Section 24
Power to make loans to officers and servants
of Penang Port Commission Act 1955
The Commission may make loans to officers or servants of the Commission for the purpose of buying freehold land or land held under statutory grant or leasehold land held for a term whereof not less than sixty years shall be unexpired at the date of the purchase together with any dwelling-house erected thereon, or for the purpose of buying any such land and erecting a dwelling-house thereon.
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(2)
Any loan made under subsection (1) shall not exceed the full value of the land and dwelling-house erected or to be erected thereon and shall be repayable on such terms as the Commission may determine:
Provided that the full amount of every such loan shall be repayable within a period to be prescribed by the Commission from the date on which the loan is made and every such loan shall, except as hereinafter provided, be secured by a first legal mortgage of the land and dwelling-house erected or to be erected thereon.
(3)
The Commission may guarantee loans made, with the prior approval of the Commission, to officers or servants of the Commission by a corporation carrying on the business of a building society.
(4)
Where a loan or guarantee is made or given under subsections (1) to (3) and there is a first legal mortgage of the land and dwelling-house erected or to be erected thereon in favour of a corporation carrying on the business of a building society, the
Commission may accept a second mortgage of the land and dwelling-house to the full estimated value of the land and dwelling-house after deducting the amount secured by the first legal mortgage as security for the loan or guarantee.
(5)
The Commission may give loans to its officers and servants for such purpose as may be approved by the Commission and on such terms and conditions as the Commission thinks fit.
(6)
Any moneys payable to the Commission by an officer or servant of the Commission by virtue of a loan or guarantee made or given under this section shall be a first charge on any moneys payable to the officer or servant under any fund, or pension or superannuation scheme for the time being in force established under section 16.