The Tyne and Wear Residuary Body (Winding Up) Order 1988

Transfer of monies

3.—(1) Immediately before the transfer date, the Residuary Body shall set aside from their revenue balances the sum of #1 million (“the special fund”).

(2) On the transfer date the Residuary Body shall transfer to South Tyneside from the special fund the sum of #800,000 which South Tyneside shall credit to a fund established by them under paragraph 16 of Schedule 13 to the Local Government Act 1972(1) which shall be applied only for making (otherwise than by virtue of article 2(1) of the Local Government Reorganisation (Designated Councils) (Pensions) Order 1986(2)) payments in respect of contractual rights saved by section 53 of the 1985 Act or payments under —

(a) Part VI of the Employment Protection (Consolidation) Act 1978(3),

(b) section 1 of, or an order under section 2 of, the Pensions (Increase) Act 1971(4),

(c) an order under section 59 of the Social Security Pensions Act 1975(5),

(d) the Local Government Reorganisation (Compensation) Regulations 1986(6),

(e) the Local Government Reorganisation (Reduction of Redundancy Payment Cases) Scheme 1986(7).

(3) On the transfer date all monies held by the Residuary Body and all sums standing to the credit of that Body on any account (other than the special fund) shall vest in South Tyneside.

(4) On or before 31st March 1989 South Tyneside shall pay to each of the other local councils the appropriate capital and appropriate revenue sums as defined in paragraph (5).

(5) In paragraph (4) —

“appropriate capital sum” means a sum equal to the appropriate proportion of the aggregate amount of capital money held by the Residuary Body or standing to its credit on any account immediately before the transfer date;

“appropriate revenue sum” means a sum equal to the appropriate proportion of the aggregate of all other sums which immediately before the transfer date are held by, or stand to the credit of, the Residuary Body on any account other than the special fund.

(6) The amounts reflecting the difference between the amounts vested by paragraph (3) and the amounts which fall to be paid to other local councils by paragraph (4) shall be retained by South Tyneside as their share of the vested amounts.

(7) In this article “capital money” means monies described in article 2(2)(a) of the Local Government Reorganisation (Capital Money) (Metropolitan Counties) Order 1986(8).

(1)

1972 c. 70.

(2)

S.I. 1986/96.

(3)

1978 c. 44.

(4)

1971 c. 56.

(5)

1975 c. 60.

(6)

S.I. 1986/151.

(7)

Made under section 59(3) of the Local Government Act 1985.

(8)

S.I. 1986/2063.