(1)The FCA may, on the application of at least 10% of a registered society’s members or (if less) 100 members—
(a)appoint one or more inspectors to examine into and report on the society’s affairs, or
(b)call a special meeting of the society.
(2)The power of the FCA to call a special meeting under this section in the case of a relevant society in respect of which a moratorium is in force under section 1A of the Insolvency Act 1986 is subject to paragraph 12(1)(b) of Schedule A1 to that Act as applied in relation to a relevant society by an order under section 118.
(3)An application under this section must be supported by such evidence for the purpose of showing that the applicants have good reason for requiring the examination or meeting (and do not have malicious motives) as the FCA directs.
(4)The society must be given such notice of the application as the FCA directs.
(5)The FCA may require the applicants to give security for the costs of the proposed examination or meeting before exercising its powers under subsection (1).
(6)The expenses of and incidental or preliminary to an examination or special meeting are to be met—
(a)by the applicants,
(b)out of the society’s funds, or
(c)by the society’s members, officers, former members or former officers,
in such proportions as the FCA directs.
(7)In this section “relevant society” means a registered society which is not—
(a)a private registered provider of social housing, or
(b)registered as a social landlord under Part 1 of the Housing Act 1996 or under Part 2 of the Housing (Scotland) Act 2010.
(1)This section supplements section 106.
(2)An inspector may—
(a)require the production of any (or all) of the society’s books, accounts, securities and documents;
(b)examine on oath its officers, members, agents and employees in relation to its business (and may for that purpose administer oaths).
(3)The FCA may direct—
(a)the time and place of a special meeting;
(b)the matters to be discussed and determined at the meeting.
(4)A special meeting has—
(a)all the powers of a meeting called in accordance with the society’s rules;
(b)the power to appoint its own chair (despite anything in the society’s rules).