Australian Capital Territory Consolidated Acts Australian Capital Territory Consolidated Acts(1) If a cooperative continues to carry on business for more than 28 days after the day the number of members is reduced below the minimum number of members allowed, every person who is a director of the cooperative while it so continues to carry on business, and who knows it is carrying on business with fewer than the minimum number of members allowed, commits an offence.
Maximum penalty: 20 penalty units.
(2) Each person who commits an offence against subsection (1) is also liable to satisfy all obligations of the cooperative incurred after the 28 days mentioned in that subsection, and may be sued without any other member being joined in the action.
(3) The minimum number of members allowed is—
(a) for an association or federation—2; or
(b) for any other cooperative—5 or, if a lesser number is prescribed by regulation, that number.
(4) The registrar may, by notice, extend and further extend in a particular case the period of 28 days mentioned in subsection (1).
(5) An application for an extension must be made before the period to be extended ends.
Note If a form is approved under s 466 for an application, the form must be used.