1964_COMPANIES_ORDINANCE — Page 71

1984 Ed.]

Companies

CAP. 32

181

(b) the amount of any loan made by any other person to an officer of the company (whether or not he was an officer of the company at the time the loan was made) under a guarantee from or on a security provided by the subsidiary in respect of which the liability of the subsidiary has not been discharged before the beginning of the company's financial year, and

(i) the name of the officer;

(ii) the maximum liability of the subsidiary under the guarantee or in respect of the security both at the beginning and at the end of the financial year: and

(iii) any amount paid and any liability incurred by the subsidiary for the purpose of fulfilling the guarantee or discharging the security (including any loss incurred by the subsidiary by reason of the enforcement of the guarantee or security).

being a loan which either is made during the company's financial year or, if made before it, is outstanding at any time during that financial year.

(4.A

(5) This section shall not require the inclusion in accounts of particulars of any loan made by a company or a subsidiary thereof to an employee of the company or subsidiary, as the case may be, if the loan

(a) does not exceed $100,000 and is certified by the directors of the company or subsidiary, as the case may be, to have been made in accordance with any practice adopted or about to be adopted by the company or subsidiary with respect to loans to its employees; and

(b) is not a loan made by the company under a guarantee from or on a security provided by a subsidiary thereof or a loan made by a subsidiary of the company under a guarantee from or on a security provided by the company or any other subsidiary thereof.

(6) If in the case of any such accounts as aforesaid the requirements of this section are not complied with, it shall be the duty of the auditors of the company by whom the accounts are examined to include in their report thereon, so far as they are reasonably able to do so, a statement giving the required particulars.

(7) In this section "relevant loan" means any loan made to- (a) a person who, whether or not he was an officer of the company or a director of its holding company at the time the loan was made, is such an officer or director at any time during the financial year in respect of which the accounts are made up; or