CEYLON PETROLEUM CORPORATION

(a) to carry on business as an importer, exporter, seller, supplier or distributor of petroleum;

(b) to carry on the business of exploring for, and exploiting, producing, and refining of, petroleum; and

(c) to carry on any such other business as may be incidental or conducive to the attainment of the objects referred to in paragraphs (a) and (b).

(1) For the purposes of sections 5B, 5D and 5F, the expression ” appointed dale ” means such date as may be appointed by the Minister, with the approval of the Government, by Order published in the Gazette (being a date prior to January 1, 1964) or the following date, namely, January 1, 1964, whichever of such dates is the earlier date.

(2) An Order made under subsection (1) shall, upon its publication in the Gazette, be deemed to be as valid and effectual as if it were herein enacted.

(1) On and after the appointed date, the right to import, export, sell, supply or distribute-

shall, save as otherwise expressly provided by or under this Act, vest exclusively in the Corporation.

(2) On and after the appointed date, no person, other than the Corporation, shall, save as otherwise expressly provided by or under this Act, import, export, sell, supply or distribute-

(3) The sale, supply or distribution by any person of any petrol, kerosene, diesel oil or furnace oil shall be deemed not to be-

if, but only if, it is done under the written authority of the Minister or any authorized officer under subsection (4), or of the Board of Directors under section 5E, and in accordance with the terms and conditions subject to which such authority is granted.

(4) The Minister or any authorized officer may grant a written authority to any person to import, export, sell, supply or distribute petroleum of any class or description specified in subsection (1) for the sole purpose only of enabling such person to provide petroleum of that class or description as fuel for marine ships or aircraft.

(1) The Minister may, from time to time, by Order declare that the right to import, export, sell, supply or distribute petroleum of any such class or description as shall be specified in the Order, not being petroleum of any class or description specified in subsection (1) of section 5B. shall, save as otherwise expressly provided by or under this Act, vest exclusively in the Corporation. Any such Order may be amended, varied or revoked by the Minister by a like Order.

(2) The provisions of subsections (3) to (5), both inclusive, of section 66 shall mutatis mutandis apply to every Order made under subsection (1) of this section in like manner and to the same extent as such provisions apply to an Order made under the said section 66.

(3) So long as an Order made by the Minister under subsection (1) is in force in respect of petroleum of any class or description, no person other than the Corporation shall, save as otherwise expressly provided by or under this Act, import, export, sell, supply or distribute petroleum of that class or description.

(4) The sale, supply or distribution by any person of petroleum of any class or description in respect of which there is for the time being in force an Order made by the Minister under subsection (1) shall be deemed not to be-

if, but only if, it is done with the written authority of the Board of Directors under section 5E, and in accordance with the terms and conditions subject to which such authority is granted-

(1) Such authority may be granted either of his or its own motion or on application in that behalf made by any person.

(2) The Minister, such officer or such Board may, in his or its absolute discretion, decide whether to grant or refuse to grant such authority.

(3) The Minister, such officer or such Board may, in his or its absolute discretion, decide the terms and conditions subject to which such authority should be granted.

(4) The Minister, such officer or such Board may, in his or its absolute discretion, decide at any time to cancel such authority.

(5) The terms or conditions of such authority may be amended, varied or cancelled either of his or its own motion or on application in that behalf made by the person to whom such authority is granted.

(6) The Minister, such officer or such Board may, in his or its absolute discretion, decide whether or not to amend, vary or cancel any term or condition of such authority.

(7) Any decision made by the Minister, such officer or such Board under the preceding provisions of this section shall be final and conclusive, and shall not be called in question in any court whether by way of writ or otherwise.

(1) No person other than the Corporation who on the 5th day of June, 1963, was carrying on business as an importer and seller, supplier or distributor of petroleum of any class or description specified in subsection (1) of section 5B shall terminate the employment of any person (hereafter in this section referred to as an ” employee “) employed by him except with the written approval of the Commissioner, or otherwise than in accordance with the terms or conditions subject to which such approval is granted.

A person who was carrying on the business referred to in the preceding provisions of this subsection is hereafter in this section referred to as an ” employer “.

