STATE TRUSTEES (STATE OWNED COMPANY) ACT 1994 - SECT 15 Government guarantee

STATE TRUSTEES (STATE OWNED COMPANY) ACT 1994 - SECT 15

    (1)     Subject to subsection (2), the due satisfaction of all sums required to discharge any liability of State Trustees incurred in respect of its management of estates arising from negligence, wilful default or fraud on the part of State Trustees or any of its officers, employees, servants or agents including, without limitation, the payment of expenses of enforcing or obtaining or endeavouring to enforce or obtain such satisfaction, is guaranteed by the Government of Victoria.

    (2)     Subsection (1) only applies—

        (a)     to the extent that—

              (i)     the proceeds under any contract of insurance entered into by or on behalf of State Trustees; and

              (ii)     the assets of State Trustees other than those held by State Trustees as trustee of any estate—

are not sufficient to satisfy the liability; and

        (b)     to a liability incurred at a time when State Trustees is a company of a kind in respect of which a declaration could be made under section 66 of the State Owned Enterprises Act 1992 .

    (3)     Any sums required to fulfil any liability arising under the guarantee provided in subsection (1) must be paid out of the Consolidated Fund (which is hereby to the necessary extent appropriated accordingly).

    (4)     The guarantee provided in subsection (1) may be enforced under Part II of the Crown Proceedings Act 1958 .

    (5)     The Treasurer may, after consultation with the board of directors of State Trustees, require State Trustees to pay a reasonable fee for the guarantee provided in subsection (1).

    (6)     Any sums received or recovered from State Trustees or otherwise in respect of any sums paid under the guarantee, and any fees received from State Trustees under subsection (5) must be paid into the Consolidated Fund.