Building Societies Act, 1976

Permission to advertise.

19.—(1) A society which is incorporated on or after the 5th day of December, 1975, shall not advertise for or otherwise solicit deposits or subscriptions for shares after the commencement of this section without the prior permission in writing of the Registrar.

(2) A society which on the 5th day of December, 1975, had total assets of less than £1,000,000 shall not advertise for or otherwise solicit deposits or subscriptions for shares on or after the commencement of this section without the prior permission in writing of the Registrar.

(3) A permission to advertise given under this section may be expressed to be valid for a specified period, and in such a case a society shall not advertise for or otherwise solicit deposits or subscriptions for shares after the expiration of the specified period without the further permission in writing of the Registrar.

(4) The Registrar may at his discretion require a society, which advertises for or otherwise solicits deposits or subscriptions for shares on or after the commencement of this section other than in accordance with a permission given under this section, to submit to him evidence satisfying him that its total assets on the date specified in subsection (2) were not less than the sum required under that subsection.

(5) The Registrar shall not give permission under this section unless he is satisfied that—

(a) the society has carried on business during portion or all of the period of two years ending on the date of application for such permission in a manner which has not been prejudicial to the orderly and proper regulation of building society business;

(b) the society has complied with the requirements of section 18, if that section applies to it, and with the requirements of section 20;

(c) the name of the society is not undesirable and does not so resemble the name of another society or the name of a person carrying on in the State banking business within the meaning of the Act of 1971 as to be calculated to deceive;

(d) the society complies with such conditions in relation to liquidity, reserves and other matters of a financial nature as may be prescribed by the Minister for Finance under Part IV;

(e) the society is able to meet its obligations to its creditors, has not suspended any payments lawfully due by it and is not in arrears with any interest due on shares in, or deposits with, the society; and

(f) there is not outstanding at the date of application for permission under this section any part of a loan of which particulars were or are required under section 43 (1) to be included in an annual return submitted to the Registrar.

(6) An application for permission under this section shall not be made before a society has sent to the Registrar at least one annual return under section 70 for a financial year covering a period of not less than twelve months or, in any financial year, before the annual return for the previous financial year has been sent to the Registrar.

(7) Where the Registrar refuses to give permission under this section he shall, within six months of receiving the application for such permission, notify the society of his decision and of his reasons for it, and an appeal may be made to the Court against the decision.