Building Societies Act, 1989
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Confirmation of amalgamation or transfer. |
98.—(1) An application for confirmation by the Central Bank of an amalgamation of building societies or a transfer of engagements shall be made in such manner as the Bank may specify. | |
(2) A society which makes, or joins in making, an application for confirmation of an amalgamation or a transfer shall, within 7 days after the date of the application, cause to be published, in at least 2 daily newspapers published in the State and circulating in the areas in which the chief offices of the societies concerned in the proposal are situated, a notice giving particulars of the application and indicating that objections or representations relating to it may be made in writing to the Central Bank within such period (being not less than 21 days after the date of publication of the notice) as may be specified in the notice. | ||
(3) A notice under subsection (2) shall be in such form as the Central Bank may specify and shall indicate that a copy of the statement prepared under section 97 may be obtained on demand at the chief office of the society during the ordinary office hours of the society. | ||
(4) Objections and representations relating to an application under subsection (1) may be made to the Central Bank within the period specified in the relevant notice published under subsection (2). | ||
(5) The Central Bank shall allow the society or societies seeking confirmation of an amalgamation or transfer an opportunity to comment on the representations made before the expiration of such period as the Bank specifies in a notice to the society. | ||
(6) The Central Bank, having considered any application, objection, representation and comment under this section, shall either— | ||
(a) confirm the amalgamation or transfer; or | ||
(b) where it is satisfied that— | ||
(i) confirmation would be contrary to the public interest or the Bank's functions as respects societies, | ||
(ii) in the case of an amalgamation or in the case of a transfer which was the subject of a special resolution, some information material to the members' decision about the amalgamation or transfer was not made available to all the members eligible to vote, or | ||
(iii) some relevant requirement of this Act or the rules of any of the societies participating in the amalgamation or transfer was not fulfilled or not fulfilled as regards that society, | ||
subject to subsection (7), refuse to confirm the amalgamation or transfer. | ||
(7) The Central Bank shall not be precluded from confirming an amalgamation or transfer by virtue only of the non-fulfilment of some relevant requirement of this Act or the rules of a society if it appears to the Bank that it could not have been material to the members' decision about the amalgamation or transfer and the Bank is satisfied that the failure may be disregarded for the purposes of this section. | ||
(8) A failure to comply with a requirement of this Part or any rules of a society shall not invalidate an amalgamation or transfer but a society which and any person who fails to comply with any requirement of this Part shall be guilty of an offence. |