2108

THE NEW ZEALAND GAZETTE.

[No. 59

CONSENT TO CONVERSION.

7. The consent of the holder of the existing securities to the conversion
   thereof in accordance with this Order shall, if given be signified in writing and
   when given shall be irrevocable.

NEW SECURITIES.

8. The amount of principal to be secured by the new securities issued in conversion
   of the existing securities shall be equal to the aggregate amount of principal secured
   by the existing securities at the date of conversion increased by the amount of interest
   accrued in respect of such existing securities up to such date and then unpaid, and
   reduced by the sum for which the Waipa County Council was authorized by section
   nine (2) of the Local Legislation Act, 1938, to accept direct liability to the State
   Advances Corporation in lieu of the local authority and in respect of which the said
   Waipa County Council has under the authority of the Waipa County Loans Conversion
   Order, 1939, issued new securities to such Corporation.

9. The aggregate amount of principal secured by the new securities to be
   issued in conversion of existing securities to which this Order applies, together
   with interest thereon computed at the rate of four and one-quarter per centum per
   annum, shall be repaid by equal half-yearly instalments over a period of thirty-five
   years, the first half-yearly instalment to fall due and be paid on the thirty-first day
   of January, one thousand nine hundred and forty, and subsequent half-yearly
   instalments to fall due and be paid on every thirty-first day of July and thirty-
   first day of January thereafter, the last half-yearly instalment to fall due and be
   paid on the thirty-first day of July, one thousand nine hundred and seventy-four.

10. (1) New securities for the amount of each half-yearly instalment referred
    to in the preceding clause shall be issued in the form of debentures in the form
    numbered (2) in the Second Schedule hereto.

11. All new debentures shall be numbered consecutively and as between the
    holders thereof shall rank equally.

(3) Every new debenture shall state on its face that the holder has no
claim in respect thereof upon the Government or public revenues of New Zealand.

(4) Every new debenture shall be signed by the Chairman, countersigned
by the Treasurer or some other officer appointed by the local authority for the
purpose, and sealed with the common seal of the local authority.

11. (1) The provisions of section seventy-seven of the Reserves and other Lands
    Disposal and Public Bodies Empowering Act, 1924, shall, with all necessary modifications,
    apply with respect to such part of the new securities as pursuant to this Order are
    issued in conversion of existing securities issued in respect of any loan to which that
    section applies. References in the said section seventy-seven to payments of interest
    and sinking fund shall, for the purposes of this clause, be deemed to be references to
    payments of instalments of principal and interest under the new securities:

Provided, however, that nothing herein contained shall impose any liability on
Waipa County Council under the said section.

(2) Should any dispute arise as to the amount of contributions payable after the
date of conversion by any of the contributory local authorities referred to in the said
section seventy-seven, the matter shall be referred to the Controller and Auditor-
General, whose decision shall be final and binding.

PLACE FOR PAYMENT OF PRINCIPAL AND INTEREST.

12. The principal and interest in respect of new securities shall be payable at
    such place or places in New Zealand as may be directed by the holder.

SURRENDER OF CONVERTED SECURITIES.

13. The holder of the existing securities converted into new securities shall
    surrender the existing securities in Wellington in exchange for the new securities.

CONSOLIDATED SPECIAL RATE.

14. (1) As a security for the new securities the local authority shall forth-
    with, by resolution gazetted (in the form numbered (3) 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 the half-yearly instalments of principal
    and interest in respect of the new securities. Such rate shall in accordance with
    the provisions of section forty-three of the Local Legislation Act, 1938, be levied
    on the basis of the classification of the land in the district made in the year, 1917.

(2) Subject to the provisions of this Order, the provisions of the Local
Bodies' Loans Act, 1926, the Land Drainage Act, 1908, 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:

Provided, however, that nothing in this clause shall be deemed to extinguish
the liability of any ratepayer for special rates outstanding in respect of the
loans enumerated in the First Schedule hereto at the commencement of this Order.

PAYMENT OF COSTS OF CONVERSION.

15. All costs, charges, and expenses incidental to the conversion shall be
    borne by the local authority.