jswizzle3737/ontario_laws_and_regs huggingface dataset:
178 (1) A credit union may not guarantee the payment of money on behalf of another person unless, (a) it is a fixed sum of money, with or without interest thereon; and (b) the person has an unqualified obligation to reimburse the credit union for the full amount being guaranteed.  1994, c. 11, s. 178 (1). Authorization by the Chief Executive Officer (2) Despite subsection (1), the Chief Executive Officer may authorize a credit union to guarantee a payment in circumstances other than those described in that subsection.  2007, c. 7, Sched. 7, s. 99 (1); 2019, c. 7, Sched. 16, s. 50. Conditions (3) A guarantee is subject to such conditions and restrictions as may be prescribed.  1994, c. 11, s. 178 (3). Limit on amount (4) The aggregate value of a credit union’s guarantees together with those of its subsidiaries must not exceed a prescribed per cent of the regulatory capital and deposits of the credit union.  1994, c. 11, s. 178 (4). Exemption (5) The Chief Executive Officer may exempt a credit union from the limit under subsection (4) on the aggregate value of guarantees.  2007, c. 7, Sched. 7, s. 99 (2); 2019, c. 7, Sched. 16, s. 50. Non-application (6) Subsection (1) does not apply in the case of an indemnity under section 157.  1994, c. 11, s. 178 (6). Non-application of s. (1) (a) (7) Clause (1) (a) does not apply with respect to a guarantee given by a credit union on behalf of a league or a financial institution that is a member of the Canadian Payments Association if the payment guaranteed represents the obligation of the league or financial institution to settle for payment items in accordance with the by-laws and rules of the Canadian Payments Association or such other guarantees as may be prescribed.  2007, c. 7, Sched. 7, s. 99 (3). Section Amendments with date in force (d/m/y) 1997, c. 28, s. 53 - 01/07/1998 2007, c. 7, Sched. 7, s. 99 (1-3) - 01/10/2009 2018, c. 17, Sched. 11, s. 15 - no effect - see 2019, c. 7, Sched. 16, s. 54 - 29/05/2019 2019, c. 7, Sched. 16, s. 50 - 08/06/2019
179 A credit union shall not give a person the right to appoint a receiver or a receiver and manager of the property or business of the credit union.  2007, c. 7, Sched. 7, s. 100. Section Amendments with date in force (d/m/y) 2007, c. 7, Sched. 7, s. 100 - 01/10/2009 Deposits
181 (1) A credit union is not bound to see to the execution of any trust to which any deposit is subject.  2007, c. 7, Sched. 7, s. 102. Application, payment when credit union has notice of trust (2) Subsection (1) applies whether the trust is express, implied or constructive and applies even when the credit union has notice of the trust if the credit union acts on the order of or under the authority of the holder or holders of the account into which the deposit is made.  2007, c. 7, Sched. 7, s. 102. Section Amendments with date in force (d/m/y) 2007, c. 7, Sched. 7, s. 102 - 01/10/2009
182 (1) If 10 years have elapsed since the day on which the last transaction by a depositor took place on the depositor’s account or a statement of account was last requested or acknowledged by the depositor, whichever is latest, the credit union shall pay the amount on deposit to the Minister.  2007, c. 7, Sched. 7, s. 102. Annual payments (1.1) Payments required under subsection (1) shall be made to the Minister in accordance with the Minister’s directions, with the first payment under that subsection to be made on the day specified by the Minister and to include all amounts payable to the Minister on or before that day.  2009, c. 34, Sched. H, s. 2. Obligation discharged (2) Payment to the Minister discharges the credit union from all liability in respect of the amounts paid.  2007, c. 7, Sched. 7, s. 102. Payment by Minister (3) The Minister shall pay the amount received under subsection (1) to a person claiming to be entitled to it upon being furnished with satisfactory evidence of the person’s entitlement.  2007, c. 7, Sched. 7, s. 102. Two-year notice (4) If two years have elapsed since the day on which the last transaction by a depositor took place on the depositor’s account or a statement of account was last requested or acknowledged by the depositor, whichever is latest, the credit union shall mail a notice to the depositor, at the depositor’s last known address, notifying the depositor that the deposit remains unpaid.  2007, c. 7, Sched. 7, s. 102. Five-year notice (5) If five years have elapsed since the day on which the last transaction by a depositor took place on the depositor’s account or a statement of account was last requested or acknowledged by the depositor, whichever is latest, the credit union shall mail a notice to the depositor, at the depositor’s last known address, notifying the depositor that the deposit remains unpaid.  2007, c. 7, Sched. 7, s. 102. Application despite other Act (6) This section applies despite the provisions of any other Act that would apply with respect to the disposition of an unclaimed and unpaid amount on deposit and the provisions of any such other Act shall not apply with respect to such an amount.  2007, c. 7, Sched. 7, s. 102. Section Amendments with date in force (d/m/y) 1997, c. 28, s. 53 - 01/07/1998 2007, c. 7, Sched. 7, s. 102 - 01/10/2009 2009, c. 34, Sched. H, s. 2 - 15/12/2009 Debt Obligations
183 (1) A credit union may borrow only if authorized to do so by its by-laws.  2007, c. 7, Sched. 7, s. 102. Scope of authority (2) The by-laws may authorize the credit union to borrow money at such rates of interest and on such conditions as the board may determine.  2007, c. 7, Sched. 7, s. 102. Limit on amount (3) A credit union shall not borrow an aggregate amount exceeding 50 per cent of its regulatory capital and deposits or such lesser amount as may be established by its by-laws.  2007, c. 7, Sched. 7, s. 102. Section Amendments with date in force (d/m/y) 1997, c. 28, s. 53 - 01/07/1998 2007, c. 7, Sched. 7, s. 102 - 01/10/2009
