Section 43
Loans by Government
of Local Authorities Ordinance, 1996
—
Subject to any other written laws, the Government may, out of its revenue or other moneys as may from time to time be set aside or appropriated for the purpose, grant loans to any local authority at such rates of interest and on such terms and conditions to be observed by the local authority obtaining such loan, in addition to those prescribed bylaw, as it shall think fit to impose.
(2)
Where a local authority is unable to pay any money due in respect of any loan granted under this section, the Government may, at any time after the expiry of sixty days from the date on which such money becomes due and payable, order that a rate or rates of such amounts as it may fix be made and levied upon all rateable holdings within the local authority area and such rate so ordered shall have the same incidence as any rate imposed by the local authority and may be enforced in like manner and the proceeds thereof shall be paid into the
Consolidated Fund of the State.
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(3)
Every loan granted under this section shall, subject to any prior charge, be a first charge upon the revenues and assets of the local authority obtaining such loan.