(2) The following provisions shall apply in the case of the exercise of the powers conferred on the Commissioner to grant his approval to an employer terminating the employment of any employees :-

(3) Where, on or after June 5, 1963, any employer has granted or grants to any employee, in addition to any benefit such employee was or would be entitled to receive in the ordinary course of his employment, any ex gratia gratuity or compensation or other benefit (hereafter in this subsection referred to as ” ex gratia benefits “), then, every person who was an employee of that employer on June 5, 1963, shall be entitled, with the approval of the Commissioner given upon application in that behalf made by such person, to receive the same ex gratia benefits so however that the amount thereof shall be as determined by the Commissioner. The preceding provisions of this subsection shall apply to any person notwithstanding that he ceased or ceases to be an employee of that employer after June 5, 1963, for any reason whatsoever other than misconduct. Any approval or determination of the Commissioner under the preceding provisions of this subsection shall be final and conclusive, and shall not be called in question in any court, whether by way of writ or otherwise.

(4) Where an ex gratia gratuity or compensation or other benefit is granted by any employer to an employee, such employer shall furnish to the Commissioner, within thirty days of the grant thereof, full details of the gratuity, compensation or other benefit so granted. Such details shall be furnished in such form and manner as may be determined by the Commissioner.

(5) In this section, “Commissioner” means the Commissioner of Labour, and includes a Deputy Commissioner of Labour.

(a) to acquire, hold, lake or give on lease or hire, mortgage, pledge and sell or otherwise dispose of, any immovable or movable property ;

(b) to employ such officers and servants as may be necessary for carrying out the work of the Corporation ;

(c) to do anything for the purpose of advancing the skill of persons employed by the Corporation or the efficiency of the equipment of the Corporation or the manner in which that equipment is operated, including the provision by the Corporation, and the assistance of the provision by others, of facilities for training persons required to carry out the work of the Corporation;

(d) to establish a provident fund, and provide welfare and recreational facilities, houses, hostels and other like accommodation for persons employed by the Corporation;

(e) to construct, manufacture, purchase, maintain and repair anything required for the purpose of the business of the Corporation;

(f) to make charges for any services rendered by the Corporation in carrying on such businesses;

(g) to purchase such quantities of petroleum as may be necessary for the purpose of the business of the Corporation;

(h) to re-export petroleum;

(i) with the approval of the Government, to promote any subsidiary organization in Sri Lanka or abroad which may in the opinion of the Board directly or indirectly promote the interests, or be conducive to the attainment of the objects, of the Corporation;

(j) to purchase, charter, build or otherwise acquire, mortgage, sell, exchange and let out on hire or charter or otherwise deal with or dispose of, any tanker, bunker or vessel;

(k) to contribute such sums of money as may be determined by the. Board with the approval of the Minister given with the concurrence of the Minister in charge of the subject of Finance and the Minister in charge of the subject of Planning, to recognized institutions for the purpose of promoting technological, scientific and industrial research;

(l) to give any guarantee, security or indemnity to, and to enter into any agreements with, any bank, Government department, local authority, or any other person in order to obtain any rights, concessions, or privileges that may seem to the Board to be conducive for the purposes of the Corporation;

(m) to delegate to any officer of the Corporation any such function of the Corporation as the Corporation may consider necessary so to delegate for the efficient transaction of business;

(n) to enter into and perform or carry out, whether directly or through any officer or agent authorized in that behalf by the Corporation, all such contracts or agreements as may be necessary for the exercise of the powers of the Corporation;

(o) to make rules in relation to its officers and servants, including their appointment, promotion, remuneration, disciplinary control, conduct and the grant of leave to them;

(p) to make rules in respect of the administration of the affairs of the Corporation; and

(q) to do all other things which, in the opinion of the Corporation, are necessary to facilitate the proper carrying on of its business.

(1) The Minister may, after consultation with the Board of Directors, give such Board general or special directions in writing as to the exercise of the powers of the Corporation, and such Board shall give effect to such directions.

(2) The Minister may, from time to time, direct in writing the Board of Directors to furnish to him, in such form as he may require, returns, accounts and other information with respect to the property and business of the Corporation, and such Board shall carry out every such direction.

(3) The Minister may, from time to time, order all or any of the activities of the Corporation to be investigated and reported upon by such person or persons as he may specify, and upon such order being made, the Board of Directors shall afford all such facilities, and furnish all such information, as may be necessary to carry out the order.

(1) The Corporation shall have a Board of Directors consisting of seven members appointed by the Minister, one of whom shall be so appointed in consultation with the Minister in charge of the subject of Finance.

