st. vincent building and loan assoc. rules 2000

7/28/2019 St. Vincent Building and Loan Assoc. Rules 2000

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St. Vincent Building & Loan Association

Rules

Established 1941

Incorporated

Under the Building Societies Act

No. 9 of 1941

Revised to October 2000


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St. V incent Building & Loan A ssociation

INDEX TO RULES

Rule

Adjournments 54Advances 79Application for Advances 80Appraisers Report 83Alterations to Properties 94Alterations of Rules 120Audit 33Auditors 31Banker and Employees, appointment 22Board of Directors 35Board Meetings 57Branch Offices 4Bye-Laws 44Cessation of Membership 16Chairman 50Change of Address 14Costs of Deeds 100Counsel and Solicitor 30Custody of Securities 28Damaged to Insured Premises 86Death of Members 15Debenture Bonds 71Debenture Bonds, Duplicate 72Deposit, Exemption from 99Deposit for Legal Expenses 97Description re Security 82Directors, acts valid 42Directors, Election of Directors, Indemnity of 39Directors, Indemnity of 43Directors, Nomination 38Directors, Qualification of 36Disputes 118Elections 18 & 39Fidelity Guarantee 23Fines 114Fines, Liquidation of 117Fines, remission of 116

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Rule

Funds, Application of 74Funds, Investment of 75Inspection of Books 119Inspection and other Committees 21Inspection Expenses 89Inspection of Security 81 & 88Insurance Requirements 84Joint Ownership of Shares 12

Legal Expenses 98Legal Proceedings 121Loans to Association 76Loans, Lapse of 96Loans on Mortgage 102-112Loans on Shares 78Losses 122Lunatic Members 13Management 34

Meeting, Annual General 44Members, subject to Rules 9Minutes, Confirmation of 59Minutes of Proceedings 58Monthly Payments 113Name of the Association 1Notice of Meetings 55Objects 6Office 3

Office Hours 5Officers 17Outgoings on Mortgage Premises 85Permanent Society 2President 19President and Vice-President, Election of 18Price of Rules 124Proxies 52Quorum, Board Meetings 57

Quorum, General Meeting 53Refusal to admit Members 11Refusal of Security 91

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Rule

Registration of Deeds 101Removal of Officers 29Repairing Buildings 87Repairs to neglected Securities 95Reserve Fund 73Seal 8Secretary 24Shares, Application for 10

Shares Certificate 63Shares, Classes 60Shares, Compulsory Withdrawal of 69Shares, Dividends on 66Shares, Issue of 62Shares, Limit 61Shares, Notice before paying off 70Shares, Ordinary Subscription 65Shares, Transfer of 64

Shares, Recall of Withdrawal Notice 68Shares, Withdrawal of 67Source of Funds 7Special Business 49Special Deposits 77Special Meeting 4648Substituting Securities 93Summons Board Meeting 56Termination of association 123

Transfer of Mortgaged Property 92Treasurer 25Trustees 26-27Unfinished Buildings 90Vacancy, Office of Auditor 32Vacancies, Post of Director 40Vacancies, Filling of 41Vice-President 20Voting 51

ARRANGEMENT

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INTERPRETATION

NAME OF ASSOCIATION AND OFFICES

OBJECTS OF ASSOCIATION ETC.

MEMBERSHIP

OFFICERS AND EMPLOYEES

THE BOARD OF DIRECTORSPOWERS AND DUTIES OF DIRECTORS

MEETINGS

(A) MEMBERS

(B) BOARD

(C) MINUTESSHARES

DEBENTURE BONDS

FUNDS

BORROWING POWERS

LOANS ON SHARES

ADVANCESLOANS ON MORTGAGE FOR STATED PERIOD TIME FOR PAYMENTS OF

SUBSCRIPTIONS ETC.

FINES

MISCELLANEOUS

INTERPRETATION

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In the Construction of those or future Rules unless thecontrary is expressly provided or by necessary implication

appears to be intended, words importing the masculine gendershall be deemed to include the feminine and the singular shallbe deemed to include the plural, and the plural the singular.

The word month shall mean calendar month.

The term unadvanced member shall mean such person asshall not have received value on the security on his shares.

The term advanced member or mortgagor shall mean suchperson as shall have received value on the security of his

shares.

Advanced share shall mean a share upon which value has

been received in advance.

Surveyor shall be deemed to mean and include surveycommittee and vice versa.

Share shall be deemed to include fractional parts of a share.

The term Notice shall mean and include notice in writing or

in print or partly in writing and partly in print.

Whenever any number of days is mentioned, it shall be

deemed to mean clear days.

Board shall mean Board of Directors.

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St. Vincent Building and LoanAssociation

RULESNames of Association and Offices

NAME 1. The name of the Association shall be THESAINT VINCENT BUILDING AND LOANASSOCIATION hereinafter referred to asthe Association.

PERMANENT SOCIETY 2. The Association is a permanent BuildingSociety, incorporated under the BuildingSocieties Act, No. 9 of 1941.

OFFICE 3. The main office of the Association shall be

in Kingstown at such place as the Boardmay from time to time appoint.

BRANCH OFFICES 4. The Board shall have power to openOffices and appoint Agents in other placesas they may think fit. Such Agents shallbe deemed to be Officers within themeaning of Clause 13 of the BuildingSocieties Act, No. 9 of 1941, and shall givesecurity in accordance with the same.

OFFICE HOURS 5. The Office of the Association shall beopened for the purpose of transactingbusiness from 8.30 a.m. to 12 noonMondays to Fridays, or at such other timesas may be fixed by the Board of Directors.

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OBJECTS OF ASSOCIATION AND MANNER

IN WHICH STOCK AND FUNDS ARE TO BE RAISED

OBJECT 6. The object of the Association is to raise byOBJECT subscriptions of members andotherwise as hereinafter mentioned a Fundfor the purpose of

(a) making advances to members by wayof mortgage upon eth security ofunencumbered freehold Real Estateowned by them or unencumberedleasehold estate of which theunexpired term shall not be less then35 years; or

(b) Aiding members in acquiring suchfreehold or leasehold estate, makingimprovements thereon, or removingencumbrances therefrom; or

(c) Making loans to members upon thesecurity of there unadvanced OrdinarySubscription shares and

(d) Accumulating such fund to bereturned to its members ashereinafter provided

SOURCE OF FUNDS 7. The funds of the Association shall beraised by subscriptions of members inrespect of the subscription shares held bythem and the interest on the amountsadvanced them by the Association, in themanner directed by the rules, togetherwith the several fees, fines and otherpayments made in conformity with therules and by the receipt of SpecialDeposits or Loans at interest, as well as by

the receipt on account of interest orotherwise for money belonging to theAssociation and invested upon securities inmanner set forth in these rules and alsoform the proceeds arising from the issueof Debenture Bonds and otherwise, asauthorized by the rules or allowed by law.

