C-4 - Savings and Credit Unions Act

Section 87 Disposition versions

1978-06-23

87. Every union must establish and maintain a general reserve.

The annual operating surplus must be allocated to that reserve in such amount that the general reserve thereupon becomes equal to at least 3 1/2% of the liabilities of the union constituted by the deposits of members, as established at the close of the last business year.

In the case of a federation, the percentage contemplated in the second paragraph is 1%.

This reserve shall not be divided among the members in whole or in part.

R. S. 1964, c. 293, s. 86; 1970, c. 59, s. 30; 1978, c. 85, s. 20.

1977-12-31

87. Every union shall establish and maintain a reserve consisting of the initiation fees, if any, and of at least ten per cent of its annual operating surplus.

Such percentage of the annual operating surplus shall be reduced to five per cent when such reserve becomes greater than ten per cent of the amount represented by the savings, deposits, loans of the union and sums paid on its common shares, as computed at the end of the last fiscal year.

Such reserve shall not be divided among the members in whole or in part.

R. S. 1964, c. 293, s. 86; 1970, c. 59, s. 30.