General Local Loan Act

Link to law: http://laws.gov.ag/acts/chapters/cap-189.pdf
Published: 1951

General Local Loan (CAP. 189 1

CHAPTER 189

THEGENERALLOCAL LOAN ACT

Arrangement of Sections
Section

1. Short title.
2. Interpretation.
3. Scope.
4. Loans to be raised by debentures.
5. Loans to be a charge upon general revenue.
6. Borrowing upon debentures.
7. Amount of each debenture.
8. Debentures may be either fixed-date or drawing

debentures.
9. Debentures to be registered and transferable by instru-

ment in writing.
10. Register to be conclusive evidence of facts entered

therein.
11. Form of debenture.
12. Payment of interest.
13. Mode of providing for payment of interest on deben-

tures and for contribution to sinking fund.
14. Creation of sinking fund for redemption of debentures

payable on a fixed date.
15. Disposal of sinking fund when debentures are redeemed

by purchase of annual drawings.
16. Cessation of interest from day appointed for payment

of principal.
17. Redeemed debentures to be cancelled.
18. Expenses of redemption to be borne by sinking fund.

LAWS OF ANTIGUA AND BARBUDA

General Local Loan (CAP. 189 3

GENERALLOCALLOAN

(1st December, 195 1 .) 911951.
2011954.
1811989.

1. This Act may be cited as the General Local Loan Short title.
Act.

2. In this Act- Interpretation.

"prescribed" means prescribed by this Act or by any
rules or regulations made thereunder;

3. This Act shall be applicable only to loans raised Scope.
locally in Antigua and Barbuda.

4. Whenever by an Act authority shall have been IJ;: &be
given to the Governor-General to raise any sum of money debentures.
for the purposes mentioned in such Act the Governor-General
may from time to time as he may deem expedient raise such
sum or any part thereof by debentures issued under the pro-
visions of this Act.

5 . The principal monies and interest represented by Loans to be a
charge upon

such debentures are hereby charged upon and shall be revenue.
payable out of the general revenues and assets of Antigua
and Barbuda.

6. Such debentures shall be issued in Antigua and, Borrowing upon
debentures.

Barbuda upon the best and most favourable terms that can
be obtained and shall be signed by the Governor-General
and Accountant-General or by any other person or persons
thereto specially authorised by the Governor-General.

7. Each debenture may be for a sum of one hundred :=:;&: each
dollars, two hundred dollars, five hundred dollars, one thou-
sand dollars or five thousand dollars.

LAWS OF ANTIGUA AND BARBUDA

4 CAP. 189) General Local Loan

Debentures may
be either fixed- 8. The debentures shall be redeemable either-
date or drawing
debentures. (a) at par on a fixed date to be declared on the

issue of the debentures, such date not being later than
sixty years from the date of issue:

Provided that the Governor-General may reserve
the option to redeem the debentures prior to such date
on such conditions as may be declared at the time of
issue (such debentures being hereinafter referred to as
fured-date debentures); or

( b ) by annual drawings at par or at the option of
the Governor-General by purchase in the market as
hereinafter provided (such debentures being hereinafter
referred to as drawing debentures).

Debentures to be 9. Every debenture shall before being issued be
registered and
transferable by registered by the Accountant-General in a register to be kept
instrument in for that purpose at the office of the Accountant-General, and
writing.

the name and address of the holder of each debenture and
all transfers of debentures shall be noted in the register.
Debentures shall be transferable by instrument in writing
in such form and subject to such conditions as may be
prescribed by the Governor-General.

Register to be
conclusive

10. (1) The entries in the register kept under the pro-
evidence of facts visions of this Act, shall be conclusive evidence of the facts,
entered therein- matters, particulars and transactions to which these entries

relate.

(2) A copy of an entry in the register certified under
the hand of the Accountant-General to be a true copy of
the original entry shall be receivable in evidence in any
judicial proceedings unless a Judge of the High Court shall
otherwise direct.

Form of
debenture.

1 . Debentures shall be in such form as the Governor-
General may direct or approve.

Payment of 12. The interest upon the principal represented by
interest.

each debenture shall run from the day named in that behalf
in the debenture and shall be payable half-yearly on the days
named in that behalf in the debenture at the office of the

LAWS OF ANTIGUA AND BARBUDA

a General Local Loan (CAP. 189 5
t

% Accountant-General in such manner as may be prescribed

F by the Governor-General.

13. (1) So long as any of the debentures remain z!;d;fg for
outstanding the Governor-General shall in each half-year payment of
ending with the day on which the interest on the debenture interest on

debentures and
falls due appropriate out of the general revenues and assets for ,ont,ibution
of Antigua and Barbuda a sum equal to one half-year's to sinking fund-
interest on the whole of the debentures issued including any
which may have been redeemed.

