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ORDINANCE No. 1 OF 1865.
Companies, &c. (First Schedule.)
(71.) All acts done by any meeting of the directors, or of a committee of directors or by any person acting as a director, shall, notwithstanding that it be afterwards discovered that there was some defect in the appointment of any such directors or persons acting as aforesaid, or that they or any of them were disqualified, be as valid as if every such person had been duly appointed and was qualified to be a director.
Dividends.
(72.) The directors may, with the sanction of the company in general meeting, declare a dividend to be paid to the members in proportion to their shares.
(73.) No dividend shall be payable except out of the profits arising from the business of the company.
(74.) The directors may, before recommending any dividend, set aside out of the profits of the company such sum as they think proper as a reserved fund to meet contingencies, or for equalizing dividends, or for repairing or maintaining the works connected with the business of the company, or any part thereof; and the directors may invest the sum so set apart as a reserved fund upon such securities as they may select.
(75.) The directors may deduct from the dividends payable to any member all such sums of money as may be due from him to the company on account of calls or otherwise.
(76.) Notice of any dividend that may have been declared shall be given to each member in manner hereinafter mentioned; and all dividends unclaimed for three years after having been declared, may be forfeited by the directors for the benefit of the company.
(77.) No dividend shall bear interest as against the company.
Accounts.
(78.) The directors shall cause true accounts to be kept,
Of the stock in trade of the company;
Of the sums of money received and expended by the company, and the matter in respect of which such receipt and expenditure takes place; and,
Of the credits and liabilities of the company:
The books of account shall be kept at the registered office of the company, and, subject to any reasonable restrictions as to the time and manner of inspecting the same that may be imposed by the company in general meeting, shall be open to the inspection of the members during the hours of business.