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SEAL 8. The Association shall have a seal in the

form of a circular die, having on its facethe name of the Association and theyear of its incorportation. The Board shallprovide for the safe custody of the sealwhich shall only be used with the authorityof the Board. The Board may fromtime to time make such regulationsas they see fit for determining thepersons and the number of suchpersons by whom, and in whose

presence the seal shall be used.

MEMBERSHIP 9. Every member shall be subject to theSUBJEST TO RULES rules of the Association and also to any

alterations that may have been made priorto the date of his withdrawal form theAssociation.

APPLICATION FOR 10. Any person, not a lunatic, may, subjectSHARES to Rule 11, become a member of the

Association.

REFUSAL TO ADMIT 11. The Board may at any time and withoutMEMBERS assigning any reason refuse to admit any

person as a member, or to transfer anyshares to such person.

JOINT OWNERSHIP 12. Shares may be issued in the joint namesof two or more persons. Only the personwhose name stands first in the registershall be entitled to vote or to receive anynotices or communications in respect ofsuch shares but no withdrawal or transferof such shares shall take place without thesignature of every person whose name isso entered as a joint member, or withoutproof of the death, lunacy, or incapacity ofsuch member as may not give thesignature. Any evidence of such death,lunacy, or incapacity, shall as between theAssociation and the member or members

in respect of whom it is tendered, beconclusive and binding on all parties,saving the rights of the Association toindemnity in case of fraud.

LUNATIC MEMBERS 13. (i) Should any member be adjudge orbecome a lunatic the legally appointedguardian of such lunatic member shall, on

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proof satisfactory to the Board of his

appointment, be entitled to be registeredas such in the books of eh Association;and upon such registration shall, subjectto the provisions of any Act relating tolunatics, have, and enjoy all the benefitsand privileges and be subject to allrestrictions and liabilities which suchlunatic member would have had, enjoyed,or been subject to, if of sound mind.

(ii) No fines shall be payable by the lunaticmember opening the appointment of aguardian.

(iii) If no guardian is appointed, the Boardmay, after the expiration of six monthsfrom the date of the member beingadjudged or becoming lunatic, pay thewithdrawal value of any share or sharesheld by the lunatic member, to the

husband, wife, child or children or next ofkin of such lunatic member, and thepayment may be made in such mannerand subject to such conditions as theBoard may deem necessary.

CHANGE OF ADDRESS 14. As often as any member may change hisplace of abode, he shall give notice there-of in writing to the Secretary who shall, onreceiving such notice, make an entry inthe register accordingly. If any memberchanges his address and fails to notify theSecretary of such change, the Associationshall not be responsible for the failure ofany notice to reach him, which shall havebeen sent to the address opposite hisname in the register.

DEATH OF 15. When any member shall die his legalMEMBERS personal representatives shall forth-

with give written notice of such death

to the Secretary, an don proof to thesatisfaction of the Board, of the titleof such representatives the shares ofsuch deceased member shall be trans-ferred by the Secretary to the name ofsuch representatives; their names shall beregistered in the order in which they shallstand in the Letters Testamentary, or

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Letter of Administration granted to them.

After such transfer such representativesshall have and enjoy all the benefits andprivileges, and be subject to all restrict-tions which such deceased member wouldhave had or enjoyed, or been subject to ifliving. Provided, however, that nothing inthis rule shall be taken to limit or affectthe provisions of The Building societiesact. Provided also that if such represent-tatives decide to withdraw, they shall be

entitled to the amount standing to thecredit of the deceased members sharesprovided that all liabilities of such deceased member to the Association shall havebeen discharged. Such decision shall beintimated to the Secretary within threemonths of the death of the member.

CESSATION OF MEMBERSHIP

CESSATION OF 16. The membership of a member holdingMEMBERSHIP unadvanced ordinary subscription shares

shall cease as such, upon payment to himby the Association of the amount due tohim upon withdrawal, or of the value ofhis share upon maturity, or upon approvalby the Board of a transfer of his share oras provided for under Rule 114. Themembership of an advanced member shallcease as such at the endorsement by theAssociation of a receipt upon his mortgagein the form prescribed by The BuildingSocieties Act.

OFFICERS AND EMPLOYEES

OFFICERS 17. The Officers of the Association shall be theDirectors, President, Vice-President,Counsel, Secretary and treasurer, as wellas the locum tenens of any of the abovenamed officials. The offices of Secretaryand Treasurer may be combined at thediscretion of the Board of Directors.

ELECTION OF 18. At each annual general meeting the

PRESIDENT AND members, after filling the vacant places ofVICE PRESIDENT Directors, shall elect two of the members

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of the Board to be President and Vice-

President respectively for the next term.

PRESIDENT 19. The President shall preside at all meetingsof the Association and of the Board ofDirectors. In all cases of a tie he shallgive the casting vote.

VICE-PRESIDENT 20. The Vice-President shall, in the absence orat the request of the President, exercisethe powers and duties of the President.

INSPECTION AND 21. The Board shall have power from time toOTHER COMMITTEES time to appoint an Inspection Committee

and such other committees as it may thinkfit for the various purposes of the Associ-ation.

BANKERS, EMPLOYEES 22. The Board shall have power as occasionETC. may arise to appoint Bankers, Surveyors

or Appraisers, the Secretary and Treasurer

and other employees, and from time totime to define their duties and fix theirremuneration.

FIDELITY 23. The Board may from time to time deter-GUARANTEE mine the amount and nature of the

security which each officer of the Associ-ation having the receipt or charge ofmoney belonging to the Association shallgive, in pursuance of The BuildingSocieties Act.

SECRETARY 24. The Secretary shall act in accordance withthe instructions and directions given tohim from time to time by the Board. Itshall be his duty to attend to all thedetailed work of the association andconduct it in such manner as the generalbusiness shall demand.

TREASURER 25. The Treasurer shall receive all moneys

payable to the Association and promptlydeposit them into the Bank to the credit ofthe Association. He shall also, in conjunct-tion with the Accountant or other personsauthorized, sign all cheques or orders formoney. The Treasurer shall before enter-ing on his duties give a Bond of $2,400.00which amount shall be increased at any

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time if deemed advisable by the Board,

and the security shall be such as shall bedeemed satisfactory to the Board.

