Conversion of co‑operative
28 Conversion of co‑operative
A co‑operative may, by alteration of its rules, convert from —
a co‑operative with share capital to a co‑operative without share capital or vice versa; or
a distributing co‑operative to a non‑distributing co‑operative or vice versa.
An alteration of the rules for the conversion of a co‑operative with share capital to a co‑operative without share capital cannot be passed until at least 2 weeks after a notice has been published in a newspaper circulating generally in the district in which the registered office of the co‑operative is situated advising of the proposal to submit the proposed alteration to members of the co‑operative.
An alteration of the rules for the conversion of a non‑distributing co‑operative to a distributing co‑operative does not have effect without the prior approval of the Registrar under section 103.
An alteration of the rules for the conversion of a co‑operative must be approved by special resolution passed by means of a special postal ballot.
The Registrar may, by order published in the Gazette, exempt a co‑operative or class of co‑operatives from the requirements of subsection (3).
An exemption may be granted unconditionally or subject to conditions.
[Section 28 amended: No. 7 of 2016 s. 19.]
The statute text is free to read above. View Pro plans to unlock the case-law research tools for each provision.