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Group Title: West Indies gazette
Title: The West Indies gazette
ALL VOLUMES CITATION THUMBNAILS PAGE IMAGE ZOOMABLE
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Permanent Link: http://ufdc.ufl.edu/UF00076857/00101
 Material Information
Title: The West Indies gazette
Physical Description: : ; 34 cm.
Language: English
Creator: West Indies (Federation)
Publisher: Govt. Print. Off.
Place of Publication: Port of Spain Trinidad
Publication Date: July 31, 1959
 Subjects
Subject: Politics and government -- Periodicals -- West Indies (Federation)   ( lcsh )
Spatial Coverage: Trinidad and Tobago -- Trinidad
 Notes
Dates or Sequential Designation: v.1- Jan. 3, 1958-
General Note: Includes supplements consisting of bills, ordinances, statutory rules & orders, etc.
 Record Information
Bibliographic ID: UF00076857
Volume ID: VID00101
Source Institution: University of Florida
Holding Location: University of Florida
Rights Management: All rights reserved by the source institution and holding location.
Resource Identifier: ltuf - ABV7930
oclc - 01646171
alephbibnum - 000328383

Table of Contents
    Main
        Page 81
        Page 82
    Legal Supplement
        A-529
    Legal Supplement: pt. 1 Acts of the Federal Legislature (No. 5 of 1959): The Land Acquisition Act, 1959
        A-530
        A-531
        A-532
        A-533
        A-534
        A-535
        A-536
        A-537
        A-538
        A-539
        A-540
        A-541
        A-542
        A-543
        A-544
        A-545
        A-546
        A-547
        A-548
        A-549
        A-550
        A-551
        A-552
        A-553
        A-554
        A-555
        A-556
        A-557
        A-558
        A-559
        A-560
        A-561
        A-562
        A-563
        A-564
        A-565
        A-566
        A-567
        A-568
        A-569
        A-570
        A-571
        A-572
        A-573
        A-574
        A-575
        A-576
        A-577
    Legal Supplement: pt. 1 Acts of the Federal Legislature (No. 6 of 1959): The Exchange Control Act, 1959
        A-578
        A-579
        A-580
        A-581
        A-582
        A-583
        A-584
        A-585
        A-586
        A-587
        A-588
        A-589
        A-590
        A-591
        A-592
        A-593
        A-594
        A-595
        A-596
        A-597
        A-598
        A-599
        A-600
        A-601
        A-602
        A-603
        A-604
        A-605
        A-606
        A-607
        A-608
        A-609
        A-610
        A-611
        A-612
        A-613
        A-614
        A-615
        A-616
        A-617
        A-618
        A-619
        A-620
        A-621
        A-622
        A-623
        A-624
        A-625
        A-626
        A-627
        A-628
        A-629
        A-630
        A-631
        A-632
Full Text
















The West Indies Gazette



VbL. 2 FRIDAY, 31sT JULY, 1959 No. 40



TABLE OF CONTENTS

GAZETTE NOTICE

No. SUBJECT MATTER PAGE
86 Statement of Assets and Liabilities of the West
Indies Federation as at 31st March, 1950 ... 81


LEGAL SUPPLEMENT

PART I-ACTS OF THE FEDERAL LEGISLATURE
(Including Regulations made under section 2 of the West Indies (Federation) Order in Council, 1957).

No. PAGE No. PAGE
5 of 1959 The Land Acquisition Act, 1959 ... 530 6 of 1959 The Exchange Control Act, 1959 ... 578



86
STATEMENT OF THE ASSETS AND LIABILITIES OF THE WEST INDIES FEDERATION
AS AT 31ST MARCH, 1959


LIABILITIES ASSETS

$ e. $ c. $ o. $ o.
Deposits :- Cash :-
PFu-Federal Organisation .. 3,922 43 Treasury ... ... 386 53
Capital Expenditure Bank ... ... ... 1,912,002 53
Goern1en of Trinidad 84,933 31 Imprest ... ... ... 45 00
Grant on behalf of aided Units 336,482 00 Crown Agents ... ... 2,855 46 1,915,239 52
Other Governments and
Miscellaneous ... ... 882,427 73 1,837,765 47 Crown Agents Joint
Consolidated Fund ... 1,512,000 00
General Revenue Balances at
1st January, 1959 ... 2,240,054 54 Authorised Advances :-
Housing for Federal Ministers
and Officials ... ... 326,214 81
Surplus and deficit... ... 497,490 53 2,737,545 07 Household Furniture for
Federal Ministers and
Officials ... ... 8,410 61
Furnishing Governor
General's House ... 3,020 84
Office Furniture ... ... 7,579 60
Air-Conditioning Federal
House ... ... 88,354 07
Other Governments and
Miscellaneous ... ... 693,689 18 1,127,269 01
Remittances ... ... ... 20,802 01
$4,675,310 64 $4,575,310 64



J. BULLY
Federal Accountant General
The West Indies,
Federal House,
Trinidad.
22nd July. 1959.




82 THE WEST INDIES GAZETTE : N


86-Continued

EXTRACT OF REVENUE AND EXPENDITURE OF THE WEST INDIES FEDERATION
FOR THE PERIOD 1st JANUARY TO 31st MARCH, 1959


Estimate Actual Estimate Actual
Revenue 1959 Revenue Expenditure 1959 Payments


HEADS OF REVErNU

1. Currency Profits ...
2. Taxes ...
3. Contributions towards cost of
Federal Services ... ...
- 4. Repayment of Advances ...
5. Miscellaneous Receipts
6. Mandatory Levy ...

TOTAL ORDINARY REVENUE...

7. Colonial Development and
Welfare ...




















TOTAL REVENUE


OTHER RECEIPTS

Advances repaid ...
Deposits (Special Accounts) ..
SOther Deposits
Crown Agents Joint
Consolidated Fund
General Revenue Balance,
1st January, 1959 ...
Remittances


TOTAL


$ c.


1,100,000 00
100,000 00

920,434 00
10,000 00
51,400 00
9,120,000 00

11,301,834 00

499,032 00


$11,800,866 00


$ c.


193,630 58
31,009 37

6,190 02
6,916 62
40,337 07
1,297,049 00

1,575,132 66


213,360 00


$1,788,492 66




1,000,274 71
1,788,355 74
1,195,435 17

2,462,400 00

2,240,054 54
94,679 26


$10,569,692 08


HTEADs o EXPENDr ZUI

1. Governor General ...
2. Supreme Court ... ...
3. Legislature ...
4. Audit
5. Secretariat ...
6. Law Officers ...
7. Prime Minister ...
8. Finance ...
9. Trade and Industry
10. Communications and Works
11. Natural Resources and
Agriculture ...
12. Labour and Social Affairs ...
13. Miscellaneous Services
14. Overseas Commissions-
United Kingdom
15. Canada...
16. Venezuela
17. Student Services-United
States of America ...
18. Meteorological Services ...
19. Regional Contributions and
Services
20. Trade and Tariffs Commission
21. Expenses-Federal Capital ...
22. Special Contingencies

TOTAL ORDINARY
EXPENDITURE

23. Colonial Development and
Welfare ...

TOTAL EXPENDITURE ...



OT1ME PAYMENTS

Advances
Deposits (Special Accounts)
repaid ... ...
Other Deposits repaid ...
Crown Agents Joint
Consolidated Fund
Remittances ... ...
Cash Balance as at
31st March, 1959
Imprest ... ...

TOTAL


$ C.


20,442 00
158,194 00
604,776 00
9,600-a0
161,318 00
71,572 00
309,453 00
145,483 00
92,232 00
129,955 00

89,138 00
90,251 00
778,791 00

576,310 00
225,780 00
30,000 00

34,373 00
418,092 00

6,191,504 00
5,500 00
358,668 00
Nil


$ 0.


40,353 66
27,404 92
94,563 84
900 00
- 31,795 55
15,824 21
46,083 94
31,08S -24
18,420 12-
27,156 10

22,584 56
22,549 88
83,486 59

165,183 60
34,499 58
Nil

7,388 16
62,249 07

520,250 10
2,909 25
4,523 31
Nil


10,740,432 00 1,259,209 18


545,132 00 31,792 95

$11,285,564 00 $1,291,002 13


2,127,543 72

833,018 00
313,007 44

3,974,400 00
115,481 27

1,915,194 52
45 00

110,569,692 08


GOVERNMENT PRINTING OFFICE, TRINIDAD, W.I.-1959




























THE WEST INDIES GAZETTE


Vol. 2 FRIDAY, 31st JULY, 1959 No. 40


LEGAL SUPPLEMENT

PART I-ACTS OF THE FEDERAL LEGISLATURE
(including Regulations made under section 2 of the West Indies
(Federation) Order in Council, 1957).

TABLE OF CONTENTS
No. Page
5 of 1959 The Land Acquisition Act, 1959 530
6 of 1959 The Exchange Control Act, 1959 578























THE WEST INDIES


ACT No. 5 of 1959.

THE LAND ACQUISITION ACT, 1959


ARRANGEMENT OF SECTIONS

PART I
PRELIMINARY
Section
1. Short title and application.
2. Interpretation.
3. Appointment of Competent Authority.

PART II
ACQUISITION OF LAND.
Modes of Acquisition
4. Modes of acquisition.

Acquisition by Agreement
5. Acquisition by agreement.
6. Effect of conveyance of Crown land.

Acquisition by Compulsory Process
7. Notice to treat.
8. Compulsory acquisition.
9. Conversion of estates and interests into claims for compensation.
10. Validity of authorisations.









The Land Acquisition Act, 1959 531


11. Superior court may adjust rights and determine basis of compensa-
tion.
12. Notice to owner.
13. Registration of notification.
PART III
PROCEDURE FOR AUTHORISING ACQUISITION
BY COMPULSORY PROCESS
14. Notice of proposal to acquire.
15. Objections to proposed acquisition,
16. Reasons for proposed acquisition.
17. Appointment of inspector.
18. Holding of inquiry.
19. Submission of report to Governor-General.
20. Consolidation of objections at inquiry.
21. Copy of report to be given to objector.
22. Reasons for decision to be given to objector.
23. Special powers for acquisition of land in urgent cases.
PART IV
POWERS IN RELATION TO LAND
24. Power to examine lands.
25. Power to occupy lands temporarily.
26. Power to take materials, make roads, etc., on or from adjacent
lands.
27. Compensation for damage to land.
PART V
COMPENSATION FOR ACQUISITION BY
COMPULSORY PROCESS
Claims for Compensation
28. Making, acceptance and rejection of claims.
29. Proceedings where claim rejected.

Principles upon which Compensation is to be Assessed
30. Crown land.
31. Matters to be considered in determining compensation.

Determination of Compensation by Agreement
32. Agreement as to amount of compensation before acquisition.
33. Determination of compensation by agreement after acquisition.
Determination of Compensation by Arbitration
34. Determination of claim by arbitration.
35, Revocation of agreement to arbitrate, .









The Land Acquisition Act, 1959


Determination of Compensation by a Court
36. Proceedings for determination of compensation.
37. Determination of compensation on application of Competent
Authority.
38. Payment of compensation determined.

Payment of Compensation and Interest
39. Payment of compensation.
40. Deposit of compensation with Accountant General.
41. Payment out by Accountant General.
42. Order that claimant is entitled to compensation.
43. Interest on compensation.

PART VI
PERSONS UNDER DISABILITY AND CERTAIN
LIMITED OWNERS
44. Powers of persons under disability and certain limited owners.
45. Extent of powers under section 44.
46. Application of purchase money.

PART VII
MORTGAGES OVER LAND ACQUIRED BY
COMPULSORY PROCESS
47. Mortgage moneys barred by statutes of limitations.
48. Rights of mortgagee on acquisition of land.
49. Owner may be required to furnish particulars of mortgages.
50. Interest, &c. paid by mortgagor after date of acquisition.
51. Court may order stay of proceedings under mortgage.
52. Separate rights of mortgagee and mortgagor to determination of
compensation.
53. Compensation to mortgagee.
54. Deduction of mortgagee's compensation from mortgagor's compensa-
tion.
55. Execution of discharge.
56. Rights of mortgagor where mortgagee does not claim compensation.
57. Preservation of certain rights of mortgagee.

PART VIII
DEALINGS IN LAND VESTED IN THE CROWN
58. Mining leases and licences.
59. Vesting of lands in statutory authorities.
60. Disposal of land vested in the Crown.
61. Power to dedicate lands.
62. Use of land.









The Land Acquisition Act, 193 33

PART IX
MISCELLANEOUS
63. Competent Authority may pay rates, &c.
64. Terms and conditions under which persons may remain in
possession of acquired land.
65. Warrants to obtain possession of land.
66. Costs of producing documents, etc.
67. Payments to be a good discharge.
68. Execution of documents for and on behalf of the Crown.
69. Costs.
70. Delegation.
71. Notice of signature.
72. Service of notices, &c.
73. Regulations.
74. Appropriation of funds for purposes of the Act.








534 The Land Acquisition Act, i939


I ASSENT

R. D. H. ARUNDELL
[L.S.]
ACTING GOVERNOR-GENERAL

13th July, 1959





An Act to make provision for the acquisition of
land for the purposes of the Federal Government and for
dealing with land so acquired, and for other purposes
incidental thereto.

Be it enacted by the Queen's Most Excellent
Majesty, by and with the advice and consent of the Senate
and the House of Representatives of The West Indies, and
by the authority of the same, as follows:-
PART I
PRELIMINARY

Short title 1. (1) This Act may be cited as the Land Acquisition
and appli- Act, 1959.
cation.
(2) This Act shall apply to the Cayman Islands and
the Turks and Caicos Islands.
Interpre- 2. (1) In this Act unless the context otherwise
station. requires-

"claimant" means a person who has made a claim
for compensation under this Act;
"Competent Authority" means the Competent
Authority appointed under section 3 of this
Act;








The Land Acquisition Act, 1959 535

"Crown land" means land vested in the Crown in
right of a Territory or in any person or
authority for the purposes of the government
of a Territory, but does not include an interest
of any other person in such land;
"interest" in relation to land means-
(a) a legal or equitable estate or interest
in the land; or
(b) a right, power or privilege over, or in
connection with, the land;
"land" includes an interest in land;
"lease" includes an agreement for a lease;
"mortgagee", in relation to a mortgage, means the
person for the time being entitled to the
moneys secured by the mortgage;
"mortgagor", in relation to a mortgage, means
the person who would for the time being be
the owner of the land subject to the mortgage
if that mortgage was discharged;
"-notice to treat", means a notice to treat for the
sale of land given under section 7 of this Act;
"person" includes the Crown in right of a
Territory;
"superior court", in relation to proceedings in
connection with land other than proceedings
in respect of which exclusive jurisdiction is
vested by the Constitution in the Federal
Supreme Court, means any court exercising
Original civil jurisdiction that is or forms part
of a superior court of record established for
the Territory in which the land is situated
and includes, in relation to the Cayman
Islands and the Turks and Caicos Islands
respectively, the Grand Court of the Cayman
Islands and the Supreme Court of the Turks
and Caicos Islands, and, in relation to
proceedings in respect of which exclusive








The Land Acquisition Act, 1959


jurisdiction is so vested in the Federal
Supreme Court, means the Federal Supreme
Court;
"the date of acquisition", in relation to land
acquired by compulsory process under this
Act, means the date on which the notice under
section 8 of this Act in respect of that land is
published in the Gazette.

(2) A reference in this Act to the acquisition of land
includes a reference to the extinction of an interest in land
by virtue of subsection (4) of section 8 of this Act.

Appoint- 3. (1) The Governor-General may appoint, either
o com- generally or for the purpose of the acquisition of any
petent specified land, any person to be the Competent Authority for
Authority. the purposes of this Act.

(2) Any appointment under the preceding subsection
shall be notified in the Gazette.

(3) The Competent Authority shall have such powers
and duties as are conferred and imposed upon him under the
provisions of this Act and, subject to the provisions thereof,
shall carry out his functions in accordance with the
directions. of the Governor-General.
PART II
ACQUISITION OF LAND.
Modes of Acquisition
Modes of 4. Land may be acquired under this Act for any
Acquisition. purpose of the Federal Government-

(a) by agreement; or

(b) by compulsory process.
Acquisition by. Agreement
Acquisition 5. (1) The Governor-General may authorise the acquisi-
entee- tion by agreement of land, wherever situated, for any purpose
of the Federal Government approved by him,







The Land Acquisition Act, 1959 537

(2) Any land acquired under this section shall vest in
the Crown in right of the Federation.

(3) Where the land which is acquired under this
section is Crown land or is, or is the equivalent of, an estate
in fee simple all rights of the Crown of whatever kind in the
land shall from the date on which the land vests in the Crown
in right of the Federation be deemed to be vested in the
Crown in right of the Federation.

(4) The land acquired under this section may be an
easement, right, power, privilege or other interest, which did
not previously exist as such, in, over or in connection with
land.

6. (1) Where, in pursuance of any authorisation of the Effect of
Governor-General under section 5 of this Act, an agreement convyance
is entered into for the acquisition of Crown land, an instru- land.
ment or assurance executed by the Governor of the Territory
in which the land is situated, or by a public officer of the
Territory designated in writing by the Governor of the
Territory in pursuance of this subsection, for the purpose of
carrying out the agreement shall, by force of this Act and
notwithstanding anything in any law in force in the Territory,
be valid and effectual to vest the land in the Crown in right
of the Federation according to the tenor of the instrument or
assurance, but nothing in this subsection shall be construed
so as to prejudice the operation of subsection (3) of section
5 of this Act in relation to such land.

(2) Where the Crown land is land which, under the
laws of the Territory, has been granted, dedicated or
reserved for a public purpose of the Territory, an instrument
or assurance referred to in the last preceding subsection
shall operate, by force of this Act, to vest the land in the
Crown in right of the Federation freed from any trusts,
restrictions or obligations arising out of the grant, dedication
or reservation.
Acquisition by Compulsory Process
7. (1) No land shall be acquired by compulsory process Notice to
under this Act unless the Competent Authority has 'first treat
caused to be served upon each of the owners of the land, or
such of them as can, after diligent inquiry, be ascertained,







The Land Acquisition Act, 1959


a notice inviting the person on whom the notice is served
to treat with the Competent Authority for the sale of the-
interest of that person in the land.
(2) Where service on an owner cannot be effected
under the last preceding subsection in accordance with section
72 of this Act, service on that owner may be effected by
causing a copy of the notice to treat to be published in the
Gazette and in three successive issues of a newspaper
circulating in the Territory in which the land is situated
and-
(a) if the land is occupied, leaving a copy of the
notice to treat with the occupier; or
(b) if the land is not occupied, affixing, if
practicable, a copy of the notice to treat to
a conspicuous part of the land,
and the notice to treat shall be deemed to have been so
served on the day on which the copy is last published as
aforesaid, is so left with the occupier or is so affixed, which-
ever last occurs.

