Mauritius
Co-operatives Act
Act 22 of 2016
- Commenced on 2 May 2017
- [This is the version of this document at 30 June 2017.]
Part I – Preliminary
1. Short title
This Act may be cited as the Co-operatives Act.2. Interpretation
In this Act—"Advisory Board" means the Co-operative Development Advisory Board set up under section 102;"annual general meeting" means the general meeting held once in every financial year where members exercise most of their rights;"application" means an application for registration under section 14;"arbitrator" means a person appointed as such by the Registrar under section 81;"audit" means an audit under section 73;"auditor" means a person licensed to practise as an auditor under the Financial Reporting Act;"audit report" means a report referred to under section 73;"Board" means the Board of Directors referred to in section 47;"bonus" means a portion of the surplus referred to in section 65;"bonus share" means a share issued by a society from its Reserve Fund under section 63;"class" means a class of society specified in the first column of the Fourth Schedule;"College" means the National Co-operative College established under section 103;"Co-operative Principles" includes—(a)voluntary and open membership;(b)democratic member control;(c)member economic participation;(d)autonomy and independence;(e)education, training and information;(f)cooperation among co-operatives; and(g)concern for community;"credit union" means a society the objects of which are to promote thrift among, and provide credit to, its members;"determination" means a decision of, or an order made by, the Registrar, an arbitrator or liquidator, on an issue he is empowered to decide under this Act;"dispute" means a dispute referred to the Registrar under section 80;"dividend" means a portion of the net surplus of a society divided among its members in proportion to the paid up shares held by them;"dormant member" means a member of a society who does not transact any business with the society for more than 2 years;"dormant society" means a society which has ceased its operation for more than 2 years;"employee" means a person employed by a society;"first general meeting" means the first meeting of members held after the registration of a society;"Fund" means the Co-operative Development Fund established under the Finance and Audit Act and set up under section 116;"inspector" means a person qualified to be appointed as inspector under section 4;"internal controller" means an internal controller appointed under section 55;"liability", in relation to a member, means liability of a person for the debts of a society of which he is a member and which he will be called upon to contribute in case of liquidation of the society;"liquidator" means a person appointed as such under section 95;"Mauritius Standards Bureau" has the same meaning as in the Mauritius Standards Bureau Act;"member" means a person who holds a share in a society;"Minister" means the Minister to whom responsibility for the subject of co-operatives is assigned;"multi-purpose society" means a society the objects of which include the activities of not less than 2 classes of society;"net surplus" means the excess of income over expenditure of a society at the end of a financial year after provision has been made for statutory reserves;"nominee" means a person appointed as such under section 35;"officer", in relation to a society—(a)means a person empowered to give directions in regard to the business of the society; and(b)includes the President, Secretary, Treasurer, director or manager of a registered society and any other office bearer appointed according to the rules of the society;"past member" means a person whose membership has been terminated by withdrawal, transfer of his shares or expulsion;"primary society" means a society which satisfies the conditions specified in section 5;"Principal Co-operative Auditor" means the Principal Co-operative Auditor referred to in section 72;"Registrar" means the Registrar of Co-operative Societies referred to in section 3;"Reserve Fund" means the fund referred to in section 63;"rules" means the rules of a society;"school society" means a society, the membership of which is restricted to the pupils and staff of a school;"secondary society" means a society which satisfies the conditions specified in section 6;"society" means a co-operative society registered under this Act;"special general meeting" means a general meeting convened under section 42;"special reserve fund" means a fund maintained pursuant to section 63 (3);"supervising officer" means the supervising officer of the Ministry;"surplus" means the excess income earned by a society in a financial year in respect of the business carried out by the society;"tertiary society" means a society which satisfies the conditions specified in section 7;"Tribunal" means the Co-operative Tribunal referred to in section 84.Part II – Administration
3. Registrar of Co-operative Societies
4. Appointment of inspector
Part III – Formation of societies
5. Membership of primary society
6. Membership of secondary society
7. Membership of tertiary society
8. Minimum share capital
9. Liability of society
10. Proposed activities and purposes
Every proposed society shall, in its rules, specify in clear and concise terms—11. Rules of society
The rules of every society shall—12. Registered office and hours of business
13. Name of society
Part IV – Registration of society
14. Application for registration
15. Objects of society
The object of a society shall be, inter alia, to—16. Processing of application
17. Certificate of registration
18. Effect of registration
19. Register of societies
20. Effect of rules
21. Amendment of rules and change of name
22. Obligations in relation to resolution
Part V – Powers, privileges and duties of society
23. Power to sue
A society may, pursuant to its powers, initiate legal action against the Secretary, an internal controller, the auditor, an employee, a member, director, creditor, debtor, past Secretary, past member, past director, past internal controller, past auditor, past employee, past creditor or past debtor where any such person has committed an act which is detrimental to the interests of the society.24. Register of members
