1947-HKRS28-8-14_Part05 — Page 27

2

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Provision of

Ordinance

No. 7 of

1913,

applied.

Binking Fund in respect of

in London.

5. In so far as the loan hereby authorised or any part of it is raised in London it shall be raised under the provisions of the General Loan and Inscribed Stock Ordinance, 1918.

6. If the loan bereby authorised or any part of it shall be issued under the provisions of the General Loan and Jown ruined Inscribed Stock Ordinance, 1913, then the first half yeuty contribution to Sinking Fund, as contemplated by the provi- sions of Sections 14 and 28 of the sail Ordinance, shall be remitted in respect of any debentures or stock issued under this Ordinance not later than three years after the date on which the first half yearly payment of interest on such debentures or stock falls due,

Provision

where bon in Colony.

in painel

7. (1) If the loan hereby authorised or any part of is shall be raised in the Colony then the following provisida respect of the loan or any part of it raised in the Colony shafi apply.

(2) The sum to be produced may be raised by one' or more issues of bonds in recordance with the provisions of this Ordinance.

(8) The Governor shall in each bulf-year ending with the day on which the interest on the bonds falls due appropriate out of the general revenue and assets of the Colony a sum equal to one half-year's interest on the whole of the bonds outstanding in order that the interest for the said half-year may be paid therefrom.

(4) The interest on each bond shall be at the rate specified on such bond and shall run from the day named in that behalf on the bond, and shall be paid half yearly either at the head office of the Hong Kong and Shanghai Banking Corporation or at the office of the Chartered Bank of India, Australia and China in Hong Kong on the days named in that behalf on coupons attached to every bond for the payment of such interest.

(5) After the date specified in the prospectus of any loan issued under the terms of this Ordinance as that on which the contribution to a sinking fund shall commence, the Governor shall in each half year ending as aforesaid further appropriate out of the said general revenue and assets for the formation of a sinking fund a sum equal to one half of the annual contribution specified in the prospectus and the money so appropriated shall be remitted to the Crown Agents for the formation of a sinking fund and the Crown Agents as trustees shall invest the money so remitted to them in the purchase of such securities as may be approved by the Secretary of State as a sinking fund for the final extinction of the debt and shall also 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 Secretary of State clange any such investments and shall bold such fund in trust for the repayment of the principal moneys for the time being represented by the bonds:

Provided that 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 loan to be redeemed out of the proceeds of the sinking fund when the sume shall fall due to be redeemed the Governor may with

the approval of the Secretary of State suspend further pay- ment of contributions to the said sinking fund:

Provided further that contributions to the sinking fund shall be recommenced if the trustees shall at any time inform the Governor that it is necessary.

(6) In addition, the Governor may, at any time or times, authorise the utilisation of the sinking fund or of the appropriation for contribution to the sinking fund prescribed urider sub-section & hereof for the purchase of the bonds when they can be obtained at a price not exceeding par:

Provided that in the utilisation of such appropriation for the purchase of the bonds within the Colony the con- tribution remitted to the Crown Agents aliail be the balance, if any, of such appropriation not utilised for the purpose aforesaid.

(7) Every bond and coupon and the right to receive the principal and interest represented thereby shall be transferable by delivery.

8. The Governor shall have power......

(a) to determine the time for any issue and

redemption of bonds;

(b) to determine the amounts for which the bunds of any issue shall be issued and the rate of interest payable thereon;

(c) to determine the form of the bonds;

(d) to determine the terms upon which the bonds shall be issued; including power to determine the price of issue or the conditions of application and deposit or any other term whether or not of the same kind as the terms herein enumerated;

(e) to provide for the issue in the first instance of scrip certificates to be exchanged later for bands;

to provide for the issue of coupons for the pay-

ment of interest;

(g) to determine the days on which the half-yearly interest is to be payable;

(A) to give any other necessary directions for the purpose of carrying out this Ordinance and for the manage- ment of the loan, provided that such directions are not inconsistent with the provisions of this Ordinance.

Powers of Governor.

repurchase.

9. On the repayment of the principal moneys repre- Delivery up sented by any bond the bond shall, and on the repurchase of of bouds un any bond in accordance with the provisions of sub-section (6)yment or of section 7 the bond may, together in either case with alt outstanding coupons attached to such bond, be delivered up for cancellation either to the head office of the Hong Kong and Shanghai Banking Corporation or to the office of the Chartered Bank of India, Australia and China in Hong Kong.