The Lebanese Association of Certified Public Accountants (LACPA)
Formation, name, scope, goals, location and duration of the fund
Article 1: A mutual fund shall be founded, between the signatories of the foundation application, regulated by the dispositions of the decree law no. 35 on the date of 09/05/1977, as well as its relevant decree and the dispositions of the present bylaws and other bylaws relevant to its implementation.
Article 2 : the fund shall bear the following denomination:
The Mutual Fund for the members of the Lebanese Association of Certified Public Accountants (LACPA).
Article 3: The scope of work of the fund shall include all the Lebanese territories.
Article 4: The fund shall aim at achieving the following goals and purposes:
- Indemnifying for health expenses, including hospitalization and medical care.
- Providing contributions and aids in the events of marriage - death – birth.
- Providing school and specialization aids.
Article 5: The duration of the fund was determined to … 50 …. Years… starting the date of its registration before the General Directorate of Cooperatives.
The duration of the fund may be extended upon a decision from the general extraordinary assembly, at least one month before its expiry.
Article 6: The headquarters of the fund shall be in Beirut within the LACPA headquarters, as long as the latter approves, and may be transferred upon a decision by the board of administrators to any other location within its scope of work.
The Board of administration may take a resolution to open branches and centres within its scope of work, in the event the work of the fund require such.
Membership: Conditions – Forfeiture – Conditions of Dismissal
Types and conditions of membership
Article 7: The fund shall be composed of two types of members:
- Actual members who benefit from the benefits and services provided for in the regulations of the fund in consideration of subscriptions.
- Honorary members, which are persons who join the fund as such, conferring contributions, donations or aids without obtaining any benefits.
Article 8: Applicant to membership of the fund must abide by the following conditions:
- Have professional, geographic or social links to the remaining members.
- Refrain from acquiring membership in two funds for the same purpose.
- Abide by the following special conditions:
- Be a member of LACPA
- Note: staff of LACPA or members thereof may benefit from the services of the fund strictly as beneficiaries.
- Be Lebanese.
- Approval of the membership by the board of administration of the fund.
Article 9: in the event the applicant was a minor, its application must be approved by his/her legal guardian.
Article 10: honorary members, whether natural or legal persons, shall not be subject to the conditions stipulated in paragraphs 1, 2, 3 and 4 of the article 8, it shall rather be sufficient to periodically offer financial or technical donations, grants, or contributions according to the following criteria:
- According to criteria determined by the present bylaws, mainly the following: that the annual contribution would not be less than five millions Lebanese Pounds.
- According to criteria to be subsequently determined by the board of administration.
Article 11: the membership applicant whose application was rejected or disregarded by the board of directors within one month from the date of its submittal, may object before the general assembly of the fund within fifteen days from the date of notification of the rejection or within one month from the application.
The objection shall be applied through the General Directorate of Cooperatives, which shall forward it to the general assembly.
Forfeiture of the membership – Situations of dismissal
Article 12: Members shall lose their membership in the following situations:
Article 13: Each member wishing to resign from the fund must fill a form in this regard to the Board of Directors.
The resignation shall be enforced starting the date of its delivery and the resigning member shall be bounded to pay the due subscriptions and contributions until the date of resignation.
Article 14: The member shall be dismissed from the fund in the following situations:
- In the event of loss of the conditions provided for in articles 8, 9, and 10 of the present bylaws.
- In the event of cessation of the payment of the subscriptions or contributions stipulated in the present bylaws and within the deadlines stated therein, without a legal justification accepted by the board of administration.
- In the event of perpetration of acts or behaviours susceptible of impairing the moral or material interests of the fund.
- In the event of negligence of the obligations and commitments stipulated in the bylaws.
Article 15: the dismissal shall be applied by virtue of a decision from the board of administration, and the dismissed member may object such decision before the general assembly within fifteen days from the date of notification.
The decision of dismissal shall be enforced starting the date it is issued and the dismissed member and his/her family shall cease notifying the services of the fund until finalizing the decision by the general assembly.
Article 16: The forfeiture of membership, whether due to death, resignation or dismissal shall not confer to the member any right to reimburse the value of any of his/her contributions or subscriptions whatsoever.
Administration of the fund
Board of administration
Composition - Election – Term – Conditions of membership
Article 17: The fund shall be administrated by a board of directors composed of nine members elected by secret ballot by the general assembly, while observing article 9.
