55Conditions to be complied with by applicants

55 Conditions to be complied with by applicants

(1) Subject to this section, a loan shall not be made or guarantee given under this Part by a prescribed authority unless:

(a) an application for the loan or guarantee is made within the prescribed period;

(b) the applicant satisfies the prescribed authority that he has the ability and qualifications to engage in, with a reasonable prospect of success, or, in the case of a former regular serviceman, has reasonable prospects of succeeding in, the occupation, business or practice in respect of which the loan or guarantee is sought;

(c) the applicant satisfies the prescribed authority that the applicant’s engaging in the occupation, business or practice is a suitable means of establishing or re‑establishing himself in civil life; and

(d) the applicant satisfies the prescribed authority that he is likely to be able to repay the amount of the loan made or guaranteed within a reasonable period.

(2) In determining whether a loan should be made or a guarantee given to an applicant, the prescribed authority shall take into account:

(a) the effect of the applicant’s national service on his capacity and opportunities to establish or re‑establish himself in civil life; and

(b) where there are limited opportunities for the establishment of a business or practice of a particular type or in a particular locality—the applications of other eligible persons and the effect of the establishment of the business or practice on other persons conducting businesses or practices of the same or a similar type, or on persons who have ceased to conduct such businesses or practices by reason of circumstances attributable to the rendering by them of national service.