Credit Union Act, 1997

Removal or suspension of directors and members of Supervisory Committee.

96.—(1) Where the Registrar is of the opinion, after an inspection under section 90 or after an investigation under section 92 , that it is necessary to do so in the interest of the members or creditors of a credit union or of the orderly and proper regulation of the business of a credit union, he may—

(a) remove from office, or

(b) suspend from office for such period not exceeding three months as the Registrar considers appropriate,

all or any of the directors or members of the Supervisory Committee of the credit union.

(2) The Fifth Schedule to this Act shall have effect where the Registrar has removed or suspended a director or member of the Supervisory Committee of a credit union under subsection (1); and in that Schedule—

(a) references to removal or suspension shall be construed accordingly; and

(b) “member” means a member of the Supervisory Committee.

(3) Where the Court is satisfied, because of the nature or circumstances of the case or otherwise in the interests of justice, that it is desirable, the whole or any part of any proceedings under the Fifth Schedule may be heard otherwise than in public.

(4) Where any director or member of the Supervisory Committee of a credit union is removed by the Registrar under this section or by the Court under the Fifth Schedule , the vacancy caused by the removal shall be treated as a casual vacancy.

(5) If the Court so declares, a director or member of the Supervisory Committee of a credit union who is removed as mentioned in subsection (4) shall not, for a period of five years from the date when the removal takes effect, be an officer, auditor or voluntary assistant of a credit union.

(6) Where any director or member of the Supervisory Committee of a credit union is suspended under this section, the remaining directors or members of the Supervisory Committee shall be regarded as constituting the board of directors or the Supervisory Committee, as the case may be.

(7) No claim shall lie against the Registrar, the Minister or the State for any loss of office arising directly or indirectly from any of the provisions of this section or the Fifth Schedule .