Marginal note:Unknown claimants
327. (1) On the dissolution of a cooperative under this Act, the portion of the property to be distributed to a creditor, member or shareholder who cannot be found must be converted into money and paid to the Receiver General.
Marginal note:Deemed satisfaction
(2) A payment under subsection (1) is deemed to be in satisfaction of a debt or claim of the creditor, member or shareholder.
(3) If at any time a person establishes their entitlement to any money paid to the Receiver General under this Act, the Receiver General must pay the person an equivalent amount out of the Consolidated Revenue Fund.
Marginal note:Vesting in Crown
328. (1) Subject to subsection 326(2) and section 327, property of a cooperative that has not been disposed of at the date of its dissolution under this Act vests in Her Majesty in right of Canada.
Marginal note:Return of property on revival
(2) If a cooperative is revived as a cooperative under section 308, any property, other than money, that vested in Her Majesty under subsection (1) and that has not been disposed of must be returned to the cooperative, and there must be paid to the cooperative out of the Consolidated Revenue Fund
(a) an amount equal to any money received by Her Majesty under subsection (1); and
(b) if property other than money vested in Her Majesty under subsection (1) and the property has been disposed of, an amount equal to the lesser of
(i) the value of the property at the date it vested in Her Majesty, and
(ii) the amount realized by Her Majesty from the disposition of the property.
(3) [Repealed, 2001, c. 14, s. 216]
- 1998, c. 1, s. 328;
- 2001, c. 14, s. 216.
329. (1) Any interested person may apply, without notice or on any notice that the court may require, to a court having jurisdiction in the place where the cooperative has its registered office for an order directing an investigation to be made of the cooperative and any of its affiliates.
(2) The court may order an investigation to be made of the cooperative and any of its affiliates if, on an application under subsection (1), it appears to the court that the application is neither frivolous nor vexatious and that
(a) the cooperative is not organized, operated or carrying on business on a cooperative basis;
(b) the business or the affairs of the cooperative are not being carried out or conducted in accordance with
(i) the restrictions contained in its articles,
(ii) its by-laws,
(iii) a unanimous agreement, or
(iv) this Act;
(c) the business of the cooperative or any of its affiliates is or has been carried on with intent to defraud a person;
(d) the business or affairs of the cooperative or any of its affiliates are or have been carried on or conducted, or the powers of the directors are or have been exercised, in a manner that is oppressive or unfairly prejudicial to, or that unfairly disregards the interests of, a member or a security holder;
(e) the cooperative or any of its affiliates was formed for a fraudulent or unlawful purpose or is to be dissolved for a fraudulent or unlawful purpose; or
(f) persons concerned with the formation, business or affairs of the cooperative or any of its affiliates have, in connection with the formation, business or affairs of the cooperative, acted fraudulently or dishonestly.
Marginal note:No security for costs
(3) An applicant under this section is not required to give security for costs.
- 1998, c. 1, s. 329;
- 2001, c. 14, s. 217(F).
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