Tasmanian Consolidated Acts Tasmanian Consolidated Acts
(1) If a cooperative continues to carry on business for more than 28 days after the number of members is reduced below the minimum number of members allowed, every person who is a director of the cooperative during the time when it so continues to carry on business and who knows it is carrying on business with fewer than the minimum number of members allowed is guilty of an offence and liable on summary conviction to a fine not exceeding 20 penalty units.
(2) Each person who is guilty of an offence under subsection (1) is also liable to satisfy all obligations of the cooperative incurred after the 28 days referred to in subsection (1), 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 than 5 is prescribed under the regulations, the prescribed number.
(4) The Commissioner may, by order, extend and further extend in a particular case the period of 28 days referred to in subsection (1).
(5) An application for an extension must be made –
(a) in a form approved by the Commissioner; and
(b) before the period to be extended expires.