6
CAP. 72]
General Loan and Stock.
[1964 Ed.
Borrowing upon stock.
(40 & 41 Vict. Cap. 59).
When the principal is to be repaid.
Mode of
providing for the payment of interest on stock.
Mode of providing for payment of principal of stock.
25. When the Governor, or the Crown Agents acting on his behalf, shall deem it expedient to raise money by the issue of Hong Kong stock, then such stock shall be issued in the United Kingdom by the Crown Agents under the provisions of the Act of the Imperial Parliament entitled "The Colonial Stock Act, 1877", upon the best and most favourable terms that can be obtained.
26. All the stock which may be created under the provisions of this Ordinance shall be redeemable at par on a date to be named in that behalf by the Crown Agents when issuing the stock, such date not being later than sixty years from the date of issue:
Provided that the Governor, or the Crown Agents acting on his behalf, may reserve the option to redeem the stock in whole or in part, by drawings or otherwise, at any time prior to such date on such conditions as may be declared at the time of issue. From and after the date appointed for the redemption of the stock or any part of it all the interest on the principal moneys represented thereby shall cease and determine, whether payment of the principal shall have been demanded or not.
27. So long as any of the stock shall remain unredeemed, the Governor shall, in each half-year ending with the day on which the interest on such stock falls due, appropriate out of the general revenues and assets of the Colony of Hong Kong a sum equal to one half-year's interest on the whole of such stock, and shall remit that sum to the Crown Agents at such time as will enable them to pay thereout the then current half-year's interest on the day when it falls due.
28. (1) The Governor shall, 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 the Colony of Hong Kong for the formation of a sinking fund an additional sum equal to one half of the annual contribution specified in the prospectus or, in the case of a loan not issued publicly, in the terms of issue relating to the loan, in respect of the total nominal amount of such stock including any such stock which may at any time have been issued in exchange for debentures under the authority of this Ordinance, and shall remit the sum to the Crown Agents with the remittance hereinbefore mentioned.
(2) Notwithstanding anything to the contrary contained in subsection (1) if at any time the trustees of the sinking fund of any loan issued under the provisions of this Ordinance are satisfied that the value of the fund will be sufficient with further accumulations of interest but without further payment of contributions to enable the loan to be redeemed out of the proceeds