Section 47Part 6 — Audit, Inspection and Inquiry in respect of Cooperative Societies other than Credit Unions
Inquiry and inspection
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The Registrar may, of that person’s own motion, and shall, on the application of a majority of the committee, or of not less than one-third of the members of a registered society other than a credit union, hold an inquiry or direct some person authorised by the Registrar by order in writing in this behalf to hold an inquiry into the constitution, working and financial condition of a registered society other than a credit union, and all officers and members of the society shall furnish such information in regard to the affairs of the society and produce the cash in hand and such books, accounts, papers and securities of the society as the Registrar or the person authorised by the Registrar may require.
The Registrar shall, on the application of a creditor of the registered society other than a credit union, inspect or direct some person authorised by the Registrar in writing in that person’s behalf to inspect the books of the society, if the applicant —
proves that an ascertained sum of money is then due to the applicant and that the applicant has demanded payment thereof and has not received satisfaction within a reasonable time; and
deposits with the Registrar such sum as security for the cost of the proposed inspection as the Registrar may require.
The Registrar shall communicate the results of any such inspection to the creditor and to the society into whose affairs inquiry has been made.
Where an inquiry is held under subsection (1) or an inspection is made under subsection (2), the Registrar may apportion the costs or such part of the costs, as the Registrar may think right, among the registered society, the members demanding an inquiry, the officers or former officers of the society and the creditor, if any, on whose application the inquiry was made.
Any sum awarded by way of costs against any society or person under this section may be recovered in like manner as money payable under a judgment of the Grand Court for a civil debt.