2668
THE NEW ZEALAND GAZETTE.
[No. 65

amount of such existing sinking fund at the date of conversion as the
aggregate amount of principal secured by such unconverted securities
bears to the aggregate amount of principal secured by all the existing
securities in respect of which such sinking fund is held ;
(b) Secondly, in payment, in accordance with the directions of the local
authority, of the costs and charges (not exceeding in the aggregate
eighty pounds) of and incidental to the conversion of existing securities
to which this Order or the Kahutara River Board Loan Conversion
Order, 1934 (No. 1), or the Kahutara River Board Loans Conversion
Order, 1934 (No. 3), applies; and
(c) Thirdly, as far as it will extend, in repayment as at the date of con-
version of the principal secured by the existing securities issued in
respect of such loan and held by the Public Trustee.
(2) Interest up to the date of conversion on any existing securities so repaid
in accordance with paragraph (c) of the last preceding subclause shall be paid by
the local authority out of the local fund.

SECURITIES HELD BY TRUSTEES.

20. 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 pre-
    miums as between capital and income and to the powers of trustees and other
    persons in relation thereto), shall apply with respect to existing securities con-
    verted 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.

21. 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.

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
in respect of the above-mentioned loans that the [Name of local authority] intends
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 bear-
ing 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.

(2) New Debenture.

No. . [Name of local authority], New Zealand.

New debenture, issued pursuant to Part II of the Local Authorities Interest
Reduction and Loans Conversion Act, 1932–33, and the Loans Conversion
Order, 19 .

New debenture for £ , payable at , in New Zealand, on
the day of , 19 , issued by the [Name of local authority], New
Zealand, under the above-mentioned Act and Order pursuant to a resolution passed
and confirmed by the said Council [or Board, or as the case may be] as provided
by section 9 (2) of the said Act.

(N.B.—The holder of this debenture has no claim in respect thereof upon the
Government or public revenues of New Zealand.)