Approved Organizations and Authorities Loans, etc. Act

Link to law: http://www.moj.gov.jm/laws/approved-organizations-and-authorities-loans-etc-act
Published: 1948-07-29

APPROVED ORGANIZATIONS AND A UTHORITIES I
LOAN(G0VERNMENT G WARANTEE)

THE APPROVED ORGANI~ATIONS AND AUTHORITIES
LOANS(G0VERNMENT GUARANTEE) ACT

Cap.18.
Laws

34 of 1953,
37 of 1959.

Acts . .
48 of 1969.

[29th July, 1948.1 17 of 1970,
42 of 1979,

1. This Act may be cited as the Approved Organizations and short title
Authorities Loans (Government Guarantee) Act.

2.--41) Subject to the provisions of subsection (2). the
Minister may, with the prior approval of the House of
Representatives, guarantee-

(a) the repayment of the principal moneys and interest and
any other amounts payable under or upon any loan

- . raised by any organization or authority approved by the
Minister; and . +

(b) the 'performance of any obligation ancillary to the

Power to
guarantee
loans to
approved
organiza-
tions or
authorities.
1 711970
S.2.
4211979
S.2.

agreement to repay the principal moneys and interest
aforesaid.

and any gua.rantee given under this subsection may be signed by
any person authorized thereto in. writing by the Minister.

(2) No loan shall be guaranteed under subsection (1)- 3-4/1953
S.2.

(a) except for such time and upon such terms - and subject
., to such conditions. as the! House of Representatives may

approve; and ,;. . . . .. .
(b) unless the prdposal: for the. guarantee, when brought 3711959

before .the: H O U S ~ J ' ~ ~ ~epresentatives, is accompanied - s.2.
. .

by a statement setting out th'e total amount of all prin-
cipal moneys then ... remaining . . unpaid in respect of all
other loans . , : p~i,~ioiisly,so gvaranteed; . .

- [The, ihclusion of this :,page ' i s ' authorized by ,&N: 92C/2012] ' " ' '
. . : , .

Security for
loans guaran-
teed under this
Act.
481 1969
S.2.
421 1979
S. 3(a).

APPROVED ORGANIZATIONS AND A UTHORITIES
LOAN(G0 VERNMENT G WARANTEE)

(c) in respect of a public body, unless the guarantee is
consistent with the fiscal targets for total debt specified
in section 48C(l)(b) of the 'Financial Administration
and Audit Act.

(3) In this section and section 3, "public body" has the
meaning assigned to it by section 2 of the Public Bodies

,

Management and Accountubility Act;

3.-41) Notwithstanding anything to the contrary, where any
loan is guaranteed under this Act the repayment of any amounts
payable 'under or upon the loari so guaranteed shall; during the
continuance of such guarantee-

- i

(a ) be a first charge upon such revenues-and Lsets of the
borrower as shall be specified by& Minister;'or

(b) be secured in such other maker as the Minister may
arrange with the borrower and lender. .

, (2) Where*any loan is guaranteed under this Act-

(a) after the 30th of December, 1969, the borrower shall
pay to the Government as a commission such sum not
exceeding one percent of the amount borrowed, as the
Minister may determine; or ,-

(b) after the date of commencement of the Public Bodies
Management and Accountability(Amendment)Act, 201 1,
if the borrower is a public body, the borrower shall pay
to the Government as a commission such sum as may

, be prescribed by regulations made under section 24 of
the Public Bodies Management and Accountability Act.

(3) For the purposes of subsection ( 1 ) any amount pay:
able consequent. upon a failure to perform such obligation as is

. <
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APPROVED ORGANIZA TIONS AND A UTHORITIES
LOAN(GOVER~MENT GUARANTEE)

referred to in section 2(l)(b), shall be treated as if it were
principal moneys guaranteed under this Act.

4. Where the Minister is satisfied that there has been any
default in the repayment of any amounts guaranteed under the
provisions of this Act, the Minister shall direct the repayment
out of the Consolidated Fund and assets of Jamaica of the
amount in respect of which there has been such default.

5. Where the Minister gives any direction under section 4 and
the repayment of the amounts guaranteed under this Act is
secured in the manner specified-

~epayrnent
of amounts
guaranteed
in default.
481 1969 . , .

S. 3.
421 979
S.4.

Protection of
amount paid
under section
4.
48/1969
S.4.
42J1979
S.5.

(a) in paragraph (a) of subsection (1) of section 3, the
revenues and assets of the borrower specified in
accordance with the provisions of the said section 3
shall, upon the publication of such direction in the
Gazette, vest in the Commissioner of Lands where they
consist of land and in the Accountant General in any
other case, in trust for the Government until such time
as any sum paid out under the provisions of section 4
has been repaid to the Government; so, however, that 1711970
such vesting shall be without prejudice to and shall not S.3.

affect any obligations or liabilities or the rights and
privileges of any mortgagee or lender which attached to
or existed in relation to such revenues and assets
immediately prior to the publication of the direction
and which did not cease to exist upon the repayment
made under section 4;

(b) in paragraph (b) of the said subsection (I), the Minister
shall, upon the publication of such direction in the
Gazette, take such action as may be appropriate to
ensure repayment to the Government of any sum paid
out under the provisions of section 4.

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APPROVED ORGANIB TIONS AND AUTHORITIES
LOAN(G0VERNMENT GUARANTEE)

~ i n i s t e r may 6. where any loan is guaranteed under this Act the Minister
remit taxes.
duties and may, by order published in the Gazette, provide that any tax,
fees. duty or fee payable under the Income Tax Act or the Stamp
48"969 s. 5. Duty Act or the Registration of Titles ~ c t , or any other enact-

ment, shall be remitted where such remission is, in the opinion
of the Minister, necessary to give effect to aniterm upon which,
or any condition subject to which, such loan was so guaranteed.

[me inclusion of this page is airthorkd by LN. 92d2012]
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