Magyar English


 

Section I

 

 

(Name, registered office and scope of activities of the Association)

 

1        Name of the Association (hereinafter Association or HGA):

in Hungarian: Magyar Geotermális Egyesület ( MGtE )

in English:  Hungarian Geothermal Association ( HGA ) Inc.

 

2        Registered office of the Association:

 

1021 Budapest, Ötvös János u. 3.

Home page: www.mgte.hu

 E-mail address: info@mgte.hu

Phone: (1)-224-0424

Fax: (1)-214-5953

 

3        Official seal of the Association:  long seal, with the name and the registered office indicated.

 

4        Scope of activities of the Association: The activities cover the whole area of Hungary. The Association cooperates with domestic and international organisations which deal with the research, application and environmental issues of geothermal energy, and it is a member of the International Geothermal Association.

 

5        Legal status of the Association: on the basis of the stipulations of Act CLVI of 1997 and other regulations, it is a Public Service Association.

 

The Association discloses through the press the opportunities, extent and preconditions of grants available from the Association.

The activities of the Association are in the public domain, and it is obliged to issue report about them on the worldwide web once a year. This report shall be available to any interested parties, and it shall comprise the most important particulars of the Association's activities and business management, as well as any changes in its assets.

Also through the worldwide web, the Association shall make sure at least twice a year that information is provided on its operations and on the method of using its services.

The Association is not involved directly in any political activities, it operates independently of and would not furnish financial support to organised parties. The Association does not send candidates to parliamentary or local council elections.

 

 

Section II

 

Tasks, objectives, and official language of HGA

 

 

1        HGA is an organisation founded in Hungary for trade promotion, trade-related scientific, environmental, educational and cultural purposes. HGA is a non-political, non-governmental and non-profit organisation, which does not primarily perform business/contracting activities.

 

 

2        The Association may only carry out contracting activities in order to meet and without jeopardising its public service targets. Any profits made as a result of its business activities will not be distributed, but channelled to the operations identified in these By-Laws.

 

3        The main objectives of HGA are the following: the trade representation of Association members which deal with the exploration and multipurpose utilisation of Hungarian geothermal energy, assisting and supporting the scientific research, development and application in association with the exploration and exploitation of geothermal energy, coordinating the activities related to the objectives above, and conducting expert activities within the territory of Hungary.

 

In order to meet its objectives, the Association

a.) tackles interest reconciliation and trade advocacy tasks related to the trade promotion of its members,

b.) uses and makes available to the members the technical information accumulated by and available from the International Geothermal Association (IGA) and other international and domestic trade organisations,

c.) organises trade forums, trade exhibitions and international meetings,

d.) monitors on an ongoing basis the domestic and international trade literature related to geothermal energy as a renewable, environmentally friendly and alternative source of energy, and educates in this field the members of the Association and outside persons interested in the subject,

e.) sets up a trade-related geothermal resources database, and makes sure that this database is available to the members of the Association and outside persons,

f.)  initiates and comments on legal regulations and draft statutory provisions, as well as preliminary documents related to the exploration, exploitation and harnessing of geothermal energy, and to disposal after the use of geothermal resources resulting from these activities. In this scope of matters, the Association prepares its own draft statutory provisions and proposals, submitting them to the relevant law making and decision preparation organisations,

g.) establishes and maintains contacts with other trade organisations identifying themselves with the tasks and objectives of the Association or with those which carry out similar activities both inside and outside Hungary,

h.) establishes contacts with researchers and researchorganisations in order to support international and domestic scientific research and to make sure that the research results are implemented as soon as possible. To assist their activities, the Association initiates competitions and grants regular opportunities for publishing the results of their scientific research.

