Assignment of charge

(1) A credit union may borrow from any other credit union or from any bank on the security of any charge executed and registered in accordance with sections 42 and 43 and may for this purpose assign any such charge to the other credit union or bank. (2) Subject to section 43, an assignment of a charge when registered shall operate as a first charge in favour of the assignee 40 Credit Unions Act Organization established with the object of facilitating the operations of other credit unions, such organization may borrow from any bank and for this purpose may re-assign any such charge to such bank and sub-sections (1) and (2), shall apply with the necessary modifications to such reassignment.