4BApproved credit unions

4B Approved credit unions

(1) In this section:

financial year, in relation to a credit union, means:

(a) a period of twelve months ending on 30 June; or
(b) if the credit union has adopted a period of twelve months ending on any other day as its accounting period—a period of twelve months ending on that other day.

housing loan means a loan made for or in connexion with any one or more of the following purposes:

(a) the purchase of land that could, at the time when the loan was made, lawfully be used for residential purposes;
(b) the purchase of a dwelling‑house;
(c) the construction of a dwelling‑house; and
(d) the payment of expenses incurred, or to be incurred, in connexion with a purpose referred to in a preceding paragraph of this definition.

registered company auditor means a person registered as a company auditor under a law in force in a State or Territory.

(2) The Secretary may, on application by a credit union, by instrument under his hand, approve that credit union for the purposes of this Act. (3) An approval under the last preceding subsection shall be deemed to have taken effect on and from the first day of the last financial year of the credit union that ended before the date of application by the credit union for approval. (3A) The Secretary is not required to approve a credit union for the purposes of this Act where, if the approval were granted, it would, by virtue of subsection (3), be deemed to have taken effect on and from a date later than 31 December 1976. (4) The Secretary shall not approve a credit union unless: (a) he is satisfied that not less than twenty per centum of the total amount that was lent by the credit union to its members during the last financial year of the credit union that ended before the date of the application for approval was lent by way of housing loans; and (b) the credit union has given him an undertaking in writing that not less than twenty per centum of the total amount that will be lent by the credit union to its members during each subsequent financial year will be lent by way of housing loans. (5) An application by a credit union for approval shall: (a) be in writing in accordance with a form made available by the Secretary; (b) contain an undertaking of a kind referred to in paragraph (b) of the last preceding subsection; (c) specify the address of its place of business, or principal place of business, and an address for service of notices; (d) be signed by an officer of the credit union; (e) be lodged with the Secretary; and (f) be accompanied by a statement, together with a certificate by a registered company auditor as to the correctness of the statement, setting out such information as is necessary to enable the Secretary to satisfy himself as to the matter referred to in paragraph (a) of the last preceding subsection. (6) An approved credit union shall, within three months after the expiration of each financial year of the credit union ending on or after the date on which the credit union became an approved credit union, furnish to the Secretary a statement, together with a certificate by a registered company auditor as to the correctness of the statement, setting out: (a) the total amount that was lent by the credit union to its members during that financial year; and (b) the total amount that was lent by the credit union to its members during that financial year by way of housing loans. (6A) Subsection (6) does not require a credit union to furnish to the Secretary a statement in respect of a financial year ending after 31 December 1976. (7) If a financial year of a credit union ends on or after the date on which the credit union applied for approval and before the date on which the credit union became an approved credit union, the credit union shall, within three months after that last‑mentioned date, furnish to the Secretary a statement and certificate in accordance with subsection (6) in relation to that financial year. (8) The Secretary may at any time, by notice under his hand sent by post to the address for service of a credit union that is an approved credit union or has applied for approval, require that credit union to furnish to him, within such time as is specified in the notice, such information as he requires in relation to loans made by the credit union during a financial year referred to in paragraph (a) of subsection (4), subsection (6) or subsection (7). (9) If an approved credit union: (a) has failed to comply with the undertaking given by the credit union in connexion with its application for approval; (b) has failed to comply with the requirements of subsection (6) or subsection (7); or (c) has failed to comply with a requirement of the Secretary under the last preceding subsection; the Secretary may, by instrument under his hand, withdraw the approval given in relation to the credit union, but the withdrawal does not take effect until the expiration of six months after the date of the withdrawal. (10) As soon as practicable after the Secretary grants approval to, or withdraws the approval of, a credit union, he shall: (a) cause to be sent by post to the credit union, at its address for service, a notice of the approval or withdrawal and the date as from which the approval is, by virtue of subsection (3), to be deemed to have taken effect or the withdrawal is, by virtue of the last preceding subsection, to take effect, as the case may be; and (b) cause to be published in the Gazette a notice specifying the name, and the address of the place of business, of the credit union and the date as from which the approval is, by virtue of subsection (3), to be deemed to have taken effect or the withdrawal is, by virtue of the last preceding subsection, to take effect, as the case may be.