Article 41 Borrowing power of boards and provisions as to loans and grants made to boards

Every scheme shall provide for empowering the board to borrow money for the purpose of exercising its functions under the scheme.

A board shall have power to accept from any other person any grant to be applied for any of the purposes for which the board is empowered to expend money.

A scheme may provide for empowering the board, in any case where a loan or grant is proposed to be made to it, to agree with the person proposing to make the loan or grant, as the case may be, and, in the case of a loan, with any person proposing to guarantee the repayment thereof, that if the loan or grant is duly made or the guarantee duly given, the board will apply the money obtained by it by means of the loan or grant subject to such conditions (including conditions as to the persons on whose advice the board is to act in applying the said money) as may be specified in the agreement.

Where a scheme provides for empowering the board to make any such agreement as aforesaid, the shceme shall impose upon the board the duty of carrying into effect any such agreement entered into by it.