GUARANTEE OF LOANS (TOURISM DEVELOPMENT) [CH.346 – 3

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CHAPTER 346

GUARANTEE OF LOANS (TOURISM DEVELOPMENT)

GUARANTEE OF LOANS (TOURISM DEVELOPMENT) REGULATIONS, 1998

(SECTION 20) [Commencement 1st October, 1998]

1. These Regulations may be cited as the Guarantee of Loans (Tourism Development) Regulations, 1998.

2. In these Regulations — “prime rate” means —

(a) the rate set by commercial banks in The Bahamas in conjunction with the Central Bank of The Bahamas for lending to prime customers; or

(b) where there is no such rate set, the rate charged by the Royal Bank of Canada for lending to its prime customers.

“project cost” includes working capital, the cost of any building, plant, furniture or equipment, stamp tax, legal and recording fees, insurance fees, interest on advances, premium fee and other costs, (excluding any administrative fee) related to the project in respect of which the loan is sought.

3. An approved lender who is prepared to make a guaranteed loan to a borrower shall submit to the Minister a copy of the borrower’s loan proposal in the form GLTD- 100, the application for a guaranteed loan in the form GLTD-200 and a Request for Undertaking-to-Guarantee in the form GLTD-300 specified in the First Schedule.

4. The rate of interest chargeable by an approved lender and payable by a borrower on any loan where the loan —

S.I. 60/1998

Citation.

Interpretation.

Submission of application.

Interest rate on guaranteed loan.

CH.346 – 4] GUARANTEE OF LOANS (TOURISM DEVELOPMENT)

STATUTE LAW OF THE BAHAMAS [Original Service 2001]

(a) is for a period of up to ten years the interest shall be at a rate not exceeding the prime rate plus two per centum;

(b) is for a period of more than ten years, the interest shall be at a rate not exceeding the prime rate plus two and one half per centum.

5. If the Minister approves the application with or without an amendment, an Undertaking-to-Guarantee shall be issued to the approved lender in the form GLTD — 400 specified in the First Schedule.

6. Where an application has been refused or withdrawn, the Minister shall return to the approved lender the application for a guaranteed loan referred to in regulation 3 and the loan proposal.

7. Where an approved lender has agreed to make a loan to a borrower for the commencement or expansion of an existing hotel resort or a new hotel resort, the business premises may be inspected by the Minister.

8. The approved lender shall be responsible for the investigation of the title of any property, the making of the loan, the taking of security therefor, and for all things reasonably necessary to protect the security, in accordance with normal mortgage practice.

9. If prior to granting a guaranteed loan, an approved lender discovers a defect in the title to the property used to secure the loan, he may request the approval of the Minister to accept such defect and the Minister may accept such defect if he is satisfied that the defect will not materially affect the realisation of the security.

10. An approved loan shall be made at not less than par by the approved lender to the borrower, and the borrower shall not be subjected to a charge in the nature of a discount or commission.

11. When the approved loan has been made to the borrower, the approved lender shall forward to the Minister a Request for a guaranteed loan policy in the form GLTD-500 specified in the First Schedule, together

Consideration of application by Minister.

Return of application and loan proposal.

Inspection of business premises.

Lender to search title.

Defects in title.

No discount of commission.

Request for issue of guaranteed loan policy.

GUARANTEE OF LOANS (TOURISM DEVELOPMENT) [CH.346 – 5

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with a remittance in the amount of the premium payment within ninety days after the last advance to the borrower by the approved lender, and except reasons are given in writing for any further delay, the undertaking-to-guarantee may be cancelled.

12. (1) On receipt of such form and fee as is mentioned in regulation 11, the Minister shall issue to the approved lender a guaranteed loan policy in the from GLTD-600 specified in the First Schedule.

(2) When the guaranteed loan policy has been issued by the Minister under paragraph (1), the approved lender may lodge the mortgage deed duly executed in connection with the approved loan with the Minister who shall thereupon stamp the same with an official stamp bearing the words “Guaranteed by the Government of the Commonwealth of The Bahamas” and return it to the approved lender.

