GOLD CORPORATION ACT 1987 - SECT 22

GOLD CORPORATION ACT 1987 - SECT 22

22 .         Guarantee by Treasurer

        (1)         The payment of —

            (a)         the cash equivalent of gold due, payable and deliverable by Gold Corporation, the Mint or GoldCorp under this Act; and

            (b)         all moneys due and payable by Gold Corporation in respect of the exercise of the power to buy, borrow or otherwise acquire and to sell, lend or otherwise dispose of, deal in and hold Australian and foreign currency,

                is guaranteed by the Treasurer, in the name and on behalf of the Crown in right of the State.

        (2)         The term cash equivalent in subsection (1) means, in relation to any security in respect of which Gold Corporation, the Mint or GoldCorp is liable to deliver gold in the form of gold coin, the current market price in Australian currency of that gold coin calculated in accordance with any terms or conditions prescribed in relation to that security and in force at the time of issue of that security.

        (3)         Except in so far as subsection (1) has effect unconditionally, the Treasurer, in the name and on behalf of the Crown in right of the State, may guarantee the payment of moneys borrowed by Gold Corporation, the Mint or GoldCorp upon such terms and conditions, and in such manner, as the Treasurer may determine.

        (4)         Where a guarantee to which this section applies has effect —

            (a)         the due payment of moneys thereunder —

                  (i)         is by force of this Act a charge on the financial resources of the State; and

                  (ii)         shall be charged to the Consolidated Account, which to the extent necessary is hereby appropriated accordingly;

                and

            (b)         the account and the assets of Gold Corporation and its subsidiaries are jointly and severally charged with —

                  (i)         the due repayment to the Treasurer of any payment made by the Treasurer under paragraph (a); and

                  (ii)         the performance and observance of such covenants and conditions as the Treasurer may impose as a term or condition on the giving of that guarantee,

                and Gold Corporation and the subsidiaries shall give, or cause to be given, to the Treasurer such security as the Treasurer requires and execute all instruments necessary for that purpose.

        (5)         The Treasurer shall cause any amounts received or recovered in respect of any payment made by the Treasurer under a guarantee to which this section applies to be credited to the Consolidated Account.

        (6)         Except in so far as subsection (4)(b) applies, a guarantee under this section does not apply to or in relation to the obligations of any subsidiary of Gold Corporation other than the Mint and GoldCorp.

        [Section 22 inserted: No. 10 of 1990 s. 22; amended: No. 6 of 1993 s. 11; No. 49 of 1996 s. 64; No. 77 of 2006 s. 4.]