184 A credit union may create a security interest in property of the credit union only as prescribed.  2007, c. 7, Sched. 7, s. 102. Section Amendments with date in force (d/m/y) 1997, c. 28, s. 53 - 01/07/1998 2007, c. 7, Sched. 7, s. 102 - 01/10/2009
185 A credit union shall notify the Chief Executive Officer in writing if it acquires, other than by way of realization on the security for a loan, a beneficial interest in property that is subject to a security interest.  2007, c. 7, Sched. 7, s. 102; 2019, c. 7, Sched. 16, s. 50. Section Amendments with date in force (d/m/y) 1997, c. 28, s. 53 - 01/07/1998 2007, c. 7, Sched. 7, s. 102 - 01/10/2009 2018, c. 17, Sched. 11, s. 15 - no effect - see 2019, c. 7, Sched. 16, s. 54 - 29/05/2019 2019, c. 7, Sched. 16, s. 50 - 08/06/2019
186 (1) A credit union shall not issue subordinated indebtedness unless it is fully paid for in money or, with the approval of the Chief Executive Officer, in property.  1994, c. 11, s. 186 (1); 1997, c. 28, s. 53; 2018, c. 8, Sched. 7, s. 5. References to subordinated indebtedness (2) No person shall, in any prospectus, offering statement, advertisement, correspondence or literature relating to any subordinated indebtedness issued or to be issued by a credit union, refer to the subordinated indebtedness other than as subordinated indebtedness.  1994, c. 11, s. 186 (2). Not a deposit (3) Subordinated indebtedness issued by a credit union is not considered to be a deposit.  1994, c. 11, s. 186 (3). Other currencies (4) When issuing subordinated indebtedness, a credit union shall provide that any aspect of the subordinated indebtedness relating to money or involving the payment of or the liability to pay money in relation to the subordinated indebtedness be in Canadian currency.  1994, c. 11, s. 186 (4). Section Amendments with date in force (d/m/y) 1997, c. 28, s. 53 - 01/07/1998 2018, c. 8, Sched. 7, s. 5 - 08/06/2019
187 (1) The Chief Executive Officer may inquire into the borrowing by a credit union and may, by order, limit the credit union’s authority to borrow money.  2007, c. 7, Sched. 7, s. 103; 2019, c. 7, Sched. 16, s. 50. Reasons to be given (2) The Chief Executive Officer shall set out the reasons for its decision in the order.  2007, c. 7, Sched. 7, s. 103; 2019, c. 7, Sched. 16, s. 50. Effect (3) The credit union shall not exercise its borrowing power in excess of any limit set out in the order of the Chief Executive Officer.  2007, c. 7, Sched. 7, s. 103; 2019, c. 7, Sched. 16, s. 50. Procedural rules (4) Section 240.1 applies with respect to an order under this section.  2007, c. 7, Sched. 7, s. 103. Appeal to Tribunal (5) The credit union that is subject to an order under this section may appeal the order to the Tribunal in accordance with section 240.4.  2007, c. 7, Sched. 7, s. 103. Section Amendments with date in force (d/m/y) 1997, c. 28, s. 53 - 01/07/1998 2007, c. 7, Sched. 7, s. 103 - 01/10/2009 2018, c. 17, Sched. 11, s. 15 - no effect - see 2019, c. 7, Sched. 16, s. 54 - 29/05/2019 2019, c. 7, Sched. 16, s. 50 - 08/06/2019
188 No credit union shall borrow money from another credit union without the written approval of the Chief Executive Officer.  2007, c. 7, Sched. 7, s. 103; 2019, c. 7, Sched. 16, s. 50. Section Amendments with date in force (d/m/y) 1997, c. 28, s. 53 - 01/07/1998 2007, c. 7, Sched. 7, s. 103 - 01/10/2009 2018, c. 17, Sched. 11, s. 15 - no effect - see 2019, c. 7, Sched. 16, s. 54 - 29/05/2019 2019, c. 7, Sched. 16, s. 50 - 08/06/2019
189 (1) A credit union shall establish investment and lending policies for the credit union and the credit union shall adhere to those policies.  2007, c. 7, Sched. 7, s. 103. Policies to be prudent (2) The investment and lending policies of a credit union shall consist of policies, standards and procedures that a reasonable and prudent person would apply in respect of a portfolio of investments and loans in order to avoid undue risk of loss and obtain a reasonable return.  2007, c. 7, Sched. 7, s. 103. Approval and review by board (3) The investment and lending policies of a credit union are subject to the approval of the board and the board shall review the policies at least once each year.  2007, c. 7, Sched. 7, s. 103. Order if policies inadequate, etc. (4) If the Chief Executive Officer considers the investment and lending policies of the credit union to be inadequate or imprudent, the Chief Executive Officer may order the credit union to cease investing or lending as specified in the order until the policies are amended in accordance with the order.  2007, c. 7, Sched. 7, s. 103; 2019, c. 7, Sched. 16, s. 50. Procedural rules (5) Section 240.1 applies with respect to an order under this section.  2007, c. 7, Sched. 7, s. 103. Appeal to Tribunal (6) The credit union that is subject to an order under this section may appeal the order to the Tribunal in accordance with section 240.4.  2007, c. 7, Sched. 7, s. 103. Section Amendments with date in force (d/m/y) 2007, c. 7, Sched. 7, s. 103 - 01/10/2009 2018, c. 17, Sched. 11, s. 15 - no effect - see 2019, c. 7, Sched. 16, s. 54 - 29/05/2019 2019, c. 7, Sched. 16, s. 50 - 08/06/2019 Loans
190 (1) A credit union shall loan money only, (a) to its members; or (b) by participating in a syndicated loan. 2016, c. 37, Sched. 5, s. 1. Exception – loans acquired by purchase (2) If a credit union acquires a loan as a result of a purchase of all or part of the business of another financial institution, the credit union may continue that loan, despite subsection (1), for one year after the loan is acquired or, if the loan is for a specified term, until the end of that term.  2007, c. 7, Sched. 7, s. 103. Section Amendments with date in force (d/m/y) 2007, c. 7, Sched. 7, s. 103 - 01/10/2009 2016, c. 37, Sched. 5, s. 1 - 01/01/2018
