Industrial and Provident Societies (Amendment) Act, 1978

• Permanent Page URL

Registrar's powers consequential on section 16.

17.—(1) This section applies in a case where the Registrar has made a direction under section 16 and the direction has not been revoked.

(2) It shall be the duty of the society concerned to make reasonable arrangements for using the funds of the society to meet applications (duly made in accordance with the rules of the society by investors in the society) for repayment of moneys deposited or otherwise invested by them.

(3) Where it appears to the Registrar that the society concerned has been applying an undue proportion of the funds of the society in making loans, in preference to making such arrangements as are mentioned in subsection (2), he may, after giving notice to the society and affording it an opportunity of making representations, make an application under section 19 to the Court for the winding up of the society.