otherwise any real or personal property for any objects of the society, and may sell or lease any such property.

(2)  A society may, subject to its rules, invest any portion of the funds of the society not immediately required for its purposes –

(a) in any manner in which trustees are by law authorized to invest trust funds in their hands; or

(b) with any other society registered under this Act or with a permanent society registered under the Building Societies Act 1876 .

29.   Raising loans

(1)  Subject to its rules, a society may, with the approval of the Registrar, raise money on loan for the objects of the society in such manner as it thinks fit, and, in particular and without limiting the generality of this section, by legal or equitable mortgage charged upon the undertaking of the society or upon all or any part of the property and rights (both present and future) of the society, including its unpaid capital, subscriptions, payments in respect of advances, and other moneys.

(2)  No society shall receive money on deposit.

(3)  Except as may be provided in any agreement made in relation to a guarantee executed by the Treasurer under this Act, no person lending money to a society is bound to see to the application thereof or is in any way affected or prejudiced by the fact that the society in borrowing money has contravened the provisions of this section or of any other section of this Act or of the rules of the society.

30.   Provisions relating to advances by societies

(1)  No society shall make an advance to a person who is not a member of the society.

(2)  No society shall make an advance to a member of the society –

(a) except for the purpose of enabling the member –

(i) to purchase land and erect a dwelling-house thereon;

(ii) to erect a dwelling-house on land owned by him;

(iii) to purchase land upon which a dwelling-house is situated (including a dwelling-house upon which an advance has been made by the society to another member from whom the first-mentioned member proposes to purchase the land);

(iv) to discharge a mortgage over any land owned by the member; or

(v) to maintain his dwelling-house and keep it in proper repair; or

(b) unless –

(i) the land is within such distance from the registered office of the society as may be prescribed, either generally or in particular cases; and

(ii) the board is satisfied that the member intends to reside in the dwelling-house erected or to be erected on the land and is not already the owner of a dwelling-house (other than the dwelling-house in relation to which the advance is to be made).

(3)  No society shall make an advance on the security of any property that is subject to a prior mortgage, unless the prior mortgage is in favour of the society.

(4)  Any property to which a society may become absolutely entitled by foreclosure, surrender, or other extinguishment of the right of redemption shall, as soon afterwards as may be conveniently practicable, be sold or converted into money by the society.

(5)  Any land that is sold by a society pursuant to subsection (4) may, if the board thinks fit, be sold on credit, and in such a case the purchaser shall, if required, enter into a contract in accordance with the regulations.

31.   Form and execution of contracts

Contracts on behalf of a society may be made as follows:

(a) a contract that, if made between natural persons, would be by law required to be in writing under seal may be made on behalf of the society in writing under the common seal of the society;

(b) a contract that, if made between natural persons, would be by law required to be in writing signed by the parties to be charged therewith may be made on behalf of the society in writing signed by a person acting under its authority, express or implied; and

(c) a contract that, if made between natural persons, would by law be valid although made by parol only (and not reduced into writing) may be made by parol on behalf of the society by a person acting under its authority, express or implied –

and a contract so made is effectual in law and binds the society and its successors and all other parties thereto, and may be varied or discharged in the manner in which it is authorized to be made.

32.   Registered office of society

(1)  A society, as from the day on which it begins to carry on business, or as from the seventh day after the date of its incorporation, whichever is the earlier, shall have a registered office within the State to which communications and notices may be addressed and which shall be open and accessible to members for such period in each week, and on such days, as may be prescribed.

(2)  Notice in the prescribed form of the situation of the registered office, the days and hours during which it is open and accessible to members, and of any change therein shall be lodged with the Registrar by the society within 7 days after the date of incorporation or, as the case may be, within 14 days after the date of any such change.

33.   Publication, display, &c., of name of society

[Section 33 Subsection (1) amended by No. 46 of 1980, s. 13 and Sched. 1 ][Section 33 Subsection (1) amended by No. 43 of 1991, s. 5 and Sched. 1 ]

(1)  [Section 33 Subsection (1) amended by No. 55 of 1965, s. 5 ]A society shall ensure that the name of the society is inscribed in legible characters on its seal, and is stated in legible characters in all notices, advertisements, and other official publications of the society, and in all bills of exchange, cheques, promissory notes, endorsements, orders for money, receipts, and other documents required or used in the course of the business of the society, and if default is made in complying with this subsection the society is guilty of an offence against this Act.

Penalty:  Fine not exceeding 10 penalty units.

(2)  A society shall ensure that the name of the society with a statement that the society is registered under this Act is painted or affixed, and kept painted or affixed, on the outside of its office, or in such other place as may be prescribed, in a conspicuous place and in letters that are clearly legible.

34.   Effect of rules

The rules of a society bind the society and all members thereof and all persons claiming through them respectively to the same extent as if each member had subscribed his name and affixed his seal thereto and there were contained in the rules a covenant on the part of each member and his personal representatives to observe all the provisions of the rules, subject to the provisions of this Act.

35.   Registers and accounts

[Section 35 Subsection (5) amended by No. 46 of 1980, s. 6 ]

(1)  A society shall keep, in the prescribed form and manner, such registers as are prescribed.

(2)  The registers to be kept by a society shall contain such particulars as are prescribed.

(3)  No notice of any trust, whether express, implied, or constructive, shall be entered in any register or be received by the Registrar.

(4)  A society shall keep such accounts as may be prescribed or, in the absence of regulations in that behalf, as the Registrar may approve or direct.

(5)  [Section 35 Subsection (5) amended by No. 55 of 1965, s. 5 ]A member may inspect his own account in the books of a society at any reasonable time.

(6)  A society shall have at its registered office and open at all reasonable hours to inspection by any member or creditor without fee –

(a) a copy of this Act and of the regulations;

(b) a copy of the rules of the society;

(c) a copy of the last audited balance sheet and final accounts, together with the report of the auditor;

(d) the prescribed registers of directors, members, and shares; and

(e) the prescribed registers of loans raised and securities given by the society.

36.   Returns

(1)  A society shall, within 14 days after a change in the membership of the board, transmit to the Registrar a notice in the prescribed form notifying the Registrar of the change.

(2)  A society shall in each year, within 3 months after the close of its financial year or within such further time as the Registrar may authorize, transmit to the Registrar the following documents, that is to say:

(a) a list of the directors for the year then current;

(b) a copy of the audited balance sheet and final accounts of the society, as at the close of that financial year;

(c) a copy of any report by the auditor on those accounts; and

(d) such other documents, if any, as may be prescribed.

(3)  A society shall, when so required by notice in writing by the Registrar, furnish to the Registrar within the time specified in that behalf in the notice a full list in the prescribed form of all of its members as at the end of the financial year then last past or such other particulars as are specified in the notice with respect to the membership of the society.

37.   Charges

(1)  A society shall furnish to a person who intends to become a member a list of the charges payable by members of the society under the rules of the society.

(2)  A person who becomes a member of a society is liable to pay only the charges mentioned in the list referred to in subsection (1) and any charges that may be imposed by subsequent registered alterations of the rules of the society.

(3)  The charges payable by members of a society may be altered by the society by special resolution.

PART VI - Rules and Management of Societies

Division 1 - Rules

38.   Model rules

(1)  Model rules for a society shall be prescribed by the regulations.

(2)  A society that is to be registered under this Act, or that is registered thereunder, may adopt as its rules all or any of the model rules.

(3)  Where a society is formed under this Act, in so far as any rules tendered for registration are not inconsistent with or do not exclude or modify the model rules as then in force, the model rules shall be deemed to form part of the rules of the society in the same manner and to the same extent as if they were contained in the rules so tendered.

(4)  No alteration of the model rules applies to a society that is established before the regulation prescribing the alteration comes into operation, unless the society, by special resolution, adopts the alteration in its rules.

(5)  [Section 38 Subsection (5) added by No. 55 of 1965, s. 4 and Sched. 3 ]Notwithstanding anything in the foregoing provisions of this section, for the purpose of facilitating the transition of the business and operations of societies from the system of the old currency to the system of the new currency the Governor may, by regulation –

(a) prescribe tables of payments to be made for shares in societies, expressed in terms of the new currency;

(b) make such alterations of the model rules as appear to him to be necessary or desirable for facilitating that transition or to be necessary in consequence of the prescription of those tables;

(c) authorize the board of a society, with the approval of the Registrar, to adopt such of those tables as it thinks fit, and to adopt those alterations of the model rules; and

(d) make provision for any matter that is ancillary to or consequential upon the adoption of any such tables or alterations of the model rules.

