Industrial and Provident Societies Act 1978

1 Raising of maximum deposit.

(1) In section 7(3) of the [1965 c. 12.] Industrial and Provident Societies Act 1965 (hereafter in this Act referred to as " the Act of 1965 ") for the words " two pounds " (denoting the limit of deposits which can be taken at any one time) there shall be substituted the words " ten pounds " and for the words " fifty pounds " (denoting the maximum amount which can be taken from any one depositor) there shall be substituted the words " two hundred and fifty pounds ".

(2) Where immediately before the coming into force of this Act the registered rules of a society registered under the Act of 1965 permitted depositors under the said section 7(3) to deposit a maximum of £50 then laid down thereby, the committee may, by a resolution recorded in writing, resolve that depositors may be permitted to hold such greater amount not exceeding £250 as may be specified in the resolution, and the registered rules shall have effect accordingly.

(3) Where immediately before the coming into force of this Act the registered rules of a society registered under the Act of 1965 permitted depositors under the said section 7(3) to deposit a maximum of not more than £2 in any one payment, the committee may, by a resolution recorded in writing, resolve that depositors may be permitted to deposit a maximum of not more than £10 in any one payment as may be specified in the resolution, and the registered rules shall have effect accordingly.

(4) The powers conferred on the committees of registered societies by subsections (2) and (3) above shall not be exercisable after the expiration of the period of eighteen months beginning with the date on which this Act comes into force or after the coming into force of an order under section 2 below ; and if any amendment of the rules of a society is made after the coming into force of this Act and before the expiration of the time allowed by this subsection for exercising that power the power shall cease to be exercisable by the committee of that society on the date on which the amendment is registered under section 10 of the Act of 1965.

(5) The committee of a registered society shall not have power to vary or revoke a resolution under subsections (2) or (3) above except in so far as they may be authorised to do so by an order under section 2 below.

(6) Where the committee of a registered society have exercised the power to pass a resolution under subsection (2) or (3) above and an amendment of the society's rules is subsequently registered under section 10 of the Act of 1965 the registered rules of the society shall thereupon have effect as if the resolution had not been passed, so, however, that this subsection shall not affect any interest in the funds of the society held by a depositor immediately before the date on which the amendment is registered.