Building Societies Act, 1989
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Liability of officers of society to penalty where proper accounting records not kept. |
111.—(1) If— | |
(a) a society that is being wound up and that is unable to pay all of its debts has contravened section 76 , and | ||
(b) the Court considers that such contravention has contributed to the society's inability to pay all of its debts or has resulted in substantial uncertainty as to the assets and liabilities of the society or has substantially impeded the orderly winding up thereof, | ||
every officer of the society who is in default shall be guilty of an offence. | ||
(2) In a prosecution for an offence under this section it shall be a defence for the person charged to show that— | ||
(a) he took all reasonable steps to secure compliance by the society with section 76 , or | ||
(b) he had reasonable grounds for believing and did believe that a competent and reliable person, acting under the supervision or control of a director of the society who has been formally allocated such responsibility, was charged with the duty of ensuring that that section was complied with and was in a position to discharge that duty. |