7Obligations of public authorities

7 Obligations of public authorities

7 Obligations of public authorities

(1) Where the Corporation assumes the responsibility of a public authority or other public body for the administration of any matter relating to borrowings obtained by the public authority or other public body, any payment required to be made under the terms and conditions of which the borrowings were provided shall be made by the Corporation to the person entitled thereto and such a payment by the Corporation operates as a discharge of the obligation of the public authority to make the payment to that person.

(2) A public authority shall keep the Corporation supplied with funds to the extent necessary to provide for the making of payments under subsection (1) on behalf of the public authority as they fall due.

(3) A failure by a public authority to make a payment in compliance with a condition upon which particular borrowings were obtained by it from the Corporation may, if the Treasurer approves, be treated by the Corporation as if it were a like failure in relation to all other current borrowings provided to the public authority by the Corporation.

s 7: Am 1992 No 113, Sch 1 (2); 2018 No 70, Sch 3.63 [6] [10] [11].