Local Public Loans Act

Link to law: http://www.belizelaw.org/web/lawadmin/PDF%20files/cap080.pdf
Published: 2000

CAP. 80 LOCAL PUBLIC LOANS ACT BELIZE

LOCAL PUBLIC LOANS ACT

CHAPTER 80

REVISED EDITION 2000

SHOWING THE LAW AS AT 31ST DECEMBER, 2000

This is a revised edition of the law, prepared by the Law Revision Commissioner

under the authority of the Law Revision Act, Chapter 3 of the Laws of Belize,

Revised Edition1980 - 1990.

This edition contains a consolidation of the following laws- Page

ARRANGEMENT OF SECTIONS 3

LOCAL PUBLIC LOANS ACT 4

Amendments in force as at 31st December, 2000.

BELIZE

LOCAL PUBLIC LOANS ACT

CHAPTER 80

REVISED EDITION 2000

SHOWING THE LAW AS AT 31ST DECEMBER, 2000

This is a revised edition of the law, prepared by the Law Revision Commissioner

under the authority of the Law Revision Act, Chapter 3 of the Laws of Belize,

Revised Edition1980 - 1990.

This edition contains a consolidation of the following laws- Page

ARRANGEMENT OF SECTIONS 3

LOCAL PUBLIC LOANS ACT 4

Amendments in force as at 31st December, 2000.

Local Public Loans

THE SUBSTANTIVE LAWS OF BELIZE REVISED EDITION 2000

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Belmopan, by the authority of

the Government of Belize. [ ]

[CAP. 80

CHAPTER 80

LOCAL PUBLIC LOANS

ARRANGEMENT OF SECTIONS

1. Short title.

2. Interpretation.

3. Scope.

4. Loans to be raised by debentures.

5. Loans to be a charge upon Consolidated Revenue Fund.

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 instrument in

writing.

10. Form of debentures.

11. Payment of interest.

12. Mode of providing for payment of interest on debentures and for

contributions to sinking fund.

13. Creation of sinking fund for redemption of debentures payable on

a fixed date.

14. Disposal of sinking fund when debentures are redeemed by

purchase or by annual drawings.

15. Cesser of interest from day appointed for payment of principal.

16. Redeemed debentures to be cancelled.

17. Expenses of redemption to be borne by sinking fund.

Local Public Loans

THE SUBSTANTIVE LAWS OF BELIZE REVISED EDITION 2000

Printed by the Government Printer,

No. 1 Power Lane,

Belmopan, by the authority of

the Government of Belize.

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CAP. 80]

CHAPTER 80

LOCAL PUBLIC LOANS

[26th February, 1949]

1. This Act may be cited as the Local Public Loans Act.

2. In this Act “register” includes any book kept by the Accountant Gen-

eral under the provisions of this Act.

3. This Act shall be applicable only to loans raised in Belize.

4. Whenever by an Act authority is given to the Minister to raise any sum

of money for the purposes mentioned in the Act, the Minister may from time to

time, as he may deem expedient, raise such sum or any part thereof by deben-

tures issued under the provisions of this Act.

5. The principal monies and interest represented by the debentures are

hereby charged upon and shall be payable out of the Consolidated Revenue

Fund and assets of Belize.

6. The debentures shall be issued in Belize upon the best and most favourable

terms that can be obtained and shall be signed by the persons holding the of-

fices of Financial Secretary and Accountant General for the time being, or by

any other person or persons thereto specially authorised by the Minister.

7. Each debenture may be for a sum of ten dollars, fifteen dollars, twenty

dollars, twenty-five dollars, fifty dollars, one hundred dollars, five hundred dol-

lars, two thousand dollars, or five thousand dollars.

Ch. 51,

R.L., 1958.

CAP. 62,

R.E. 1980-1990.

38 of 1963.

40 of 1963.

21 of 1972.

S.I. 44 of 1966.

Short title.

Interpretation.

Scope.

Loans to be

raised by

debentures.

Loans to be a

charge upon

Consolidated

Revenue

Fund.

38 of 1963.

40 of 1963.

Amount of

each deben-

ture.

21 of 1972.

40 of 1963.

Borrowing upon

debentures.

Local Public Loans

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8. The debentures shall be redeemable either-

(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 Minister may reserve the option to redeem the de-

bentures prior to such date on such conditions as may be declared at the time

of issue (such debentures being hereinafter referred to as fixed-date deben-

tures); or

(b) by annual drawings at par or at the option of the Minister by

purchase in the market as provided in section 14 (such deben-

tures being referred to as drawing debentures).

9.-(1) Every debenture shall before being issued be registered by the Ac-

countant General in a register to be kept for that purpose at the office of the

Accountant General, and the name and address of the holder of each deben-

ture and all transfers of debentures shall be noted in the register.