The general assembly shall elect, along with the members of the board, three alternate members and shall determine their ranking to designate who shall be first convened to fill the vacant position.
Article 18: Two thirds at least of the board members must be actual members. As per honorary members, they shall represent a maximum of one third of the members, and shall be represented by their candidates, otherwise by the candidates proposed by the LACPA council in this regard, and they shall be elected by the general assembly through secret ballot.
Article 19: The term of the board of administrators shall be for two years, and the membership shall be renewable.
Article 20: In the event a certain position is vacant during the term of the board of administrators, whether by resignation, death or dismissal, the board shall, within a maximum deadline of two weeks:
- Inform the General Directorate of Cooperatives of such.
- Convene one of the alternate members according to the ranking to fill the vacant position for the remaining duration of the term of the member who lost his/her membership.
- In the event the member whose position is vacant is the chairperson, deputy chairperson, secretary or the treasurer, the vacant position must be filled first with one of the alternate members, then elect one of the members for the vacant positions.
In the event all of the three alternate members were convened, at the same time or subsequently, to fill the vacant positions in the board of administration, the latter shall convene the general assembly within one month to elect other alternative members.
Article 21: In the event the term of the board of administration expired and the general assembly failed to elect another board, the outgoing board shall pursue its tasks and powers until a new board is elected, provided that the prior approval of the General Directorate of Cooperatives on such extension is obtained beforehand.
Article 22: The candidate to the board of administration must be:
- a member of the fund.
- A Lebanese citizen having attained the age of 21.
- Enjoying his/her civil rights.
- Not a member of the committee of control.
In the event legal persons were elected to the board of administration, they shall be represented therein with a delegate, provided that the latter is not member to the fund.
Forfeiture of the membership in the board of administration
Article 23: The membership of the board members shall be forfeited as a matter of right in the following situations:
- In the event of forfeiture of membership in the fund.
- In the event of resignation from the Board.
- In the event of expiry of the term without renewal, while observing article 21 of the present bylaws.
The member of the board shall be dismissed in the following situations:
- In the event of a deliberate negligence or substantial violations which incur moral or material damage to the fund.
- In the event of three consecutive absences from sessions.
- In the event of health reasons preventing him/her from pursuing the activities as a board member.
The dismissal shall be enforced with a resolution taken by two third of the members of the board of administration, and shall be referred to the approval of the general assembly in its first session.
Organization of the works, meetings and minutes of the Board
Article 25: Members of the board of direction must elect, from amongst them, a chairperson, deputy chairperson, secretary, and treasurer, whose term shall be equivalent to their membership term in the board.
The election shall be by secret ballot, and the winner must obtain the highest number of votes, and in the event of equal votes, the elder candidate shall be considered winner.
In the event the stipulations of law organizing the profession of Certified Accountants in Lebanon and the bylaws of LACPA contradicted with the stipulations of the present bylaws, the former shall have the priority on the latter.
Article 26: The board of administration shall gather once per month at least at the headquarters of the fund or in any other location within its scope of work, upon a convening from the chairperson, deputy chairperson or treasurer upon agreement with the chairperson.
The board of administration may be exceptionally convened upon request from:
- The General Directorate of Cooperatives.
- Half of its members.
- The committee of control.
- The fifth of the members of the fund.
The request shall be deposited before the bureau of the board and the chairperson of the board must adjudicate it, within a two-day deadline, and in the event of rejection or disregard, the request shall be submitted to the General Directorate of Cooperatives for adjudication, convening, and determination of the date and venue of the meeting.
Article 27: The convening shall be dispatched within two days at least before the determined date. The chairperson of the board, or the General Directorate of Cooperatives (in the event it convened to the meeting) shall be entitled to shorten such deadline to any limit in the urgent situations, and may decide to notify the members by telephone, telegram or any other mean.
Article 28: Meetings shall be chaired by the chairperson of the board of directors, or by the deputy chairperson in the event of absence, and in the event of the absence of both, by one of the members chosen by the board at the beginning of the session.
No member or any other party may be mandated to vote or attend on behalf of another member.
Staff of the General Directorate of Cooperatives may attend the meetings of the Board of Administration in a consultative capacity, without the right to vote.
Article 29: The legal quorum shall be present at the meetings of the Board with the presence of more than half of its members and resolutions shall be taken with the relative majority of votes, and in the event of equal votes, the chairperson shall have the casting vote.
The secretary, or anyone mandated by the chairperson in the event of absence, shall draft minutes of the sessions and resolutions and such shall be kept within the headquarters of the fund.
The minutes shall be signed, upon reading in public, by all the members who attended the relevant meeting.
Powers of the Board of administration.
Article 30: the Board of Administration shall manage the affairs of the fund, ensure its well-functioning, and maintain its interests, and shall have in this regard all powers which the law, decrees or regulations relevant to the fund, did not stipulate to be kept for the general assembly, committee of control or any other body.
Article 31: The following powers shall be vested upon the board of administration, including but not limited to:
- Withdraw and receive all correspondence, packages, transfers, and all formalities and documents addressed to the fund.
- Determine the enterprises of deposit and loan as well as banks in which the assets of the fund shall be deposited, and in which it shall open and run its accounts.
- Determine the ways to use available assets according to the laws and regulations, and shall open and administrate accounts therein.
- Accept donations, contributions and grants.
- Loan, lend, open credits, grant guarantees, and conclude contracts according to the laws and agreements.
- Determine the value of funds and assets which the director may keep to ensure the commercial needs of the fund.
- Invest and manage the movable and non-movable properties of the fund, nevertheless he/she shall not have the right to sell and purchase non-movable properties or settle any rights thereon without the prior approval of the general assembly.
- Designate and revoke, upon the approval of the chairperson, a manager for the fund, and determine the salary and indemnity of the same.
- Designate revoke, and determine the salary and indemnity of the fund staff, upon the proposal of the chairperson
- Convene the general assembly whenever needed and determine the agenda thereof.
- Adjudicate all the issues and topics which fall within his or her competence according to the law, decrees and regulations, especially the law decree no. 35 on the date of 09/05/1977, and its executional decree as well as the basic and internal regulations of the fund.
- The Board of Administration shall determine, according to the financial capacities of the fund, the priority targets of the fund, which are achievable and provided for in the article four.
Obligations of the Board of Administration
Article 32: The Board of Administration must:
- Abide by the enforced laws and regulations, as well as the regulations of the fund, and the resolutions of the general assemblies, and ensure their well-functioning and implementation.
- Facilitate the works of the staff members of the General Directorate of Cooperatives or representatives thereof, and provide them with all documents and information they request.
- Abide by the instructions of the General Directorate of Cooperatives, especially as per keeping and organizing the accounting and administrative documents and registers.
- Submit to the General Directorate of Cooperatives copies of all its minutes and resolutions within a maximum one-week deadline starting the date of signature.
- Determine the powers of the secretary and the treasury.
Mandate the powers of the Board of Administration and sign cheques, transactions and contracts.
Article 33: The Board of Administration may, on its responsibility and supervision, mandate some of its power to one or more of its members. It shall also be entitled, on its responsibility, vesr some of its powers upon some members or staff members of the fund, provided that they are vested for a previously determined duration and for given purposes.
Article 34: The signatory for the fund on checks, transactions and contracts shall be the Chairperson, in addition to the director or the member mandated by the Board of Administration for such purpose.
In the event the chairman or the director were incapable of signing, the Board shall vest the right of signature upon one or more of its members.
Presidency of the Board of Directors
Article 35: The chairman of the Board of Administration, shall enjoy, in addition to the powers vested by the laws and regulations, the following powers:
- Represent the fund before all authorities, administrations, institutions and the judiciary, file lawsuits on behalf of the fund upon obtaining the approval of the Board, and lawsuits shall be filed on the fund in his/her person.
- Chair the meetings of the Board of Administration and the General Assembly and administrate the discussions therein, and in the event such is not feasible, he/she shall be represented by his/her deputy or one of the Board members or the General Assembly, according to the situations.
- Ensure the well-functioning of the fund and implement the policy stated by the General Assembly and the Board of Administration and ensure the implementation of their resolutions.
Article 36: The Chairman of the board may delegate some of the powers to the deputy or a member of the board or the director, provided that the delegation is written, and that the delegated person would not be empowered to sign with the chairman on the cheques, transactions and contracts.
Responsibility of the members of the Board of administration
Article 37 The chairperson and members of the Board of Administration shall be personally responsible, jointly or severally, according to the situations, before the fund and other parties, for the errors committed by them at the administration of the fund and for not abiding by the bylaws of the fund and the enforced laws and regulations.
Director of the Fund
Article 38: The director of the fund must be:
- Lebanese for ten years at least.
- Enjoying his civil rights and not convicted of any of the crimes provided for in the article 4 of the Decree Law no. 112/59.
- Not a chairman of the Board of Administration or member at the committee of control.
- Not a civil servant, nor an employee in a municipality, official institution or an independent service.
- Attaining the age of 21.
- Provide a guarantee of which the type, conditions and amount shall be determined by the Board of Administration.
- His/her designation must be approved by the Council of LACPA.
Article 39 The director shall have the following powers:
- Assists the Chairperson of the Board of Administration to manage the fund.
- Practices all powers vested upon him/her by the Board of Administration or the Chairperson, as well as those provided for in the executional decree, in the present bylaws or internal regulations.
- Attends the sessions of the Board of Administration as a consultant.
Article 40: The Director shall be personally responsible, and according to the enforced laws, before the fund and third parties for the errors perpetrated during his/her term, especially in the event of exceeding the vested powers.
Committee of Control
Article 41: The Committee of Control shall be composed of three members elected by the general assembly by secret ballot, and their term of office shall be for three years, and their membership renewable. The continuity of committee at office after the end of its term shall be subject to the article 21 of the present bylaws.
Article 42: the resignation of the members of the Committee of Control shall be submitted to the General Directorate of Cooperatives which must notify the Board of Administration and convene the general assembly to elect a replacing member.
Article 43: The members of the committee of Control must fulfil the conditions provided for in article 22 of the present bylaws and their membership therein shall be forfeited for one of the reasons stipulated in article 23 thereof. Their dismissal shall occur by a resolution from the committee for one of the reasons stipulated in article 24 and the decision of dismissal shall be enforceable starting the date of its promulgation, provided it is submitted for the approval of the General Assembly in its first session.
Article 44: Members of the committee shall elect one of them for chairing the committee, running its affairs and chairing its meetings.
The resolutions of the committee shall be taken with the absolute majority of the votes of its members and the minutes of its meetings and resolutions shall be registered upon signing them by the members in a special register to be kept at the headquarters of the fund and a copy thereof shall be submitted, within one week from their promulgation to the General Directorate of Cooperatives.
Article 45: The committee of control must gather once at least every three months and perform the following:
- Peruse the resolutions of the Board of Administration and the General assemblies, as well as the correspondence of the General Directorate of Cooperatives addressed to the fund.
- Peruse the registers, books, and documents relevant to the fund as well a\s the inventory statement of its assets.
- Peruse the accounts, budgets and reports established in this regard.
- Approve beforehand all the contracts concluded between the fund and one of the members of the Board of Administration, and any contract not bearing such approval shall be considered void.
Article 46: The committee of control must establish an annual report on the result of its works according to the stipulations of the above article and state therein all of its comments and suggestions and submit the same to the Board of Administration Two days at least before the date of the meeting of the General Assembly.
The report of the committee of Control must be read in the meeting of the General Assembly convened to approve the accounts and discharge the members of the Board of Administration.
In the event the committee neglected or refrained from establishing its report and depositing it before the Board of Administration, the latter must inform the General Assembly of such in the meeting to take the decision it deems appropriate, namely whether to disregard it or mandate another person to prepare it and submit it to the Board in a subsequent meeting.
The General Assembly
Convening the General Assembly
Article 47: the General Assembly shall be convened with a decision taken by the Board of Administrators, either by its own right or pursuant to a request addressed by the General Directorate of Cooperatives or the Committee of Control or the tenth of the Fund members.
In the event the Board of Administration rejects or neglects the convening within five days from its receipt, the General Directorate of Cooperatives, may, upon the referral of the party requesting the meeting, convene the General Assembly. In the event the General Directorate of Cooperatives requested such meeting, it may decide forthwith, in the event its request was rejected or neglected within the said duration, convene the General Assembly directly.
The convening, regardless of its source, must be written, attached to the agenda, and state the venue, date and time of the meeting.
Article 48: As per the meetings of the ordinary general assembly, the members shall be convened with a minimal one-month deadline prior to the determined date of the meeting, by virtue of a recommended letter with an acknowledgment of receipt or by publication twice in two local newspapers designated by the General Directorate of Cooperatives.
As per the urgent issues which are to be assessed by the Board of Administration or the General Directorate of Cooperatives according to the situations, and regarding only the meetings of the ordinary general meetings only, the convening notice may be shortened to the appropriate limit, provided that it would not be less than 5 days.
Agenda of the General Assembly
Article 49: The Board of Administration shall determine the agendas of the General Assembly. As per situations in which it is convened upon a request from the General Directorate of Cooperatives or the Committee of Control or the tenth of the members, the content of the agenda shall be determined upon agreement with the party requesting the convening, and any conflict on such shall be submitted to the General Directorate of Cooperatives to adjudicate with a definite decision.
Deliberations of the General Assembly shall not broach issues that are not stated in its agenda.
Clerk Office and Administration of the Assembly
Article 50: The Chairperson of the Board of Administration shall chair the meetings of the General Assembly, and shall be replaced by the deputy Chairman in the event of his/her absence, and in the event of the absence of both, they shall be replaced by a member of the Board of Administration or the General Assembly which will be elected at the beginning of the meeting.
The General Assembly shall designate a clerk, who may be a non-member, to undertake the secretarial work. The clerk office of the General Assembly shall be composed of the four mentioned persons.
Right of voting and representation in the General Assembly
Article 51: Each of the actual or honorary members, who have settled the full amount of their subscriptions and contributions, shall be entitled to attend the meetings of the General Assembly and shall have one vote therein.
Minor members shall be represented by their parents/guardians, and any member can mandate another member to represent him/her at the General Assembly and vote on his/her behalf, provided that one member shall not bear a mandate for more than five members.
Legal persons may mandate a representative, whether member or not.
The member shall be mandated by a special proxy before the notary public or certified by the chairperson of the Board of Administration or the Director of the Fund.
Members who attended the meeting or their representatives shall sign an attendance register to be kept at the headquarters of the fund, as a proof of their attendance at the session.
Proceedings of the General Assembly sessions
Article 52: The clerk office of the general assembly shall draft its decisions and the summary of its deliberations within special minutes to be kept at the headquarters of the Fund to be perusable by any member.
Minutes shall be solely signed by the clerk office of the assembly and the Chairperson of the board of administration must deposit a copy thereof before the General Directorate of Cooperatives within a maximal ten-day deadline.
Meetings and powers of the ordinary general assembly
Article 53: The ordinary general assembly shall be convened once per year at least within the three months following the end of the fiscal year and may be convened at any time to adjudicate any subject within its competence.
Article 54: The following issues shall be within the competence of the ordinary7 general assembly:
- Election and approval of the dismissal of the members of the Board of Administration and the Committee of Control.
- Approve the budget, balance sheet and accounts and discharge the members of the Board of Administration for their works upon hearing reports of the Committee of Control, Board of Administration and the General Directorate of Cooperatives.
- Determine the conditions for selling, purchasing and swapping the immovable Fund assets or setting any in-kind rights thereon.
- Issues which the Board of Administration decides to refer thereto.
- All issues which are not within the powers of the General Assembly and which the laws, decrees or regulations of the fund confer the adjudication thereof to the General Assembly.
Quorum and majority at the ordinary general assembly
Article 55: The legal quorum shall be present at the first meeting with the presence or representation of more than half of the members having a valid membership of the fund by the date of the convening. In the event the legal quorum is not present at the first meeting, the meeting shall be postponed to another date within a duration not exceeding one month, where the legal quorum shall be present with the presence of any present or represented members.
Article 56: Resolutions shall be taken at the meetings of the General Assembly with a relative majority of the present or represented members, and in the event of equal votes, the chairman shall have the casting vote.
As per the election of the members of the Board of Administration, alternate members and the members of the Committee of Control, the candidate who obtains the largest number of votes shall be considered winner, and in the event of equal votes, the elder candidate shall win.
Voting shall take place in the meetings of the General Assembly by lifting hands; as for the election or approval of the dismissal of members of the Board of Administration or the Committee of Control, voting shall occur by secret ballot.
Powers of the extraordinary general assembly
Article 57: The extraordinary general assembly shall have the power to adjudicate the following issues:
- Introduce amendments to the bylaws of the Fund.
- Membership of the Fund to mutual unions.
- Extend the duration of the Fund.
- Dissolve the Fund.
Quorum and majority at the extraordinary general assembly
Article 58: The legal quorum shall be present at the first meeting with the presence or representation of three quarters of the members having a valid membership of the fund by the date of the convening.
In the event the legal quorum is not present at the first meeting, the general assembly shall convene to another meeting within a one-month deadline, where the legal quorum shall be present with the presence of more than half of the members.
In the event the legal quorum is not present at the first meeting, the meeting shall be postponed to another date within a duration not exceeding one month, where the legal quorum shall be present with the presence of any present or represented members.
In the event the legal quorum is not present at the second meeting, the General Assembly shall be convened to a third meeting, where the legal quorum shall be present with the presence of any present or represented members.
Article 59: Resolution shall be taken in the extraordinary with the majority of three quarters of the present and represented members.
Partition on the General Assembly into groups
Article 62: When the Fund comprises more than one hundred members, the Board of Administration may decide to partition the members into various groups.
The Board of Administration shall establish, upon the approval of the General Directorate, a regulation for the groups determining their functioning, procedures of voting and resolutions, as well as its representation at the general assembly and the counting of votes.
Financial Affairs - Reserve - subscriptions of members – Rates, obligations, procedures and deadlines of Benefits and Services
Financial Affairs of the Fund
Article 61: The fiscal year of the fund shall start on the first of January and the thirty first of December of each year. As per the first fiscal year, it shall start on the date of registration of the Fund before the General Directorate of Cooperatives and shall end on 31/12/1999.
Article 62: There shall be no equity capital for the fund, its resources shall rather be composed of the periodical subscriptions paid by the members and from the aids, donations, grants and wills and the results from investing its assets.
Article 63: In the event the Fund faces a certain deficit, it may not, in any situation, solicit the members to pay more than the double of their annual subscriptions to compensate such deficit.
Article 64: All financial and accounting transactions of the Fund shall be registered in the financial and administrative registers determined and annotated by the GCD.
Article 65: The Board of Administration must set the general budget of the Fund for the following year and submit it for approval by the general assembly before two months from the beginning of the relevant fiscal year.
In the event the General Assembly fails to approve the budget before the beginning of the fiscal year, expenses shall be disbursed on a yearly basis. As per the first fiscal year, the Board of Administration shall establish an estimative temporary budget and shall submit it for approval by the General Assembly within a one-month deadline from the date of registering the Fund before the GCD.
Article 66: The budget of the Fund must include three parts:
Part one: Stating the revenues of the Fund.
Part Two: Stating the administrative expenses of the Fund, as well as the estimative costs and commitments towards its members and their families on the basis of the rates of the benefits and services stated in the present bylaws.
Part Three: Account and modes of usage of the regular and obligatory reserves.
Article 67: Revenues shall be registered in the account of the year in which they were collected, even if they are relevant to another year.
Article 68: The Board of Administration shall establish the budget of the fund – namely proofs of accounts – for the past year and submits them to the General Assembly within the three months following the end of the fiscal year.
The budget must be submitted within fifteen days beforehand to the Committee of Control to establish a report in this regard, which shall be read in the convened General Assembly meeting for approval.
Article 69: A report established by Board of Administration, concerning the execution of the budget relevant to the balance sheet, must be attached to the balance sheet of the Fund.
Article 70: No amount of money from the assets of the fund may be disbursed without a decision from the Board of Administration.
Article 71: The Expenses shall be disbursed by virtue of disbursements orders signed by the chairperson and the secretary or the General Manager or the mandated member and shall be attached to the documents proving the due expense and it shall state the source of credit from which it is taken and the decision of disbursement by the Board.
Article 72: Determined expenses shall be paid by virtue of cheques which shall be withdrawn on the open accounts of the Fund in banks and shall be signed according to the article 34 of the present bylaws.
Article 73: The signature of the beneficiary on the disbursement order shall be considered as an acknowledgment of cashing the amount.
Article 74: No expense may be paid before its disbursement is decided by the Board of Administration; nevertheless, the Board may mandate the Chairman or the treasurer to decide to disburse the expenses of investing aspect, provided that a resolution shall be taken, in the first meeting held by the board, to disbursement for settlement.
Article 75: Expenses may not exceed the amount of the budgetary allocations.
Article 76: In the event the amount of required benefits and services due in one year exceeded the budgetary allocations, the Board of Administration shall be entitled to cover the deficit from the reserve funds stipulated in paragraph 2 of the article 83 of the present bylaws.
Article 77: In the event the reserve was not sufficient to cover the deficit, the Board of Administration must convene the General Assembly, and submit the matter thereon to take the measures it deems necessary to restore the necessary equilibrium.
Article 78: The revenues of the fund shall be collected by virtue of receipts drafted by the staff member mandated by the treasurer to cash the amounts.
The staff member mandated by the treasurer to collect revenues must draft a daily statement of the total collected amounts, obtain the signature of the treasurer thereon, and register it in the accounting books of the Fund.
Composition and usage of the reserve
Article 79: The Fund must deduct yearly 25% of its revenues stated in article 17 of the decree law no. 35 on the date of 09/05/1977 and deposit them in a special account named “account of obligatory reserves” or a percentage of 10% provided that the Fund is covered with an insurance covered.
The deduction of the said percentage shall cease when the amounts therein are equal to the value of the expenses and commitments paid by the fund in the previous two years.
Article 80: The annual excess which remains after paying all the expenses and commitments of the Fund towards the members and third parties shall be carried forward to a special account named “regular reserve account”.
Article 81: Funds of the account of obligatory reserves may not be used without the approval of the General Assembly and solely for the following purposes:
- Purchase of Treasury Bills.
- Acquiring Constructions in Lebanon.
- Loans for official institutions, municipalities, Housing Bank, or two other institutions or projects under the guarantee of the State.
Article 82: Funds of the regular reserve shall be used by a decision from the Board of Administration solely for the following purposes:
- 25% to increase the rates of benefits and services of the members and their families.
- 25% remaining as available liquidity to be deposited in one of the banks for usage to settle the deficit in the following years, provided that it would not exceed the value of the expenses and commitments paid by the fund in the previous two years.
- The balance shall be allocated to be granted as loans for the members to build, develop and improve an accommodation or as a loan to members and their children for education and specialization.
Article 83: The yield of investment of the regular and obligatory reserves shall be considered as revenues of the fund stated in article 17 of the law decree no. 35 on the date of 05/09/1977.
Subscriptions of the members and rates of benefits and services
Article 84: The actual members shall be divided into the following categories:
- Find attached a detailed table of the categories, to be set by the Board of Administration subsequently.
Article 85: Subscriptions to be paid by the actual members shall be determined as follows (and as determined by the Board of Administration subsequently):
- For category… Find attached a detailed table determining the value of the periodically amendable subscriptions, by decisions from the Board of Administration subsequently.
- For category… Find attached a detailed table determining the value of the periodically amendable subscriptions, by decisions from the Board of Administration subsequently.
- For category…
An increase shall be imposed to membership candidate, the amount of which shall be determined by the Board of Administration, proportionally to the age or health condition of the applicant, or any other reasons for applying such.
In the event the member wishes to benefit members of his/her family (the spouse and children under their custody) from the services and benefits of the Fund he/she shall pay a subscription fee for each of them amounting to / / for the spouse and / / for each of the children (Find attached a detailed table determining the value of subscriptions). The subscriptions stated in the present article shall be paid according to the subsequent resolutions of the Board of Administration and each delay of their payment shall impose a fine of 5% for each month of delay, and the part of the month shall be accounted as a full month.
Article 86: In the event the member delays, without a legal justification the payment of his/her subscription fees for four consecutive months, his/her membership of the fund shall be forfeited.
Article 87: The subscription fee to the Fund shall be determined to a lump sum of 10,000 LBP. And such fee shall be considered as revenue for the fund.
Article 88: The rates of benefits and services shall be determined as follows:
Find attached detailed tables (to be determined by the Board of Administration).
Article 89: The member shall not benefit from the various benefits and services of the Fund, until after the elapse of six months of his membership.
Article 90: Benefits and services stipulated in the present bylaws shall be conferred pursuant to a request from the beneficiary or the beneficiaries to the Fund.
Article 91: The Board of Administration shall establish a model form for each of the benefits and services stating the information, proof and documents to be attached thereto.
Such form shall represent the obligatory framework for the applications submitted to the Fund and sufficient copies thereof shall be put under the disposal of the members for free.
Article 92: The Board of Administration shall, within one month from receiving the application, adjudicate the same or charge the applicant to provide any explanations or documents.
The Board of Administration may, through a member or any other mandated person, perform all necessary investigations to decide on the application.
Article 93: The beneficiary, or heirs thereof shall submit, under the penalty of forfeiting the right, within six months from the due date, an application in this regard to the Fund. He must, within the same deadline from the date of his/her mandate by the Board of Administration or the mandated member, fulfill the missing items in his/her application, or submit any documents or explanations under the penalty of forfeiting the right.
Article 94: Benefits and services stipulated in the present bylaws shall be due in the event the detailed table attached hereto was accomplished (to be determined by the Board of Administration subsequently).
The Benefits and services shall be due once the abovementioned conditions are fulfilled.
Article 95: The amounts determined to the beneficiary shall be paid within a one-month maximum deadline from the date it is decided, by virtue of a check withdrawn on the account of the Fund and the signature of the beneficiary on the disbursement order shall be considered as an acknowledgment of receiving the cheque.
Article 96: In the event the beneficiary was entitled to obtain benefits and services for the same situation from any other reference, he/she shall not be entitled to collect any amount from the Fund for such, but shall rather solely benefit from the difference, if available.
The Fund shall replace the beneficiary, as a matter of right, in any rights due to him/her towards third party due to the situation which required services from the Fund.
Article 97: A resolution from the Board of Administration shall determine the modes of implementing the articles of the present chapter.
Liquidation of the Fund
Article 98: The liquidator shall, upon receiving his/her tasks:
- Prepare an inventory of the assets of the Fund, with a statement of such inventory appraising the value of such assets with their current and potential selling value.
- Establish a detailed statement of the rights and debts of the Fund.
- Receive and keep books, papers, documents and components of the Fund, delivered by its relevant officials.
- Duly and chronically register all liquidation works in a journal.
- Keep the papers and proofs relevant to the liquidation.
- Call the creditors to prove their debts before him/her and submit their evidence within a deadline which he/she shall determine, provided that it is not less than two months, by publication in two local newspapers and in the official gazette.
Article 99: The powers of liquidator shall include performing all what is necessary to perform and execute the liquidation works unless the decision of his/her designation stated restraints to such powers.
In general the powers of the liquidator shall include all works aiming at maintaining the assets of the fund, acquiring its rights, selling its assets, and paying its debts. He/she shall represent the fund which is under liquidation and run its affairs. His/her mandate shall include all necessary works to liquidate its assets, settle its liabilities, collect debts and accomplish outstanding issues and undertake all precautious means required by the interest of the Fund, sell its movable and immovable assets, and all merchandise and assets while observing the restraints and procedures stated in his/her designation decision.
Article 100: When the liquidator accomplishes the works stated in the abovementioned articles, and finishes collecting the debts of the Fund, settling its debts, and liquidating its assets, he/she shall establish a detailed report on the results of his/her work, stating therein all the facts of the liquidation, the inventory list, and a balance sheet including all the assets and debts, with a detailed statement of the works he/she performed, the final result yielding therefrom, and the amounts he/she cashed for any reason whatsoever.
Such statements shall be attached to a final account established by the liquidator and submitted to the General Directorate of Cooperatives for approval and publication in the official gazette.
Article 101: The liquidator may not settle any debt or pay any amount from the liquidation money to the creditors until after the final accounts are finalized according to the article 32 of the decree law no. 35.
Article 102: The liquidator shall distribute the collected funds on the creditors proportionally to their debts and shall convene them to cash them by publication in two local newspapers. Once the distribution works are accomplished, the liquidator shall send the distribution account and the papers and books of the fund to the GDC.
Article 103: The liquidator shall be responsible before the members and third parties for trespassing the limits of his/her powers and for the errors which he/she commits while performing the liquidation works.
Article 104: The excess amount obtained upon paying all liabilities shall be distributed, pursuant to the proposition of the liquidator and the approval of the GDC, on the members proportionally to their contribution to the Fund.
The Constituent General Assembly has approved the present bylaws in its session held on the date of
Issued on the date of 21/04/1999, decision no. 13/T1 stipulating the foundation of the Fund, published in the official gazette, issue no. 22 on the date of 06/05/1993 and registered before the GDC in the special register under no. 1/58 on the date of 12/05/1999.