Section 1
SECTION 1. For the purpose of augmenting the credit of said sinking fund bonds in the market, the Government of the Philippine Islands hereby guarantees the due and punctual payment by the Manila Railroad Company of the Philippine Islands of the principal and interest of said bonds when and as they mature, and become due, respectively, and in the event of any default of the Manila Railroad Company in the payment of the interest and principal of said bonds, or either of them, and of the inability of the trustee to sell enough of the First Mortgage four per cent Gold Bonds deposited with it as security, to pay the said principal or interest or both when and as they mature and become due, respectively, the Government itself will pay the same on demand.