Co-operatives Act, 2005 (Act No. 14 of 2005)

Chapter 4 : General Meetings

Purchase

(1)	A co-operative’s decision-making structure provided for in its constitution must conform with the requirements of this section.

(2)	The highest decision-making structure of a co-operative is a general meeting of members.

(3)	The board of directors is accountable—

(a)	to the general meeting; and

(b)	between general meetings, to the supervisory committee if a supervisory committee is provided for in the constitution of a co-operative.

(4)	The supervisory committee—

(a)	must be elected at the meeting contemplated in section 29(1)(a), when the Board is elected;

(b)	must consist of members who are not directors; and

(c)	may be established for every co-operative if the constitution of the co-operative concerned provides for such committee.

[Section 27(4) inserted by section 24 of Notice No. 558, GG 36729, dated 5 August 2013]

(5)	The supervisory committee—

(a)	is responsible for supervising the Board by representing the interests of its members;

(b)	must, if there is reasonably reliable information that indicates that any act or omission by the Board may impact negatively on the co-operative or any of its members, call a special meeting of all its members to discuss such act or omission; and

(c)	must, within seven days after a special meeting contemplated in paragraph (b), in writing inform the—

(i)	Tribunal of the outcome of such meeting; and

(ii)	Board and the member or members affected or concerned of the meeting’s decision and reasons for the decision.

[Section 27(5) inserted by section 24 of Notice No. 558, GG 36729, dated 5 August 2013]

(6)	If the supervisory committee has not complied with subsection (5)(c), a member of the co-operative may report the matter to the Tribunal for investigation.

[Section 27(6) inserted by section 24 of Notice No. 558, GG 36729, dated 5 August 2013]