Agricultural Credit Act, 1927
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Issue of Certificates of Charge by the Corporation. |
15.—(1) The Memorandum and Articles of Association of the Corporation shall be so framed as to authorise the Corporation to borrow money on the security of certificates of charge issued by it and shall contain in relation to the issue of such certificates the provisions set forth in the Schedule to this Act or other provisions to the same effect and may also contain such further provisions (not inconsistent with the said provisions set forth in the said Schedule) in relation to the issue of such certificates as may be thought necessary or proper. | |
(2) Whenever the Corporation proposes to issue a series of certificates of charge and the Minister is satisfied as a result of such inquiry, audit, and investigation as he may think proper to make that all conditions precedent to the issue of such series of certificates have been duly performed the Minister may, subject to the limitations hereinafter mentioned, guarantee in such form and manner as he may think proper the due payment by the Corporation in accordance with the terms of such certificates of the principal moneys and the interest thereon secured by such certificates. | ||
(3) The total amount borrowed by the Corporation on the security of certificates of charge guaranteed by the Minister under this section in any one year shall not exceed one million pounds and the total amount owing at any one time by the Corporation on the security of certificates of charge guaranteed by the Minister under this section shall not exceed seven million five hundred thousand pounds. | ||
(4) Section 93 of the Companies (Consolidation) Act, 1908 , shall apply to certificates of charge issued by the Corporation as if such certificates were debentures and for the purpose of such application but no other purpose a series of certificates of charge shall be deemed to be a series of debentures. | ||
(5) A trustee may, unless expressly forbidden by the instrument (if any) creating the trust, invest any trust funds in his hands, whether at the time in a state of investment or not, in any certificate of charge guaranteed by the Minister under this section. |