28 INFORMATION RELATING TO CO-OPERATION AND ASSOCIATKjN 



UNION OF SOUTH AFRICA. 



THE lyAND BANK OF SOUTH AFRICA IN 1916. — Report for the Year ended sist 

 December 1916, presented to both Houses of Parliament. Capetown, 1917. 



The activity of the Land Bank of South Africa in 191G was influenced 

 by general conditions determined by the war and by certain legislation 

 which affected its operations. 



On 13 June 1916 the Land Bank Act of 1912, under which the bank was 

 formed, was amended by a new Act of which the following are the essential 

 provisions. 



" Notwithstanding anything to the contrary contained in any law in 

 force in the Cape of Good Hope and Natal relating to joint stock companies, 

 it shall be lawful for a society consisting of any number of persons to be 

 formed, without registration under such law if a) it is formed for the purpose 

 of promoting agriculture or any agricultural or rural industry in the Union ; 

 and b) all the members are bona fide farmers residing in the Union ; and 

 c) all the members have by agreement luidertaken to be liable severally and 

 in soUdnnt for the debts of the society ; and d) the objects and articles 

 of association are approved of by the board and are lodged with the bank ; 

 and a society so formed shall be known as a Co-operative Agricultural vSo- 

 ciety and shall, for the purpose of the principal Act (i. e. the Land Bank Act 

 of 1 91 2) enjoy the same rights and privileges and be subject to the same 

 obligations as a co-operative society enjoys and is subject to, under the prin- 

 cipal Act, and the articles of association and any alteration thereof, when 

 approved by the board and lodged with the bank, shall be binding upon the 

 society and its members. 



" In the event of the cancellation or abandonment of any lease, license 

 or allotment from the Crown in respect whereof an advance has, with the 

 consent of the Minister of Lands, been made by the bank, for the purpose of 

 erecting a fence or constructing a dipping tank, there shall, when such land 

 is resumed by the Crown or abandoned by the lessee, licensee or lottee, be 

 paid out of the Consolidated Revenue Fund to the bank so much of the ad- 

 vance (and of the interest due thereon) as the bank is unable to recover 

 from the holder of such lease, license 'or allotment. 



" Any holding in respect of which a note has been made under the pro- 

 vision of the Dipping Tanks Advances Act 1911 (Act No. 20 of 1911) or 

 of the Fencing Act 1912 (Act No. 17 of 1912), may, after payment of all 

 instalments and interest then due to the bank in respect of that holding 

 and with the consent of the board, be ceded or transferred by the owner 

 to any other person ; but in that case such holding shall, notwithstanding 

 such cession or transfer, continue to be subject to a first charge, created by 

 such note in favour of the bank, for so much of the advance and interest 

 as is unpaid at the date of the cession or transfer ; and the owner for the 



