Seán Fleming (Laois-Offaly, Fianna Fail) | Oireachtas source

I thank the Deputy for his remarks. As I outlined in my response, the prohibition on a virtual AGM is set out in the Credit Union Act 1997. It is not possible to change primary legislation by way of a statutory instrument. Much as I might like to be able to say otherwise, it is important to be clear and not to build up any false hopes that this could be an option. Statutory instruments are secondary legislation and one could only be brought into effect if the Act in question made specific provision for that.

The Deputy mentioned that other voluntary organisations are holding virtual AGMs in the coming days. I am a member of the GAA and I am aware that local GAA clubs are doing the same. The difference in this case is that credit unions are covered by legislation and cannot make their own local arrangements. Other voluntary organisations that are not so governed by legislation have the flexibility to make their own rules at local level without restraint of legislative provision.

Due to the vast sums that people invest in, and borrow from, credit unions, it is necessary in a democracy to have legislation in place to protect depositors, the credit unions and the communities they serve. They cannot be set aside by a Minister signing a statutory instrument.

I urge the credit unions involved to engage immediately with the Central Bank to get approval, if it is required, for the payment of a small dividend or a refund of interest, so they can have arrangements in place as urgently as possible. However, in practice, that will be early in the new year. I hope their members will understand. Their hands are tied because of the Covid situation and they cannot hold the AGMs at this point. We will do everything that we can as early as possible, but it will take another couple of weeks.

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