(2) A person shall be disqualified from being appointed or continuing as a Director and in that event shall ipso facto cease to hold office,

(3) Where a Director is, by reason of illness, infirmity or absence from Sri Lanka, temporarily unable to perform the duties of his office, the Minister may appoint any person to act in his place-

(4) The Minister may. without assigning a reason, remove any Director from office. The removal of any Director from office by the Minister shall not be called in question in any court.

(5) A Director who is not a public officer may resign the office of Director by letter addressed to the Minister.

(6) Subject to the provisions of subsection (4) and subsection (5), the term of office of the Board of Directors shall be three years:

Provided that a Director appointed in place of a Director who dies or resigns or otherwise vacates office shall, unless he earlier resigns or otherwise vacates office, hold office for the unexpired part of the term of office of the Director whom he succeeds.

(1) The Board of Directors may delegate to any Director or employee of such Board any of its powers or duties. of Directors.

(2) Every delegate appointed under subsection (!) shall exercise or perform the power or duty delegated to him subject to the general or special directions of the Board of Directors.

(1) The Minister shall appoint a Chairman of the Board of Directors from among the Directors and may at any time appoint one of the Directors as the Managing Director of the Corporation. The Chairman of the Board of Directors shall be as the Managing eligible for appointment Director,

(2) The Managing Director of the’ Corporation shall be eligible for appointment as the Chairman of the Board of Directors.

(3) The terms and conditions of the appointment of the Managing Director of the Corporation shall be determined by the Minister with the concurrence of the Minister in charge of the subject of Finance.

(4) The Managing Director’s term of office, his remuneration, his resignation or removal from or vacation of office, and his eligibility for reappointment on vacation of office shall notwithstanding anything in subsection (6) of section 8 be in accordance with the terms and conditions of his appointment.

(1) At the request of the Board of Directors, any officer in the public service may, with the consent of that officer and of the Secretary to the Ministry charged with the subject of Public Administration, be temporarily appointed to the staff of the Corporation for such period as may be determined by the Board with like consent or be permanently appointed to such staff.

(2) Where any officer in the public service is temporarily appointed to the staff of the Corporation, the provisions of subsection (2) of section 9 of the Motor Transport Act, No. 48 of 1957,+ shall, mutatis mutandis, apply to and in relation to him.

(3) Where any officer in the public service is permanently appointed to the staff of the Corporation, the provisions of subsection (3) of section 9 of the Motor Transport Act, No. 48 of 1957,+ shall, mutatis mutandis apply to and in relation to him.

* Repealed by Law No. 19 of 1978.

(4) Where the Corporation employs any person who has entered into a contract with the Government by which he has agreed to serve the Government for a specified period, any period of service to the Corporation by that person shall be regarded as service to the Government for the purpose of discharging the obligations of such contract.

(5) At the request of the Board of Directors, any officer or servant of the Local Government Service or any local authority may, with the consent of that officer or servant and of the Local Government Service Advisory Board or that authority, as the case may be, be temporarily appointed to the staff of the Corporation for such period as may be determined by that Board with like consent, or be permanently appointed to the staff, on such terms and conditions, including those relating to pension or provident fund rights, as may be agreed upon by that Board and that Advisory Board or that authority.

(6) Where any officer or servant of the Local Government Service or of any local authority is temporarily appointed to the staff of the Corporation, he shall be subject to the same disciplinary control as any other member of such staff.

[* Section 18 is repealed by Law No. 2 of 1976.]

(1) The seal of the Corporation shall be in the custody of the Board of Directors.

(2) The seal of the Corporation may be altered in such manner as may be determined by the Board of Directors.

(3) The seal of the Corporation shall not be affixed to any instrument or document except in the presence of two Directors both of whom shall sign the instrument or document in token of their presence.

(1) The initial capital of the Corporation shall be ten million rupees.

(2) The amount of the initial capital of the Corporation shall be paid to the Corporation out of the Consolidated Fund in such installments as the Minister in charge of the subject of Finance may, after consultation with the Minister, determine.

(3) The capital of the Corporation may be increased, from time to time, by such amount as may be determined by the Corporation with the approval of the Minister given with the concurrence of the Minister in charge of the subject of Finance.

(1) The Board of Directors may, with the consent of the Minister, or in accordance with the terms of any general authority given by him, borrow temporarily, by way of overdraft or otherwise, such sums as the Board may require for meeting the obligations of the Corporation:

Provided that the aggregate of the amounts outstanding in respect of any temporary loans raised by the Board of Directors under this subsection shall not at any time exceed such sum as may be determined by the Minister in consultation with the Minister in charge of the subject of Finance.