191 (1) A credit union shall not make loans in excess of such lending limits as may be prescribed or as may be ordered under subsection (2) or (5).  2007, c. 7, Sched. 7, s. 103. Lowering lending limits (2) The Chief Executive Officer may, by order, lower a credit union’s lending limits if the Chief Executive Officer believes on reasonable grounds that the credit union’s current lending limits may adversely affect the interests of the credit union’s members, depositors or shareholders.  2007, c. 7, Sched. 7, s. 103; 2019, c. 7, Sched. 16, s. 50. Procedural rules (3) Section 240.1 applies with respect to an order under subsection (2).  2007, c. 7, Sched. 7, s. 103. Appeal to Tribunal (4) The credit union that is subject to an order under subsection (2) may appeal the order to the Tribunal in accordance with section 240.4.  2007, c. 7, Sched. 7, s. 103. Raising lending limits (5) On application by a credit union, the Chief Executive Officer may, by order on terms specified in the order, raise the credit union’s lending limits if the Chief Executive Officer is satisfied there are reasonable grounds for doing so.  2007, c. 7, Sched. 7, s. 103; 2019, c. 7, Sched. 16, s. 50. Section Amendments with date in force (d/m/y) 2007, c. 7, Sched. 7, s. 103 - 01/10/2009 2018, c. 17, Sched. 11, s. 15 - no effect - see 2019, c. 7, Sched. 16, s. 54 - 29/05/2019 2019, c. 7, Sched. 16, s. 50 - 08/06/2019 192 Repealed:  2007, c. 7, Sched. 7, s. 103. Section Amendments with date in force (d/m/y) 1997, c. 28, s. 53 - 01/07/1998 2007, c. 7, Sched. 7, s. 103 - 01/10/2009 193 Repealed:  2007, c. 7, Sched. 7, s. 103. Section Amendments with date in force (d/m/y) 2007, c. 7, Sched. 7, s. 103 - 01/10/2009 194 Repealed:  2007, c. 7, Sched. 7, s. 103. Section Amendments with date in force (d/m/y) 1997, c. 28, s. 53 - 01/07/1998 2007, c. 7, Sched. 7, s. 103 - 01/10/2009 195 Repealed:  2007, c. 7, Sched. 7, s. 103. Section Amendments with date in force (d/m/y) 1997, c. 28, s. 53 - 01/07/1998 2007, c. 7, Sched. 7, s. 103 - 01/10/2009 196 Repealed:  2007, c. 7, Sched. 7, s. 103. Section Amendments with date in force (d/m/y) 1997, c. 28, s. 53 - 01/07/1998 2007, c. 7, Sched. 7, s. 103 - 01/10/2009
197 (1) Despite anything in this Part, if a credit union has made a loan and a default has occurred, the credit union may, subject to the agreement between the credit union and entity governing the loan, acquire, (a) if the entity is a body corporate, all or any of the shares of the body corporate; (b) if the entity is an unincorporated entity, all or any of the ownership interests in the entity; (c) all or any of the shares or all or any of the ownership interests in any entity that is an affiliate of the entity; or (d) all or any of the shares of a body corporate that is primarily engaged in holding shares of, ownership interests in, or assets acquired from, the entity or any of its affiliates.  1994, c. 11, s. 197 (1). Divestment if not in compliance with investment and lending policies (2) If the securities acquired by a credit union because of a default on a loan are not an investment permitted by the credit union’s investment and lending policies, the credit union shall divest itself of the securities within two years after their acquisition or within such further time as the Chief Executive Officer may authorize.  2007, c. 7, Sched. 7, s. 104; 2019, c. 7, Sched. 16, s. 50. Section Amendments with date in force (d/m/y) 1997, c. 28, s. 53 - 01/07/1998 2007, c. 7, Sched. 7, s. 104 - 01/10/2009 2018, c. 17, Sched. 11, s. 15 - no effect - see 2019, c. 7, Sched. 16, s. 54 - 29/05/2019 2019, c. 7, Sched. 16, s. 50 - 08/06/2019
197.0.1 (1) The Chief Executive Officer may order a credit union to call any loan it has made that is not authorized by this Act, the regulations or the by-laws of the credit union.  2007, c. 7, Sched. 7, s. 105; 2019, c. 7, Sched. 16, s. 50. Time to comply (2) Despite section 240.3, an order under this section shall allow the credit union at least 60 days to comply with the order.  2007, c. 7, Sched. 7, s. 105. Procedural rules (3) Section 240.1 applies with respect to an order under this section.  2007, c. 7, Sched. 7, s. 105. Appeal to Tribunal (4) The credit union that is subject to an order under this section may appeal the order to the Tribunal in accordance with section 240.4.  2007, c. 7, Sched. 7, s. 105. Section Amendments with date in force (d/m/y) 2007, c. 7, Sched. 7, s. 105 - 01/10/2009 2018, c. 17, Sched. 11, s. 15 - no effect - see 2019, c. 7, Sched. 16, s. 54 - 29/05/2019 2019, c. 7, Sched. 16, s. 50 - 08/06/2019 Cost of Borrowing
197.1 In sections 197.2 to 197.10, “cost of borrowing”, for a loan made by a credit union, means, (a) the interest or discount applicable to the loan, (b) any amount charged in connection with the loan that is payable by the borrower to the credit union, (c) any amount charged in connection with the loan that is payable by the borrower to a person other than the credit union, where the amount is chargeable, directly or indirectly, by the person to the credit union, and (d) any charge prescribed by the regulations as included in the cost of borrowing, but does not include any charge prescribed by the regulations as excluded from the cost of borrowing.  1999, c. 12, Sched. I, s. 2 (6). Section Amendments with date in force (d/m/y) 1999, c. 12, Sched. I, s. 2 (6) - 01/10/2010
197.2 (1) This section applies where, (a) a credit union makes a loan to a natural person; (b) the loan is not secured by a mortgage on real property; (c) the loan is required to be repaid either on a fixed future date or by instalments; and (d) the loan is prepaid in full.  1999, c. 12, Sched. I, s. 2 (6). Same (2) In the circumstances described in subsection (1), the credit union shall, in accordance with the regulations, rebate to the borrower a portion of the cost of borrowing for the loan.  1999, c. 12, Sched. I, s. 2 (6). Limitation (3) For the purposes of subsection (2) and the regulations made under clause 197.10 (1) (b), the cost of borrowing for a loan does not include the interest or discount applicable to the loan.  1999, c. 12, Sched. I, s. 2 (6). Section Amendments with date in force (d/m/y) 1999, c. 12, Sched. I, s. 2 (6) - 01/10/2010