(6)  [Section 38 Subsection (6) added by No. 55 of 1965, s. 4 and Sched. 3 ] Subsection (4) does not apply to or in relation to an alteration of the model rules made pursuant to subsection (5) or to the adoption by a society of such an alteration.

(7)  [Section 38 Subsection (7) added by No. 55 of 1965, s. 4 and Sched. 3 ]In this section, the expressions

old currency and new currency have the meanings assigned to them respectively by the Decimal Currency Act 1965 .

39.   Rules of a society

[Section 39 Subsection (3) amended by No. 46 of 1980, s. 7 ]

(1)  [Section 39 Subsection (1) amended by No. 46 of 1980, s. 4 ]The rules of a society shall be divided into paragraphs numbered consecutively, and shall set forth –

(a) the name of the society;

(b) where the office of the society is to be situated;

(c) the objects of the society;

(d) the nominal value of each share in the society;

(e) the maximum proportion of the shares in the society that may be held by a member;

(f) .  .  .  .  .  .  .  .  

(g) .  .  .  .  .  .  .  .  

(h) the minimum number of shares in the society to be subscribed for by a member;

(i) the manner in which shares in the society may be transferred;

(j) the manner in which the funds of the society are to be managed, and, in particular, the mode of drawing and signing cheques, drafts, bills of exchange, promissory notes, and other documents for and on behalf of the society;

(k) the manner in which an application for an advance is to be made, the conditions with which an applicant is to comply, the manner in which an advance is to be made and repaid, the conditions upon which a member may pay the amount due by him before the expiration of the period for which an advance is made, and the terms upon which a mortgage may be redeemed;

(l) the mode and conditions of admission to membership, and the payment to be made, or the share or interest to be acquired, before the exercise of the rights of membership;

(m) the rights and liabilities of members and of the estates of deceased members and of members whose estates have been sequestrated or assigned;

(n) whether or not shares in the society may be withdrawn, and, if so, upon what terms, and the manner in which the value of shares is to be ascertained for repayment;

(o) the circumstances in which members may be expelled, the rights and liabilities of expelled members, and provision for the forfeiture of shares and for the cancellation of forfeited shares;

(p) the number of directors, the qualification of directors, and the manner of electing, remunerating, and removing directors and filling a vacancy, whether directors are to be elected annually or half-yearly, the period for which directors are to hold office, and whether directors are to retire by rotation or otherwise;

(q) the powers and duties of the board and the quorum for meetings of the board;

(r) the intervals between general meetings of the society, the manner of calling general and special meetings, the requisite notices of meetings of the society, the quorum for meetings of the society, and the procedure at meetings of the society, including the rights of members voting thereat, and the manner of voting;

(s) the manner of appointing, remunerating, and removing officers (other than directors) of the society, the powers and duties of officers, and the security to be given by any officer having the receipt or charge of any moneys belonging to the society;

(t) whether the accounts of the society are to be audited annually or more frequently, the manner of appointing, remunerating, and removing auditors, the powers and duties of auditors, and in particular their powers and duties with respect to the inspection of securities belonging to the society;

(u) provision for the custody of securities belonging to the society;

(v) the charges, including charges on admission or for management expenses or otherwise, that are to be payable by a member to the society;

(w) the manner of altering and rescinding the rules, and of making additional rules;

(x) provision for the custody and use of the seal of the society;

(y) the manner in which the society may be wound up on the termination of the society; and

(z) such other matters as are prescribed by or under this Act.

(2)  The rules of a society shall not allow of voting by proxy.

(3)  [Section 39 Subsection (3) amended by No. 55 of 1965, s. 5 ]A person is entitled to obtain from a society a copy of its rules on payment of a sum not exceeding $5.

(4)  The rules of a society shall not provide for the expulsion of a member from the society otherwise than by a special resolution.

40.   Alteration of rules

(1)  The rules of a society shall not be altered unless the alteration has been approved by a special resolution, and, where such an approval is given, the society shall, within a period of one month after the approval, apply to the Registrar to have the alteration registered.

(2)  An application under subsection (1) shall be made as prescribed.

(3)  Notwithstanding the provisions of subsection (1) , where before the expiration of the period mentioned in that subsection a request in writing for the extension of that period is lodged with the Registrar and the Registrar is satisfied that circumstances beyond the control of the society have precluded or will preclude the making of the application to have the alteration registered within that period, the Registrar may if he thinks fit, by writing under his hand, extend the period for the making of the application by such further period (not exceeding one month) as he thinks proper, and in any such case the making of the application within that further period shall be taken to be in compliance with the provisions of this Act.

(4)  If the Registrar is satisfied that an alteration of the rules of a society is not contrary to this Act and that the rules as altered are suitable and sufficient for the purposes of the society, the Registrar shall register and certify the alteration as prescribed, and, until the alteration is so registered and certified, the alteration does not take effect.

(5)  The rules of a society shall be read subject to any alteration registered and certified as provided in this section.

(6)  [Section 40 Subsection (6) added by No. 55 of 1965, s. 4 and Sched. 3 ]Notwithstanding anything in the foregoing provisions of this section or in the rules of a society, for the purpose of facilitating the transition of the business and operations of a society from the system of the old currency to the system of the new currency, the board of the society may make such alterations of the rules of the society as the board thinks necessary or desirable, and if the Registrar considers the alterations to be necessary or desirable for that purpose he shall certify in writing, that he is so satisfied and shall register, as prescribed, the alterations so made.

(7)  [Section 40 Subsection (7) added by No. 55 of 1965, s. 4 and Sched. 3 ]Where the board of a society alters the rules of the society pursuant to subsection (6) it shall, within one month after making the alteration, apply to the Registrar to have the alteration registered.

(8)  [Section 40 Subsection (8) added by No. 55 of 1965, s. 4 and Sched. 3 ] Subsection (1) does not apply to or in relation to an alteration made pursuant to subsection (6) .

(9)  [Section 40 Subsection (9) added by No. 55 of 1965, s. 4 and Sched. 3 ]In this section, the expressions old currency and new currency have the meanings assigned to them respectively by the Decimal Currency Act 1965 .

Division 2 - Management of societies

41.   Board of directors

[Section 41 Subsection (19) amended by No. 46 of 1980, s. 13 and Sched. 1 ][Section 41 Subsection (19) amended by No. 43 of 1991, s. 5 and Sched. 1 ]

(1)  The business and operations of a society shall be managed and controlled by a board of directors, and for that purpose the board, except as provided in this section, has, and may exercise, the powers of the society as if they had been expressly conferred on the board by a general meeting of the society.

(2)  The powers of the board are subject to any restrictions imposed thereon by or under this Act or by the rules of the society.

(3)  A director, when acting in the business or operations of a society pursuant to the rules of the society or to a resolution duly passed by the board, shall be deemed to be the agent of the society for all purposes within the objects of the society.

(4)  The acts of a director are valid notwithstanding any defect that may, after his appointment, be discovered in his appointment or qualification.

(5)  A director shall not be held liable to the society for any loss that the society may sustain, unless the loss was due to his misconduct or negligence or to his failure to comply with any of the provisions of this Act or of the rules of the society.

(6)  Subject to subsection (7) , the directors shall be elected at a general meeting of the society in accordance with the rules of the society.

(7)  The first directors of a society shall be elected in accordance with the provisions of section 16 (3) .

(8)  The number of directors shall not be less than 5, and no person is qualified to be a director unless he is a member of the society.

(9)  A person shall not be elected or hold office as a director of a society if he is the holder of any other office in the gift of the society.

(10)  Meetings of the board shall be held as often as may be necessary for properly conducting the business and operations of the society, but shall be held at least once in every 2 months.

(11)  At a meeting of the board the quorum shall be as prescribed by the rules of the society, but shall not in any case be less than half the number of directors.

(12)  The chairman of the board shall be elected by the board in accordance with the rules of the society, and shall hold office and retire, and may be removed from office, as prescribed by the rules of the society.

(13)  The directors shall hold office and retire, and may be removed from office, as prescribed by the rules of the society.

