P.R. Laws tit. 7, § 1366c
The Board of Directors shall provide for the distribution of the net surplus that has been accrued by the cooperative at the end of each year, after the amortization of accrued losses, if any, followed by the contributions to the indivisible reserve, as required in this chapter, and the allowance for possible losses in loans, mandatory and voluntary reserves. As long as the cooperative has accrued losses, the distribution of surplus shall not proceed. In those cases that the cooperative shows that it has satisfactorily addressed the causes that provoked the accrued losses, and shows a sustained improvement in its financial, managerial or operating situation, the Corporation may authorize the deferral of the accrued losses and allow the distribution of a portion of the surplus.
The surplus may be distributed on the basis of the computed reimbursement or refund, taking into consideration the share of the collected interest, or a combination of said reimbursement for shares along with the payment of dividends on paid-up shares not withdrawn at the end of the calendar year, in the proportions and amounts set forth by the Board of Directors. All distributions of surplus shall be made through accreditation of shares, never in cash.
Any shares that, at the close of the business year of the cooperative have been fully paid-up shall receive a proportional part of the surplus as payment of dividends, which shall be calculated from the first day of the month following the date the payment is made. The reimbursement or refund based on the sponsorship of interest collected shall be in proportion to the interest paid by them on loans during the year.
History —Oct. 28, 2002, No. 255, § 6.04; Aug. 15, 2008, No. 283, § 3.