(1) A receiver is
entitled to receive the general funds of the local government.
(2) For the purposes
of subsection (1) a receiver has the powers which a local government has with
respect to general rates under this Part.
(3) In relation to a
regional local government a receiver is entitled to receive whichever of the
following over which security has been given in a particular case —
(a) the
financial contributions of the participants to the regional local
government’s funds as set out or provided for in the establishment
agreement for the regional local government;
(b)
Government grants which were not given to the regional local government for a
specific purpose;
(c) the
general funds of a participant to the extent that those funds secure either
money borrowed by, credit obtained for, or financial accommodation extended
to, the regional local government.
(4) In relation to a
regional subsidiary, a receiver is entitled to receive whichever of the
following over which security has been given in a particular case —
(a) the
financial contributions of the participants to the regional subsidiary’s
funds as set out or provided for in the regional subsidiary’s charter;
(b)
Government grants that were not given to the regional subsidiary for a
specific purpose;
(c) the
general funds of a participant to the extent that those funds secure financial
accommodation extended to the regional subsidiary.
[Section 6.23 amended: No. 49 of 2004 s. 60; No.
26 of 2016 s. 17.]