Building Societies Act, 1989

Conversion statement.

103.—(1) Before a conversion resolution is moved pursuant to section 101 a statement in accordance with subsection (2) shall be sent by the building society to every member entitled to notice of the meeting of the society at which the conversion resolution is to be moved or, as the case may be, of the postal ballot.

(2) Every statement required by subsection (1) shall—

(a) summarise in sufficient detail, to enable persons entitled to vote to decide how to vote on the resolution, the matters required to be referred to in, and the documents required to be annexed to, the conversion scheme by section 101 ;

(b) state the reasons for the proposal to convert;

(c) specify any proposed change in the principal activities of the society to be carried on by its successor with particular reference to its proposed policy in relation to the making of loans for the provision and improvement of housing and the determination of the rate of interest to be charged on such subsisting and future loans;

(d) state the financial position and record of the society and its subsidiaries;

(e) state the interest (if any) of the officers of the society in the conversion;

(f) state the compensation or other consideration (if any) proposed to be paid to or in respect of the officers of the society;

(g) state the manner in which the salary, fees, borrowing rights and other benefits of officers of the society to be appointed to any position by the successor company or any company associated with it will be affected;

(h) state that a full and complete copy of the scheme for conversion may be obtained on demand and free of charge by any member at every place of business of the society at any time during normal business hours; and

(i) deal with such other matters as the Central Bank may specify.

(3) A statement under this section shall not be sent to members of the society unless the contents have been approved by the Central Bank.