 

4        The official language of the Association is Hungarian.



Section III

 

Scope of activities

 

 

The Association pursues public service activities identified in the following sub-paragraphs of para. 26, point c) in Act CLVI of 1997:

 

 

3.   scientific activities and research

4.   education and training, skills development, providing general information

8.   protection of nature and animals

9.   protection of the environment

16.    consumer protection

19.    fostering of Euro-Atlantic integration

The additional contracting activities of the Association may cover the following fields:

TEÁOR* 7230’03 ‑ Data processing,

TEÁOR 7310’03 ‑ Technical research and development,

TEÁOR 7420’03 ‑ Engineering activities and consultancy

TEÁOR 7430’03 ‑ Technical tests and analyses

TEÁOR 8042’03 ‑ Adult and other training not listed elsewhere

TEÁOR 9133’03 ‑ Other community and social activities not listed elsewhere

*Standard Sectoral Classification of Business Activities.

 

Section IV

 

Membership

 

The Association may have ordinary members, as well as sustaining and honorary members.

1  Ordinary members of the Association are domestic or foreign natural or legal entities and organisations without legal entity status who/which agree with the objectives and tasks listed in Section II and who/which accept the By-Laws of HGA as being obligatory to them.

2  An application for membership may be submitted in writing to the Board of Directors. The written recommendation of two ordinary members shall be attached to the application. The Board of Directors decides at its next meeting whether a new member is accepted. An appeal to be submitted to the general meeting of the Association may lie against the resolution of the Board of Directors. The involved parties may turn for legal remedy to a court having jurisdiction, with the purpose of having the decision of the general meeting overturned. Membership becomes final after the approving decision of the Board of Directors, provided that the membership fee is paid.

3  Sustaining members of the Association are any Hungarian and foreign citizens or organisations who/which agree with and support morally and financially the objectives of the Association.

4  Honorary members of the Association are persons who are declared to be honorary members by the general meeting, at the proposal of the Board of Directors, on the grounds of their outstanding research, education, development or application activities conducted in harmony with the objectives of the Association.

 

The rights of an ordinary member:

-  An ordinary member may participate with voting and consultation rights in the general meetings of and events organised by the Association.

-  An ordinary member may be elected to be an official of the Association.

-  An ordinary member may put forward a proposal or comment in any issues involving the Association, and may request legal remedy against a resolution of the general meeting or the Board of Directors which violates statutory provisions or the stipulations of the By-Laws.

-  An ordinary member may receive information about the activities of the Association -according to the stipulations of these By-Laws- and may have access to the documents of the Association after submitting a related request to the Board of Directors.

-  An ordinary member receives invitations to the events of the Association and is supplied with information issued by the Association.

-  An ordinary member may use the databases and trade literature resources of the Association.

-  An ordinary member may make a comment about the activities of the Association, and they have the right to express this opinion verbally and in writing at the fora granted by the Association.

-  An ordinary member may put a question to the officials of the Association at the general meeting convened by the Association, and between two general meetings they may submit in writing via the Board of Directors the questions to be answered in association with the activities of an official.

-  An ordinary member may initiate -due to no or unsatis-factory response by the officials regarding the activities or business management of the Association- at the next general meeting that the general meeting should put on the agenda and review the question asked by the ordinary member.

-  An ordinary member is entitled to use the information database of the Association.

-  Each ordinary member of the Association has equivalent voting rights, and may exercise these voting rights personally or via a proxy.

The liabilities of an ordinary member:

-  Ordinary members are obliged to contribute actively to meeting the objectives of the Association, in addition to observing the regulations.

-  They are obliged to execute the resolutions of the general meeting and Board of Directors of the Association.

-  They are obliged to pay a membership fee every year to the Association.

-  They are obliged to meet voluntary commitments taken in order to satisfy the goals of the Association.

-  They are obliged to refrain from any behaviour that would undermine or substantially hinder meeting the objectives or tackling the tasks of the Association.

-  They are obliged to show such a behaviour which fails to jeopardise the good reputation and trade esteem of the Association, as well as those of the officials and other members of the Association.

-  They are obliged to safeguard any information, data and facts which have come to their knowledge and which are the business secrets of the Association.

Sustaining members:

-  may participate in the general meeting of the Association with consulting and commenting -but without voting- rights,

-  may make a proposal or comment on any issues involving the Association,

-  may participate in the trade and other events of the Association,

-  are entitled to make use of the information database of the Association.

