Credit Union Act, 1997

Functions of board of directors.

55.—Without prejudice to the generality of section 53 (1), the board of directors shall have the following functions—

(a) the making of decisions on applications for loans;

(b) the fixing from time to time of the amount of the surety bond required by section 73 in respect of any officer of the credit union who has custody of funds or other property of the credit union;

(c) the fixing from time to time of the rate of interest to be charged on loans to members, and of the rate of interest to be paid on deposits;

(d) the recommendation to members, for approval, of dividends to members;

(e) the fixing from time to time of the maximum numbers of shares in the credit union which may be held by a member and of the maximum amount that a member may deposit with the credit union, such limits to apply equally to all members;

(f) the fixing from time to time of the maximum amount which may be on loan at a particular time to a member in respect of loans, such limits to apply equally to all members;

(g) the making of decisions in respect of the investment of funds of the credit union;

(h) the employment and the terms of employment of such person or persons as the board of directors consider necessary for the purposes of the credit union;

(i) the purchase, sale, renovation, repair and alteration of property for the credit union;

(j) the borrowing of money by the credit union;

(k) the designating of depositories for the funds of the credit union, and signatories to cheques, drafts or similar documents drawn on an account of the credit union;

(l) the removal from office of an officer or committee member, except members of the Supervisory Committee, for failure to perform his duties;

(m) the submitting of the accounts of the credit union for audit;

(n) the making of arrangements for the annual general meetings, meetings of the board of directors and other meetings as deemed necessary from time to time;

(o) the convening of a special general meeting in accordance with section 79 whenever they think fit;

(p) the sanctioning of expense payments whether by way of expense claim or invoice;

(q) the taking, in accordance with the instructions of the members at a general meeting of the credit union, of any lawful action not inconsistent with the registered rules; and

(r) appointing such committees or officers as the board of directors considers desirable or necessary to assist it in the proper discharge of the business of the credit union.