TRUSTEES 26. The Board shall at their first meeting, afterthe Annual General Meeting, elect fromtheir body two trustees, who shall remainin office until their successors have beenappointed. The Counsel shall not beeligible.

27. It shall be the duty of the Trustees to seethat all covenants relating to propertiesmortgaged to the Association are strictlyperformed.

CUSTODY OF 28. All securities belonging to the AssociationSECURITIES which are not required to be registered in

the Registry shall be kept by the Treasurerin a vault, safe or strong room, in theoffice of the Association or in such other

secure places as the Board may from timeto time

REMOVAL OF 29. The Board shall have power to remove anyOFFICERS Officer of the Association, with the excep-

tion of the Directors.

COUNSEL AND 30. (a) The Counsel and the Solicitor(s) shallSOLICITOR be appointed annually by the Board under

such terms and conditions as the Boardmay specify and they shall transact allsuch professional business of the Associ-ation as may come within their respectivevocations for which they shall receive suchremuneration as the Board may from timeto time determine; such remuneration tobe paid either by the Association or by theindividual members, or as the Board maydecide.

(b) Counsel shall be ex-officio a member

of the Board and legal adviser thereto. Heshall be responsible for instituting and/ordefending all legal actions taken by oragainst the Association and for providingopinion on any legal matter concerning theAssociations business.

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AUDITORS 31. There shall be elected by the Members at

the annual general Meeting of the Associ-ation two qualified persons, or a recog-nized firm of accountants as Auditors, butwho may be removed at any time by aSpecial Meeting called for the purpose.They shall not hold any other appointmentin the Association, and shall continue inoffice until the next annual generalmeeting mentioned and shall be eligiblefor re-election.

VACANCY 32. If any auditor shall die or becomeincapable of discharging his duties to theAssociation then the Board may appointan auditor to take his place, until the dateof the next General Meeting.

AUDIT. 33. The Auditors shall audit the books andaccounts of the Association at least onceevery six months. They shall ascertain in

whose custody the various funds andsecurities are, and shall inspect allsecurities except those registered, inwhich case they shall examine the officecopies and the Registrars receipts andreport in writing thereon to the Board.They shall examine and certify as to thecorrectness of the annual accounts andgeneral statement of the affairs of theAssociation. Such remuneration shall bepaid to the Auditors as the Board shalldecide.

THE BOARD OF DIRECTORS

MANAGEMENT 34. The affairs of the Association shall bemanaged by a Board of Directors.

BOARD OF 35. The Board in addition to the Counsel andDIRECTORS Secretary who shall be directors ex-officio,

shall consist of six other Directors, two ofwhom shall retire by rotation at theAnnual General Meeting every year butshall be eligible for re-election.

QUALIFICATION 36. The qualification of each Director, ex-officio or otherwise, shall be the holding ofnot less than five unadvance, ordinary

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QUALIFICATION subscription shares in his own right and

(Continued) not jointly with or as nominee or trusteefor any other person or company, providedthat an ex-officio director may act beforeacquiring his appointment. Provided thatthe satisfies all the requirements an in theview of the Board qualifies for a loan adirector may be a borrower from theAssociation. Any loan to a director shallbe mentioned in the Balance Sheet assuch without naming the particular direc-

tor. The subscription on the shares of adirector must not be more than threemonths in arrears and any director whoserepayments on his loan are in arrears formore than six months will automaticallyforfeit his position as a director of theAssociation

RENUMERATION 37. Directors shall received such remunerationfor their services as may be determined at

a General Meeting of the Members.

NOMINATION 38. No one (other than a retiring director)shall be eligible to be nominated forelection as a director, unless notice inwriting that he is a candidate for suchoffice shall have been given to theAssociation by two other share-holders ofthe Association at least three days beforethe day of holding the meeting at whichthe election is to take place. The writtenconsent to serve, of the personnominated, must accompany thenomination.

ELECTION 39. At each annual General Meeting themembers shall fill the vacant places ofDirectors. If there shall be more candi-dates than vacancies, then the election ofDirectors shall be by ballot and eachmember present who is qualified to vote

under Rule 51 shall be given a ballot paperwith the names of the candidates type-written thereon. He shall delete the nameor names of the candidate or candidatesfor whom he does not wish to vote, butsuch member can vote for only onecandidate for each vacant seat. As soonas the result of the ballot has been

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ELECTION ascertained the chairman shall declare to

(Continued) be elected for the vacant seat or seats thecandidate or candidates obtaining thelargest number of votes.

VACANCIES 40. Should any director die or resign or bethree months in arrears to the Association,or be away from the State without leavefor any period exceeding three months orabsent himself without leave from threeconsecutive statutory Board meetings his

office shall thereby be vacated. Providedalways that whenever the number ofdirectors present in the State shall fallbelow four the Directors shall forthwithelect a locum tenens in the place of anydirector absent, so as to maintain thenumber of four.

FILLING VACANCIES 41. The Board shall, subject tot eh proviso inRule 40, appoint members to fill any

vacancies in their number, and themembers so appointed shall continuein office until the next GeneralMeeting.

POWERS AND DUTIES OF DIRECTORS

DIRECTORS ACTS 42. All acts done at a meeting of the DirectorsVALID or by any person or persons acting as a

director or directors, shall, notwithstand-ing that it be afterwards discovered thatthere was some defect in the appointmentof any director or any person or personsacting as aforesaid or that they are in anyway disqualified, be as valid as if suchperson or persons had been dulyappointed and qualified to be a director ordirectors. No Director and/or employee ofthe Association, acting directly or through

his servant or his agent, shall engage ininsider trading, i.e. to say he shall not useany information which comes to hisknowledge, by virtue of his position, tosecure any financial or other advantage.Infringement of this rule, after due pro-cess, shall result in forfeiture of director-ship or dismissal of the employee. In the

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DIRECTORS ACTS case of a Director the matter shall be

VALID (Continued) referred to a Special Meeting of theAssociation.

INDEMNITY OF 43. The Directors shall be, and are herebyDIRECTORS respectively indemnified out of funds, and

property of the Association from andagainst all losses, costs, charges,damages and expenses, which they mayincur, or be put to in or trusts, offices orservices; and none of them shall be

answerable for any act or default of anyother of them, or for any insufficiency ordeficiency in title, value or otherwise, ofany security taken by the Association, orfor any loss arising in connection with anymatter connected with the loss arising bysuch means shall happen through theirwillful neglect or default.

BYE-LAWS 44. The Board shall have power from time to

time to make such bye-laws as manyseam necessary for the proper manage-ment of the affairs of the Association

consistent with these rules and to amendor rescind the same.