13. The monthly instalment to be paid by the borrower shall be sufficient —

(a) to amortize the principal and interest of the approved loan in accordance with the terms and conditions of the loan;

(b) to provide an amount equal to one-twelfth of the annual charges in respect of the insurance required by section 9(g) of the Act.

14. Where during the term of a guaranteed loan, prepayment of the principal is made by the borrower, the approved Lender may waive the interest charges payable in lieu of any notice provided in the mortgage securing the guaranteed loan.

15. Except as provided in regulation 14, an approved lender shall not alter the terms of prepayment of a guaranteed loan without the prior written approval of the Minister nor permit any derogation in the rights of the approved lender against any mortgaged premises by way of postponement, partial discharge or otherwise without the approval of the Minister.

16. An approved lender shall not, without prior written approval of the Minister, release any collateral, security or personal covenant taken as further security for a guaranteed loan which was subject to the taking of such further security.

Issue of loan guaranteed loan policy.

Monthly instalment.

Prepayment of principal.

Term of prepayment not to be altered.

Collateral or security not to be released without approval of Minister.

CH.346 – 6] GUARANTEE OF LOANS (TOURISM DEVELOPMENT)

STATUTE LAW OF THE BAHAMAS [Original Service 2001]

17. (1) Within sixty days after the end of each quarter, March, June, September and December of each year, the approved lender shall deliver to the Minister a list of all loans administered by the approved lender for which a premium payment has been remitted to the Minister for that period and the amount outstanding in respect of each loan in Part I of form GLTD-700 specified in the First Schedule and a list of all loans thirty days or more past due in Part II of form GLTD-700 specified in the First Schedule.

(2) In addition to paragraph (1) within sixty days after the 31st day of December of each year, the approved lender shall deliver to the Minister a list of all guaranteed loans administered by the lender and the amount outstanding in respect of each loan.

18. In any case where the power of sale contained in a mortgage securing a guaranteed loan is exercised pursuant to section 18 of the Act and the property is sold at a price equal to or in excess of the amount of principal, interest and other charges outstanding, the approved lender shall forthwith —

(a) advise the Minister that any and all claims which the approved lender may have had under the said mortgage on premises or chattels have been fully paid and satisfied; and

(b) advise the Minister of the disposition of any excess proceeds from the sale.

19. In the event of the sale of the mortgaged property or chattels pursuant to section 18 of the Act, the approved lender shall forthwith submit a claim in the form GLTD-800 specified in the First Schedule for the difference between the sale price and settlement value of the property or chattels and the Minister shall, within sixty days of the receipt by him of such claim, pay to the approved lender the loan amount payable by him under the guaranteed loan.

20. A borrower’s charges shall be deemed to be approved if disbursed by an approved lender in accordance with the terms of the mortgage to safeguard the interest of the approved lender and the Minister, for insurance premiums for fire and other insurable risks as defined in

Notice of amount outstanding on loans.

Sale of mortgaged property.

Claim of difference between settlement and value and sale price.

Approval of disbursement of borrower’s charges.

GUARANTEE OF LOANS (TOURISM DEVELOPMENT) [CH.346 – 7

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the Second Schedule, for insurance premiums against death during the term of the loan, for taxes and other charges levied against the property which have priority over the mortgage, and for such other purposes and in such other amounts as may be approved in writing by the Minister.

FIRST SCHEDULE REGULATION GLTD-100 Borrower’s Loan Proposal 3 GLTD-200 Application for Guaranteed

Loan 3 GLTD-300 Request for Undertaking-to-

Guarantee 3 GLTD-400 Undertaking-to-Guarantee 5 GLTD-500 Request for Guaranteed Loan

Policy 11 GLTD-600 Guaranteed Loan Policy 12 GLTD-700 Quarterly Declaration of Credit

