Section 22: Bonds issued by the Corporation

22. Bonds issued by the Corporation.—(1) The payment obligations in respect of any bonds issued by the Corporation pursuant to mutual agreement between the Corporation and the financial institution shall bear the full faith and credit of the Islamic Republic of Pakistan. Recourse for payment of such bonds, in accordance with their respective terms, may be against the Corporation or directly against the Federal Government without the necessity of notice to or prior demand on the Corporation. The tenure of the bonds shall not exceed five years from the date of issuance. (2) At the request of the Corporation, the appropriate representatives of the Federal Government shall execute and deliver, on behalf of the Federal Government, any bonds presented to them by the Corporation to evidence the full faith and credit obligation of the Federal Government. (3) Any bond issued by the Corporation to a financial institution shall also constitute an approved investment for purposes of the liquidity and reserve requirements under the Banking Companies Ordinance, 1962 (LVII of 1962). 1______________________________________________________________________________ Subs. by the Corporate and Industrial Restructuring Corporation (Amdt.) Act, 2005 (3 of 2005) s. 4 for section 20.

Effective date: 2000-01-01

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