795. Guarantees.

Where any property, rights or liabilities are transferred under a transfer scheme1 to a transferee2 which at the time of the transfer is:

  1.  

    (1)     a company3 which is wholly owned by the Crown4;

  2.  

    (2)     a company which is wholly owned by the Civil Aviation Authority ('CAA')5; or

  3.  

    (3)     a company which is a wholly owned subsidiary6 of a company falling within head (1) or head (2) above7,

the Treasury8 or the Secretary of State9 may guarantee the discharge of any financial obligation of the transferee if when the guarantee is made it is a company falling within heads (1) to