Balances 17 GLTD-800 Claim Form 19

GLTD-100 BORROWER’S LOAN PROPOSAL

THE GUARANTEE OF LOANS (TOURISM DEVELOPMENT) ACT, 1998

Approved Lender: ............................................................................ SECTION A APPROVED TERMS AND CONDITIONS OF LOAN

MONTHLY DEBT SERVICE Borrower’s Name .............................. Principal & Interest: $ ................... Loan Amount: $ Insurance — Life: ......................... Rate of Interest (Prime + %): ............................................................................ Insurance — Hazard: ........................................................................................... Period of Repayment: ........................ Premium Fee: $ .................................. Date of first payment: ........................ TOTAL MONTHLY

DEBT SERVICES:$ ==========

CH.346 – 8] GUARANTEE OF LOANS (TOURISM DEVELOPMENT)

STATUTE LAW OF THE BAHAMAS [Original Service 2001]

Special Conditions: .............................................................................................. .............................................................................................................................. .............................................................................................................................. .............................................................................................................................. ... SECTION B Legal Name of Business: ....................... .................................................................

Trade as: ............................. ..............................................

Business Telephone No.: ........................ Key Contact Person: ............................... .................................................................

Fax No: ................................ ..............................................

Business Address: .................................. .................................................................

Business Mailing Address: .. ..............................................

Business Structure: ................................. Sole Proprietorship .................................... Private Company

....... Partnership Association ........................ Co-operative

Date Business Established: .................................................................................. Gross Sales or Revenue Last Year: $ ................... Financial Year End: ......... Main Business Premises: .............................. Leased ............................. Owned If leased — Expiry Date of Lease: ............... Monthly Lease Amount: $ ........... If owned — Monthly Mortgage: $ ............... Mortgage Maturity Date: .............. SECTION C PERSONAL AFFAIRS STATEMENTS AS AT Main Bankers: ........................................... Branch: ...................................... Type of Accounts Conducted: ......... Current Account ....... Saving Account ..... Loan Facility ............ Loan Facility ........... Other (Explain) BALANCE SHEET INCOME STATEMENT ASSETS ANNUAL INCOME Land & Building(s) $......... Employment Income $............. $......... Spouse’s Income $............. $......... Interest & Dividends $............. $......... Rental Income $............. Child support/Alimony $............. Other Income (Bonus) $ Machinery & Equipment $ ............ TOTAL INCOME $............. $ ............ Motor Vehicles/Boats $ ............ $ ............

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ANNUAL EXPENSES Mortgage/Lease Payments $................ Cash: C/A, Savings $............... Property Taxes $................ Fixed Deposits $............... Vehicle Payments $................ Accounts Receivable

$............... Child Support/Alimony $................

Inventory $............... Credit Card Payments $................ Stocks & Bonds $............... Utility Payments $................ Other Assets $............... Tuition/Vacation $................ Expenses $................ Interest Payments on

Loans $................

Loans $................ Other payments $................ TOTAL ASSETS $............. TOTAL EXPENSES: $............. INCOME SURPLUS/

(DEFICIT) $............. LIABILITIES Overdraft Facilities $............... Bank Loans $............... Mortgage Loans $............... Property Taxes $............... Credit Card Debts $............... Other Debts $............... TOTAL LIABILITIES $............. NET WORTH $......................

SECTION D LOAN REQUIREMENTS

INVESTMENT ALLOCATION

LOAN AMOUNT

BORROWER’S CONTRIBUTIONS

THIRD PARTY CONTRIBUTIONS

TOTAL

DIRECT COST

PREMIUM PAYMENT

CONTINGENCY (%)

TOTAL

PERCENT

NOTES TO PROJECT COST: ........................................................................................

CH.346 – 10] GUARANTEE OF LOANS (TOURISM DEVELOPMENT)

STATUTE LAW OF THE BAHAMAS [Original Service 2001]

SECURITY VALUATION ASSETS MARKE-

T VALUE

SECURI- TY

VALUE

% USEFUL LIFE

LEGAL DES.

