Section 17

the property of the society shall forthwith vest either in the Director General of Insolvency or if any other officer be, by the terms of the order under section 5, appointed by the Minister for the purpose of winding up the affairs of the society, then in such other officer;

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the Director General of Insolvency or such other officer shall proceed to wind up the affairs of the society, and after satisfying and providing for all debts and liabilities of the society and the costs of the winding up shall pay the surplus assets, if any, of the society—

into the Consolidated Fund if the registration was refused or cancelled by virtue of an order under section 5 or on the grounds stated in paragraph 7(3)(a) or subparagraph 13(1)(c)(ii) or if the members of the society so request, and the

Minister so directs that such surplus assets be paid into the Consolidated Fund; and

the application for approval of such scheme shall be made by way of originating summons and may be amended by the Court in such way as it thinks proper under the circumstances of the case;

upon the approval of the Court to such scheme or amended scheme being obtained, the surplus assets, the subject of such scheme shall be held and applied by the Director

General of Insolvency or such other officer upon the terms and to the purposes prescribed in the order of the

Court; and

for the purposes of the winding up the affairs of the society, the Director General of Insolvency or such other officer shall have all the powers which are vested in the Director General of Insolvency by any written law relating to bankruptcy for the purpose of the discovery and realization of the property of a debtor, and also such powers as are by any written law relating to companies vested in an official liquidator and all the provisions of the said laws relating to bankruptcy and to the winding up of companies, so far as they relate to the discovery and realization of the property of a debtor and to the winding up of a company, shall, mutatis mutandis, apply to the winding up of the affairs of the society under this Act.

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The Registrar may suspend the operation of this section to such extent and for such period as he may think expedient.

The Registrar or the Director General of Insolvency may require or authorize the governing body of the society, being the governing body existing immediately before the coming into effect of subsection (1) in relation to that society, or any member of such governing body, or any person who was then or at any time previously an office-bearer, member or employee of that society, to furnish to the Registrar or the Director General of Insolvency, as the case may be, or to such other person as the Registrar or the Director General of Insolvency may specify, any information in relation to the property, affairs, business, accounts or books of that society, or any other matter relating to that society, which may be required for the purposes of this section, and, save as provided under subsection (4), such governing body, or member of such governing body, or such office-bearer, member or employee, shall not on account of anything done by it or him in pursuance of such requirement or authorization be guilty of any offence under this Act, provided such thing is otherwise lawfully done.

Where the governing body of such society, or any particular member of the governing body, or any person who was an office-bearer, member or employee of such society, at any time before the coming into effect of subsection (1) in relation to that society, fails to comply with any requirement of the Registrar or the Director General of Insolvency under subsection (3), or does anything outside the scope of, or contrary to, any authorization of the Registrar or the Director General of Insolvency under subsection (3), each of the members of the governing body, or the particular member of the governing body, or the office-bearer, member or employee, as the case may be, commits an offence and shall, on conviction, be liable to imprisonment for a term not exceeding five years or to a fine not exceeding ten thousand ringgit or both.

For the purposes of subsections (3) and (4), “office-bearer”

includes any person referred to in paragraphs 9A(7)(a), (b) and (c).

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For the avoidance of doubt, it is declared that where the property of a society vests in the Director General of Insolvency under paragraph (1)(a), the property of every branch of such society, regardless whether it is a lawful or an unlawful branch, shall also vest in the Director General of Insolvency, and the provisions of paragraphs (1)(b), (c), (d) and (e), and of subsections (2),

, (4) and (5), shall accordingly apply to every such branch and its property.

For the purposes of subsections (3), (4), (5) and (6),

“Director General of Insolvency” includes, in relation to a society in respect of which an order has been made by the Minister under section 5, any other officer who, by the terms of the order, has been appointed by the Minister for the purpose of winding up the affairs of such society.

Application of section 17 to unlawful branch