|
No. 32 of 2002 |
AN ACT TO ESTABLISH AN EDUCATION
LOAN |
AUTHORITY TO PROVIDE FOR THE
FUNCTIONS AND |
POWERS OF THAT AUTHORITY AND FOR
INCIDENTAL |
MATTERS |
(Date of Assent – 30th
December, 2002) |
Enacted by the Parliament of The
Bahamas. |
1. This Act may be cited as The
Education Loan Authority Act, 2002 and shall come into force on such date as
the Minister may appoint by notice published in the Gazette. | Short title and commencement. |
2. In this Act
"Minister" means the Minister responsible for Education. | Interpretation. |
3.(1) There is established a body
corporate to be known as the Education Loan Authority. | Establishment of Education Loan
Authority. |
(2) The Schedule has effect with
respect to the constitution and proceedings of the Education Loan Authority. | Schedule. |
4.(1) The Education Loan Authority is
charged with the responsibility of raising moneys for the educational loan
guarantee scheme established under the Educational Guarantee Fund Act, 2001. | Functions and powers of the
Education Loan Authority. No. 24 of 2001. |
(2) In carrying out its functions
the Education Loan Authority shall have the power to do all acts as appear to
it to be requisite, advantageous or convenient for or incidental to its proper
discharge and may carry on any activities in that behalf alone or in
association with any other person. |
(3) Without prejudice to the
generality of subsection (2), the Education Loan Authority shall assume all
existing liabilities incurred by the Government of The Bahamas prior to the commencement
of this Act in relation to the funding of the educational loan guarantee scheme
established under the Educational Guarantee Fund Act, 2001. | No. 24 of 2001. |
5.(1) The funds and resources of the
Education Loan Authority shall consist of - | Funds and resources of The Education
Loan Authority. |
(a) any moneys as from time to time
are provided by Parliament; |
(b) any moneys as from time to time
are borrowed by the Education Loan Authority or raised by the Education Loan
Authority pursuant to section 8; |
(c) any moneys as from time to time
are advanced to the Education Loan Authority pursuant to section 10. |
(2) Funds and revenues of the
Education Loan Authority shall be applied in the discharge of all expenditure
properly incurred in the carrying out of the function mentioned in section 4,
in the repayment of any sums borrowed under section 8, and any interests
payable in respect of those sums, in the payment of interest on bonds and
dividends on shares and stock issued under section 11, for disbursements towards
the remuneration and allowances to the officers, employees and members of the
Education Loan Authority, to repayment of any advance made under section 10 and
the payment of any sums issued in fulfilment of any guarantee given under
section 10 as determined by the Education Loan Authority. |
6. At the end of each financial
year, any moneys standing to the credit of the Education Loan Authority and not
required for any .current purpose shall, after consultation with the Minister
of Finance, be paid into a reserve fund. | Surplus funds. |
7.(1) The Education Loan Authority
shall establish a reserve fund. | Reserve Fund. |
(2) The management of the reserve
fund and the application thereof, shall be as the Education Loan Authority may
determine, but no part of the fund shall be applied otherwise than for the
purpose of the Education Loan Authority. |
8.(1) The Education Loan Authority
may, with the prior approval of the Minister after the Minister has consulted
with the Minister of Finance, borrow or raise capital required by it for
meeting its obligations or discharging its function and may in respect of any
borrowing issue debentures, debenture stock or raise capital by the issue of
bonds, shares or stock of such class and value and upon such terms as the
Education Loan Authority may deem expedient. | Borrowing and raising capital. |
(2) An approval given for the
purposes of subsection (1) may be either general or limited to a particular
borrowing or otherwise and may be either unconditional or subject to
conditions. |
(3) Notwithstanding subsection
(1), the Education Loan Authority may not borrow or raise capital of an amount
exceeding One Hundred Million Dollars. |
(4) The Education Loan Authority
may, with the prior approval of the Minister, make regulations to provide for
such matters in connection with bonds, shares, stock, debentures or debenture
stock issued under this Act as may appear necessary or expedient to the
Education Loan Authority, and, in particular, for regulating the method of
issue, transfer, redemption, or other dealing with such bonds, shares, stock,
debentures or debenture stock. |
9. Notwithstanding subsection
(4) of section 8, the Education Loan Authority shall establish a sinking fund
for the redemption of any security so issued and may postpone a sinking fund
contribution for such period or periods of time as may be approved by the
Minister after the Minister has consulted with Minister of Finance. | Sinking fund. |
10.(1) Subject to subsection (3), the
Minister of Finance may make advances to the Education Loan Authority for the
purposes of enabling the Education Loan Authority to defray expenditure
properly chargeable to its capital account, including provision of working capital. | Advances and guarantee of borrowings
by the Government of The Bahamas. |
(2) Subject to subsection (3), the
Minister of Finance may guarantee, in writing on any such conditions as he
thinks fit, the repayment of the principal of, and the payment of interest and
other charges on, any authorised borrowings of the Education Loan Authority
made under section 8. |
(3) No advance shall be made and
no guarantee shall be given under this section unless prior approval thereof
has been signified by the House of Assembly in accordance with section 17 of