TOTAL

* KEY: First Mortgage: Second Mortgage: Chattel Mortgage: Debenture VALUATION VERIFIED ........ YES .............. NO

NOTES TO SECURITY: .................................................................................................. ............................................................................................................................................

ORGANISATION AND MANAGEMENT: .................................................................... ............................................................................................................................................ ...........................................................................................................................................

ECONOMIC IMPLICATIONS: Jobs Created ................................. Foreign Exchange Earnings ..........................

SECTION E(i)

STATEMENT OF PROFIT/LOSS

IMMEDIATE PAST YEARS PROJECTED YEARS YEAR 1 YEAR 2 YEAR 3 YEAR 1 YEAR 2 YEAR 3 INCOME Sales Cost of Sales Gross Profit EXPENSES Salaries & Wages Utilities Repairs/Maintenance Insurance (NIB/General)

Rent/Lease Travel/Transportation Professional Fees Advertising Loan Interest Other

GUARANTEE OF LOANS (TOURISM DEVELOPMENT) [CH.346 – 11

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IMMEDIATE PAST YEARS PROJECTED YEARS YEAR 1 YEAR 2 YEAR 3 YEAR 1 YEAR 2 YEAR 3 Depreciation Bad Debt/Expense

TOTAL EXPENSES NET PROFIT (LOSS)

SECTION E(ii) STATEMENT OF PROFIT/LOSS

IMMEDIATE PAST YEARS PROJECTED YEARS YEAR 1 YEAR 2 YEAR 3 YEAR 1 YEAR 2 YEAR 3 CASH FLOW 1. Operations

Net Profit Depreciation (Increase)/Decea se in Accounts Receivable

(Increase)/Decea se in Inventory

(Increase)/Decea se in Accounts Payable

Cash From Operations

2. Financing Bank Loan Proceeds/ Borrowings

Loan Repayment

Share Issue Proceeds

Dividends Retention/Pay ment

Cash From Financing 3. Investing

Asset Acquisition

Deposits & Other Assets

Cash From Investing NET CASH FLOW

CH.346 – 12] GUARANTEE OF LOANS (TOURISM DEVELOPMENT)

STATUTE LAW OF THE BAHAMAS [Original Service 2001]

BORROWER’S DECLARATION I/we hereby represent, warrant and confirm that all foregoing statements are true and correct and have been made by me/us knowing you will rely thereon in considering the above mentioned application. I/we authorise you to obtain any information you may require relative to this application form from my/our employer, if any, and from any other source to which you may apply, each source being hereby authorised by me/us to provide you with such information. I/we undertake to notify the Bank immediately of any situation which materially changes the representation of this application. Signature: ............................. Date: ......................................... Signature: ............................. Date: .........................................

GLTD-200 APPLICATION FOR A GUARANTEED LOAN

THE GUARANTEE OF LOANS (TOURISM DEVELOPMENT) ACT, 1998

Name of approved lender: ........................................................... Branch Office: ............................................................................. Under the terms of the above Act, we hereby apply for a Guarantee in respect of a credit facility of ......... Bahamian Dollars. Name of Borrower: ...................................................................... If a Company, Registered Office: ................................................ Telephone No. of Borrower: ........................................................ Address of Borrower: .................................................................. P.O. Box: ..................................................................................... 1. Nature of Establishment: Proprietorship ......................... Private Company ....................

Partnership Association .......... Co-operative ...........................

Name of Proprietors, Partners, Directors ...................................................................................................... ...................................................................................................... Nature of Business: ...................................................................... Date of establishment: ................................................................. Is borrower a new client: YES ......... NO .......... 2. Particulars of Loan to be guaranteed:

(i) Purpose of Loan: .............................................................

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(ii) Specific project cost for which loan is to be used: Working Capital ............. $ ............. Building/Plant ............. $ ............. Tools & Equipment ............. $ ............. Legal Fees, Recording and Stamping

............. $ .............

Insurance — Hazard ............. $ ............. Life ............. $ .............

Interest on Advance (UP TO ONE (1) YEAR)

............. $ .............

Premium fee ............. $ ............. Other related cost ............. $ .............

