Under section 72 of the Credit Union Act 1997, a person who has been adjudicated bankrupt and whose bankruptcy still subsists or who has been convicted of an offence in relation to a credit union or an offence involving fraud or dishonesty may not be appointed or act as a director, member of the supervisory committee, member of a principal committee, voluntary assistant, auditor, receiver or liquidator of a credit union or directly or indirectly take part in or be concerned in the management or operation of a credit union. Sections 171 to 175 of the Credit Union Act 1997, inclusive, detail the specific offences under the Act.
There is provision under section 96 of the Credit Union Act 1997, in specified circumstances for the Registrar of Friendly Societies to remove or suspend from office all or any of the directors or members of the supervisory committee of a credit union.