Mercantile Bank Note Issue.
[CAP. 71
there has been paid in accordance with subsection (1) of section 4 of the Exchange Fund Ordinance, to the Financial Secretary of the Hong Kong Government for the account of the Exchange Fund referred to in such Ordinance and against the issue to the company of certificates of indebtedness as provided in such Ordinance, an amount equal to the face value of such further notes for the time being actually in circulation, such amount to be held by such Exchange Fund exclusively for the redemption of such notes.
Monthly publication in Gazette of notes and outstanding securities.
5. (1) There shall be published in the Gazette every month a statement (to be rendered by the company on the first working day of each month) of the face value of the notes outstanding, and of the securities held against these notes. The statement shall show the nominal value of such securities, the price at which they were valued on deposit and also the latest market price of such securities.
4 of 1951, Schedule.
(2) If for two consecutive months the said market price indicates a selling value less than the amount required by section 4, the Financial Secretary shall demand that all notes returned to the company shall be retained and not reissued until the amount so required is reached, or at his option he shall demand the deposit of additional securities sufficient to raise the selling value of the securities already deposited to the amount so required, and the company shall comply with such demand. If however for three consecutive months the said market price indicates a continued and constant increase on their selling value, the Governor in Council may allow the securities to be reduced, provided the selling value of such securities is never allowed to fall below the amount required by section 4.
Availability to issue bank-notes.
Subject in all respects whatsoever to the provisions of this Ordinance, it shall be lawful for the company to make, issue, reissue and circulate notes until and including the 12th day of July, 1951, or such later date as may be fixed under the provisions of section 5 of the Bank Notes Issue Ordinance, after which date the company shall cease to issue or reissue notes but shall redeem any notes which it has previously issued or reissued: Provided however that if the company fails to comply with the demand of the
Schedule.
(Cap. 66.)
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