s.4Financial procedure
4
Section 4Part 0 —

Financial procedure

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The revenue of the Authority shall be classified under the following heads of receipt —
dues and charges received by virtue of this Act;
amounts borrowed by the Authority; and
miscellaneous receipts including interest on and service of investments, and such revenue shall within seven days of receipt thereof be paid into a bank account approved by the Financial Secretary.
The revenue of the Authority shall be applied to meet the following heads of expenditure —
repayment of overdraft, if any, on current account;
interest on loans;
sinking fund on loan redemption;
payment with interest to the Government of the consideration provided by section 5;
salaries and wages;
reserve against liabilities for pensions, gratuities, etc.;
repairs and maintenance of buildings and equipment and other current expenses;
reserve fund for depreciation and renewals;
general reserve fund; and
miscellaneous expenditure approved by the Financial Secretary.
The Authority may, with the approval of the Financial Secretary, invest its reserve funds at interest.
The Authority may, for the purpose of the performance of its functions, raise loans —
from the Government; or
with the approval of the Cabinet, from outside sources.
When the Authority raises loans under paragraph (b) of subsection (4) it may, subject to subsection (6) and to any contractual obligations entered into by it or on its behalf —
create, issue, sell or negotiate debentures and other securities;
redeem, fund or convert its existing liabilities; and
do all things necessary for the accomplishment of paragraphs (a) and (b).
Before taking action under subsection (4), the Authority shall publish in the Gazette a prospectus showing —
the amount and particulars of the proposed loan;
the rate or rates of interest to be paid;
the classes of persons who may subscribe;
the proposed application of the amount raised; and
provisions for repayment of the loan.
The Authority shall keep proper accounts of all its transactions to the satisfaction of the Financial Secretary and such accounts shall be made up to the thirty-first day of December of each year, and audited by the Government Auditors who shall report thereon to the Authority and the Financial Secretary.
Any balance of account in favour of the Authority up to the amount of one hundred thousand dollars may be carried forward to the account of the following year and any balance in excess of that sum shall be paid into the general revenue of the Islands.
The Authority shall cause estimates of expenditure and revenue to be prepared and adopted each year in respect of the financial year following and such estimates, when adopted, shall be published as a supplement to the Gazette.
The Authority shall, within one month of its receipt of the Government Auditors' report, prepare a report of its activities during the period to which the Government Auditors' report relates and the audited accounts, together with the Government Auditors' report and the Authority's report shall be published as soon as practicable as a supplement to the Gazette.

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