(14)  The office of a director becomes vacant in such circumstances, if any, as may be prescribed by the rules of the society, and in any of the following cases (whether prescribed by those rules or not), that is to say:

(a) if he becomes bankrupt or applies to take or takes advantage of any law relating to bankruptcy or assigns his estate for the benefit of, or compounds with, his creditors;

(b) if he becomes of unsound mind or a person whose person or estate is liable to be dealt with under any law relating to mental health;

(c) if he is convicted of an offence under this Act, or if he is convicted of a crime, or of an offence punishable on summary conviction, for which he is sentenced to imprisonment otherwise than in default of payment of a fine;

(d) if he absents himself from 3 consecutive ordinary meetings of the board without leave granted by the board;

(e) if within 2 months after any sum of money becomes due by him to the society in respect of shares in the society in relation to which he has obtained an advance he does not pay that sum;

(f) if he fails to pay any moneys due by him to the society (not being in respect of shares in relation to which he has obtained an advance from the society) within one month after notice in writing requiring the payment of those moneys has been given to him by the society;

(g) if he ceases to be a member of the society;

(h) if by notice in writing to the board he resigns his office;

(i) if he, or any partner or employee of his, acts or accepts an engagement to act as counsel or solicitor for the society;

(j) if any person by whom he is employed acts or accepts an engagement to act as counsel or solicitor for the society;

(k) if he becomes the holder of any office (other than that of director) in the gift of the society;

(l) if he is removed from office by a resolution of a general meeting of the society; or

(m) if he has, except as provided in this section, a direct or indirect pecuniary interest in any agreement with the society otherwise than as a member of, and in common with the other members of, another body corporate consisting of more than 20 persons.

(15)  The provisions of subsection (14) (m) do not apply in relation to an advance to a director made by a society in accordance with a special resolution.

(16)  A director shall not vote on a question in which he has any direct or indirect pecuniary interest otherwise than as a member of, and in common with the other members of, the society, and if he votes on such a question, his vote shall not be counted.

(17)  A vacancy occurring in the membership of the board shall be filled as prescribed by the rules of the society.

(18)  No person shall be elected or appointed as a director, or shall hold office as a director of more societies than one unless those societies have the same registered office.

(19)  [Section 41 Subsection (19) amended by No. 55 of 1965, s. 5 ]A person who holds office as a director of any society or societies in contravention of subsection (18) is guilty of an offence.

Penalty:  Fine not exceeding 30 penalty units and a daily fine not exceeding 1 penalty unit.

42.   Power of Minister to appoint a person to be a director of a society

[Section 42 Subsection (5) amended by No. 77 of 1995, s. 3 and Sched. 1 ]

(1)  The Minister may, by notification published in the Gazette, appoint a person to be a director of a society and may, by a like notification, remove any such director.

(2)  The provisions of this Act (other than this section) and of the rules of a society relating to the qualification, disqualification, remuneration, removal from office, and term of office of directors, and the vacation of office by directors, do not apply to or in respect of a director appointed under this section.

(3)  A director who is appointed under this section holds office as an additional director and shall not be counted in ascertaining the number of directors for the election of whom provision is made in the rules of the society.

(4)  Subject to subsection (2) , a director appointed under this section has all the powers, rights, authorities, functions, privileges, immunities, duties, obligations, and liabilities of a director elected in accordance with the rules of the society.

(5)  [Section 42 Subsection (5) amended by No. 29 of 1984, s. 3 and Sched. 1 ]A director appointed under this section shall, unless he is an employee, within the meaning of the Tasmanian State Service Act 1984 , or a person employed by Tasmania Development and Resources, be paid such fees as may be prescribed.

43.   Notice of meeting

[Section 43 Substituted by No. 35 of 1996, s. 9, Applied:01 Apr 1997]

(1)  A society must give to each of its members –

(a) not less than 7 days' notice of any meeting other than the annual general meeting; and

(b) not less than 14 days' notice of its annual general meeting.

Penalty:  Fine not exceeding 20 penalty units.

(2)  The society is to publish notice of the meeting in a newspaper circulating generally in the area of the State in which the society operates –

(a) in the case of an annual general meeting, 14 days before the date of the meeting; and

(b) in the case of any other meeting, 7 days before the date of the meeting.

(3)  The notice is to specify –

(a) the place, date and time of the meeting; and

(b) the nature of any special business to be transacted; and

(c) the terms of any special resolution to be proposed.

(4)  The society is to display a copy of the notice in a conspicuous place at the registered office and any other office of the society for a period of not less than 14 days immediately before the date of the meeting.

(5)  The failure of the society to give a member notice of a meeting does not invalidate the meeting.

(6)  A society must not fail to give, publish or display notice of a meeting in accordance with this section.

Penalty:  Fine not exceeding 20 penalty units.

44.   Voting by members

(1)  Except as is otherwise provided in this Act or by the rules of the society, a question for decision by a meeting of a society shall be determined by a majority of the members present in person thereat who are entitled under the rules of the society to vote, and unless a poll is demanded by at least 5 of those members the question shall be determined on a show of hands.

(2)  A member of a society who is entitled under the rules of the society to vote is, irrespective of the number of shares held by him, entitled only to one vote.

45.   Special resolutions

(1)  For the purposes of this Act, a resolution is a special resolution if it is passed by a majority of not less than three-quarters of such members of the society entitled under the rules of the society to vote as may be present in person at a general meeting of which notice specifying the intention to propose the resolution as a special resolution has been duly given in accordance with those rules.

(2)  At a general meeting to which subsection (1) relates, unless a poll is demanded, a declaration by the chairman that the resolution has been carried is conclusive evidence of the fact.

(3)  Notice of the passing of a special resolution shall be lodged by the society, as prescribed, with the Registrar within a period of one month after the passing of the resolution, and thereupon the resolution shall be registered by him and, until registered, it does not take effect.

(4)  A notice under subsection (3) –

(a) shall be signed by the secretary of the society; and

(b) shall be accompanied by such other documents (including a copy of the special resolution) as may be prescribed, and those documents shall be signed or verified as prescribed.

(5)  Notwithstanding the provisions of subsection (3) –

(a) where, before the period mentioned in that subsection, a request in writing for the extension of that period is lodged with the Registrar and the Registrar is satisfied that circumstances beyond the control of the society have precluded or will preclude the lodging with the Registrar within that period of the notice referred to in that subsection or of any of the documents to which subsection (4) (b) relates, the Registrar may if he thinks fit, by writing under his hand, extend the period for the lodging thereof by such further period (not exceeding one month) as he thinks proper, and in any such case the lodging thereof within that further period shall be taken to be in compliance with the provisions of this Act; and

(b) a special resolution for the expulsion of a member from a society shall not be registered unless the Registrar is satisfied that, in all the circumstances of the case, the expulsion is reasonable and that the proceedings in respect of the expulsion have been properly and fairly conducted.

(6)  A certificate of registration of a special resolution or of an alteration of the rules of a society given by the Registrar is, in favour of a person who makes a loan to the society on the faith of the certificate, or in favour of a guarantor of any such loan, conclusive evidence that the resolution was duly passed or, as the case may be, that the alteration in the rules was duly made.

46.   Minutes

Minutes of every meeting of the board of a society, of any committee appointed by the board or by the society in general meeting, and of every meeting of members of the society, shall be kept and confirmed as prescribed.

47.   Officers

[Section 47 Subsection (7) amended by No. 46 of 1980, s. 13 and Sched. 1 ][Section 47 Subsection (7) amended by No. 43 of 1991, s. 5 and Sched. 1 ]

(1)  No officer of a society shall borrow from the society, and no society shall made an advance to an officer of the society, except by special resolution of the society.

(2)  If an advance is made in contravention of subsection (1) the members of the board who authorize the advance are, without prejudice to any penalty to which they may be liable in respect of the contravention, jointly and severally liable for any loss on the advance occasioned to the society.

(3)  An officer of a society may be paid such fees as are fixed by a general meeting of the society but not exceeding in any case such maximum amounts as may be prescribed.

(4)  An officer who has the receipt or charge of any money of a society shall give security as prescribed for rendering a just and true account of all moneys received and paid by him for the society and for payment of all moneys due from him to the society.

(5)  A person who, or whose partner or employee, has accepted an engagement to act as counsel or solicitor for a society shall not, while that person or his partner or employee continues to hold that engagement, be appointed or hold office as an officer of the society.

(6)  No employee of a person who has accepted an engagement to act as counsel or solicitor for a society shall, while that person continues to hold that engagement, be appointed or hold office as an officer of the society.

(7)  [Section 47 Subsection (7) amended by No. 55 of 1965, s. 5 ]If a person is appointed or holds office in contravention of subsection (5) or subsection (6) , the society and that person are guilty of an offence against this Act.

Penalty:  Fine not exceeding 10 penalty units and a daily fine not exceeding 1 penalty unit.