(2) The Board of Directors may, with the consent of the Minister given with the concurrence of the Minister in charge of the subject of Finance, borrow money, otherwise than by way of a temporary loan under subsection (1), for all or any of the following purposes:-

(3) The Board of Directors may, with the consent of the Minister given with the concurrence of the Minister in charge of the subject of Finance, borrow money for any of the purposes mentioned in subsection (2) by the issue of stock under section 26 or in any other manner whatsoever.

(1) The Board of Directors-

and the stock so created and issued is in this Act referred to as “Petroleum Corporation Stock “.

(2) Petroleum Corporation Stock shall be issued, transferred, dealt with, redeemed and cancelled in accordance with such terms as may be determined by the Board of Directors with the approval of the Minister given with the concurrence of the Minister in charge of the subject of Finance.

(1) The Minister in charge of the subject of Finance shall guarantee the repayment of the principal of, and the payment of the interest on, any Petroleum Corporation Stock created and issued under section 26 (1) (b), and may, with the concurrence of the Minister, guarantee the repayment of the principal of, and the payment of the interest on, any Petroleum Corporation Stock created and issued under section 26 (1) (a).

(2) Any sum required for the fulfillment of a guarantee provided under subsection (I) may, with the prior approval of Parliament, be paid out of the Consolidated Fund.

(3) Any sum paid out of the Consolidated Fund in fulfillment of a guarantee provided under subsection (1) shall be repaid, together with interest thereon, at such rate as the Minister in charge of the subject of Finance may determine with the concurrence of the Minister, by the Corporation in such manner and over such period as the Minister in charge of the subject of Finance may with such concurrence determine.

(4) Immediately after a guarantee is given under subsection (1), the Minister in charge of the subject of Finance shall lay a statement of the guarantee before Parliament.

(5) Where any sum is paid out of the Consolidated Fund in fulfillment of a guarantee provided under subsection (1), the Minister in charge of the subject of Finance shall forthwith lay before Parliament a statement that such sum has been so paid.

(a) the working and establishment expenses (including allocations to the insurance reserve and depreciation reserve), in connexion with the exercise and performance of the powers of the Corporation, properly chargeable to revenue account;

(b) the interest on any temporary loan raised by the Corporation ;

(c) any sums required to be transferred to any sinking fund or redemption fund; and

(d) the interest on and the repayment of the principal of any Government loan to the Corporation.

(1) The Board of Directors-

(2) Such amount out of the surplus of the revenue of the Corporation in any year remaining after the charges mentioned in section 28 have been satisfied as can be paid to the general reserve without causing it to exceed the amount determined by the Minister under paragraph (b) (ii) of subsection (1) shall be paid to that reserve and the balance, if any, of such surplus shall be paid to the Deputy Secretary to the Treasury to be credited to the Consolidated Fund.

(1) The Corporation shall cause its accounts to be kept in such form and in such manner as may be prescribed.

(2) The books and the accounts of the Corporation shall be kept at the head office, of the Corporation.

(3) The Corporation shall cause its books to be balanced as on the thirty-first day of December in each year and shall, as soon as may be thereafter, cause to be prepared a profit and loss account and a balance sheet containing a summary of the assets and liabilities of the Corporation made up to date aforesaid. The aforesaid accounts and the balance sheet shall be signed by the officer responsible for the preparation of such accounts and balance sheet.

(1) The auditor appointed under section 31 shall examine the accounts of the Corporation and ascertain the correctness of the balance sheet and furnish a report stating-

(2) The report of the auditor shall be transmitted to the Auditor-General and to the Corporation.

(3) The Corporation shall, on receipt of the auditor’s report and the Auditor- Generals comments, if any, thereon in each year, transmit such report together with the profit and loss account and the balance sheet to which the report relates, and a statement by the Corporation of its activities during the financial year to which such report relates, and of the activities (if any) which are likely to be undertaken by the Corporation in the next financial year, to the Minister who shall before the thirty first day of December of the same year cause copies thereof to be laid before Parliament for approval.

