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procedure if adopted by China Companies would obviate
the difficulty.
I do not know that this need be
compulsory.
It has been suggested that a provision might
be inserted "that any share so forfeited" as in sub-
article (2) "shall be deemed to be the property of
the company and the directors may sell re-allot or
otherwise dispose of the same in such manner as they
think fit". In any event it occurs to me that there
should be some provision as to the party in whom the
property is a forfeited share is to vest. An adver-
tisement of the fact of the cancellation of a share
might with advantage be male compulsory.
It has been suggested that the whole article is
unnecessary, as companies do not want all their
capital at once; and this is particularly the case
with respect to new capital. The China Association,
however, agreed to the provision substantially as it
stands, and though I referred the point to them do
not propose to modify their assent. The difficulty
can in most cases be got over by issuing a proportion
of the shares as fully paid up, and reserving a part
for