The Friendly Societies Act 1992 (Amendment) Regulations 1994

Supervision of controllers

14.—(1) After section 55 of the 1992 Act insert—

“Supervision of controllers.

55A.— (1) Schedule 13A to this Act shall have effect for making provision for or in connection with the supervision by the Commission of controllers of friendly societies to which section 37(2) or (3) above applies.

(2) In this Act–

“controller”, in relation to a friendly society to which section 37(2) or (3) of this Act applies, means a person who, either alone or with any associate or associates–

(a) is entitled to exercise or control the exercise of 10 per cent. or more of the voting power at any general meeting of the society; or

(b) is able to exercise a significant influence over the management of the society by virtue of an entitlement to exercise, or to control the exercise of, the voting power at any general meeting of the society;

“notifiable voting rights”, in relation to a friendly society to which section 37(2) or (3) above applies, means voting rights which, if acquired by any person, will result in his becoming a 10 per cent. controller, a 20 per cent. controller, a 33 per cent. controller, a 50 per cent. controller or a majority controller of the society.

(3) In this section and Schedule 13A to this Act, in relation to a friendly society to which section 37(2) or (3) above applies–

• “10 per cent. controller” means a controller in whose case the percentage referred to in paragraph (a) of the definition of “controller” in subsection (2) above is 10 or more but less than 20;

• “20 per cent. controller” means a controller in whose case that percentage is 20 or more but less than 33;

• “33 per cent. controller” means a controller in whose case that percentage is 33 or more but less than 50;

• “50 per cent. controller” means a controller in whose case that percentage is 50;

• “majority controller” means a controller in whose case that percentage is more than 50.”.

(2) After Schedule 13 to the 1992 Act insert Schedule 1 to these Regulations (supervision of controllers of friendly societies to which section 37(2) or (3) applies), as Schedule 13A.