Victorian Consolidated Legislation

Mildura Irrigation and Water Trusts Act 1969 - SECT 13

New sections 126 and 126A substituted in Principal Act

13. New sections 126 and 126A substituted in Principal Act

For section 126 of the Principal Act there shall be substituted the following
sections-

"126. Power of Trusts to borrow

(1) Subject to the provisions of this Act and for the purposes for which the
Trust was constituted the Trust may with the consent of the Governor in
Council borrow money upon the security of moneys payable to the Trust for
water and upon the security of the rates leviable under this Act in the
district over which the Trust exercises authority by granting a mortgage of
the general fund of the Trust or by issuing debentures.

(2) All mortgagees and holders of debentures shall in proportion to the sums
secured by their respective mortgages and debentures be creditors on the
general fund of the Trust equally one with another without any preference in
respect of the priority of advancing moneys or of the dates of the mortgages
or debentures.

(3) Any trustee unless expressly forbidden by the instrument (if any) creating
the trust may invest any trust funds in his hands upon the security of
mortgage granted under this Act or in debentures issued under this Act.

(4) Mortgages granted and debentures issued under this Act shall be a lawful
investment for any moneys which any company or body incorporated by or under
any Act of the Parliament of Victoria is authorized or directed to invest in
addition to any other investments expressly prescribed for the investment of
such moneys.

(5) The Trust shall not without the consent of the Minister borrow moneys by
means of mortgage or debentures so long as it has any moneys outstanding in
respect of any advance by way of loan out of the Loan Fund.
126A. Advances from the Loan Fund
The Treasurer of Victoria may from time to time make advances by way of loan
out of the Loan Fund to the Trust on account of any amount which may pursuant
to the provisions of any Act for the time being in force be issued and applied
from the Loan Fund for the works and purposes of the Trust.".