Section 66: Investment of assets

66. Investment of assets (1) A society may invest its assets in such manner as may be specified in its rules or decided by the general meeting. C49 – 35 [Issue 9] Co-Operatives Act (2) The Board shall, when investing the assets of the society, consider the liquidity and the security aspect of the investments. (3) The rules shall specify the amount of the assets— (a) which the Board may invest without the approval of the general meeting; and (b) above which the Board shall have to obtain the approval of the general meeting before investing the assets. (4) Where a report has been prepared by a Principal Co-operative Auditor, an inspector, an auditor or an internal controller, and, from the reports, the Registrar has reason to believe that the investment policy carried out by the Board is not in the interests of the members, the Registrar may direct the society to hold a general meeting within such time as the Registrar may specify for the purpose of considering the reports and, if need be, reviewing the investment policy of the society. (5) Where— (a) a complaint, in writing, is made to the Registrar by— (i) one fifth of the total number of members or 2 members, whichever is higher; and (ii) the members referred to in subparagraph (i) hold not less than 20 per cent of the ordinary shares, or not less than 30 per cent of the preference shares, of the society; (b) the Registrar has reason to believe that the investment policy carried out by the Board is not in the interests of the members, he may take such action as specified in subsection (4).