Credit Union and Co-operation with Overseas Regulators Act 2012

45.

Restructuring of credit unions.

45.— (1) Where 2 or more credit unions decide to submit, either jointly or severally in respect of themselves, a proposed restructuring plan (in this Act referred to as the “restructuring proposal”) to ReBo, it shall be in such form and contain such information (including funding requirements and any analysis required to be undertaken) as ReBo may, from time to time, specify in writing as required for the purpose of the submission of a proposal to it.

(2) Every restructuring proposal under this section shall provide for—

( a) the amalgamation of credit unions, or

( b) the transfer of engagement between credit unions,

under Part IX of the Principal Act.

(3) Where ReBo decides that it will be or is relevant to its consideration of a restructuring proposal, it may—

( a) before submission to it of the restructuring proposal, and whether or not at the request of the credit union or credit unions concerned, indicate to the credit union or credit unions concerned that it requires the restructuring proposal to contain such additional information (including any analysis to be undertaken) as ReBo specifies, and

( b) after submission of the restructuring proposal to it, require such additional information (including any analysis to be undertaken) to be provided to it as ReBo specifies to the credit union or credit unions concerned.

(4) ReBo may require a credit union or group of credit unions to engage a third party approved by ReBo to prepare a report to verify the information provided to it under subsection (3) or otherwise .

(5) ReBo shall consider and assess any restructuring proposal submitted to it, including any funding requirements submitted to it in accordance with any requirements issued under subsection (1), and any information required under subsection (3)(b) or report under subsection (4). Following such consideration and assessment, the Board of ReBo shall—

( a) approve the restructuring proposal as a restructuring plan for the credit union or credit unions concerned, and, where relevant, recommend to the Minister the provision of financial support under this Part in respect of the restructuring proposal as a restructuring plan for the credit union or credit unions concerned, with or without specified conditions, or

( b) reject the restructuring proposal.

(6) Where ReBo approves the restructuring proposal as a restructuring plan for the credit union or credit unions concerned, with or without specified conditions, and makes a recommendation to the Minister it shall advise the Bank of its approval and recommendation (together with those conditions).

(7) Nothing in this Part prevents ReBo from making a recommendation to the Bank, in relation to an individual credit union for the purposes of section 65.