Jan. 23.] THE NEW ZEALAND GAZETTE. 177

shall be forthwith reported to the association as under suspension; and, after the expiry of the term of suspension, if the member shall still not have conformed to the committee’s decision, the members shall be convened by notice, not shorter than three days (during which time the offending member shall continue under suspension), to consider and determine whether he shall or shall not be finally disqualified from membership, such determination to be by the concurrence of four-fifths at least of the members present at such meeting. A quorum of such meeting shall consist of two-thirds of the members of the association.

Complaints from non-members.

28. It shall not be incumbent upon the committee to entertain any complaint submitted to them by any one not a member of the association against a member thereof, unless such member shall have been employed by the complainant in the capacity of broker; and in that or any other case in which a non-member desires the intervention of the committee, he shall, previously to the case being heard, pay five guineas, or such other sum as the committee may determine, to the secretary, and shall undertake in writing to abide by, and forthwith to carry out, the decision of the committee in the same manner as if he were a member of the association, the committee to have the power to repay the whole or part of such sum to the complainant.

Fines, expulsion, suspension.

29. In the event of any member being considered guilty of dishonourable or disgraceful conduct the committee shall report the matter to a meeting of the association specially convened for its consideration, and such meeting may (subject to the condition following) inflict upon such member such fine, or suspend him for such period, as it may deem fit or may expel him from the association. The concurrence of four-fifths at least of the members of the association present at such meeting shall be necessary to pass any resolution under this rule involving the infliction of fines, suspension, or expulsion. A quorum at such meeting shall consist of two-thirds of the members of the association.

Clerks of members.

30. It shall be competent for the committee, should they think fit, on application being made by a member in writing, to grant the partner or clerk of such member permission to attend the daily meetings of the association for the making of quotations and transaction of business on behalf of his partner or employer, provided, however, that such clerk must be not less than twenty-one years of age; but the member shall first undertake by writing addressed to the committee that he will be responsible for the sales and purchases effected by such partner or authorised clerk. The sanction of the committee may be at any time withdrawn. Such partner or authorised clerk shall have no vote, nor any voice in the management or administration of the association. No partner or clerk shall attend the ordinary daily meeting of the association until the member has received from the secretary notice of permission to attend.

Claims on the property or funds of the association.

31. A member resigning, or becoming disqualified from membership, or ceasing to be a member, or having been expelled, shall cease to have any claim whatever on the property or funds of the association.

Insolvency of a member.

32. A member who becomes insolvent, or who fails in his engagements with his creditor or creditors, shall, on proof thereof to the satisfaction of the committee, cease to be a member, although he may not be at the same time a defaulter on the Exchange. The seat of such member shall thereupon become the property of the association, to be dealt with in such manner as a majority of not less than two-thirds of the members in meeting shall think fit.

Members’ contracts.

33. In contracts between members for the sale and purchase of shares and stocks they shall be held to be principals to each other.

Delivery of documents.

34. In case of any undue delay in the delivery of documents, the buyer may report same to the committee, who shall make inquiry into the circumstances attending such delay, and if in their opinion the delay is avoidable, the buyer shall have the right to cancel the purchase, or buy at the risk of the seller through another member of the association.

Buyer’s name to be supplied.

35. The buying member must, if required, supply the name of the buyer within seventy-two hours, computed from the hour of sale. If this is not done, it shall be competent for the selling member to insert the name of the buying member.

Payment for documents.

36. Purchasers shall not be required to take delivery of and pay for documents until the following day, if tendered after 11 o’clock on Saturdays, and 1 o’clock on other days.

Failure of payment.

37. Sellers shall have the right to require the purchase-money to be paid in cash or marked cheque at the time and place of delivery of documents. In case of failure of payment by the buyer, the vendor may, within one day of default of settlement, or on any future day, either cancel the transaction or sell at the buyer’s risk, through some member of the association, the securities involved, and the defaulting member shall forthwith pay to the vendor any difference between the original purchase-money and the net proceeds of the securities resold.

Separate transfers.

38. As between members the seller shall, if demanded, deliver to the buyer separate transfers of scrip representing the exact number of shares sold in each separate sale. Transfers requiring scrip must be delivered with scrip, or the transfers marked as correct by the institution to which the stock sold relate, or marked as correct by the secretary, provided the scrip are lodged with him to be forwarded to the company for registration of the transfer.

Buying or selling on ‘change.

39. At call meetings of the association no offers to buy or sell, and no sales, shall be reported of shares of less value than £50 or of less in number than 100 if the shares be of less value than 10s.; or in respect of mining shares (other than coal) of less nominal or actual value than £25.

Transfer of seat.

40. Any member against whom there is no valid complaint under the rules may resign his membership by giving a written notice to the chairman, and he may concurrently therewith nominate a candidate for membership in his stead; but such candidate shall not become a member unless he be duly elected by ballot according to Rule 5, and shall have paid to the association the amount fixed for the time being; and in the event of such nominee being rejected at the ballot, the retiring member may nominate some other person or persons until a candidate nominated by him be accepted; and until the election of a successor, he may attend meetings of the association and conduct his business. The sum to be paid to the association, until otherwise determined, shall be ten (10) per cent. of the entrance fee for the time being, and such sum must be paid to the secretary before the nominee of the retiring member is eligible for election. In case a member wishes to sell his seat and fails to find a purchaser for the same, the association shall not create or dispose of any fresh seat until the seat of such retiring member is sold.

Death of a member, disposal of seat.

41. On the death of a member the committee of the association shall exercise the privilege of nomination for the benefit of his widow or children, or next-of-kin—subject to deduction, first, of his liabilities to the association and of the levies, if any, which shall have accrued since his decease, and, secondly, of his liabilities to any member, of which the committee shall have had notice—to whom the proceeds of the sale of the vacant seat (less 10 per cent. as an entrance fee for the successor of the deceased) shall be paid. No money to be paid until some person or persons are in a position to give a legal discharge. The estate of a deceased member shall have no legal claim whatever on the property or funds of the association.

Brokerage chargeable.

42. The brokerage chargeable on transactions shall be as under:—

On debentures of every description .. 1 per cent.
On shares other than mining .. 2½ ”
On mining shares up to 6d. .. ½d. per share.
” over 6d. up to 1s. 6d. 1d. ”
” ” 1s. 6d. ” 3s. .. 1½d. ”
” ” 3s. ” 5s. .. 2d. ”
” ” 5s. ” 10s. .. 3d. ”
” ” 10s. ” £1 .. 4d. ”
” ” £1 ” £1 10s. 4½d. ”
” ” £1 10s. .. 1¼ per cent.

Minimum charge, 5s. on any transaction, buyers paying stamp duty and transfer fees. The above rates (in respect to mining other than coal-mining) are chargeable to both buyer and seller. A penalty not exceeding £50 or less than £25 shall be inflicted for any breach of the above tariff. It shall, however, be competent for the association to remit the fine if agreed to by three-fourths of the members. Nothing in the foregoing rule shall debar a member of the association from transacting business (in shares other than mining) direct with private clients, but not with brokers or agents, at lower rates than above, provided that not less than half rates be charged.

No division of commission with outside brokers.

43. No member of this association, or his partner, clerk, or employee, shall, either directly or indirectly, divide commission with any person not a member of this association in the