Inspection of books by Registrar

Inspection of books by Registrar. –

1. (1) The Registrar may, on the application of a creditor of a registered society, inspect or direct some person authorised by him in this behalf by order in writing to inspect, the book of the society.
2. (2) No inspection shall be made or directed under section
3. (1) unless the applicant –
   • (a) satisfies the Registrar that debt is a sum then due, and that he has demanded payment thereof and has not received satisfaction within a reasonable time; and
   • (b) deposits with the Registrar such sum as security for the costs of the proposed inspections as the Registrar may require.
4. (3) Where an inspection is made under sub-section (1), the Registrar shall communicate the results of such inspection to the creditor, to the society and to the financing bank, if any to which the society is affiliated.