Mar. 28.] THE NEW ZEALAND GAZETTE. 1139

Chairman elected annually.

2. The Board shall annually, in the month of January, assemble and elect one of their number to be Chairman, who shall hold office until the next annual election.

Should any Chairman resign, die, or be removed from the Civil Service at any other period of a year the Board shall forthwith elect one of their number to be Chairman, who shall hold office till the next annual election.

Time and place of meeting.

3. All meetings of the Board, after the annual meeting, shall be held at a time and place to be fixed by the Chairman of the Board from time to time, and shall be called by a notice to be left at the office of each member thereof at least twenty-four hours before the time appointed for the meeting. All matters and things that may be done by the Board may be done by a majority of the members present at any meeting, not being less than three.

If Chairman not present. Chairman to have a deliberative and casting vote.

4. At all meetings of the Board the Chairman, if present, shall preside; but in his absence the members of the Board then present (not being less than three in number) shall appoint a chairman for such meeting. The chairman of each meeting shall have a deliberative vote, and in case of equality of numbers a casting-vote also.

Who to be guaranteed.

5. All officers now or hereafter permanently employed in the Civil Service of the Government who are not excepted by the terms of the said Act or by these regulations shall be guaranteed by a system of mutual assurance; but in no case shall the fidelity of any officer be so guaranteed until he shall have held office in the Civil Service of the Dominion for a period of twelve months immediately preceding his admission to such guarantee.

Scale of amounts assured.

6. The amount for which each officer shall be assured under these regulations shall be in proportion to the aggregate amount of salary received by him, and such proportion shall be determined by the following scale:—

Amount to be Assured.

On salaries aggregating—
£100 and upwards, but under £150 .. £300
150 ,, ,, 200 .. 600
200 ,, ,, 250 .. 800
250 ,, ,, 300 .. 1,000
300 ,, ,, 350 .. 1,200
350 ,, ,, 400 .. 1,400
400 ,, ,, 450 .. 1,600
450 ,, ,, 500 .. 1,800
500 ,, ,, 550 .. 2,000
550 ,, ,, 600 .. 2,200
600 ,, ,, 650 .. 2,400
650 ,, ,, 700 .. 2,600
700 ,, ,, 750 .. 2,800
750 ,, ,, 800 .. 3,000
800 ,, ,, 850 .. 3,200
850 ,, ,, 900 .. 3,400
900 ,, ,, 950 .. 3,600
950 ,, ,, 1,000 and over 3,800

Roll of assurers.

7. The Chairman shall, immediately after the 31st March in every year, cause a roll to be prepared, in such form as shall be determined by the Board, setting forth the names of all officers assured, the office or offices held by each, and the amount for which each officer is guaranteed; and the roll so prepared shall be signed by the Chairman and by one member of the Board. The said roll is hereinafter referred to as “the roll of assurers.”

Head of Department to inform Chairman of death or retirement of assured officers. Assurance to cease six months thereafter.

8. Whenever any officer whose name is on the roll of assurers shall die, retire, or be removed from the office in respect to which he is guaranteed, notice of the date of such death, retirement, or removal shall be transmitted to the Chairman of the Board by the permanent head of the Department in which such officer last served; and the liability of such officer as an assurer shall from and after the date specified in such notice cease and determine; but the liability of the persons on the roll of assurers as respects the fidelity of such officer up to the date of his death, retirement, or removal shall continue only for six months after the date of such death, retirement, or removal.

Persons on roll of assurers liable to pay for defalcations.

9. The persons whose names shall from time to time appear on the roll of assurers on the date of the notice of defalcation prescribed in clause 13 of these regulations shall be the persons liable to pay the sum required by the Board to make good any defalcation.

Share of defalcation to be paid by each officer.

10. The amount to be paid by each officer shall bear the same proportion to the amount required to make good any defalcation as the sum for which he is assured shall bear to the total sum assured: Provided always that the amount to be made good shall in no case exceed the sum for which the defaulter is assured; and also that the liability of the assurers shall only extend to losses occasioned by the act or acts of the defaulter himself, and which is or are provided for by section 24 of the said Act.

Head of Department to notify Chairman of amount of defalcation by officer of his Department.

11. Whenever any defalcation by an assurer shall have taken place, and the amount of such defalcation shall have been determined, a notice of such amount, certified to by the Controller and Auditor-General, shall be sent by the permanent head of the Department in which the default shall have occurred to the Chairman of the Board, and such notice shall state whether any and what amount of salary or other moneys payable to the defaulter is in the hands of the Government.

Board to assess rate per cent. to cover default, and to notify same in Gazette.

12. On receipt of any such notice of defalcation the Chairman shall forthwith call a meeting of the Board, and the Board shall thereupon proceed to assess upon the total sum assured the rate per cent. required to cover the sum in default.

Notice to authorize deduction from salaries of assurers to meet default. Deduction not to exceed 5 per cent. per month of salary.

13. A notice, signed by the Chairman of the Board, shall then be published in the New Zealand Gazette, specifying the name of the officer who has made default, the Department in which he was serving, the amount and nature of the defalcation, and the rate per cent. on the sum assured required to be levied; such notice shall be binding on each and every person assured to the extent of the particulars contained therein, and shall be sufficient to authorize the deduction of the sum payable by each officer from any salary or other moneys to which he may then or at any time thereafter be entitled: Provided that the sum so to be deducted shall not in any one month exceed 5 per cent. on the amount of salary payable for that month; and any sum remaining unpaid in one month shall be deducted from the salary payable for the succeeding month or months.

Paymaster-General to recover from assurers amount for which each is liable. Civil Service Officers’ Guarantee Account.

14. Immediately after publication of the Gazette notice aforesaid the Chairman shall forward to the Paymaster-General a schedule showing the amounts recoverable from all assurers. The Paymaster-General shall thereupon recover out of any moneys payable to the assurers specified the amount for which each is liable, and shall pay the amount to an account at the bank, to be called the “Civil Service Officers’ Guarantee Account,” from which account money shall be withdrawn from time to time by cheques signed by the Chairman and countersigned by one other member duly authorized by the Board.

One-fortieth part of call to be paid by the Minister of Finance.

15. Whenever any defalcation shall have taken place, and a notice of call shall have been published in the Gazette as aforesaid, the Minister of Finance shall, on the application of the Chairman, pay to the Civil Service Officers’ Guarantee Account at the bank a sum equal to one-fortieth part of the total amount of such call, as provided by section 27 of the before-mentioned Act.

Moneys due to defaulter to be paid to Guarantee Account.

16. All moneys legally payable by the Government to any defaulter by way of salary or otherwise shall be paid to the Civil Service Officers’ Guarantee Account at the bank at which for the time being the Public Account is kept, and shall be applied in reduction of the amount recoverable in respect of such default.

Total assessment, when collected, to be paid to the Public Account.

17. So soon as the total assessment has been collected, together with the contribution from the Minister of Finance, the Chairman of the Board shall pay to the Public Account the amount for which the defaulter was assured, or so much thereof as may be required to make good the defalcation as aforesaid, and shall advise the permanent head of the Department in which the default occurred that such payment has been made, and shall forward to the Receiver-General a bank