CourtMesh

Section 4: Prohibition

The Kerala Ceiling on Government Guarantees Act, 2003 (Act 30 of 2003)State Act of Kerala · Act 30 of 2003

Notwithstanding anything contained in any other law for the time being in force, no Government guarantee shall be given in respect of a loan of any private individual, Institution or Company.

3/4.327/2003/DTP.

- 6

5. Guarantee commission—{1) The Government shall charge a minimmn of 0.75 per cent per annum as guarantee commission, which shall not be waived under any circumstances. ‘

(2) Depending on the default risk of any project, the Government may, by notification in the Gazette, specify commission at an enhanced rate.

; Explanation.—For the purpose of this section ‘default risk’ means the probability of defaalt by the borrower on whose behalf the Government guarantee is given, depending on the amount borrowed, the type of industry and the economic situations.

(3) The guarantee given shall not be extended on the expiry of the — guarantee pericd unless the borrower had paid in full the guarantee commission due, to the government.

Where this provision sits

ActThe Kerala Ceiling on Government Guarantees Act, 2003 (Act 30 of 2003)
Section4
Marginal noteProhibition
JurisdictionState of Kerala
StatusIn force as published by the source

Find the provision, not just read it

The full text above is free, and it stays free. What a free CourtMesh account adds is everything you cannot do by reading one page at a time:

  • Search 49,000+ Central and State enactments by what a provision says, not by its number
  • Jump from any section to every judgment that has applied it
  • Search 300 million+ Indian court records alongside the statute
  • Ask a research agent to find and read the case law on a provision for you

Free account. No card. About a minute to create.

Create a free account

Need this as data, not as a page? The Kerala Ceiling on Government Guarantees Act, 2003 (Act 30 of 2003) is one of 49,000+ enactments on CourtMesh. The Indian court cases API serves the case law that cites these provisions over JSON, with API documentation and plans and pricing. See also the judgment library.