168Former shareholders to be taken to be shareholders for certain purposes

168 Former shareholders to be taken to be shareholders for certain purposes

(1) Even though a person’s shares in a co-operative have been forfeited under this Part, the person is to be taken to be the holder of shares in the co-operative (the same in all respects as those that were forfeited) for the following purposes:

(a) the entitlement of a shareholder in relation to the purchase of shares in the co-operative under an offer described in section 373 (1) (a), (b) or (c) or the purchase of all the shares in the co-operative, if the offer or purchase occurs within 2 years after the person’s shares were forfeited;

(b) the entitlement of a shareholder when the co-operative becomes registered as a company if the relevant special resolution under section 404 is passed within 2 years after the person’s shares were forfeited;

(c) the entitlement of a shareholder to a distribution of surplus in a winding up of the co-operative that starts within 2 years after the person’s shares were forfeited.

(2) Subsection (1) (a) does not apply to:

(a) an offer described in section 373 (1) (a) or (c) that is made by another co-operative; or

(b) the purchase of all the shares in the co-operative by another co-operative.

(3) Subsection (1) (c) does not apply if the winding up is for a merger under Part 4.3.

(4) The entitlement under subsection (1) (a) of a person whose shares have been forfeited does not include an entitlement to vote on any matter.

(5) This section does not apply to a forfeited shareholding in a co-operative if section 169 operates so as to require the forfeited shareholding to be regarded as a forfeited shareholding in another co-operative.