(3) Where, in relation to any land, a notice to treat
has been served in accordance with subsection (1) or
subsection (2) of this section it shall not be necessary for
the Competent Authority to serve any further notice to treat
in relation to such land solely on account of any change in
ownership of the land after the date on which the notice is
served under subsection (1) of this section or is deemed to
have been served under subsection (2) of this section as the
case may be.
(4) A person served with a notice to treat in respect
of land may, not later than twenty-one days after the service
of the notice, furnish to the Competent Authority particulars
of-
(a) the interest claimed by him in the land;
(b) the amount for which he is agreeable to sell
his interest in the land; and
(c) the name and address of any other person
known to him to have an interest in the land
and the nature of that interest.







The Land Acquisition Act, 1959 539

(5) Upon receipt of the particulars referred to in the
last preceding subsection the Competent Authority may treat
with the person furnishing the particulars for the acquisition
of the interest of that person in the land by agreement and
may enter into an agreement with that person for that
acquisition subject to the authorization of the Governor-
General.

(6) The Competent Authority may, by notice in
writing to a person served with a notice to treat, withdraw
the notice to treat.

(7) This section shall not apply in a case in which
the Governor-General certifies that there are special reasons
why the section should not apply.

8. (1) Without prejudice to the liability of the Crown Compulsory
under any contract for the acquisition of land by agreement acquisition.
under this Act and subject to the provisions of subsection (2)
of this section, where-
(a) a period of thirty-six days has expired
after the service of a notice to treat, or of
notices to treat, in relation to land, or
(b) the Governor-General has given a certificate
under subsection (7) of section 7 of this Act
in relation to land,

the Governor-General may authorise that the land or any
interest in the land (not including an interest in respect of
which a notice to treat has been withdrawn) be acquired by
compulsory process under this Act for any purpose of the
Federal Government approved by him.
(2) No authorisation shall be given by the Governor-
General under subsection (1) of this section in respect of any
land to which the provisions of Part III of this Act applies
unless the requirements of those provisions, or such of them
as are applicable, have been complied with.
(3) The Competent Authority shall cause to be
published in the Gazette a notice of any authorisation by the
Governor-General under subsection (1) of this section and,
in the notice, shall declare that the land has been acquired








The Land Acquisition Act, 1959


under this Act for the purpose of the Federal Government
approved by the Governor-General.

(4) Upon the publication of the notice in the Gazette,
the land to which the notice applies shall, by force of this
Act-
(a) be vested in the Crown in right of the
Federation; and

(b) be freed and discharged from all interests,
trusts, restrictions, dedications, reservations,
obligations, contracts, licences, charges and
rates,
to the intent that the legal estate in the land and all rights
and powers incident to that legal estate or conferred by this
Act and, where the land to which the notice applies is Crown
land or is, or is the equivalent of, an estate in fee simple, all
rights of the Crown of whatever kind in the land, shall be
vested in the Crown in right of the Federation.

(5) The land acquired under this section may be an
easement, right, power, privilege or other interest, which
did not previously exist as such, in, over or in connection
with land.

Conversion 9. (1) Subject to the next succeeding subsection, the
of estates
and interest of every person in the land to which a notice under
interests section 8 of this Act applies, and, if the land so described
into claims
for cor- is Crown land, the property of the Crown in right of the
pensation. Territory in which the land is situated, shall, on the date of
acquisition of the land, be converted into a right to com-
pensation under this Act.

(2) Where, in accordance with subsection (5) of
section 8 of this Act, an easement, right, power, privilege or
other interest in, over or in connection with land is acquired,
the interest of every person in that land shall, on the date
of the acquisition, and to the extent to which that interest
is affected by the acquisition, be converted into a right to
compensation under this Act.







The Land Acquisition Act, 1959


10. (1) If any person aggrieved by an authorisation of Validity of
authorisa-
the Governor-General under subsection (1) of section 8 of tions.
this Act desires to question the validity thereof on the ground
that the authorisation is not empowered to be granted under
this Act or on the ground that any requirement of this Act
or of any regulation made thereunder has not been complied
with in relation to the authorisation, he may, within six
weeks from the date on which notice of the authorisation is
published in the Gazette, make an application to a superior
court and on any such application the court-

(a) may by interim order suspend the. operation
of the authorisation either generally or in so
far as it affects any property of the applicant,
until the final determination of the proceed-
ings;

(b) if satisfied that the authorisation is not
empowered to be granted under this Act or
that the interests of the applicant have been
substantially prejudiced by any requirement
of this Act or of any regulation made there-
under not having been complied with, may
quash the authorisation either generally or in
so far as it affects any property of the
applicant.

(2) Subject to the provisions of the preceding sub-
section an authorisation of the Governor-General under
subsection (1) of section 8 of this Act shall not be questioned
in any legal proceedings whatsoever.

11. (1) Notwithstanding anything contained in this Act superior
where land is acquired by compulsory process under this Act, court may
a superior court may, upon the application of the Competent rights and
Authority or any person interested, make such orders as it determine
basis of
thinks proper for declaring or adjusting rights and liabilities compen-
in connection with the land or with transactions in relation station.
to the land or otherwise affected by the acquisition.

(2) Without limiting the generality of the powers
conferred by the last preceding subsection, the orders which
may be made under that subsection include-







542 The Land Acquisition Act, 1959

(a) an order for the payment or repayment of
moneys;
(b) an order discharging a person from an obliga-
tion to pay moneys;
(c) where there was a subsisting contract of sale
of the land, an order with respect to the
rights and liabilities of the parties to that
contract; and
(d) where there was a charge or encumbrance
over the land,-
(i) an order releasing a person in whole or
in part from a personal covenant or
obligation in relation to the charge or
encumbrance; and
(ii) an order apportioning the charge or
encumbrance between the land acquired
and other land subject to the charge or
encumbrance.

(3) Notwithstanding anything contained in this Act, a
superior court may, in proceedings under this section or upon
the application of the Competent Authority or a claimant,
make such order as it thinks proper in the special
circumstances of a particular case declaring the basis upon
which compensation in respect of the acquisition of any land
acquired under this Act by compulsory process is to be
determined, and the compensation shall be determined
accordingly.

(4) Where a court has made an order under subsection
(1) of this section in relation to any land, compensation in
relation to that land shall, subject to any order made under
the last preceding subsection but notwithstanding any other
provision of this Act, be determined having regard to the
effect of the first-mentioned order.

(5) Where the Competent Authority is not a party to
proceedings under this section, the court may order the com-
petent Authority to be joined as a party if the court thinks
it desirable to do so .either in relation to the making of an
order as to costs or otherwise.







The Land Acquisition Act, 1959 543

12. (1) Where land is acquired by compulsory process Notice to
under this Act, the Competent Authority shall, as soon as owner.
practicable after the date of acquisition of the land, cause a
copy of the notice of acquisition of the land published under
section 8 of this Act to be served upon the owners of the land,
or such of them as can, after diligent inquiry, be ascertained.

(2) Where-

(a) the Competent Authority is unable, after dili-
gent inquiry, to ascertain the identity of an
owner; or
(b) service on an owner cannot be effected under
the last preceding subsection in accordance
with section 72 of this Act,

service on that owner may be effected by causing a copy of
the notice of acquisition to be published in three successive
issues of a newspaper circulating in the Territory in which
the land is situated and-

(c) if the land is occupied, leaving a copy of the
notice of acquisition with the occupier; or
(d) if the land is not occupied, affixing, if practi-
cable, a copy of the notice of acquisition to a
conspicuous part of the land.

13. (1) Where land has been acquired by compulsory pro- Registra-
cess under this Act, the Competent Authority may lodge with tion of
the Registrar of Titles or other proper officer of the Territory notification.
in which the land is situated a copy, certified under the hand
of the Competent Authority, of the notice of acquisition of
the land published under section 8 of this Act.

(2) The officer with whom the copy of a notice of
acquisition is lodged in pursuance of the last preceding
subsection may register the acquisition in the manner as
nearly as may be in which dealings with land are registered,
and may deal with and give effect to the copy of the notice of
acquisition as if it were a grant, conveyance, memorandum
or instrument of transfer of the land to the Crown in right
of the Federation duly executed under the laws in force in
the Territory in which the land is situated.







544 The Land Acquisition Act, 1959

PART III
PROCEDURE FOR AUTHORISING ACQUISITION
BY COMPULSORY PROCESS
Notice of 14. (1) Before the Governor-General authorises the
proposal to
acquire compulsory acquisition of any land under subsection (1) of
section 8 of this Act, the Competent Authority shall-

(a) publish in the Gazette and in three successive
issues of a newspaper circulating in the
Territory in which the land is situated a notice
of the proposed acquisition;

(b) cause to be served upon each of the persons
who are owners of the land at the date of the
first publication of such notice, or such of
them. as can, after diligent inquiry, be
ascertained, a copy of such notice; and

(c) if practicable, cause a copy of such notice to be
affixed to some conspicuous part of the land.

(2) The notice of the proposed acquisition shall
contain the following particulars-

(a) a description of the land proposed to be
acquired including its location, area and
boundaries;

(b) the purpose for which the land is required;

(c) the time within which and the manner in
which objection to the proposed acquisition
may be made;

(d) the address for service of the Competent
Authority.

Objections 15. (1) Within forty days of the last publication of the
tusitio notice under paragraph (a) of section 14 of this Act any
person having an interest in the land may serve on the
Competent Authority notice of objection to the proposed
acquisition.







The Land Acquisition Act, 1959 545

(2) The notice of objection shall contain the name and
address of the objector or his legal representative and shall
state in full the grounds upon which the objection is based,
and may propose alternative land for the purposes of the
proposed acquisition.

16. As soon as practicable after a notice of objection Reasons for
has been served on the Competent Authority under section acquisition.
15 of this Act and in any event before the holding of an
inquiry under section 18 of this Act, the Competent Authority
shall serve on the objector a statement of the reasons for
the proposed acquisition including the grounds for the choice
of site.

17. (1) Where notice of any objection has been given Appoint-
under section 15 of this Act, the Governor-General shall ent or.
appoint an inspector, who may be a public officer of the
Federation, to inquire into such objection.

(2) Every appointment of an inspector under this Act
shall be notified in the Gazette.

18. (1) The inspector shall, as soon as practicable after Holding of
his appointment, arrange for the holding of an inquiry into inquiry.
the objection and shall notify the objector and the Competent
Authority of the time and place at which the inquiry is to be
held.

(2) For the purposes of the inquiry the inspector
shall-

(i) give the objector and the Competent
Authority an opportunity of being heard,
either in person or by legal representa-
tives;

(ii) consider such evidence, either oral or
documentary, as the objector and the
Competent Authority may present, and
such other evidence as the inspector
thinks desirable for the purpose of
properly inquiring into the objection:







546 The Land Acquisition Act, 1959

Provided that the inspector shall give the
objector and the Competent Authority an opportunity of
commenting upon any statement, representation or evidence
presented by the Competent Authority and the objector,
respectively.

(3) The inspector may, with the consent of the
Governor-General, hold the inquiry or any part thereof in
public and shall do so whenever directed by the Governor-
General.

(4) Unless the Competent Authority and every
objector otherwise agree the inquiry shall be held in the
Territory in which the land proposed to be acquired is
situated.

Submission 19. The inspector shall on completion of the inquiry,
of report to submit a report to the Governor-General which shall contain
General. the following matters-

(a) a summary of the reasons advanced by the
objector against the proposed acquisition;

(b) a summary of the reasons advanced by the
Competent Authority in support of the
proposed acquisition;

(c) in cases where alternative land has been
proposed by the objector-

(i) a summary of the reasons advanced by
the objector in support of the suitability
of such alternative land;

(ii) a summary of the reasons advanced by
the Competent Authority against the
suitability of such alternative land;

(d) any factors or considerations to which the
inspector thinks special attention ought to be
drawn.







The Land Acquisition Act, 1959 547

20. Where, in respect of the proposed acquisition of onslida
land, more than one notice of objection has been served on objections
at inquiry.
the Competent Authority the inspector shall, unless for
special reasons he considers it to be undesirable to do so,
consider all such objections at one inquiry and shall submit
one report to the Governor-General in respect thereof.

21. The inspector shall cause a copy of his report repot t be
submitted to the Governor-General in accordance with section given to
objector.
19 of this Act to be served on the objector, unless in any
particular case the Governor-General shall otherwise direct.
Reasons for
22. Where a notice of objection has been served on the decision to
Competent Authority in respect of the proposed acquisition bej gien to
of any land by compulsory process under this Act and,
subsequent thereto, the Governor-General authorises such
acquisition the Governor-General shall furnish the objector
with a statement in writing of the reasons why he considers
that the land should be acquired as aforesaid if requested by
the objector to state such reasons on or before the date of the
publication of the notice of acquisition required to be
published under subsection (3) of section 8 of this Act.

Provided that the statement may be refused or the
specification of the reasons restricted if in the opinion of the
Governor-General it is desirable in the interest of public
security so to do.

23. Where the Governor-General is satisfied that it is Special
powers for
expedient that any land should be acquired by compulsory quisition
process under this Act for any purpose of the Federal lnd in
Government and that it is urgently necessary in the public cases.
interest that such land should be acquired as aforesaid
without delay, he may make a declaration to that effect and,
thereupon, the provisions of this Part of this Act shall have
no application to such land and if any proceedings have been
commenced under such provisions in respect of the proposed
acquisition of the land, such proceedings shall be dis-
continued.







548 The Land Acquisition Act, 1959

PART IV
POiWERS IN RELATION TO LAND
Power to 24. (1) The Competent Authority or any person autho-
land.ne raised in writing by the Competent Authority to act under
this section may, for the purpose of ascertaining whether
land is suitable for a purpose of the Federal Government or
of surveying or obtaining information in relation to land
which he considers suitable for such a purpose,-
(a) enter upon the land, or upon adjoining land,
with such persons, vehicles and things as he
thinks fit; and

(b) make surveys, take levels, sink pits, examine
the soil and do any other thing in relation to
the land:

Provided that neither the Competent Authority
nor any person authorised by him shall enter any land as
aforesaid without previously giving the occupier thereof at
least seven days' notice in writing of his intention to do so.

(2) If a person hinders or obstructs a person autho-
rised under this section to enter on land in the exercise of
any of his powers under this section in relation to that land,
a court of summary jurisdiction may, on the application of
the person so authorised, grant a warrant authorising a
person named in the warrant to enforce the entry upon the
land, and to prevent hindrance or obstruction to the exercise
of any power under this section in relation to the land, and
for those purposes to use such force and assistance as are
necessary, and the entry upon, and the examination of, the
land may be enforced in accordance with the warrant.

(3) Where any person hinders or obstructs the
exercise of any powers under a warrant issued under sub-
section (2) of this section he shall be guilty of an offence
against this Act and shall be liable on summary conviction
to a fine not exceeding five hundred dollars or to imprison-
ment for a term not exceeding six months or to both such
fine and imprisonment.







The Land Acquisition Act, 1959 549

25. Where land is vested in the Crown in right of the Power to
occupy
Federation under this Act, the Competent Authority or a lands tem-
person authorised by the Competent Authority may, with porarily.
such other persons as he thinks necessary, enter land within
a distance of two hundred yards from the nearest boundary
of the land so vested and may occupy the land so entered for
so long as is necessary for the purposes of any works
connected with the carrying out of a purpose of the Federal
Government:

Provided that neither the Competent Authority
nor any person authorised by him shall enter any land as
aforesaid without previously giving the occupier thereof at
least seven days' notice in writing of his intention to do so.

26. (1) The Competent Authority or a person authorised Power to
by the Competent Authority under section 25 of this Act to trials,
enter land may- make roads,
etc., on or
from
(a) in connection with the carrying out of a adjacent
purpose of the Federal Government on or
from that land-

(i) construct, build or place any plant,
machinery, equipment or goods;

(ii) take or deposit sand, clay, stone, earth,
gravel, timber, wood or other materials
or goods;

(iii) make roads, cuttings or excavations;

(iv) erect workshops, sheds and other build-
ings of a temporary character; and

(v) manufacture and work materials of any
kind; and

(b) demolish, destroy or remove any plant,
machinery, equipment, goods or buildings
constructed, built, placed or erected on land
in pursuance of the last preceding paragraph.







550 The Land Acquisition Act, 1959

(2) The power to take clay, stone or earth shall not be
exercised in respect of any quarry, pit or other like place
commonly worked or used for getting materials for the
purposes of sale or disposal.

Compen- 27. Where the owner of an interest in land suffers loss
damage o or damage by reason of the exercise, in relation to the land,
land. of the powers conferred by this Part of this Act, there shall
be payable to him from the public funds of the Federation
such compensation as is determined by agreement between the
owner and the Competent Authority or, in the absence of
agreement, by a superior court on application by the owner.

PART V
COMPENSATION FOR ACQUISITION BY
COMPULSORY PROCESS
Claims for compensation
Making, 28. (1) A person who has a right to compensation under
aceptan section 9 of this Act may make a claim for compensation in
rejection accordance with the prescribed form stating the amount of
of claims, compensation claimed.

(2) Compensation shall not be payable to a person in
respect of an interest in land acquired under this Act by
compulsory process if-

(a) a claim for compensation in accordance with
the last preceding subsection is not served on
the Competent Authority by that person in
respect of that interest within four months
after the date of acquisition or within such
further time as the Competent Authority
allows, and

(b) the interest is inconsistent with an interest
claimed by another person in respect of which
the Competent Authority has, in good faith,
paid or agreed to pay compensation,

but nothing in this subsection shall affect any right of action
or other claim which a person may have against any other
person who has received, or claims to be entitled to receive,
any compensation paid or agreed to be paid under this Act.







The Land Acquisition Act, 1959


(3) Where a claim for compensation is made the Com-
petent Authority shall, except where compensation is not
payable by reason of the operation of the last preceding
subsection, consider the claim and, if satisfied that the
claimant has produced prima facie evidence that he had,
immediately before the date of acquisition of the land, the
interest claimed by him in the land, the Competent Authority
shall accept the claim for determination, but, if not so
satisfied, the Competent Authority shall reject the claim.

