1960-HKRS29-8-27_Part01 — Page 21

Assignment

(Cap. 117).

Control

of the Company. (Cap. 32).

Royalty.

6. (1) The Company shall not assign its rights and obligations under this Ordinance or any part of such rights and obligations without the prior consent of the Governor in Council.

(2) The Governor in Council, in granting such consent, may impose such conditions as he shall consider necessary in addition to and not in substitution for any provisions of this Ordinance.

(3) On any assignment of the rights and obligations of the Com- pany under this Ordinance no stamp duty shall be payable in accord- ance with the provisions of the Stamp Ordinance on the value of such rights and obligations as distinct from the value of any other assets of the Company passing on such assignment,

7. (1) The Company shall remain registered under the Com- panies Ordinance.

(2) No person other than a bona fide resident of Hong Kong shall be or remain a director of the Company.

(3) The majority of the directors of the Company shall, at ali times, be British subjects.

(4) The management and administrative staff of the Company, or an effective majority thereof to the satisfaction of the Governor in Council, shall be British subjects.

8. (1) The Company shall pay to the Government a royalty of twenty per cent of the gross receipts of the Company derived from the operation of services operated by the Company as listed in the Schedule of Services and any supplementary or additional services operated in accordance with the provisions of subsection (5) of section 11 or sub- section (4) of section 13 including receipts from advertising in vehicles employed by the Company on such service, but excluding services supplied by the Company under section 5 and excluding receipts and income from any other source,

(2) The first payment of such royalty shall be made on or before the 22nd day of April, 1960 in respect of the receipts of the Company for the period from the 15th day of February, 1960 until the 31st day of March, 1960, both days inclusive, and thereafter royalty shall be paid on or before the twenty second day of each month in respect of the receipts of the Company in the previous calendar month.

(3) If on the twenty sccond day of any month the Company has not been able to ascertain the complete total of the gross receipts for the previous calendar month the Company shall pay to the Government

a sum representing twenty per cent of the gross receipts of the Com- pany for the next previous calendar month and in such case the amount paid as royalty in respect of such month shall be adjusted to the correct amount by the deduction from or the addition to the amount paid in any subsequent months.

(4) The acceptances by the Government of any sum tendered by the Company in accordance with the provisions of this section shall in no way debar or preclude the Government from claiming any further sum in respect of the same month or any adjustment appearing to be due or necessary on any subsequent examination of the books and accounts and other materials furnished by the Company for the inspec- tion of the Financial Secretary or of his representative.

(5) The payment by the Company of any sum in accordance with the provisions of this section shall in no way debar or preclude the Company from claiming a refund in respect of any overpayment made by the Company and proved to the satisfaction of the Financial Secretary.

9.

Financial

For the purpose of ascertaining the royalty payable in accord- Powers of ance with the provisions of section 8, the Company shall permit the Secretary to Financial Secretary and any person authorized in writing by him to relation top

royalty, inspect at all reasonable times all books of account, vouchers, receipts, and all other records of the Company including all records maintained by the Company in accordance with the provisions of section 22 and to make extracts from all such documents and to take away any such documents for further examination.

10. (1) The Company shall take such steps as are necessary and List of reasonable in consultation with the Hong Kong Stock Exchange to have shures of Company and to continue to have the shares of the Company listed and quoted in stock on the Hong Kong Stock Exchange.

exchange.

(2) If by the 15th day of February, 1961 the shares of the Com- pany are not listed or quoted on the Hong Kong Stock Exchange, the Government may cause to be served on the Company notice requiring the Company to show cause to the Governor in Council within one month of the date of such service why the grant should not be revoked by reason of the failure of the Company to obtain the listing and quotation of its shares on the Hong Kong Stock Exchange and if, after the expiry of such period of one month, the Governor in Council is satisfied that the failure of the Company to obtain the listing and