The Daily bulletin. [volume] (Honolulu [Hawaii]) 1882-1895, 1884-07-24

Incorporated company or partner
ship firm, unless such purchase shall
be necessary TO prevent loss from a
debt previously contracted in good
faith, or unless in the case Of the
forfeiture of stock for non-paymcnt
of installments due thereon: and all
stock thus purchased or acquired
shall be disposed of again within six
months from the date Of purchase
or acquisition. or as soon thereafter
as its cost to the corporation can be
obtained for it.
Section 20. The affairs of every
corporation formed under this Act
shall be managed by not less than
five nor more than eleven directors;
subject to the provisions herein con-
tanned. 1t shall be lawful for the
corporation to prescribe by its
articles of association the qualiica-
tions of directors, the time and
method of their election, and the
term for which they shall hold office,
and to define their powers and au-
thorties, to provide for their removal
from office, the filling of vacancies,
and all other matters in connection
with their office, and with the
management of the business of the
corporation; provided, that the
directors elected or appointed shall
be residents of the Hawaiian Islands.
Section 81. No person shall serve
as a director who does not own in
his own right at least ten shares of
the capital stock Of said corporation !;
nor unless when appointed or elected
he shall take an oath that he will, so
far as the duty devolves on him,
diligently and honestly administer
the affairs of such corporation, and
will not knowingly violate or willingly
permit to be violated any of the pro-
visions Of this Act; and that he is
the owner in good faith of the num-
Der of shares of stock required by
this Act standing in his name on the
books of the corporation, or sub
scrihed by him, and that the same is
not in any way hypothecated or
pledged as security for any loan or
debt. Such oath subscribed by the
person taking it and certified by the
officer before whom it is taken shall
be filed in the Office of the Minister
of the Interior.
Section %. No corporation formed
under this Act shall at any time be
indebted or in any way liable to an
amount exceeding the amount of it's
capital stock at such time actually
paid in and remaining undiminished
by losses, or otherwise, except on
the following accounts viz:
First-On account of moneys de.
posted with or collected by such
corporation.
Second-On account of bills OF
exchange or drafts drawn against
money actually on deposit to the
credit of such corporation, or due
thereto.
Third-On account of liabilities tC
its stockholders for money paid in
on the capital stock or for dividends
and reserved profits.
Section 23. No part of the capital
stock of a corporation formed under
this Act shall, during the time il
continues its business, be withdrawn
either in the form of dividends OF
otherwise.
Section "a. Once at least in every
year the accounts of every corpora
tion carrying on business under the
provisions of this Act shall be ex-
amined by an Auditor or Auditors
who shall be elected annually by the
corporation in general meeting.
No shareholder nor officer of the
corporation shall be capable of being
elected an Auditor of such corpora
tion.
An Auditor on quitting office,
shall he eligible for reelection.
If any casual vacancy occurs in
the office of any Auditor, the survi.
wing Auditor, or Auditors (if any)
may act, but if there is no surviving
Auditor, the directors shall forth