(4) The Competent Authority shall, within three
months after a claim for compensation is made, notify the
claimant whether he accepts the claim for determination or
rejects the claim and, if the Competent Authority fails to
notify the claimant accordingly, the Competent Authority
shall be deemed to have accepted the claim for determination.

(5) The acceptance of a claim for determination under
this section shall not entitle the claimant to payment of
compensation otherwise than in accordance with sections 39,
40, 41, 42, and 43 of this Act.
29. (1) Where a claim for compensation has been rejected Proceed-
s o rings where
by the Competent Authority under subsection (3) of section sai ere
28 of this Act, the claimant may apply to a superior court rejected.
claiming a declaration that he was, immediately before the
date of acquisition of the land, entitled to the interest
specified in the claim made to the Competent Authority.

(2) The court, after notice to such persons as it
directs, shall hear the application and may declare that the
claimant was entitled to the interest specified in his claim
to the Competent Authority or to some other interest or may
dismiss the action.
(3) For the purposes of this Act an order of a court
under this section shall be binding on the Crown in right of
the Federation and on all persons who had interests in the
land immediately before the date of acquisition of the land,
whether or not they were represented before the court on the
hearing of the application.
(4) Where a court, in pursuance of this section,
declares that a claimant had an interest in land, compensation
in respect of that interest shall be determined in accordance








The Land Acquisition Act, 1959


with this Act as if the claim had been accepted by the Com-
petent Authority and, if the interest declared by the court
differs from the interest specified in the claim to the Com-
petent Authority, the claim shall be deemed to be amended
accordingly.

(5) Where, in relation to a claim for compensation
that has been rejected by the Competent Authority -

(a) the claimant does not, within thirty days after
the service on him of the notice of rejection
of the claim or within such further time as
the Competent Authority allows, make an
application to a superior court under this
section in relation to the claim; or

(b) the claimant has so applied to a superior court
and-

(i) the application has been dismissed, either
by the court of first instance or as a
result of an appeal; and

(ii) a period of not less than thirty days has
elapsed since the dismissal of the
application and no appeal or further
appeal by the claimant (including an
application for leave to appeal) is
pending,

compensation may be paid under this Act in respect of the
acquisition on the basis that the claimant was not, at the
date of acquisition, entitled to the interest the subject of
the claim and, where compensation is paid in respect of
an interest which is inconsistent with the interest the subject
of the claim, no compensation shall be payable in respect of
that last-mentioned interest.

(6) A court to which an application is made under
this section may, upon the application of the Competent
Authority, the claimant or any other person appearing to the
court to have a sufficient interest to justify the application
(which application may be made at any time after the filing
of the original application in the matter, whether before or








The Land Acquisition Act, 1959


after the making of any declaration under subsection (2)
of this section), order that the proceedings shall be treated
as including proceedings duly instituted under section 36
of this Act for determination of the amount of compensation
payable under this Act in respect of the interest, if any,
which the court declares the claimant to have had.

(7) The provisions of section 36 of this Act, other
than subsections (1) and (2), shall apply to and in relation
to proceedings consequent upon the making of an order
under the last preceding subsection.

Principles upon which Compensation is to be Assessed

30. Where Crown land is acquired by compulsory Crown land.
process compensation shall be payable as if such land had
been held for an estate in fee simple and that estate had
been subject to any interest which a person other than the
Crown had in the land immediately before the date of
acquisition.

31. (1) In the determination of the amount of compensa- Matters to
be con-
tion payable in respect of land compulsorily acquired under sidered in
this Act- determining
compen-
sation.
(i) the following and no other matters shall be taken
into consideration-
(a) the value of the land at the date of acquisition;
(b) the damage, if any, sustained by the claimant
by reason of the severing of such land from
other land vested in him;
(c) the damage, if any, sustained by the claimant
by reason of the acquisition injuriously
affecting his other property (whether movable
or immovable) or his earnings;
(d) the reasonable expenses, if any, incidental to
any change of residence or place of business
of the claimant which is necessary in conse-
quence of the acquisition;

(ii) the following matters shall not be taken into
consideration-







554 The Land Acquisition Act, 1959

(a) the degree of urgency or necessity which has
led to the acquisition;
(b) any disinclination of the claimant to part with
the land;
(c) any damage sustained by the claimant which,
if caused by a private person, would not
render such person liable to an action;
(d) any damage, not being in the nature of
deprivation of or interference with an ease-
ment or legal right which after the deter-
mination of the compensation payable under
this Act is likely to be caused by or in
consequence of the use to which it will be put;
(e) any increase to the value of the land which is
likely to accrue from the use to which the
land will be put;
(f) the special suitability or adaptability of the
land for any purpose to which it could be
applied only in pursuance of statutory powers,
or for which there is no market apart from
the special needs of a particular purchaser or
the requirements of the Federal Government,
of the Government of the Territory in which
the land is situated, or any local or public
authority.

(g) the fact that the land has been compulsorily
acquired.
(2) For the purposes of subparagraph (a) of para-
graph (i) of this section-
(a) the value of the land shall, subject to the
provisions of this section, be taken to be the
amount which the land if sold in the open
market by a willing seller might be expected
to realise at the date of acquisition, provided
always that a superior court shall be
entitled to consider all returns of capital
value for taxation made or acquiesced in by
the claimant;







The Land Acquisition Act, 1959 555

(b) if the value of the land has been increased by
means of any outlay or improvement which
shall have been made, commenced or effected
within one year immediately preceding the
date of acquisition, such increase shall be
disregarded unless it is proved that the outlay
or improvement was made bona fide and not
in contemplation of proceedings for the
acquisition of the land under this Act;

(c) if the value of land has been increased by
reason of the use thereof or of any premises
thereon in a manner which could be restrained
by any court or is contrary to law or is
detrimental to the health of the inmates of
the premises or to the public health, Isuch
increase shall be disregarded.

(3) Where the land compulsorily acquired under this
Act is, and but for the compulsory acquisition would continue
to be, devoted to a purpose of such a nature that there is no
general demand or market for land for that purpose, the
compensation may, if that reinstatement in some other
place is bona fide intended, be assessed on the basis of the
reasonable cost of equivalent reinstatement.

(4) Compensation in respect of severance may be
assessed on the footing that any specified works, crossings,
or access agreed to by or on behalf of the Competent
Authority shall be erected, provided, and allowed, and any
such agreement shall be reduced into writing and be signed
by the claimant and the Competent Authority and shall be
valid and effectual and binding on the Crown in right of the
Federation and on the claimant and his successors in title.

Determination of Compensation by Agreement
32. (1) The Competent Authority may enter into an Agreement
as to
agreement with the owner of land as to the amount of mount of
compensation to which the owner will be entitled if the land conpen-
sation
is compulsorily acquired under this Act within a time before
specified in the agreement. acquisition.







The Land Acquisition Act, 1959


(2) If the land is compulsorily acquired under this Act
within the time specified in the agreement and while the
owner who made the agreement is still the owner of the land,
the compensation payable to the owner in respect of the
acquisition shall be deemed to have been determined by
agreement as the amount specified in the agreement.

Determi- 33. Where a claim for compensation is accepted for
ompen- determination under section 28 of this Act, the amount of
station by compensation to be paid may be determined by agreement
afement between the Competent Authority and the claimant.
acquisition.
Determination of Compensation by Arbitration
uetermi- 34. (1) The Competent Authority and a claimant may,
nation of
claim by instead of determining by agreement the amount of
arbitration, compensation to be paid in respect of the acquisition of any
land by compulsory process, agree to submit the determina-
tion of that amount to arbitration in accordance with this
section.

(2) Where an agreement for arbitration is so made,
the law relating to arbitration (other than the law relating
to the enforcement of awards made upon arbitration) of such
Territory as is specified for the purpose in the agreement shall
apply, subject to the agreement, to and in relation to the
agreement and to and in relation to the arbitration under the
agreement.
Revocation 35. (1) If, at any time after an agreement for arbitration
ofe agre- is made in relation to a claim by a person in respect of an
arbitrate, interest in land and before the award is made upon the
arbitration in pursuance of that agreement, another person
makes a claim for compensation in relation to that interest
or another interest in that land or the Competent Authority
has notice of another person who may be entitled to make
such a claim, the Competent Authority may revoke the
agreement.
(2) Where the Competent Authority revokes an
agreement under the last preceding subsection the reasonable
costs of and incidental to the agreement and, if the
arbitration has commenced, of and incidental to the
arbitration shall be payable out of the public funds of the
Federation.







The Land Acquisition Act, 1959


Determination of Compensation by a Court
36. (1) Where, in the case of a claim for compensation Proceed-
which has been accepted by the Competent Authority- determi
nation of
(a) a period of three months has elapsed since cogpen-
the claim was made, but the compensation
has not been determined by agreement, or

(b) before that period has elapsed, the Competent
Authority has made an offer in writing to
the claimant of an amount as compensation
but the claimant has not accepted that
amount or any other amount offered by the
Competent Authority,

the claimant may, unless an agreement for the determination
of the compensation by arbitration is in force, apply to a
superior court for determination of the amount of compensa-
tion payable under this Act in respect of the interest the
subject of the claim.

(2) The application shall state the amount of
compensation which the claimant claims and the interest in
respect of which it is claimed.

(3) Subject to the succeeding provisions of this
section, the proceedings shall be instituted, conducted, heard
and determined as nearly as may be in the same manner as
actions in contract are instituted, conducted, heard and
determined in the court in which the proceedings are
instituted.
(4) The proceedings shall be tried without a jury but
the court may, if it thinks fit, and shall on the request of any
of the parties to the proceedings, call in the aid of an assessor
who, in the opinion of the court, is specially qualified by
reason of his knowledge and experience to assist in the
determination of the compensation to be paid, and determine
the proceedings wholly or partially with his assistance.

(5) The remuneration, if any, to be paid to an
assessor under this section shall be determined by the court
and be paid in the first instance by the Competent Authority
and shall be deemed to be costs in the proceedings.







The Land Acquisition Act, 1959


(6) Where proceedings under this section have been
instituted in relation to an interest in land, the court may,
on the application of the Competent Authority, by order
direct any other person who has claimed compensation arising
out of the acquisition of that interest or of another interest
in that land acquired at the same time, or who appears or
claims to have had, immediately before the date of acquisi-
tion, an interest in that land that has been acquired at the
same time, to join as a plaintiff in the proceedings within
a time specified in the order.

(7) If a person so directed fails to join as a plaintiff
within the time specified in the order he shall not be entitled
to recover any compensation arising out of the acquisition
of the interest that was the original subject of the
proceedings or any other interest in the same land that was
acquired at the same time.

Determina- 37. (1) Where-
tion of
compen-
sation on (a) a period of six months has elapsed since the
ppication date of acquisition of land and a claim for
petent compensation has not been made in respect
Authority. of an interest in the land, or

(b) the Competent Authority has made an offer in
writing to the claimant of an amount of
compensation in respect of an interest
claimed by the claimant in the land and-

(i) the compensation has not, within sixty
days after the making of the offer or
within such further time as the Compe-
tent Authority, on the application of the
claimant, has allowed, been determined
by agreement, by arbitration or by a
court, and

(ii) proceedings for determination of com-
pensation instituted by the claimant
under section 36 of this Act, or proceed-
ings in an arbitration in respect of the
claim, are not pending,







The Land Acquisition Act, 1959 559

the Competent Authority may apply to a superior court for
a determination under this section in respect of the interest
concerned.

(2) The court, after notice to such persons as it
directs, shall hear the application and determine the amount
of compensation payable in respect of the interest the subject
of the application.

(3) The Competent Authority may, in an application
under this section arising out of paragraph (a) of subsection
(1) of this section, request the court to determine the person
or persons who, immediately before the date of acquisition,
had an interest or interests in the land, and the nature of
the interest or interests, and the court shall, after notice to
such persons as it directs, determine those matters
accordingly.

(4) A determination of a court under this section shall
be binding on the Crown in right of the Federation and the
claimant and on all persons who had interests in the land at
the date of acquisition of the land whether or not they were
represented before the court on the hearing of the applica-
tion.

38. Nothing in this Part of this Act, or in a Payment of
determination of a court, or an award upon an arbitration, atonen
under this Part of this Act, shall entitle a person to receive determined.
payment of compensation otherwise than in accordance with
sections 39, 40, 41, 42 and 43 of this Act.

Payment of Compensation and Interest
39. (1) When the amount of compensation to which a Payment
of com-'
person is entitled under section 9 of this Act has been sensation.
determined, that amount shall be paid to that person when he
has-

(a) made out, to the satisfaction of the Compe-
tent Authority a title, as at the date of the
acquisition, to the interest in respect of which
the compensation is payable;







560 The Land Acquisition Act, 1959

(b) produced or surrendered all deeds and docu-
ments relating to, or evidencing, that title
which the Competent Authority reasonably
requires to be produced or surrendered, as
the case may be; and

(c) executed such documents as the Competent
Authority reasonably requires.

(2) Paragraph (a) of the last preceding subsection
shall not apply where a court has, under section 28, 37 or 42
of this Act, declared or determined that the claimant had,
immediately before the date of acquisition of the land, the
interest in respect of which the compensation is payable.

Deposit of 40. (1) If, at the expiration of three months after the
compen- determination of the amount of any compensation, the person
with entitled to the compensation has not received payment of the
Accountant compensation, the Competent Authority may deposit the
amount of compensation with the Accountant General.

(2) If, before the amount of compensation is deposited
with the Accountant General, the Competent Authority has
notice of any rates, taxes or assessments charged upon the
land and due at the date of acquisition, he may pay the
amount of those rates, taxes or assessments out of the amount
of compensation, and deposit the balance with the Accountant
General.

Payment 41. An amount of compensation deposited with the
out by
Accountant Accountant General under section 40 of this Act may be
General. paid, on the direction of the Competent Authority, to a
person who complies with the requirements of section 39 of
this Act.

fmOra thst 42. (1) Notwithstanding the provisions of sections 39, 40
entitled to and 41 of this Act where a person claims to be entitled to an
compen-
sation. amount of compensation determined in respect of any land by
agreement, by arbitration or by a court (including an amount
which has been deposited with the Accountant General), a
superior court may, upon the application of that person and
upon proof, to the satisfaction of the court, of his title,
immediately before the date of the acquisition, to the interest







The Land Acquisition Act, 1959 561

in land in respect of which the compensation was payable,
declare that that person is entitled to the compensation, and
may order the payment of the compensation to that person,
subject to such conditions as it thinks fit.

(2) Where the court orders payment to a claimant of
an amount of compensation which has been deposited with
the Accountant General, the court may, if it sees fit, order
payment of interest in respect of the whole or any part of the
period from the date of that deposit to the date of payment at
a rate not exceeding the rate that would have been applicable
under section 43 of this Act if the amount of compensation
had not been deposited with the Accountant General.

43. (1) Subject to sections 39, 40, 41 and 42 of this Act and Interest on
compen-
to subsections (2), (3) and (4) of this section, an amount of station.
compensation payable in respect of an acquisition by com-
pulsory process under this Act (other than an amount payable
to a mortgagee upon which interest is payable under section
53 of this Act) shall bear interest from the date of acquisition
of the land to the date on which payment is made to the
claimant or, where the amount is deposited with the
Accountant General in accordance with section 40 of this Act,
to the date upon which the amount is so deposited.

(2) The rate at which interest is payable under the
preceding subsection shall be five per centum per annum.

(3) Where the amount of compensation determined
upon an arbitration or by a court does not exceed an amount
offered by the Competent Authority, interest shall be payable
only up to the date upon which the offer of the Competent
Authority was received by the claimant.

(4) Where compensation (not being compensation
deposited with the Accountant General) is determined upon
an arbitration or is determined, or ordered to be paid, by a
court, interest shall continue to be payable under this section
and not otherwise.








562 The Land Acquisition Act, 1959

PART VI
PERSONS UNDER DISABILITY AND CERTAIN
LIMITED OWNERS
Powers of 44. A person seised or possessed of, or entitled to, land,
persons
under dis- or having the management of land on behalf of a person under
aind a legal disability, including-
limited
owners. (a) a corporation which has no power, or limited
power only, to dispose of land,

(b) a tenant in tail or for life,

(c) a guardian,

(d) a committee of a lunatic or idiot,

(e) a trustee,

(f) an executor or administrator,

(g) a person for the time being entitled to the
receipt of the rents and profits of land in
possession, or

(h) a lessee,

may, by force of this Act and for any of the purposes of this
Act and notwithstanding anything to the contrary in any law,
deed of settlement or other deed, will, memorandum or articles
of association or instrument-

(i) lease, sell, transfer or convey the land or an
interest in the land;

(ii) if the land is acquired by compulsory process
under this Act-

(a) subject to this Act, make or join with
another person in making a claim for
compensation;

(b) accept or not accept an offer of com-
pensation by the Competent Authority;
and







The Land Acquisition Act, 1959


(c) take any action authorised by this Act
to be taken by a claimant to determine
a disputed claim for compensation; and

(iii) enter into an agreement incidental to the
exercise of a power conferred by this section.

45. (1) The powers conferred by section 44 of this Act Extent of
may be exercised- Eunersec-
tion 44.
(a) by a person other than a lessee, not only on
behalf of himself and his heirs, executors,
administrators and successors, but also on
behalf of every person entitled in reversion,
remainder or expectancy after him, and in
defeasance of the estate of every person so
entitled;

(b) by a guardian, on behalf of his ward, and to
the extent to which the ward could exercise
those powers if he were not under a disability;

(c) by the connmittee of a lunatic or idiot, on
behalf of the lunatic or idiot, and to the extent
to which the lunatic or idiot could exercise
those powers if he were not under a disability;
and

(d) by a trustee, executor or administrator, on
behalf of his cestuis que trust (whether
infants, issue unborn, lunatics, idiots or other
persons) to the same extent as the cestuis que
trust could exercise those powers if they were
not under a disability.

(2) The provisions of any law of a Territory making
provision for the sale of settled land or authorising a person
specified in section 44 of this Act to sell land of which he is
not the beneficial owner shall apply, by force of this Act, in
relation to land that has been acquired by compulsory process
under this Act as if an agreement to accept an amount of
compensation in respect of the acquisition were a sale of the
land at a price equal to that amount.







