Local Government Act, 1946

Investment for permanent benefit of inhabitants of functional area of local authority.

81.—(1) Where—

(a) pursuant to any statutory or other enactment or the award of any arbitrator, a sum is received by a local authority in relation to the termination of any periodical payment previously made to them, and

(b) the Minister is satisfied that the sum should be treated as capital moneys,

the Minister may direct the local authority to invest the sum for the permanent benefit of the inhabitants of their functional area.

(2) A sum to which a direction given under this section to a local authority relates shall be kept invested by such authority in any of the stocks, funds, shares or securities in which trustees are, by any Act for the time being in force, authorised to invest, except stocks, funds, shares or securities created by such authority themselves or real or heritable securities.