§ 5. In case the membership meetings, the executive committee, or another managing organ acts in opposition to the directives of the controlling authority issued within the scope of its powers, or in case the endeavors in § 1, par. 2, are manifested after the introduction of the control, the society may be prohibited.
§ 6. The prohibition or the imposition of control are within the competence of the State Police Authority [Landespolizeibehoerde]. The prohibition of foreign societies appertains to the Reichskanzler.
The prohibition is in all cases to be publicized through the Reichsanzeiger; in addition, the prohibition by the State Police Authority is to be publicized through the designated newspaper for official notifications by the authority of the locality or district.
The prohibition is valid for the entire area of the Federation [Bundesgebiet] and embraces all branches of the society, as well as every ostensible new society, which in reality is to be regarded as the old one.
§ 7. With the prohibition, the society’s cash assets, as well as the objects intended for the purposes of the society are to be confiscated by the authority.
After the prohibition has become final, the Administrative Authority [Verwaltungsbehoerde] designated by the State Police Authority must delegate the settlement of the affairs of the society (liquidation) to suitable persons and supervise the liquidation; the Administrative Authority must also make known the names of the liquidators.
The decision of the Administrative Authority takes the place of a resolution by the membership meeting provided for by the laws or statutes.
The liquidated property of the society is, without detriment to the legal claims of third parties and of the members of the society, to be utilized as provided in the statutes of the society, or in general laws.
The moment when the prohibition becomes final is to be considered the moment of the dissolution of the society (or the closing of the Fund).
Appeal against the decrees of the authority is permitted only to the Supervising Authority [Aufsichtsbehoerde].