The Land Acquisition Act, 1959


(3) Where a person specified in section 44 of this Act,
leases or sells land of which he is not the beneficial owner,
or agrees to accept compensation in respect of the acquisition
under this Act of any such land, and that person was not
empowered to grant the lease or to make the sale or agreement
by the law of a Territory (including such a law as applied
by the last preceding subsection), the lease, sale or agreement
shall have no force or effect unless approved by a superior
court.
Application 46. (1) Where a lease, sale or agreement to which sub-
of purchase
money section (3) of section 45 of this Act applies, is made, the rent,
purchase money or compensation (in this section referred to
as "the moneys") shall be dealt with as provided by this
section.
(2) With the consent of all parties interested the
moneys may be paid to a trustee subject to such trusts as are
declared by a deed of trust approved by the Attorney General.

(3) Where an infant, lunatic or idiot is interested in
or entitled to receive the moneys, his consent to an application
or disposition of the moneys may be given by a guardian,
trustee or committee on his behalf.
(4) The moneys may be paid to the Registrar or other
proper officer of a superior court, to be applied in accordance
with an order of the court.

(5) A superior court may, on the application of a person
interested (including a trustee, executor or administrator),
order the moneys to be applied as follows:-
(a) in the discharge of a debt or encumbrance
affecting the land, or affecting other land
settled to the same or the like uses, trusts and
purposes;
(b) in the purchase of other land, or of securities
of or guaranteed by the Government of the
Federation or of a Territory, to be conveyed,
limited and settled upon and for the like uses,
trusts and purposes, and in the same manner,
as the land in respect of which the moneys
were paid;







The Land Acquisition Act, 1959 565

(c) if the moneys have been paid in respect of any
buildings acquired under the authority of this
Act, in replacing the buildings or substituting
others in their stead;

(d) in payment to a person becoming absolutely
entitled to the moneys, or to such other person,
and on such conditions, as the court directs; or

(e) in such other manner as the court directs.

(6) If the owner of the land was a corporation, the
moneys may be paid to the corporation.

(7) If the land was vested in a trustee, the moneys may
be paid to the trustee to be dealt with by him as nearly as
may be in accordance with the trusts upon which the land
was held.

(8) If the land was vested in an executor or
administrator, the moneys may be paid to the executor or
administrator to be dealt with by him in accordance with his
duties as executor or administrator.

(9) If the land was vested in or managed by the
guardian of an infant or the committee of a lunatic or idiot,
the moneys may be paid to the guardian or committee.

(10) In this section, "compensation" includes interest
payable on compensation.

PART VII
MORTGAGES OVER LAND ACQUIRED BY
COMPULSORY PROCESS

47. For the purposes of this Part, moneys shall not be Mortgage
deemed to have been due to a mortgagee under a mortgage, Card b
or to have been secured by the mortgage, at the date of statutes
of limita-
acquisition of land that was subject to the mortgage if the .ita-
right of the mortgagee to recover those moneys was, at that
date, barred by a statute relating to the limitation of actions
unless the mortgagee had, at that date, a power of sale or
other remedy exercisable in relation to that land.







566 The Land Acquisition Act, 1959

Rights of 48. (1) Where any land acquired under this Act by com-
on acisi- pulsory process was, at the date of acquisition, subject to a
tion of mortgage, the mortgagee may either-
land.
(a) claim compensation under section 28 of this
Act; or

(b) by notice to the Competent Authority waive
his rights to compensation.

(2) If the mortgagee makes a claim for compensation,
he shall set forth in his claim-
(a) the amount of the principal sum due under the
mortgage at the date of acquisition of the
land; and

(b) the amount of interest, costs and charges due
under the mortgage at that date.

(3) The Competent Authority may, by notice in
writing served on a person who is or may be a mortgagee,
require that person, at his option-

(a) to make a claim under this Act for compensa-
tion as a mortgagee; or

(b) to waive his rights to compensation.

(4) If the person fails to make a claim for compen-
sation in accordance with this Act within thirty days (or such
further period as the Competent Authority in writing allows
for that purpose) after the service of the notice, he shall be
deemed to have waived his rights to compensation as a
mortgagee under this Act.

(5) Where a mortgagee claims compensation under
this Act the acquisition of the land shall to the extent to which
the compensation payable to the mortgagee under subsection
(1) of section 53 of this. Act is sufficient to satisfy the
mortgage debt, and interest, costs or charges due to the
mortgagee under the mortgage, as at the date of acquisition,
be deemed to have had the effect of extinguishing the liability
of the mortgagor under the mortgage as from the date of
acquisition.







The Land Acquisition Act, 1959 567

(6) A mortgagee who waives his rights to compen-
sation shall be absolutely debarred from claiming or
recovering as a mortgagee any compensation or other amount
from the Crown in right of the Federation.

(7) Waiver of his rights to compensation by a
mortgagee or failure by a mortgagee to claim compensation,
shall not affect his rights and remedies against the mortgagor
or in respect of land included in the mortgage other than the
land acquired.

49. (1) The Competent Authority may, by notice in Owner may
writing served upon the owner of the land, require the owner to furnish
to furnish the following particulars:- particulars
of mort-
gages.
(a) whether or not the land is subject to a
mortgage; and
(b) if the land is subject to a mortgage-
(i) the name and address of the mortgagee;
(ii) the amount of the principal sum due under
the mortgage at the date of acquisition; and
(iii) the amount of interest, costs and charges due
to the mortgagee under the mortgage at that
date.

(2) If the owner of the land fails to furnish the
particulars to the Competent Authority within thirty days
(or such further period as the Competent Authority in writing
allows for that purpose) after the service of the notice, the
Competent Authority may agree with any person claiming
to be a mortgagee of the land as to the amounts due under the
mortgage and the owner shall be absolutely debarred from
disputing the correctness of any amounts so agreed upon.

50. Where an amount has been paid to or recovered by Interest,
a mortgagee under a mortgage in respect of a liability which, 'orgagorb
upon the making of a claim by the mortgagee, is deemed to after date
of a isi-
have been discharged as from the date of acquisition by virtue tion."cquisi
of subsection (5) of section 48 of this Act-
(a) the mortgagee shall be liable to repay that
amount to the person who paid it; and








The Land Acquisition Act, 1959


(b) there may be deducted from the compensation
payable to the mortgagee, and paid to the
person who paid that amount, so much of that
amount as has not been so repaid, and a
payment so made shall be deemed to have been
made in discharge of the obligation of the
mortgagee under the last preceding para-
graph.

Court may 51. (1) Where any land acquired under this Act by corn-
order stay pulsory process was, at the date of acquisition, subject to a
of proceed-
ings under mortgage, and proceedings by the mortgagee in relation to
mortgage, the mortgage were pending at the date of acquisition or are
commenced or proposed to be commenced after that date and
before compensation has been paid in full to the mortgagor
in respect of the acquisition, a superior court may, upon the
application of the mortgagor and subject to such conditions
as it thinks fit, order a stay of those proceedings or restrain
the mortgagee from commencing or continuing those pro-
ceedings and make such other orders at it thinks necessary.

(2) In this section, "proceedings" means any action
to enforce the rights of the mortgagee under the mortgage,
whether or not the proceedings are in a court, including action
with a view to taking possession of or selling land or fore-
closing.

Separate 52. Subject to subsection (7) of section 36, section 37
rights of
mortgagee and subsection (2) of section 49 of this Act, the rights of a
and mortgagor claiming compensation shall not be affected by a
mortgagor
to deter- determination of the compensation payable to a mortgagee,
mination and the rights of a mortgagee claiming compensation shall not
of com-
pensation. be affected by a determination of the compensation payable
to the mortgagor or another mortgagee, unless in either case
he was a party to the agreement or proceedings by which the
compensation was determined.

Compen- 53. (1) The compensation payable to a mortgagee shall
mortgagee. be an amount equal to the sum of-

(a) the principal sum secured by the mortgage at
the date of acquisition; and







The Land Acquisition Act, 1959


(b) any interest, costs or charges due to the
mortgagee under the mortgage at that date,

but not exceeding the compensation payable to the mortgagor
in respect of the land.

(2) For the purposes of the last preceding subsection,
the compensation payable to the mortgagor shall be deemed
to be-

(a) if there was only one mortgage over the land,
the compensation that would have been
payable to the mortgagor if there had been no
mortgage over the land, or

(b) if there were more mortgages than one over
the land, the compensation that would have
been payable to the mortgagor if there had
been no mortgage over the land, less the
amount, or the sum of the amounts, of
principal, interest, costs and charges due at
the date of acquisition to a mortgagee or
mortgagees in respect of a mortgage or
mortgages having priority over the mortgage
in respect of which compensation is to be
determined.

(3) In addition to the compensation mentioned in
subsection (1) of this section, the mortgagee shall be entitled
to payment out of the public funds of the Federation of the
following amounts:-

(a) interest upon the amount included in that
compensation in respect of the principal sum
at the lowest rate (whether for prompt pay-
ment or otherwise) provided by the mortgage
from the date of acquisition to the date of
payment of compensation, or, where payment
is delayed through a default of the mortgagee.
the date when payment would have been made-
but for the default; and







The Land Acquisition Act, 1959


(b) if the principal was not repayable (with or
without notice) at the date when interest
cares to be payable under this section-

(i) the costs of the mortgagee of re-investing
the amount included in the compensation
in respect of the principal sum; and
(ii) should a loss of interest reasonably be
expected regard being had to the rate of
interest secured by the mortgage and the
rate of interest obtained or likely to be
obtained on the re-investment, a reason-
able allowance for loss of interest until
the earliest date on which the principal
sum could, either with or without notice,
have been repayable.

Deduction 54. The compensation payable to a mortgagee under
gagee'- subsection (1) of section 53 of this Act shall be deducted from
compen- the compensation that would have been payable to the
station
from mortgagor if the mortgage did not exist, and interest shall
mortgagor's be payable to the mortgagor under section 43 of this Act on
compen-
sation, the reduced amount only.

Execution 55. Upon payment or tender of the compensation to
of dis- the mortgagee, he shall, if so required by the mortgagor and
at the expense of the mortgagor, execute a discharge of the
mortgage debt to the extent to which the mortgage debt is
discharged by virtue of subsection (5) of section 48 of this
Act.

Rights of 56. Where a mortgagee does not claim compensation,
mortgagor the mortgagor shall be entitled to the same compensation as
where
mortgagee if the mortgage did not exist, and, in addition, to such amount,
does not if any, as he should justly receive as compensation in respect
claim com-
pensation. of interest upon the mortgage debt accruing after the date
of acquisition or in respect of any other liability to the
mortgagee.

Preserva- 57. Where land which is subject to a mortgage is
certain acquired under this Act by compulsory process and the whole
rights of or a part of the mortgage debt is not discharged by virtue of
mortgagee. this Act, the mortgagee shall retain, in respect of the whole







The Land Acquisition Act, 1959


or that part of the mortgage debt, as the case may be, his
rights and remedies against the mortgagor (other than rights
and remedies in relation to the land acquired) and in relation
to any other land which is subject to the mortgage.

PART VIII
DEALINGS IN LAND VESTED IN THE CROWN
58. (1) The Governor-General may authorise the grant of Mining
a lease or licence to a person to mine for metals or minerals leases and
on land which is vested in the Crown in right of the
Federation.

(2) Subject to such exemptions and modifications as
may be prescribed, the laws of the Territory in which the land
is situated relating to mining shall, so far as applicable,
apply to a lease or licence under this section and to mining
carried on under the lease or licence.

59. Land vested in the Crown in right of the Vesting of
Federation may, if the Governor-General thinks fit, and upon lands in
statutory
such terms as he directs, be transferred to and vested in a authorities.
corporation incorporated by an Act of the Federal
Legislature.

60. (1) Where land vested in the Crown in right of the Disposal of
Federation is no longer required for any purpose of the land vested
i the
Federal Government, or is not required for immediate use for Crown.
a purpose of the Federal Government-
(a) the land, together with all rights of whatever
kind in the land which may be vested in the
Crown in right of the Federation, may be
disposed of under the authority of the
Governor-General; or

(b) a lease of or licence to occupy the land may be
granted under the authority of the Governor-
General.

(2) The Governor-General may authorise the grant of
easements, or other rights, powers or privileges (other than
leases or occupation licences), over or in connection with,
land vested in the Crown in right of the Federation.







The Land Acquisition Act, 1959


(3) Where land has been acquired either by agreement
or by compulsory process under this Act and, within seven
years after the date of acquisition, it is proposed to dispose of
the land in pursuance of paragraph (a) of subsection (1) of
this section, regard shall be had to the general principle that,
in such cases, the land should, where practicable, be first
offered for sale to the former owner.

(4) The last preceding subsection shall not apply
where substantial improvements to the land have been made
since the date of acquisition.

(5) A person contracting or otherwise dealing with the
Crown in right of the Federation shall not be concerned to
inquire whether the requirements of this section have been
complied with, and the title of such a person to land acquired
from the Crown in right of the Federation shall not be affected
by any failure to comply with those requirements.

(6) In this section "the former owner," in relation
to land means-

(a) where only one person had an interest in the
land at the date of acquisition and that person
is still alive or, in the case of a company, in
existence, that person; or

(b) in any other case, such person or persons, if
any, as the Governor-General, having regard
to the interest that existed in the land at the
date of acquisition, considers to be fairly
entitled to the benefit of subsection (3) of this
section in relation to the land.

Power to 61. (1) The Governor-General may, by proclamation-
dedicate
lands.
(a) set apart for, or dedicate to, any purpose of
the Federal Government land which is vested
in the Crown in right of the Federation or in
an officer or person- on behalf of the
Federation; and








The Land Acquisition Act, 1939 5V3


(b) revoke or alter the setting apart or dedication
for or to any such purpose of land so vested,
whether set apart or dedicated in pursuance
of this section or otherwise.
(2) Land set apart for or dedicated to a purpose of
the Federal Government in pursuance of the last preceding
subsection may be vested in trustees upon trust to carry out
the purpose for which the land is so set apart or dedicated.

(3) If the setting apart or dedication of land is revoked
or altered the grant, conveyance or transfer of the land to
trustees shall be deemed to be revoked or altered in the like
manner, as the case may be, and the trustees shall, when
required by the Competent Authority so to do, deliver to him,
or to a person specified by him, all documents of title relating
to the land for cancellation or amendment accordingly.

62. Land vested in the Crown in right of the se of land.
Federation in pursuance of this Act may be used for any
purpose of the Federal Government notwithstanding the
provisions of any other law in force in the Federation.
PART IX
MISCELLANEOUS
63. Where land is acquired by compulsory process Competent
under this Act, the Competent Authority may pay rates, may pay
taxes or assessments charged upon the land and due at the rates, etc.
date of acquisition, and the amount of a payment under this
section shall be taken into account in determining the com-
pensation payable in respect of the acquisition.

64. Where a person was in possession of land acquired Terms and
by compulsory process under this Act immediately before the uC tonsd
date of acquisition of the land, the Competent Authority may which
persons
notwithstanding section 60 of this Act, enter into an agree- ma remain
ment with that person under which that person is permitted in posses-
to remain in possession of the land on such terms and con-acquired
editions as are specified in the agreement. land.

65. (1) If a person who is in possession of land vested Warrants
in the Crown in right of the Federation, otherwise than by to 0obtaion
virtue of a subsisting lpoase or agreement, refuses or fails,sessio land
virtue of a subsisting lease or agreement, refuses or fails, of land.








The Land Acquisition Act, 1939


when required by the Competent Authority so to do, to give
up possession of the land, or hinders or obstructs the Com-
petent Authority or a person authorised by the Competent
Authority in taking possession of the land, a court of
summary jurisdiction may, on the application of the Com-
petent Authority, grant a warrant authorising a person
named in the warrant to enter on the land and deliver up
possession of the land to the Competent Authority and for
those purposes to use such force and assistance as are
necessary.
(2) Where any person hinders or obstructs the exercise
of any powers under a warrant issued under subsection (2) of
this section he shall be guilty of an offence against this Act
and shall be liable on summary conviction to a fine not
exceectmg five hundred dollars or to imprisonment, for a term
not exceeding six months or to both such fine and imprison-
ment.
Costs of 66. Where land is acquired under this Act by com-
documentg, pulsory process, the reasonable costs, charges and expenses
etc. of producing such documents, and making out and furnishing
such abstracts and attested copies, as the Competent
Authority requires, shall be paid out of the public funds of
the Federation.
Payments 67. All payments and deposits made out of the public
good dis- funds of the Federation by virtue of this Act shall be good
charge. and valid discharges to the Crown in right of the Federation
and to any person making the payment, and there shall be
no obligation on the part of the Crown in right of the
Federation or of such person to see to the application of the
money paid or deposited, or to see to the performance of any
trusts.
Execution 68. All instruments, receipts and documents relating
of docu-
ments for to the acquisition of land or to land acquired or disposed of
and on by the Crown in right of the Federation may be executed by
behalf of
the Crown. the Competent Authority for and on behalf of the Crown in
right of the Federation.

Costs. 69. (1) Subject to this section, the costs of and incidental
to proceedings in a court under this Act shall be in the
discretion of the court.








The Land Acquisition Act, 195~ 575

(2) A court shall not order payment out of the public
funds of the Federation of costs of an application under sub-
section (5) of section 46 of this Act.

70. (1) The Competent Authority may, in relation to a Delegation.
matter or class of matters, or in relation to a part of the
Federation, by instrument published in the Gazette, delegate
all or any of his powers or functions under this Act (except
this power of delegation), so that the delegated powers and
functions may be exercised or performed by the delegate with
respect to the matter or class of matters, or the part of the
Federation specified in the instrument of delegation.

(2) A delegation of any of the powers or functions of
the Competent Authority under section 32 or section 33 of
this Act shall not operate so as to authorise the delegate to
agree upon an amount of compensation exceeding two
thousand dollars.

(3) A delegation under this section shall be revocable
at will by instrument published in the Gazette and no
delegation shall prevent the exercise or performance of a
power or function by the Competent Authority.

(4) The powers and functions which may be exercised
or performed by virtue of a delegation under this section may
continue to be exercised or performed notwithstanding the
fact that the Competent Authority who gave the delegation
has ceased to hold office by death or otherwise, but the
delegation may be revoked by the Competent Authority
holding office for the time being.

71. All persons and authorities shall take notice of the Notice of
signature, to an instrument relating to land, of the Competent signature.
Authority or of a person to whom a power or function of the
Competent Authority has been delegated under section 70 of
this Act, if the signature purports to be witnessed by an
officer of the Department of the Attorney General; and the
Registrar of Titles or other proper office of the Territory in
which the land referred to in the instrument is situated may
register such an instrument so signed and attested without
further proof of such signature or of the signature of the








576 The Land Acquisition Act, 1959

witness, and notwithstanding that any such signature is not
attested in accordance with any other law in force in that
Territory.
Service of 72. (1) A claim, notice or other document required or
notices, &c. permitted by this Act to be served on or given to the
Competent Authority shall be served or given by post at such
address as may be prescribed.

