Older Persons Act, 2006
R 385
Public Finance Management Act, 1999 (Act No. 1 of 1999)Chapter 8 : Loans, Guarantees and other CommitmentsPart 1 : General principles70. Guarantees, indemnities and securities by Cabinet members |
| (1) | A Cabinet member, with the written concurrence of the Minister (given either specifically in each case or generally with regard to a category of cases and subject to any conditions approved by the Minister), may issue a guarantee, indemnity or security which binds— |
| (a) | the National Revenue Fund in respect of a financial commitment incurred or to be incurred by the national executive; or |
| (b) | a national public entity referred to in section 66(3)(c) in respect of a financial commitment incurred or to be incurred by that public entity. |
| (2) | Any payment under a guarantee, indemnity or security issued in terms of— |
| (a) | subsection (1)(a), is a direct charge against the National Revenue Fund, and any such payment must in the first instance be defrayed from the funds budgeted for the department that is concerned with the issue of the guarantee, indemnity or security in question; and |
| (b) | subsection (1)(b), is a charge against the national public entity concerned. |
| (3) | A Cabinet member who seeks the Minister's concurrence for the issue of a guarantee, indemnity or security in terms of subsection (1)(a) or (b), must provide the Minister with all relevant information as the Minister may require regarding the issue of such guarantee, indemnity or security and the relevant financial commitment. |
| (4) | The responsible Cabinet member must at least annually report the circumstances relating to any payments under a guarantee, indemnity or security issued in terms of subsection (1)(a) or (b), to the National Assembly for tabling in the National Assembly. |
