8 JULY
THE NEW ZEALAND GAZETTE
2133

6.0 Conditions of Membership
6.01 No member shall:
6.011 Enter into partnership with a person who is not
a member for the purpose of carrying on a business
which includes sharebroking unless that partner
has first been approved by the member’s regional
exchange and no regional exchange shall approve
as a partner for purposes of this paragraph any
non-member who holds a sharebroker’s licence.
6.012 In respect of his activities as a sharebroker,
describe his occupation in any way other than as
a member of the Exchange. A country member
shall use that designation.
6.013 Have more than one place of sharebroking
business.

6.02 Except with the consent of the Executive, no member shall:
6.021 Be in any way associated with any group or
association, whether incorporated or not, who are
associated for the purpose of carrying out in New
Zealand the objects of the Exchange or any of
them. In considering any application for consent
in relation to this provision, the Executive shall
have regard to the standing and reputation of the
group or association and to the best interests of
the Exchange and its members in furthering the
objects of the Exchange.
6.022 If an ordinary member, engage in, or be concerned
in, or be employed in any business other than that
of a member of the Exchange to such an extent
that, in the opinion of the Executive, the member
is unable to engage in substantially full-time
practice as a sharebroker. In considering any
application for consent in relation to this
provision, the Executive shall have regard to the
time the member is likely to be involved in the
other business, the possibility of his incurring
financial liability in regard to it and such other
matters as the Executive may consider to be
relevant in the interests of the Exchange and its
members in the proper and efficient conduct of
the Exchange’s affairs.

6.03 Subject to Rule 6.04 no member shall permit any part of
his sharebroking business to be conducted through a
limited liability company nor permit any contract note
to be issued in the name of a limited liability company
as sharebroker.

6.04 A member may, with the consent of the Executive,
conduct his underwriting business through a limited
liability company provided that all the shareholders in
such company shall be members of the Exchange or their
immediate families and that the effective control of the
company shall remain with such shareholders.

6.05 Every member shall maintain accounting and other
records of his sharebroking business separate and distinct
from the accounting and other records of any other
business in which he may be involved.

6.06 Every member shall pay such fees and levies as shall from
time to time be fixed by the Exchange and by his regional
exchange. There may be differentiation between ordinary
and country members.

6.07 A member shall not change his place of sharebroking
business from the territory of one regional exchange to
that of another without the consent of both regional
exchanges involved.

6.08 A country member desiring to change his status to
ordinary member shall comply with Rules 4.01, 4.022,
and shall be subject to election under Rule 5.01.

7.0 Council
7.01 The management and control of the business and affairs
of the Exchange shall be in the hands of the Council. The
powers of the Council shall only be subject to such
limitations as are expressly or impliedly imposed by these
rules.

7.02 The Council shall consist of the President, the Vice-
President, one delegate appointed by each regional
exchange and those members of the Executive appointed
by regional exchanges having 20 or more ordinary
members.

7.03 Each regional exchange shall notify the Exchange in writing
immediately following the annual meeting of the regional
exchange of the name of the member appointed delegate
under Rule 9.06. Such delegates shall take office at the
commencement of the annual meeting of the Council
immediately following such notification of their
appointment and, subject as hereinafter provided, shall
continue in office until the commencement of the next
succeeding annual meeting. Any delegate may be removed
from office at any time by the regional exchange he
represents and in that event or in the event of the death
or resignation of any delegate another delegate may be
appointed in his place by the regional exchange he
represents by notice in writing to the Executive Director.
No person shall be entitled to act as a delegate unless and
until notice of his appointment has been received by the
Executive Director and then only in accordance with these
rules.

7.04 Neither the President nor the Vice-President shall be
eligible for appointment as a delegate.

7.05 At each annual meeting the Council shall elect ordinary
members to be President and Vice-President respectively
of the Exchange and the following provisions shall apply—
7.051 An election shall be required for each such office
even if there is only one nomination under Rules
7.06 and 7.07.
7.052 If there shall be no nomination for one of those
offices or if any nomination made is declined by the
candidate prior to election or if a nomination
made should be voted against by the Council, then
the Council shall elect to that office any ordinary
member who has signified in writing his
willingness to be elected, notwithstanding that he
has not been nominated under Rule 7.06 or Rule
7.07.
7.053 A nominee need not be a delegate.
7.054 The President and the Vice-President shall hold
office until the conclusion of the meeting at which
their successors in office are appointed.

7.06 A candidate for each of the offices of President and Vice-
President shall be nominated by the Executive not later
than 31 October in each year and each such candidate
shall signify in writing his willingness to be elected. All
regional exchanges shall be notified immediately after
nominations have been made.

7.07 Notwithstanding the preceding rule, a regional exchange
may nominate a candidate for either office. Each such
candidate shall signify in writing his willingness to
be elected. Nominations must be received by the Executive
Director not later than 30 November in each year.
Regional exchanges shall be notified of the names of all
candidates for each position as soon as practicable after
nominations have closed.

7.08 The financial year of the Exchange shall end on 30
September and an annual meeting of the Council shall
be held not later than the last day of February in the
following year at a place and on a date to be appointed
by the President. In default of any such appointment being
made by the President prior to 30 November in any year
the annual meeting shall be held in Wellington on a date
in the month of February following to be fixed by the
Executive Director.

7.09 At the annual meeting of the Council or any adjournment
thereof, the business shall be to receive the report and
balance sheet, elect a President and Vice-President,
consider remits from regional exchanges and transact any
other business whatever that may be introduced in
accordance with these rules. All other meetings of the
Council shall be deemed to be special meetings.

7.10 14 days’ notice shall be given of all annual meetings.

7.11 Special meetings other than those convened pursuant to
Rule 29.0 shall be called by the Executive Director on
the direction of the President or the Executive or upon
a requisition in writing or by telex by two regional
exchanges. Seventy-two hours’ notice in writing or by telex
shall be given by the Executive Director to each regional
exchange specifying the place, the day, the hour of meeting,
and the nature of the business to be transacted but with
the consent of all regional exchanges entitled to receive
such notices a meeting may be convened by such shorter
notice, and in such manner, as the Council shall think
fit.

7.12 A regional exchange shall be liable to the penalties
provided by these rules for breach thereof if it fails to be
represented by delegate or proxy for two consecutive
annual meetings of the Council.

7.13 No business shall be transacted at any meeting of the
Council unless a quorum of members is present at the
time the meeting proceeds to business. Five members of
the Council (of whom not less than 3 shall be delegates)
shall be a quorum.

7.14 If within half an hour of the time appointed for the
meeting a quorum is not present, the meeting shall stand
adjourned to a date and time fixed by the majority of
those present.

7.15 The President and Vice-President of the Exchange shall
be the chairman and vice-chairman of the Council
respectively. If neither the President nor the Vice-President
shall be present at any meeting of the Council then the
Council members present shall elect a chairman from their
number.

7.16 On voices or a show of hands each member of the Council