sec.363Maximum permissible level of share interest

sec.363 Maximum permissible level of share interest

A person must not have a relevant interest in shares of a co-operative the nominal value of which is more than a maximum of 20% of the nominal value of the issued share capital of the co-operative. The Registrar may, by designated instrument, state a maximum greater than 20% as the maximum for subsection (1) for a particular co-operative or class of co-operatives. For example, a co-operative group may not have enough members to allow each member to comply with subsection (1) . The maximum of 20% stated by subsection (1) may be increased for a particular person by special resolution of the co-operative concerned passed by a special postal ballot. A resolution under subsection (3) does not have effect unless it is approved by the Registrar. The Registrar’s approval of the resolution may be given subject to conditions. (sec.363-ssec.1) A person must not have a relevant interest in shares of a co-operative the nominal value of which is more than a maximum of 20% of the nominal value of the issued share capital of the co-operative. (sec.363-ssec.2) The Registrar may, by designated instrument, state a maximum greater than 20% as the maximum for subsection (1) for a particular co-operative or class of co-operatives. For example, a co-operative group may not have enough members to allow each member to comply with subsection (1) . (sec.363-ssec.3) The maximum of 20% stated by subsection (1) may be increased for a particular person by special resolution of the co-operative concerned passed by a special postal ballot. (sec.363-ssec.4) A resolution under subsection (3) does not have effect unless it is approved by the Registrar. (sec.363-ssec.5) The Registrar’s approval of the resolution may be given subject to conditions.