(2) Debentures shall be transferable by instrument in writing in such form

and subject to such conditions as may be prescribed by the Minister.

10. Debentures shall be in such form as may be prescribed by the Minis-

ter.

11. The interest upon the principal represented by 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

Accountant General in such manner as may be prescribed by the Minister.

Debentures

may be

either fixed-

date or

drawing

debentures.

40 of 1963.

Debentures to

be registered

and transfer-

able by

instrument in

writing.

38 of 1963.

Form of

debentures.

Payment of

interest.

Local Public Loans

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12.-(1) So long as any of the debentures remain outstanding the Minister shall,

in each half-year ending with the day on which the interest on the debentures

falls due, appropriate out of the Consolidated Revenue Fund and assets of

Belize a sum equal to one half-year’s interest on the whole of the debentures

issued, including any which may have been redeemed.

(2) The Minister 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

Consolidated Revenue Fund and assets of Belize for the formation of a sinking

fund an additional sum equal to one-half of the annual contribution to be de-

cided upon by the Minister on the issue of the loan.

(3) The contribution shall be in respect of the total nominal amount of all

the debentures issued, including any which may have been redeemed.

(4) 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 conse-

quence, not been paid.

13.-(1) In the case of fixed-date debentures, so much of the monies appropri-

ated under section 12 as shall not be required for the immediate payment of

interest shall be remitted to the Crown Agents for the formation of a sinking

fund, and the Crown Agents shall place at interest or invest the money so remit-

ted to them in the purchase of such securities as may be approved by the Min-

ister 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

purchase of like securities, and may from time to time, with the approval of the

Minister, change any such investments, and shall hold the fund in trust for the

repayment of the principal monies for the time being represented by the

debentures.

Mode of

providing for

payment of

interest on

debentures

and for

contributions

to sinking

fund.

40 of 1963.

Creation of

sinking fund

for redemption

of debentures

payable on a

fixed date.

Local Public Loans

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(2) 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 Minister may, with the approval of the National Assembly, sus-

pend further payment of contributions to the sinking fund:

Provided that contributions to the sinking fund shall be recommenced

if the trustees shall at any time inform the Minister that it is necessary.

14. In the case of drawing debentures, so much of the monies appropri-

ated under section 12 as shall not be required for the immediate payment of

interest and the accumulations thereon shall be held by the Accountant Gen-

eral 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 drawings 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 Minister shall, in

every year, unless the whole of the money applicable in that

year to the redemption of debentures has been applied in the

purchase thereof, appoint a day in that year for the drawing

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 any local

newspaper circulating in Belize, not less than fifteen days’

previous notice, specifying the day on which, and the hour

and place at which, the drawing will take place;

(c) on the day and at the hour and place so specified the Financial

.

40 of 1963

Disposal of

sinking fund

when debentures

are redeemed by

purchase or by

annual drawings.

38 of 1963.

40 of 1963.

Local Public Loans

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Secretary and Accountant General or any other officers

appointed by the Minister for the purpose shall hold a meeting

at which the holder of any debenture may, if he thinks fit, be

present, and shall then in the presence of such debenture

holders as may attend, draw by lot, out of the whole number of

debentures for the time being outstanding, debentures of the

specified nominal amount;

(d) the Financial Secretary and Accountant General or any other

officers appointed under paragraph (c), shall thereupon declare

the distinguishing numbers of the debentures drawn for redemp

tion, and the Accountant General shall as soon as may be by

advertisement in the Gazette and in any local newspaper

circulating in Belize, 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, and on

which the principal monies represented by the debentures so

distinguished will be repaid;

(e) notice of the debentures drawn for redemption shall also be

sent by post to the registered holders of such debentures; and

(f) from and after the day so appointed the Accountant General

shall, at his office, pay on demand to the holders of the deben

tures drawn for repayment the principal monies represented by

those debentures, with all interest payable thereon up to the

appointed day.

15. From and after the day appointed for the repayment of any debenture,

whether a fixed-date or a drawing debenture, all interest on the principal mon-

ies represented thereby shall cease and determine whether payment of the

principal shall have been demanded or not.

Cesser of

interest from

day appointed

for payment of

principal.

Local Public Loans

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16.-(1) Upon the repayment of the principal monies represented by any

debenture, such debenture shall be delivered up to the Accountant General to

be by him cancelled and retained.

(2) Any drawing debenture redeemed by purchase shall likewise be so

cancelled and retained.

17. All expenses of or incidental to the redemption of the debentures

and the costs and expenses of all notices required by this Act to be given

may be paid out of the sinking fund.

Expenses of

redemption to

be borne by

sinking fund.

Redeemed

debentures to be

cancelled.
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