(1) Any officer of the Corporation authorized by the Minister may, by notice (hereafter in this Act referred to as a ” notice of claim “) published in the Gazette, declare that any movable or immovable property, other than money, which had been or is being or is or was intended to be used for-

is required for the purposes of the Corporation. Such property is hereafter in this Act referred to as ” notified property “.

(2) When a notice of claim is published under subsection (1) any property contained in or found on such notified property shall be deemed to have been included in the notice of claim.

(3) The publication of a notice of claim made under subsection (1) in respect of any property shall be conclusive proof that such property is required for the purposes of the Corporation.

(4) Where a notice of claim is published under subsection (I), any officer of the Corporation authorized by the Minister may from time to time, by notice (hereafter in this Act referred to as a ” notice of disclaimer”) published in the Gazette, disclaim the need, for the purposes of the Corporation, of the whole or any part of the property included in the notice of claim and specified in the notice of disclaimer.

(5) No person shall lease, hypothecate, alienate, transfer or dispose of in any manner whatsoever to any person other than the Corporation the whole or any part of-

(6) Any lease, hypothecation, alienation, transfer or disposal made or effected in contravention of the provisions of subsection (5) shall be null and void.

(7) Any person shall, if requested by any officer authorized by the Minister, furnish to such person as shall be specified in the request information with regard to any movable or immovable property included in a notice of claim as shall be so specified.

(8) Any person who-

shall be guilty of an offence under this Act.

(9) Regulations may be made under this Act-

(1) The Minister may, by Order (hereafter in this Act referred to as a “vesting Order”) published in the Gazette, vest in the Corporation, with effect from such dale as shall be specified in the Order, any such notified property as has not been disclaimed by a notice of disclaimer or any right, interest or benefit in such notified, property derived under the terms of any arrangement, agreement (formal or informal), lease or notarially executed instrument subsisting on the date of publication of the notice of claim.

(2) Before a vesting Order takes effect, the Minister may from time to time alter, by Order published in the Gazette, the date on which such vesting Order takes effect.

(3) A vesting Order shall have the effect of giving the Corporation absolute title to any property specified in the Order with effect from the date specified therein and free from all encumbrances :

Provided however, where any right, interest or benefit in any notified property is vested in the Corporation, a vesting Order shall have the effect of giving the Corporation such right, interest or benefit with effect from the date specified in the Order.

(1) The Minister may, by Order (hereafter in this Act referred to as a ” requisitioning Order”) published in the Gazette, requisition, with effect from such dale as shall be specified in the Order, any notified property as is immovable property, in order that it may be temporarily used by the Corporation for the purposes of its business.

(2) Before a requisitioning Order takes effect, the Minister may from time to time alter, by Order published in the Gazette, the date on which such requisitioning Order takes effect.

(3) A requisitioning Order shall have the effect of authorizing the Corporation, with effect from the date specified in the Order, to take possession of the property specified in the Order and to use such property temporarily for the purpose of the business of the Corporation in any manner whatsoever.

(4) Where any property is requisitioned by a requisitioning Order, the Minister may, by Order (hereafter in this Act referred to as “derequisitioning Order”) published in the Gazette, derequisition with effect from such date as shall be specified in the derequisitioning Order, such property or such part of the property as shall be specified therein

(5) Before a derequisitioning Order takes effect, the Minister may from time to time alter,, by Order published in the Gazette, the date on which such derequisitioning Order takes effect.

(6) Where, immediately before the date on which any property is requisitioned under this Act, a person, other than the owner of such property, was entitled to possession of or any other right, title or interest in such property under the terms of any arrangement, agreement (formal or informal), lease or notarially executed instrument that arrangement, agreement (formal or informal), lease or notarially executed instrument shall be deemed for all purposes to have expired on that date.

(7) Where any property is derequisitioned by a derequisitioning Order such Order shall be deemed to have the effect of reviving any arrangement, agreement (formal or informal), lease or notarially executed instrument subsisting on the date on which the property was requisitioned, and any question which may arise as to any right, title or interest, in or. over that property shall be determined accordingly.

(8) Notwithstanding anything to the contrary in this Act or in any other law the provisions of subsection (7) shall not apply to any arrangement, agreement (formal or informal), lease or notarially executed instrument affecting any movable or immovable property of the State subsisting on the date on which the property was requisitioned.

(9) Where any property requisitioned for the Corporation is permanently required for the purpose of the business of the Corporation, such property may be vested in the Corporation by a vesting Order.

