31. The following new Chapter is hereby inserted immediately after Chapter V, and shall have effect as Chapter VA, of the principal enactment: -
| 70A. The bank shall be responsible for and charged with the administration of the provisions of this Chapter and shall, in the exercise, performance or discharge of any power, duty or function conferred or imposed upon or assigned to the bank by or under this Chapter, be subject to the general direction and control of the Minister. |
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| 70B.
| | (1) Subject to the provisions of sub-section (2), the bank is hereby authorized to acquire the whole or any part or share of any agricultural, residential or business premises, if the bank is satisfied that those premises were, at any time not earlier than the first day of January, 1952,-
| | | (a) sold in execution of a mortgage decree entered by a court against the owner of such premises (hereafter in this Chapter referred to as the " original owner "; or |
| (b) transferred by the owner of those premises (hereafter in this Chapter referred to as the " original owner ") to any other person in satisfaction of a debt which was due from the original owner or his predecessor in title to that other person and which was secured by a mortgage of those premises subsisting immediately prior to the transfer; or |
| (c) transferred by the owner of those premises (hereafter in this Chapter referred to as the " original owner ") to any other person, at the request of a mortgagee of those premises, in satisfaction or part satisfaction of a debt which was due from the original owner or his predecessor in title to that mortgagee and which was secured by a mortgage of those premises subsisting immediately prior to the transfer; or |
| (d) transferred by the owner of such premises to any other person after receiving from such other person a sum of money as consideration for such transfer and upon the condition that, on the repayment by the transferor (hereafter in this Chapter referred to as the " original owner ") of that sum with or without interest thereon within a specified period, such other person will re-transfer those premises to the original owner. |
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| | (2) No premises shall be acquired under sub-section (1)-
| | | (a) if an application in that behalf had earlier been made to the People's Bank under Part VIII of the Finance Act, No. 11 of 1963, and such Bank had determined that such premises should not be acquired; or |
| (b) unless an application in that behalf has been made to the bank by the original owner of such premises or his spouse or children; or |
| (c) unless the bank is satisfied that the average statutory income of the original owner and of the other members of the family of which he is the head, computed under the provisions of the written law relating to the imposition of income tax, for the three years of assessment immediately preceding the date on which such application was made, does not exceed a sum of ; ten thousand rupees; or |
| (d) if the bank is satisfied that the premises to which the applica-tion relates are reasonably required for occupation as a residence for the original owner of those premises or any member of the family of such owner or for the purposes of any trade. business, profession, vocation or employment of such owner or any member of his family and that such owner or member of his family has no other premises which could be used for the purpose for which the premises to which the application relates are being used; or |
| (e) unless, in the case of an applica-tion relating to any agricultural premises, the bank is satisfied that the original owner is not the owner of any other agricultural premises exceeding ten acres in extent. |
|
| | (3) Where the bank entertains an application for the acquisition of any premises referred to in sub-section (1), the bank shall-
| | | (a) cause notice of the fact to be sent by registered post to the owner of such premises; |
| (b) cause a copy of such notice to be delivered or transmitted to the proper Registrar of Lands for registration, setting out the prescribed particulars relating to such premises and stating that such premises may be acquired under this Chapter. |
|
| | (4)
| | | (a) Where the owner of any premises receives a notice under subsection (3) relating to an application in respect of the premises, such owner shall not sell, gift, transfer, lease, mortgage or otherwise alienate the premises unless or until such application is dismissed by the bank. |
| (b) Any sale, gift, transfer, lease, mortgage or other alienation of any premises in contravention of the provisions of paragraph (a) of this sub-section shall be null and void. |
|
| | (5) No civil court shall entertain any action-
| | | (a) in respect of any matter which is pending before the bank relating to any acquisition to be made under this Chapter; or |
| (b) in respect of the validity of the procedure followed by the bank relating to such acquisition, or to the validity of such acquisition. |
|
| | (6) The question whether any premises which the bank is authorized to acquire under this Chapter should or should not be acquired shall be determined by the bank and every such determination of the bank shall be final and conclusive and shall not be called in question in any court. | | |
| | (7) Where the bank has determined that any premises shall be acquired for the purposes of this Chapter, the bank shall-
| | | (a) notify such determination to the owner of such premises; and |
| (b) cause a notice to be delivered or transmitted to the proper Registrar of Lands for registration, setting out the prescribed particulars relating to those premises and stating that those premises are to be acquired under this Chapter. |
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| 70C.
