174
THE NEW ZEALAND GAZETTE.
[No. 5

period not exceeding three months, and may thereupon immediately be expelled from the meeting. Such fines, penalties, and suspensions to be inflicted or imposed by the chairman, subject, however, to an immediate appeal to the members present in the room, whose decision shall be final. The committee, or any special meeting called for the purpose, may remit such fines or any part thereof, or remove such suspension or any portion thereof. No member so fined shall be entitled to attend the room or to take his seat, or have any of the rights of membership, until all fines and penalties inflicted on him are paid.

Communications during call.

54. Telegrams and other written communications may be received by members during business meetings, but no messages shall be sent out during such meetings.

Genuineness of documents.

55. The seller of shares or stocks is responsible for the genuineness and regularity of all documents delivered until reasonable time has been allowed to the transferee to execute and duly lodge such documents for verification and registration. In case of dispute, such time to be decided by the committee; but in no case (excepting that of fraud or proved misrepresentation) shall a member be liable for any loss sustained unless he shall have received written notice of such loss within sixty days (or, in the case of transactions in which transfer has to be completed in Europe, 130 days), from the date of the delivery of documents. Should written notice be given within the time specified, the dispute, if not otherwise settled, shall be adjudicated on by the committee, and their decision shall be final and binding on the members interested.

Dividends.

56. Members shall be responsible to one another for payment of dividends on shares (other than mining shares) sold by them for fourteen days previous to closing of books of any company, and such dividend must be paid within fourteen days, or, in case of companies having their office outside New Zealand, within twenty-eight days after the due date of such dividend being payable; but no member shall be responsible for any error or omission or frauds in connection with any transaction after the expiration of two months from date of settlement, unless the selling broker has been a party to the fraud or irregularity.

Mining dividends.

57. In gold-mining shares, the selling member shall be responsible for only one dividend, such dividend to be paid within fourteen days, or, in cases of companies having their office outside New Zealand, within twenty-eight days, after the due date of such dividend being payable. It must, however, be claimed within one month of due date.

Dividends, calls.

58. All transactions between members in New Zealand stocks shall be “ex dividend” on and after the date on which the same is payable; and in cases where shares are not sold on a premium or discount basis, calls shall be paid by the holder of the shares at the date upon which the call is struck. All transactions between members in Australian and Tasmanian stocks shall be “ex dividend” on and after the date on which the same is payable, and calls shall be paid by the holder of shares on the date on which such calls are payable.

Liability of members for calls.

59. When one member of the exchange purchases shares from another member, and no buyer’s name is asked for or supplied, the buying member shall be liable for all calls struck thereafter; unless he can show bond fide that he purchased on behalf of a client. In cases of dispute, the executive committee shall appoint a sub-committee of two members, who shall examine such books and documents of the disputants as they may consider necessary to enable them to make a reliable statement of facts to the executive committee, who shall thereupon adjudicate the case within a reasonable time.

Delivery of security.

60. Purchasers shall not be required to take delivery and pay for securities rendered after 1 o’clock p.m. on ordinary business days, or after 11 a.m. on Stock Exchange half-holidays. No settlements will be made between members on Saturdays, unless the buyer intimates to the seller that he is prepared to take delivery and pay for shares.

Transactions off ’change.

61. All transactions between members taking place outside the exchange room shall be subject to the rules and regulations of the association.

Failure to meet engagements.

62. Should it come to the knowledge of any member of this association that a broker or private individual, either in Dunedin or elsewhere, is failing to meet his engagements, the said member must at once report the circumstance to the Chairman, who will bring the matter before the members at the first meeting for decision as to what action shall be taken. Any member failing or neglecting to report to the chairman as above specified shall be liable to be fined a sum not exceeding £20, or to be suspended, at the option of the committee.

Additions and Alterations to Rules of Dunedin Stock Exchange.

That Rule 17 be altered as follows:—

Rule 17, line 11, after the word “day,” insert “and transfer marked by secretary of company in support of this transfer for shares forwarded to company’s office this day.” Same rule, line 18, delete the words “both of.” Same rule, add at end, “It is understood that all documents handed to our secretary under this rule are guaranteed by the member presenting them to be good and valid without any writing to that effect. Should any loss occur in connection with such documents the member handing them in shall be responsible for same. Any member failing to make good any such loss within the time allowed by the executive committee may be debarred from attendance at the meeting of the exchange, and his seat may be forfeited and sold, and the proceeds used as the executive committee may decide.”

That members of this exchange agree to recognise transfers marked officially by secretaries of the Stock Exchange of Canterbury, the Wellington Stock Exchange, and the Auckland Stock Exchange. Such markings only to be made in the case of companies which have their office outside the city in which the Stock Exchange is situated.

Addition to Rule 51:—

In the case of a time bargain the buyer’s name must be supplied three days prior to due date if required, otherwise it shall be competent for the selling member to insert the name of the buying member.

That money shall not be voted from the funds of the exchange outside of actual working-expenses, unless supported by a majority of three-fourths of the members present at a special meeting.

That, in regard to new issues, the phrase “cum rights” means the right to apply for the new issue, and that if the buyer wishes the new issue he must give the seller notice in writing of his intention to take the new issue, such notice to be given not later than the day previous to the date of closing of application.

That a guarantee fund of £500 be created as from the 20th August, 1901, for the purpose of meeting the default of any members of this exchange as against another member or members.

(1.) No claim can be made upon the guarantee fund, except in connection with transactions taking place on ’change before the fall of the hammer.

(2.) No claim can be made in respect of time bargains, or of any sale to which a special condition or conditions are attached. Prompt-delivery sales made in compliance with paragraph 1 are, however, not to be barred.

(3.) No claim can be made in respect of any transaction in which delivery has been prolonged beyond thirty days from date of sale, unless under circumstances which are proved to the satisfaction of the executive committee to have been exceptional, and sufficient, in their opinion, to permit of a claim being allowed.

(4.) No member shall be entitled to claim on the fund for more than £200 in respect of the default of any other member.

(5.) No claim will be recognised unless it is notified to the chairman at or before the first meeting of the exchange following knowledge of the default. Should a member delay delivery by request, delay presentation of a cheque by request, or make any compromise, he shall not be entitled to make any claim for loss arising in connection with the transaction.

Addition to Rule 5 of the guarantee regulations:—

Provided, however, that if the chairman of the exchange is made acquainted with the circumstances, he may authorise delaying notification to the members for twenty-four hours, during which time the member complained against must undertake to do no business with other members of the exchange. If a settlement is not effected before the expiration of the twenty-four hours the chairman shall immediately notify the exchange.

(6.) That, as the default of one member may bring about the default of other members, at least seven days must be allowed to elapse from the announcement of the first default before claims can be adjudicated on.

(7.) The claim or claims in connection with each defaulting member shall be dealt with by a special committee to consist of the chairman and four members to be appointed by the general committee at a special meeting. The special committee shall decide on the merits of the case, it being under-