48.   Certain dealings by officers prohibited

No officer of a society shall –

(a) sell land to, or act as agent for the sale of land to, a member of the society who proposes to pay for it, in whole or in part, out of an advance made or to be made to him by the society;

(b) undertake the erection, or act as agent in respect of the erection, of a dwelling-house for a member of the society who proposes to pay for it, in whole or in part, out of an advance made or to be made to him by the society; or

(c) accept as payment, in whole or in part, of any moneys due to him by a member of the society the whole or any part of an advance made or to be made by the society to that member.

49.   Dismissal of officers after inquiry in certain cases

(1)  The Minister may appoint a person to hold an inquiry and to report to him with respect to –

(a) any matter relating to the carrying out of the provisions of this Act conferring powers or imposing duties on a society; or

(b) any act or omission of an officer of a society, where the act or omission relates to the carrying out of the provisions of this Act conferring powers or imposing duties on the society, or to the office or position held by the officer, or to the powers or duties of that office or position.

(2)  The Minister may, after consideration of the report of the person holding an inquiry under this section, direct that the office or position in a society of the officer to whom the report relates shall be deemed to have become vacant, and that the officer (if a director) is not eligible to hold office as a director of the society, or that the officer is not eligible for appointment or employment as an officer of the society.

(3)  The office or position to which a direction under subsection (2) relates shall be deemed to have become vacant as from the date upon which notices of the direction of the Minister, addressed to the officer to whom it relates and to the society of which he is an officer, and signed by and on behalf of the Minister, are delivered at or posted to the registered office of the society.

50.   Audit of accounts

(1)  The accounts of a society shall be audited annually or more frequently as may be prescribed by the rules of the society.

(2)  The auditor shall be a registered company auditor approved by the Registrar, but an officer of a society shall not be appointed as its auditor.

(3)  The auditor has a right of access to the books, accounts, vouchers, and documents of the society, and may require from the officers of the society such information and explanation as may be necessary for the performance of his duties as auditor of the society.

(4)  In making his report to the members of the society and in signing a statement of assets and liabilities or of accounts to be presented to the members or lodged with the Registrar, the auditor shall state –

(a) whether he has obtained the information and explanations required by him;

(b) whether, in his opinion, the statements are properly drawn up so as to exhibit a true and correct view of the financial position of the society according to the information at his disposal and the explanations given to him and as shown by the books of the society; and

(c) whether the rules relating to the administration of the funds of the society have been observed.

(5)  A copy of the balance sheet and final accounts for the period covered by the audit, both duly audited, together with a copy of the auditor's report to the members of the society, shall be transmitted to each member with the notice of the annual general meeting, or, if the rules of the society so provide, the notice of the annual general meeting may include a notice that the balance sheet and final accounts and the auditor's report may be inspected by members at the office of the society for such period before the meeting as may be prescribed by those rules.

(6)  The Minister may at any time require and authorize the Auditor-General to audit the accounts of a society and, when so required and authorized, the Auditor-General has, in respect of those accounts, all the powers conferred on him by law in relation to the audit of the public accounts, and shall at the completion of any such audit report thereon to the Minister.

51.   Financial year

[Section 51 Substituted by No. 46 of 1980, s. 8 ]

(1)  The financial year of a society shall be a period ending on such date in each year as the Registrar may approve in writing, being a date not earlier than 31st March in that year and not later than 30th June in the same year.

(2)  Notwithstanding anything in subsection (1) , the first financial year of a society shall be the period commencing on the date of registration of the society and ending on 31st March next following or such later date as the Registrar may approve in writing.

51A.   Receivers and managers and official management

[Section 51A Inserted by No. 9 of 1982, s. 7 and Sched. 10 ]

(1)  The provisions of Parts X and XI of the Companies (Tasmania) Code , so far as relevant and with the necessary adaptations and modifications, apply to and in relation to a society as if the society were a company within the meaning of that Code.

(2)  [Section 51A Subsection (2) amended by No. 97 of 1982, s. 6 and Sched. 6 ]Without limiting the generality of subsection (1) , for the purpose of applying the provisions referred to in that subsection –

(aa) a reference in those provisions to a corporation or company shall be read as a reference to a society;

(a) a reference in those provisions to the National Companies and Securities Commission shall be read as a reference to the Registrar of Co-operative Housing Societies;

(b) a reference in those provisions to a director or an officer of a company shall be read as a reference to a director or an officer of a society; and

(c) a reference in those provisions to a member of a company shall be read as a reference to a member of a society.

51B.   Surplus or deficit of funds

[Section 51B Inserted by No. 35 of 1996, s. 10, Applied:01 Apr 1997]

(1)  [Section 51B Subsection (1) amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] Subject to subsection (2) , a society, within 28 days after its annual general meeting or within any further period the Registrar approves, must apportion any distributable amount arising at the end of a financial year among those people who were members of the society on the last day of that financial year.

Penalty:  Fine not exceeding 20 penalty units.

(2)  The board of a society may determine not to apportion the distributable amount if the member would receive a credit or debit of –

(a) an amount of $50 or less; or

(b) [Section 51B Subsection (2) amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] any other amount the Registrar approves.

(3)  Any apportionment of the distributable amount is to be by way of crediting or debiting each member's loan account.

(4)  If an officer of a society is an officer of another society, the officer must not use any surplus funds in the society to cover any deficit in the other.

Penalty:  Fine not exceeding 20 penalty units.

51C.   Society may be placed under direction

[Section 51C Inserted by No. 35 of 1996, s. 10, Applied:01 Apr 1997]

(1)  [Section 51C Subsection (1) amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] The Registrar, by notice in writing given to a society, may place the society under direction if the Registrar is of the opinion that –

(a) [Section 51C Subsection (1) amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] the society has contravened this Act and, after being given written notice by the Registrar of the contravention, has continued or repeated the contravention; or

(b) the society is trading unprofitably or has an accumulated deficit in its profit and loss appropriation account; or

(c) the society's affairs are being conducted in an improper or financially unsound way.

(2)  [Section 51C Subsection (2) amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] The Registrar may revoke the direction by notice in writing given to the society.

(3)  [Section 51C Subsection (3) amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] The Registrar may do all things the Registrar considers necessary to ensure that the objects of a society under the Registrar's direction are achieved.

(4)  [Section 51C Subsection (4) amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] Without limiting subsection (3) , the Registrar may do any one or more of the following:

(a) [Section 51C Subsection (4) amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] arrange for the society to be audited by an auditor appointed by the Registrar at the society's expense;

(b) [Section 51C Subsection (4) amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] direct the society to change any practice that the Registrar considers undesirable or unsound;

(c) direct the society to cease or limit the exercise of any of its powers;

(d) remove any or all of the directors of the society and appoint another director or directors;

(e) remove any auditor of the society and appoint another;

(f) give any direction as to how the society's affairs are to be conducted.

(5)  [Section 51C Subsection (5) amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] A director or auditor appointed under this section holds office for any term the Registrar directs.

(6)  A society must not –

(a) [Section 51C Subsection (6) amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] fail to comply with any direction or order given by the Registrar under this section; or

(b) [Section 51C Subsection (6) amended by No. 18 of 2000, Sched. 1, Applied:21 Jun 2000] hinder the exercise by the Registrar of any of the Registrar's powers under this section.

Penalty:  Fine not exceeding 100 penalty units.

Division 3 - Valuations

52.   Valuations of property

[Section 52 Subsection (6) amended by No. 46 of 1980, s. 13 and Sched. 1 ][Section 52 Subsection (6) amended by No. 43 of 1991, s. 5 and Sched. 1 ]

(1)  No society shall make an advance to a member unless a valuation of the property on which the advance is to be made has first been obtained by the board in accordance with this Division.

(2)  A valuation for the purposes of an advance to be made by a society upon the security of any property shall be made by a person who is approved by the Registrar for the purposes of this Division, either generally or in respect of any particular valuation or valuations.

(3)  A person who makes a valuation of any property for the purposes of this section shall submit a report thereon to the board, and the report shall be verified in the prescribed manner and shall set forth full particulars with respect to the property and the manner in which the valuation is arrived at and such further particulars as are prescribed.

(4)  If the board is not satisfied with the accuracy of a valuation or of any of the particulars set forth in a report under this section, the board shall cause a further valuation or further valuations to be made and, where two or more valuations have been made, the lower or lowest of those valuations shall be deemed to be the valuation for the purposes of the advance to be made by the society.

(5)  No person shall value any property offered as a security for an advance in which that person, or the wife or husband or any relation by blood or marriage of that person, is directly or indirectly interested.

