2638

DISTRIBUTION OF ASSETS OF EX-MEMBERS.

Recent claims to have preference in distribution of assets of an ex-member.

60. The Committee in dividing amongst members, creditors of a late member, the proceeds received by them on sale of a membership, after deducting the transfer fee of the purchaser and all other liabilities due to the Exchange, or in dividing any surpluses received by them from members on account of a defaulting member’s estate, or in dividing any moneys due to him out of funds in the hands of the Committee from the estate of another member in default, shall not necessarily distribute the same pro rata, but may, in their discretion, give preference, either wholly or in part, to claims of recent date over claims of longer standing which were not divulged to the Committee at the time they arose.

Claims not arising from transactions under the rules.

61. Claims on the estate of a resigning, retiring, or deceased member that do not arise from transactions under the rules shall not be recognised by the Committee until all claims that have arisen from transactions under the rules shall have been satisfied.

OUTSIDE BROKERS.—NON-MEMBERS.

Outside brokers.—Non-members.

62. Licensed sharebrokers not members of the Exchange (hereinafter called “outside brokers”) may be admitted to the privilege of doing business with members and dividing commission at an annual fee not exceeding £20 per annum, provided such outside brokers subscribe to the rules of the Exchange, and agree to be bound thereby in every respect as if they were members of the Exchange. Such regulations shall be binding on members in their dealings with such outside brokers in the same manner as if such regulations had been rules of the Exchange.

A list of all such outside brokers shall be entered in a book to be kept for that purpose by the Secretary of the Exchange, which book shall at all reasonable times be open for inspection. Names may from time to time be added to or removed from such list by the Committee.

CLERKS.

Members’ clerks may be admitted to official meetings.

63. The Chairman or Vice-Chairman may grant a member permission for a clerk in his service to attend the official meetings for the purpose of making quotations and the purchase and sale of shares on behalf of his employer, but for no other purpose. Such authorised clerk shall be subject to the rules and usages of the Exchange, but shall not have a vote at any meeting, nor any voice in the management of the Exchange. The Chairman or Vice-Chairman may withdraw the permission at any time.

Conditions of admission.

64. A clerk so admitted to official meetings shall be deemed to be the agent of his employer, and the member on whose application he is admitted shall be responsible for all the transactions of the said clerk.

Admission allowable only under certain circumstances.

65. The attendance of a clerk at an official meeting shall be permitted only in the case of a member’s illness, absence from town, service on a jury, or other special emergency. The contingency for such attendance is to be shown at the time to the satisfaction of the Chairman.

Qualification of clerk.

66. A clerk shall not be eligible for admission unless he be at least twenty-one years of age.

Restrictions to dealing by a clerk.

67. A clerk shall not buy or sell time-bargains, or deal except in cash transactions, unless he shall have written authority to do so from his employer, such authority to be lodged with the Chairman, and all his dealings shall be on account of his employer.

Members may withdraw authority given to a clerk.

68. A member may, by a letter addressed to the Secretary, withdraw the authority for his clerk to act, but his responsibility shall continue until such withdrawal shall have been notified to the members at an official meeting.

Commission.

Brokerage chargeable.

69. The brokerage chargeable for selling syndicate or claim shares, and shares in all companies, and debentures and stocks shall be as follows : Shares of the value of 1s.

No. 87

and under, ½d. per share ; from 1s. to 3s. 4d. in value, 1d. per share ; from 3s. 4d. and upwards in value, 2½ per cent.; syndicate or claim shares, 5 per cent. ; and debentures, 1 per cent.

Members not to divide commission except under special conditions.

70. No member of the Exchange, or his clerk, partner, or employee, shall, either directly or indirectly, divide commission with any person not a member of the Exchange, except such persons as are provided for in Rule 62. But a member of the Exchange may transact business and divide commission with any broker whose place of business is more than twenty-five miles from the City of Auckland.

71. No member shall purchase shares at a net price from any person who is not a member of the Exchange in the City of Auckland, nor from any person elsewhere who is not a licensed sharebroker.

OFFICIAL MEETINGS.

Time, place, and purposes of official meetings.

72. The official meetings of the Exchange shall be the meetings of members, held at such place and times as the members shall appoint, at which the business shall be to make prices, effect sales, and receive and record quotations of sales; also to do any general business in accordance with these rules.

Official and special holidays.

73. The official holidays to be observed by all members of the Exchange shall be fixed at the annual general meeting held in December of each year. Special holidays shall not be declared except by the vote of not less than two-thirds of the members present at any official meeting: Provided that notice of intention to take such vote be given by the Chairman at a previous meeting. No meeting shall be held on public holidays unless otherwise ordered by the members in the same manner as that provided for special holidays.

Members leaving during a meeting must get permission.

74. A member shall not leave an official meeting without the permission of the Chairman under penalty of a fine of £5, which shall be paid within seven days.

Quotations.

Procedure to be observed at official meetings.

75. At the official meetings the prices made shall be binding on members making them to the extent of the minimum quotation. No sale shall be made while the record of business done is being called over, or during any time of suspense ordered by the Chairman.

Minimum quotations.

76. In offering to buy or sell at the meetings of the Exchange the minimum number of shares in mining companies in each case shall be,

Up to 1s. in value … … … 300 shares. Over 1s. to 2s. 6d. … … 200 ,, Over 2s. 6d. to 5s. … … 100 ,, Over 5s. … … … … 50 ,, or 50 pounds’ worth.

The minimum number of shares in investment companies in each case shall be,— Up to 5s. in value … … 100 shares. Over 5s. ,, ,, … 50 ,, or 50 pounds’ worth.

To maintain a quotation under Rule 75, members must be prepared to buy or sell in numbers divisible by five.

Highest declared buyer to have priority.

77. The highest declared buyer shall have priority over all other members in purchasing the stock in question at the price named. But having made a purchase he must, to retain his priority, immediately declare himself as still a buyer.

Lowest declared seller to have priority.

78. The lowest declared seller shall have priority over all other members in supplying the stock in question at the price named. But having made a sale he must, to maintain his priority, immediately declare himself as still a seller.

79. After any stock has been called and passed, business in that particular stock can only be reopened at the buying or selling quotation.

Sales made at and between calls.

80. All sales of stocks and shares made at official meetings shall be quoted, except sales not amounting to a quotation. Sales made between the ordinary calls between two sharebrokers, members of the Exchange, may be quoted at