the Financial Administration and Audit Act. | Ch. 329. |
(4) Where a sum is paid pursuant
to a guarantee given under this section, the Minister of Finance shall as soon
as possible after the end of each financial year beginning with that in which
the sum is issued and ending with that in which all liability in respect of the
principal of the sum and in respect of interest thereof is finally discharged,
lay before the House of Assembly a statement relating to that sum. |
(5) A sum required by the Minister
of Finance for making an advance and discharging a guarantee under this section
shall be charged on and issued out of the Consolidated Fund. |
11.(1) The Education Loan Authority
shall make to the Minister of Finance at such times and in such manner as the
Minister of Finance may direct, payments of any amount as may be so directed in
or towards repayment of an advance made to the Education Loan Authority under
section 10 and of any sums issued in fulfillment of a guarantee given under
section 10 and payments of interest on what is outstanding for the time being
in respect of any sums so issued at such rate as the Minister of Finance may
direct, and different rates of interest may be directed with respect to
different periods. | Payment of, and interest on advances
and sums issued to meet guarantee. |
(2) The Minister of Finance shall
lay before the House of Assembly a statement of any payments due from the
Education Loan Authority under subsection (1) that is not duly paid to him as
required thereunder. |
12.(1) The Education Loan Authority
shall keep proper accounts and other records in relation thereto, and shall
prepare in respect of each financial year of the Education Loan Authority a
statement of accounts in such form as the Minister may direct | Accounts and audit. |
(2) The accounts of the Education
Loan Authority for each financial year shall be audited by an auditor appointed
by the Minister. |
(3) Three months after the end of
each financial year the Education Loan Authority shall submit a copy of the
audited accounts to the Minister together with a copy of any report made by the
auditor. |
(4) The Minister shall lay a copy
of the audited accounts before each House of Parliament, together with a copy
of any report made by the auditor on the accounts. |
13. The Minister may give written
directions to the Education Loan Authority concerning the performance of its
function, powers and duties, either generally or in relation to a particular
matter, and the Educational Loan Authority shall give effect to those
directions. | Directions. |
(Section 3 (2)) |
SCHEDULE |
A Body Corporate |
1.(1) The Education Loan Authority
shall be a body corporate established for public purposes having perpetual
succession and a common seal, with power to purchase, lease or otherwise
acquire and hold and dispose of land and other property of whatsoever kind. | Incorporation. |
(2) The Education Loan Authority
may sue and be sued in its corporate name and may for all purposes be described
by such name, and service upon the Education Loan Authority of any document of
whatsoever kind must be made by delivering the document to or sending it by
prepaid registered post addressed to the secretary of the Education Loan
Authority at the office of the Education Loan Authority. |
(3) All property acquired or
becoming vested in the Education Loan Authority shall be held by the Education
Loan Authority in trust for Her Majesty in right of Her Government of the
Commonwealth of The Bahamas for public purposes. |
2. The Education Loan Authority
shall consist of - | Chairman and Members of the
Education Loan Authority. |
(a) the following persons to be
appointed by the Governor-General after consultation with the Minister, that is
to say, a Chairman, a Deputy Chairman and four other members, being persons who
have wide experience in, and have shown capacity in financial or commercial
matters, education, industry, law or administration; and |
(b) the Educational Guarantee Fund
Act's Chairman of the Education Committee, ex-officio, | Act No. 24 of 2001. |
and paragraphs 1 and 3 to 12 of this Schedule
shall have effect in relation to the Education Loan Authority, but subject, in
the case of the Chairman of the Education Committee to the special provisions
of paragraph 14. |
3. Subject to paragraphs 8 and
9, a member of the Education Loan Authority shall hold office for such period,
not exceeding three years, as the Governor-General may direct in the instrument
appointing such member, but such member shall be eligible for re-appointment. | Tenure of office. |
4. The Governor-General shall
appoint a Chairman and Deputy Chairman of the Education Loan Authority from
among members and, if the Chairman is absent or unable to act, the Deputy
Chairman shall act as Chairman during the time such absence or inability
continues. | Chairman and Deputy Chairman. |
5. The Governor-General may by
instrument in writing appoint some suitable person as a member of the Education
Loan Authority to act temporarily in the place of any member of the Education
Loan Authority in the case of the absence or inability of such member to act. | Temporary appointment to Education
Loan Authority. |
6.(1) A member of the Education Loan
Authority other than the Chairman may at any time resign his office by
instrument in writing addressed to the Chairman, who shall forthwith cause it
to be forwarded to the Governor-General and from the date of the receipt by the
Chairman of the instrument, the member shall cease to be a member of the
Education Loan Authority. | Resignation. |
(2) The Chairman of the Education
Loan Authority may at any time resign his office by instrument addressed to the
Governor-General and, from the date of the receipt by the Governor-General of
the instrument, the Chairman shall cease to be Chairman or a member of the
Education Loan Authority. |