197.3 (1) A credit union shall not make a loan to a natural person unless the cost of borrowing and any other information prescribed for the purposes of this section by the regulations have been disclosed by the credit union to the person.  1999, c. 12, Sched. I, s. 2 (6). Same (2) For the purposes of disclosure required by subsection (1), the cost of borrowing, (a) shall be calculated on the basis that all obligations of the borrower are duly fulfilled; (b) shall be calculated in accordance with the regulations; (c) shall be expressed as a rate per annum; and (d) where required by the regulations, shall be expressed as an amount in dollars and cents.  1999, c. 12, Sched. I, s. 2 (6). Section Amendments with date in force (d/m/y) 1999, c. 12, Sched. I, s. 2 (6) - 01/10/2010
197.4 Where a credit union makes a loan to a natural person and the loan is required to be repaid either on a fixed future date or by instalments, the credit union shall disclose the following to the borrower: 1. Whether the borrower has the right to repay the amount borrowed before the maturity of the loan. 2. Any terms and conditions relating to a right described in paragraph 1, including particulars of the circumstances in which the borrower may exercise the right. 3. Whether any portion of the cost of borrowing for the loan is to be rebated to the borrower or any charge or penalty is to be imposed on the borrower, if the borrower exercises a right described in paragraph 1. 4. The manner in which any rebate, charge or penalty referred to in paragraph 3 is to be calculated. 5. Particulars of any charges or penalties to be imposed on the borrower if the borrower fails to repay the amount of the loan at maturity or fails to pay an instalment on the day the instalment is due to be paid. 6. Particulars of any prescribed change relating to the loan agreement or the cost of borrowing for the loan. 7. Particulars of any rights or obligations of the borrower prescribed by the regulations for the purposes of this section. 8. Any other information prescribed by the regulations for the purposes of this section.  1999, c. 12, Sched. I, s. 2 (6). Section Amendments with date in force (d/m/y) 1999, c. 12, Sched. I, s. 2 (6) - 01/10/2010
197.5 A form or other document used by a credit union for the purposes of an application for a credit card, payment card or charge card shall contain the information prescribed by the regulations for the purposes of this section or be accompanied by a document that contains that information.  1999, c. 12, Sched. I, s. 2 (6). Section Amendments with date in force (d/m/y) 1999, c. 12, Sched. I, s. 2 (6) - 01/10/2010
197.6 Where a credit union issues a credit card, payment card or charge card to a natural person, the credit union shall disclose the following to the person: 1. Particulars of any charges or penalties to be imposed on the person if he or she fails to pay an amount in accordance with the agreement governing the card. 2. Particulars of any charges for which the person becomes responsible by accepting or using the card. 3. Particulars of any prescribed change relating to the loan agreement or the cost of borrowing for any loan obtained through the use of the card. 4. Particulars of any rights or obligations of the person prescribed by the regulations for the purposes of this section. 5. Any other information prescribed by the regulations for the purposes of this section.  1999, c. 12, Sched. I, s. 2 (6). Section Amendments with date in force (d/m/y) 1999, c. 12, Sched. I, s. 2 (6) - 01/10/2010
197.7 (1) Where a credit union enters into an arrangement for the making of a loan to a natural person and neither section 197.4 nor section 197.6 apply in respect of the arrangement, the credit union shall disclose the following to the person: 1. Particulars of any charges or penalties to be imposed on the person if he or she fails to pay an amount in accordance with the arrangement. 2. Particulars of any charges for which the person becomes responsible by entering the arrangement. 3. Particulars of any prescribed change relating to the arrangement or the cost of borrowing under the arrangement. 4. Particulars of any rights or obligations of the person prescribed by the regulations for the purposes of this section. 5. Any other information prescribed by the regulations for the purposes of this section.  1999, c. 12, Sched. I, s. 2 (6). Interpretation (2) For the purposes of subsection (1), an arrangement for the making of a loan includes an arrangement for a line of credit.  1999, c. 12, Sched. I, s. 2 (6). Section Amendments with date in force (d/m/y) 1999, c. 12, Sched. I, s. 2 (6) - 01/10/2010
197.8 Where a credit union makes a loan to a natural person and the loan is secured by a mortgage on real property, the credit union shall disclose to the person such information respecting renewal of the loan as is prescribed by the regulations.  1999, c. 12, Sched. I, s. 2 (6). Section Amendments with date in force (d/m/y) 1999, c. 12, Sched. I, s. 2 (6) - 01/10/2010
197.9 (1) This section applies to an advertisement that, (a) relates to loans, credit cards, payment cards or charge cards that are offered by a credit union to a natural person or to arrangements to which section 197.7 applies that are offered by a credit union to a natural person; and (b) purports to contain information relating to the cost of borrowing or any other prescribed matter.  1999, c. 12, Sched. I, s. 2 (6). Same (2) No person shall authorize any advertisement described in subsection (1) unless the advertisement contains the information that may be required by the regulations and is in the form and manner that may be prescribed.  1999, c. 12, Sched. I, s. 2 (6). Section Amendments with date in force (d/m/y) 1999, c. 12, Sched. I, s. 2 (6) - 01/10/2010
