The Sligo Lighting and Electric Power Act, 1924
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Borrowing owers. |
16.—(1) The Company may raise for the purposes of this Act at their option either by borrowing on mortgage of the undertaking or by the creation and issue of debentures or debenture stock or wholly or partially by any of those modes any sum or sums not exceeding in the whole twenty thousand pounds. | |
(2) The Company may create and issue debenture stock subject to the provisions of Part III. of the Companies Clauses Act 1863 . | ||
(3) The sanction of the general Meeting of the Company shall be required for the exercise of any power of borrowing conferred by this Act. | ||
(4) The powers of borrowing conferred by this Act are in substitution for the powers in that behalf conferred by the existing Acts and Sections sixteen and seventeen of the Act of 1855 and subsection (2) of Section nine and Sections twenty-one and twenty-two of the Order of 1893 are hereby repealed as from the passing of this Act. | ||
(5) All moneys raised under this Act shall be applied only to purposes to which capital is properly applicable Provided that the Company may charge to capital account the interest accruing during the period by this Act limited for the completion of the works by this Act authorised or such less period as the Directors may determine on all or any moneys borrowed or moneys raised by the issue of debentures or debenture stock created and issued under the powers of this Act for the purpose of providing funds for the construction of the works by this Act authorised or other purposes to or on which capital may under the provisions of this Act be applied or expended. | ||
(6) The Company may create a Sinking Fund to provide for the redemption or payment off of all or any of the securities of the Company issued under the provisions of this Act and may apply such portion of the profits of the undertaking in any year as the Company shall determine towards the establishment maintenance or augmentation of such Sinking Fund and may from time to time apply such Sinking Fund or any part thereof or any part of the profits of the undertaking in any year in payment of moneys borrowed by the Company or in the purchase of any securities of the Company issued under the provisions of this Act. Any securities so purchased shall immediately after the purchase thereof be cancelled and shall thenceforth be and be taken to be extinguished and the Directors shall cause the same to be duly noted as so cancelled and extinguished in the books of the Company. No such security so purchased otherwise than in the open market shall be purchased at a price exceeding the price as recorded in the Company's books at which the last transaction in the same class of security has taken place and the Company shall not reissue any security which shall have been cancelled under the provisions of this subsection. |