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Section 14

Power to guarantee loans

of Loans and Loan Guarantees Ordinance, 1999

State OrdinanceIn forceProvision 14 of 25
Section 14

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(1)

The Government may, in relation to any loans raised by any body corporate to which this Ordinance has been declared to apply under section 12, guarantee the discharge by the body corporate of its obligations under any agreement which may be entered into in connection with the raising of the loans or under any bonds or other securities issued pursuant to the agreement; and the said guarantee shall be in such form and on such terms and subject to such conditions as may be agreed between the Government and the bank or financial source from which the loan is raised.

(2)

Any guarantee given under this section shall be given in writing in the name of the Government, and the guarantee and any endorsement on any bonds or other securities given under this section shall be approved by the Majlis Mesyuarat Kerajaan Negeri and may be signed on behalf of the Government by the Minister or State

Financial Secretary or any other public officer authorized by the

Minister.