Co-operatives Act, 2005 (Act No. 14 of 2005)Chapter 2 : Registration, Constitution, Powers of Co-operative and Registered Office and Record Keeping by Co-operativePart 2 : Constitution and powers of co-operative19. Restrictions on functions of co-operatives |
[Section 19 heading substituted by section 17(a) of Notice No. 558, GG 36729, dated 5 August 2013]
| (1) | A co-operative may do all things necessary to carry out its objectives, subject to limitations imposed by its constitution, this Act and any other law. |
| (2) | A co-operative must not pursue any objective or perform any act that is not authorised by its constitution. |
[Section 19(2) substituted by section 17(b) of Notice No. 558, GG 36729, dated 5 August 2013]
| (3) | Subject to subsections (1) and (2), a co-operative must record all business transactions concluded with members and non-members in its annual financial statements. |
[Section 19(3) inserted by section 17(c) of Notice No. 558, GG 36729, dated 5 August 2013]
| (4) | Any co-operative or director of a co-operative which contravenes the provisions of subsection (1), (2) or (3) is— |
| (a) | guilty of an offence; and |
| (b) | on conviction liable to a fine not exceeding one million rand. |
[Section 19(4) inserted by section 17(c) of Notice No. 558, GG 36729, dated 5 August 2013]