(6)  [Section 52 Subsection (6) amended by No. 55 of 1965, s. 5 ]A person who knowingly and wilfully –

(a) contravenes the provisions of subsection (5) ; or

(b) makes a false or fraudulent valuation –

is guilty of an offence against this Act.

Penalty:  Fine not exceeding 100 penalty units.

Division 4 - Amalgamation of societies

53.   Amalgamation of societies

(1)  Two or more societies may, by special resolution of both or all of those societies, amalgamate and become one society with or without a dissolution or division of the funds of those societies or any of them.

(2)  A society may, by special resolution, transfer its engagements to another society upon such terms as may be agreed upon between the societies.

(3)  The transfer of the engagements of a society pursuant to subsection (2) does not affect any right of a creditor of either society.

(4)  No society shall amalgamate with another society or with other societies, or transfer its engagements to another society, except in pursuance of a scheme of amalgamation or a scheme of transfer of engagements approved by the Minister on the recommendation of the Registrar, and a purported amalgamation or transfer of engagements made otherwise than in pursuance of a scheme so approved is void.

(5)  [Section 53 Subsection (5) amended by No. 99 of 1982, s. 3 and Sched. 2, Pt. 2 ]Upon the passing of a special resolution for the amalgamation of two or more societies or for the transfer of the engagements of a society to another society, the chairman of the meeting at which the resolution is passed shall forthwith lodge with the Registrar notice in the prescribed form of the passing of the resolution, together with such other documents (if any) as may be prescribed, being documents that are signed or verified as prescribed.

(6)  On receipt of notice under subsection (5) , the Registrar –

(a) if satisfied that the notice, and each of the other documents (if any) lodged with it, is in order, shall –

(i) register the special resolution and scheme of amalgamation; and

(ii) issue a new certificate of incorporation in the prescribed form to the amalgamated society; and

(b) cause notice in the prescribed form of the amalgamation to be published in the Gazette and in a daily newspaper published or circulating in the locality in which the registered office of the amalgamated society is situated.

(7)  For the purposes of this Act, the amalgamation of two or more societies takes effect from the date specified in that behalf in the certificate of incorporation issued pursuant to subsection (6) (a) (ii) .

(8)  Subject to this section, the regulations may prescribe, regulate, and control –

(a) the manner of carrying out the amalgamation of two or more societies or of the transfer of the engagements of one society to another society;

(b) the conduct of meetings of members of a society proposing to amalgamate with some other society or societies, or to transfer its engagements to another society, and the procedure to be observed thereat; and

(c) the statement and provisions to be contained, and the matters to be provided for, in schemes of amalgamation or schemes of transfer of engagements prepared for the purposes of this Division.

54.   New society to be successor of former societies

On and after the day upon which the amalgamation of two or more societies pursuant to this Division takes effect, the new society shall be deemed to be the successor in law of each of the former societies.

55.   Effects of amalgamation

Without prejudice to the generality of section 54 , on and after the day referred to in that section and without any authority other than this section –

(a) persons who, immediately before that day, were members of the former societies shall be deemed to be members of the new society;

(b) real and personal property belonging to any of the former societies immediately before the amalgamation (including choses in action and interests, rights, benefits, and advantages appurtenant to, connected with, or relating to any property) are vested in the new society;

(c) the liabilities of each of the former societies in respect of outstanding principal moneys, together with outstanding and future interest thereon, are transferred to and shall be borne and discharged by the new society, and where immediately before the amalgamation the payment of any such moneys and interest was charged upon all the property and assets of any of the former societies that payment shall be deemed to be charged upon all the property and assets of the new society;

(d) contracts, deeds, bonds, agreements, mortgages, indemnities, and other instruments and documents lawfully made or entered into by or on behalf of any of the former societies or binding any of the former societies and in force immediately before the amalgamation are, subject to this Division, as binding and of as full force and effect in every respect as they would have been in favour of or against the former society if there had been no amalgamation, and may be enforced as fully and effectually as if they had been made or entered into by or on behalf of the new society;

(e) a guarantee given under this Act in relation to a liability of any of the former societies, until discharged, continues in full force in relation to the corresponding liability of the new society and may be enforced in all respects as if it had originally been given in relation to that liability of the new society;

(f) debts lawfully incurred or owing by or to any of the former societies and due and owing immediately before the amalgamation shall be deemed to have been incurred by or to be owing by or to the new society, and may be recovered from or by the new society accordingly;

(g) actions, causes of action, proceedings, and claims (including arbitrations thereon or appeals therefrom or proceedings or matters arising thereon) immediately before the amalgamation pending or existing by or against any of the former societies do not abate and are not discontinued or in any way prejudicially affected by reason of the amalgamation, but may be continued, prosecuted, and enforced by or against the new society as they might have been by or against the former society if there had been no amalgamation;

(h) except so far as they are altered or modified expressly or by necessary implication by the scheme of amalgamation, the rights, interests, duties, obligations, and liabilities of the members of each of the former societies existing in relation to that society immediately before the amalgamation continue in existence in relation to the new society and are not otherwise affected or abated by the amalgamation;

(i) authorities, permits, and notices issued, made, or granted by any of the former societies and subsisting immediately before the amalgamation, unless they are sooner suspended, cancelled, or revoked, continue in force for the period for which they were issued, made, or granted as if they had been issued, made, or granted by the new society;

(j) acts, matters, and things of a continuing nature made, done, or commenced by or on behalf of any of the former societies and immediately before the amalgamation of any force or effect or capable of acquiring any force or effect shall be deemed to have been made, done, or commenced by or on behalf of the new society; and

(k) a reference in any enactment, proclamation, order-in-council, order, regulation, rule, by-law, notice, demand, contract, agreement, mortgage, guarantee, or other instrument or document to the former societies, or any of them, shall, unless the contrary intention appears, be construed as a reference to the new society.

PART VII - Winding Up and Dissolution of Societies

56.   Modes of winding up of societies

(1)  A society may be wound up –

(a) voluntarily;

(b) by the Court; or

(c) upon a certificate of the Registrar.

(2)  Except where the contrary intention appears, the provisions of this Act with respect to the winding up of a society apply to the winding up of a society in any of the modes referred to in subsection (1) .

57.   Application of the Companies (Tasmania) Code to the winding up of societies

(1)  [Section 57 Subsection (1) amended by No. 9 of 1982, s. 7 and Sched. 10 ]In the case of a voluntary winding up or of a winding up by the Court, a society may be wound up in the manner and in the circumstances in which a company incorporated under the Companies (Tasmania) Code may be wound up, and the provisions of that Code, so far as they are applicable and with the necessary adaptations and modifications, apply to and in relation to the winding up of a society accordingly.

(2)  [Section 57 Subsection (2) amended by No. 9 of 1982, s. 7 and Sched. 10 ]Without prejudice to the generality of the provisions of subsection (1) , in the application of the provisions of the Companies (Tasmania) Code to the winding up of a society –

(a) a reference in the provisions of that Act to the National Companies and Securities Commission shall be construed as a reference to the Registrar of Co-operative Housing Societies;

(b) a reference in the provisions of that Code to a special resolution shall be construed as a reference to a special resolution within the meaning of this Act;

(c) a reference to a company shall be read as a reference to a society;

(d) a reference to a member of a company shall be read as a reference to a member of a society; and

(e) a reference to a director or other officer of a company shall be construed as a reference to a director or other officer of a society.

(3)  [Section 57 Subsection (3) amended by No. 9 of 1982, s. 7 and Sched. 10 ]Where a society is being wound up voluntarily and a vacancy occurs in the office of liquidator that, in the opinion of the Registrar, is unlikely to be filled in the manner provided in the Companies (Tasmania) Code , the Registrar may appoint a person to be the liquidator of the society.

(4)  In the case of a winding up upon a certificate of the Registrar, a society may be wound up if the Registrar certifies that any of the following events has occurred, that is to say:

(a) that the number of members is reduced to less than 10 and the Registrar and the Minister are satisfied that it is desirable and expedient that the society be wound up;

(b) that the society has not commenced business within a year of registration or has suspended business for a period of more than 6 months;

(c) that the specified date on which the society is to terminate has arrived;

(d) that the specified object or specified event upon the attainment or occurrence of which the society is to terminate has been attained or has occurred, as the case may be;

(e) that the registration of the society has been obtained by mistake or fraud;

(f) that the society exists for an illegal or undesirable purpose; or

(g) that the society has wilfully and after notice from the Registrar violated the provisions of this Act or of the rules of the society.

