Section 40: Power of Registrar to institute proceedings on behalf of registered body in certain circumstances.

(1)
Where, as a result of any examination of any account carried out by the Registrar under section 39 of this Act or any examination or audit of any account carried out by an auditor by virtue of that section, it appears to the Registrar-
(a) that any offence, whether against an enactment contained in this Act or the Regulations or any other enactment, has been committed by the registered body concerned or by any other person, or
(b) that any sum due to the registered body concerned (other than subscriptions and other sums due from members of the body under its rules) has not been collected, and that, in either case, it is expedient to do so by reason of the refusal or neglect of the registered body concerned or the members thereof to take legal proceedings, the Registrar may on behalf of that body institute in its name-
(i) in a case falling within paragraph (a) of this section, criminal proceedings for that offence; or
(ii) in a case falling within paragraph (b) of this section, civil proceedings for the recovery of the said sum.
(2) In any civil proceedings instituted by the Registrar by virtue of subsection (1) of this section, the court shall have the same power to make an order for the payment of costs to or by the Registrar as if he were a party to the proceedings.