Forfeiture of Shares

15. If any Shareholder fails to pay any call due on the appointed day the Company may at any time thereafter, during such time as the call remains unpaid, serve a notice on him requiring him to pay such call, together with any interest that may have accrued by reason of such non-payment.

16. The notice shall name a further day and a place or places, being a place or places at which calls of the Company are usually made payable, on and at which such call is to be paid. It shall also state that in the event of non-payment at the time and place page 7 appointed, the Shares in respect of which such call was made will be liable to be forfeited.

17. If the requisitions of any such notice is aforesaid are not complied with, any Share in respect of which such notice has been given may be forfeited by a resolution of the Directors to that effect.

18. Any Shares so forfeited shall be deened to be the property of the Company, and may be disposed of in such manner as the Company thinks fit.

19. Any Shareholder whose Shares have been forfeited shall notwithstanding be liable to pay to the Company all calls owing upon such Shares at the time of the forfeiture.

20. That in all cases wherein a Shareholder either by himself or jointly with any other person or persons, and whether directly or indirectly, shall become debtor to the Company or to any person or persons for their use and behoof, or shall be under engagements to the Company of any kind, such debts and engagements shall be first and paramount charges upon the share or shares of such Shareholder, and the dividends or interest accruing thereon before all other creditors of such Shareholder and before his or her assigns voluntary and legal; and it shall be lawful for the Board of Directors if they shall see fit to prohibit and restrain the transfer of the share or shares of such Shareholder, or the payment of the dividends accruing thereon until all and every such debts and engagements shall have been fully paid and satisfied: and if such Shareholder shall fail within a time to be fixed by the Board of Directors to pay and satisfy all such debts and engagements, the share or shares of such Shareholder shall thereupon become forfeited to the Company, and it shall be lawful for the Board of Directors, without notice to such Shareholder, absolutely to sell the said shares or so many thereof as shall be necessary and sufficient for the purpose, either by public sale or private contract, and to apply the proceeds thereof, together with the dividends and interest due thereon, in liquidation of such debts and engagements, and the balance of the nett proceeds of any such sale shall be paid over to the late holder of such shares.