A.—B

Section 4.—Managing Director and Staff («.) The Executive Directors shall select a Managing Director, who shall not be a Governor or an Executive Director. The Managing Director shall be chairman of the Executive Directors, but shall have 110 vote except a deciding vote in case ol an equal division. lie may participate in meetings of the Board of Governors, but shall not vote at such meetings. The Managing Director shall cease to hold office when the Executive Directors so decide. (6) The Managing Director shall be chief of the operating staff of the Fund and shall conduct, under the direction of the Executive Directors, the ordinary business of the Fund. Subject to the general control of the Executive Directors, he shall be responsible for the organization, appointment, and dismissal of the staff of the Fund. (c) The Managing Director and the staff of the Fund, in the discharge of their functions, shall owe their duty entirely to the Fund and to no other authority. Each member of the Fund shall respect the international character of this duty and shall refrain from all attempts to influence any of the staff in the discharge of his functions. (id) In appointing the staff the Managing Director shall, subject to the paramount importance of securing the highest standards of efficiency and of technical competence, _ pay due regard to the importance of recruiting personnel on as wide a geographical basis as possible. Sections. —Voting (a) Each member shall have two hundred and fifty votes plus one additional vote for each part of its quota equivalent to one hundred thousand United States dollars. (b) Whenever voting is required under Article V, Section 4 or 5, each member shall have the number of votes to which it is entitled under (a) above, adjusted— (i) By the addition of one vote for the equivalent of each four hundred thousand United States dollars of net sales of its currency up to the date when the vote is taken; or (ii) By the subtraction of one vote for the equivalent of each four hundred thousand United States dollars of its net purchases of the currencies of other members up to the date when the vote is taken: Provided that neither net purchases nor net sales shall be deemed at any time to exceed an amount equal to the quota of the member involved. (c) For the purpose of all computations under this Section, United States dollars shall be deemed to be of the weight and fineness in effect on July 1, 1944, adjusted for any uniform change under Article IV, Section 7, if a waiver is .made under Section <S (d) 01. that Article. (d) Except as otherwise specifically provided, all decisions of the Fund shall be made by a majority of the votes cast. Section 6. —Distribution of Net Income (a) The Board of Governors shall determine annually what part of the Fund's net income shall be placed to reserve and what part, if any, shall be distributed. (b) If any distribution is made, there shall first be distributed a 2 per cent, noncumulative payment to each member on the amount by which 75 per cent, of its quota exceeded the Fund's average holdings of its currency during that year. The balance shall be paid to all members in proportion to their quotas. Payments to each member shall be made in its own currency. Section 7. —Publication of Reports (a) The Fund shall publish an annual report containing an audited statement of its accounts, and shall issue, at intervals of three months or less, a summary statement of its transactions and its holdings of gold and currencies of members. (b) The Fund may publish such other reports as it deems desirable for carrying out its purposes. Section B.—Communication of Views to Members The Fund shall at all times have the right to communicate its views informally to any member on any matter arising under this Agreement, The Fund may, by a two-thirds majority of the total voting-power, decide to publish a report made to a member regarding its monetary or economic, conditions and developments which directly tend to produce a serious disequilibrium in the international balance of payments of members. If the member is not entitled to appoint an executive director, it shall be entitled to representation in accordance with Section 3 (j) of this Article. The Fund shall not publish a report involving changes in the fundamental structure of the economic organization**)!' members. ARTICLE XIII.—OFFICES AND DEPOSITORIES Section 1. —Location of Offices The principal office of the Fund shall be located in the territory of the member having the largest quota, and agencies or branch offices may be established in the territories of other members.

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