Friendly Societies Act 1992

89 Power of [F1 appropriate authority] to alter requirements for transfer by friendly society. U.K.

(1) If the [F2 appropriate authority] is satisfied that it is expedient to do so in the interests of the members or potential members of a friendly society, it may give a direction under this section (“a direction”)—

(a) modifying the requirements of subsection (2)(b) and (c) of section 86 above; and

(b) modifying or disapplying the requirements of Part I of Schedule 15 to this Act,

in relation to a particular proposed transfer or to all transfers made by the society after the making of the direction.

[F3 (1A) The PRA must consult the FCA before giving a direction under this section.]

(2) A direction may not modify the requirements of section 86(2) above so as to permit a society to resolve to make a transfer by a resolution passed by less than a majority, or to require more than a three-quarters majority, of those voting on the resolution.

(3) The [F2 appropriate authority] shall not give a direction unless—

(a) an application has been made to it by not less than 10 per cent. of the members of the society concerned or, in the case of a society with more than 1000 members, by not less than 100 members of the society;

(b) not less than one month before giving the direction the [F2 appropriate authority] has served on the society concerned a notice stating that it proposes to make a direction and specifying the considerations which have led it to conclude that it would be expedient to give it;

(c) the [F2 appropriate authority] has considered any representations made by the society with respect to the notice mentioned in paragraph (b) above within such period (not being less than one month) from the date on which the society was served with the notice as the [F2 appropriate authority] may allow; and

(d) if the society so requests, the [F2 appropriate authority] has afforded to it an opportunity of being heard by it within that period.

(4) If the [F2 appropriate authority] considers it expedient to do so in the interests of the members or potential members of the society concerned, it may vary or revoke a direction by a further direction.

(5) On giving a direction in relation to a society, the [F2 appropriate authority] shall serve on the society a copy of the direction, specifying the considerations which have led it to conclude that it is expedient to give the direction; but the [F2 appropriate authority] may not give a direction unless all the considerations so specified were those, or among those, which were specified in the notice served on the society under subsection (3) above.

(6) Notice of a direction shall be published by the [F2 appropriate authority] in one or more of the London Gazette, the Belfast Gazette or the Edinburgh Gazette, as it thinks appropriate, and in such other ways as appear to the [F2 appropriate authority] expedient for informing the public.

[F4 (6A) The PRA must send to the FCA a copy of any direction it issues under this section.]

[F5 (7) The [F6 [F7 FCA] shall keep a copy of any direction given under this section] in the public file of the society concerned.]

Textual Amendments

F1 Words in s. 89 heading substituted (1.4.2013) by The Financial Services Act 2012 (Mutual Societies) Order 2013 (S.I. 2013/496), art. 1(1), Sch. 9 para. 38(6) (with Sch. 12)

F2 Words in s. 89 substituted (1.4.2013) by The Financial Services Act 2012 (Mutual Societies) Order 2013 (S.I. 2013/496), art. 1(1), Sch. 9 para. 38(2) (with Sch. 12)

F3 S. 89(1A) inserted (1.4.2013) by The Financial Services Act 2012 (Mutual Societies) Order 2013 (S.I. 2013/496), art. 1(1), Sch. 9 para. 38(3) (with Sch. 12)

F4 S. 89(6A) inserted (1.4.2013) by The Financial Services Act 2012 (Mutual Societies) Order 2013 (S.I. 2013/496), art. 1(1), Sch. 9 para. 38(4) (with Sch. 12)

F5 S. 89(7) substituted (1.12.2001) by S.I. 2001/3649, arts. 1, 203(3)

F6 Words in s. 89(7) substituted (17.8.2001 for specified purposes and otherwise 1.12.2001) by S.I. 2001/2617, arts. 2, 8(1), 13(1), Sch. 3 para. 99(b) (with art. 13(3), Sch. 5); S.I. 2001/3538, art. 2(1)

F7 Word in s. 89(7) substituted (1.4.2013) by The Financial Services Act 2012 (Mutual Societies) Order 2013 (S.I. 2013/496), art. 1(1), Sch. 9 para. 38(5) (with Sch. 12)