Section 46 Existing HSC trusts: conversion of initial loanF2

This section applies to any F1HSC trust in existence immediately before commencement.

On commencement so much of the originating capital debt of the HSC trust as remains outstanding immediately before commencement is to be treated as the originating capital of the HSC trust and accordingly is public dividend capital.

Any reference in any statutory provision, instrument or other document to the originating capital debt of the HSC trust is to be construed (except where the context otherwise requires) as a reference to its originating capital.

The Department may with the consent of the Department of Finance and Personnel determine the amount and time for payment of interest on the HSC trust's initial loan in respect of the period ending with commencement.

In this section—

• “commencement” means the coming into operation of this section;

• “initial loan” means that part of a trust's originating capital debt other than public dividend capital.