Fines payable by members
126 Fines payable by members
(1) A co-operative may impose a fine on a member for an infringement of the rules of the co-operative if the rules so provide.
(2) A fine imposed under subsection (1) must not be more than the maximum fine fixed by the rules of the co-operative.
A fine must not be imposed unless:
(a) notice of intention to impose the fine and the reason for it has been given to the member; and
(b) the member has been given a reasonable opportunity to appear before the board in person (with or without witnesses), or to send to the board a written statement, to show cause why the fine should not be imposed.
(4) The co-operative may set-off the whole or any part of the fine against an amount payable to the member for produce delivered by the member to the co‑operative, but no part of the fine is to be set‑off against any advance payable to the member from the co‑operative under the rules of the co-operative against produce so delivered.
This Act’s bill:Explanatory statement
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