STATE OWNED CORPORATIONS ACT 1989 - SECT 20U
Government guarantee
STATE OWNED CORPORATIONS ACT 1989 - SECT 20U
Government guarantee
20U Government guarantee
(1) The obligations of a statutory SOC or any of its subsidiaries are not
guaranteed by the State of New South Wales, except to the extent that the
board of the SOC and the voting shareholders agree in writing.
(2) Any
liability arising from an agreed guarantee is to be met out of the
Consolidated Fund, which is appropriated accordingly.
(3) The
voting shareholders may, after consultation with the board of the SOC, fix
charges to be paid by the SOC or any of its subsidiaries to the Treasurer in
respect of an agreed guarantee, either generally or in so far as it relates to
specified matters.
(4) Payments by the SOC or any of its subsidiaries to the
Treasurer in respect of any such charges are required to be made at such
times, and in such instalments, as the Treasurer determines.