PART VIII.

The Compensation Fund.

69. —(1) The Society shall establish and maintain a fund to be known as the Compensation Fund.

(2) The Society may make grants out of the Compensation Fund to relieve or mitigate losses sustained in consequence of dishonesty of solicitors.

(3) The provisions contained in the Fifth Schedule to this Act shall have effect in relation to the Compensation Fund.

(4) A reference in this section or in the Fifth Schedule to this Act to dishonesty of a solicitor shall be construed as a reference to dishonesty of a solicitor, or a clerk or servant of a solicitor, in connection with such solicitor's practice or with a trust of which such solicitor is a trustee.

70. —(1) Before a practising certificate is issued to a solicitor, he shall pay to the registrar the annual contribution to the Compensation Fund and any additional contribution that may be appropriate and—

(a) the registrar may withhold issue of the certificate until the payment is made, and

(b) on the payment being made, the registrar shall pay it into the Compensation Fund.

(2) The annual contribution payable by a solicitor to the Compensation Fund shall be—

(a) in case the practising certificate with respect to which it is paid is the fourth certificate issued to the solicitor since his admission or is any subsequent certificate—five pounds or such less amount as may be specified by regulations made with the concurrence of the Minister for Justice,

(b) in case such practising certificate is the first, second or third certificate issued to the solicitor since his admission—one-half of the amount that would be payable in the case of a certificate referred to in the foregoing paragraph.

(3) At any time not later than the 30th day of November in any year (being the year 1960 or any later year) the Society may resolve that it is expedient in order to secure the financial stability of the Compensation Fund that every solicitor taking out a practising certificate in respect of the next following practice year (being the fourth certificate issued to him since his admission or any subsequent certificate) shall pay an additional contribution of a specified amount not exceeding five pounds to the Compensation Fund.