Co-operative Societies Act 1979 · 2020 Revised Edition · Part 5 · Organisation and Management of Societies
64. Disclosure of interests in transactions, property, offices, etc.
Feedback & supportSubject to this section, every member of the committee of management of a society who is in any way, whether directly or indirectly, interested in a transaction or proposed transaction with the society must as soon as practicable after the relevant facts have come to the member’s knowledge declare the nature of the member’s interest at a meeting of the committee of management of the society.
member
“member” includes an individual person or institution qualifying for membership in a co-operative society, who or which join in the application for the registration of a society, and an individual person or institution admitted to membership after registration in accordance with this Act, the Rules and the by-laws;
The requirements of subsection (1) do not apply —
in any case where the interest of the member of the committee of management of the society consists only of being a member or creditor of a corporation which is interested in a transaction or proposed transaction with the society if the interest of the member of the committee of management may properly be regarded as not being a material interest; or
in such other cases as the Minister may prescribe.
For the purposes of subsection (1), a general notice given to the members of the committee of management of a society by a member of the committee of management to the effect that the member is an officer of a specified corporation or a member of a specified firm or a partner or an officer of a specified limited liability partnership and is to be regarded as interested in any transaction which may, after the date of the notice, be made with that corporation, firm or limited liability partnership is deemed to be a sufficient declaration of interest in relation to any transaction so made if —
committee of management
“committee of management” means the governing body (by whatever name called) of a society which is responsible for the management of the affairs of the society;
it specifies the nature and extent of the member’s interest in the specified corporation, firm or limited liability partnership;
the member’s interest is not different in nature or greater in extent than the nature and extent so specified in the general notice at the time any transaction is so made; and
it is given at a meeting of the committee of management or the member of the committee of management takes reasonable steps to ensure that it is brought up and read at the next meeting of the committee of management after it is given.
Every member of the committee of management of a society who holds any office or possesses any property whereby, whether directly or indirectly, duties or interests might be created in conflict with the member’s duties or interests as member of the committee of management must declare at a meeting of the committee of management of the society the fact and the nature, character and extent of the conflict.
society
“society” means a co-operative society registered under this Act and includes a primary society, a secondary society and an apex organisation;
The declaration referred to in subsection (4) must be made at the first meeting of the committee of management held —
after the member becomes a member of the committee of management; or
if the member is already a member of the committee of management, then after the member commenced to hold the office or to possess the property referred to in that subsection,as the case requires.
The secretary of the society must record every declaration under this section in the minutes of the meeting at which it was made.
For the purposes of this section, an interest of a member of the family of a member of the committee of management of a society is treated as an interest of the member of the committee of management and the words “member of the family of a member of the committee of management of a society” include the member’s spouse, son, adopted son, stepson, daughter, adopted daughter and stepdaughter.
This section is in addition to and not in derogation of the operation of any rule of law or any provision in the by-laws restricting a member of the committee of management of a society from having any interest in transactions with the society or from holding offices or possessing properties involving duties or interests in conflict with the member’s duties or interests as a member of the committee of management of the society.
by-laws
“by-laws” means the registered by-laws made by a society in the exercise of any power conferred by this Act, and includes a registered amendment of the by-laws;
In this section, unless the context otherwise requires —
“corporation” means any body corporate incorporated, formed or existing in Singapore or elsewhere and includes any foreign company within the meaning of section 4(1) of the Companies Act 1967;
“officer” —
officer
“officer” includes a chairperson, vice‑chairperson, director, secretary, assistant secretary, treasurer, assistant treasurer, member of committee of management, employee, internal auditor, liquidator or other person empowered under this Act, the Rules or the by-laws, to give directives in regard to the business of a society or to supervise the business;
in relation to a corporation, has the meaning given by section 4(1) of the Companies Act 1967; and
in relation to a limited liability partnership, has the meaning given by section 2(1) of the Limited Liability Partnerships Act 2005.
limited liability partnership
“limited liability partnership” has the meaning given by section 2(1) of the Limited Liability Partnerships Act 2005;
Any member of the committee of management of a society who contravenes any provision of this section shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $5,000 or to imprisonment for a term not exceeding 12 months or to both.