17Calls on shares

17 Calls on shares

17 Calls on shares

(1) The board may from time to time make calls on the members for any amounts unpaid on the shares of the members (whether on the nominal value of the shares or by way of premium), regardless of the share subscription amount (if any) specified in the terms of issue of the shares.

(2) Each member must, on receiving at least 14 days’ notice of the time and place of payment, pay to the co-operative, at the time and place specified, the amount called on the shares.

(3) The directors may revoke or postpone a call.

(4) A call is taken to have been made when the resolution of the directors authorising the call was passed and may be required to be paid by instalments.

(5) The joint holders of a share are jointly and severally liable to pay all calls for the share.

(6) If an amount called for a share is not paid before or on the day fixed for payment of the amount, the person from whom the amount is due must pay interest on the amount from the day fixed for the payment of the amount to the time of actual payment at the rate, not more than 16% per annum, the directors decide, but the directors may waive payment of all or part of the interest.

(7) An amount that, under the terms of issue of a share, becomes payable on allotment or at a fixed date, whether on account of the nominal value of the share or by way of premium, is for these rules taken to be a call made and payable on the day that, under the terms of issue, the amount becomes payable. If the amount is not paid, all relevant provisions of these rules about payment of interest and expenses, forfeiture or otherwise apply as if the amount had become payable under a call properly made and notified.

(8) The board may, in relation to the issue of shares, differentiate between the holders in the amount of calls to be paid and the times of payment.

(9) The board may accept from a member all or part of the money uncalled and unpaid on shares held by the member.

(10) The board may authorise payment by the co-operative of interest on all or part of an amount accepted under subrule (9) until the amount becomes payable, at a rate agreed between the board and the member paying the amount, of not more than 8% per annum or another rate fixed by the co-operative by special resolution.