C-67.3 - Act respecting financial services cooperatives

Section 55 Disposition versions

2018-07-13

55. The by-laws of a financial services cooperative that authorize it to issue capital shares and investment shares must set out the rights, privileges, conditions and restrictions attaching to each class of shares provided for in the by‑laws.

Unless otherwise provided by this Act, a cooperative may not issue capital shares or investment shares to an acquirer other than

(1)  one of its members;

(2)  a fund established by the by-laws of the cooperative for the purpose of holding shares for the benefit of the members;

(3)  the security fund of a cooperative group;

(4)  an issuing corporation referred to in section 475;

(5)  a member of a credit union that is a member of the federation issuing the shares; or

(6)  a federation of which the credit union issuing the shares is a member.

When a federation apportions all or part of the proceeds of an issue referred to in subparagraph 5 of the second paragraph among member credit unions, section 481 applies, with the necessary modifications.

2000, c. 29, s. 55; 2018, c. 23, s. 56.

2001-07-01

55. Where authorized by its by-laws, a financial services cooperative may issue capital shares and investment shares. The cooperative shall determine, by by-law, the rights, preferences, conditions and restrictions attaching to each class of shares.

The value and number of capital or investment shares issued to auxiliary members may not exceed the value and number that may be determined by regulation of the Government.

2000, c. 29, s. 55.