(iii) Terms of Loans: (a) Amount of loan:$ ...................................................... (b) Loan period: ...................... Monthly payments: ....... (c) Loan amount to be guaranteed as a percentage of

project cost: ............................................................... (d) Rate of Interest to be charged on Guaranteed Loan:

not exceeding ten years: ..................... % exceeding ten years: ......................%

3. Borrower’s other existing indebtedness: $ ............................ Monthly commitments: $.......................................................

4. Security Nature and value of security obtained: .................................. ................................................................................................ ................................................................................................

5. Approved Lender’s comments, if any: .................................. ................................................................................................ ................................................................................................

WE UNDERSTAND THAT THE TERMS AND CONDI- TIONS OF THE GUARANTEE OF LOANS (TOURISM DEVELOPMENT) ACT AND INSTRUCTIONS ISSUED THEREUNDER BY THE MINISTER FROM TIME TO TIME SHALL BE BINDING ON US AND THE TERMS THEREOF SHALL BE DEEMED TO BE PART OF THE GUARANTEE. WE UNDERTAKE TO GIVE PROMPT NOTIFICATION OF ANY CHANGES MADE FROM TIME TO TIME IN THE TERMS AND CONDITIONS COVERING THE CREDIT FACILITY. Authorized Signature: ............................................................ Date: ......................................................................................

CH.346 – 14] GUARANTEE OF LOANS (TOURISM DEVELOPMENT)

STATUTE LAW OF THE BAHAMAS [Original Service 2001]

GLTD-300 REQUEST FOR UNDERTAKING-TO-GUARANTEE

THE GUARANTEE OF LOANS (TOURISM DEVELOPMENT) ACT, 1998

Date: ............................................................. Undertaking-to-Guarantee No.:.................... Approved Lender’s Reference: .................... Guarantee No.:..................................................

To: Minister Guarantee of Loans (Small business)

From: ..................................................... Borrower’s Name(s): ................................................................... Borrower’s Address: .................................................................... We hereby request an Undertaking-to-Guarantee in respect of a loan for the startup/expansion of a tourism development project pursuant to the Guarantee of Loans (Tourism Development) Act. The following is enclosed:

1 copy of Borrower’s Loan Proposal Form GLTD-100 1 copy of Application Form GLTD-200

............................................... Approved Lender

GLTD-400 UNDERTAKING-TO-GUARANTEE

THE GUARANTEE OF LOANS (TOURISM DEVELOPMENT) ACT, 1998

To:.......................................... Approved Lender Date:.........................................

U.T.G. No.: .............................. Lender’s Reference: ................

Borrower’s Name(s): ................................................................... Borrower’s Address:.....................................................................

We hereby undertake to issue a guarantee in respect of a loan to the above-mentioned borrower in accordance with and subject to the Guarantee of Loans (Tourism Development) Act, as well as the Guarantee of Loans (Tourism Development) Regulations,

in the amount of $ .................................... plus premium fee $ ....................................

TOTAL $.....................................

GUARANTEE OF LOANS (TOURISM DEVELOPMENT) [CH.346 – 15

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The Monthly Debt Service based on: ....................... Year(s) amortisation is as follows:

Principal and interest at .... % $ .................................. monthly Insurance — Life $ .................................. monthly Insurance — Hazard $ .................................. monthly Other $ .................................. monthly

TOTAL $................................... The Lending value of security is:

Land $................................................. Building/Plant $................................................. Tool and Equipment $.................................................

TOTAL $................................................. The business is to be operational within .............. months of this date and the loan funds have been applied as specified in the Application of Loan Guarantee Form — GLSM-200. ..................................................

Minister responsible for Loan Guarantee Scheme

GLTD-500 REQUEST FOR GUARANTEED LOAN POLICY

THE GUARANTEE OF LOANS (TOURISM DEVELOP- MENT) ACT, 1998

To: Minister Guarantee of Loans (Tourism Development)

Date: ......................................

Approved Lender’s Reference: .............................. ................................................

