27
28
or securities or such coin and securities to be held by the Crown Agents or by the said trustees, separately or joinly. ne special funds exclusively available for the redemption of the notes payable to bearer on demand issued by the Bank. and, in the event of the Bank becoming insolvent, to be applied accordingly so far as may be necessary, but with- out prejudice to the rights of the holders of such notes to rank with other creditors of the Bank against the assets of the Bank,
(3) Notwithstanding the restriction imposed by sub- section (1) upon the total number of the notes of the Bank payable to hearer ou denmand actually in circulation, notes of the Bauk payable to bearer on demand may be issued and be in actual circulation to an amount in excess of the equivalent of the said sum of 30,000,000 dollars, if there has been specially deposited and is kept in the custody of the Colonial Secretary and the Colonial Treasurer an amount of coin, or bullion, or coin and bullion, equal to the whole value of such excess issue for the time being actually in circulation, to be held by the said Colouial Secretary and the Colonial Treasurer exclusively for the redemption of such notes, wherever the same may have been issued.
(4) Notwithstanding anything contained in sub-section (3) portions of the security in coin or bullion provided for by the said sub-section may be kept deposited in such places outside the Colony, with such persons, to such amounts, and subject to such conditions, as may at any time and from time to time be approved by the Governor.
(5) Notwithstanding anything in this section contained. whatever may be the total amount of notes of the Bank payable to bearer on demand actually in circulation at any one time, the amount of coin deposited by the Bank in accordance with sub-sections (1), (2), (3) and (4) shall never be less than one-third of the total amount of such notes actually in circulation.
12.-(1) In the event of the Bank being dissolved, the Liability of shareholders shall be liable in respect of its notes in the shareholders. same manner as if the Bank had heen formed with unlimited liability on the part of its shareholders, but they shall be entitled to have the security for the issue of attch notes, which is referred to in section 11 applied in the first instance in payment of the liability on such notes,
(2) Every shareholder shali, in addition to bis liability in respect of its notes under sub-section (1) be liable to contribute to the payment of the debts, engagements aud liabilities of the Bank not ouly any moneys unpaid on the issue price of his shares but also a further sum of money not exceeding in amount the nominal value of every sbare held by him.
13.—(1) Contracts on behalf of the Bank may be made Form of as follows (that is to say) :-
-
(a) Any contract, which if made between private persons would be by law required to be in writing under seal, may be made on behalf of the Bank in writing under seal and may in the same manner be varied or discharged.
16) Any contract, which if made between private persons would be by law required to be in writing sigued by the parties to be charged there- with, may be made on behalf of the Bank in writing, signed by any person acting under its authority, express or implied, and may in the saine manner he varied or disebarged.
(c) Any contract, which if made between private persons would by law be valid although made by parol only and not reduced into writing, may be made by parol on behalf of the Bank by any person acting under its authority, express or implied, and may in the same manner be varied or discharged.
Contracts.
5
(2) All contracts made necording to this section shall be effectual in law, and shall bind the Bank and its successors and all other parties thereto, their heirs, executors, administrators or assigns or snecessors, as the case may be.
14. A bill of exchange or promissory note shall be Bills of deemed to have been made, accepted, or indorsed on exchange and bebalf of the Bank if made, accepted, or indorsed in the promissory nate of or by or on behalf or on account of the Bank by
suy person acting under its authority.
notes.
15. The Bank shall not discount, or in any manner Limit of advance money upon, bills of exchange, promissory notes, accommoda-
directors
or other negotiable paper, in or upon which the name of lion to any director or officer of the Bank appears as drawer or and officers. acceptor, either on his individual or separate account, or jointly with any partner, or otherwise than as a director or officer of the Bank to an amount exceeding one-tenth of the amount of the sun for the time being under discount.
or advanced by the Bank, nor shall any director be allowed
to obtain credit on his own personal guarantee,
18. The total amount of, the debts and Eiabilities of the Bank of what nature or kind soever shall not at any time exceed the aggregate amount of the then existing bona fide assets and property of the Bank and the sum for which its shareholders are liable under the provisions herein contained.
17.-1) Subject as hereinafter mentioned, the Bank may be wound up by the Supreme Court, and all the provisions of the Companies Ordinance with respect to the winding-up of companies registered thereunder shall apply to the Bank as if expressly re-enacted in this Ordinance, save and except in such respects as the same may be altered or modified as hereafter mentioned or provided for.
(2) The circumstances under which the Bank may be wound up are as follows:-
(a) in the event of the Bank being dissolved, or cessing to carry on business, or carrying on business only for the purpose of winding-up its affairs; or
(6) whenever the Bank is unable to pay its debts;
or
(c) whenever the Court is of opinion that it is just and equitable that the Bank should be wound up.
18. The following enactments are hereby repealed :—
(1) The Hongkong and Shanghai Bank Ordinance,
1866xceft Claus 3
(2) The Hongkong and Shanghai Bank Amendment
Ordinance, 1924.
Repeal of Ordinances
Nos. 2 of 1866 encept Clans 3
and 2 of 1924.
19. Nothing in this Ordinance shall affert or be Saving of deemed to affect the rights of His Majesty the King, his rights of the heirs and successors, or the rights of any body politic or Crown and
certain other corporate or of any other person except such us are men-
rights. tioned in this Ordinance and those claiming by from or under them.