1964_TATE_S_CAIRN_TUNNEL_ORDINANCE — Page 25

24

CAP. 393]

Tate's Cairn Tunnel

[1988 Ed.

-

(a) the commencement of the voluntary winding up of the Company, otherwise than for the purposes of an assignment in accordance with section 6, at any time prior to the discharge date;

(b) the making of a winding up order in respect of the Company prior to the discharge date;

(c) the revocation of the franchise under section 47(4)(b); or

(d) on the expiration of the period specified in section 4(2),

whichever event first occurs.

(2) Upon the determination of the rights and obligations of the Company under this section the assets of the Company shall vest in the Government.

Liability of the Company and amount payable by the Government on the vesting in it of its assets

49. (1) On the determination of the rights and obligations of the Company under section 48(1), the Company shall thereupon be liable, in addition to the payment of all other sums due to the Government, to pay-

(a) all sums payable under the project agreement; and (b) any expenses which may be incurred by the Government-

(i) in putting any land and any incomplete construction works in a satisfactory order to enable the construction works either to be maintained in a state in which they can be continued at a future time or abandoned as the Director may determine, including any costs of land restoration; and

(ii) in putting the construction works in a safe condition.

(2) Subject to subsection (4) and section 50 on the determination of the rights and obligations of the Company under section 48(1), the Government shall be liable to pay to the Company in respect of the assets of the Company vesting in the Government under section 48(2) such amount as may be agreed between the Government and the Company as representing the value of such assets to the Government at the time of vesting or, in default of such agreement, such amount as may be determined by arbitration under the Arbitration Ordinance (Cap. 341).

(3) In determining the value for the purposes of subsection (2) where the vesting of the assets in the Government is in consequence of a default, there shall be deducted from what would, but for this subsection, be the value of the assets, such amount as may be agreed or determined in accordance with the provisions of that subsection for-

(a) damages occasioned to the Government by such default calculated on the basis that the construction works had been, or are to be, constructed, for the beneficial use of the Government and that the Government is the franchise holder under Part II:

(b) the costs to the Government of obtaining the forfeiture of the franchise under this Part.

Page 25

Page 26