MEETINGS

ANNUAL GENERAL 45. The Annual General Meeting of the

MEETING Association shall be held within fivemonths after the termination of each yearat such time and place as the Board maydetermine, at which they shall submit afull statement of the affairs of the Associ-

ation in accordance with the The BuildingSocieties Act, or such other Acts as may

hereafter be in force, together with theAuditors report. Copies of the statementand report shall be sent to each member

to the address opposite his name in theregister at least fourteen days before theday of the meeting.

SPECIAL MEETING 46. The Board may whenever they think fit,and shall upon a requisition made inwriting by ten ordinary subscription shareseach, convene a special meeting of the

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SPECIAL MEETING Association. Such requisition shall express

(Continued) the object of the meeting proposed to becalled, and shall be left with the Secretary.

REQUISITION FOR 47. Upon the receipt of such requisition theSPECIAL MEETING Board shall forthwith proceed to convene a

special meeting. If they do not convenethe same within thirty days after suchrequisition shall have been left as afore-said, the requisitions may themselves con-vene a special meeting, but any meeting

so convened shall not be held after theexpiration of ninety days from the date ofreceipt of the said requisition.

EXPENSES OF 48. The expenses connected with conveningSPECIAL MEETING and holding any special meeting, in

pursuance of the two preceding rules shallbe paid out of the funds of the Association,unless the meeting shall decide otherwise,in which case such expenses shall be

borne by the requisitions or the membersconvening the meeting as the case maybe.

SPECIAL BUSINESS 49. No special business shall be transacted atany meeting of members unless the noticeconvening such meeting shall specify thegeneral nature and object of suchbusiness. All business shall be deemedspecial that is transacted at a specialmeeting, and also all that is transacted atthe Annual Meeting, with the exception ofthe consideration of the annual accountsand general statement of the affairs of theAssociation, the ordinary report of theDirectors, the election of Directors andAuditors for the ensuing year, and suchother business as may directly arise out ofthe consideration of the annual report. Noresolution shall be brought forward at anAnnual General Meeting with respect to

special business unless notice in writing ofsuch resolution shall have been given tothe Board in accordance with Rule 55hereof.

CHAIRMAN 50. If neither the President nor Vice-Presidentshall be present at the expiration of fifteenminutes after the time appointed for

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CHAIRMAN holding a meeting, the members present

(Continued) shall elect one of the Directors, other thanthe Secretary, to be Chairman for thatmeeting. If no director be present, orwilling to take the Chair, the memberspresent shall elect one of their number tobe Chairman.

VOTING 51. Every member of the Association holdingshares for at least six months prior to themeeting shall be entitled to vote subject to

the provision of Rule 114. But no membershall vote on any question concerning hispersonal conduct. The voting on anyquestion except for filling the posts ofDirectors shall in the first instance be byshow of hands; but should any fivemembers present immediately demand aballot, it shall be taken at once on thebasis of one vote for each member.

No member shall vote either personally orby proxy on any question in which he shallhave a personal interest as distinct fromthe other members.

PROXIES 52. Members are also entitled to vote byproxy, provided that the person holdingsuch proxy is a member of the Associa-tion, but no member shall hold more thansix proxies. All proxies shall be in theform prescribed in the appendix to theseRules and shall be deposited with theSecretary at least three days before thedays for which the meeting has beenconvened. No member exercise morethan seven votes including proxies.

There shall be an elections committeewhose function shall be to superintend,manage and conduct al elections held bythe Association. The said committee shall

be comprised of three members of theassociation one of whom shall be chairmanand another secretary. The membersthereof shall be elected at the AnnualGeneral Meeting of the association. Thefirst committee shall be appointed by theBoard of Directors. The duties of thecommittee shall be as follows:-

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PROXIES (i) To receive all nominations and proxies in

(Continued) the manner and form provided for in theRules.

(ii) To ensure the bona fides of all proxies.

(iii) To check the number of votes to whicheach member is entitled based on Rules51 and 52.

(iv) To conduct election, if any, in a democra-

tic and fair manner.

(v) To inform members of the upcomingelections.

No member of the elections committeeshall be eligible for election to the Boardof Directors.

QUORUM 53. At all meetings of the Association ten

members present, exclusive of theDirectors, shall form a quorum.

ADJOURNMENTS 54. Any meeting of members may beadjourned from time to time but at thereconvened meeting no business shall betransacted other than the business leftunfinished at the meeting from which theadjournment took Place.

NOTICE OF 55. At least fourteen days notice of everyMEETINGS meeting shall be given by the Secretary to

members. Except for the Annual GeneralMeeting, for which notice shall be sent toeach member to the address opposite hisname in the register, notice shall be byadvertisement in one or more newspaperspublished in the State. Copies of allnotices shall be placed in some conspi-cuous position in the office of the Associ-ation during the like period. Any further

notice may be given as the Board, fromtime to time, may direct. The noticeconvening every meeting shall set out theterms of every resolution proposed to bemoved by a member at such meeting, ofwhich the Board has received not lessthan 30 days written notice for inclusion inthe notice convening the meeting.

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(b) Board

SUMMONS 56. The President or any two of the Directorsmay at any time summon a meeting of theBoard.

BOARD MEETING 57. The Board shall meet at such times asAND QUORUM they may determine upon, provided that a

meeting be held at least once a month.Four Directors present shall form a quo-rum at Board Meetings. Every meeting

shall be called by a notice, signed by theSecretary or by a Director, which shall besent to each Director at least forty-eighthours before such meeting is to be held,except in case of emergency when uponthe authority of the President or VicePresident, a meeting may be called atshorter notice.

(c) Minutes

MINUTES OF 58. Minutes of all proceedings at everyPROCEEDINGS meeting of the Board and of the Associa-

tion and of the Resolutions passed thereatshall be entered in the respective minutebooks of the Board and of the Association.

CONFIRMATION OF 59. At every meeting of the Board of theMINUTES Association, before any other business is

transacted, the minutes of the precedingmeeting shall be read, and, if correct, beconfirm and signed by the Chairman of themeeting.

SHARES

CLASSES OF 60. The shares of the Association shall be ofSHARES the following class:-

Ordinary Subscription Shares issued underthe provisions of Rule 65 hereof.

Preference Shares shall not be issued.

LIMIT NUMBER 61. No member shall hold more than 200OF SHARES ordinary subscription shares in the Associ-

ation without the consent of the Board.

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ISSUE OF SHARE 62. The Board shall have power at any time to

issue shares in Series and to such extentand on such terms as they may consideradvisable in the best interest of theAssociation.

