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If an officer of a local authority is appointed as a receiver for a patient in pursuance of section 105 of the [1959 c. 72.] Mental Health Act 1959 or, on the nomination of the authority, as the administrator of the estate of a deceased person, the authority may pay to the officer any sum which he becomes liable to pay in consequence of the appointment and may pay the premiums in respect of any policy of insurance for indemnifying the officer from the consequences of any act or omission connected with the appointment which occurs while he holds the appointment.
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