Industrial Development Act 1986

Guarantee of loans and interest subsidy for enterprise development.

[1977, s. 3; 1981, s. 7]

27

27.—(1) For the purpose of encouraging the establishment of an industrial undertaking which conforms to the criteria set out in subsections (3) and (4) of section 21 by a suitably qualified person who has not, or has not to a significant extent, previously been an owner of an industrial undertaking, the Authority may, in addition to any other power conferred on it by this Act—

(a) make a grant, on such terms and conditions as it thinks proper, towards the reduction of interest payable on a loan raised to provide working capital for such an undertaking,

(b) guarantee the due repayment of part (not exceeding 80 per cent.) of the principal of any money (including money in a currency other than the currency of the State) borrowed in respect of working capital for such an undertaking or the payment of interest on the part so guaranteed of such principal or both the repayment of such part and the payment of such interest.

(2) The Authority shall not, without the prior permission of the Government, give a guarantee in respect of money borrowed in respect of working capital for an undertaking referred to in subsection (1) or make a grant towards the reduction of interest payable on a loan raised to provide working capital for such an undertaking, where the amount of the principal of any money the subject of the guarantee and the amount of the grant payable towards the reduction of interest exceed in the aggregate F22[£480,000].

(3) Section 14 (4) applies to a guarantee under this section in money in a currency other than the currency of the State.

Annotations

Amendments:

F22

Substituted (13.07.1998) by Industrial Development (Enterprise Ireland) Act 1998 (34/1998), s. 34(2)(d), commenced on enactment.

Modifications (not altering text):

C18

Functions under section transferred (1.08.2014) by Industrial Development (Forfás Dissolution) Act 2014 (13/2014), s. 18 and sch., commenced as per subs. (8) and S.I. No. 341 of 2014.

Transfer of functions to Enterprise Ireland and IDA

18. (1) The functions specified in the Schedule are transferred to Enterprise Ireland and IDA.

(2) The functions transferred under subsection (1) may be performed—

(a) by either Enterprise Ireland or IDA, or

(b) jointly by both Enterprise Ireland and IDA.

(3) The functions specified in paragraph (c) of subsection (1) of section 8 of the Act of 1987 are transferred to IDA.

(4) A function transferred under subsection (1) shall be performed by Enterprise Ireland or IDA, or both, as the case may be, in accordance with such directions (if any) as may be issued by the Minister from time to time.

(5) A function transferred under subsection (3) shall be performed by IDA in accordance with such directions (if any) as may be issued by the Minister from time to time.

(6) Any assignment of powers and functions under section 9 of the Act of 1993 to Enterprise Ireland or IDA in force immediately before the coming into operation of this section shall cease to have effect on that coming into operation.

(7) Subsection (3) of section 3 of the Act of 1995 is repealed. (8) This section shall come into operation on the dissolution day.

(8) This section shall come into operation on the dissolution day.

SCHEDULE

Section 18

Functions Transferred to Enterprise Ireland and IDA

Functions referred to in: ...

2. Subsections (3), (5) and (7) of section 5, paragraphs (a), (c) to (h) and (j) of subsection (1) of section 11, sections 16, 18 to 32 , 36 and 37 of the Industrial Development Act 1986.

...

Editorial Notes:

E22

£480,000 converts to approximately €609,474 in accordance with Council Regulation (EC) No 974/98 of 3 May 1998 and Council Regulation (EC) No 2866/98 of 31 December 1998 on the conversion rates between the euro and the currencies of the Member States adopting the euro.