SHARE CERTIFICATE 63. Certificates for the number of shares heldby members shall be issued under the sealof the Association, signed by two Directorsand countersigned by the Secretary. Ifany certificate should be lost the Board is

hereby empowered to issue a duplicatethereof, and if it thinks fit may require themember to make a statutory declarationthat the certificate has been lost and thatto the best of his knowledge and belief noimproper use has been made of the same.Should the Board consider it necessary,the lost certificate may be advertised forat the cost of the member. For everyduplicate so issued there shall be paid the

sum of five dollars and any other chargesfor the statutory declaration. The certi-ficate must be surrendered at maturity orwithdrawal of the shares.

TRANSFER OF 64. (i) Provided that the Board does notSHARES object, shares may be transferred by

endorsement on the certificate or by suchwritten assignment as shall be satisfactoryto the Board.

(ii) Every such transfer shall, upon thepayment of such transferred as the boardmay from time to time determine, berecorded by the Secretary in the bookkept for that purpose. No notice whateverof any truth or assignment other than asabove prescribed shall be entered in thebooks of the Association in respect of anyshare, nor shall any officer of theAssociation in respect of any share, nor

shall any officer of the Association takenote of any thing but the properassignment by transfer.

ORDINARY 65. (i) The Ordinary Subscription Shares, forSUBSCRIPTION which payment shall be made at the rateSHARES of $1.00 per month on each share, half-

yearly, quarterly or monthly, in advance,

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ORDINARY shall mature when the value of a share,

SUBSCRIPTION including dividends earned, reaches $250.SHARES (Continued) No member shall payless than the equi-

valent of $1.00 per month on each sub-scribed share.

(ii) The joining fee for every membershall be such as may from time to time befixed by the Board of Directors.

JOINING FEE 66. The Board is empowered to declare

dividends of net cash profits, which shallhave been in accordance with the provi-sion of Rule 73. Such dividends shall,unite maturity of the shares, be declaredand credited half-yearly on 30th June andon 31st December, respectively, onamounts at credit in the books of theAssociation on those dates. Dividendswhen declared shall be paid in cash onmatured unadvanced shares and on

amounts at the credit of advanced shareson their release or maturity.

WITHDRAWALS 67. Any unadvanced member may withdrawfrom the Association and be paid the netamount standing to the credit of hisshares by giving one months notice, in

writing, to the Secretary. The Board shallhave power, however, if they deem itnecessary to limit the amount of fundswhich may repaid in any given month, inwhich case repayments will be made inrotation according to the priority ofnotices, provided that where the boardexercise this right interest, at a rate to bedetermined by the Board, shall be paid onthe net value of the shares and no furtherinterest charged on any outstanding shareloans from the date of the expiration ofthe notice to the date of payment.

RECALL OF 68. Any member may, with the consent of theWITHDRAWAL NOTICE Board, recall any withdrawal notice.

COMPULSORY 69. Should the accumulated funds of theWITHDRAWAL OF Association at any time exceed theSHARES demand for their safe and profitable

investments to such an extent that the

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COMPULSORY usual rate of dividends would thereby

WITHDRAWAL OF become materially decreased, the board isSHARES empowered to call upon any of the largest(Continued) shareholders of unadvanced shares to

withdraw such number of said shares attheir corresponding face value as theBoard may deem necessary in the bestinterest of the Association provided thatsuch number shall not exceed seventy-fiveper cent of the total. An equal number ofnew shares corresponding to those with-

drawn, if the shareholder should so desire,may be granted to such shareholder.

Three months notice for such withdrawalshall be given by the Association anddividends shall only be paid on the amountat credit of such shares at the date ofexpiry of such notice or up to the date onwhich payment is made, in the event ofthe shareholder accepting the amount

prior to the expiration of the above-mentioned notice.

NOTICE BEFORE 70. The Board shall have power to exact aPAYING OFF period of notice not exceeding threeMATURED SHARES months before paying off shares that have

matured provided that dividends on theamount of such matured shares shallcontinue to accrue up to the date of suchpayment

DEBENTURE BONDS

DEBENTURE 71. Debenture Bonds may be issued andBONDS repaid upon such terms as the Board may

determine; such debentures to be a firstcharge upon the assets of the Association.

DUPLICATE 72. The provisions of Rule 63 referring to theDEBENTURE issue of certificates, the issue of duplicatesBONDS and the surrender of share certificates

shall apply mutatis mutandis to DebentureBonds, but eh Directors may at theirdiscretion, refuse to issue duplicateDebenture Bonds.

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FUNDS

RESERVE FUND 73. Before declaring Dividends the Board shallset aside such sum as they think proper asa Reserve Fund which fund shall, at theabsolute discretion of the Board, be appli-cable to meet contingencies, losses anddepreciation or for repairing, improvingand maintaining any for such other pur-poses to which and for such other pur-poses to which the profits of the Associa-

tion may be Properly applied, as the Boardshall think conducive to the interests ofthe Association and may be divided intospecial funds and, pending such applica-tion, may at the like discretion be em-ployed at the like discretion be employedin the business of the Association withoutbeing kept separate from other assets.

APPLICATION 74. The funds of the Association, after pro-

OF FUNDS viding for, and maintaining such a reservefund as the Board may think fit, shall beapplied solely for the purposes set forth inthose rules in the following order:-

(i) In payment of interest due onDebentures and redemption of theAssociations Debenture Bonds.

(ii) In repayment of other Loans andDeposits and interest thereon.

(iii) In repayment of all other liabilitiesincurred under these rules, except ashereinafter mentioned.

(iv) In paying off unadvanced ordinarysubscription shares that have ma-tured or are withdrawn in accordancewith Rules 67 to 70 hereof, providedthat where advanced shares havematured these may also be paid off itthe member replaces them by anappropriate number of shares; pro-vided further that where a members

account is in arrears the proceedsfrom such matured shares shall beliable to be set off against the arrears.

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APPLICATION (v) In payment of dividends on ordinary

OF FUNDS subscription shares in accordance(Continued) with Rule 66 hereof.

(vi) In making advances or loans tomembers in accordance with theseRules.

(vii) In making donations to charitableor other organizations, approved bythe Board, provided that the total of

such donations in any one yearshall not exceed a sum equivalentto 5% of the surplus, afterdividends of the preceding year.

(viii) Generally, for all other purposesincidental to the business of theAssociation or authorized by theserules or allowed by law.

(ix) Without prejudice to any provisionherein contained the Board shallhave power to grant scholarshipsupon such terms as it may fromtime to time decide.

INVESTMENT 75. The Board may from time to time as occa-OF FUNDS sion may require invest any portion of

the funds of the Association not immedi-ately required fro its own purpose, in anyof the modes prescribed or allowed byThe Building Societies Act, and deter-mine the terms of every such investment.