From: ....................................... Undertaking-to- Guarantee No.: .......................

We hereby request a guaranteed loan policy in respect of the tourism development loan covered by the above-referenced Under- taking-to-Guarantee. The business has commenced/expanded, the loan disbursed and particulars are as follows: Borrower: ..................................................................................... Address of business: .................................................................... Security held: ............................................................................... ...................................................................................................... ......................................................................................................

CH.346 – 16] GUARANTEE OF LOANS (TOURISM DEVELOPMENT)

STATUTE LAW OF THE BAHAMAS [Original Service 2001]

Registration No. of Mortgage in Volume: ..... Pages ..... to ........ Registration Date: .......................................................... 19 ........ Amount of loan (including premium payment): $ ....................... Amount Guaranteed:..................................................................... Rate of Interest (Prime + Amortisation Period: Years: ............... Months: .................. Maturity Date: .................................. Title defects, if any: ...................................................................... ........................................................................................................ .......................................................................................................

Premium Payment in the amount of $............................... is enclosed. ..................................... ........................................

Approved Lender

GLTD-600 GUARANTEED LOAN POLICY

THE GUARANTEE OF LOANS (TOURISM DEVELOPMENT) ACT, 1998

The Minister responsible for Loan Guarantee Schemes (hereinafter called the Minister), pursuant to the Guarantee of Loans (Tourism Development) Act and its undertaking-to- guarantee no.____________________ dated ____________________19_________ , hereby guarantees _________________ (hereinafter called the approved lender) a loan made and secured as follows: Name of Borrower: ...................................................................... Address of Borrower: .................................................................. Purpose of Loan Guarantee: ........................................................ Property Description: ................................................................... Guaranteed Loan No.: .................................................................. Amount of Loan: .............. Interest Rate ................ % ................ Amount Guaranteed: .................................................................... Period of Guarantee: .......... years Maturity Date ............ 19....... Title Defects if any: ..................................................................... ...................................................................................................... ...................................................................................................... NOTE: In accordance with the terms and conditions of the

Fund you are asked to read carefully and take note of the following:

1. Premium: The liability to pay the premium shall be that of the APPROVED LENDER. The premium shall be payable in advance and shall be calculated at the rate of two per cent of the loan amount guaranteed.

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2. The Rate of Interest: The maximum rate of interest which the qualified borrower may be charged under the loan guarantee programme is in the case of loans –

not exceeding ten years — the prime rate plus two per centum; and exceeding ten years — the prime rate plus two and one half per centum.

3. Extensions, Restructuring: All applications for the extension, or restructuring of loan guarantees should be received by the Minister not later than 14 days prior to the intended date of extension or restructuring, and should be accompanied by a fee of two percent of any further charges.

4. Obligations of the approved lender: The approved lender shall as far as possible, ensure that the loan granted under the Guarantee of Loans (Tourism Development) Act is used for the intended purpose. The approved lender shall refer to the Minister for approval of any changes in the terms and conditions of a loan guaranteed under the Guarantee of Loans (Tourism Development) Act including any changes which may affect the security of terms of repayment. The approved lender shall submit such returns or furnish such information as the Minister may require in connection with any loan guaranteed under the Guarantee of Loans (Tourism Development) Act. The approved lender shall comply with any reasonable instructions given by the Minister for the purpose of administering the Guarantee of Loans (Tourism Development) Act.

5. Revocation and Termination: The Minister may take such action as is deemed fit and proper, including the revocation of the guarantee, if the approved lender fails to report without delay, all cases of misrepresentation of information and misuse of funds by the borrower.

6. Where it is drawn to the attention of the Minister that the borrower in respect of whom a loan is guaranteed under the Guarantee of Loans (Tourism Development) Act no longer fulfils the conditions of eligibility, the Minister may terminate the guarantee after giving reasonable notice to the approved lender.

7. Where the liability in respect of the loan guaranteed is assigned or conveyed without the approval of the Minister, the guarantee in respect of the loan guaranteed under the Guarantee of Loans (Tourism Development) Act shall be terminated from the date of such assignment or transfer, unless the Minister makes a declaration to the contrary in writing.