(5)  The Registrar shall not certify to any event mentioned in subsection (4) unless –

(a) the event has been proved to his satisfaction; and

(b) in the case of any of the matters referred to in paragraphs (e) , (f) , and (g) of that subsection, the Minister consents to the issue of the certificate.

(6)  Where the Registrar certifies to an event mentioned in subsection (4) he may appoint a person to be the liquidator of the society and the liquidator shall give such security, and is entitled to receive such fees, as are prescribed.

(7)  [Section 57 Subsection (7) amended by No. 9 of 1982, s. 7 and Sched. 10 ]Where the Registrar has certified to an event mentioned in subsection (4) and has appointed a liquidator, the provisions of the Companies (Tasmania) Code relating to a member's voluntary winding up of a company incorporated under that Code, so far as they are applicable and with such adaptations and modifications as are necessary (and in particular with the adaptations referred to in subsection (2) ) apply to and in relation to the winding up of the society.

(8)  Notwithstanding anything in subsection (7) –

(a) a vacancy occurring in the office of liquidator shall be filled by appointment by the Registrar; and

(b) the winding up shall be deemed to commence at the date of the certificate of the Registrar.

(9)  [Section 57 Subsection (9) amended by No. 9 of 1982, s. 7 and Sched. 10 ]The provisions of Subdivision F of Division 4 of Part XII of the Companies (Tasmania) Code , so far as they are applicable, apply to and in relation to societies registered under this Act with such adaptations and modifications as are necessary and, in particular, so that a reference in those provisions to the National Companies and Securities Commission is construed as a reference to the Registrar of Co-operative Housing Societies.

58.   Liability of members and past members in a winding up

(1)  Where a society is being wound up, every present and past member of the society is liable to contribute to the assets of the society up to the amount, if any, unpaid on the shares in respect of which he is liable as a present or past member, together with any charges payable by him to the society, for payment of the debts and liabilities of the society and the costs, charges, and expenses of the winding up, and for payment of such as may be required for the adjustment of the rights of the contributories among themselves, with the qualifications set out in this section.

(2)  In the winding up of a society a member is not liable to pay the amount unpaid on the shares in respect of which he is liable except at the time or times and subject to the conditions expressed in the rules of the society relating to the payment of share capital by instalments and, where an advance has been made, in the mortgage securing the advance.

(3)  A past member is not liable to contribute to the assets of the society if he has ceased to be a member for one year or upwards before the commencement of the winding up.

(4)  A past member is not liable in respect of a debt or liability of the society contracted after the time at which he ceased to be a member.

(5)  A past member is not liable to contribute to the assets of the society unless it appears that the existing members are unable to make the contributions required to be made by them in order to satisfy all just demands upon the society.

59.   Dissolution and cancellation

(1)  A society shall not be dissolved and the registration of a society shall not be cancelled until a certificate signed by the liquidator or by the secretary or some other officer of the society approved by the Registrar has been lodged with the Registrar certifying that all property vested in the society has been duly conveyed or transferred by the society to the persons entitled thereto.

(2)  A soon as practicable after a society is dissolved, the Registrar shall, as prescribed, register the dissolution and cancel the registration of the society and shall, as prescribed, publish notice of the dissolution.

(3)  Notwithstanding anything in subsection (1) , where in relation to a society that has been wound up the Registrar –

(a) is satisfied that the liquidator has died, or has become so incapacitated as to be unable to furnish a certificate under that subsection, or that the whereabouts of the liquidator are unknown; and

(b) is unable to discover the whereabouts of any officer or former officer of the society who is able or willing to furnish a certificate under that subsection –

the Registrar, after making such investigation as he thinks necessary in the circumstances, may register the dissolution of the society and cancel its registration without any such certificate.

PART VIII - Guarantees by the Treasurer

60.   Interpretation

In this Act, unless the contrary intention appears –

approved lender means –

(a) [Section 60 Amended by No. 74 of 1999, Sched. 2, Applied:01 Jan 2000] an authorised deposit-taking institution; and

(b) a –

(i) person or body of persons whether incorporated or unincorporated (including a trustee) declared by the Governor, by order, to be an approved lender for the purposes of this Act; or

(ii) prescribed Government;

[Section 60 Amended by No. 74 of 1999, Sched. 2, Applied:01 Jan 2000]

prescribed Government means the government of a country outside Australia that is declared by the Governor, by order, to be a prescribed Government for the purposes of this Act.

61.   Power of Treasurer to give guarantees

[Section 61 Subsection (2) amended by No. 46 of 1980, s. 9 ]

(1)  Subject to this section, the Treasurer may, on behalf of the State, guarantee –

(a) the repayment by a society to which a loan is made by an approved lender of the principal moneys lent to the society by the lender;

(b) the payment by the society to the lender of the interest payable in respect of the principal moneys so lent; and

(c) the payment by the society to the lender of any fees and charges payable to the lender in accordance with the terms and conditions on and subject to which the principal moneys are so lent.

(2)  [Section 61 Subsection (2) amended by No. 55 of 1965, s. 5 ]The Treasurer shall not, in pursuance of this section, guarantee the repayment by any one society of principal moneys in excess of the sum of $1 000 000 or the payment of interest, fees, and charges in respect of any principal moneys in excess of that sum.

(3)  [Section 61 Subsection (3) inserted by No. 35 of 1996, s. 11, Applied:01 Apr 1997] A guarantee may be in any form, and subject to any conditions, that the Treasurer considers appropriate.

62.   Security for guarantee

Before a guarantee is given by the Treasurer in pursuance of section 61 , the society in respect of which the guarantee is proposed to be given shall give to the Treasurer such security, if any, as the Treasurer may require and shall execute all such instruments as may be necessary for that purpose.

63.   Payments under guarantee

(1)  If the Treasurer is called upon to make a payment to an approved lender in consequence of giving a guarantee under section 61 , the Treasurer shall upon the demand of the lender and without any authority other than this section, make that payment to the lender out of the Consolidated Fund (which, to the necessary extent, is appropriated accordingly).

(2)  [Section 63 Subsection (2) amended by No. 46 of 1980, s. 10 ]A society shall, upon demand being made on it by the Treasurer, pay to the Treasurer any amount paid to an approved lender by the Treasurer under this section in consequence of the giving of a guarantee in relation to that society, together with interest thereon at such rate as the Treasurer determines calculated from the day of payment by the Treasurer to the lender until repayment to him by the society.

(3)  All moneys received by the Treasurer from a society under subsection (2) shall be paid by the Treasurer into the Consolidated Fund.

PART IX - Miscellaneous

Division 1 - Evidentiary provisions

64.   Certificates, &c.

(1)  [Section 64 Subsection (1) amended by No. 9 of 1982, s. 7 and Sched. 10 ]Any certificate of incorporation given by the Registrar shall be received in evidence in legal proceedings as if it were the original certificate.

(2)  [Section 64 Subsection (2) amended by No. 9 of 1982, s. 7 and Sched. 10 ]A certificate of incorporation or other official document relating to a society signed by or bearing the seal of the Registrar shall be received in evidence in legal proceedings without further proof.

(3)  [Section 64 Subsection (3) substituted by No. 9 of 1982, s. 7 and Sched. 10 ]A document certified by the Registrar to be a true copy of the rules of a society shall be received in evidence in legal proceedings as if it were the original document containing the rules of the society.

(4)  [Section 64 Subsection (4) omitted by No. 9 of 1982, s. 7 and Sched. 10 ].  .  .  .  .  .  .  .  

65.   Rules

A copy of the rules of a society purporting to be certified by the secretary of the society to be a true copy of its registered rules is evidence of the rules.

66.   Registers

The register of directors, members, and shares of a society is evidence of the particulars directed or authorized by or under this Act to be inserted therein.

67.   Minutes

(1)  An entry in the minutes purporting to be a minute of the business transacted at a meeting of a society or of the board, and to be signed by the chairman at a subsequent meeting, is evidence that the business as therein recorded was transacted at the meeting and that the meeting was duly convened and held.

(2)  An entry in the minutes of a meeting of a society to the effect that a resolution was carried, or was lost, is evidence of that fact without proof of the number or proportion of votes recorded for or against the resolution.

68.   Entries in book

A copy of an entry in a book of a society regularly kept in the course of its business shall, if certified by statutory declaration of the secretary to be a true copy of the entry, be received in evidence in any case where, and to the same extent as, the original entry is admissible.

69.   Saving

The provisions of this Division shall be read and construed as in aid of and not in derogation from any other law relating to evidence, judicial notice, or the proof of documents.

