Coal industry Act 1994

20 Extinguishment of loans to the Corporation

(1) Where—

(a) any sum has been lent (whether before or after the passing of this Act) to the Corporation out of money provided by Parliament, or

(b) any sum is for the time being to be taken as having been so lent,

the Secretary of State may by order extinguish any present or contingent liabilities of the Corporation to make repayments of capital or payments of interest in respect of that sum.

(2) Subject to the following provisions of this section, section 400(1) of the [1988 c. 1.] Income and Corporation Taxes Act 1988 (restriction of tax losses in case of any write-off of government investment) shall not have effect in relation to any extinguishment of liabilities by an order under subsection (1) above.

(3) Subsection (6) of section 400 of that Act of 1988 shall apply in relation to any such extinguishment as is mentioned in subsection (2) above as if the reference to the body in question were a reference to the Corporation.

(4) The consent of the Treasury shall be required for the making of an order under this section.

(5) The power to make an order under subsection (1) above shall be exercisable by statutory instrument subject to annulment in pursuance of a resolution of either House of Parliament.