(2) A notice or other document required or permitted
by this Act to be served on or given to a person by or under
the authority of the Competent Authority may be served or
given by delivering it to that person personally or by sending
it to that person by post at the address of that person last
known to the Competent Authority or to a person to whom a
power or function of the Competent Authority has been
delegated under this Act.

(3) A notice or other document served or given by post
in accordance with the last preceding subsection shall, where
practicable, be sent by registered post.
Regula- 73. The Governor-General may make regulations
tions. prescribing all matters which by this Act are required or per-
mitted to be prescribed, or which are necessary or convenient
to be prescribed for carrying out or giving effect to this Act,
and, in particular, providing for the giving of evidence by
affidavit or statutory declaration in proceedings arising under
this Act.
Appropria- 74. All moneys payable under this Act out of the
tion of
funds for public funds of the Federation, and all costs, charges and
purposes of expenses lawfully incurred or payable under this Act by the
the Act. Competent Authority, are hereby appropriated out of the
public funds of the Federation and shall be paid therefrom
on the warrant of the Governor-General.

Passed by the House of Representatives this 12th day
of May, 1959.

G. E. L. LAFOREST,
Clerk, House of Representatives.

L. A. RADIX,
Deputy Speaker.







The Land Acquisition Act, 1959 577

Passed by the Senate with an amendment this 29th day
of May, 1959.


D. F. MAYERS
Acting Clerk of the Senate.

A. S. CATO
President of the Senate.


Amendment by the Senate agreed to by the House of
Representatives this 1st day of June, 1959.


G. E. L. LAFOREST
Clerk, House of Representatives.
























THE WEST INDIES

ACT No. 6 of 1959.

THE EXCHANGE CONTROL ACT, 1959

ARRANGEMENT OF SECTIONS

Section
PART I
PRELIMINARY
1. Short title, commencement, repeal and application.
2. Interpretation.
3. Exchange Control Authority.
PART II
GOLD AND FOREIGN CURRENCY
4. Dealings in gold and foreign currency.
5. Surrender of gold and foreign currency.
6. Bailees of gold and foreign currency.
7. Travellers' cheques ,etc.
PART III
PAYMENTS
8. Payments in the Federation.
9. Payments outside the Federation.
10. Compensation deals.
PART IV
SECURITIES
11. Issue of securities.
12. Transfer of securities and coupons.
13. Issue of bearer certificates and coupons.
14. Substitution of securities and certificates outside the Federation.
15. Payment of capital moneys outside the Federatio.n
16, Duties of persons keeping registers,








The Exchange Control Act, 1959 579


17. Additional provisions as to nominee holdings.
18. Deposit of certificates of title.
19. Additional provisions as to deposited certificates.
20. Special provisions as to dealings in certain securities.
21. Validation of certain transfers.
22. Application of Part IV to secondary securities.
23. Interpretation of Part IV.

PART V
IMPORT AND EXPORT
24. Restrictions on import.
25. General restrictions on export.
26. Payment for exports.

PART VI
MISCELLANEOUS
27. Duty to collect certain debts.
28. Duty not to delay sale or importation of goods.
29. Property obtained by infringement of Act.
30. Provisions supplemental to preceding provisions of Part VI.
31. Transfer of annuities, policies, etc.
32. Settlements.
33. Companies.

PART VII
SUPPLEMENTAL
34. Exemptions.
35. Blocked accounts.
36. Contracts, legal proceedings, etc.
37. Enforcement and administration.
38. Application to Crown.
39. Governor-General's orders and regulations.
40. Other powers.
41. Financial provisions.
42. Branches.
43. Persons leaving the scheduled territories.
44. Determination of residence.

SCHEDULES:
First Schedule -The Scheduled Territories.
Second Schedule -Foreign Companies.
Third Schedule -Blocked Accounts.
Fourth Schedule -Legal Proceedings, etc.
Fifth Schedule -Enforcement.

Part I -General provisions as to evidence and information.
Part II -General provisions as to offences.
Part III -Import and export.
Part IV -Application of Customs and Postal laws.
Sixth Schedule -Application of Defence Regulations.







580 The Exchange Control Act, 1959


I ASSENT

R. D. H. ARUNDELL
[L.S.]
ACTING GOVERNOR-GENERAL

13th July, 1959







An Act relating to exchange control.

Be it enacted by the Queen's Most Excellent
Majesty, by and with the advice and consent of the Senate
and the House of Representatives of The West Indies, and
by the authority of the same, as follows:-
PART I
PRELIMINARY

Short 1. (1) This Act may be cited as the Exchange Control
title, corn Act, 1959.
mence-
ment,
repeal and (2) This Act shall come into force on such day as the
tion. Governor-General may by order appoint, and-

(a) different days may be appointed for different
purposes and for different provisions thereof;
and

(b) the power of the Governor-General to make
transitional provisions consequent on the
making of an order under this Act shall
extend to the repeal or revocation, in con-
sequence of any order made under this







The Exchange Control Act, 1959


subsection, of any of the provisions of a law
of the legislature of a Territory relating
to exchange control or of any subsidiary
legislation made under such a law.
(3) This Act shall apply to the Cayman Islands and
the Turks and Caicos Islands.

2. (1) In this Act, unless the context otherwise Interpre-
requires-

"authorised dealer" means, in relation to gold
or any foreign currency, a person for the time being
authorised by an order of the Authority to act for
the purposes of this Act as an authorised dealer in
relation to gold, or, as the case may be, that foreign
currency;

authorisedd depositary" means a person for the
time being authorised by an order of the Authority
to act as an authorised depositary for the purposes
of Part IV of this Act;

"Authority" means the Exchange Control
Authority prescribed in section 3 of this Act;

"bearer certificate" means a certificate of title
to securities by the delivery of which (with or
without endorsement) the title to the securities is
transferable;

"certificate of title to securities" means any
document of title whereby a person recognizes the
title of another to securities issued or to be issued by
the first mentioned person, and in the case of any
such document with coupons (whether attached or
on separate coupon sheets) includes any coupons
which have not been detached;

"coupon" means a coupon representing
dividends or interest on a security;







582 The Exchange Control Act, 1959

"foreign currency" has the meaning ascribed to
it by section 4 of this Act;

"gold" means gold coin or gold bullion;

"policy of assurance" means any policy securing
the payment of a capital sum or annuity on the
occurrence of a specified event which is certain to
happen and includes-

(a) any policy by which the payment of
money is assured on death (except death
by accident only) or the happening of
any contingency dependent on human
life; and

(b) any policy securing the payment of an
immediate annuity;

and the reference in this definition to the occurrence
of a specified event which is certain to happen shall
include the occurrence, which is certain to happen,
of one of specified events none of which by itself is
certain to happen;

"prescribed" means prescribed, for the purposes
of the provision in question, by order of the
Authority;

"scheduled territories" has the meaning
ascribed to it by section 4 of this Act;

"secondary securities" has the meaning ascribed
to it by section 22 of this Act;

"securities" means shares, stock, bonds, notes
(other than promissory notes), debentures,
debenture stock, Treasury bills, units under a unit
trust scheme and shares in an oil royalty;

"specified currency" has the meaning ascribed
to it by section 5 of this Act as extended by section 7
thereof;







The Exchange Control Act, 1959 583

"unit trust scheme" means any arrangements
made for the purpose, or having the effect, of pro-
viding for persons having funds available for
investment, facilities for the participation by them,
as beneficiaries under a trust, in profits or income
arising from the acquisition, holding management or
disposal of any property whatsoever;

"unit" means, in relation to a unit trust scheme,
a right or interest (whether described as a unit, as a
sub-unit or otherwise) which may be acquired under
the scheme.

(2) Any provision of this Act (however worded) the
effect of which is to prohibit the doing of any act where a
person to or by whom the act is to be done or who stands in a
specified relation to any property possesses any specified
attribute as to residence or otherwise shall, where the act
is done to or by two or more persons or, as the case may be,
where two or more persons stand jointly in that relation
to the property, operate to prohibit the doing of that act if
any of those persons possess that attribute; and any provision
of this Act imposing an obligation on any person to do an act
if he possesses any specified attribute as to residence or
otherwise shall, in relation to any act which can only be done
by two or more persons jointly-

(a) where all those persons possess that attribute,
operate to impose a joint obligation on all of
them to do the act; and
(b) where some only of them possess that attri-
bute, operate to impose a separate obligation
on each one of them who possesses that
attribute to do all he can to secure the doing
of the act.

(3) Any power conferred by this Act to prescribe the
declarations which are to be furnished on any occasion shall
include a power to require that the declarations shall be made
by specified persons and shall be verified in a specified
manner.







584 The Exchange Control Act, 1959

(4) Nothing in this Act shall be construed as requiring
the Authority to pay any sum otherwise than in sterling,
West Indian dollars or Jamaican pounds or otherwise than
in the Federation and any provision of this Act requiring
the Authority to pay any sum to any person shall, where
that sum is in a specified currency, be construed as a
provision that the Authority shall pay to that person the
amount in sterling, West Indian dollars or Jamaican pounds
which he would have received for the specified currency if
he had sold it to an authorised dealer in pursuance of an
offer made under section 5 of this Act at the time when the
said sum is paid.

(5) The obligations and prohibitions imposed by this
Act shall, subject to the express limitations contained therein,
apply to all persons, notwithstanding that they are not
British subjects.

(6) In this Act-

(a) references to "West Indian dollars" are
references to currency of any denomination of
dollars or cents issued under any law in force
in the Federation and references to
"Jamaican pounds" are references to currency
of any denomination of pounds, shillings or
pence issued under any law in force in
Jamaica.

(b) the expression "importation into the
Federation" does not include an importation
into a Territory from another Territory and
the expression "exportation from the
Federation" does not include an exportation
from a Territory to another Territory.

Exchange 3. (1) The Minister of Finance shall be responsible for
control administering the provisions of this Act and shall be the
Exchange Control Authority for the purposes of this Act.

(2) In this Act, "Minister of Finance" means the
Minister to whom the Governor-General has for the time








The Exchange Control Act, 1959 585

being assigned responsibility for dealing with the business
of the Department of Finance on behalf of the Federal
Government or, if there is no such Minister, such member of
the Department of Finance as the Governor-General may by
order specify for the purposes of this section.

PART II
GOLD AND FOREIGN CURRENCY
4. (1) Except with the permission of the, Authority, no Dealings in
person, other than an authorised dealer, shall, in the gold and
foreign
Federation, buy or borrow any gold or foreign currency from, currency.
or sell or lend any gold or foreign currency to, any person
other than an authorised dealer.
(2) Except with the permission of the Authority, no
person resident in the scheduled territories, other than an
authorised dealer, shall, in the Federation, do any act which
involves, is in association with or is preparatory to buying
or borrowing any gold or foreign currency from, or selling
or lending any gold or foreign currency to, any person outside
the Federation.
(3) Where a person buys or borrows any gold or
foreign currency in the Federation or, being a person resident
in the scheduled territories does any act which involves, is in
association with or is preparatory to the buying or borrowing
of gold or foreign currency outside the Federation, he shall
comply with such conditions as to the use to which it may
be put or the period for which it may be retained as may from
time to time be notified to him by the Authority.

(4) In this Act-
(a) the expression "foreign currency" does not
include any currency or notes issued by the
Government of the Federation or under the
law of any part of the scheduled territories
but, save as aforesaid, includes any currency
other than sterling, West Indian dollars or
Jamaican pounds and any notes of a class
which are or have at any time been legal
tender in any place outside the Federation,
and any reference to foreign currency, except
so far as the context otherwise requires,









586 The Exchange Control Act, 1959

includes a reference to any right to receive
foreign currency in respect of any credit or
balance at a bank; and

(b) the expression "the scheduled territories"
means the countries specified in the First
Schedule to this Act so, however, that the
Governor-General may at any time by order
amend the said Schedule, either by the
addition or exclusion of countries or other-
wise, and the said expression shall be
construed accordingly.

Surrender 5. (1) Every person in the Federation who is entitled to
of gold
and foreign sell, or to procure the sale of, any gold, or any foreign
currency. currency to which this section applies, and is not an
authorised dealer, shall offer it, or cause it to be offered, for
sale to an authorised dealer, unless the Authority consents to
his retention and use thereof or he disposes thereof to any
other person with the permission of the Authority.

The foreign currency to which this section applies
is such foreign currency (hereafter in this Act referred to as
"specified currency") as may from time to time be specified
by order of the Authority.

(2) If a person who has obtained the consent of the
Authority to his retention and use of any gold or specified
currency, and has stated in an application for the consent
that he requires it for a particular purpose, no longer
requires the gold or currency for that purpose, the preceding
subsection shall thereupon apply to him in relation to that
gold or currency as if the Authority had revoked his consent
to his retention and use thereof.


(3) A person who acquires any gold or specified
currency from an authorised dealer shall be treated for the
purposes of this section as if the Authority had consented








The Exchange Control Act, 1959 587

to the retention and use by him of that gold or currency
(subject, however, to any conditions notified to him in
accordance with subsection (3) of section 4 of this Act), and
as if any statement made by him in an application for that
gold or currency as to the purpose for which he requires
it had been made by him in an application for the: Authority's
consent to his retention and use thereof.

(4) Where a person has become bound under this
section to offer or cause to be offered any gold or specified
currency for sale to an authorised dealer, he shall not be
deemed to comply with that obligation by any offer made
or caused to be made by him, if the offer is an offer to sell
at a price exceeding that authorised by the Authority, or
without payment of any usual and proper charges of the
authorised dealer, or otherwise on any unusual terms.

(5) Where a person has become bound under this
section to offer or cause to be offered any gold or specified
currency for sale to an authorised dealer and has not
complied with that obligation, the Authority may direct that
that gold or currency shall vest in the Authority, and it shall
vest in the Authority accordingly free from any mortgage,
pledge or charge, and the Authority may deal with it as he
thinks fit, but the Authority shall pay to the person who
would but for the direction be entitled to the gold or currency
such sum as he would have received therefore if he had sold
it to an authorised dealer in pursuance of an offer made
under this section at the time when the vesting occurred.

(6) In any proceedings in respect of a failure to
comply with the provisions of this section, it shall be
presumed, until the contrary is shown, that the gold or
currency in question has not been offered for sale to an
authorised dealer.

6. (1) Every person in the Federation by whom or to Bailees of
gold and
whose order (whether directly or indirectly) any gold or f rign
any specified currency in the form of notes is held in theurrency.








588 The Exchange Control Act, 1959

Federation but who is not entitled to sell it or procure its
sale shall notify the Authority in writing that he so holds
that gold or currency.

(2) The Authority may direct any person in the
Federation by whom or to whose order (whether directly
or indirectly) any gold or any specified currency in the form
of notes is held in the Federation, whether or not he is
entitled to sell it or procure its sale, to cause that gold or
currency to be kept at all times in the custody of such banker
as may be specified in the direction.

Travellers' 7. (1) This section applies to any document of a kind
cheques, intended to enable the person to whom the document is
issued to obtain foreign currency from some other person on
the credit of the person issuing it, and in particular to any
traveller's cheque or other draft or letter of credit so
intended.

(2) For the purposes of this Act, the person issuing a
document to which this section applies, and the person to
whom it is issued, shall be deemed respectively to sell and
buy foreign currency and where foreign currency is obtained
by means of the document to sell and buy that foreign
currency.

(3) Any such document not expressed in terms of
sterling, West Indian dollars or Jamaican pounds shall, if it
is of a kind intended to enable the person to whom it is
issued to obtain any specified currency, be treated also for
the purposes of this Act as itself being specified currency.

(4) Every person in the Federation who holds or to
whose order there is held any document to which this section
applies, being a document expressed in terms of sterling,
West Indian dollars or Jamaican pounds, shall encash it or
cause it to be encashed in the scheduled territories with the
person issuing it or with a banker, unless the Authority
consents to his retention and use thereof and, where in his
application for that consent he has stated that he requires
it for a particular purpose, unless also he still requires it for
that purpose.







The Exchange Control Act, 1959 589

(5) A person who acquires any document to which
the last preceding subsection applies from an authorised
dealer shall be treated for the purposes of that subsection as
if the Authority had consented to the retention and use by
him of that document (subject, however, to any conditions
notified to him in accordance with subsection (3) of section 4
of this Act), and as if any statement made by him in an
application for that document as to the purpose for which he
requires it had been made by him in an application for the
Authority's consent to his retention and use thereof.
PART III
PAYMENTS
8. Except with the permission of the Authority, noPayments
person shall do any of the following things in the Federation, Fedea-
that is to say- tion.

(a) make any payment to or for the credit of a
person resident outside the scheduled
territories; or
(b) make any payment to or for the credit of a
person resident in the scheduled territories
by order or on behalf of a person resident
outside the scheduled territories; or
(c) place any sum to the credit of any person
resident outside the scheduled territories:

Provided that where a person resident outside the
scheduled territories has paid a sum in or towards the
satisfaction of a debt due from him, paragraph (c) of this
section shall not prohibit the acknowledgement or recording
of the payment.

9. (1) Except with the permission of the Authority no Pa"yents
person resident in the scheduled territories shall, subject to Federa-
the provisions of this section, in the Federation do any act tion.
which involves, is in association with or is preparatory to, the
making of any payment outside the Federation to or for the
credit of a person resident outside the scheduled territories.

(2) Nothing in this section shall prohibit the doing of
anything otherwise lawful by any person with any foreign








590 The Exchange Control Act, 1959

currency obtained by him in accordance with the provisions
of Part II of this Act or retained by him in pursuance of a
consent of the Authority.

Compensa- 10. (1) Except with the permission of the Authority, no
tion deals. person shall in the Federation make any payment to or for
the credit of a person resident in the scheduled territories,
and no person resident in the scheduled territories shall in
the Federation do any act which involves, is in association
with or is preparatory to the making of any such payment
outside the Federation, as consideration for or in association
with-

(a) the receipt by any person of a payment made
outside the scheduled territories, or the
acquisition by any person of property which is
outside the scheduled territories; or

(b) the transfer to any person, or the creation in
favour of any person, of a right (whether
present or future, and whether vested or con-
tingent) to receive a payment outside the
scheduled territories or to acquire property
which is outside the scheduled territories.

