APRIL 18.] THE NEW ZEALAND GAZETTE. 1057

(b) Secondly, in payment in accordance with the directions of the local authority
of any cash payments required by this Order to be made in respect of
premiums to which any person is entitled on the conversion of the existing
securities issued in respect of such loan or of any other loan referred to in the
First Schedule hereto ; and
(c) Thirdly, in transferring the balance to the Commissioner of the consolidated
sinking fund hereinbefore required to be created for the new securities, to
be held as part of that sinking fund.

CONSOLIDATED SPECIAL RATE.

24. (1) As a security for the new securities and the unconverted securities the
    local authority shall forthwith, by resolution gazetted (in the form numbered (4) in the
    Second Schedule hereto), make and levy a special rate over the whole of the district
    of the local authority to provide for the payment of interest and sinking fund and other
    charges in respect of the new securities and of interest, sinking fund, and other charges
    (and, where the unconverted securities are repayable by instalments of principal and
    interest, the instalments of principal and interest) in respect of the unconverted securities.
    (2) Subject to the provisions of this Order, the provisions of the Local Bodies’
    Loans Act, 1926, and of any other Act shall, so far as applicable and with all necessary
    modifications, apply with respect to such special rate, and with respect to the principal,
    interest, and other charges in respect of such securities, as if such special rate were made
    and levied in respect of a special loan raised under Part I of the said Local Bodies’
    Loans Act, 1926.
    (3) Upon the making of such special rate every special rate theretofore made in
    respect of any existing securities to which this Order applies shall cease to be a security
    for such existing securities.

SECURITIES HELD BY TRUSTEES.

25. The provisions of sections twenty-two, twenty-three, and twenty-four of the
    New Zealand Debt Conversion Act, 1932–33 (relating to the adjustment of premiums as
    between capital and income and to the powers of trustees and other persons in relation
    thereto), shall apply with respect to existing securities converted into new securities in
    accordance with this Order in the same way as they apply with respect to securities
    converted under that Act, save that the references in the said section twenty-two to the
    first day of April, one thousand nine hundred and thirty-three, shall be construed as
    references to the day following the date of conversion.

BROKERAGE.

26. The local authority shall not, in respect of the conversion into new securities
    of any existing securities to which this Order applies, enter into any contract for the
    payment of brokerage at a rate exceeding one-quarter per centum of the amount of such
    existing securities.

FIRST SCHEDULE.
LOANS TO BE CONVERTED.

• Less amount repaid up to date of conversion.

SECOND SCHEDULE.
FORMS.
(1) Notice.
[Name of local authority.]
CONVERSION under the Local Authorities Interest Reduction and Loans Conversion Act,
1932–33, and the Loans Conversion Order, 19 , of debentures or other securities
issued in respect of the following loans [Particulars of loans].
Notice is hereby given to the holders of debentures or other securities issued by the
[Name of local authority] in respect of the above-mentioned loans that it is intended to
convert all such debentures or other securities (except those in respect of which dissent
is duly signified) into new debentures having new maturity dates and bearing interest
at 4¼ per cent. per annum.
The conversion will take effect from [Date of conversion].
Application for conversion must be made in writing and be accompanied by the
securities to which it relates.
Dissent from the conversion of any existing debentures or other securities may be
signified by the holder by notice in writing delivered to [Name or designation and
address of at least one person authorized to receive dissents] on or before the day
of , 19 .
If notice of dissent from the conversion of any debentures or other securities is not
received by that date the securities will be converted.
The rate of interest on any debentures or other securities in respect of which dissent
is signified as aforesaid will, by virtue of section 18 of the above-mentioned Act, be reduced
to two-thirds of the original rate as from the [Date of conversion].
Further particulars as to the new debentures and the conversion generally may be
obtained from [Name or designation and address of at least one person authorized to give
particulars].
Dated the day of , 19 .

Chairman.