The liabilities of a sustaining member:

-  Observing the stipulations of the By-Laws.

-  They are obliged to meet their voluntary commitments taken in order to satisfy the objectives of the Association.

-  They are obliged to refrain from any behaviour that would undermine or substantially hinder meeting the objectives or tackling the tasks of the Association.

-  They are obliged to show such a behaviour which fails to jeopardise the good reputation and trade esteem of the Association, as well as those of the officials and other members of the Association.

-  They are obliged to safeguard any information, data and facts which have come to their knowledge and which are the business secrets of the Association.

Honorary members:

-  The rights of an honorary member are the same as those of an ordinary member.

The liabilities of an honorary member:

-  They are obliged to refrain from any behaviour that would undermine or substantially hinder meeting the objectives or tackling the tasks of the Association.

-  They are obliged to show such a behaviour which fails to jeopardise the good reputation and trade esteem of the Association, as well as those of the officials and other members of the Association.

-  They are obliged to safeguard any information, data and facts which have come to their knowledge and which are the business secrets of the Association.

 

Section V

 

Membership fee

 

1  The rate of annual membership fee and the detailed rules of payment are defined by the general meeting at the proposal of the Board of Directors.

2  Of the ordinary members, the students and pensioners are obliged to pay 2000 HUF, the adults and natural entities with an income shall pay 6000 HUF, and the legal entities and organisations without legal entity status shall pay 100,000 HUF. The deadline of paying the annual membership fee is the 31st of March in every calendar year. When a new member joins the Association, the payment deadline is 30 days after receiving the resolution of the Board of Directors.

3  In the case of a sustaining member, an agreement aimed at supporting the Association and concluded between a sustaining member and the HGA Board of Directors includes the purpose of the support (grant), its rate, and the method and deadline of payment.

 

4  Honorary members do not pay a membership fee.

 

 

Section VI

 

Loss of membership status

 

1  A membership status is lost:

1.1  when a member dies or when a member's operations are terminated without a legal successor

-  when a member dies,

-  in the case of a legal entity or an organisation without legal entity status, when the member's operations are terminated without a legal successor.

1.2     by leaving the Association

If a member submits a written statement to the Board of Directors about his/her/its intention to leave the Association. If a member leaves, he/she/it may not claim even a partial refund of the annual membership fee already paid.

1.3     by deletion

If a member fails to pay, the Board of Directors sends out a dunning notice and sets a 30-day deadline. If the member still fails to pay in spite of the notice, the Board of Directors deletes him/her from the list of members by a separate resolution.

1.4     by expulsion

If a member has been proven to violate the stipulations of the By-Laws or acted in a way which violated the interests of the Association, the Board of Directors makes a resolution about these facts and the expulsion;

2  In case a membership is terminated by deletion and expulsion, the member has the right to appeal against the resolution in person or by counsel to the general meeting of the Association. An expelled and deleted member may turn to a court having jurisdiction with the purpose of contesting the resolution of the general meeting.

 

Section VII

 

Organisational structure and officials of the Association

 

1  The supreme decision making organisation of the Association is the general meeting which represents the entirety of members.

2        The following matters fall into the exclusive scope of the general meeting:

-   drawing up and amending the By-Laws;

-   electing and discharging the officials;

-   approving the financial report, the budget, the public service report and the work programme;

-   discussing, approving or rejecting the Board of Directors’ and Supervisory Board’s report on the activities of the Association;

-   making a decision on fusion with a different social organisation or on terminating the activities of the Association;

-   reviewing an appeal against a decision on expulsion or deletion;

-   approving the public service report prepared by the Board of Directors on the basis of para. 19 of Act CLVI of 1997.

 

3  The officials of the Association are: the President, the two Vice-Presidents, the Secretary, the Treasurer, the three Committee Presidents and the four members of the Supervisory Board (SB), who are elected - except fot the Secretay - by the general meeting from the members of the Association. The members of the Supervisory Board elect a Chairman from their ranks for the relevant term.