197.10 (1) The Lieutenant Governor in Council may make regulations, (a) prescribing, for the purposes of section 197.1, charges that are included in the cost of borrowing and charges that are excluded from the cost of borrowing; (b) governing rebates to be made under section 197.2; (c) prescribing information other than the cost of borrowing that must be disclosed under section 197.3; (d) prescribing the manner of calculating the cost of borrowing for the purposes of section 197.3; (e) prescribing the circumstances in which the cost of borrowing must be expressed as an amount in dollars and cents for the purposes of section 197.3; (f) prescribing the manner of calculating any rebate referred to in paragraph 4 of section 197.4; (g) prescribing changes for the purposes of paragraph 6 of section 197.4, paragraph 3 of section 197.6 and paragraph 3 of subsection 197.7 (1); (h) prescribing rights and obligations of borrowers for the purposes of paragraph 7 of section 197.4, paragraph 4 of section 197.6 and paragraph 4 of subsection 197.7 (1); (i) prescribing information that must be disclosed under paragraph 8 of section 197.4, paragraph 5 of section 197.6 and paragraph 5 of subsection 197.7 (1); (j) prescribing information for the purposes of section 197.5; (k) prescribing information for the purposes of section 197.8; (l) prescribing matters for the purposes of clause 197.9 (1) (b) and respecting the form, manner and content of advertisements for the purposes of subsection 197.9 (2); (m) prescribing the time, manner and form of any disclosure required under sections 197.3 to 197.9; (n) prescribing classes of loans in respect of which some or all of the requirements of sections 197.2 to 197.9 do not apply; (o) prohibiting the imposition of any charge or penalty referred to in section 197.4, 197.6 or 197.7; (p) governing the nature and amount of any charge or penalty referred to in section 197.4, 197.6 or 197.7 that may be imposed by a credit union, including but not limited to, (i) regulations providing that such a charge or penalty shall not exceed an amount prescribed in the regulation, and (ii) regulations respecting the costs of the credit union that may be included or must be excluded in the determination of the charge or penalty; (q) respecting any other matter or thing that is necessary to carry out the purposes of sections 197.2 to 197.9.  1999, c. 12, Sched. I, s. 2 (6). Same (2) A regulation made under clause (1) (a) may exclude charges described in clause (a), (b) or (c) of the definition of “cost of borrowing” in section 197.1.  1999, c. 12, Sched. I, s. 2 (6). Same (3) A regulation made under subsection (1) may be general or particular in its application and may be restricted in its application to the class or classes of loans set out in the regulation.  1999, c. 12, Sched. I, s. 2 (6). Section Amendments with date in force (d/m/y) 1999, c. 12, Sched. I, s. 2 (6) - 01/10/2010 Investments
198 A credit union shall invest only in such types of securities or property and on such conditions as are prescribed.  2007, c. 7, Sched. 7, s. 106; 2016, c. 37, Sched. 5, s. 2. Section Amendments with date in force (d/m/y) 2007, c. 7, Sched. 7, s. 106 - 01/10/2009 2016, c. 37, Sched. 5, s. 2 - 01/01/2018
199 (1) A credit union may directly or indirectly invest, by way of purchase from or loans to a single person or to two or more connected persons, more than the amount prescribed only if, (a) the investment is in the form of deposits with or loans to, (i) a financial institution that is not a credit union or a securities dealer, (ii) the Authority, or (iii) a prescribed person or entity; or (b) the investment is in securities issued or guaranteed by the Government of Canada, including mortgages insured under the National Housing Act (Canada), by the government of any province of Canada or by any municipality in Canada.  2007, c. 7, Sched. 7, s. 106; 2016, c. 37, Sched. 5, s. 3; 2019, c. 7, Sched. 16, s. 49. Connected persons (2) For the purposes of this section, two or more persons are connected persons if they satisfy the prescribed conditions.  2007, c. 7, Sched. 7, s. 106. Section Amendments with date in force (d/m/y) 2007, c. 7, Sched. 7, s. 106 - 01/10/2009 2016, c. 37, Sched. 5, s. 3 - 01/01/2018 2018, c. 17, Sched. 11, s. 15 - no effect - see 2019, c. 7, Sched. 16, s. 54 - 29/05/2019 2019, c. 7, Sched. 16, s. 49 - 08/06/2019
200 (1) A credit union may establish or acquire a subsidiary only if the subsidiary is prescribed and only with the approval of the Chief Executive Officer and the establishment or acquisition of a subsidiary is subject to such restrictions as may be prescribed and to such additional conditions as the Chief Executive Officer may, by order, impose.  2007, c. 7, Sched. 7, s. 106; 2019, c. 7, Sched. 16, s. 50. Deemed prescribed subsidiary (2) On written application by a credit union, the Chief Executive Officer may, by order and on such conditions as are specified in the order, deem a body corporate named in the order to be, for all purposes of this Act, a prescribed subsidiary if its activities are substantially similar to those of a body corporate identified as a prescribed subsidiary.  2007, c. 7, Sched. 7, s. 106; 2019, c. 7, Sched. 16, s. 50. Refusal of approval to be by order (3) If the Chief Executive Officer refuses to approve the establishment or acquisition of a subsidiary, the Chief Executive Officer shall do so by order.  2007, c. 7, Sched. 7, s. 106; 2019, c. 7, Sched. 16, s. 50. Anti-avoidance (4) The Chief Executive Officer shall issue an order refusing to approve the establishment or acquisition of a subsidiary if it considers that the establishment or acquisition is primarily for the purpose of allowing the credit union to avoid the limits under this Act or the regulations on its investments.  2007, c. 7, Sched. 7, s. 106; 2019, c. 7, Sched. 16, s. 50. Revocation of approval (5) The Chief Executive Officer may, by order, revoke its approval if, (a) the credit union has failed to comply with the conditions and restrictions applicable to the investment; or (b) the body corporate is no longer a prescribed subsidiary.  2007, c. 7, Sched. 7, s. 106; 2019, c. 7, Sched. 16, s. 50. Effect of revocation (6) Upon a revocation of an approval, the credit union shall divest itself of the investment in accordance with the order effecting the revocation.  2007, c. 7, Sched. 