Borrowing Powers of Certain Bodies Act, 1996
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Power to effect certain transactions on foot of borrowing powers. |
3.—(1) A body, whose functions include the power to borrow money subject to the consent of the Minister, shall have and be deemed always to have had, as part of its functions, the power to engage in the following transactions in so far as they relate to borrowing or capital financing, including transactions in a currency other than the currency of the State: | |
(a) finance leases; | ||
(b) issue of notes, bonds, commercial paper or other debt instruments; | ||
(c) discounting of bills of exchange; | ||
(d) debtor discounting facilities, invoice discounting facilities or other forms of debt factoring agreement; | ||
(e) letters of credit, guarantees and other similar instruments; | ||
(f) securitisation of assets; | ||
and shall also have, as part of its functions, the power to engage in any other financial transaction or class of financial transactions, in so far as it relates to borrowing or capital financing, that the Minister may, after consultation with the Central Bank of Ireland and the Revenue Commissioners, by order prescribe from time to time. | ||
(2) The Minister may, after consultation with the Central Bank of Ireland and the Revenue Commissioners, by order amend or revoke any order under subsection (1) and any order under this subsection. | ||
(3) Where the Minister is satisfied that, in accordance with normal accountancy practices, a class of financial transactions is regarded or has ceased to be regarded as a finance lease, then the Minister may by order declare that such class of financial transactions is or ceases to be, as the case may be, a finance lease. | ||
(4) (a) In this section a reference to a finance lease means a lease which, in accordance with normal accountancy practices— | ||
(i) in the case of a transaction entered into before the commencement of this provision, was regarded as a finance lease when so entered into, | ||
(ii) in the case of a transaction entered into after the commencement of this provision would, subject to subparagraph (II), have been regarded as a finance lease at such commencement, | ||
and, where any order has been made under subsection (3) in respect of a class of financial transactions— | ||
(I) includes a transaction within such a class of transactions where, at the time the transaction was entered into, there is an order declaring such class of transactions to be a finance lease, but | ||
(II) excludes a transaction within such a class of transactions where, at the time the transaction was entered into, there is an order declaring such class of transactions to have ceased to be a finance lease. | ||
(b) In this section, a reference to a body includes a reference to a subsidiary company or a holding company of the body and any subsidiary company of such holding company, and “subsidiary company” and “holding company” have the meanings given to them, respectively, by section 155 of the Companies Act, 1963 . |