4 The work of the association is helped by three committees that cover the specialties as follows: 1. Production and Energy, 2. Water Management and Environmental Protection, 3. Judicial Issues and Authorisation. The head of each committee is the committee president. If the person acting as the Committee President resigns or dies prior to the end of his/her term, the President takes over his/her tasks until the next general meeting where a new Committee President has to be elected. The members of each Committee are proposed by the Committee President to the Board of Directors. The members are allowed to be nominated not only form the association members. Each committee can have up to 4 members besides the president. The date of completion of mandate of each committee member is a fixed term or the next general re-election meeting. The Board of Directors votes about the committee members and their mandate. For the request of the President or as an own initiative – after discussing it with the President – the committees estimate the issues of their specialties, make recommendations for solving problems and surveys for helping the preparation for decision making.

.

 

Section VIII

 

Election of the officials

 

1        With the approval of the Board of Directors, the President appoints not less than 30 days prior to the re-election of the officials a Nominating Committee consisting of at least three members of the Association, who discuss with the members of the Association the identity of those members who are believed to be capable of acting as officials.

2        For each post, the Nominating Committee identifies at least one candidate for the general re-election meeting of the Association. Further nominations can be made by any member of the Association at the general re-election meeting, and if the recommended person accepts the nomination, he/she will be included in the list of candidates.

3        The officials of the Association will be elected at the general meeting. The election will be conducted by secret voting at the general meeting, in which the Association members present may participate. Those ordinary members are eligible for voting who have satisfied the requirements identified in Section IV of these By-Laws and whose membership has not been terminated on the basis of Section VI.

4        An ordinary member may also exercise his/her/its rights by a proxy. The proxy may not be a member of the Board of Directors or the SB, he/she may not hold a post identified in the By-Laws and may not be the auditor. This authorisation shall be certified in a public document or in a fully conclusive private document.

5        The general meeting appoints an election committee consisting of at least 3 members, who count the votes and announce the result. The voting shall be repeated until a person receives a simple majority of the members’ votes for each post.

During the voting, the general meeting first votes on the post of the President. After the election of the President, the presidential candidate(s) who had not been elected a President make a separate statement on whether they agree to being a member of the Board of Directors or to the filling of any other post.

If they agree to the nomination, they will be included in the list of candidates.

The ballots cast during the voting are counted by the election committee, and they retain the votes in a sealed envelope or box for a period of 90 days after the general meeting. In case any member of the Association contests the result of the voting before a  court, the ballots shall be retained until the legal process is completed with a legally binding result.

The handover of the posts is to be carried out within 30 days of the general meeting, and in case there is a change in the identity of the President and the Secretary, a handover/takeover protocol shall be drawn up.

6        Incompatibility rules applying to the officials of the Association:

For a period of two years after the liquidation of the public service organisation, a person may not be an official of the Association if he/she is the senior official of a public service organisation which pursues similar activities than the Association or if he/she has been the senior official of such a public service organisation -for not less than one year within a period of two years preceding its termination- which has not paid its public dues in accordance with the Taxation Act.

An official of the Association or a person nominated to be such an official shall inform on a preliminary basis all involved public service organisations that he/she has an identical post simultaneously with another public service organisation.

The following persons may not be the Chairman or member of the Supervisory Board or an auditor:

-   the President or a member of the Board of Directors,

-   a person who is in an employment relationship or a different legal relationship aimed at performing work other than that identified in his/her job contract with the Association, unless the statutory provisions specify otherwise,

-   a person who receives target-oriented benefits from the Association -other than the non-financial services which may be utilised by anybody without restrictions,

-   a relative of the persons identified in points a) –c).

The officials of the Association may be elected and re-elected for a period of three years.

If the person acting as the President resigns or dies prior to the end of his/her term, the Board of Directors is obliged to convene an extraordinary general meeting within 15 days for electing a new President.

In case other than the President’s post the posts of four members out of the members of the Board of Directors become vacant, the President and the Board of Directors, respectively, is obliged to make arrangements for convening an extraordinary general meeting again within 15 days.

