Co-Operative Societies Act 2008
71. Borrowing powers of the Board
1. Subject to the by-laws, the Board may without authorization of the members of a society—
a. borrow money on the credit of the society;
b. issue, re-issue, sell or pledge debt obligations of the society;
c. give a guarantee on behalf of the society to secure performance of an obligation of any person; and
d. Mortgage, charge hypothecate, pledge or otherwise create a security interest in all or any property of the society, owed or subsequently acquired, to secure any debt obligation of the society.
2. A sale, lease or exchange of all or substantially all of the property of a society, other than in the ordinary course of business of the society, must be approved by the members in a manner provided in subsections (3) to (7).
3. The directors shall send, in the manner provided in section 43, a notice of a special meeting to consider the sale, lease or exchange mentioned in subsection (2) to each member.
4. The notice mentioned in subsection (3) must include or must be accompanied by a copy of a summary of the agreement of sale, lease or exchange mentioned in subsection (2).
5. At a special meeting held pursuant to this section the members may, by special resolution—
a. authorize the sale, lease or exchange mentioned in subsection (2); and
b. Fix or authorize the directors to fix, any terms and conditions of sale, lease or exchange.
6. Each member of the society has the right to vote with respect to any sale, lease or exchange contemplated by this section.
7. A sale, lease or exchange mentioned in subsection (2) is adopted when the members of the society have approved the sale, lease or exchange by a special resolution.