| | (1) Where the bank has determined that any premises shall be acquired for the purposes of this Chapter, the chairman of the board shall cause such determination to be notified to the Minister. | | |
| | (2) Upon being notified of the determination of the bank in respect of any premises the Minister may, by Order (hereafter in this Chapter referred to as a " vesting Order ") published in the Gazette, vest in the bank, with effect from such date as shall be specified in the Order, the premises to which such determination relates. | | |
| | (3) Where a vesting Order under subsection (2) in regard to any premises is published in the Gazette, such premises shall, with effect from the date specified in the Order under that sub-section, vest absolutely in the bank free from all encumbrances. | | |
| | (4) Any person specially or generally authorized in that behalf by the chairman of the board may take possession of any premises vested in the bank by a vesting Order. | | |
| | (5) The person who, under sub-section (4), is authorized to take possession of any premises vested in the bank by a vesting Order shall, by notice given to the person in occupation or in possession of such premises or exhibited in some conspicuous place in, or in the vicinity of, such premises,-
| | | (a) inform that such authorized officer intends to take possession of such premises for and on behalf of the bank on such date and at such time and place as shall be specified in the notice; and |
| (b)require any person interested or his authorized agent to be present on the date and at the time and place so specified, and to allow and assist such authorized officer to take possession of such premises for and on behalf of the bank. |
|
| | (6) Any notice required to be given to any person under sub-section (5) shall be deemed to be given to him if such notice is sent to him by registered letter through the post. | | |
| | (7) Every person-
| | | (a) who contravenes any requirement of any notice given to him under sub-section (5); or |
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| 70D.
| | (1) Notwithstanding that any premises have vested in the bank by virtue of a vesting Order, the Minister may at any time by a subsequent Order published in the Gazette (hereafter in this section referred to as a " divesting Order ") revoke that vesting Order. | | |
| | (2) The following provisions shall apply in any case where a vesting Order in respect of any premises is revoked by a divesting Order: -
| | | (a) such premises shall be deemed never to have vested in the bank by virtue of that vesting Order, and any question which might arise as to any right, title or interest in or over such premises shall be determined accordingly; and |
| (b) all claims under this Chapter to the compensation payable in respect of such premises, and all proceedings taken under this Chapter in regard to such claims, before that vesting Order was revoked, shall be deemed to be null and void; and |
| (c) no compensation shall be payable under this Chapter in respect of the period prior to the revocation of that vesting Order during which such premises were vested in the bank. |
|
| | (3) The preceding provisions of this section shall have effect notwithstanding anything in any other provision of this Ordinance or in any other written law. | | |
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| 70E. Where any premises are vested in the bank, the chairman of the board shall, by notice published in the Gazette and in such other manner as may be determined by him, direct every person who was interested in such premises immediately before the date on which such premises were so vested, to make, within a period of one month reckoned from the date specified in the notice, a written claim to the whole or any part of the compensation payable under this Chapter in respect of such premises, and to specify in the claim-
| | (a) his name and address; | | |
| | (b) the nature of his interest in such premises; | | |
| | (c) the particulars of his claim; and | | |
| | (d) how much of such compensation is claimed by him. | | |
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| 70F. Upon the receipt of any claim made under section 70E to the compensation payable under this Chapter in respect of any premises vested in the bank, the chairman of the board shall cause the following documents to be sent to the claimant by registered letter through the post-
| | (a) a copy of any such report in regard to the condition of the afore-said premises as has been made by or under the authority of the bank under any rule made under this Ordinance, if a copy of that report has not already been served on the claimant; | | |
| | (b) a copy of any such assessment of the compensation payable under this Chapter in respect of the aforesaid premises as has been made by or under the authority of the bank; | | |
| | (c) a notice requiring the claimant, within the time specified in the notice-
| | | (i) to furnish to the bank a written statement setting out whether or not he agrees with the report referred to in the preceding paragraph (a) and the assessment referred to in the preceding paragraph (b) and, if he does not so agree, any objections that he may have to such report and assessment, and the grounds of such objections, and |
| (ii) to produce to the bank all documents, and in particular the documents in regard to the condition of the aforesaid premises, relied on by him in support of any such objection. |
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| 70G.
