§ Mr. ROYDSasked whether, under Section 40 of the National Insurance Act, a society with branches organising under that Section separate societies of the branches in a given area may make arrangements whereby rural branches and urban branches, respectively, may be treated as separate societies in such area; and, if so, whether it will be necessary for the members of each of such societies to exceed 5,000 in number?
§ Mr. MASTERMANSection 40 contemplates the grouping of the branches of a society by reference to the geographical area in which those branches are situated, and not by reference to the character, whether urban or rural, of the branches to be included in each group. Where, however, the conditions as to numbers admit of such an arrangement, I see no reason why a society could not be organised upon such a system as would produce the result suggested by the hon. Member so long as the principle of distinction by geographical area and not by character is observed. Each group would have to exceed 5,000 in number.