25. Books and documents to be kept
26. Proof of entries in books of societies
27. Acts of societies not invalidated
Any act of a society executed by any officer or employee of a society shall not be invalidated—28. Attachment, charge and set-off
29. Priority of claims
30. Privilege on bankruptcy of members
Notwithstanding any other enactment but subject to section 29 (6), where a member is adjudged bankrupt, the claim of a society in respect of any amount due to it by the member shall be a privileged claim and shall rank immediately after any claim by a landlord in respect of rent or an employee in respect of wages.31. Fiscal exemptions of societies and members
32. Transfer of shares or interest
Part VI – Rights and obligations of members
33. Rights of members
Subject to section 34, every member may—34. Exercise of rights
No person shall exercise any right as member unless he has—35. Appointment of nominee
36. Obligations of members
37. Termination of membership
38. Expulsion of members
Part VII – Organisation of society
39. General meetings
The general meeting shall be the supreme authority of the society.40. First general meeting
41. Annual general meeting
42. Special general meeting
43. Procedure at general meetings
44. Quorum at general meetings
45. Voting at general meetings
Part VIII – Management of society
46. Composition of management
47. The Board
48. Qualifications of directors
49. Election of directors
50. Government nominees as directors
51. Non-member as director
52. Duties of directors
53. Removal of directors
54. Meetings of directors
55. Internal controller
56. Revocation of internal controller
57. Anti-money laundering and combating financing of terrorism
58. Notification to Registrar
59. Contracting out management of society
Part IX – Property and funds of society
60. Funds of societies
The funds of a society shall consist of—61. Shares
62. Conditions for membership participation
Every society shall, in its rules, set out the conditions for the participation of its members in the capital of the society, including the minimum contribution that each member has to make in the form of—63. Reserve Fund
64. Order of distribution of net surplus
The surplus of a society shall be distributed in the following order of priority—65. Payment of bonus and dividend
66. Investment of assets
67. Restrictions on borrowings and credit
68. Seizure of property
Part X – Accounts, records and audit
69. Financial year
70. Keeping of accounts and records
71. Bank accounts
72. Co-operative Audit Unit
73. Audit
74. Persons not eligible to act as auditor
No person shall carry out the audit of a society, or prepare an audit report regarding a society, where he—75. Liability of Principal Co-operative Auditor or auditor
Part XI – Inquiry
76. Inquiry on a society
77. Investigation and remedies
78. Powers of inspectors
79. Costs of inquiry
Part XII – Disputes and arbitration
80. Disputes
81. Appointment of arbitrator
For the purpose of this Part, the Registrar may, subject to the approval of the supervising officer and depending on the complexity of the case, appoint as an arbitrator—82. Procedure for arbitration
83. Attachment before award
84. Co-operative Tribunal
85. Proceedings of Tribunal
86. Powers of Tribunal
87. Determination of Tribunal
88. Appeal
Part XIII – Joint venture, amalgamation, merger and conversion of societies
89. Joint venture
90. Amalgamation
91. Merger
92. Conversion into another class of society
Part XIV – Dissolution and liquidation of societies
93. Voluntary dissolution
94. Power to order dissolution
95. Appointment of liquidator
96. Powers of liquidator
97. Duties of liquidator
98. Protection of liquidator
Where a society is in the course of winding up, no action shall be instituted against the liquidator, the society or its members except by leave of the Registrar and subject to such terms and conditions as he may determine.99. Powers of Registrar on liquidation
100. Disposal of assets on liquidation
101. Fraud
Part XV – Co-operative Development Advisory Board
102. Advisory Board
Part XVI – National Co-operative College
103. Establishment of College
104. Objects of National Co-operative College
The objects of the College shall be to—105. Functions and powers of College
106. The Council
107. Director of College
108. Appointment of employees
109. Legal proceedings
110. Annual report of College
The Council shall, not later than 6 months after the close of a financial year, submit to the Minister an annual report on the activities of the College for that financial year.111. Execution of documents
112. General Fund
113. Donations and legacies
Article 910 of the Code Civil Mauricien shall not apply to the College.114. Offences for use of name or logo of College
Any person who, without the authority of the Council, uses its name or logo shall commit an offence and shall, on conviction, be liable to a fine not exceeding 10,000 rupees and to imprisonment for a term not exceeding one year.115. Exemption from duties and charges
Notwithstanding any other enactment, the College may, subject to the approval of the Minister responsible for the subject of finance, be exempted from the payment of any duty, levy, rate, charge, fee or tax.Part XVII – Miscellaneous
116. The Co-operative Development Fund
117. Report
The Registrar shall, not later than 6 months after the end of the financial year, submit to the Minister an annual report on the operation of this Act.118. Directives and guidelines by Registrar
119. Authorised officers
120. Service of notices
Every notice issued or order made under this Act or the rules of a society may be served—121. Execution of orders and awards
122. Offences
123. Jurisdiction
Notwithstanding—124. Use of computer system
The supervising officer may authorise—125. ***
126. Regulations
127. Transitional provisions
128. ***
History of this document
30 June 2017 this version
Consolidation
02 May 2017
Commenced