(2) Nothing in this section shall prohibit the making
of any payment in accordance with the terms of a permission
or consent granted under this Act.
PART 1V
SECURITIES

Issue of 11. (1) Except with the permission of the Authority, no
securities, person shall in the Federation issue any security or do any
act which involves, is in association with or is preparatory
to the issuing outside the Federation of any security which
is registered or to be registered in the Federation, unless the
following requirements are fulfilled, that is to say-

(a) neither the person to whom the security is to
be issued nor the person, if any, for whom he
is to be a nominee is resident outside the
scheduled territories; and







The Exchange Control Act, 1959 591

(b) the prescribed evidence is produced to the
person issuing the security as to the residence
of the person to whom it is to be issued and
that of the person, if any, for whom he is
to be a nominee.

(2) The subscription of the memorandum of asso-
ciation of a company to be formed under the provisions of any
law in force in the Federation, by a person resident outside
the scheduled territories, or by a nominee for another person
so resident, shall, unless he subscribes the memorandum with
the permission of the Authority be invalid in so far as it
would on registration of the memorandum have the effect of
making him a member of or shareholder in the company, so,
however, that this provision shall not render invalid the
incorporation of the company; and if by virtue of this sub-
section the number of the subscribers of the memorandum
who on its registration become members of the company is
less than the minimum number required to subscribe the
memorandum, any provisions of the said law relating to the
carrying on of business of a company the number of whose
members is reduced below the legal minimum shall apply to
the company as if the number of its members had been so
reduced.

12. (1) Except with the permission of the Authority, aTransfer
security registered in the Federation shall not be transferred, unities
securities
and a security not so registered shall not be transferred inand
the Federation, unless, in either case, the following require-cupons"
ments are fulfilled, that is to say-

(a) neither the transferor nor the person, if any,
for whom he is a nominee is resident outside
the scheduled territories; and
(b) the transferor delivers to the transferee at
or before the time of the transfer the pre-
scribed declarations as to his residence and
that of the person, if any, for whom he is a
nominee; and
(c) neither the transferee nor the person, if any,
for whom he is to be a nominee is resident
outside the scheduled territories; and







The Exchange Control Act, 1959


(d) except where the security is registered in the
Federation otherwise than in a subsidiary
register, the Authority is satisfied that the
requirements of paragraph (c) of this sub-
section are fulfilled:

Provided that-
(i) neither the transferee nor his agent
shall be deemed to have committed an
offence by reason only that the require-
ments of paragraph (a) of this subsection
were not fulfilled unless the transferee
or, as the case may be, his agent, knew
or had reason to believe that those
requirements were not fulfilled; and

(ii) neither the transferor nor his agent
shall be deemed to have committed an
offence by reason only that any of the
requirements of paragraphs (c) and (d)
of this subsection have not been fulfilled
unless, in the case of a non-fulfilment
of the requirements of the said para-
graph (c) the transferor or, as the case
may be, his agent, knew or had reason
to believe that those requirements were
not fulfilled.

(2) Except with the permission of the Authority, a
security not registered in the Federation shall not be
transferred outside the Federation if either the transferor or
the transferee, or the person, if any, for whom the transferor
or transferee is or is to be a nominee, is resident in the
Federation.

(3) Except with the permission of the Authority-
(a) no coupon shall be transferred in the
Federation if either the transferee or the
person, if any, for whom he is to be a nominee
is resident outside the scheduled territories;

(b) no person shall in the Federation do any act
which involves, is in association with or is







The Exchange Control Act, 1959 593

preparatory to the transfer of any coupon
outside the Federation if either the transferor
or transferee, or the person, if any, for whom
the transferor or transferee is or is to be a
nominee, is resident in the Federation.

13. Except with the permission of the Authority, no Issue of
person shall, in the Federation, issue any bearer certificate certii-
or coupon or so alter any document that it becomes a bearer cates and
certificate or coupon, and no person resident in the scheduled coupons.
territories, shall in the Federation do any act which involves,
is in association with or is preparatory to such issue or
alteration outside the Federation.

14. Except with the permission of the Authority-Substitu-
tion of
securities
(1) No person in the Federation shall do any and certifi-
act with intent to secure- side the
Federa-
(a) that a security which is- tion

(i) registered in the Federation; or

(ii) transferable by means of a bearer
certificate in the Federation

becomes, or is replaced by, a security
registered outside the Federation or a
security transferable by means of a
bearer certificate outside the Federation;
or

(b) that a certificate of title to any other
security, is issued outside the Federa-
tion in substitution for or in addition to
a certificate of title thereto which is in,
or is or has been lost or destroyed in, the
Federation.

(2) No person resident in the scheduled territories
shall in the Federation do any act which involves, is in
association with or is preparatory to any such transaction
outside the Federation as is referred to in sub-paragraphs
(a) and (b) above.







594 The Exchange Control Act, 1959

Payment 15. Except with the permission of the Authority-
of capital
otde the (1) No person in the Federation shall do any act with
Federation. intent to secure that capital moneys payable on a security
registered in the Federation are paid outside the Federation,
or that, where the certificate of title to a security is in the
Federation, capital moneys payable on the security are paid
outside the Federation without production of the certificate
to the person making the payment.
(2) No person resident in the scheduled territories
shall in the Federation do any act which involves, is in
association with or is preparatory to any such transaction
outside the Federation as is referred to in sub-section
(1) above.
Duties of 16. Except with the permission of the Authority,
persons
keeping no person concerned with the keeping of any register in the
registers. Federation shall-

(a) enter in the register the name, of any person
in relation to any security unless there has
been produced to him the prescribed evidence
that the entry does not form part of a tran-
saction which involves the doing of anything
prohibited by this Act; or
(b) enter in the register, in respect of any
security, an address outside the scheduled
territories, except for the purpose of any
transaction for -which the permission of the
Authority has been granted with the
knowledge that it involved the entry of that
address; or
(c) do any act in relation to the register which
recognizes or gives effect to any act appearing
to him to have been done with such intent as
is mentioned in the two last preceding
sections, whether done by a person in or
resident in the Federation or not.

Additional 17. (1) Where-
provisions
as to (a) the holder of a security is a nominee and the
nominee
holdings. person for whom he is a nominee is resident
outside the scheduled territories; or







The Exchange Control Act, 1959


(b) the holder of a security is not a nominee and
is resident outside the scheduled territories,
then, except with the permission of the Authority, no person
resident in the Federation shall do any act whereby the
holder becomes his nominee in respect of the security.

(2) Except with the permission of the Authority, a
person resident in the Federation for whom the holder of a
security is a nominee shall not do any act whereby- '
(a) the holder, being a person resident outside the
scheduled territories, holds the security
otherwise than as his nominee; or
(b) the holder, not being a person resident outside
the scheduled territories, holds the security as
nominee for a person resident outside the
scheduled territories.

(3) Where the holder of a security is a nominee, then,
except with the permission of the Authority, neither he, if he
is resident in the Federation, nor any person resident in the
Federation through whose agency the exercise of all or any
of the holder's rights in respect of the security is controlled,
shall-
(a) do any act wdiereby he recognizes or gives
effect to the substitution of another person as
the person from whom he directly receives his
instructions unless both the person previously
instructing him and the person substituted for
that person were, immediately before the
substitution, resident in the scheduled
territories and not elsewhere; or
(b) do any act whereby he ceases to be a person
bound to give effect to the instructions of
another person in relation to the security,
unless the person who theretofore instructed
him is resident in the scheduled territories
and not elsewhere.

(4') Where the holder of a security is not a nominee
and is resident in the Federation then. except with the per-
mission of the Authority, he shall not do any act whereby he







596 The Exchange Control Act, 1959


becomes the nominee of another person in respect of the
security, unless that other person is resident in the scheduled
territories and not elsewhere.
(5) No person resident in the scheduled territories
shall in the Federation do any act which involves, is in asso-
ciation with or is preparatory to any such transaction outside
the Federation as is referred to in this section.

Deposit of 18. (1) This section and section 19 of this Act shall apply
ertificates to any security except--
of titles.
(a) a security which is registered in the.
Federation otherwise than in a subsidiary
register, and on which none of the dividends
or interest is payable on presentment of a
coupon; and
(b) any such other securities as may be-
prescribed,
and in the following provisions of this section and in section
19 of this Act the expressions "security," "certificate of
title" and "coupon" mean respectively a security to which
the said sections apply, a certificate of title to such a security,
and a coupon representing dividends or interest on such a
security.
(2) It shall be the duty of every person by whom or to
whose order (whether directly or indirectly) a certificate of
title is held in the Federation and of every person resident
in the Federation by whom or to whose order (whether
directly or indirectly) a certificate of title is held outside the
Federation to cause the certificate of title to be kept
at all times, except with the permission of the Authority, in
the custody of an authorised depositary, and nothing in this
Part of this Act shall prohibit the doing of anything for the
purpose of complying with the requirements of this sub-
section.
(3) Except with the permission of the Authority, an
authorised depositary shall not part with any certificate of
title or coupon required under this section to be in the custody
of an authorised depositary:
Provided that this subsection shall not prohibit an
authorised depositary-







The Exchange Control Act, 1959 597

(a) from parting with a certificate of title or
coupon to or to the order of another authorised
depositary, where the person from whom the
other authorised depositary is to receive
instructions in relation thereto is to be the
same as the person from whom he receives
instructions;
(b) from parting with a certificate of title, for the
purpose of obtaining payment of capital
moneys payable on the security, to the person
entrusted with payment thereof;
(c) from parting with a coupon in the ordinary
course for collection.
(4) Except with the permission of the Authority, no
capital moneys, interest or dividends shall be paid in the
Federation on any security except to or to the order of an
authorised depositary having the custody of the certificate of
title to that security, so, however, that this subsection shall
not be taken as restricting the manner in which any sums
lawfully paid on account of the capital moneys, interest or
dividends may be dealt with by the person receiving them.
(5) Except with the permission of the Authority, an
authorised depositary shall not do any act whereby he
recognizes or gives effect to the substitution of one person
for another as the person from whom he receives instructions
in relation to a certificate of title or coupon, unless there is
produced to him the prescribed evidence that he is not by so
doing giving effect to any transaction which is prohibited
by this Act.
(6) Where a certificate of title which under this
section should for the time being be in the custody of an
authorised depositary is not in the custody of an authorised
depositary, then, except with the permission of the Authority,
no person shall in the Federation, buy, sell, transfer, or do
anything which affects his rights or powers in relation to, the
security, or do any act which involves, is in association with
or is preparatory to any such transaction outside the
Federation.
(7) Except with the permission of the Authority, no
person in or resident in the Federation shall, in the case of a







The Exchange Control Act, 1959


certificate of title with coupons (whether attached or on
separate coupon sheets), detach any of the coupons otherwise
than in the ordinary course for collection.

Additional 19. (1) Where a certificate of title to a security is by
roasions section 18 of this Act required to be and is in the custody of
deposited an authorised depositary, the provisions of this section shall,
fates except so far as the Authority otherwise directs, have effect
in relation thereto until-
(a) there are delivered to him the prescribed
declarations as to the ownership of the
security and the residence of the owners
thereof; and
(b) in the case of a certificate of title which-
(i) would ordinarily be accompanied by
coupons (whether attached or on separate
coupon sheets); but
(ii) when it comes into the custody of the
authorised depositary wants, in order to
render it complete, any coupons which
would not in the ordinary course have
been detached for collection,
there have also been deposited with him the
coupons so wanting at the time when the
certificate of title comes into his custody:
Provided that where the said declarations have
been delivered to an authorised depositary and he has parted
with the certificate of title, paragraph (a) of this subsection
shall not again apply on the certificate coming into the
custody of another authorised depositary or again coming
into his own custody.

(2) Except with the permission of the Authority, the
authorised depositary shall not part with or destroy the
certificate of title or any coupons belonging thereto, otherwise
than as mentioned in paragraphs (b) and (c) of the proviso
to subsection (3) of section 18 of this Act or do any
act whereby he recognizes or gives effect to the substitution
of one person for another as the person from whom he receives
instructions in relation thereto:







The Exchange Control Act, 1959 599

Provided that, where the person from whom an
authorised depositary receives instructions in relation to any
certificate of title becomes bankrupt in the Federation or
dies, this subsection shall not prohibit the authorised
depositary from recognizing the trustee in bankruptcy or
personal representative as the person entitled to give in-
structions in relation to the certificate of title.
(3) The authorised depositary shall place any capital
moneys, dividends or interest on the security received by him
to the credit of the person by virtue of whose authority he .
received them, but shall not permit any part of the sums
received to be dealt with except with the permission of the
Authority.

20. (1) The Authority may, if in his opinion there are Special
circumstances rendering it necessary or expedient so to do, provisonsas
by order direct that this section shall apply to such securities in certain
as may be prescribed, being securities on which capitalsecurities.
moneys, dividends or interest are payable in a specified
currency or as respects which the holder has an option to
require payment of any capital moneys, dividends or interest
thereon in a specified currency.
(2) Except with the permission of the Authority, no
person shall, in the Federation, transfer, or do anything
which affects his rights or powers in relation to, any security
to which this section applies, and no person resident in the
scheduled territories shall in the Federation do any act which
involves, is in association with or is preparatory to any such
transaction outside the Federation.

21. (1) The title of any person to a security for which he Validation
has given value on a transfer thereof, and the title of all acetain
persons claiming through or under him, shall, notwithstand-
ing that the transfer, or any previous transfer, or the issue
of the security, was by reason of the residence of any person
concerned other than the first-mentioned person prohibited
by the provisions of this Act relating to the transfer or issue
of securities, be valid unless the first-mentioned person had
notice of the facts by reason of which it was prohibited.
(2) Without prejudice to the provisions of subsection
(1) of this section, the Authority may issue a certificate
declaring, in relation to a security, that any acts done before







The Exchange Control Act, 1959


the issue of the certificate purporting to effect the issue or
transfer of the security, being acts which were prohibited
by this Act, are to be, and are always to have been, as valid
as if they had been done with the permission of the Authority,
and the said acts shall have effect accordingly.
(3) Nothing in this section shall affect the liability of
any person to prosecution for any offence against this Act.
Applca- 22. (1) This Part of this Act shall apply, with such modi-
tion of
Part IV to fications (if any) as may be prescribed, in relation to any
secfnary such document as is mentioned in the following subsection,
as if the document created, and were the certificate of title
to, a security (hereafter in this ordinance referred to as a
"secondary security").
(2) The documents referred to in the preceding sub-
section are any letter of allotment which may be renounced,
any letter of rights, any warrant conferring an option to
acquire a security, any deposit certificate in respect of
securities (but not including a receipt by an authorised
depositary for any certificate of title deposited in pursuance
of this Part of this Act) and such other documents conferring,
or containing -evidence of, rights as may be prescribed.

station of 23. (1) In this Part of this Act-
Part IV.
(a) the expression "registered" includes
inscribed;
(b) the expressions "registered in the
Federation" and "registered outside the
Federation" mean respectively, registered in
a register in, and registered in a register out-
side, the Federation;
(c) the expression "security which is registered
in the Federation otherwise than in a sub-
sidiary register" means a security which
either-
(i) is registered in the Federation and is not
and cannot without the necessity for an
entry in the register in the Federation,
become registered outside; or
(ii) is registered both in the Federation and
outside but on a transfer cannot, without







The Exchange Control Act, 1959 601

the necessity for an -entry in the register
in the Federation, become registered out-
side in the name of the transferee; and
(d) the expression "a register" includes any book,
file or index in which securities are registered.
(2) For the purposes of any provision of this Part
of this Act prohibiting the transfer of securities, a person
shall be deemed to transfer a security if he executes any
instrument of transfer thereof, whether effective or not, and
shall be deemed to transfer it at the place where he executes
the instrument.
(3) References in this Part of this Act to the person
holding a certificate of title or coupon shall be construed as
references to the person having physical custody of the certi-
ficate of title or coupon:
Provided that where the certificate of title or
coupon is deposited with any person in a locked or sealed
receptacle from which he is not entitled to remove it without
the authority of some other person, that other person shall
be deemed for the purposes of this provision to have the
physical custody thereof.
(4) In this Part of this Act, the expression "holder"-
(a) in relation to a security transferable by means
of a bearer certificate or to a coupon, includes
the person holding the certificate or coupon;
and
(b) in relation to a security which is registered
in the name of a deceased person, or of any
person who, by reason of bankruptcy,
unsoundness of mind or any other disability
is incapable of transferring the security,
means the personal representative, trustee in
bankruptcy or other person entitled to
transfer the security.
(5) The holder of a security or coupon shall be deemed
for the purposes of this Part of this Act to be a nominee in
respect thereof if, as respects the exercise of any rights in
respect thereof, he is not entitled to exercise those rights
except in accordance with instructions given by some other
person, and references in this Part of this Act to the person







602 The Exchange Control Act, 1959

for whom the holder of a security or coupon is a nominee
shall be construed as references to the person who is entitled
to give instructions, either directly or through the agency
of one or more persons, as to the exercise of any rights in
respect of the security or coupon and is not in so doing him-
self under a duty to comply with instructions given by some
other person:
Provided that-
(a) a person shall not by reason only that he has
a controlling interest in a body corporate be
deemed for the purposes of this subsection to
be entitled to give instructions to that body
corporate as to the exercise of rights in
respect of any security or coupon of which it
is the holder; and
(b) a person shall not be deemed to hold a security
or coupon as a nominee by reason only that he
holds it as trustee if he is entitled to transfer
the security or coupon without permission
from any other person.
(6) A certificate of title shall not for the purposes of
this Part of this Act be treated as in the custody of an autho-
rised depositary if either-
(a) the depositary has no notice of the nature of
the certificate; or
(b) the certificate is deposited with him in a
locked or sealed receptacle from which he is
not entitled to remove it without the authority
of some other person.
(7) Where a certificate of title outside the Federation
is by this Part of this Act required to be kept in the custody
of an authorised depositary, it shall be deemed to be in the
custody of an authorised depositary if-
(a) by his direction or with his assent it is in the
custody of some other person who holds it on
behalf of and to the order of the authorised
depositary; and
(b) the certificate is not deposited with that other
person in a locked or sealed receptacle from
which he is not entitled to remove it without
the authority of a person other than himself;







The Exchange Control Act, 1959 603


and where a certificate of title is by virtue of this subsection
deemed to be in the custody of an authorised depositary,
references in this Part of this Act to the depositary parting
with the certificate or a coupon belonging thereto shall be con-
strued as references to his permitting the person having the
actual custody thereof to part with it otherwise than to the
depositary, and references to his destroying the certificate or
such a coupon shall be construed as references to his permit-
ting it to be destroyed.
PART V
IMPORT AND EXPORT
24. (1) The importation into the Federation of- Restric-
tions
(a) any notes of a class which are or have at any on import.
time been legal tender in the United Kingdom
or any part of the United Kingdom; and
(b) any notes of a class which are or have at any
time been legal tender in the Federation or
any part of the Federation; and
(c) any such other notes as may be specified by
order of the Authority, being notes issued by
a bank or notes of a class which are or have
at any time been legal tender in any place
outside the Federation; and
(d) any certificate of title to any security, includ-
ing any such certificate which has been
cancelled, and any document certifying the
destruction, loss or cancellation of any certifi-
cate of title to a security,
is hereby prohibited except with the permission of the
Authority.

