Credit Union Act 1997

Winding up under the Companies Acts.

134

134. (1) Subject to this section, a credit union may be dissolved by being wound up in accordance with the Companies Acts and, accordingly, those Acts shall, subject to any necessary modifications, apply as if a credit union were a company limited by shares.

(2) In the application of the Companies Acts to the winding up of a credit union—

( a) any reference in those Acts to the registrar of companies shall be construed as a reference to the F274 [ Bank ];

( b) any reference in those Acts to the articles of association shall be construed as a reference to the rules of a credit union; and

( c) any reference in those Acts to a special resolution shall be construed as a reference to a special resolution within the meaning of this Act.

(3) Without prejudice to subsection (2), where a credit union is being wound up as mentioned in subsection (1), the F274 [ Bank ] shall be entitled to appear and be heard in any proceedings relating to the winding up.

(4) Where a credit union is wound up as mentioned in subsection (1), the liability of a present or past member of the credit union for payment of the debts and liabilities of the credit union, the expenses of winding up and the adjustment of the rights of contributories among themselves shall be qualified as follows—

( a) no person who ceased to be a member not less than one year before the beginning of the winding up shall be liable to contribute;

( b) no person shall be liable to contribute in respect of any debt or liability contracted after he ceased to be a member;

( c) no person who is not a member shall be liable to contribute unless it appears to the Court that the contributions of the existing members are insufficient to satisfy the just demands on the credit union;

( d) no contribution shall be required from any person exceeding the amount, if any, unpaid on the shares in respect of which he is liable as a past or present member; and

( e) in the case of a share which has been withdrawn, a person shall be taken to have ceased to be a member in respect of that share as from the date of his notice under section 32 (1) of intention to withdraw or, as the case may be, the approval of the withdrawal under section 32 (3)(b) .

F275 [ (5) Where a credit union is wound up by virtue of this section, sections 293 to 299 of the Companies Act 1963 and sections 202 to 204 of the Companies Act 1990 , in so far as they relate to the liabilities of directors and officers (within the meaning of those Acts) of a company being wound up, shall apply with any necessary modifications in relation to the officers of the credit union to whom paragraph (a) of the definition of officer in section 2 applies. ]

Annotations:

Amendments:

F274

Substituted (1.05.2003) by Central Bank and Financial Services Authority of Ireland Act 2003 (12/2003), s. 35(1) and sch. 1 pt. 24 item 95, S.I. No. 160 of 2003, subject to transitional provisions in s. 36 and sch. 3 para. 26.

F275

Substituted (11.10.2013) by Credit Union and Co-operation with Overseas Regulators Act 2012 (40/2012), s. 35 and sch. 1 item 113, S.I. No. 393 of 2013.