Victorian Consolidated Legislation

Co-operative Housing Societies Act 1958 - SECT 44C

Intervention by the Registrar

44C. Intervention by the Registrar





(1) If the Registrar is of the opinion that-





   (a)  a society has contravened this Act and, after being given written
        notice of the contravention by the Registrar, has allowed the
        contravention to continue or has again contravened this Act; or

   (b)  a society is trading unprofitably or has a deficiency in its net
        tangible asset position; or

   (c)  the affairs of a society are being conducted in an improper or
        financially unsound way-

the Registrar may, by written notice given to the society, place it under
direction.

(2) The Registrar may, by written notice given to the society, revoke the
notice.



(3) While a society is under direction, the Registrar may-



   (a)  order an audit of the affairs of the society by an auditor chosen by
        the Registrar at the expense of the society; or



   (b)  direct the society to change any practices that in the Commission's
        opinion are undesirable or unsound; or

   (c)  direct the society to cease or limit the raising or lending of funds
        or the exercise of other powers; or

   (d)  remove an officer, or all the officers, of the society from office and
        appoint another officer or other officers; or

   (e)  remove any auditor of the society from office and appoint another
        auditor; or

   (f)  give any other directions as to the way in which the affairs of the
        society are to be conducted or not conducted.

(4) If the society-

   (a)  fails, without reasonable excuse, to comply with a direction given or
        requirement made under this section to the extent that the society is
        capable of doing so; or

   (b)  without reasonable excuse, obstructs, hinders or resists the exercise
        of the Commission's powers under this section-

the society and any officer of the society who is in default each commit an
offence.

(5) An officer or auditor appointed under this section holds office for such
term as the Registrar directs.

Penalty applying to this section: 100 penalty units and a daily penalty of not
more than 10 penalty units for each day during which the default continues or
imprisonment for one year, or both.

Division 7-Supervision levy