(1) Notwithstanding that any movable or immovable property has vested in the Corporation by virtue of a vesting Order, the Minister may at any time before an award as to compensation is made in respect of that property under section 65, by subsequent Order published in the Gazette (hereafter in this section referred to as a ” divesting Order”) revoke that vesting Order in respect of that property or such part of that property as shall be specified in that divesting Order.

(2) The following provisions shall apply in any case where a vesting Order in respect of any movable or immovable property is revoked by a divesting Order:-

(3) The preceding provisions of this section shall have effect notwithstanding anything in any other provisions of this Act or in any other written law.

(1) Any person specially or generally authorized in that behalf by the Minister or the Chairman of the Board of Directors may take possession of any property vested in or requisitioned for the Corporation.

(2) Any officer of the Corporation authorized in that behalf by the Chairman of the Board of Directors shall, by notice given to the person in occupation or in possession of any property vested in or requisitioned for the Corporation or exhibited in some conspicuous place on or in the vicinity of such property-

Where such property is a motor vehicle, the notice aforesaid may be given to the registered owner of that vehicle within the meaning of the Motor Traffic Act instead of being given to the person in possession of that motor vehicle.

(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 is sent to him by registered letter through the post.

(4) Any person who contravenes any requirement of any notice given to him under this section shall be guilty of an offence under this Act.

(1) The provisions of sections 38 and 39 shall, mutatis mutandis, apply to the taking of possession of any properly belonging to the Corporation on the termination of any agreement under which such property was let or leased for the purpose of being used as a distribution outlet of petroleum.

(2) Where an agreement under which any property belonging to the Corporation was let or leased for the purpose of being used as a distribution outlet of petroleum is terminated, the person in occupation of such properly shall remove or cause to be removed from such property any fixture or movable property belonging to him and hand over vacant possession of such property to the authorized officer on or before the date specified in the notice given under section 38-

(3) Any person who fails to comply with the requirements of subsection (2) shall be guilty of an offence and shall, on conviction after trial before a Magistrate, be liable to imprisonment of either description for a term not exceeding six months or to a fine not exceeding one thousand rupees, and in the case of a continuing offence to an additional fine not exceeding fifty rupees for each day during which such offence is continued after conviction thereof.

(1) Every person who-

any person from or in taking possession, under section 38, of any property for and on behalf of the Corporation shall be guilty of an offence under this Act.

(2) Where an officer authorized by the Minister or the Chairman of the Board of Directors under section 38 to take possession of any property for and on behalf of the Corporation is unable or apprehends that he will be unable to take possession of such property because of any obstruction or resistance that has been or is likely to be offered, on his making an application in that behalf to the Magistrate’s Court having jurisdiction over the place where that property is kept or situated, the Magistrate shall issue an order of the Court directing the Fiscal to deliver possession of that property to him for and on behalf of the Corporation,

(3) Where an order under subsection (2) is issued to the Fiscal by a Magistrate’s Court, he shall forthwith execute that order and shall in writing report to the Court the manner in which that order was executed.

(4) Where an order under subsection (2) is issued to the Fiscal by a Magistrate, the execution of such order shall not be stayed in any manner by reason of any steps taken or proposed to be commenced in any court with a view to questioning, varying or setting aside such order.

(5) For the purpose of executing an order issued by a Magistrate’s Court under subsection (2), the Fiscal or any person acting under his direction may use such force as may be necessary to enter any place where any movable property to which that order relates is kept and seize such movable property, or to enter any land, building, structure or other immovable property to which that order relates and to eject any person in occupation thereof, and to deliver possession of such movable property, land, building, structure or other immovable property to the person who is authorized to take possession thereof for and on behalf of the Corporation.

(1) Where any immovable property, other than any notified property, is required to be acquired for the purpose of the business of the Corporation and the Minister, by Order published in the Gazette, approves of the proposed acquisition, that property shall be deemed to be required for a public purpose and may accordingly be acquired compulsorily under the Land Acquisition Act and be transferred to the Corporation.

(2) Any sum payable for the acquisition of any immovable property under the Land Acquisition Act, for the Corporation, shall be paid by the Corporation.

(1) The Chairman of the Board of Directors or any person authorized in that behalf by such Chairman may-

(2) Any person who fails, without reasonable cause, to comply with the reasonable cause, to comply with the provisions of subsection (1) (c) or subsection (1) (d) or who furnishes information knowing such information to be false or obstructs any person in the exercise of the powers conferred on him by subsection (1) (a) or subsection (!)(;) shall be guilty of an offence under this Act.

