36.—(1) A credit union shall not make a loan to a member unless it is approved in accordance with this section.

(2) Subject to subsections (3) and (5), a loan must be approved, according as the rules of the credit union require—

(a) by such number of members of the board of directors voting by secret ballot at a meeting of the board at which the application for the loan is considered as represents at least two-thirds of those present and a majority of the members of the board as a whole; or

(b) by such number of members of the credit committee present at a meeting of that committee at which the application for the loan is considered as represents at least two-thirds of those present and a majority of the committee members as a whole; or

(c) by a credit officer.

F46[(3) Subject to subsection (5), a loan to an officer is required to be approved by not less than two-thirds of the members of a special committee voting by secret ballot at a meeting at which the application for the loan is considered.]

F47[(4) The special committee referred to in subsection (3) shall consist of—

(a) a majority of the board of directors, and

(b) at least one member of the credit committee,

but shall not include the applicant for the loan.]

F48[(5) Notwithstanding subsection (3), a loan to an officer which does not exceed the value of the officer’s attached savings may be approved as mentioned in paragraph (b) or (c) of subsection (2).]

(6) F49[…]