7, s. 106. Restriction on investments in subsidiaries (7) A credit union shall ensure that the total book value of investments held by the credit union in subsidiaries of the credit union and of guarantees by the credit union of the obligations of such subsidiaries does not exceed the prescribed percentage of the regulatory capital of the credit union.  2007, c. 7, Sched. 7, s. 106. Procedural rules (8) Section 240.1 applies with respect to an order under this section.  2007, c. 7, Sched. 7, s. 106. Appeal to Tribunal (9) The credit union that is subject to an order under this section may appeal the order to the Tribunal in accordance with section 240.4.  2007, c. 7, Sched. 7, s. 106. Section Amendments with date in force (d/m/y) 1997, c. 28, s. 53 - 01/07/1998 2007, c. 7, Sched. 7, s. 106 - 01/10/2009 2018, c. 17, Sched. 11, s. 15 - no effect - see 2019, c. 7, Sched. 16, s. 54 - 29/05/2019 2019, c. 7, Sched. 16, s. 50 - 08/06/20019
201 (1) A credit union may apply to the Chief Executive Officer for a variation of the requirements under section 198, subsection 199 (1) or subsection 200 (7).  2007, c. 7, Sched. 7, s. 106; 2019, c. 7, Sched. 16, s. 50. Application (2) An application must be in a form approved by the Chief Executive Officer.  2007, c. 7, Sched. 7, s. 106; 2019, c. 7, Sched. 16, s. 50. Variation (3) The Chief Executive Officer may grant the variation subject to any terms it considers appropriate if it considers that granting the variation is in the interest of the members of the credit union.  2007, c. 7, Sched. 7, s. 106; 2019, c. 7, Sched. 16, s. 50. Section Amendments with date in force (d/m/y) 1997, c. 28, s. 53 - 01/07/1998 2007, c. 7, Sched. 7, s. 106 - 01/10/2009 2018, c. 17, Sched. 11, s. 15 - no effect - see 2019, c. 7, Sched. 16, s. 54 - 29/05/2019 2019, c. 7, Sched. 16, s. 50 - 08/06/2019
201.1 (1) A credit union shall not invest in another credit union without the approval of the Chief Executive Officer.  2007, c. 7, Sched. 7, s. 106; 2019, c. 7, Sched. 16, s. 50. Refusal of approval to be by order (2) If the Chief Executive Officer refuses to approve an investment in another credit union, the Chief Executive Officer shall do so by order.  2007, c. 7, Sched. 7, s. 106; 2019, c. 7, Sched. 16, s. 50. Procedural rules (3) Section 240.1 applies with respect to an order under this section.  2007, c. 7, Sched. 7, s. 106. Appeal to Tribunal (4) The credit union that is subject to an order under this section may appeal the order to the Tribunal in accordance with section 240.4.  2007, c. 7, Sched. 7, s. 106. Section Amendments with date in force (d/m/y) 2007, c. 7, Sched. 7, s. 106 - 01/10/2009 2018, c. 17, Sched. 11, s. 15 - no effect - see 2019, c. 7, Sched. 16, s. 54 - 29/05/2019 2019, c. 7, Sched. 16, s. 50 - 08/06/2019
202 (1) The Chief Executive Officer may authorize the acceptance by a credit union of securities or other assets not fulfilling the requirements of this Act, (a) obtained under an arrangement made in good faith for the reorganization of a body corporate whose securities were previously owned by the credit union; (b) obtained under an amalgamation with another body corporate of the body corporate whose securities were previously owned by the credit union; (c) obtained in good faith for the purpose of protecting investments of the credit union; (d) obtained by virtue of the purchase by the credit union of the assets of another credit union; (e) obtained by virtue of realizing on the security for a loan where the security is shares in a body corporate; or (f) obtained in payment or part payment for securities sold by the credit union.  1994, c. 11, s. 202 (1); 1997, c. 28, s. 53; 2007, c. 7, Sched. 7, s. 107 (1); 2019, c. 7, Sched. 16, s. 50. Divestment (2) The credit union shall divest itself of the securities or other assets within two years after their acquisition or within such further time as the Chief Executive Officer may authorize.  2007, c. 7, Sched. 7, s. 107 (2); 2019, c. 7, Sched. 16, s. 50. Exception (3) The Chief Executive Officer may relieve the credit union of the obligation to divest itself of the securities or other assets if the Chief Executive Officer is satisfied that they are not inferior in status or value to the securities for which they have been substituted.  2007, c. 7, Sched. 7, s. 107 (2); 2019, c. 7, Sched. 16, s. 50. Section Amendments with date in force (d/m/y) 1997, c. 28, s. 53 - 01/07/1998 2007, c. 7, Sched. 7, s. 107 (1, 2) - 01/10/2009 2018, c. 17, Sched. 11, s. 15 - no effect - see 2019, c. 7, Sched. 16, s. 54 - 29/05/2019 2019, c. 7, Sched. 16, s. 50 - 08/06/2019
202.1 (1) The Chief Executive Officer may order a credit union to dispose of any investment that was not made or is not held in accordance with this Act, the regulations, the Authority rules or by-laws, or the credit union’s investment and lending policies. 2019, c. 7, Sched. 16, s. 16. Time to comply (2) Despite section 240.3, an order under this section shall allow the credit union at least 60 days to comply with the order.  2007, c. 7, Sched. 7, s. 108. Procedural rules (3) Section 240.1 applies with respect to an order under this section.  2007, c. 7, Sched. 7, s. 108. Appeal to Tribunal (4) The credit union that is subject to an order under this section may appeal the order to the Tribunal in accordance with section 240.4.  2007, c. 7, Sched. 7, s. 108. Directors’ liability (5) Subject to subsection (8), if the amount realized from the disposal of the investment is less than the amount paid by the credit union for it, the directors of the credit union are jointly and severally liable for the payment to the credit union of the amount of the difference.  2007, c. 7, Sched. 7, s. 108. Objection to investment (6) A director who is present at a directors’ meeting at which an investment to which the director objects is authorized may, (a) immediately deliver or send to the credit union by registered mail a protest against the investment; and (b) within 30 days after delivering or sending the protest referred to in clause (a), send a copy of the protest by registered mail to the Chief Executive Officer.  