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successful tenderer the fixed sum in full which he had collected from this particular winner at the first meeting. (The winner therefore gets in our example ($45 × 9)+$50 = $455). Thereafter the winner becomes a "dead" member. At the subsequent meetings the same procedure is repeated but "dead" are debarred from tendering again and have to pay in full the fixed sum to the successful tenderer of that particular meeting. At the last meeting the sole remaining member will collect his full amount back again. He will have profited by the interest accrued on the sums loaned to each successful tenderer. Each member eventually gets back roughly the same amount as he put into the association for in effect they are borrowing at a low rate of interest without knowing when their loan will come. The chairman in effect gets an interest-free loan on the sums he collected at the first meeting until he repays each member. Sometimes a different system is followed and the chairman charges the successful tenderer each month a commission instead of collecting a sum from each member at the first meeting. This commission is usually fixed at 50% of the sum fixed by agreement to be paid by each member.
There are several reported decisions on such money loan associations,
152
Oaths
The Chinese customarily settled by a form of trial by ordeal in a temple which party to a dispute was telling the truth. Both parties, the witnesses and any interested villager would repair to a temple mutually agreed (miu, never a clan temple or 'tsz t'ong). Each party would then be expected to pray to the god of the temple affirming the truth of his case and inviting the god to do him an injury if he had lied. Each party would then in turn be called upon to attempt to strike off the head of a live cock with a single stroke of a chopper. If he severed the head cleanly, the party proved his case. An incomplete severance proved his case false. In practice it was seldom that both parties were required to chop off a cock's head. Usually the guilty party would find himself unable to invite the god's wrath and would retire.
!
I
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successful tenderer the fixed sum in full which he had collected from this particular winner at the first meeting. (The winner therefore gets in our example ($45 × 9)+$50 = $455). Thereafter the winner becomes a "dead" member. At the subsequent meetings the same procedure is repeated but "dead" are debarred from tendering again and have to pay in full the fixed sum to the successful tenderer of that particular meeting. At the last meeting the sole remaining member will collect his full amount back again. He will have profited by the interest accrued on the sums loaned to each successful tenderer. Each member eventually gets back roughly the same amount as he put into the association for in effect they are borrowing at a low rate of interest without knowing when their loan will come. The chairman in effect gets an interest-free loan on the sums he collected at the first meeting until he repays each member. Sometimes a different system is followed and the chairman charges the successful tenderer each month a commission instead of collecting a sum from each member at the first meeting. This commission is usually fixed at 50% of the sum fixed by agreement to be paid by each member.
There are several reported decisions on such money loan anociations, 152
Oaths
The Chinese customarily settled by a form of trial by ordeal in a temple which party to a dispute was telling the truth. Both parties, the witnesses and any interested villager would repair to a temple mutually agreed (miu, never a clan temple or 'isz t'ong). Each party would then be expected to pray to the god of the temple affirming the truth of his case and inviting the god to do him an injury if he had lied. Each party would then in turn be called upon to attempt to strike off the head of a live cock with a single stroke of a chopper If he severed the head cleanly, the party proved his case. An incomplete severance proved his case false. In practice it was seldom that both parties were required to chop off a cock's head. Usually the guilty party would find himself unable to invite the god's wrath and would retire.
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