Industrial and Provident Societies (Amendment) Act, 1978

Registrar's power to appoint person to society's management committee.

15.—(1) Where the Registrar is of the opinion, after an inspection under section 11 or after an investigation under section 13, that it is necessary to do so in the interest of the orderly and proper regulation of the business of a society, he may appoint a person to be a member of the committee of management of the society.

(2) Without prejudice to the generality of subsection (1), the Registrar shall, before exercising a power conferred on him by this section, have regard to—

(a) the compliance or otherwise by the society with any provisions of (or directions of the Registrar under) this Act, and

(b) any financial transactions which have been undertaken, or are in the course of being undertaken, by the society and which, in the Registrar's opinion, are, or are likely to be, prejudicial to the interests of the public or of creditors of the society.

(3) A person appointed under this section shall hold office for such period and on such terms as the Registrar may specify and, on the expiry of such a period, the Registrar may renew the appointment for such period or periods as he may specify.

(4) All expenses of and incidental to the appointment of a person under this section, including the remuneration of such a person, shall be defrayed out of the funds of the society, or by the members (or former members) or officers of the society, in such proportions as the Registrar shall direct.

(5) An officer, member, agent or servant of a society shall at all times give all information required by a person appointed under this section for the full and satisfactory performance of his duties.

(6) A person appointed under this section shall report to the Registrar, in such manner and with such frequency as the Registrar may direct, on the affairs of the society.