333Limits on deposit taking

333 Limits on deposit taking

333 Limits on deposit taking

A co-operative must not accept money on deposit unless—

(a) the co-operative is authorised by its rules to accept money on deposit and was authorised by its rules immediately before the commencement of this section in this jurisdiction to accept money on deposit; or

(b) the co-operative was a deposit-taking corporation immediately before it became a co-operative and it is authorised by its rules to accept money on deposit; or

(c) for a merged co-operative—one or more of the co-operatives involved in the merger was a deposit-taking co-operative immediately before the registration of the merged co-operative and the merged co-operative is authorised by its rules to accept money on deposit.

Note—

Paragraph (a) prevents a co-operative from accepting money on deposit unless it was authorised to do so before the commencement of this section. Accordingly, co-operatives registered before that commencement but not so authorised and all co-operatives registered after that commencement are prevented from accepting money on deposit. Authorisation under previous legislation commenced at various times in the various jurisdictions.