In the case of an extraordinary general meeting -if this is necessary for restoring lawful and democratic operations- the setting up of a nominating committee can be omitted in the course of electing the new officials. In this case any member may nominate and be nominated.

 

Section IX

 

The tasks of the Board of Directors and the officials

 

1   The Board of Directors: this is the elected supreme decision making organisation of the Association in the period between two general meetings. The Board is entitled to make a decision in all issues that do not exclusively fall into the scope of the general meeting. The members of the Association’s Board of Directors are the President, the two Vice-Presidents, the Secretary, the Treasurer and the three Committee Presidents.

Besides the Board of Directors the Association has a permanent, nonelected official, the Secretary.

The Board of Directors makes its decisions -generally by open voting- with the simple majority of votes cast by the officials eligible for voting (President, 2 Vice-Presidents, Treasurer, 3 Committee Presidents). The Board of Directors has a meeting at least twice a year and these meetings are public. The meeting of the Board of Directors has a quorum, if more than one half of its members are present. In the case of a tie-vote, the President's vote shall decide.

In making the resolutions of the Board of Directors, those may not participate whose next-of-kin or spouse becomes exempt from an obligation or responsibility on the basis of the resolution or receives any other advantages or has any other interest in the legal transaction to be concluded. Within the framework of the target-oriented benefits granted by the Association, the following are not qualified as an advantage: a non-financial service that may be utilised by anyone without restrictions and a target-oriented benefit granted by the Association to a member, on the basis of the legal relationship of a member, by virtue of the deed of foundation.

Once the Board of Directors’ resolutions are made they shall be entered in the Book of Resolutions, which includes the time, substance and scope of the resolution, and the number of members supporting and rejecting the resolution. The resolutions are sent to the involved parties by the President in writing, within 8 working days of making the resolution. The President provides information to any member when requested to do so about the contents of the Book of Resolutions, and about the substance of documents related to operations -except for the decisions qualified as business secrets. The Board of Directors informs the members on the resolutions taken. This information is given at the general meeting, and also in an electronic and other ways.

The tasks of the Board of Directors primarily include the following:

-   preparing the general meetings of the Association

-   general management of the Association

-   decision making on accepting or deleting a member

-   decision making on expelling a member

-   submitting the annual working programme of the Association

-   submitting the annual budget of the Association

-   implementing the decisions of the general meeting

-   performing all tasks necessary for the legal operations of the Association, on the basis of the By-Laws and statutory provisions.

 

2  The President: conducts the general meetings of the Association and the meetings of the Board of Directors (in which the honorary member(s) may participate with a consultation right). Addresses the tasks related to the management of the Association, organises permanent and ad hoc committees and/or working groups for studying a problem or in order to elaborate an approach; represents the Association against third parties and before courts and other authorities. It is responsible for the assets of the Association and for observing statutory provisions related to public service organisations. It exercises employer’s rights over the employees of the Association. Implements those decisions and instructions of the Board of Directors and the general meeting, which are related to him/her.

3  The two Vice-Presidents are responsible -on the basis of a division of labour defined for them by the President- for the operative control of the Association’s trade related activities, for meeting the business conditions that support continuous operations, for organising the events and meetings, and for any related part-tasks. According to the division of labour established between them, in the absence of the President they perform the President’s tasks and substitute him/her.

4  The Secretary draws up the protocols of the Association’s general meetings and the Board of Directors’ meetings, handles the correspondence of the Association, makes arrangements about convening the meetings, and keeps up-to-date records of the members. He/she makes sure that the trade related database of the Association is updated, the possibility of access is ensured, and the administration organisation of the Association is well managed. He/she handles and registers the documents of the Association. He/she organises the preparation of the Board of Directors’ meetings and the working schedule of the Board of Directors.

5  The Treasurer is responsible for the regular nature of keeping books for the Association, and for the regular updating of the records related to the business operations. In not less than 15 days prior to the date of the general meeting, he/she is obliged to draw up a financial report. Furthermore, the Treasurer is responsible for the regular handling of the petty cash of the Association, in which context he/she handles the revenue and expense vouchers.

