Commonwealth Numbered Acts

EXPORT FINANCE AND INSURANCE CORPORATION ACT 1974 No. 122 of 1974 - SECT 35

35. (1) Subject to sub-section (2), where-

   (a)  an application is made to the Corporation for the giving of a
        guarantee of a kind referred to in section 34; and

   (b)  the proposed guarantee would impose upon the Corporation a liability
        that the Corporation is not authorized to undertake, or would not
        undertake in the ordinary course of business, the Board may refer the
        application to the Minister for consideration under sub-section (3).

(2) The Minister may give directions to the Board with respect to the
circumstances or cases in which applications are, or are not, to be referred
to him under sub-section (1), and the Board shall comply with any such
direction.

(3) Where, in relation to an application referred to the Minister under
sub-section (1), the Minister is of opinion that it is in the national
interest that the Corporation should give a guarantee in respect of the matter
the subject of the application, the Minister may, by writing under his hand,
approve the giving by the Corporation of such a guarantee.

(4) An approval under sub-section (3) may contain conditions or directions in
relation to the proposed guarantee (including conditions or directions with
respect to the amount to be charged by the Corporation for the giving of the
guarantee or the percentage of the relevant loan to which the guarantee is to
extend).

(5) Where an approval is given under sub-section (3), the Corporation is
empowered, notwithstanding anything contained in section 11, to give a
guarantee in accordance with the approval and, unless the approval is revoked,
shall not decline to do so.

(6) The Board may, before the Corporation gives a guarantee in accordance with
an approval given under sub-section (3), inform the Minister, by notice in
writing, that the Corporation will bear such proportion of the liability of
the Corporation under the guarantee as is specified in the notice.

(7) Where a guarantee is given in accordance with an approval under
sub-section (3), the Minister shall notify the fact in the Gazette together
with particulars of the nature and extent of the liability under the
guarantee.