Co-operative Banks Act, 2007 (Act No. 40 of 2007)Chapter VIIA : Co-Operative Financial Institutions40E. Repayment of deposits on de-registration or lapsing of registration |
| (1) | The Authority may, on the de-registration of a co-operative financial institution, direct the co-operative financial institution to repay any deposits, including interest thereon, held by that co-operative financial institution as at the date of de-registration within the period specified in the directive. |
| (2) | A directive referred to in subsection (1) may— |
| (a) | apply to all deposits generally; or |
| (b) | differentiate between different types, kinds and amounts of deposits. |
| (3) | A co-operative financial institution that fails to comply with a directive under subsection (1) is deemed not to be able to pay its debts. |
[Section 40E inserted by section 290, item 7 in Schedule 4, of Act No. 9 of 2017 - effective 1 October 2018 (paragraph (h) of Notice 169 of 2018)]