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more parts, as the Corporation may determine. The price agreed upon
for the Loan is 90 per cent. of the nominal value and any loss
or profit in selling these Bonds to the public shall be borne by or go
to the Corporation. The interest on the Bonds shall be at the rate
of five per cent. per annum on their nominal value, and be payable
half-yearly.
Subject to Article 22 the duration of the Loan is fixed at fifty
years commencing from the date of the ratification of this Agreement
but no interest will be paid on any Bonds which may be redeemed or
cancelled under the terms hereinafter mentioned after the redemption
or cancellation thereof.
On the face of each of these Bonds shall be expressed the value
thereof in the sum of £100, or in such different amounts as the
Chinese Minister in London in consultation with the Corporation
may sanction.
ARTICLE 2.
The proceeds of the Loan are to be used in the construction
and equipment of the Railway and in paying interest on the Loan
during the course of construction.
The construction and equipment of the Railway shall be carried
out by and under the directions of the Railway Administration with
the aid of the Corporation who shall give its superintendence and
services as herein provided and to the intent that the same shall be
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