| | (1) The chairman of the board shall refer to the compensation tribunal for determination of the amount of the compensation payable in respect of any property vested in the bank under this Chapter and shall transmit to the tribunal all claims made to such compensation together with all documents furnished by the claimants in support of their claims, and all documents, copies of which have been served on or transmitted to the claimants by the bank. | | |
| | (2) A reference made under sub-section (1) to the compensation tribunal is hereafter in this Chapter referred to as a " reference for an award as to compensation ". | | |
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| 70H. The amount of compensation to be paid under this Chapter in respect of any premises vested in the bank shall be either the actual amount for which such premises were purchased by, or transferred to, the owner thereof together with such interest thereon as may have been determined by the compensation tribunal, and an additional sum which is equal to the reasonable value of any subsequent additions and improvements made to such premises by any person who was interested in such premises before the publication of the vesting Order in regard to such premises or the market value of such premises, whichever is less. |
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| 70J. The compensation payable in respect of any premises vested in the bank under this Chapter shall be considered as accruing due from the date on which those premises were so vested. |
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| 70K.
| | (1) The amount of compensation to be paid to any person in respect of any premises vested in the bank under this Chapter shall be proportionate to the interest such person had in such premises on the date on which such premises were so vested. | | |
| | (2) Where any premises are subject to a mortgage or lease at the time when those premises were vested in the bank under this Chapter, the rights of the mortgagee or of the lessee, shall, notwithstanding the provisions of sub-section (3) of section 70c, be limited to any sum paid under this Chapter as compensation in respect of those premises. | | |
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| 70L. Any compensation payable under this Chapter shall, from the date on which such compensation accrues due up to the date of payment, carry interest at such rate as may be determined by the bank with the concurrence of the Minister. |
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| 70M. NO compensation in respect of any premises vested in the bank under this Chapter shall be paid to any person under this Chapter unless such person is entitled to such compensation according to an award (hereafter in this Chapter referred to as an " award as to compensation") made by the compensation tribunal under this Chapter. |
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| 70N. Where any compensation payable to any person under this Chapter in respect of premises vested in the bank is not accepted by him when it is tendered to him or where such person is dead, cannot be found after diligent search, or is not known, it shall be paid to the District Court or the Court of Requests having jurisdiction over the place where such premises are situated, according as the amount of that compensation exceeds or does not exceed seven hundred and fifty rupees, to be drawn by the person or persons entitled thereto. |
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| 70P.
| | (1) There shall be established, for the purposes of this Chapter, a compensation tribunal consisting of ten members appointed by the Governor-General of whom at least five shall be persons with judicial or legal experience. | | |
| | (2) A person shall be disqualified for appointment, or for continuing, as a member of the compensation tribunal if he is a Senator, a Member of Parliament, or a member of the board or an officer or an employee of the bank. | | |
| | (3) A member of the compensation tribunal with judicial or legal experience shall be appointed to be the chairman. and another member with similar experience shall be appointed to be the vice-chairman, of the tribunal by the Governor-General on the recommendation of the Minister. | | |
| | (4) Every member of the compensation tribunal shall, unless he earlier vacates office or is removed therefrom by the Governor-General, hold office for a period of three years. Any member of the tribunal who vacates office by effluxion of time shall be eligible for reappointment. | | |
| | (5) There shall be appointed a secretary to the compensation tribunal (here-after in this Chapter referred to as the "secretary ") and such other officers and servants as may be necessary for the performance of the work of the tribunal. | | |
| | (6) The members, officers and servants of the compensation tribunal shall be remunerated at such rates as may be determined by the board. | | |
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| 70Q.
| | (1) The secretary shall, under the direction of the chairman or in his absence the vice-chairman of the compensation tribunal, convene meetings of the tribunal for the consideration and determination of references for awards as to compensation. | | |
| | (2) The chairman or vice-chairman and four other members of the compensation tribunal shall be summoned to a meeting of the tribunal. Such other members shall be chosen by lot by the secretary. The quorum for a meeting of the tribunal shall be three members. | | |
| | (3) Two separate meetings of the compensation tribunal may be convened and held at the same time to consider and determine different references for awards as to compensation. | | |
| | (4) Where the chairman or the vice-chairman is summoned to a meeting of the compensation tribunal, the chair-man or vice-chairman, as the case may be, shall preside at that meeting, and in the absence of the chairman or the vice-chairman the members of the tribunal summoned to and present at that meeting shall choose from themselves a chairman for the meeting. | | |
| | (5) A member of the compensation tribunal who is interested in any matter which is the subject of a reference for an award as to compensation or who has been consulted as an advocate or proctor or in any other capacity in regard to that matter by or on behalf of any person interested therein shall not participate in any proceedings of a meeting of the tribunal on such reference. | | |
| | (6) A meeting of the compensation tribunal may from time to time be postponed or adjourned. | | |
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| 70R.