(2) In this section the expression "note" includes part
of a note and the expression "security" includes a secondary
security.

25. (1) The exportation from the Federation of- General
restric-
(a) any notes of a class which are or have at any to"s on
time been legal tender in the United Kingdom
or any part of the United Kingdom, or in the








The Exchange Control Act, 1959


Federation or any part of the Federation or in
any other country; and
(b) any postal orders; and
(c) any gold; and
(d) any of the following documents (including
any such document which has been cancelled),
that is to say-
(i) any certificate of title to a security and
any coupon; and
(ii) any policy of assurance; and
(iii) any bill of exchange or promissory note
expressed in terms of a currency other
than that of a scheduled territory and
payable otherwise than within the
scheduled territories; and
(iv) any document to which section 7 of this
Act applies not issued by an authorised
dealer or in pursuance of a permission
granted by the Authority;
and any document certifying the destruction,
loss or cancellation of any of the documents
aforesaid; and
(e) any such articles exported on the person of a
traveller or in a traveller's baggage as may
be prescribed,
is hereby prohibited except with the permission of the
Authority.
(2) In this section, the expression "note" includes
part of a note, the expression "security" includes a secondary
security and the expression "coupon" shall be construed in
accordance with the meaning of "security".

Payment 26. (1) The exportation of goods of any class or description
for from the Federation to a destination in any such country as
exports. may be prescribed is hereby prohibited except with the per-
mission of the Authority, unless the Comptroller of Customs
or other proper officer of the Territory from which the goods
are exported is satisfied-







The Exchange Control Act, 1959 605

(a) that payment for the goods has been made to
a person resident in the Federation in such
manner as may be prescribed in relation to
goods of that class or description exported to
a destination in that country, or is to be so
made not later than six months after the date
of exportation; and
(b) that the amount of the payment that has been
made or is to be made is such as to represent
a return for the goods which is in all the cir-
cumstances satisfactory in the interest of the
Federation:
Provided that the Authority may direct that, in
cases to which the direction applies, paragraph (a) of this
subsection shall have effect as if for the reference to six
months there were substituted a reference to such longer or
shorter period as may be specified in the direction, or as if
the words "or is to be so made not later than six months after
the date of exportation" were omitted.
(2) For the purpose of satisfying himself in the case
of any goods as to the matters specified in subsection (1) of
this section, the Comptroller of Customs or other proper
officer of the Territory from which the goods are exported
may require the person making entry of the goods for export
to deliver to the Comptroller or other proper officer together
with the entry such declarations signed by such persons as
he may require, and where any such declaration has been
so required the goods shall not be exported until it has been
delivered as aforesaid.
(3) Where the Comptroller of Customs or other
proper officer of the Territory from which the goods are
exported is not satisfied in the case of any goods as to the
matters specified in paragraph (b) of the said subsection (1),
he shall give his reasons to the person making entry of the
goods for export and shall take into consideration any repre-
sentations made by him.
(4) In this section, any reference to the destination
of any goods includes a reference to the ultimate destina-
tion thereof, and any reference to the Comptroller of Customs
or other proper officer of a Territory includes a reference to
the senior officer of customs of a Territory.







The Exchange Control Act, 1959


PART VI
MISCELLANEOUS
Duty to 27. (1) Except with the permission of the Authority, no
collect
certain person resident in the Federation who has a right (whether
debts, present or future and whether vested or contingent) to
receive any specified currency or to receive from a person
resident outside the scheduled territories a payment in ster-
ling, West Indian dollars or Jamaican pounds shall do, or
refrain from doing, any act with intent to secure or shall
do any act which involves, is in association with or is pre-
paratory to any transaction securing-
(a) that the receipt by him of the whole or part
of that currency or, as the case may be, of that
payment in sterling, West Indian dollars or
Jamaican pounds, is delayed; or
(b) that the currency or payment ceases, in whole
or in part, to be receivable by him:
Provided that nothing in this subsection-
(i) shall, unless the Authority otherwise
directs, impose on any person any obliga-
tion, in relation to any debt arising in the
carrying on of any trade or business, to
procure the payment thereof at an earlier
time than is customary in the course of
that trade or business; or
(ii) shall, unless the Authority otherwise
directs, prohibit any transfer to a person
resident in the Federation and not else-
where of any right to receive any
specified currency or payment in sterling,
West Indian dollars or Jamaican pounds.

(2) Where a person has contravened the pro-
visions of subsection (1) of this section in relation to any
specified currency or payment in sterling, West Indian dollars
or Jamaican pounds the Authority may give to him or to any
other person who appears to the Authority to be in a position
to give effect thereto (being a person in or resident in the
Federation) such directions as appear to the Authority to be
expedient for the purpose of obtaining or expediting the







The Exchange Control Act, 1959 607

receipt of the currency or payment in question, and, without
prejudice to the generality of the preceding provisions of this
subsection, may direct that there shall be assigned to the
Authority, or to such person as may be specified in the direc-
tions, the right to receive the currency or payment or enforce
any security for the receipt thereof.

28. (1) Where- Duty not
to delay
sale or
(a) any permission or consent has been granted mpora-
under this Act, or under any corresponding tionof
provision of the law in force in any country
comprised in the scheduled territories, sub-
ject to a condition providing that, or on the
faith of an application stating an intention
that, any goods should be sold outside the
scheduled territories; or
(b) any statement or declaration has been made
under any provision of this Act or any such
corresponding provision as aforesaid that any
goods are to be sold outside the scheduled
territories; or
(c) any currency has been obtained in, or by any
person resident in, the scheduled territories
on the faith of an application stating an
intention that any goods should be sold out-
side the scheduled territories,
then, except with the permission of the Authority, no person
resident in the Federation who is entitled to sell or procure
the sale of the said goods shall do, or refrain from doing, any
act with intent to secure or shall do any act which involves,
is in association with or is preparatory to any transaction
securing-
(i) that the said sale is delayed to an extent
which is unreasonable having regard to
the ordinary course of trade; or
(ii) that, on the said sale, any payment made
for the goods is not made in the manner
indicated by the condition, statement, or
declaration, as the case may be.







608 The Exchange Control Act, 1959

(2) Where--

(a) any permission or consent has been granted
under this Act, or under any corresponding
provisions of the law in force in any country
comprised in the scheduled territories,
subject to a condition providing that, or on
the faith of an application stating an inten-
tion that, any goods should be imported from
outside the scheduled territories into any part
of the scheduled territories; or

(b) any currency has been obtained in, or by any
person resident in, the scheduled territories
on the faith of an application stating an inten-
tion that any goods should be so imported,

then, except with the permission of the Authority, no person
resident in the Federation who is entitled to procure the
importation of the said goods shall do, or refrain from doing,
any act with intent to secure that the importation thereof is
delayed to an extent which is unreasonable having regard to
the ordinary course of trade.

(3) Where in any such case as is specified in paragraph
(a), (b) or (c) of subsection (1), or paragraph (a) or (b) of
subsection (2), of this section-

(a) the goods have not been sold or imported as
indicated by the condition, statement or
declaration within the time thereby indicated
or, if no time is thereby indicated, a reasonable
time, or (in either case) within such further
time as may be allowed by the Authority; or

(b) it appears to the Authority that the goods
cannot be sold or imported as indicated by the
condition, statement or declaration,

the Authority may give to any person resident in the Federa-
tion who appears to the Authority to be in a position to give
effect thereto such directions as appear to him to be expedient
as to the manner in which the goods are to be dealt with







The Exchange Control Act, 1959 609

(4) Without prejudice to the generality of the pro-
visions of the last preceding subsection, the power conferred
thereby on the Authority to give directions shall extend to
the giving of directions that the goods shall be assigned to
the Authority or to a person specified in the directions.

(5) The powers conferred by the two last preceding
subsections in relation to any goods shall extend to the giving
of directions with respect to any goods produced or manufac-
tured therefrom, and, where goods to be sold outside the
scheduled territories or to be imported were to be produced
or manufactured from other goods, to the giving of directions
with respect to those other goods and any goods produced
or manufactured from those other goods.

29. (1) Where a person- Property
obtained
(a) has made any payment which is prohibited by by infringe-
this Act; or Act.
(b) being bound under this Act to offer or cause
to be offered any specified currency to an
authorised dealer, has otherwise disposed of
that currency,
the Authority may direct him to sell or procure the sale of
any property which he is entitled to sell or of which he is
entitled to procure the sale, being property which represents,
whether directly or indirectly, that payment or that specified
currency, as the case may be, and may by the same or a sub-
sequent direction specify the manner in which, the persons to
whom and the terms on which the property is to be sold.

(2) Without prejudice to the generality of the pro-
visions of subsection (1) of this section, the power conferred
thereby on the Authority to give directions shall extend to
the giving of directions that the property shall be assigned
to the Authority or to a person specified in the directions.

30. (1) Where, under the preceding provisions of this Provisions
Part of this Act, the Authority has power to give directions mentl to
that any right to receive any currency or payment in sterling, preceding
West Indian dollars or Jamaican pounds or to enforce any o Part
VI.








610 The Exchange Control Act, 1959

security for the receipt thereof, any goods, or any other pro-
perty shall be assigned to their Authority, the Authority shall
also have power to direct that the right, goods or property
shall vest in the Authority, and it or they shall vest in the
Authority accordingly free from any mortgage, pledge or
charge, and the Authority may deal with it or them as he
thinks fit.

(2) Where, in pursuance of directions under the said
provisions any right, goods or property is or are assigned to
the Authority or to a person specified in the directions, or
any right, goods or property vests or vest in the Authority
in pursuance of directions given under subsection (1) of this
section, the Authority shall pay the net sum recovered by him
in respect of the right, goods or property to the person making
the assignment or, in the case of any right, goods or property
vested in the Authority under subsection (1) of this section,
to the person who, but for the directions, would be entitled to
the right, goods or property.

Transfer 31. (1) Except with the permission of the Authority, no
iies, person resident in the Federation shall transfer to a person
policies, resident outside the scheduled territories, or who is to be a
etc. nominee for a person resident outside the scheduled
territories, any right to the sums assured by any policy of
assurance, so, however, that where the person liable for the
sums so assured makes any payment thereof to a person
resident in the scheduled territories and not elsewhere, or
makes, with the permission of the Authority, any payment
thereof to any other person,-

(a) he shall not be bound to inquire as to the
residence of any person other than the person
to whom, and (if it is not the same person)
the person to whose order the payment is
made; and

(b) the payment shall, to the extent of the sums
paid, discharge him from his liability under
the policy, notwithstanding that the payment
is made to or to the order of a person who was
not entitled thereto otherwise than by virtue
of a transfer prohibited by this subsection.







The Exchange Control Act, 1959


(2) Subsections (2) and (3) of section 21 of this Act
shall apply in relation to any transfer prohibited by this
section as they apply in relation to a transfer prohibited by
this Act of a security.
(3) In this section, the expression "nominee" has, in
relation to any policy, annuity or insurance, the same meaning
as the said expression has in Part IV of this Act in relation
to a security.

32. (1) Except with the permission of the Authority, no settle-
person resident in the Federation shall settle any property, ments.
otherwise than by will, so as to confer an interest in the
property on a person who, at the time of the settlement, is
resident outside the scheduled territories, or shall exercise,
otherwise than by will, any power of appointment, whether
created by will or otherwise, in favour of a person who, at the
time of the exercise of the power, is resident outside the
scheduled territories.
(2) A settlement or exercise of a power of appointment
shall not be invalid by reason that it is prohibited by this
section, except so far as it purports to confer any interest
on any person who, at the time of the settlement or the
exercise of the power, is resident outside the scheduled
territories.
(3) Subsections (2) and (3) of section 21 of this Act
shall apply in relation to a settlement or the exercise of a
power of appointment prohibited by this section as they apply
in relation to a transfer prohibited by this Act of a security.
(4) For the purpose of this section-
(a) any reference to settling property includes a
reference to the making of any disposition,
covenant, agreement or arrangement whereby
the property becomes subject to a trust, or (in
the case of a resettlement) to a different
trust; and
(b) a person shall be deemed to have an interest
in property if he has any beneficial interest
therein, whether present or future, and
whether vested or contingent, or falls within







The Exchange Control Act, 1959


a limited class of persons in whose favour a
discretion or power in respect of the property
is exercisable; and
(c) the expression "will" includes any testa-
mentary disposition.
(5) No person resident in 'the scheduled territories
shall in the Federation do any act which involves, is in asso-
ciation with or is preparatory to any such transaction outside
the Federation as is referred to in this section.
Companies. 33. (1) Where there is served on any person resident in
the Federation a notice in writing that the Authority wishes
any such requirements as are hereinafter mentioned to be
complied with by any such body corporate as is specified in
the Second Schedule to this Act (hereafter in this subsection
referred to as a "foreign company"), and that person can, by
doing or refraining from doing any act,
(a) cause the foreign company to comply with
any of the requirements; or
(b) remove any obstacle to the foreign company
complying with any of the requirements; or
(c) render it in any respect more probable that
the foreign company will comply with any of
the requirements,
then, except so far as permission to the contrary may be given
by the Authority, that person shall do, or, as the case may
be, refrain from doing, that act.
The requirements with respect to which such a
notice may be given are as follows, that is to say, that the
foreign company shall-
(i) furnish to the Authority such particulars
as to its assets and business as may be
mentioned in the notice;
(ii) sell or procure the sale to an authorised
dealer of any gold or specified currency
mentioned in the notice, being gold or
specified currency which it is entitled
to sell or of which it is entitled to
procure the sale;







The Exchange Control Act, 1959


(iii) declare and pay such dividend as may be
mentioned in the notice;
(iv) realise any of its assets mentioned in the
notice in such manner as may be so
mentioned;
(v) refrain from selling, transferring, or
doing anything which affects its rights
or powers in relation to, any such
securities as may be mentioned in the
notice.
(2) Except with the permission of the Authority, no
person resident in the Federation shall do any act whereby
a body corporate which is by any means controlled (whether
directly or indirectly) by persons resident in the Federation
ceases to be controlled by persons resident in the Federation:
Provided that this subsection shall not prohibit
any person from selling any securities authorised to be dealt
in on any recognized stock exchange in the Federation if the
sale takes place in pursuance of an agreement entered into
in the ordinary course of business on that exchange.
No person resident in the scheduled territories
shall in the Federation do any act which involves, is in asso-
ciation with or is preparatory to any such transaction outside
the Federation as is referred to in this subsection.
(3) Except with the permission of the Authority, no
person resident in the Federation shall lend any money or
securities to any body corporate resident in the scheduled
territories which is by any means controlled (whether directly
or indirectly) by persons resident outside the scheduled
territories:
Provided that this subsection shall not apply
where the lender after making such inquiries as are reason-
able in the circumstances of the case does not know and has
no reason to suspect that the body corporate is controlled as
aforesaid.
No person resident in the scheduled territories
shall in the Federation do any act which involves, is in asso-
ciation with or is preparatory to any such transaction outside
the Federation as is referred to in this subsection.







The Exchange Control Act, 1959


(4) For the purposes of this section and of the Second
Schedule to this Act persons resident in the Federation or
outside the scheduled territories shall be deemed to control a
body corporate notwithstanding that other persons are asso-
ciated with them in the control thereof if they can together
override those other persons.
(5) In this section the expression "security" includes
a secondary security.

PART VlI
SUPPLEMENTAL
Exemp- 34. Any provision of this Act imposing any obligation
tions. or prohibition shall have effect subject to such exemptions
as may be granted by order of the Authority and any such
exemption may be either absolute or conditional.
Blocked 35. Where-
accounts.
(a) under any provision contained in Part III of
this Act, the permission of the Authority is
required for the making of a payment or the
placing of any sum to the credit of any person
resident outside the scheduled territories; or
(b) any payment falls to be, made by an
authorised dealer on the sale of any gold or
specified currency by any foreign company
within the meaning of subsection (1) of
section 33 of this Act, being a sale made to
comply with any requirement notified under
that subsection,
the Authority may direct that the sum payable or to be
credited shall be paid or credited to a blocked account only,
and, where such a direction is given, the provisions of the
Third Schedule to this Act shall have effect in relation to the
payment or crediting of the sum.

Contracts, 36. (1) It shall be an implied condition in any contract
legal pro-
cedings, that, where, by virtue of this Act, the permission or consent
etc. of the Authority is at the time of the contract required
for the performance of any term thereof, that term shall not
be performed except in so far as the permission or consent
is given or is not required:








The Exchange Control Act, 1959 615

Provided that this subsection shall not apply in so
far as it is shown to be inconsistent with the intention of the
parties that it should apply, whether by reason of their
having contemplated the performance of that term in despite
of the provisions of this Act or for any other reason.
(2) Notwithstanding anything in any law in force in
the Federation relating to bills of exchange, neither the pro-
visions of this Act, nor any condition, whether expressed or to
be implied having regard to those provisions, that any
payment shall not be made without the permission of the
Authority under this Act, shall be deemed to prevent any
instrument being a bill of exchange or promissory note.
(3) The provisions of the Fourth Schedule to this Act
shall have effect with respect to legal proceedings, arbitra-
tions, bankruptcy proceedings, the administration of the
estates of deceased persons, the winding up of companies,
and proceedings under deeds of arrangement or trust deeds
for behoof of creditors.