6  The Committee Presidents control the work of the three (Production and Energy, Water Management and Environmental Protection, Judicial and Authorisation) committees. They stay in contact with decision makers, concerned parties of their specialty and the HGA members interested. At least once a year they prepare a summary of the work of their committee that they send to the Board of Directors.

 

 

Section X

 

General meetings and other events

 

1    All members and other interested parties are invited to the general meetings and other events of the Association (trade presentations, celebrations, plant visits, etc.) by the President or on the basis of his/her instructions by the secretary, using the post and/or electronic mail or any other suitable means. An ordinary member may only be invited to the general meeting of the Association by an invitation sent by post. The agenda shall be attached to the invitation.

2  The extraordinary meetings of the Association or the Board of Directors to discuss important matters are convened by the President. The members must be invited to the annual general meeting and to the Board of Directors’ meetings in writing in all cases, and the agenda shall be attached to the invitation.

3  An extraordinary general meeting shall be convened by identifying the subject on the basis of the Board of Directors’ resolution at the proposal of the SB, or in case 20% of the members requests this in writing from the President of the Association. If the President does not meet this obligation within 15 days of dispatching the notice, the members (or their proxies) initiating the convening of the meeting are entitled to convene the general meeting.

4  The involved parties shall be notified in writing or electronically not less than ten (10) days before each general meeting or event, and information on the agenda shall be given in the case of a general meeting and a Board of Directors meeting.

5  A Court may also issue instructions on the convening of an extraordinary general meeting. At the general meetings, the decisions are made by open voting with a simple majority of votes, except for the election of the officials.

6  The general meetings are convened by the President of the Association at least once a year, by identifying the agenda. For a general meeting to have a quorum, more than one half (50%+1 person) of the ordinary members shall be present. If the general meeting does not have a quorum, a repeated general meeting may be convened after half an hour -but only with the agenda identified beforehand- which will have a quorum regardless of the number of people present, but the members shall be informed on this in the previous invitation.

7  The general meetings are public. The participants may contribute to the dispute. The registration of the members is carried out separately, and they at this time receive their card providing eligibility for voting (mandate). The card may not be transferred.

8  Prior to the start of the general meeting, any member may make a proposal on supplementing or amending the agenda featuring in the invitation or adding a new point to the agenda. If the initiative is approved by the general meeting with a simple majority of votes, the issue featuring in the proposal shall be included in the agenda. However, it is only possible to amend the By-Laws or to recall an elected official, if this is shown in the agenda attached to the invitation.

9  A person may not participate in taking a decision if he/she (or his/her next-of-kin or spouse) becomes exempt from an obligation or responsibility on the basis of the resolution or receives any other advantages or has any other interests tied to the legal transaction to be concluded.

10 The general meeting is conducted by the President of the Association, and if he/she is absent, then it is conducted by an Acting Chairman elected on site from the ordinary members.

11 Records shall be kept about the decisions of the general meetings. The records shall show the substance, time and scope of the decisions. In addition, the number of participants for and against the decision shall be identifiable.

12 The participants shall be informed verbally by the President (Acting Chairman) on the resolutions of the general meeting. Absent persons may learn about the decisions from the protocol of the general meeting or they will be informed in an announcement (or in any other suitable way) by the Board of Directors. (If an announcement is made, the resolutions shall be kept on the notice board for a period of 15 days after the holding of the general meeting).

13 Reports and protocols related to the activities of the Association are public, and they are published by the Association on its public home page, within 30 days of the date of the general meeting.

14 Any information, data or Board of Directors' decision representing a business secret of the Association may only be learnt by an ordinary member of the Association, provided that the member signs a separate confidentiality agreement.

 

 

 Section XI

 

Business management of the Association

 

The assets and legal receivables in the ownership or use of the Association are part of the HGA assets. The Association -in order to satisfy its business needs- may also perform contracting (servicing) activities.

The Association meets its business management needs from membership fees, grants, contributions of the sustaining members and its services or from subsidies won in competitions, within the framework identified in statutory provisions regarding the business management activities of social organisations.

