Local Government Credit Councils

(1) There shall be established a Department of Local Government Credit Councils (hereinafter referred to as the “Department”).

(2) There may be appointed a Director of Local Government Credit Councils (hereinafter referred to as the ” Director”) and such number of Deputy Directors and Assistant Directors of Local Government Credit Councils and such other officers and servants as are necessary for the purposes of this Act.

(1) There shall be established for each local authority one or more Local Government Credit Council (hereinafter referred to as a ” Credit Council”) :

Provided that the Director may, where he considers it necessary and appropriate, authorize the establishment of one Credit Council for more than one local authority.

(2) Every local authority employee who is pensionable or who contributes towards a provident fund, shall be a member of a Credit Council established for that local authority.

(1) The affairs of a Credit Council shall be administered by a Committee of Management consisting of a Chair man, and Secretary nominated by the Director and one elected representative for every fifty members or part thereof so however that the total number of elected representatives shall not exceed twenty-one:

Provided, however, that the Director may in addition to the elected representatives nominate not more than three representatives to the Committee of Management, if he is satisfied that any particular group or class of members of the Credit Council has not been represented in the Committee of Management.

(2) The members of the Committee of Management of a Credit Council shall, subject to the provisions of subsection (3), hold office for a period of three years.

(3) The Minister may, if he considers it expedient to do so, remove from office any member of the Committee of Management of a Credit Council for reasons of mismanagement, fraud ox negligence in the carrying out of his duties. Such removal shall not be called in question in any court.

(4)

(5) Any vacancy which may occur during the term of office of a Committee of Management may be filled, by nomination made by the Director. The number of members nominated shall, at no time exceed one-half of the total number of members of such Committee. A member nominated to such Committee shall hold office for the unexpired part of the term of office of such Committee.

(1) Where a Committee of Management of a Credit Council has been dissolved under section 5, or where there is no Committee of Management in respect of a Credit Council, the Director shall nominate an Interim Committee of Management, consisting of not more than five members, for the purpose of administering the affairs of the Committee of Management until the members, of a new Committee of Management is appointed and nominated under subsection (1) of section 5.

(2) The Director shall appoint the Chairman and the Secretary of each such Interim Committee of Management from among the persons nominated by him under subsection (1).

(a) to grant loans to members ;

(b) to ensure that loans granted are limited to actual bona fide requirements of the members ;

(c) to ensure the recovery of loans granted ;

(d) to educate and assist members to live frugally and within their means ;

(e) to promote thrift and savings habits among members ;

(f) to assist in the implementation of such policies and programmes connected with Credit Councils and their functions as may be determined by the Minister; and

(g) to assist in the rehabilitation of indebted

(1) There shall be established a fund called “the Local Government Credit. Councils Fund” (hereinafter referred to as the “Fund”) which, shall be administered by the Department.

(2) There shall be credited to the Fund –

(3) There, shall be paid out of the Fund

(4) Any surplus money in the Fund shall be invested in such manner as the Minister may approve.

(1) Every member of a Credit Council shall pay to the Council one per centum of his monthly consolidated salary per mensem, as a membership contribution.

(2) Such contributions together with dividends thereon, if any, shall be refunded to such member or his nominee authorized by him in writing or in the absence of a nominee to his legal representative on the cessation of employment of such member.

(1) The financial year of the Department shall be the calendar year.

(2) The Department shall cause proper books of accounts to be kept regularly of the income and expenditure of the Fund. .

(1) The Minister may make regulations relating to all or any of the matters prescribed or in respect of which regulations are required or authorized to be made.

(2) In particular and without prejudice to the generality of the powers conferred by subsection (1), the Minister may make regulations in respect of the following matters :

(3) Every regulation made by the Minister shall be published in the Gazette and shall come into operation on the date of such publication or on such later date as may be specified in the regulation.

(4) Every regulation made by the Minister shall, is soon as convenient after its publication in the Gazette, be brought before Parliament for approval. Any regulation which is not so approved shall be deemed to be rescinded as from the date of disapproval but without prejudice to anything previously done thereunder. Notification of the date on which a regulation is deemed to be rescinded shall be published in the Gazette.