BORROWING POWERS

LOANS TO 76. The Board shall have power as occasionASSOCIATION may arise to borrow to an extent not

exceeding two-thirds of the value of themortgage securities of the Association inaccordance with the powers conferred byThe Building Societies act, and they maydetermine the rates of interest to be paidon such loans and the terms of the repay-ment thereof.

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SPECIAL DEPOSITS 77. (a) The Board shall have power in its

discretion to accept special deposits ofamount of not less than five hundreddollars for a period of not less than sixmonths at a rate of inertest s theDirectors may form time to timedetermine.

(b) Three months notice shall be givenfor every withdrawal.

(c) The Board may at any time, after theperiod of six months aforesaid, forspecial reasons, waive such notice andthereupon the depositor shall forfeitthree months interest.

LOANS ON SHARES

LOAN ON SHARES 78. (a) Loans may be granted on the security

of unadvanced ordinary SubscriptionShares to such an extent as may befixed from time to time by the Board,but not exceeding seventy-five percent of the amount standing at thecredit of such shares in the books ofthe Association.

(b) Such loans shall bear interest at suchrate as may from time to time be

fixed by the Board of Directors,payable on the last day of the monthsof March, June September andDecember.

(c) A full months interest shall becharged and paid for any loan takenup on or before the fifteenth day ofany month and half months interestfor any loan taken up after thefifteenth day of any month.

(d) Loan may be repaid at any time in fullor by instalments of not less than tendollars except in the case of a finalinstalment. When repaid in full or byinstalment interest shall be chargedand/or paid for the half month ifrepaid on or before the 15th day of

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LOAN ON SHARES any month and for the 15th day

(Continued) of any month and for the monthif repaid after the 15th day ofany month.

(e) No loan shall be granted for aless amount than fifty dollars.

(f) Share certificates must bedeposited with the Associationwhen a member borrows on his

shares under this rule.

ADVANCES

ADVANCE 79. Advances may be made to mem-bers on the security of freehold orleasehold estate by way of mort-gage under the provisions of Rules102 to 112 hereof.

APPLICATION 80. (a) Applications form members foradvances under Rules 102 to112 hereof shall be made inwriting through the Secretaryon the form as prescribed bythe Board.

(b) Every applicant may be re-quired to deposit the Apprai-

sers fee and the expenses ofthe Inspection Committee.

(c) The Board, after consideringthe application, the report of anInspection Committee, if anyand/or the Appraiser, shalldecide whether the applicationis to be granted or not and maystate any lesser amount to be

advanced on the property.

(d) The grant of any loan shall becontingent on the applicant fur-nishing a good and unencum-bered title to freehold or lease-hold estate to the satisfactionof the Associations Solicitor.

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(e) There shall be no limit on the amount

of money a member may borrow fromthe Association subject to theavailability of money and providedthat the member qualifies accordingto the established criteria.

VISIT BY 81. Every property offered to the Associ-INSPECTION ation as security for a loan, shall, ifCOMMITTEE the board thinks fit, be visited by an

Inspection Committee appointed by

the Board, who shall report thereon tothe Board.

DESCRIPTION 82. Every applicant for a loan, when offer-RE SECURITY ing to the Association any security

shall, at the time, give the Secretary awritten statement of any trade carriedon, in or upon any part of the pre-mises, or of the existence of anythingwhich would in any way affect the

validity of the policy of Assurance;and if at any subsequent period anysuch trade shall be commenced orerection made in the premises whichwould have the like effect, the likestatement shall be given and themember neglecting to five suchstatement shall pay a fine, at thediscretion of the Board, of not morethan five dollars and not less than$1.00 per month on each share whichhe holds in the Association, during thetime that such statement shall bewithheld. The amount owing to theAssociation shall at once become dueand payable if the Board shall sodecide and, on none payment thereof,the property may be sold.

APPRAISERS 83. Appraisers as approved by the Associ-REPORT ation shall examine the Properties

offered as securities and forward tothe Secretary, to be submitted to theBoard, a written report on the saidproperties giving all necessary parti-culars in connection with the same.

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INSURANCE 84. All premises mortgaged to the Association

REQUIREMENTS shall be insured against such risks as theBoard may from time to time considernecessary in such Insurance Companies asthe Board may approve of or select. ThePolicy of Insurance, which shall beassigned to the Association, and therenewal receipts shall be deposited withthe Association.

OUTGOINGS ON 85. Advanced members shall pay punctually

MORTGAGED all taxes, rates, land rent and insurancePREMISES premiums. Should a member neglect to

pay the same it shall be lawful for but notobligatory on the Association to make thepayment on behalf of the member and anysuch advance shall be repaid within threemonths together with a charge at a rateper annum as the Directors may from timeto time determine. Members borrowing onBuildings on leased lands must produce to

the Secretary of the Association, thereceipts for the land so leased at leastevery quarter.

DAMAGE TO 86. In case of damage caused by any risksINSURED PREMISES insured against, the Association shall

receive from the Insurance Company theamount payable in respect of suchdamage and the Board shall have fullpower, after consultation with the mortga-gor, to settle and adjust with the Insu-rance Company questions relating to suchinsurance, and to fix with the InsuranceCompany the amount to be paid in respectof the damages done to the premises orrelating thereto, as the Board shall thinkreasonable.

REPAIRING 87. The Board shall, at its discretion, eitherBUILDINGS layout the money which shall be received

from any Insurance Company or aforesaid,

or any part thereof, in repairing or rebuild-ing the premises after consulting theMortgagor or retain and apply eh same orany such part thereof as it shall think fit,in whole or partial satisfaction as the casemaybe, of the amount which shall be due

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REPAIRING and owing form the Mortgagor to the

BUILDINGS Associate and pay the surplus, if any, to(Continued) the Mortgagor or such other person as

shall be entitled to receive the same.

INSPECTION OF 88. The Board may, as it may think fit, orderSECURITIES periodical or other inspection of any

property mortgagee do the Association:and on every such inspection a reportshall be made to Board. The Appraiser orother person making any such inspection

as aforesaid shall receive fair and reason-able remuneration therefore, to be deter-mined by the Board, and to be paid out ofthe funds of the Association, except incase where the Association shall haveentered into possession of the mortgagedproperty or shall be in a position toexercise the power of sale in the mortgagethereon, in which case all payments madeunder this Rule shall be treated as legiti-

mate expenses incurred by the Associationas mortgagees in possession, and shall bedebited to the member and be heldsecured upon the property in respect ofwhich the same shall have been incurred.