Division 2 - Offences and penalties

70.   Offences generally

[Section 70 Subsection (4) amended by No. 46 of 1980, s. 13 and Sched. 1 ][Section 70 Subsection (4) amended by No. 43 of 1991, s. 5 and Sched. 1 ]

(1)  If a society –

(a) fails to ensure that the name of the society is painted or affixed, or kept painted or affixed, on the outside of its office, or in such other place (if any) as is prescribed, as required by this Act;

(b) fails to lodge with the Registrar, as required by section 32 , notice of the situation of its registered office and of any change therein;

(c) fails to keep any register or account, or to make any entry therein, as required by this Act;

(d) fails to have at its office and open to inspection as required by this Act –

(i) a copy of this Act and the regulations thereunder, or of the rules of the society, or of the last balance sheet and final accounts together with a report of the auditor; or

(ii) any register;

(e) fails to transmit to or lodge or file with the Registrar any notice, return, or other document as required by this Act;

(f) fails to furnish within the specified time any information lawfully required by the Registrar or any other person authorized under this Act to require it; or

(g) contravenes or fails to comply with any other provision of this Act that is applicable to it –

the society is guilty of an offence against this Act.

(2)  Where a society is guilty of an offence against this Act, each officer of the society who knowingly and wilfully authorizes or permits the commission of the offence is guilty of an offence against this Act and, except as otherwise expressly provided in this Act, is liable to the same penalty as that to which the society is liable in respect of that offence.

(3)  A person who –

(a) does anything that, by or under this Act, he is forbidden to do;

(b) does not do anything that, by or under this Act, he is required to do or directed to do; or

(c) otherwise contravenes or fails to comply with a provision of this Act that is applicable to him –

is guilty of an offence against this Act.

(4)  [Section 70 Subsection (4) amended by No. 55 of 1965, s. 5 ]Where a society, or an officer or any other person, is guilty of an offence against this Act for which no penalty is expressly prescribed by some provision of this Act other than this subsection, the society, officer, or person is liable to a fine not exceeding 5 penalty units together with, in the case of a continuing offence, a fine not exceeding 1 penalty unit for each day during which the offence continues.

71.   Acting as director after office vacated

[Section 71 Amended by No. 55 of 1965, s. 5 ][Section 71 Amended by No. 46 of 1980, s. 13 and Sched. 1 ][Section 71 Amended by No. 43 of 1991, s. 5 and Sched. 1 ]A person who knowingly continues to exercise the powers of a director of a society after his office as director has been vacated, and a director of a society who knowingly permits or suffers any such person to exercise the powers of a director, is guilty of an offence against this Act.

Penalty:  Fine not exceeding 20 penalty units.

72.   Carrying on unlawful business

[Section 72 Subsection (2) amended by No. 46 of 1980, s. 13 and Sched. 1 ][Section 72 Subsection (2) amended by No. 43 of 1991, s. 5 and Sched. 1 ]

(1)  A society is guilty of an offence against this Act if it contravenes any restriction imposed by or under this Act or its rules on its power to carry on business, and, in particular, if it raises money on loan or makes an advance except as authorized by or under this Act and its rules.

(2)  [Section 72 Subsection (2) amended by No. 55 of 1965, s. 5 ]Where a society is guilty of an offence under this section, the society is liable to a fine not exceeding 50 penalty units, and each officer of the company who knowingly and wilfully authorizes or permits the commission of the offence is guilty of an offence and liable to a fine not exceeding 20 penalty units.

73.   Carrying on business with too few members

[Section 73 Subsection (1) amended by No. 46 of 1980, s. 13 and Sched. 1 ][Section 73 Subsection (1) amended by No. 43 of 1991, s. 5 and Sched. 1 ]

(1)  [Section 73 Subsection (1) amended by No. 55 of 1965, s. 5 ]If a society continues to carry on business where the number of its members is reduced below 10 for a period of one month after the number is so reduced, each person who is a director of the society during the time that it continues to carry on business after that period and is aware that it is so carrying on with less that 10 members is guilty of an offence against this Act.

Penalty:  Fine not exceeding 1 penalty unit for each day during which the offence continues.

(2)  Subsection (1) does not apply in respect of a director –

(a) who, immediately upon becoming aware that the number of members is reduced below 10, gives notice in writing of that fact to the Registrar if that notice has not already been given; and

(b) who thereafter while the number remains so reduced complies with any directions of the Registrar with respect to the conduct of the business of the society.

(3)  A person who is guilty of an offence under subsection (1) is, in addition to any penalty to which he may be liable under that subsection, liable to satisfy all obligations of the society incurred during the time referred to in that subsection, and may be sued for the satisfaction of those obligations without any other member being joined in the action.

74.   Using wrong name, &c.

[Section 74 Amended by No. 55 of 1965, s. 5 ][Section 74 Amended by No. 46 of 1980, s. 13 and Sched. 1 ][Section 74 Amended by No. 43 of 1991, s. 5 and Sched. 1 ]

(1)  If a society in any manner uses a name other than its registered name, it is guilty of an offence against this Act.

Penalty:  Fine not exceeding 1 penalty unit for each day during which the offence continues.

(2)  If an officer of a society or a person on its behalf issues or authorizes the issue of any notice, advertisement, or other official publication of the society, or signs, or authorizes to be signed on behalf of the society any bill of exchange, cheque, promissory note, endorsement, order for money, receipt, or other document required or used in the course of the business of the society, wherein its name is not stated in legible characters, he is guilty of an offence against this Act.

Penalty:  Fine not exceeding 2 penalty units.

75.   Improper sealing

[Section 75 Amended by No. 55 of 1965, s. 5 ][Section 75 Amended by No. 46 of 1980, s. 13 and Sched. 1 ][Section 75 Amended by No. 43 of 1991, s. 5 and Sched. 1 ]If an officer or a society or a person on its behalf uses any seal purporting to be the seal of the society, wherein its name is not inscribed in legible characters, the officer, society, or person is guilty of an offence against this Act.

Penalty:  Fine not exceeding 5 penalty units.

76.   Taking money before registration

[Section 76 Amended by No. 55 of 1965, s. 5 ][Section 76 Amended by No. 46 of 1980, s. 13 and Sched. 1 ][Section 76 Amended by No. 43 of 1991, s. 5 and Sched. 1 ]If before a society is registered a person takes any money in consideration of the allotment of a share or interest in the society, he is guilty of an offence against this Act.

Penalty:  Fine not exceeding 5 penalty units.

77.   False copies of rules

[Section 77 Amended by No. 55 of 1965, s. 5 ][Section 77 Amended by No. 46 of 1980, s. 13 and Sched. 1 ][Section 77 Amended by No. 43 of 1991, s. 5 and Sched. 1 ]If a person gives to a member of a society or to a person intending or applying to become a member of a society a copy of any rules or any alterations thereof other than those that have been duly registered representing that they are binding on the members of the society, or if a person makes an alteration in any of the rules of the society after they have been registered, and circulates those rules as so altered representing that they have been duly registered when they have not been so registered, he is guilty of an offence against this Act.

Penalty:  Fine not exceeding 20 penalty units.

78.   False entries

[Section 78 Amended by No. 55 of 1965, s. 5 ][Section 78 Amended by No. 46 of 1980, s. 13 and Sched. 1 ][Section 78 Amended by No. 43 of 1991, s. 5 and Sched. 1 ]If a person wilfully makes, orders, or allows to be made an entry or erasure in, or omission from, any balance sheet or account of a society or any book, register, return, or document required to be kept, sent, produced, or delivered for the purposes of this Act with intent to falsify it or to evade any of the provisions of this Act, he is guilty of an offence against this Act.

Penalty:  Fine not exceeding 50 penalty units.

79.   Imposition and misapplication of moneys, &c.

[Section 79 Amended by No. 55 of 1965, s. 5 ][Section 79 Amended by No. 46 of 1980, s. 13 and Sched. 1 ][Section 79 Amended by No. 43 of 1991, s. 5 and Sched. 1 ]If a person, by false representation or imposition, obtains possession of any property of a society, or, having any such property in his possession, withholds or misapplies it, or wilfully applies any part thereof to purposes other than those specified or authorized by the rules of the society or by this Act, he is guilty of an offence against this Act.

Penalty:  Fine not exceeding 50 penalty units.

