68Registration of current disclosure statement

68 Registration of current disclosure statement

68 Registration of current disclosure statement

(1) A distributing co-operative must take all reasonable steps to ensure that it has a current disclosure statement registered with the Registrar.

(2) The disclosure statement must contain the information necessary to ensure prospective members are adequately informed of the nature and extent of a person’s financial involvement or liability as a member of the co-operative including so far as applicable—

(a) the active membership provisions of the co-operative; and

(b) the rights and liabilities attaching to shares in the co-operative; and

(c) any other information that the Registrar directs to be included.

(3) A formation disclosure statement approved by the Registrar under section 25 is taken to be registered with the Registrar for the purposes of this section until it stops being current under subsection (4).

(4) A disclosure statement stops being current when—

(a) a change occurs in the rights or liabilities attaching to any class of share in the co-operative; or

(b) a significant change occurs in the financial position or prospects of the co-operative.

(5) The co-operative must register a new disclosure statement with the Registrar when the currently registered disclosure statement stops being current, and must do so within 14 days (or a longer period approved by the Registrar) after it stops being current.

Maximum penalty—$1,000.