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4. The Company shall deposit securities and at all times. Deposit of keep such deposited, either with the Crown Agents for the Securities. Colonies in London or at the option of the Company with Trustees to be appointed by the Secretary of State, or at the like option partly with such Crown Agents and partly with such Trustees, such securities shall consist of coin of denominations to be approved by the Secretary of State. or securities to be so approved, or partly such coin and partly such securities to an amount equal in value to the value of notes in circulation with the addition of five per centum of such value. Such coin and securities to be held by the said Crown Agents, or by the said Trustees separ- ately or jointly as special fonds exclusively available" for the redemption of such issue of notes, and in the event of the Company becoming insolvent to be sold and applied toward such redemption as far as may be necessary but without prejudice to the rights of the holders of such notes to rank with other creditors of the Company against the assets of the Company.
If the produce of the sale of such securities should not equal the value of the notes outstanding, the difference shall rank pari parsu with other simple contract delis on the assets of the Company, If, on the contrary, such securities realise more thus the value of such outstanding notes, the difference shall be paid over to the Company.
Holes and
5. There shall be published in the Gazette every month, Monthly a statement (to be rendered by the Company on the first publication day of each mouth, or if that day be a Sunday or public in Gezette of holiday ou the next working day) of the value of the notes outstanding outstanding, and of the securities held against these notes, securities. showing the nominal value of such securities, the price at which they were valued on deposit with the Crown Agents or the Trustees approved by the Secretary of State, and also the latest market price of such securities. If for two consecutive months the market price should indicate a selling value less than the nominal value of the untes outstanding, the Colonial Treasurer shall call for a return of notes or for the deposit of additional securities, sufficient to raise their selling value to the value of the notes outstanding, together with a margin of five per centum. If, however, for three consecutive months the market price indicates a continued and constant incrense on their selling value, the Governor-in-Council may allow the securities to be reduced provided the value of such securities is never allowed to fall below the value of the notes outstanding, together with a margin of five per centum.
6. When in the opinion of the Governor-in-Council a Power of temporary emergency exists, he may permit the Company in Council to
Governor- to issue notes in excess of the paid up capital of the authorise Company, provided there has been specially deposited and excess note is kept in the custody of the Colonial Secretary and the issue in Colonial Treasurer for the time being an amount of legal temporary tender dollars equal to the whole value of such excess issue for the time being actually iu circulation, to be held by the said Colonial Secretary and Colonial Treasurer exclusively for the redemption of such notes.
emergency.
notes limited
7. The powers granted by this Ordinance to the Com- Issue and pany to issue and reissue notes shall be limited for a period reissue of of ten years from the date of coming into force of this to 10 years Ordinance; after the lapse of such period the Company from date of shall cease to issue or reissue notes but shall redeem any Ordinance. notes which it has previously issued or reissued.
8. Nothing contained in this Ordinance shall exempt Saving as to the Company from the operation of any existing or future existing law law restricting or regulating the issue of notes in the restricting Colony.
note issue.
Memorandum.
W. REES DAVIES,
Attorney General,
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