The Short Title of this Act shall be “The Timaru Municipal Council Waterworks Loan Act, 1875.”

The Council of the Borough of Timaru may borrow any sum of money, not exceeding in the whole the sum of fifteen thousand pounds, and may secure the repayment of the same, with interest, in manner provided by “The Municipal Corporations Waterworks Act, 1872,” and may apply the same in the construction or purchase of waterworks, under the provisions of the said Act, for the supply of the Town of Timaru with water: Provided always that no money shall be raised under the provisions of this Act until the undertaking shall have become a duly authorized undertaking within the provisions of the said Act.

No holder of any debenture or other security under this Act shall have any claim whatever, in respect of any such debenture or other security issued or given under this Act, on the revenue of the Colony of New Zealand or of the Province of Canterbury, but every such debenture or other security shall be chargeable only on the funds property and security chargeable therewith by the said “Municipal Corporations Waterworks Act, 1872,” and by any security executed under or in accordance with the provisions of the said last-mentioned Act.

In case default shall be made in payment of the moneys borrowed under the authority of this Act, or any instalment thereof, or of the interest which may become payable in respect thereof, for the space of six calendar months after the same shall become due, it shall be lawful for the Supreme Court, on the application of the holders of securities to the amount of not less than one thousand pounds, to appoint a receiver of all rates and moneys upon which the same shall be secured.