(2) The Governor-General shall also in the half-year
ending on the date specified in the terms of issue of the loan
as that on which the first contribution to the sinking-fund
shall be taken and in each subsequent half-year appropriate
out of the said revenues and assets of Antigua and Barbuda
for the formation of a sinking fund an additional sum equal
to one-half of the annual contribution to be decided upon
by the Governor-General on the issue of the loan. Such
contribution shall be in respect of the total nominal amount
of all the debentures issued including any which may have
been redeemed.

(3) Debentures shall not be deemed to be outstanding
for the purposes of this Act by reason only that one or more
of the debentures have not been presented for payment on
the day appointed for payment and have in consequence not
been paid.

14. In the case of fixed-date debentures so much of :r~?~,":~ for
the monies appropriated as aforesaid as shall not be required redemption of
for the immediate payment of interest shall be remitted to : : ~ ~ ~ ~ ~ ~ a
the Crown Agents for the formation of a sinking fund and fixed date.
the CI own Agents shall place at interest or invest the money
so remitted to them in the purchase of such securities as may
be approved by the Governor-General as a sinking fund for
the final extinction of the debt and shall also place at interest
or invest the dividends interest or produce of such investments
in the ~urchase of like securities and may from time to time
with the approval of the Governor-General change any such
investments and shall hold such fund in trust for the repay-
ment of the principal monies for the time being represented
by the debentures:

LAWS OF ANTIGUA AND BARBUDA

CAP. 189) General Local Loan

Disposal of
sinking fund
when debentures
are redeemed by
purchase of
annual drawincs.

Provided that if at any time the trustees of the sinking
fund are satisfied that the value of the fund will be sufficient
with further accumulations of interest, but without further
payments of contributions to enable the debentures to be
redeemed out of the proceeds of the sinking fund when the
same shall fall due to be redeemed, the Governor-General
may suspend further payment of contributions to the said
sinking fund:

Provided further that contributions to the sinking fund
shall be recommenced if the trustees shall at any time inform
the Governor-General that it is necessary.

15. In the case of drawing debentures so much of the
monies appropriated as aforesaid as shall not be required
for the immediate payment of interest and the accumula-
tions thereon shall be held by the Accountant-General in trust
to apply them to the purchase of the debentures when they
can be obtained at a price not exceeding par and secondly
to the redemption of the debentures by means of annual draw-
ings in the manner following-

( a ) After the commencement of the contributions
to the sinking fund in respect of any loan, and so long
thereafter as any of the debentures remain outstanding,
the Governor-General shall, in every year, unless the
whole of the money applicable in that year to the
redemption of debentures has been applied in the pur-
chase thereof, appoint a day in that year for the draw-
ing by lot of the debentures to be redeemed.

( b ) If a day is appointed for drawing, the
Accountant-General shall give by advertisement in the
Gazette and in at least two of the local newspapers cir-
culating in Antigua and Barbuda not less than fifteen
days' previous notice, specifying the day on which, and
the hour and the place at which, the drawing will take
place.

(c) On the day and at the hour and place so
specified the Governor-General and the Accountant-
General or any other officers appointed by the Govenor-
General for the purpose shall hold a meeting at which
the holder of any debenture may, if he think fit, be pre-
sent, and shall then in the presence of such debenture
holders as may attend draw by lot, out of the whole

LAWS OF ANTIGUA AND BARBUDA

General Local Loan (CAP. 189 7

number of debentures for the time being outstanding,
debentures of the specified nominal amount.

(d) The Governor-General and the Accountant-
General or any other officers appointed as aforesaid,
shall thereupon declare the distinguishing numbers of
the debentures drawn for redemption, and the Account-
ant-General shall, as soon as may be, by advertisement
in the Gazette and at least one of the local newspapers
circulating in Antigua and Barbuda, specify those
numbers and appoint a day, not being later as to each
debenture than the day on which the then current half-
year's interest thereon is payable, on which the prin-
cipal monies represented by the debentures so
distinguished will be repaid. Notice of the debentures
drawn for redemption shall also be sent by post to the
registered holders of such debentures.

(e) From and after the day so appointed the
Accountant-General shall at his office, pay on demand
to the holders of the debentures drawn for repayment
the principal monies represented by these debentures,
with all interest payable thereon up to the appointed day.

16. From and after the day appointed for the repay- $:tt';rtL day
ment of any debenture, whether a fixed-date or a drawing appointed for
debenture, all interest on the principal monies represented :?&"p":l.of
thereby shall cease and determine, whether payment of the
principal shall have been demanded or not.

17. Upon repayment of the principal monies debentures Redeemed to be
re~resented bv anv debenture. such debenture shall be cancelled. z ,
delivered up to the Accountant-General to be by him cancell-
ed and retained. Any drawing debenture redeemed by pur-
chase shall likewise be so cancelled and retained.

18. All expenses of or incidental to the redemption redemption Expenses Of to be
of the debentures and the costs and expenses of all notices bmne by &king
required by this Act to be given may be paid out of the sinking fund.
fund.
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