SCHEDULES

SCHEDULE 11 Committee of Management: Supplementary

Part II Dealings with Members of Committee of Management

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1

The following provisions of the M1Building Societies Act 1986—

a

section 62 (prohibition of tax-free payments to directors);

b

section 63 (disclosure of interests in contracts and other transactions);

c

section 64 (substantial property transactions);

d

section 65 (restriction on loans etc);

e

section 66 (sanctions);

f

section 68 (records of loans etc) with Schedule 9;

g

section 69 (disclosure and record of related businesses); and

h

section 70 (interpretation),

shall have effect as if any reference to a director of a building society included a reference to a member of the committee of management of a friendly society or registered branch.

2

The provisions mentioned in sub-paragraph (1) above shall have effect in their application to such members with the substitution—

a

of a reference to a friendly society or registered branch for every reference to a building society; and

b

of a reference to the committee of management for every reference to the directors or board of directors.

3

Section 65 shall in addition have effect in its application to them—

a

with the omission of subsection (1)(c); and

b

with the substitution in subsection (1)(d) of the words “ loan or disposal of property ” for the words “loan, disposal of property or payment".

4

Section 69 shall in addition have effect with the substitution—

a

of the following subsection for subsection (3)—

3

The following are relevant services—

a

legal services;

b

accountancy services;

c

services of a broker in respect of the society’s insurance business;

d

reinsurance of the society’s insurance business;

e

any other services designated as relevant services.

b

of a reference to Part II of this Schedule for every reference in subsection (7) to Schedule 10 to the Building Societies Act.

6

The requisite particulars of the business of a business associate of a friendly society or registered branch are accordingly those set out in paragraphs 10 to 12 or 13 to 15 below.