Friendly Societies and Industrial and Provident Societies (Miscellaneous Provisions) Act 2014

Cessation of formation of new separate loan funds

6. The Act of 1896 is amended by the insertion of the following section after section 46:

“Cessation of formation of new separate loan funds

46A. (1) Notwithstanding section 46, and subject to subsection (2), a registered society shall not, after the date (in this section referred to as ‘the operative date’) of the coming into operation of section 6 of the Friendly Societies and Industrial and Provident Societies (Miscellaneous Provisions) Act 2014, form a separate loan fund under the said section 46.

(2) The amendment effected by subsection (1) shall not apply where—

(a) a registered friendly society has formed a separate loan fund under the said section 46, and

(b) an application to register the necessary rule change has been received by the registrar,

before the operative date.”.