A financial year starts every year on 1 January and ends on 31 December.

The Association’s current account has been opened by the first Board of Directors. Liquidation or opening of a new current account falls into the scope of the Board of Directors.

On behalf of the Association, the President has independent signing rights, except for having disposal over the bank account.

For concluding legal transactions of a value higher than one million forints, the previous approval of the Board of Directors is required.

Joint disposal over the Association’s bank account is held by the President or the Treasurer who sign in the first place, and by the Secretary or the Vice-Presidents who sign in the second place.

The Association is responsible for its debts with its own assets. Other than paying the membership fee, the members do not have a responsibility for settling the debt of the Association through the use of their own assets.

 

 

 Section XII

 

Control

 

1    The Supervisory Board is obliged to check on an ongoing basis, but always in the month prior to the year-end general meeting the finances of the Association (whether the economic conditions of continuous activities are met, and whether the assets are used purposefully), about which a report is submitted at the year-end general meeting. The Supervisory Board submits a report to the general meeting in writing with a statement of the organisation -by identifying any eventual contradictory comments.

2   Concerning the annual activities of the Association, the President draws up a written report on the basis of a report received from the Treasurer, and this will be submitted with the Board of Directors’ opinion -including any eventual contradictory comments- to the year-end general meeting. The business management of the Association and the annual work of the officials and the supervisory Board are qualified by the year-end general meeting. The qualification is to be identified in the protocol of the year-end general meeting.

3   It is the task of the Supervisory Board to check whether the Association operates lawfully and in line with the By-Laws and the budget. In the course of this activity, it may request a report from the officials, information from the employees of the organisation, and furthermore it may have access to and examine the books and documents of the Association.

The Supervisory Board defines its own code of practice.

The members of the Supervisory Board are HGA members, and therefore they have a voting right at the general meeting of the Association.

The Supervisory Board is obliged to initiate a convening of the general meeting (via the Board of Directors) if it learns that

a) during the operations of the Association, such a legal offence or such an event (failure) grossly violating the interests of the Association has taken place, the remedying or the elimination or mitigation of the consequences of which make it necessary to have a decision of the general meeting;

b)  a fact implying the responsibility of the officials has been revealed.

The general meeting must be convened at the initiative of the Supervisory Board -within thirty (30) days of this initiative. If the deadline passes unsuccessfully, the general meeting may be convened also by the Chairman of the Supervisory Board.

If the general meeting does not take the necessary measures for restoring lawful operations, the Supervisory Board is obliged to inform the regulatory organisation immediately.

 

 

 Section XIII

 

Amendment of the Association's By-Laws

 

1        These Association By-Laws may be validly modified by the simple majority of votes of the members who participate in the general meeting and have a mandate. The members shall be informed by dispatching an invitation including a draft amendment not less than ten (10) days prior to the envisaged date of the general meeting.

 

 

 Section XIV

 

Termination of the Association

 

1    The Association is terminated by division, fusion with another social organisation, liquidation or by a statement on terminating the operations.

2  In the general meeting's resolution stating the termination of the Association, instructions must be given about dividing the assets of the Association.

 

 

 Section XV

 

Closing and miscellaneous regulations

 

1        The Association carries out its activities by complying with and in the spirit of Act II of 1989 on Association Rights, and Act CLVI of 1997 on Public Service Organisations, therefore in any issues not regulated by the By-Laws, these regulations shall govern.

2        The By-Laws had been approved by the inaugural meeting of the Association on 5.10.1995, consequently

the date of founding the Association is

5 October 1995.

3        The HGA has been added to the list of social organisations by the Metropolitan Court (of Budapest) on the basis of Act II of 1989:   under the code number 7.Pk.61.316/95/2

4        The amended By-Laws had been approved by the Association at its general meeting on 9 April 2013, consequently these By-Laws are valid and authentic.

5        Hereby I declare that the consolidated text of the By Laws (Deed of Foundations) agrees to the By Laws' (Deed of Foundation's) content of legal force with all amendments.


 

Budapest, 9th April 2013