Building Societies (Amendment) Act, 1986

Power of Minister to prescribe purposes for which loan may be made.

3.—(1) Notwithstanding any provision of the Acts and of any statutory instrument made thereunder, a society may, in addition to any other loan which it may make under the Acts, make, for such purposes and subject to such conditions (other than conditions in relation to the rate of interest chargeable on a loan) as the Minister, with the consent of the Minister for Finance and after consultation with the Registrar, may prescribe, loans to members, with or without security as may be so prescribed, and different conditions may be prescribed in relation to different classes of loans.

(2) The Minister may make regulations providing for any modification, adaptation, amendment, repeal, revocation or termination of any provisions of the Acts as may reasonably be necessary or proper for the purposes of subsection (1) of this section or to give full effect to any provisions of subsection (1) of this section or any regulations made thereunder.

(3) Where regulations are proposed to be made under subsection (2) of this section, a draft of the proposed regulations shall be laid before each House of the Oireachtas and the regulations shall not be made until a resolution approving of the draft has been passed by each such House.

(4) The Registrar may, whenever he considers that—

(a) it is expedient in the interest of the orderly and proper regulation of building society business, or

(b) a society has carried on business in a manner prejudicial to such regulation,

issue to any society or, as the case may be, to that society, a direction prohibiting or restricting, as he considers proper, the making of loans pursuant to subsection (1) of this section to members, and any such direction shall have effect in accordance with its terms.

(5) The Registrar may, at any time as circumstances may demand, revoke a direction under subsection (4) of this section.