2007, c. 7, Sched. 7, s. 108; 2019, c. 7, Sched. 16, s. 50. Same (7) A director who is absent from a meeting at which an investment to which the director objects is authorized may, (a) within 14 days after he or she becomes aware of the investment and is able to do so, deliver or send to the credit union by registered mail a protest against the investment; and (b) within 30 days after delivering or sending the protest referred to in clause (a), send a copy of the protest by registered mail to the Chief Executive Officer.  2007, c. 7, Sched. 7, s. 108; 2019, c. 7, Sched. 16, s. 50. Exoneration (8) A director who takes the steps set out in subsection (6) or (7) has no liability with respect to an investment to which he or she objected.  2007, c. 7, Sched. 7, s. 108. Section Amendments with date in force (d/m/y) 2007, c. 7, Sched. 7, s. 108 - 01/10/2009 2018, c. 17, Sched. 11, s. 15, 16 - no effect - see 2019, c. 7, Sched. 16, s. 54 - 29/05/2019 2019, c. 7, Sched. 16, s. 16, 50 - 08/06/2019 Purchase and Sale of Assets
203 For the purposes of section 204, a sale of property includes a sale, lease, exchange or other disposition of property and a purchase of property includes a lease, exchange of property or other acquisition of property.  2007, c. 7, Sched. 7, s. 109. Section Amendments with date in force (d/m/y) 1997, c. 28, s. 53 - 01/07/1998 2007, c. 7, Sched. 7, s. 109 - 01/10/2009
207 Except to the extent permitted under this Act or the regulations, a credit union or a subsidiary shall not directly or indirectly enter into any transaction with a restricted party of the credit union.  1994, c. 11, s. 207.
208 (1) A credit union may lend to an officer or a director an amount in excess of the aggregate of deposits of the officer or director pledged as collateral for the loan only if the board approves the loan before it is made.  2007, c. 7, Sched. 7, s. 110. Delegation of authority to approve loan to committee (2) The board may delegate its authority to grant an approval under subsection (1) to a committee of the board on such terms and with such restrictions as may be specified by the board.  2007, c. 7, Sched. 7, s. 110. Committee to report (3) A committee referred to in subsection (2) shall report details of the loans approved by the committee to the board at the first meeting of the board after the approval is given.  2007, c. 7, Sched. 7, s. 110. Section Amendments with date in force (d/m/y) 2007, c. 7, Sched. 7, s. 110 - 01/10/2009
209 The Lieutenant Governor in Council may make regulations governing transactions between a credit union or subsidiary and a restricted party.  1994, c. 11, s. 209.
209.1 (1) If a transaction with a restricted person that is prohibited or restricted by this Act or the regulations takes place, any interested person, including the Chief Executive Officer, may apply to the court for an order, (a) setting aside the transaction and directing that the restricted party account to a credit union for any profit or gain realized; and (b) that each person who participated in or facilitated the transaction pay to the credit union on a joint and several basis the damages suffered, the face value of the transaction or the amount expended by the credit union in the transaction.  2007, c. 7, Sched. 7, s. 111; 2019, c. 7, Sched. 16, s. 17. Order (2) The court may make the order applied for or such other order as it thinks appropriate.  2007, c. 7, Sched. 7, s. 111. Same (3) An order under subsection (2) may order compensation for a loss or damage suffered by the credit union and punitive damages from the restricted party.  2007, c. 7, Sched. 7, s. 111. Exemption (4) A person who is not a director is not liable under clause (1) (b) unless the person knew or ought reasonably to have known that the transaction was made in contravention of a restricted party provision.  2007, c. 7, Sched. 7, s. 111. Section Amendments with date in force (d/m/y) 2007, c. 7, Sched. 7, s. 111 - 01/10/2009 2018, c. 8, Sched. 7, s. 5 - no effect - see 2019, c. 7, Sched. 16, s. 17 - 08/06/2019; 2018, c. 17, Sched. 11, s. 15 - no effect - see 2019, c. 7, Sched. 16, s. 54 - 29/05/2019 2019, c. 7, Sched. 16, s. 17 - 08/06/2019
210 In this Part, “restricted party” and “transaction” have the meaning given to those expressions in the regulation.  1994, c. 11, s. 210. PART X   MEETINGS Members’ and Shareholders’ Meetings
211 (1) Notice of the time and place for holding a meeting of the members of a credit union shall be given at the time and in the manner specified in the by-laws of the credit union to each member of the credit union who, on the record date for the notice, appears in the records of the credit union as a member.  2007, c. 7, Sched. 7, s. 112. Same (2) Despite the by-laws of the credit union, notice of the time and place for holding a meeting shall be given at least 10 days before the date of the meeting but not more than 50 days before the date of the meeting.  2007, c. 7, Sched. 7, s. 112. Notice to include summary of special resolution (3) Notice of a meeting at which a special resolution is to be voted on shall include a summary of the special resolution, including, for a special resolution to confirm a by-law, a summary of the by-law.  2007, c. 7, Sched. 7, s. 112. Interpretation (4) For the purposes of subsection (1), the record date means the record date as established by the by-laws of the credit union.  2007, c. 7, Sched. 7, s. 112. Shareholder meetings (5) This section applies with necessary modifications to meetings of holders of shares of the credit union other than patronage shares.  2007, c. 7, Sched. 7, s. 112. Section Amendments with date in force (d/m/y) 2007, c. 7, Sched. 7, s. 112 - 01/10/2009