INSPECTION 89. All traveling and other expenses in con-OF EXPENSES nection with inspection of premises offered

as security to the Association shall be paidby the Applicant for a loan, and the boardshall have power to employ one or moreappraisers to inspect such premises.

UNFINISHED 90. Should any borrower after receiving anyBUILDINGS part of the loan leave unfinished any

building on which such loan shall besecured, the Board, having given eightdays notice in writing to such borrower of

its intention (service of such notice shallbe deemed sufficient if left on the pre-mises or sent by registered letter), shall

be at liberty to sell such premises either intheir then condition or it may first employany person to complete the same at thecost of such borrower, and advance allmonies requisite for such purpose out ofthe funds of the Association, and themoney so expended, with interest thereonat the prevailing rate as fixed by the

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UNFINISHED Directors from the date or dates of ad-

BUILDINGS vancing the same, shall be repaid to the(Continued) Association by such borrower on demand,

and shall, in the meantime, be a chargeon the said property.

REFUSAL OF 91. Notwithstanding that the reports of theSECURITY Conveyancer and he Appraiser may be

satisfactory, in respect of property offeredas security to the Association by anyapplicant for a loan, the Board is hereby

empowered (if it deems it in the interestof the Association not to accept thesecurity offered) to decline to accept thesame without assigning their reason forsuch refusal.

TRANSFER OF 92. If any member, having given any Securi-MORTGAGED ties to the Association shall be desirous ofPROPERTY selling the mortgaged property subject to

such securities, he may do so with the

consent of the Board. The Associationshall be a party to any such conveyanceand the same shall either be prepared orrevised by the Counsel or solicitor of theAssociation.

SUBSTITUTING 93. If any member, having given any secure-SECURITIES ties to the Association, shall be desirous of

having his properties discharged form thesecurities, he may transfer the charge tosome other property of adequate value tobe ascertained by the Appraiser andapproved by the Board as in the case ofthe original mortgages, and on the mort-gage debt being secured on the lastmentioned premises to the satisfaction ofthe Counsel and the Board, the premisesintended to be discharged shall be dis-charged from such securities.

ALTERATIONS TO 94. Any member who shall be desirous of

PROPERTIES making structural alterations or additionsto any property mortgaged to the Associ-ation or proposes to use the same for anypurpose other than that for which theproperty was used at the date of themortgage shall notify the Secretary inwriting, giving full particulars of theproposed alterations, additions or change

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ALTERATIONS TO of user and apply for the Boards written

PROPERTIES consent thereto. The Board may there-(Continued) upon instruct the Appraiser to examinethe proposed alterations, additions or change

of user and report the effect thereof uponthe value of the mortgage security beforedeciding whether such consent should begranted or not. The member applying forsuch consent shall pay the expenses of theexamination of the property. If anymember shall make any such alterations

or additions or change the user of theproperty as aforesaid without the Boards

prior written consent the amount owing tothe Association, according to the Rulesthereof, shall at once become due andpayable if the board shall so decide; andon nonpayment thereof his property maybe sold. The Boar may, as an alternative,fine the member such sum as it shall thinkproper.

REPAIRS TO 95. If any member having obtained an ad-NEGLECTED vance from the Association shall suffer theSECURITIES property mortgaged to the Association to

be out of repair to such an extent so as todepreciate the value of the security theBoard shall call upon such a member tomake all such necessary repairs as it maydeem proper and if he fails to do so withina reasonable time, the board shall havepower to cause the property to be tho-roughly repaired in all respects, and tocharge the cost thereof, and also all othercosts caused by such non-repair, to themember, and if the same be not paidwhen demanded they shall bear interest atthe prevailing rate as fixed by theDirectors, or the Board may, at its discre-tion proceed to realized the securities ofthe Association.

LAPSE OF LOAN 96. Any loan granted and not taken up by theapplicant within three months from thedate of such loan having been grantedshall lapse, but the Board may, at itsdiscretion extend the said term.

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DEPOSIT FOR 97. A member for whom a mortgage loan has

LEGAL EXPENSES been approved shall deposit with theTreasurer a sum to pay for the legalexpenses of the Mortgage Deed. In casethe security has to be refused owing todefective title or for any other cause, thebalance of money deposited shall bereturned to the depositor, after deductionof all expenses incurred on his behalf.

LEGAL EXPENSES 98. The legal expenses of the Mortgage Deed

shall include the conveyancing feecharged by the Solicitor of the Associa-tion in accordance with such scale of feesas shall from time to time be agreedupon between the Solicitor and the Boardas well as an additional charge for dis-bursements for searches and examina-tion of title of the property offered assecurity, and Stamp Duty and Registra-tion Fees.

EXEMPTION FROM 99. The Board may, at its discretion, exemptDEPOSIT the borrower from the deposit required

by Rule 97 but in that case the expensesincurred by the Association shall berepayable out of the amount of the loangranted, and shall be deducted by thetreasurer.

COST OF DEEDS 100. All costs and expenses incurred by theAssociation under Rule 92 and 93 shallbe repaid by the member selling ordischarging his property.

REGISTRATION 101. All documents, which for the security ofOF DEEDS the Association are required to be Regis-

tered, shall be deposited in the hands ofthe Solicitor who shall register the sameas soon as practicable.

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LOANS ON MORTGAGE FOR

STATED PERIODS

102. Every applicant for a loan by way ofmortgage for a stated period secured onfreehold or leasehold property:

(i) Shall become a member of theAssociation and shall take up at leastfive ordinary subscription shares.Provided that so long as any money

remains due to the Association, suchperson shall keep up his membershipthereof. Provided also that theBoard may from time to time fix theminimum amount in respect of whichsuch loans may be granted but suchminimum amount shall not be lessthan $1,500.00 and the terms ofrepayment shall not be fore morethan twenty-five (25) years.

(ii) Shall pay the entrance fee for suchshares and shall pay the usualsubscription of one dollar per shareper month on such shares, providedthat a member shall not be eligibleto become a borrower until he hasbeen a shareholder for six months,or has paid six months subscriptionin advance.

(iii) Shall send in an application underthe provisions of Rule 80.

103. Every advanced member shall repay hisadvance with interest as shall bedetermined by the Directors by monthlyinstallments or otherwise as may beagreed upon. The rate of interest shallbe plainly expressed in the Deed ofMortgage to be subject to variation, inkeeping with the interest rates prevailinggenerally and provision should be madethat if the interest rate is being variedupwards three months advance notice ofintention to vary must be given to theMortgagor.

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104. Where the advance is repayable by

quarterly instalments the following shallapply:-

(a) Interest shall be payable by themember quarterly on the last dayof each of eh months of March,June, September and December inevery year on the sum borrowed ordue.

