(b) Contributions to the Vehicle Fund shall be made by way of periodic payments of

such amounts as the Board of Directors may deem in their sole discretion necessary

and sufficient to cover the costs of purchase and/or replacement of the vehicles in

the Society's fleet.

10.

FINANCIAL MATTERS

10.1 The financial year of the Society shall begin on 1st April and end on 31st March. At the

close of each financial year, an amount of 20 % of the surplus shall be carried to the

Reserve Fund subject to By-Law 9.3. A further amount of 5% of the first $500,000 of

the surplus shall be contributed to the Central Cooperative Fund and 20% of any

surplus in excess of $500,000 shall be contributed to either the Central Co-operative

Fund or the Singapore Labour Foundation as the Society may opt under Section 71(2) of

the Act.

10.2 The remainder of the surplus after provisions have been made for the Reserve Fund, the

Central Co-operative Fund or the Singapore Labour Foundation shall be distributed in

one or more of the following ways and in such order of priority as the Board of

Directors of decide in its sole discretion from time to time:

(a) by payment of a dividend not exceeding the maximum rate allowed under the Act

or the Rules on the amount of shares and bonus shares held by the Founder

Member in accordance with By-Law 10.3;

(b) by payment of a patronage refund to members in accordance with By-Law 10.4;

(c) by payment of honoraria to some or all of the members of the Board of Directors in

.<

consideration of their services whjch would not otherwise be remunerated subject to

a sum to be fixed from time to time by the Registrar under the Act and By-Law

7.19; or

(d) by payment to any other funds approved by the Registrar.

10.3 A member whose name appears on the books of the Society on the last day of the

financial year shall be eligible to dividends on shares and bonus shares when declared

subject always to the restrictions imposed on the payment of dividends in these By-

Laws. The Society shall pay in respect of every fully paid shares or bonus shares that is

registered in the name of a member a dividend in full or on a pro-rata basis, if he has

held such shares, for a lesser period than one year. Any dividends which are not

claimed by members within three years from the date of payment shall be forfeited to

the Society.

23