172 THE NEW ZEALAND GAZETTE. [No. 5

Duties of secretary.

17. The secretary shall cause records to be kept of the sales, purchases, transactions, and proceedings of the ordinary daily meetings, and the proceedings of all other meetings. He shall keep the accounts, prepare a yearly balance-sheet as at the 30th November in each year, and have the custody of all the books and papers, and perform such other duties as the committee or executive committee may prescribe. The official stamps of the association, embodying the words “Scrip forwarded to the company’s office this day,” and “Scrip in support of this transfer for __ shares forwarded to the company’s office this day,” shall be kept in the custody of the secretary; and on the request of any member, accompanied by the payment of 1s. and postage, he shall personally affix one or other of the said stamps to any transfer required, appending thereto his ordinary signature as secretary, and the date written in full. He must, however, first have received from the applicant the original scrip or transfer and scrip, both of which he will hand to or forward at once by registered letter to the secretary or legal manager of the company in question, with an intimation as to the number of transfers marked with the stamp, and the numbers of shares embodied in each transfer. He must also keep a record of all such transactions in the register provided for the purpose. The secretary shall keep the official stamps above referred to in a safe, under lock and key, and should any misuse be made of them through his neglecting this or any other necessary precaution he shall be liable for any loss occasioned thereby. He shall, as soon as possible, pay all moneys he may receive (except fees for marking) into the banking account of the association. All cheques drawn on the banking account shall be signed by the chairman and secretary.

Absence of secretary or reader.

18. In the absence of the secretary or reader from any meeting the chairman shall carry out their duties, or may appoint another member or members to do so.

Admission to association.

19. The members may admit by ballot such persons (being not less than twenty-one years of age) as they deem eligible, on payment of £250. A notice of each application shall be exhibited in the exchange room for a period of not less than seven days before the applicant can be balloted for. Every applicant must satisfy the executive committee as to his financial position, and must be nominated by one member and seconded by another. He must address and sign a letter in the following form:—

“To the Chairman of the Dunedin Stock Exchange.

“Sir,—I am desirous of becoming a member of the Dunedin Stock Exchange, under such rules and regulations as you have appointed; and I hereby agree to pay my entrance fee on election, and the subscription, and such calls as may be subsequently made under Rule 25; and I also agree, in case my conduct shall at any time be considered objectionable by the members of the association, that I will not, in the event of my being suspended, disqualified from membership, or expelled, raise any suit in equity or at law against the said association or any member or members thereof.

“I am, Sir, &c.”

Ballot.

20. In balloting for members, one black ball in five shall exclude.

Rejected applicant.

21. If any applicant for admission should, on ballot, be rejected, such rejection shall be conclusive for three months.

Notification of membership.

22. The secretary shall, on the day of election of a new member, notify in writing such new member of his election, and every member shall, within three days of his admission and his notification thereof by the secretary, pay his entrance fee and subscription and sign the rules and regulations of the exchange, thereby pledging himself to abide by the same and by all subsequent amendments thereof.

Non-compliance of new member.

23. If a newly elected member does not comply with the above rule his election shall be void, unless he shall justify the delay to the satisfaction of the committee, or the committee shall otherwise decide to dispense with this rule.

Cessation of claim.

24. All members resigning or being expelled shall cease to have any claim whatever on the property or funds of the association.

Annual subscription.

25. The annual subscription shall be £10 10s. (payable in two instalments—on the 1st of June and the 1st of December of each year), and the executive committee shall have power to make such other calls as may be necessary to meet current expenses, to be payable within fourteen days from the date of such call,

Subscription in arrear. Deceased member.

26. It shall be competent for the committee to suspend any member whose subscription or call shall have remained unpaid for fourteen days from the date on which such subscription or call is due; and, further, if such subscription or call shall remain unpaid for the space of one month from the date on which it is due, the seat shall be rendered liable to forfeiture at the discretion of the committee. In the case of a deceased member, notice of the dates when subscriptions or calls fall due shall be sent to the executors by the secretary of the association, who shall at the same time direct attention to the provisions of this rule.

Contracts between members.

27. In all contracts, members shall be held to be principals to each other in so far as the delivery and payment for shares, stock, and debentures is concerned, and the prices shall be net. The commission of brokers when dealing on account of private clients to be paid them by their clients.

Insolvency.

28. A member who may become insolvent or otherwise fail in his engagements with his creditors ceases to be a member, although he may not be at the same time a defaulter on the association, and no application for his re-admission, except as a new member, shall be entertained. The seat of an insolvent member who is not a defaulter on the association, and has no outstanding or contingent liabilities with any of its members, shall, however, be an asset for the benefit of his creditors, subject to the provisions of Rule 34 as to disposal of same.

Members of firms.

29. Where one of the members of a firm is a member of the association, the entrance fee payable by another member of the same firm shall be reduced one-half: provided that, in the event of a dissolution of such partnership taking place, the member who entered at a reduced entrance fee, should he desire to remain a member, shall be required to pay, within one month after such dissolution has taken place, a sum which shall, with the amount already paid by him, make up the full entrance fee payable at the date of his election; and until such sum be paid the member shall be considered not to have paid his entrance fee (as provided by these rules), and shall not be entitled to attend the exchange-room or have any of the rights of membership, and shall cease to be a member. No member who has not paid the full entrance fee payable at the date he became a member shall have power to deal, by transfer or otherwise, with his seat on the exchange.

Seat of member.

30. The seat of each member shall be his own property, irrespective of his being in partnership with another member or not. It shall be competent for a member to hold more than one seat. A member, however, who may hold more than one seat shall only be entitled to exercise one vote.

Votes.

31. Each member shall have one vote at all meetings, which vote may be exercised by proxy through another member, except where the rules provide to the contrary (vide 11, 12, and 44).

Other exchanges.

32. The privileges of membership shall be suspended if a member, either personally or by his partners, clerks, or agents, shall become a member of or attend any other exchange in Dunedin where shares are dealt in. The Committee may remove the suspension.

Partnership.

33. A member shall not enter into or be in active partnership with any person other than a member, unless such partner shall have been approved by a majority of the members present at a special general meeting convened for the purpose.

Transfer of membership.

34. Any member shall have the right to transfer his membership, under the following provision: When any member wishes to transfer his membership, the name of the proposed transferee shall be submitted to the committee, and he shall be balloted for (in terms of Rules 19 and 20), when, if elected, transfer may be made. In no case shall any transfer of membership be permitted until all dues to the Stock Exchange shall have been paid in full, said dues being hereby declared a prior lien upon the proceeds, to be satisfied in full before any distribution thereof shall be made. Transferee shall pay to the exchange £5. The transfer of a seat from one member to another shall be subject to the provisions contained in this rule, with the exception of the condition as to balloting.

Member’s clerk.

35. Every member shall supply to the exchange in writing the name of any clerk or employee who is authorised by him