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provisions of sub-sections (4) and (5) of Section 3 of the Act of 1918, or of any arrangements made by the dissolved Society under sub-section (5) aforesaid, and the provisions of Section 4 of the said Act shall apply to such extent and subject to such modifications, if any, as the Joint Committee may determine.

(2) Upon the completion of the scheme the Commissioners shall give notice to the persons who were members of the dissolved Society and became members of the Dissolved Societies Fund of the terms of the scheme and the date on which it will come into operation, which shall be a date to be fixed by the Commissioners and shall be not less than seven days after the dispatch of the said notices, and after the date so fixed the benefits to which such persons shall be entitled shall be payable at the rates and for the periods specified in the scheme.

(3) If upon such valuation being made no deficiency is found, the benefits of persons who were members of the dissolved Society and became members of the Dissolved Societies Fund shall, as from such date after the completion of the valuation as the Commissioners may fix, be the ordinary benefits (other than additional benefits) payable under the principal Act.

Dissolved

122.-(1) After the end of the half-year in which the valuation Time limit of a dissolved Society is completed, or, if the half-year ends for member within three months of the date of completion, then after the ship of end of the succeeding half-year, every person who was a member Societies of the dissolved Society and became a member of the Dissolved Fund. Societies Fund shall, unless he proves to the satisfaction of the Commissioners that by reason of the state of his health or for any other reason approved by the Commissioners he cannot or could not reasonably expect to obtain admission into a Society, cease to be a member of the Dissolved Societies Fund.

In the case of a dissolved Society in whose assets a deficiency bas been found and a scheme prepared under the last preceding Article, the date of the completion of the scheme shall be substituted in this paragraph for the date of the completion of the valuation.

(2) Any person, other than a person permitted to remain a member of the Dissolved Societies Fund as aforesaid, who fails to become a member of a Society within the period aforesaid, shall thereupon become a deposit contributor.

(3) Where the state of health of a person permitted to remain a member of the Dissolved Societies Fund subsequently becomes such that he can or could reasonably expect to obtain admission to a Society, the Commissioners may require such person to take steps to become a member of a Society within such period as they may determine, not being less than three months from the date of the notice requiring him so to do, and if he fails to become a member of a Society within that period, the Commissioners may, if they think fit, determine his membership of the Dissolved Societies Fund and he shall thereupon become a deposit contributor.

123. The Commissioners shall, as soon as may be, send notice Notice to be to every person who was a member of a dissolved Society and given. became a member of the Dissolved Societies Fund of the date

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by which he is required to become a member of a Society and of the steps to be taken by him for that purpose, and no person shall be entitled to withdraw from the Dissolved Societies Fund until after the date on which such notice as aforesaid is sent to Provision of him. transfer

values from
Dissolved
Societies
Fund.

Powers of
Joint
Committee.

Dissolution

of Society with branches.

Society

carrying on business in more than one part of United Kingdom.

124. Where a member of the Dissolved Societies Fund becomes a member of a Society, there shall be debited to the Dissolved Societies Fund and credited to the Society a transfer value calculated by reference to the benefits to which he would have been entitled had he remained a member of the Fund, and where such transfer value is less than the transfer value calculated by reference to the ordinary benefits under the principal Act the insured person shall be entitled to make payment to the Society of the difference, and thereupon shall, until the next valuation of that Society, be entitled to the ordinary benefits.

125. The Joint Committee may make such transfers of members as they think fit between the several Dissolved Societies Funds under the control of the several bodies of Commissioners, and may make such financial adjustments as may be necessary between those funds.

126.—(1) Where a Society with branches dissolves, any one or more of the branches may before the date of dissolution apply to the Commissioners for approval as a separate Society, and, if approval is granted, the funds to which each such branch is entitled (including a share of the Contingencies Fund of the Society), as may, with the approval of the Commissioners, be agreed between the Committee of Management of the Society and the Committee of Management of the branch and, failing agreement, as may be determined by the Commissioners, shall be transferred to the Society so formed: provided that where a Society with branches is formed by two or more branches of the dissolved Society, the portion of the Contingencies Fund of the dissolved Society applicable to the branches forming the new Society shall form the Contingencies Fund of the new Society, and the other funds of the branches shall form the funds of the branches of the new Society.

