HC Deb 19 December 1967 vol 756 c356W
Sir C. Osborne

asked the Chancellor of the Exchequer if he will cause an investigation to be made into the financial stability of the Rotherglen Co-operative Society which, despite the £500,000 financial help received from the Co-operative Wholesale Society, is still unable to repay its depositors their money, as stated in correspondence sent to him by the hon. Member for Louth, a widow in whose constituency is unable to obtain the repayment of £210 1ls. 6d. and accumulated interest on her investment account.

Mr. Harold Lever:

As a result of adverse trading experience in recent years, together with a rapid reduction in members' share capital, and of the impossibility of realising its assets without loss to its members, the Rotherham Co-operative Society suspended the repayment of its shares on 29th August, 1967. The Chief Registrar of Friendly Societies has power to appoint an inspector to inquire into the Society's affairs on the application of not less than 100 members; but it must be doubtful in this case whether an inspector would be able to discover anything not already known. Members of the Society's present Committee of Management, who under a recent amendment of its rules are appointed by the Board of the Co-operative Wholesale Society, its principal creditors, are working to restore its financial position; the Chief Registrar is keeping a close watch on the matter.