8. Special conditions (if any): The guaranteed loan extended to the qualified borrower is guaranteed by the Guarantee of Loans (Tourism Development) Act subject to the following conditions: ............................................................................. ................................................................................................ ................................................................................................

CH.346 – 18] GUARANTEE OF LOANS (TOURISM DEVELOPMENT)

STATUTE LAW OF THE BAHAMAS [Original Service 2001]

For clarification and details of any of the above-mentioned or other matters you are invited to contact the Minister at your earliest convenience.

GLTD-700

PART I QUARTERLY DECLARATION OF CREDIT BALANCES

THE GUARANTEE OF LOANS (TOURISM DEVELOPMENT) ACT, 1998

QUARTERLY DECLARATION OF CREDIT BALANCES

FOR THE QUARTER ENDING _______________ 19__________

Name of Borrower Loan Guarantee Policy #

Maximum Limit Loan Guarantee

Balance Outstanding At End of Quarter

GUARANTEE OF LOANS (TOURISM DEVELOPMENT) [CH.346 – 19

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PART II REPORT ON BORROWERS IN ARREARS/DEFAULT

THE GUARANTEE OF LOANS (TOURISM DEVELOPMENT) ACT, 1998

REPORT ON BORROWERS IN ARREARS/DEFAULT

Name of Borrower

Loan Guarantee

Policy Number

Maximum Limit of

Loan Guarantee

Maturity Date Days Past Due

Amount in Arrears

Outstandi- ng Balance

Recovery Efforts

TO: Minister P.O. Box Nassau, Bahamas Name of Approved Lender: ...........................

Branch Office: ...............................................

Authorized Signature: ...................................

Date: .............................................................. *Declarations must be submitted at the end of each quarter* (i.e. March, June, September, December)

GLTD-800 CLAIM FORM

THE GUARANTEE OF LOANS (TOURISM DEVELOPMENT) ACT, 1998

We hereby declare that on ............................................... we issued (Date)

a notice of demand (see copy attached) to ....................................... Name of Borrower

CH.346 – 20] GUARANTEE OF LOANS (TOURISM DEVELOPMENT)

STATUTE LAW OF THE BAHAMAS [Original Service 2001]

calling in the undermentioned loan guaranteed by the Guarantee of Loans (Tourism Development) Act. The qualified borrower is indebted to us in the amount of B$................. In accordance with the terms and conditions of the Guarantee of Loans (Tourism Development) Act we hereby submit a claim in the amount of B$ ........................ .

DETAILS OF CLAIM

1. Name and address of qualified borrower:.............................. 2. Loan guarantee number: ........................................................ 3. Period of guarantee: ............................................................... 4. Type of facility guaranteed: ................................................... 5. Initial amount guaranteed: ..................................................... 6. Amount of loan in default: .................................................... 7. Known or suspected reasons for default: ............................... 8. Description of security being held: ........................................ 9. Name(s) of other guarantors, if any: ...................................... 10. Amount of claim: ............................................................

Principal ................. Interest .................... Other .......................

.......................................... Approved Lender

................................... Authorised signature of Lender

Claim approved this .................... day of ................. 199 ............ ..........................

Minister

................................ Date

SECOND SCHEDULE (Regulation 20)

INSURABLE RISKS 1. Fire, lightning, thunderbolt, subterranean fire. 2. Explosion. 3. Riot, civil commotion, strikes, labour disturbances, malicious

mischief or vandalism.

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4. Aircraft and other aerial devices and/or articles dropped therefrom.

5. Bursting or overflowing of water tanks, apparatus or pipes (excluding damage caused thereto).

6. Theft. 7. Hurricane, cyclone, tornado or windstorm. 8. Earthquake and volcanic eruption. 9. Flood (including overflow of the sea). 10. Impact with any of the building by vehicles, horses or cattle

not belonging to or under the control of the insured or any member of his family.