Guam § 22816 - Valid and Binding General Obligations; Pledge of

§ 22816. Valid and Binding General Obligations; Pledge of

Revenues.

The Loans authorized by this § 22811 shall constitute valid

and binding general obligations of the government of Guam,

which pledges its full faith and credit for the punctual payment of

both principal of and interest on the Loans. There shall be

collected annually in the same manner and at the same time as

government revenue for other purposes is collected, such sum as

is required to pay the principal of and interest on the Loans. All

officers charged by law with any duty in the collection of the

revenues of the government shall do every lawful thing necessary

to collect such sum.

In addition, all or part of the revenues derived by the

government of Guam under Section 30 of the Organic Act of

Guam may, if determined by the Governor to be necessary or

desirable, be pledged to secure the repayment of the Loans and to

pay the costs incurred in their issuance or administration. Any

pledge made to secure the Loans shall be valid and binding for the

term of the pledge. The revenues pledged and thereafter received

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by the government of Guam or by any trustee, depository or

custodian shall be deposited in a separate account and shall be

immediately subject to the lien of such pledge without physical

delivery thereof or further act, and the lien of such pledge shall be

valid and binding against all parties having claims of any kind in

tort, contract or otherwise against the government of Guam or

such trustee, depository or custodian, irrespective of whether the

parties have notice thereof. The certificate or agreement by which

such pledge is created need not be recorded. All such revenues, to

the extent so pledged, are hereby continuously appropriated for

such purpose.