(b) Interest on the sum borrowed ordue shall be reduced from time totime proportionately to the extentof eh amount sat credit, suchreduced amount to be calculated asfrom the first day of the quarterfollowing any payment to credit.

(c) Interest shall be calculated at theend of every quarter on the sum

borrowed or due after deducting theminimum balance at credit duringthe current quarter.

105. Every member who borrows money forstated period shall not part with, trans-fer, pledge or otherwise deal with theordinary subscription shares so held byhim so long as any sum remains due andowing by him to the Association.

106. Every such member as stated in Rule105, who wishes to release his propertybefore the expiration of the term statedin the Deed of Mortgage, may do so withthe consent of eh Board after havinggiven three months notice in writing ofhis intention to do so and shall pay thesum due to the Association at the date ofthe release. In Lieu of the above noticethe borrower may pay three months

additional interest on the amount due onthe first day of the previous quarter.

MINIMUM 107. Amounts of not less than fifty dollarsmay AMOUNTS be received by the Association. OnRECEIVABLE account of the sum borrowed or due by

any member and such amounts shall beplaced to the credit of such member.

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108. A member who desires to continue his

mortgage, at the expiration of the termstated in the Deed of Mortgage, shallapply in writing to the Board at leastthree months before such expiration.The Board shall consider the applicationin the same manner as the application forthe original loan and may demand a newvaluation of the security. Should theBoard grant the application the membermay sign a Deed of Extension of time.

The charges for such extension of Timeshall be such as may be fixed by theBoard form time to time.

109. After the expiration of the term stated inthe Deed of Mortgage and when themember has not signed a Deed ofExtension of Time, the Association shallbe entitled to call on him for payment ofthe amount due at any time without

previous notice.

110. All mortgage deeds to the Association tosecure such loans and all Deeds ofExtension of Time shall be prepared bythe Solicitors of the Association, in suchform and with such clauses, provisions,and agreements as they shall think fit,subject to any special instructions fromtime to time given to them by the Board.

111. The Board may at any time, by aresolution, decide not to continue lendingmoneys for a stated period. Suchresolutions shall not affect loans for astated period in existence at the datethereof. The Board may also, at anytime thereafter, by resolution decide toresume lending moneys for a statedperiod.

112. Save where inconsistent with, and to theextent that they may be modified bythese rules, the general rules of ehAssociation shall apply to loans onmortgage for a stated period.

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TIME FOR PAYMENTS OF SUBSCRIPTION, ETC

MONTHLY 113. All monies on account of subscriptions,PAYMENTS interest, fines and other proper charges a

re due on the first day of every month ofevery quarter as may be applicable, butshares subscriptions maybe paid bymembers between the first and twelfthdays of each month and instalments onloans and interest between the first andsixteenth days of each month or each

quarter as may be applicable, providedthat if the twelfth or sixteenth day of anymonth falls on a Saturday or PublicHoliday such payment shall be made notlater than the following working day andif it falls on a Sunday not later than theday after the following working day.Receipts signed by any authorized officerof the Association shall be deemed a fulldischarge for all such payments.

FINES

FINES 114. Subscription in respect of shares not paidon or before the twelfth of each monthshall be subject to fine at the rate of twoper cent per month for each month orany part of the month on the amount dueup to six months.

If the arrears continue for a period inexcess of six months the account shallcease to be operational, i.e. it will nolonger be subject to fines but shall notreceive dividends. The shareholder shallnot be entitled to vote. In every suchcase the shareholder shall be called uponto revive the account which he may doby paying all amounts due by way ofsubscriptions and fines.

115. Interest on loans and shares loans notpaid on or before the sixteenth of eachmonth in which they fall due shall besubject to fine which shall be charged atthe rate of the one per cent per month orany part of the month on the amountdue.

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REMISSION OF 116. The Board shall have discretionary

FINES powers to remit or vary any fine.

LIQUIDATION OF 117. If any arrears shall be due, all moneysFINES thereafter paid shall be applied first in

liquidation of the refines, and then indischarge of the arrears.

MISCELLANEOUS

DISPUTES 118. All cases of dispute between the Associa-tion and any of the members, or anyperson claiming by or through a memberunder the Rules, shall be settled byreference to the Registrar pursuant toprovisions of the Building Societies Act.

INSPECTION OF 119. The Books of the Association may beBOOKS inspected in accordance with the provisions of The Building Societies Act.

ALTERATION 120. The Association shall have power, formOF RULES time to time to alter or rescind these

rules, or make new rules with the appro-bation of a majority of the memberspresent and voting at a Special Meetingcalled for the purpose, such majority torepresent three-fourths of the votes castby ballot as provided for in Rules 51 &

52, or with the approbation of a committeeto be appointed by a like majority ofmembers at such a Special meetingcalled for the purpose of altering therules and subject tot the approval of theRegistrar.

LEGAL 121. No legal proceeding shall be commencedPROCEEDINGS by or on behalf of the Association against

any person, whomsoever, without thesanction of the Board.

LOSES 122. If during any year the Association sus-tains any loss exceeding the amount ofits Reserve Fund the excess shall bedebited to the accounts of the membersholding advanced and unadvancedordinary subscription shares in proportionto the amount standing at the credit ofeach at the beginning of such year.

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TERMINATION 123. This Association shall be on the perma-

nent system, but may terminate inaccordance with any of the modesprescribed by The Building Societiesact.

PRICE OF RULES 124. Members who have paid their entrancefee shall receive a copy of rules free uponjoining the Association. If another copyis required, subsequently, it will have tobe purchased at a price to be fixed from

time to time by the Board of Directors.

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APPENDIX

FORM OF SPECIAL PROXY

ST. VINCENT

I of a member of theSt. Vincent Building and Loan Association do hereby appoint

of also a member of the said

Association as my proxy to vote for me, and on my behalf at the *

General Meeting of the Association to be held on theday of 20

and at any adjournment thereof.

Witness my hand, dated this day of 20

SIGNED BY THE SAIDIN THE PRESENCE OF:

*Insert Annual, Special, or Extraordinary as the case may be.

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FORM OF GENERAL PROXY

ST. VINCENT

I of a member of

the St. Vincent Building and Loan Association do hereby

appoint of

also a member of the said Association,

as my proxy in m y absence, to act for me and on my behalf at any GeneralMeeting of eh said Association that may be held during my absence from thesaid State.

Witness my hand, dated this day of 20

SIGNED BY THE SAIDIN THE PRESENCE OF

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st. vincent building and loan assoc. rules 2000

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