CO129-462 - Governor Sir Stubbs - 1920 [7-10] — Page 16

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1.

ADDITIONAL MEMORANDUM.

Another set of difficulties arises on the refer-

ence in Article 1(vii)(d) of the Order to "section 4 of the

Trading with the Enemy (Amendment) Act, 1916".

In our

"adaptations* this clause appears as "sections 6 of the Trading

with the Enemy Amendment Ordinance, 1916, as amended by section

2 of the Trading with the Enemy Amendment Ordinance, 1919".

2. The section in question contains in each case the

following provisions:-

3.

-

Subsec. (1) Power to make a vesting order and to

authorise sale.

Subsec. (2) A vesting order under the section acts

like a vesting order under the Trustee

Ordinance (or Act).

Subsec. (3) When the Custodian sells shares under the

powers conferred by the Trading with the Enemy Ordinances (or Acts) the company may buy and reissue the shares.

Subsec. (4) "The transfer on sale by the Custodian of

any property shall be conclusive evidence

in favour of the purchaser and of the

Custodian that the requirements of this

section have been complied with."

Subsec. (5) All property vested under the section, and

the proceeds, shall be dealt with in like

manner as property paid and vested in the

Custodian under the original Custodian

provisions.

On subsection (1) no serious question arises, but it

may be doubted whether the Custodian should not obtain a formal

order for sale, etc. in each case.

4.

Subsection (2). The effect of this presumably is to

assimilate vesting orders under the Treaty of Peace Order to

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