(1) Any person who carries on business as an importer, exporter, seller, supplier, or distributor of petroleum shall, if a written request in that behalf is made to him by the Corporation, make available for use by the Corporation any equipment or facilities maintained by him for the purpose of that business subject to such terms and conditions (including terms as to the charges to be made for such use) as may be determined by agreement between that person and the Corporation or, in the absence of such agreement, by arbitration as hereinafter provided.

(2) Where the terms and conditions subject to which any equipment or facilities of any person referred to in subsection (1) is or safe to be used by the Corporation have to be determined by arbitration, the arbitration shall be conducted-

(3) Where in any case referred to in paragraph (b) of subsection (2) there is a difference of opinion among the two arbitrators in respect of any matter, the matter shall be referred for decision by an umpire chosen by them, and, if they are unable to agree, by an umpire appointed for the purpose by the District Court of Colombo on application made by any party to the arbitration proceedings.

No stamp duty shall be payable in respect of any application under this subsection.

Each party shall be liable to pay in equal-shares the amount of the fee payable to an umpire chosen or appointed under this subsection.

(4) The decision of a single arbitrator or where there are two arbitrators their agreed decision, or in any case referred to in subsection (3) the decision of an umpire, shall be final and conclusive for the purposes of this section and shall be binding on the Corporation and on the person whose equipment or facilities is or are to be used by the Corporation.

(5) Regulations may be made in respect of all matters relating to or connected with the conduct of proceedings upon arbitration under this section.

(a) his name and address,

(b) the, nature of his interest in such property,

(c) the particulars of his claim, and

(d) how much of such compensation is claimed by him.

(a) a copy of any such report in regard to the condition of the aforesaid property as has been made by or under the authority of the Corporation under any regulation made under this Act, 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 Act in respect of the aforesaid property as has been made by or under the authority of the Corporation;

(c) a notice requiring the claimant, within the time specified in the notice :-

(1) The Chairman of the Corporation shall refer to the Compensation Tribunal for determination the amount of the compensation payable in respect of any property vested in or requisitioned for the Corporation 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 Corporation.

(2) A reference made under subsection (1) to the Compensation Tribunal is hereafter in this Act referred to as a ” reference for an award as to compensation “.

(1) The amount of compensation to be paid under this Act in respect of any property vested on any date in the Corporation shall be the actual price paid by the owner for the purchase of such property and an additional sum which is equal to the reasonable value of any additions and improvements made to such property by any person who was interested, or if such purchase price is not ascertain able, be an amount equal to the price which such property would have fetched if it had been sold in the open market on the day on which the property was vested in the Corporation ;

Provided that where such property consists of movable property or anything attached to the earth or permanently fastened to anything attached to the earth, a reasonable amount for depreciation shall be deducted from the amount which represents the price actually paid for its purchase by the person entitled to the compensation payable in respect of such property, if such compensation is based on such price;

Provided, further, that where such property consists of land or buildings, the amount of compensation to be paid shall be an amount equal to the price which such land or buildings would have fetched if such land or buildings had been sold in the open market on the day on which such land or buildings was or were vested in the Corporation.

(2) Where any right, interest or benefit in any movable or immovable property derived under the terms of any arrangement, agreement (formal or informal), lease or notarially executed instrument is vested in the Corporation, the amount of compensation to be paid under this Act shall be the actual price paid by the holder for the acquisition of such right, interest or benefit: Provided that a proportionate amount shall be deducted on account of the period for which the holder has enjoyed such right, interest or benefit.

(1) The amount of compensation to be paid in respect of any property requisitioned for the Corporation shall be a sum equal to the rent which might reasonably be expected to be payable by a tenant in occupation of such property, during the period of the requisition, under a lease granted immediately before the beginning of that period whereby the tenant undertakes to pay all usual rates and taxes and to bear the cost of the repairs and insurance and the other expenses, if any, necessary to maintain such property in a state to command that rent.

(2) The compensation under subsection (1) in respect of any property shall be considered as accruing due from day to day during the period of the requisitioning of such property and shall be apportionable in respect of time accordingly.

