(1)  A person sustaining loss or damage in a case in which the person is entitled to bring an action to recover damages against the Recorder as nominal defendant may, before commencing proceedings, make application in writing to the Recorder for compensation, and that application shall be supported by statutory declaration.

(2)  If the Recorder admits the claim, or any part of the claim, and the Minister certifies the claim, or part of the claim, as so admitted –

(a) in a case where the claim, or part or the claim, that is so admitted and certified is less than $10 000, the Minister may, in the Minister’s discretion, issue a warrant to the Treasurer for payment of the amount so certified out of the assurance fund; or

(b) in a case where the claim, or part of the claim, that is so admitted and certified is $10 000 or more, the Governor may, in the Governor’s discretion, issue a warrant to the Treasurer for payment of the amount so certified out of the assurance fund.

(3)  The Treasurer is to pay the amount so certified in accordance with a warrant issued under subsection (2) .