212 (1) Subject to the by-laws, an annual meeting of the members of a credit union shall be held at such time and place in Ontario as the board determines.  2007, c. 7, Sched. 7, s. 112. Time of meeting (2) Unless otherwise authorized by the Chief Executive Officer, the annual meeting of the members of a credit union must be held no later than 120 days after the end of the credit union’s last completed financial year.  2007, c. 7, Sched. 7, s. 112; 2018, c. 8, Sched. 7, s. 5. Extension of time limit for holding annual meeting (3) On application by a credit union, the Chief Executive Officer may authorize the credit union to hold its annual meeting of members on a day that is more than 120 days after the end of the last completed financial year if the Chief Executive Officer considers the extension of time to be reasonable in the circumstances, and the Chief Executive Officer may impose such conditions as the Chief Executive Officer considers appropriate.  2007, c. 7, Sched. 7, s. 112; 2018, c. 8, Sched. 7, s. 5. Business to be dealt with (4) At an annual meeting, the board shall place before the members, (a) the audited financial statements of the credit union; (b) the report of the auditor; (c) the report of the audit committee; and (d) such further information respecting the financial position of the credit union and the results of its operations as the by-laws require.  2007, c. 7, Sched. 7, s. 112. Information to be provided (5) The notice of an annual meeting of the members must, (a) specify that copies of the audited financial statements, the auditor’s report and the audit committee report will be available for inspection, by any member, at the meeting and at the offices of the credit union at least 10 days before the meeting; and (b) set out any matters to be dealt with at the annual meeting in addition to the business described in subsection (4) in sufficient detail to permit members to form a reasonable judgment on the matter.  2007, c. 7, Sched. 7, s. 112. Section Amendments with date in force (d/m/y) 2007, c. 7, Sched. 7, s. 112 - 01/10/2009 2018, c. 8, Sched. 7, s. 5 - 08/06/2019
213 (1) The financial statements to be placed before the members must show the prescribed matters relating separately to the prescribed time periods.  2007, c. 7, Sched. 7, s. 113 (1). (2), (3) Repealed:  2007, c. 7, Sched. 7, s. 113 (1). Approval of financial statements (4) Financial statements that have not been approved by the credit union’s board may not be placed before the members.  1994, c. 11, s. 213 (4). Evidence of approval (5) The signature, at the foot of the balance sheet, of two authorized directors is evidence of the approval of the board.  1994, c. 11, s. 213 (5). Available to members (6) The credit union shall make copies of the audited financial statements, the auditor’s report and the audit committee report available for inspection, by any member, at the meeting at which the statements and reports are to be placed before the members and at the offices of the credit union at least 10 days before the meeting.  2007, c. 7, Sched. 7, s. 113 (2). Filed with the Chief Executive Officer (7) The credit union shall send to the Chief Executive Officer the audited financial statements, the auditor’s report and the audit committee report at least 10 days before the day of the annual meeting at which the statements and reports are to be placed before the members.  2007, c. 7, Sched. 7, s. 113 (2); 2019, c. 7, Sched. 16, s. 50. Accepted principles (8) The financial statements shall, except as otherwise specified by the Chief Executive Officer, be prepared in accordance with generally accepted accounting principles, the primary source of which is the Handbook of the Chartered Professional Accountants of Canada.  1994, c. 11, s. 213 (8); 1997, c. 28, s. 53; 2015, c. 20, Sched. 8, s. 2; 2018, c. 8, Sched. 7, s. 5. Section Amendments with date in force (d/m/y) 1997, c. 28, s. 53 - 01/07/1998 2007, c. 7, Sched. 7, s. 113 (1, 2) - 01/10/2009 2015, c. 20, Sched. 8, s. 2 - 4/06/2015 2018, c. 8, Sched. 7, s. 5 - 08/06/2019; 2018, c. 17, Sched. 11, s. 15 - no effect - see 2019, c. 7, Sched. 16, s. 54 - 29/05/2019 2019, c. 7, Sched. 16, s. 50 - 08/06/2019
214 The board may at any time call a general meeting of the members or shareholders for the transaction of any business if the general nature of the business is specified in the notice calling the meeting.  1994, c. 11, s. 214.
215 (1) Any member may, (a) submit notice of any matter that the member proposes to raise at the annual meeting; and (b) discuss at the annual meeting any matter in respect of which the member would have been entitled to submit a proposal. Notice of proposal (2) Any proposal of a member submitted for consideration at a meeting must be attached to the notice of the meeting. Attached statement (3) If the member submitting the proposal so requests, a statement by the member in support of the proposal and the name and address of the member must be attached to the notice of the meeting. Length of statement (4) The statement must not be longer than two hundred words. Conditions for proposal (5) A proposal does not need to be attached to the notice of the meeting if, (a) the proposal is not submitted at least ninety days before the anniversary date of the previous annual meeting; (b) it clearly appears that the proposal is submitted primarily for the purpose of, (i) enforcing a personal claim or redressing a personal grievance against the credit union or its directors, officers, members or security holders, or (ii) promoting general economic, political, racial, religious, social or similar causes; (c) a proposal by the member had been attached to another notice of a meeting within the preceding two years and the member did not present the proposal at the meeting; (d) substantially the same proposal was submitted to the members at a meeting held within the preceding two years and the proposal was defeated; or (e) the right conferred is being abused to get publicity. Calculating time (6) The two year period referred to in clauses (5) (c) and (d) ends when the proposal is given to the credit union. Immunity re circulation proposal (7) No credit union or person acting on behalf of a credit union incurs any liability from circulating a proposal or statement in compliance with this section.  1994, c. 11, s. 215.