| | (1) Every reference for an award as to compensation shall be considered and determined at a meeting of the compensation tribunal. | | |
| | (2) The secretary shall fix a date, time and place for the consideration and determination by the compensation tribunal of each reference for an award as to compensation. | | |
| | (3) The secretary shall, in respect of every reference for an award as to compensation, keep a record of all such proceedings before the compensation tribunal as relate to that reference. | | |
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| 70S.
| | (1) The chairman or vice-chairman of the compensation tribunal and, if the chairman or the vice-chairman is not presiding at any meeting of the tribunal, the chairman of that meeting shall, for the purposes of the consideration and determination of any reference for an award as to compensation, have all the powers of a District Court-
| | | (a) to summon and compel the attendance of witnesses; |
| (b) to compel the production of documents; and |
| (c) to administer any oath or affirmation to witnesses. |
|
| | (2) Every person giving evidence on any matter before a meeting of the compensation tribunal shall be bound to state the truth on such matter. | | |
| | (3) Every person who attends a meeting of the compensation tribunal as a witness shall be paid as travelling and other expenses such sum as may be determined by the chairman of the meeting. | | |
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| 70T.
| | (1) The determination made at a meeting of the compensation tribunal on any matter considered at that meeting shall be deemed to be the determination of the tribunal on that matter. | | |
| | (2) Where the members of the compensation tribunal who consider any matter disagree with regard to the determination of that matter, the determination of the majority of them shall be the determination of the tribunal on that matter, and, where the members are equally divided in their opinion, the determination supported by the chairman of the meeting by which that matter is considered shall be the determination of the tribunal on that matter. | | |
| | (3) Every determination of the compensation tribunal shall contain the reasons therefor. | | |
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| 70U. Subject to the provisions contained in this Chapter in respect of procedure, the compensation tribunal may lay down the procedure to be observed at meetings of the tribunal. The bank and claimants to |
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| 70V. Where a reference for an award as to compensation is made to the compensation tribunal, the tribunal shall, before making an award, give the bank and every person who has made a claim to compensation an opportunity of being heard either in person or by an agent authorized in that behalf. |
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| 70W.
| | (1) Where a copy of any report made by or under the authority of the bank in regard to the condition of any premises vested in the bank under this Chapter is served on any claimant to compensation in respect of such premises, then, in so far as that claimant is concerned, that report shall, in any proceedings relating to the claim of the claimant before the compensation tribunal, be prima facie evidence of the facts stated therein until the contrary is proved. | | |
| | (2) Where a copy of the bank's assessment of compensation in respect of any premises is served on any claimant to such compensation, that assessment shall, in any proceedings relating to the claim of the claimant before the compensation tribunal, be prima facie evidence of the facts stated therein until the contrary is proved. | | |
| | (3) Where a report in regard to the condition of any premises vested in the bank, or the bank's assessment of any compensation, is prima facie evidence of the facts stated therein under the preceding provisions of this section in any proceedings relating to a claim to compensation before the compensation tribunal, then, the claimant shall not be entitled to produce in those proceedings any document in support of any objection to such report or assessment unless that document had been produced to the bank as required by or under this Chapter. | | |
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| 70X.
