71Guarantee by Treasurer

71 Guarantee by Treasurer

(1)  The Treasurer may execute a guarantee guaranteeing the repayment of any loan –

(a) that is to be made by a person to a third person; and

(b) that is lending money for housing purposes to that third person or to another person.

(2)  A guarantee given by the Treasurer under subsection (1) in relation to a loan –

(a) is to be in the prescribed form; and

(b) is to be subject to the prescribed terms and conditions and other terms and conditions, if any, that the Treasurer thinks fit; and

(c) is not enforceable against the Treasurer unless the person making the loan has, to the Treasurer's satisfaction, exercised that person's rights and remedies under all securities held by or for that person in respect of the loan and interest charges and expenses.

(3)  The amounts that may from time to time become due and payable by the Treasurer under any guarantee authorised by this section are to be paid out of the Public Account, which is, to the necessary extent, appropriated accordingly.