9(1)In section 63 (financial assistance for companies in railway administration), for subsection (1)(b) substitute—E+W+S
“(b)agree to indemnify a relevant person in respect of—
(i)liabilities incurred by that person in connection with the carrying out by the railway administrator of his functions under the order; and
(ii)loss or damage incurred by that person in that connection.”
(2)After subsection (2) of that section insert—
“(2A)A grant, loan, indemnity or guarantee under this section may be made or given in whatever manner, and on whatever terms and subject to whatever conditions, the Secretary of State considers appropriate.”
(3)After subsection (3) insert—
“(3A)The power of the Secretary of State under this section to agree to indemnify a relevant person—
(a)is confined to a power to agree to indemnify that person in respect of liabilities, loss and damage incurred or sustained by him as a relevant person; but
(b)includes power to agree to indemnify persons (whether or not they are identified or identifiable at the time of the agreement) who subsequently become relevant persons.
(3B)A person is a relevant person for the purposes of this section if he is—
(a)the railway administrator;
(b)an employee of the railway administrator;
(c)a member or employee of a firm of which the railway administrator is a member;
(d)a member or employee of a firm of which the railway administrator is an employee;
(e)a member of a firm of which the railway administrator was an employee or member at a time when the order was in force;
(f)a body corporate which is the employer of the railway administrator; or
(g)an officer, employee or member of such a body corporate.
(3C)For the purposes of this section—
(a)the references in this section to the railway administrator, in relation to a railway administration order, are references to the person appointed to achieve the purposes of the order and, where two or more persons are so appointed, are to be construed as references to any one or more of them; and
(b)the references to a firm of which a person was a member or employee at a particular time include references to a firm which holds itself out to be the successor of a firm of which he was a member or employee at that time.”
(4)After subsection (4) of that section insert—
“(4A)If sums are paid by the Secretary of State in consequence of an indemnity agreed to under this section in the case of a company in relation to which a railway administration order is in force, the company must pay him—
(a)such amounts in or towards the repayment to him of those sums as he may direct; and
(b)interest, at such rates as he may direct, on amounts outstanding under this subsection.
(4B)Payments to the Secretary of State under subsection (4A) must be made at such times and in such manner as he may determine.
(4C)Subsection (4A) does not apply in the case of a sum paid by the Secretary of State for indemnifying a person in respect of a liability to the company in relation to which the railway administration order in question was made.
(4D)The consent of the Treasury is required for the giving of a direction under subsection (4A) and for the making of a determination under subsection (4B).”
Commencement Information
I1Sch. 11 para. 9 in force at 24.7.2005 by S.I. 2005/1909, art. 2, Sch.