Co-operative Housing and Starr-Bowkett Societies Act 1998 No 11
60 Treasurer’s guarantee for co-operative housing
(1) The Treasurer may, on the recommendation of the New South Wales
Land and Housing Corporation, execute a guarantee in favour of any person
approved by the Treasurer, for the repayment of any advance to a co-operative
housing society made or to be made by the person.
(2) Sections 4 and 5 of the Government Guarantees Act 1934 apply
to a guarantee authorised by this section in the same way as they apply to a
guarantee authorised by that Act, except as provided by subsections (3) and
(3) The guarantee is to be part of a three-party loan and guarantee
agreement between the lender (being the approved person concerned), the
Treasurer and the co-operative housing society under which, in consideration
for the advance to be made by the lender to the co-operative housing society
and the guarantee to be given by the Treasurer:
(a) the co-operative housing society and the lender undertake to
observe the terms and conditions specified in the agreement,
(b) the co-operative housing society creates a charge in favour of the
Treasurer over the securities given to the society by its members in respect
of loans to be made from the advance.
(4) The society concerned must lodge with the Registrar a copy of each
such three-party loan and guarantee agreement entered into by the society as
soon as practicable after it is entered into.
(5) The guarantee is enforceable against the Treasurer and the
Consolidated Fund even though the lender is not authorised:
(a) to hold any security in respect of the debt guaranteed (other than
the guarantee), or
(b) to appoint a receiver or manager of the property of the
co-operative housing society.
(6) The Treasurer may delegate to any Minister any or all of the
Treasurer’s functions under this section.