| | (1) Where a reference for an award as to compensation is made to the compensation tribunal in respect of any premises vested in the bank, the tribunal shall, after considering all such matters and hearing all such witnesses as may be necessary for the purpose and after complying with the provisions of section 70v and section 70w make, save as otherwise provided in sub-section (2), an award determining-
| | | (a) whether or not each person who has made a claim to compensation is a person entitled to compensation, and if so, the capacity in which he is so entitled; |
| (b) the amount of the compensation payable in respect of such premises in accordance with the provisions of this Chapter; and |
| (c) the apportionment of the compensation among the persons entitled to compensation: |
|
| | (2) Any person who is dissatisfied with the decision of the District Court on a reference made to such Court under the proviso to sub-section (1) may appeal against such decision to the Supreme Court within the time and in the manner provided in the Civil Procedure Code for appeals against decrees in civil suits. The decision of the Supreme Court on any appeal to such Court under this sub-section shall be final. | | |
| | (3) Where no person makes a claim to compensation in respect of any premises vested in the bank, it shall not be necessary to determine in the award under this section the matters specified in paragraphs (a) and (c) of sub-section (1) and to comply with the provisions of sub-section (4) relating to the giving of notice of the award to claimants to compensation. | | |
| | (4) The compensation tribunal shall cause written notice of awards to be given to the bank and the claimants to compensation. | | |
| | (5) An award of the compensation tribunal shall be final and shall not be called in question in any court. | | |
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| 70Y. Any premises vested in the bank in consequence of an application made to the bank for the acquisition of such premises by any person entitled to make such application under the preceding provisions of this Chapter may be let by the bank to such person or where such person is dead, to the surviving spouse, if any, or any descendant of such person upon such terms as will enable the person to whom such premises are let to become the owner thereof after making a certain number of half-yearly payments as rent. |
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| 70Z. Where the bank considers it necessary that an inspection, examina-tion or survey should be made of any premises which the bank is authorized under this Chapter to acquire, it shall be lawful for any person authorized in that behalf by the chairman of the board, together with such persons, implements, materials, vehicles and animals as may be necessary, to enter upon and to take levels of such premises, and to do all such other acts as may be necessary for the purpose of such inspection, examination or survey : |
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| 70AA.
| | (1) The chairman of the board or any other person authorized in that behalf by such chairman may, by notice in writing, direct any person to furnish before a specified date to the bank or to such officer thereof as may be specified in the notice-
| | | (a) a return in the prescribed form containing the prescribed particulars relating to any such premises as are referred to in section 70B of which that person is, or was at any time, the owner; or |
| (b) such information or explanation as the bank may require in respect of any particulars stated in any return furnished by that person; or |
| (c) such documentary or other evidence as the bank may require for the purpose of verifying any particulars stated in any return or any information furnished by that person. |
|
| | (2) Where any person has a plan of any premises referred to in section 70B, the chairman of the board or any other person authorized in that behalf by such chairman may by written notice direct that person to produce the plan before a specified date to such officer of the bank as is specified in the notice in order that the bank may verify the boundaries and extent of those premises. | | |
| | (3) Any notice required to be given to any person under the preceding provisions of this section shall be deemed to be given to him if such notice-
| | | (a) has been sent through the post by registered letter to his residence or place of business or to his agent; or |
| (b) has been affixed to a conspicuous part of such residence or place; or |
| (c) in a case where such person is on the date of issue of such notice the owner of the premises to which such notice relates, has been sent through the post by registered letter to the occupier of such premises or has been affixed in a conspicuous part of a building, or to a tree or post in a conspicuous place, on such premises. |
|
| | (4) Any person-
| | | (a) who contravenes any requirement of any notice given to him under this section; or |
| (b) who, when required to furnish a return or any information or explanation, or evidence, knowingly furnishes a return con-taining any particulars which are false or any information, explanation or evidence which is false, |
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| 70BB.
| | (1) Where any premises have been inspected by any person authorized in that behalf by the chairman of the board for the purpose of assessing the value of such premises with a view to acquiring such premises under the provisions of this Chapter, such chairman may by written notice given in the same manner as a notice under section 70AA prohibit the owner or occupier of such premises from committing or permitting the commission of any damage to those premises or to any plantation, building or other structure on those premises, of any other act which will diminish the value of those premises. | | |
| | (2) Where it is decided not to vest in the bank by vesting Order made under the provisions of this Chapter any premises in respect of which a notice has been given to any person under subsection (1), the chairman of the board shall forthwith cancel that notice and give written information of the cancellation to that person. | | |
| | (3) A person who contravenes a notice issued to him under sub-section (1) shall be guilty of an offence and shall, on conviction after summary trial before a Magistrate, be liable to a fine not exceeding five hundred rupees. | | |
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| 70CC. No informality or irregularity occurring in any matter or proceeding under this Chapter shall invalidate or affect the title to any land vested in the bank under this Chapter. |
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| 70DD. All expenses incurred in the administration of this Chapter, including the remuneration to be paid to the members, officers and servants of the compensation tribunal and the sums to be paid as travelling and other expenses to persons attending a meeting of the tribunal as witnesses shall be met by the bank. |
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| 70EE. In this Chapter unless the con-text otherwise requires- |
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Sri Lanka Consolidated Acts