80.   Improper commissions, &c.

[Section 80 Subsection (1) amended by No. 46 of 1980, s. 13 and Sched. 1 ][Section 80 Subsection (1) amended by No. 43 of 1991, s. 5 and Sched. 1 ][Section 80 Subsection (3) amended by No. 46 of 1980, s. 13 and Sched. 1 ][Section 80 Subsection (3) amended by No. 43 of 1991, s. 5 and Sched. 1 ]

(1)  [Section 80 Subsection (1) amended by No. 55 of 1965, s. 5 ]An officer of a society who accepts from a person for or in connection with a transaction of that person with the society a commission, fee, or reward, whether pecuniary or otherwise, that is not authorized to be paid or given by or under this Act or the rules of the society is guilty of an offence against this Act.

Penalty:  Fine not exceeding 50 penalty units.

(2)  In addition to any penalty that may be imposed on him under subsection (1) , an officer who is convicted of an offence under that subsection is liable to make good to the society double the value or amount of the commission, fee, or reward.

(3)  [Section 80 Subsection (3) amended by No. 55 of 1965, s. 5 ]A person (whether an officer of a society or not) who –

(a) demands or receives from another person for or in connection with a transaction or proposed transaction of that other person with a society a commission or fee that is not authorized to be paid by or under this Act or the rules of the society or that is in excess of any commission or fee so authorized; or

(b) advertises or otherwise holds himself out as being able to arrange or obtain finance through or from a society –

is guilty of an offence against this Act.

Penalty:  Fine not exceeding 20 penalty units.

(4)  In addition to any penalty that may be imposed on him under subsection (3) , a person who is convicted of an offence under paragraph (a) of that subsection is liable to repay to the person from whom he received it a sum equal to the value or amount of the commission, fee, or reward and the last-mentioned person may accordingly recover that sum by action in a court of competent jurisdiction.

80A.   Certain provisions of Companies (Tasmania) Code to apply to societies

[Section 80A Substituted by No. 97 of 1982, s. 6 and Sched. 7 ]

(1)  Subject to this section, the provisions of sections 541 and 542 and of sections 552 to 561 (both inclusive) of the Companies (Tasmania) Code , and such other provisions of that Code as may be necessary for the effectual operation of those provisions, so far as they are relevant and with the necessary adaptations and modifications, apply to and in relation to a society in the same way as they apply to and in relation to a corporation or company within the meaning of that Code.

(2)  Without limiting the generality of subsection (1) , for the purpose of applying the provisions referred to in that subsection to and in relation to a society –

(a) a reference in those provisions to a corporation or company shall be read as a reference to a society;

(b) a reference in those provisions to the National Companies and Securities Commission shall be read as a reference to the Registrar of Co-operative Housing Societies;

(c) a reference in those provisions to a member of a company shall be read as a reference to a member of a society;

(d) a reference in those provisions to a director of a company shall be read as a reference to a director or, as the case may be, to a member of the committee of management, of a society;

(e) a reference in those provisions to an officer of a company shall be read as a reference to an officer of a society; and

(f) a reference in section 555 of the Companies (Tasmania) Code to section 267 of that Code shall be read as a reference to the provisions of this Act relating to the keeping of accounting records by a society.

81.   Prosecutions for offences

Proceedings for an offence against this Act may be taken by the Registrar or by any other person authorized, in writing, by the Minister so to do.

82.   Civil remedies in case of contravention

If a society in making an advance or raising a loan contravenes or fails to comply with a provision of this Act or of any rule of the society, the civil rights and liabilities of the society or of any other person in respect of the recovery of the advance or loan are not affected or prejudiced by the contravention or failure, except that the money becomes immediately payable, and the same remedies may be had for the recovery of the advance or loan and for the enforcement of any security therefor as if there had not been any such contravention or failure.

Division 3 - General

82A.   

83.   Service of documents on society

A document may be served on a society by leaving it at the registered office of the society with some person apparently in the service or employment of the society or by sending it by post addressed to the society at its registered office.

84.   

85.   Exemption of certain documents, &c., from stamp duty

No duty is payable under the Stamp Duties Act 1931 upon or in relation to –

(a) any receipt given by a society for or in respect of moneys deposited with the society;

(b) any receipt given to a society by a member, or by the personal representative or attorney of a member for or in respect of moneys paid to or for the benefit of the member or his estate out of the funds of the society;

(c) any transfer of a share in a society;

(d) any bond or other security to be given to or on account of a society or by any officer of a society;

(e) any order on a society or an officer of a society for the payment of money to a member of the society;

(f) any mortgage, further charge, debenture, or other security given by a society to secure the repayment of moneys lent to the society by any person; or

(g) any other instrument or document required or authorized to be given, issued, signed, made, or produced under or for the purposes of this Act or of the rules of a society, not being a mortgage or further charge given to secure the repayment of moneys advanced by a society or a reconveyance, discharge, or release of any such mortgage or charge.

86.   Discharge of mortgage by endorsed receipt

(1)  When all moneys intended to be secured by a mortgage or further charge given to or vested in a society have been fully paid, the board may cause to be endorsed on or annexed to the mortgage or further charge a receipt in the prescribed form under the seal of the society and countersigned by the secretary of the society and by such other witnesses (if any) as may be required under the rules of the society, and, subject to this section, such a receipt operates –

(a) to vacate the mortgage or further charge; and

(b) to vest the estate of and in the property therein comprised in the person for the time being entitled to the equity of redemption, without any formal reconveyance or surrender.

(2)  [Section 86 Subsection (2) amended by No. 19 of 1980, s. 171 and Sched. 1, Pt. 2 ]No such receipt as is mentioned in subsection (1) operates so as to vacate a mortgage or further charge or to vest in the person entitled to the equity of redemption the estate in the property comprised therein unless and until the receipt has been registered as prescribed in the office of –

(a) the Recorder of Titles, if the property to which the receipt relates is land that is subject to the provisions of the Land Titles Act 1980 ; or

(b) the Registrar of Deeds, if that property is land that is not subject to the provisions of that Act.

(3)  The prescribed fee is payable to the Recorder of Titles or to the Registrar of Deeds, as the case requires, in respect of the registration of a receipt to which this section relates.

87.   Regulations

[Section 87 Subsection (2) amended by No. 46 of 1980, s. 12 and s. 13 and Sched. 1 ][Section 87 Subsection (2) amended by No. 43 of 1991, s. 5 and Sched. 1 ]

(1)  The Governor may make regulations for the purposes of this Act.

(2)  [Section 87 Subsection (2) amended by No. 55 of 1965, s. 5 ]Without prejudice to the generality of the provisions of subsection (1) , the regulations may –

(a) make provision for or with respect to the keeping of registers by the Registrar, and the lodging or registration of documents, and the time and manner of submission of documents for lodging or registration, and the requirements with which documents lodged or to be lodged with the Registrar shall comply;

(b) prescribe the fees, not in any case exceeding $100, to be paid to the Registrar in respect of documents required to be lodged, filed, or registered with, or transmitted to, or issued by the Registrar under this Act or for any act required to be performed by the Registrar, or for the inspection of any such document;

(c) prescribe the manner in which, and the persons by whom, and the directions or requirements in accordance with which, the forms prescribed for the purposes of this Act, or any of them, shall or may be signed, prepared, or completed, and generally regulate the signing, preparation, and completion of those forms, or any of them;

(d) prescribe the times for the lodging of documents with, or the transmission of documents to, the Registrar;

(e) prescribe the procedure to be followed at meetings of societies and of the boards thereof and of committees appointed by societies in general meeting or by the boards thereof, and generally regulate the conduct of any proceedings at those meetings or any of them;

(f) prescribe the cases in which liquidators appointed by the Registrar shall furnish security for the due fulfilment of their duties and the nature of the security to be so given; and

(g) .  .  .  .  .  .  .  .  

(h) provide that it is an offence for a person to contravene, or fail to comply with, any of the regulations and may impose in respect of any such offence a fine not exceeding 20 penalty units.

(3)  The regulations may require that, in such cases as may be prescribed, documents required by or under this Act to be lodged or filed with, or transmitted to, the Registrar shall be verified by statutory declaration made by such persons as may be prescribed.

88.   Construction of certain conditions imposed prior to commencement of the Co-operative Housing Societies Amendment Act 1986

Any condition imposed by a co-operative housing society pursuant to regulations made under section 87 (2) (g) , between 1 June 1981 and the date fixed by proclamation under section 2(2) of the Co-operative Housing Societies Amendment Act 1986 , which required a member to insure a building or other property in respect of which an advance was made by the society under this Act with an insurer nominated by the society is to be construed only as a condition that the member will effect insurance on the building or property with an insurer.