37. (1) The provisions of the Fifth Schedule to this ActEnforce-
shall have effect for the purpose of the enforcement of this t and
Act. tration.
(2) Persons belonging to the following classes, that
is to say-
(a) bankers, authorised dealers, authorised
depositaries;
(b) persons to whom any powers of the Authority
under this Act are delegated;
(c) persons who with the permission of the
Authority are in possession of documents
which would, but for the permission, have to
be in the custody of an authorised depositary;
(d) persons concerned with the keeping of any
register in the Federation; and
(e) persons entrusted with the payment of capital
moneys, dividends or interest in the
Federation,
shall comply with such directions as may be given to them
respectively by the Authority, being-







The Exchange Control Act, 1959


(i) in the case of any such persons, directions
as respects the exercise of any functions
exercisable by them by virtue of, or by
virtue of anything done under, any pro-
vision of this Act, or
(ii) in the case of authorised dealers, such
directions as aforesaid or directions as to
the terms on which they are to accept
gold or foreign currency or directions
requiring them to offer their gold or
specified currency for sale to the Bank
of England on such terms as may be
specified in any such directions.
Applica- 38. This Act shall bind the Crown and shall apply to
tion, to
Crown. transactions by a Government department or other person
acting on behalf of the Crown and the Authority shall not,
by virtue of any contract made by or on behalf of any such
department or person in relation to any securities, be under
any obligation to grant any permission under Part IV of this
Act or any exemption from the provisions of the said Part
IV.

Governor- 39. (1) The Governor-General may by order make such
General's transitional provisions as appear to him necessary or
orders. and
regula- expedient in consequence of the exercise by him or by the
tions. Authority of any power to make orders under this Act.

(2) The Governor-General may make such regulations
for the purpose of applying to the Federation the provisions
of the Defence Regulations specified in the Sixth Schedule
to this Act or any one or more of them as are, in his opinion,
necessary for purposes ancillary to the principal objects of
this Act.

(3) Any regulations made by the Governor-General
under sub-section (2) of this section may provide for the
application to the Federation of all or any of the provisions of
the Defence Regulations referred to in the said subsection
with such alterations as to names, localities, courts, officers,
persons, moneys, punishments and otherwise as may be
necessary to make the said provisions applicable to the cir-
cumstances of the Federation.







The Exchange Control Act, 1959


(4) In this Act, the expression "Defence Regulations"
means Regulations made in relation to the United Kingdom
under the Emergency Powers (Defence) Act, 1939, or under 2 & 3
that Act as extended by any subsequent Imperial Act, 6z. c.
including Regulations made as aforesaid and continued in
force under any other Imperial Act, and in force in the United
Kingdom on the twenty-fourth day of March, one thousand
nine hundred and fifty-nine.

40. (1) Any permission, consent or authority granted other
under this Act-
(a) may be either general or special; and
(b) may be revoked by the Authority; and
(c) may be absolute or conditional; and
(d) may be limited so as to expire on a specified
date, unless renewed; and
(e) shall be published in such a way as, in the
opinion of the Authority, to give any person
entitled to the benefit of it an adequate oppor-
tunity of getting to know of it, unless in his
opinion publication is not necessary for that
purpose.
(2) Any directions given under any provision of this
Act-
(a) may be either general or special; and
(b) may be revoked or varied by subsequent
directions; and
(c) shall be given to such persons and in such
manner as the Authority thinks appropriate,
and if so given shall be valid for all purposes.
(3) Notwithstanding paragraph (c) of the last pre-
ceding subsection, a person shall not by virtue of any direction
given by the Authority under this Act, be convicted of an
offence against this Act, unless the direction was served on
him or he knew, or avoided getting to know, of the giving
thereof:
Provided that where reasonable steps were taken
for the purpose of bringing the purport of the direction to his
notice, it shall be for him to show that he neither knew nor
avoided getting to know of the giving thereof.







618 The Exchange Control Act, 1959

(4) The Authority may, to such extent and subject to
such restrictions and conditions as he may think proper,
delegate or authorise the delegation of any of his powers
(other than any power to make orders) to any person, or class
or description of persons, approved by him and references in
this Act shall be construed accordingly.

(5) Any document stating that any permission,
consent, authority or direction is given under any of the
provisions of this Act by the Authority, and purporting to
be signed on his behalf, shall be evidence of the facts stated
in the document.

Financial 41. Any sums received under or by virtue of this Act
provisions, by the Authority shall be paid into the public funds of the
Federation.

Branches. 42. (1) The Authority may by order or direction provide
that, for such of the purposes of this Act as may be specified
in the order or direction-

(a) any transaction with or by a branch of any
business, whether carried on by a body
corporate or otherwise, shall be treated in all
respects as if the branch were a body
corporate resident where the branch is
situated; and

(b) the making of any book entry or other state-
ment recording a debit against a branch of
any business in favour of any other branch of
that business, shall be treated as a payment to
that other branch; and

(c) any property held by or on behalf of the
person carrying on the business shall be
deemed to be held by such of the branches of
the business as may be determined in
accordance with the order or direction,

and any such order or direction which makes, for any of the
purposes of Part IV of this Act, such provision as is







The Exchange Control Act, 1959 619

mentioned in paragraph (c) of this subsection may contain
provisions declaring the circumstances in which a branch is
to be treated as nominee for any other branch.

(2) Any reference in subsection (1) of this section to
a branch of a business shall be deemed to include a reference
to the head office of that business.

(3) Subsections (1) and (2) of this section shall apply
in relation to any body of persons (whether corporate or
unincorporated) carrying on any activity, whether for the
purpose of profit or not, as they apply in relation to a
business.

43. Where a person resident in the Federation leaves Persons
the scheduled territories, the Authority may, before, at orschedled
after the time he leaves the scheduled territories, direct that, territories.
for such period as may be specified in the direction, payments
by him or on his behalf and to him or to his credit and tran-
sactions in or in relation to securities or secondary securities
in which he is in any way concerned shall, whether or not he
continues to be resident in the Federation, be subject to such
restrictions as may be specified in the direction.

44. (1) For the purposes of this Act, a personal repre-Deter-
sentative of a deceased person shall, unless the Authority of' rsi-
otherwise directs, be treated as resident in the country where dence.
the deceased person was resident for the purposes in question
at the time of his death and as not resident elsewhere, so far
as relates to any matters in which the personal representative
is concerned solely in his capacity as such.
(2) The Authority may give directions declaring that
for all or any of the purposes of this Act a person is to be
treated as resident or not resident in such countries as may be
specified in the directions.








The Exchange Control Act, 1959


SCHEDULES


FIRST SCHEDULE Section 4

The Scheduled Territories
1. The fully self-governing countries of the Commonwealth
except Canada.
2. Any Colony under the dominion of Her Majesty.
3. Any territory administered by the government of any part
of Her Majesty's dominions under the trusteeship system of the United
Nations.
4. Any British protectorate or British protected state.
5. South West Africa.
6. The Irish Republic.
7. Iraq.
8. Iceland.
9. Burma.
10. The Hashemite Kingdom of Jordan.
11. The United Kingdom of Libya.


SECOND SCHEDULE Sections 33 & 35

Foreign Companies
1. The bodies corporate in question are bodies corporate not
incorporated under the provisions of any law 'in force in the Federation
in the case of which any of the following conditions is fulfilled-

(a) that the body corporate lis by any means controlled
(whether directly or indirectly) by persons resident in
the Federation;

(b) that more than one-half of the sums which, on a
liquidation thereof, would be receivable by holders of
share or loan capital would be receivable directly or
indirectly by or for the benefit of persons resident in the
Federation;

(c) that more than one-half of the assets which, on a
liquidation thereof, would be available for distribution
after the payment of creditors would be receivable
directly or indirectly by or for the benefit of persons
resident in the Federation; or









The Exchange Control Act, 1959 621


(d) that more than one-half-

(i) of the interest payable on its loans and loan capital,
if any; or
(ii) of the dividends payable on its preference share
capital, if any; or
(iii) of the dividends payable on its share capital, if any,
not being preference share capital, is receivable,
directly or indirectly, by or for the benefit of
persons resident in the Federation.

2. Where the identity of the persons by whom or for whose
benefit any sum, assets, interest or dividends are directly or indirectly
receivable depends on the exercise by a person resident in the
Federation of a power of appointment or similar power, the sum, assets,
interest or dividends shall, for the purposes of this Schedule, be deemed
to be receivable directly or indirectly by or for the benefit of persons
resident in the Federation.

THIRD SCHEDULE Section 35

Blocked Accounts
1. In this Schedule, the expression "a blocked account" means
an account opened as a blocked account at an office or branch in the
Federation in favour of any person by a banker authorised by the
Authority to open blocked accounts, and the expression "the banker"
means, in relation to any person, a banker who opens a blocked account
in favour of that person.

2. Where a direction is given that a payment is to be made to
a blocked account only, then, subject to the next following paragraph-

(a) the manner in which the payment may be made shall be
either-

(i) to the banker, with a direction that it is to be
credited to a blocked account of that person (which
direction may, in the case of a payment by means
of a cheque or warrant, be made by marking the
cheque or warrant with the words "blocked account
of (naming the person in question)" or words to
the same effect); or

(ii) by a crossed cheque or warrant drawn in favour of
that person, marked with the words "payable only
to blocked account of payee" or words to the same
effect; and

(b) the sum collected shall be credited by the banker to a
blocked account of that person.








The Exchange Control Act, 1959


3. Where a direction is given that a sum is to be paid or
credited to a blocked account only, then, notwithstanding the direction,
the sum may with the consent of the person to whom it is to be paid
or credited, and subject to the requirements of Part IV of this Act
be invested instead in the purchase for that person of any such
investments as may be prescribed for the purposes of paragraph (a)
of the proviso to paragraph 4 of this Schedule.

4. Any sum standing to the credit of a blocked account shall
.not be dealt with except with the permission of the Authority:

Provided that, subject to compliance with the requirements
of Part IV of this Act-

(a) the whole or any part of any such sum may, at the
request of the person in whose name the account stands,
be invested through the banker in such investments as
may be prescribed; and

(b) nothing in this Schedule shall be construed as
restricting the manner in which the investments acquired
may be dealt with.

5. Where a person in whose name a blocked account is standing
becomes bankrupt in the Federation or dies, the banker may, notwith-
.standing anything in paragraph 4 of this Schedule, transfer the account
to the name of the trustee in bankruptcy or personal representative
but, save as aforesaid, no change shall, except with the permission of
the Authority, be made in the name in which the account
stands; and where any such change is made (whether or not
the permission of the Authority is necessary therefore) the account shall
remain a blocked account notwithstanding the change, and the provisions
of this Schedule shall apply accordingly.

6. Where-

(a) a sum is due from any person to any other person but the
Authority directs that it shall be paid or credited to a
blocked account only; and

(b) the person to whom the sum is due nominates such an
account to the person from whom the sum is due

the last mentioned person is under a duty to the person to whom the
sum is due to cause the sum to be paid or credited to that blocked
account, and the crediting of any sum to a blocked account in
pursuance of a direction of the Authority shall, to the extent of the
.sum credited, be a good discharge to the person from whom the sum
is due:

Provided that in the case of a sum due under a contract
this paragraph shall not apply in so far as it is shown to be inconsistent
-with the intention of the parties that it. should apply.








The Exchange Control Act, 1959


FOURTH SCHEDULE Section 36

Legal Proceedings, &c.

1. The provisions of Part III of this Act shall apply to sum
required to be paid by any judgment or order of any court or by any
award as they apply in relation to other sums, and it shall be implied
in any judgment or order of any court in the Federation and in any
award given under the provisions of any law in force in the Federation,
that any sum required to be paid by the judgment, order or award
(whether as a debt, as damages or otherwise) to which the said pro-
visions apply shall not be paid except with the permission of the
Authority.

2. Nothing in this Act shall be construed as preventing the
payment by any person of any sum into any court in the Federation but
the provisions of Part III .of this Act shall apply to the payment of any
sum out of court, whether under an order of the court or otherwise, to
or for the credit of any person resident outside the scheduled territories..

3. Without prejudice to the provisions of any enactments
relating to the making of rules of court, rules of court-

(a) enabling any person who is required by any judgment,
order or award to pay any sum, if he apprehends that
the payment of that sum is unlawful under this Act
except with the permission of the Authority to pay that
sum into court; and
(b) declaring that payment of a sum into court by virtue
of the preceding sub-paragraph, together with the
delivery to the other party concerned of such evidence
of the payment as may be prescribed by the rules, shall,
to the extent of the payment, be a good discharge to the
person making the payment; and
(c) so regulating the process of execution which may issue
in respect of any sum required to be paid by any judg-
ment, order or award as to secure that, unless it is.
shown, in such manner as may be prescribed by the rules,
that the permission of the Authority for the payment
of the sum is not required under this Act or has been
given without conditions, the proceeds of the execution
will be paid into court, and, so far as is necessary for
that purpose, varying the form of any writ of execution
or other similar document or the duties of the sheriff
or other officer to whom any such writ or other similar
document is directed,

may be made as respects any court in the Federation by such authority
as may be designated in that behalf by the Chief Justice:


Provided that-








624 The Exchange Control Act, 1959

(i) the form of any bankruptcy notice shall be such as
may be prescribed by the Authority, and
(ii) nothing in this paragraph shall affect the provisions
of any legislation which requires rules of court for
inferior courts to have the concurrence of the rule-
making authority for any other court.

4. (1) In any proceedings in a prescribed court and in any
arbitration proceedings, a claim for the recovery of any debt shall not
be defeated by reason only of the debt not being payable without the
permission of the Authority and of that permission not having been
given or having been revoked.
(2) No court shall be prescribed for the purpose of this para-
graph unless the Authority is satisfied that adequate provision has
been made therefore by rules of court for the purposes specified under
the last preceding paragraph.

5. (1) In any bankruptcy, in the winding up of any company or in
the administration of the estate of any deceased person (being a
bankruptcy, winding up or administration carried on under the
provisions of any law in force in the Federation), a claim for a sum
not payable without the permission of the Authority shall, notwith-
standing that the permission has not been given or has been revoked, be
admitted to proof as if it had been given and had not been revoked:
Provided that nothing in this sub-paragraph shall be con-
strued as affecting the application of the provisions of Part III of this
Act to payments by any trustee, liquidator, personal representative or
other person in any such bankruptcy, winding up or administration.
(2) The provisions of this Act restricting the making of settle-
ments shall not apply to any deed of arrangement made for the benefit
of creditors generally, and the provisions of sub-paragraph (1) of this
paragraph shall apply in relation to proceedings under any deed of
arrangement as they apply in relation to proceedings in bankruptcy.

6. A debt for the payment of which permission of the
Authority is required under this Act shall not on account of that
requirement only be disallowed from being a good petitioning creditor's
debt under any law in force in the Federation relating to bankruptcy
if and to the extent that the debt can be satisfied either by a payment
into court or by a payment to a blocked account.

FIFTH SCHEDULE Section 37
Enforcement

PART I
General provisions as to evidence and information
1. (1) Without prejudice to any other provisions of this Act the
Authority may give to any person in or resident in the Federation









The Exchange Control Act, 1959 62S


directions requiring him, within such time and in such manner as may
be specified in the directions, to furnish to him or to any person
designated in the directions as a person authorised to require it, any
information in his possession or control which the Authority or the
person so authorised, as the case may be, may require for the purpose of
securing compliance with or detecting evasion of this Act.

(2) A person required by any such directions as aforesaid.-'to
furnish information shall also produce such books, accounts or other
documents (hereafter in this Part of this Schedule referred to as
"documents") in his possession or control as may be required for the
said purpose by the Authority or by the person authorised to require
the information, as the case may be.

(3) Nothing in the preceding provisions of this paragraph shall
be taken to require any person who has acted as counsel or solicitor
for any person to disclose any privileged communication made to him
in that capacity.

(4) Where a person is convicted on indictment for failing to give
information or produce documents when required so to do under this
paragraph, the court may make an order requiring the offender, within
such period as may be specified in the order, to comply with the
requirement to give the information or produce the documents.

2. (1) If a court of summary jurisdiction is satisfied by informa-
tion on oath given by a person authorised by the Authority to act for
the purposes of this paragraph either-

(a) that there is reasonable ground for suspecting that an
offence against this Act has been or is being committed
and that evidence of the commission of the offence is
to be found at any premises specified in the information,
or in any vehicle, vessel or aircraft so specified; or

(b) that any documents which ought to have been produced
under the preceding paragraph and have not been pro-
duced are to be found at any such premises or in any
such-vehicle, vessel or aircraft,
the court may grant a search warrant authorising any member of the
police force of a Territory, together with any other persons named in
the warrant and any other police officers, to enter the premises
specified in the information or as the case may be, any premises upon
which the vehicle, vessel or aircraft so specified may be, at any time
within one month from the date of the warrant, and to search the
premises, or, as the case may be, the vehicle, vessel or aircraft.

(2) A person authorised by any such warrant as aforesaid to
search any premises or any vehicle, vessel or aircraft, may search
every person who is found in, or whom he has reasonable ground to
believe to have recently left or to be about to enter, those premises or
that vehicle, vessel or aircraft, as the case may be, and may seize any









626 The Exchange Control Act, 1959

article found in the premises or in the vehicle, vessel or aircraft which he
has reasonable ground for believing to be evidence of the commission of
any offence against this Act or any documents which he has reasonable
ground for believing ought to have been produced under the preceding
paragraph:

Provided that no female shall, in pursuance of any warrant
issued under this paragraph, be searched except by a female.

(3) Where, by virtue of this paragraph, a person has any power
to enter any premises, he may use such force as is reasonably necessary
for the purpose of exercising that power.

3. (1) Any article coming into the possession of an executive
authority (whether in consequence of the seizure of the article under
or by virtue of this Act or otherwise) which the authority has reasonable
ground for believing to be evidence of the commission of an offence
against this Act may be retained for a period of three months or, if
within that period there are commenced proceedings in respect of such
an offence in which the article is, or can properly be, adduced in
evidence, until the final determination of those proceedings.

(2) For the purposes of this paragraph, any person to whom any
powers of the Authority under this Act are delegated or on whom any
functions are conferred by or by virtue of this Act, including any police
officer, shall be deemed to be an executive authority.

(3) For the purposes of this paragraph, any proceedings shall
be deemed not to have been finally determined so long as there is
pending any appeal in the matter of the proceedings, and an appeal
in that matter shall be deemed to be pending during the ordinary time
within which such an appeal may be lodged, and, if such an appeal is
duly lodged, the appeal shall be deemed to be pending until it is decided
or withdrawn.

(4) The powers conferred by this paragraph in relation to any
article shall be in addition to, and not in derogation of, any powers
otherwise exercisable in relation thereto.

4. No person in or resident in the Federation shall-

(a) with intent to evade the provisions of this Act, destroy,
mutilate, deface, secrete or remove any documents;

(b) in furnishing any information for any of the purposes
of this Act, make any statement which he knows to be
false in a material particular, or recklessly make any
statement which is false in a material particular;

(c) obstruct any person in the exercise 'of any powers
conferred on him by virtue of this Part of this Schedule.




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