(2) The insured members of any branches which are not so approved shall become members of the Dissolved Societies Fund. as from the date of dissolution, and the funds of those branches, after such adjustments as aforesaid, shall be transferred to the Dissolved Societies Fund, and for the purpose of this Part of these Regulations such branches shall be dealt with as though they formed a single Society.

127. Where a dissolving Society carries on business in more than one part of the United Kingdom and where the insured members resident in the several parts of the United Kingdom, or any such parts, have not been treated for the purposes of the provisions of the principal Act relating to valuations, surpluses, deficiencies and transfers as if they formed separate Societies, the Joint Committee shall, upon the valuation of the assets and liabilities of the Society apportion the funds between the several bodies. of Commissioners according to the residence of the members in each part of the United Kingdom, and the funds so apportioned

shall be transferred to the Dissolved Societies Fund of each body cf Commissioners concerned and as from the date at which the dissolution takes effect this Part of these Regulations shall apply as though the members resident in each part of the United Kingdom had been members of a Society carrying on business in that part of the United Kingdom only.

before date of Regula

128. (1) Any insured members of a Society, which has before Society the date of the commencement of this Part of these Regulations dissolving ceased to transact business under the principal Act, who have not become members of other Societies or been otherwise provided for, tions. shall become members of the Dissolved Societies Fund, and the remaining assets, after providing for the transfer values of the other members of the Society, shall be paid into that fund.

(2) The Commissioners may fix a date, of which they shall give not less than three months' notice to every such member who becomes a member of the Dissolved Societies Fund, and the provisions of Article 122 of these Regulations shall apply to such member as though the date so fixed were the end of the half-year mentioned in that Article.

129. Sections 23 and 26, sub-section (1) of Section 35, Section 59 and so much of Section 67 of the principal Act and of Section 27 of the Act of 1913, as relates to the decision by the Commissioners or by referees appointed by them of appeals and disputes, and the provisoes to sub-section (1) and sub-sections (2), (3), (4) and (6) of Section 14 of the Act of 1918 shall not apply to the Dissolved Societies Fund.

Certain sections of

the Act not

to apply.

Ireland and
Wales.

130. In the application of Articles 116 to 129 of these Application Regulations to Scotland, Ireland, and Wales respectively to Scotland the expression "National Health Insurance Fund" means the Scottish National Health Insurance Fund, the Irish National Health Insurance Fund, and the Welsh National Health Insurance Fund, respectively, and the expression "Dissolved Societies Fund" means a special fund to be constituted by the Scottish Insurance Commissioners and called the Scottish Dissolved Societies Fund, a special fund to be constituted by the Irish Insurance Commissioners and called the Irish Dissolved Societies Fund, and a special fund to be constituted by the Welsh Insurance Commissioners and called the Welsh Dissolved Societies Fund respectively.

131. Nothing in this Part of these Regulations shall affect any of the powers or duties of the Registrar of Friendly Societies.

PART X.

WITHDRAWAL OF APPROVAL.

Saving as to
Registrar of
Friendly
Societies.

meeting of Society to be summoned

132. (1) Where the Commissioners receive information with Special respect to any Society which affords grounds for the belief that the affairs of the Society are being administered in a manner prejudicial to the interests of the insured members of the Society, in certain the Commissioners may, after communicating with the Committee circumof Management of the Society, cause to be made such inquiry or stances.

Statement of

sent to members.

investigation into the affairs of the Society as they may determine, and shall give the Committee of Management of the Society an opportunity of appearing and being heard at such inquiry or investigación.

(2) If, as a result of such inquiry or investigation, the Commissioners are satisfied that the affairs of the Society are being maladministered, they may require the Committee of Management of the Society to summon a general meeting of the members of the Society, or, in the case of a Society whose rules provide for meetings of delegates, a meeting of delegates, for the purpose of receiving a statement from the Commissioners as to the affairs of the Society, and in summoning such meeting the Committee of Management shall comply with any directions given by the Commissioners with regard to the time or place of such meeting or otherwise.

