141   Set-off of amounts repaid etc on forfeited shares

(cf Vic Act s 145)

(1)  If a person has an entitlement because of the operation of section 140, the entitlement operates to extinguish any liability of the co-operative:

(a)  to repay to the person under section 134 (Repayment of amounts due in respect of cancelled membership) any amount in respect of the forfeited shares concerned, or

(b)  in respect of a deposit held by the co-operative, or debentures or CCUs allotted or issued to the person, under section 134 in respect of the forfeited shares concerned (except a liability to pay interest that is due but unpaid).

(2)  If an amount has been repaid to a person under section 134 or 136, the amount repaid is to be set-off against any entitlement of the person under section 139 in respect of the forfeited shares concerned.

(3)  If the amount repaid cannot be set-off against the entitlement because the entitlement is not, or is only partly, an entitlement to money, the entitlement is lost unless the person pays to the co-operative the amount repaid to the person and does so within the period required under subsection (4).

(4)  If the circumstances specified in subsection (3) arise, the co-operative concerned must:

(a)  give notice in writing of the matter by post to the person concerned at the person’s address last known to the co-operative, specifying a period of not less than 28 days after the notice is given during which any amount repaid must be paid to the co-operative, and

(b)  publish a general notice to that effect in a newspaper circulating in the district in which the registered office of the co-operative is situated.