Western Australian Consolidated Acts Western Australian Consolidated Acts (1) An explanatory
statement must accompany every notice —
(a) that
is sent to a creditor of a co-operative calling a court ordered meeting to
obtain agreement to a compromise or arrangement; or
(b) that
is sent to a member of a co-operative for the purpose of the conduct of the
special postal ballot to obtain agreement to the compromise or arrangement.
(2) In every notice of
a meeting referred to in subsection (1) that is given by advertisement
there must be included either a copy of the explanatory statement or
notification of the place at which and the way in which creditors entitled to
attend the meeting may obtain copies of the explanatory statement.
(3) The explanatory
statement must —
(a)
explain the effect of the compromise or arrangement and, in particular,
state —
(i)
material interests of the directors, whether as
directors, members or creditors of the co-operative or otherwise; and
(ii)
the effect on those interests of the compromise or
arrangement in so far as that effect is different from the effect on the like
interests of other persons;
and
(b) set
out —
(i)
the information prescribed by the regulations; and
(ii)
other information that is material to the making of a
decision by a creditor or member whether or not to agree to the compromise or
arrangement, is within the knowledge of the directors and has not previously
been disclosed to the creditors or members.
(4)
Subsection (1)(a) does not apply in the case of a creditor whose debt
does not exceed $200 unless the Supreme Court orders otherwise.
(5) The notice calling
the meeting that is sent to a creditor referred to in subsection (1)(a)
must specify a place at which a copy of the explanatory statement can be
obtained on request.
(6) The co-operative
must comply with a request under subsection (5) as soon as practicable.