(3) The Chairman of such meeting shall be a person appointed by the Commissioners or in default of such appointment a person appointed in accordance with the rules of the Society, and any person so appointed by the Commissioners shall be deemed, notwithstanding anything in the rules of the Society, to have been duly appointed.

(4) If the Committee of Management fail to summon such meeting as aforesaid in accordance with the directions of the Commissioners, the Commissioners may themselves summon such meeting or take such other steps as they think desirable for the purpose of setting before the members of the Society a statement as to the affairs of the Society and ascertaining the wishes of those members.

(5) Notwithstanding anything in the rules of the Society a meeting held in accordance with the direction of the Commissioners under this Part of these Regulations shall be deemed to have been duly held in accordance with the rules of the Society.

133. The Commissioners may, if they think fit, give directions affairs to be that in lieu of, or in addition to, a general meeting a statement as to the affairs of the Society containing such particulars as the Commissioners may require shall be sent by the Committee of Management within such time as the Commissioners may direct to each insured member of the Society, and in the event of the Committee of Management failing to send such statement the Commissioners may themselves send the said statement to each insured member of the Society.

Appointment of manager.

134. (1) The Commissioners may, where in their opinion the circumstances of the case so require, at any time after such an inquiry or investigation as aforesaid make such arrangements as may appear to them necessary for carrying on the business of the Society for any period not exceeding six months, and any arrangements so made may include the appointment of a manager of the Society with such powers and duties as the Commissioners may direct, and the manager may notwithstanding anything in the rules of the Society do all things necessary to be done for this purpose :

Provided that the Commissioners may in any case in which it appears to them to be expedient extend the said period for a further period not exceeding six months.

(2) Any expenses incurred by the Commissioners for the purpose of carrying on the affairs of the Society in accordance with this Article, including expenses incurred by and remuneration of a manager of the Society appointed by the Commissioners, may, to such extent as the Commissioners think fit, be defrayed out of moneys standing to the credit of the Society in the appropriate National Health Insurance Fund.

135. The Commissioners, if it appears to them expedient in Withdrawal the interests of the insured members of the Society to do so, may of approval. at any time after such meeting as aforesaid, or, if any statement as to the affairs of the Society has been issued by or under the direction of the Commissioners as aforesaid, not less than ten days after the issue of that statement, withdraw approval from the Society either forthwith or as from such date as they think fit.

136.—(1) Upon approval being withdrawn from a Society the Commissioners may give such directions and make such arrangements with regard to the business of the Society under the principal Act as they may deem to be necessary.

(2) Any arrangements so made may, if the Commissioners so direct, include the transfer of the insured members of the Society to the Dissolved Societies Fund, and in that event the provisions of the Regulations relating to the dissolution of Societies shall, subject to any modifications which the Commissioners may deem to be necessary, apply to the Society as if it was a dissolved Society.

Arrange

ments after withdrawal

of approval.

137.-(1) Where the Commissioners give notice to the Com- New mittee of Management of a Society that in the opinion of the members Commissioners the affairs of the Society are maladministered, not to be admitted, &c. then, except with the consent of the Commissioners, that Society shall not admit any insured member and the right of insured members to terminate their membership of the Society shall be suspended after the date of such notice, unless and until the Commissioners otherwise direct.

(2) If in any case the Commissioners are of opinion that owing to exceptional circumstances it is desirable so to do, they may, at any time before the termination of such inquiry or investigation as aforesaid or before giving such notice as aforesaid to the Committee of Management, direct that the Society shall not admit any insured member and that the right of insured members to terminate their membership of the Society shall be suspended and any such admission or termination of membership after the date of such direction shall be void.

138. Nothing in this Part of these Regulations shall affect any of the powers and duties of the Registrar of Friendly Societies.

Saving as to
Registrar of
Friendly
Societies.

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