27Interest on war gratuity

27 Interest on war gratuity

(1) Subject to this section, on the date of payment of the whole or the final balance of the war gratuity to which a person is entitled, compound interest at the rate of Six dollars fifty cents per centum per annum calculated on the basis of yearly rests from the date of entitlement to that date of payment shall be credited to the account of that person in the Register of War Gratuities on the amount of war gratuity in credit to that account and shall be deemed to be part of the war gratuity and paid accordingly. (2) Interest shall not be credited with respect to any period subsequent to a date of five years and six months after the cessation of hostilities. (3) Where the war gratuity is paid in full within three months from the date of entitlement, no interest shall be credited or paid. (4) Where a member who has performed general qualifying service prior to the date twelve months after the cessation of hostilities is serving as a member on that date interest on the war gratuity to which the member is entitled shall be credited on the amount of war gratuity accrued at that date for the period from that date to the date of entitlement, and the amount of interest so credited shall be added to the war gratuity and be deemed to be part of it. (5) Where a member who has performed general qualifying service prior to the date twelve months after the cessation of hostilities re‑enlists as a member after that date, interest shall be credited on the amount of war gratuity to which the member is entitled prior to such re‑enlistment for the period from the date on which the member was previously entitled to be credited with war gratuity to the date of entitlement, and the amount of interest so credited shall be added to the war gratuity and be deemed to be part of it.