7. The Governor-General may by
instrument in writing revoke the appointment of any member of the Education
Loan Authority if the Governor-General thinks it expedient so to do. | Removal. |
8. The appointment, removal,
death or resignation of a member of The Education Loan Authority shall be
notified in the Gazette. | Publication. |
9. There shall be paid from the
funds of the Education Loan Authority to the Chairman and other members of the
Education Loan Authority such remuneration, if any, whether by way of
honorarium, salary or fees, and such allowances, if any, as the Minister may
determine. | Remuneration. |
10.(1) The seal of the Education Loan
Authority shall be kept in the custody of an officer of the Education Loan
Authority as the Education Loan Authority may approve, and may be affixed to instruments
pursuant to a resolution of the Education Loan Authority and in the presence of
the Chairman or the Deputy Chairman and one other member. | Seal. |
(2) All documents, other than
those required by law to be made under seal and all decisions of the Education
Loan Authority may be signified under the hand of the Chairman or Deputy
Chairman. |
11.(1) The Education Loan Authority
shall meet at such times as may be necessary or expedient for the transaction
of business, and such meetings shall be held at such places and times and on
such days as the Chairman may determine. | Proceedings and meetings. |
(2) The Chairman, or in his
absence the Deputy Chairman shall preside at all meetings of the Education Loan
Authority. |
(3) The Chairman, or in his
absence, the Deputy Chairman and three other members of the Education Loan
Authority shall form a quorum. |
(4) The decisions of the Education
Loan Authority are by a majority of votes and, in addition to an original vote,
in any case in which the voting is equal the Chairman or the Deputy Chairman
presiding at the meeting has a casting vote. |
(5) Minutes in proper form of each
meeting are to be kept by the secretary or any officer the Education Loan
Authority may appoint for that purpose, and confirmed by the Education Loan
Authority at the next meeting and signed by the Chairman or the Deputy Chairman
as the case may be. |
(6) The Education Loan Authority
may co-opt any one or more persons to attend any particular meeting of the
Education Loan Authority for the purpose of assisting or advising the Education
Loan Authority in any matter with which the Education Loan Authority is
dealing, but no co-opted person has the right to vote. |
(7) The validity of any
proceedings of the Education Loan Authority shall not be affected by any
vacancy amongst the members thereof or by any defect in the appointment of a
member thereof. |
12. The Education Loan Authority
is exempt from liability for any tax, duty , rate, levy or other charge
whatsoever. | Exemptions. |
13. Subject to this Schedule the
Education Loan Authority has the power to regulate its own proceedings. | The Education Loan Authority to
regulate own proceedings. |
14. The following provisions of
this Schedule shall not apply to the Chairman of the Education Committee, that
is to say, paragraph 3; paragraph 5; paragraph 6; and
paragraph 7. | Special provisions regarding the
Chairman of the Education Committee. |
15.(1) The Education Loan Authority may
appoint and employ on such terms and conditions as it thinks fit, any officer,
servant or agent that the Education Loan Authority considers necessary for the
proper carrying out of the provisions of this Act. | Staff. |
(2) Notwithstanding subsection
(1), the Minister may appoint and employ on such terms and conditions as the
Minister thinks fit, a chief administrative officer and a financial officer. |
16.(1) Where a public officer holding a
pensionable office under the Government of The Bahamas, ceases to be the holder
of that office by reason of his transfer with his consent to the service of the
Education Loan Authority and that person subsequently retires from the service
of the Education Loan Authority in such circumstances that, had he remained a
public officer, he would have been eligible for pension under the Pensions Act,
then in any such case subsections (2) and (3) shall have effect. | Pension of persons transferred from
public service to the Education Loan Authority. Ch. 35. |
(2) A pension payable to a person
mentioned in subsection (1) by the Education Loan Authority to whose service he
has been transferred shall be calculated and granted to him in respect of his
total service under the Government of The Bahamas and with the Education Loan
Authority taken together and such service shall be reckoned as continuous for
pension purposes. |
(3) There shall be payable out of
the Consolidated Fund upon the warrant of the Minister of Finance to the
Education Loan Authority a contribution to every pension paid in accordance
with subsection (2), such amounts as would have been payable to the person
concerned by way of pension under the Pensions Act, if that person had retired
from the public service and if he has been granted a pension under the Pensions
Act upon the date of his ceasing to be a public officer. | Ch. 35. Ch. 35. |
17.(1) The Education Loan Authority
may, as regards any officer, servant or agent in whose case it may be
determined by the Education Loan Authority, with the approval of the Minister
of Finance, to make provision for the payment on the death, injury or
retirement of that officer, servant or agent, pension, gratuity or other like
benefit, pay or provide for the payment of that pension, gratuity or other like
benefit to the officer, servant or agent or to others by reference to their
service as may be determined. | Pensions, etc. |
(2) Provision for pensions,
gratuities or other like benefits under this section may be either by
contributory or non-contributory arrangements or partly by the one or by the
other. |