(i) where any building had been constructed on, or any other improvements had been effected to, such land, on any date prior to the date on which such land was so vested or requisitioned, by any foreign-owned petroleum company, no account shall be taken of such building or improvements in the computation of the market value of such land under section 47 or if the rent payable under section 48, as the case may be, and

(ii) any sum which had been paid in advance to the owner of such land as rent for any period after the date on which such land was so vested, or requisitioned, as the case may be, shall be deducted from the amount of the compensation.

(1) The amount of compensation to be paid to any person in respect of any property requisitioned for or vested in the Corporation shall be proportionate to the interest such person had in such property on the date on which the property was requisitioned for or vested in the Corporation:

Provided, however, where property requisitioned is subsequently vested in the Corporation, the apportionment of the compensation in respect of such property shall be proportionate to the interest any person had in such property on the date on which such property was requisitioned for the Corporation.

(2) Any compensation payable under this Act shall carry interest, as from the date on which it accrues due until payment, at such rate as may be determined by the Minister with the concurrence of the Minister in charge of the subject of Finance.

(a) where any sum has been certified under the hand of the Commissioner-General of Inland Revenue to the Corporation to be due from such person as tax on income or profits, or as personal tax, then, from the amount of the compensation to which such person is entitled, the Corporation shall pay the sum so specified to the Commissioner-General of Inland Revenue, or

(aa) where any sum has been certified under the hand of the Commissioner of Labour to the Corporation to be due from such person as a gratuity or other monetary benefit to any other person whose employment has been terminated under the provisions of section 5J, then, from the amount of such compensation, the Corporation shall pay the sum so specified to the Commissioner of Labour for the payment of such gratuity or other benefit, or

(b) where the amount of such compensation has been applied in payment of any sum referred to in the preceding paragraphs (a) and (aa), the balance if any, of that amount remaining after it has been so applied shall be paid by the Corporation to the person or persons entitled thereto.

(1) The Chairman of the Board of Directors may before the determination of a claim for compensation under this Act pay to a person whom he considers entitled to such compensation an advance, And any sum so paid shall be deducted from the amount of the compensation awarded to him.

(2) Where any sum is paid after the date of commencement of this Act to any person as an advance on account of compensation to be paid to such person under this Act in respect of any land vested in or requisitioned for the Corporation, such payment shall be deemed to have been paid under subsection (1) and accordingly such sum shall be deducted from the amount of the compensation awarded to such person.

(1) There shall be established for the purposes of this Act, a Compensation Tribunal (hereinafter referred to as the ” Tribunal”), consisting of five members appointed by the President of whom at least three shall be persons with judicial or legal experience.

(2) A person shall be disqualified for being appointed or being a member of the Tribunal if he is a Member of Parliament or a member of the Corporation.

(3) A member of the 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 President.

(4) Every member of the Tribunal shall, unless he earlier vacates office or is removed therefrom by the President, 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.

(1) The members of the Tribunal shall be remunerated at such rates as may be determined by the Minister with the concurrence of the Minister in charge of the subject of Finance.

(2) The remuneration of the members of the Tribunal and other expenses of the Tribunal shall be paid by the Secretary to the Ministry out of the funds provided for the purpose by the Corporation.

(1) The Chairman shall convene meetings of the Tribunal for the consideration and determination of references for awards as to compensation made to the Tribunal.

(2) Three members of the Tribunal, one of whom shall be the Chairman or Vice- Chairman, shall be summoned to a meeting of the Tribunal. The members to be summoned shall be determined by the Chairman.

(3) Where the Chairman or the Vice- Chairman is summoned to a meeting of the Tribunal, the Chairman or Vice-Chairman. as the case may be, shall preside at that meeting,

(4) A member of the Tribunal who is interested in any matter which is a subject of a reference for an award as to compensation or who has been consulted as an attorney- at-law 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.

(5) A meeting of the Tribunal may from time to time be postponed or adjourned.

(1) Every reference for an award as to compensation shall be considered and determined at a meeting of the Tribunal. Tribunal.

(2) The Chairman shall fix a date, time and place for the consideration and determination by the Tribunal of each reference for an award as to compensation.

(1) The Chairman or the Vice-Chairman of the Tribunal 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-

(2) Every person who attends a meeting of the Tribunal as a witness shall be paid as travelling and other expenses such sum as shall be determined by the Chairman or in his absence the Vice-Chairman of the Tribunal.

(1) The determination made at a meeting of the 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 Tribunal who consider any matter disagree with regard to the determination on 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 Tribunal shall contain the reasons therefor.

(1) