The Principal Act is amended in Part IV by inserting the following after section 66:

"General governance requirements

66A. Governance arrangements in credit unions.

(1) A credit union shall have governance arrangements which shall -

(a) be such as to ensure that there is effective oversight of the activities of the credit union, taking into consideration the nature, scale and complexity of the business being conducted,

(b) include a clear organisational structure with well-defined, transparent and consistent reporting lines,

(c) be documented and set out the roles, responsibilities and accountabilities of the officers clearly in writing,

(d) be communicated in writing to all officers in the credit union, and

(e) be subject to regular internal review by the board of directors on, at a minimum, an annual basis.

(2) A credit union shall have in place the oversight, policies, procedures, practices, systems, controls, skills, expertise and reporting arrangements to ensure compliance with the requirements set out in this Part.

66B. Remuneration policies and practices.

A credit union shall put in place remuneration policies and practices which shall be consistent with and promote sound and effective risk management.

66C. Reporting to Bank.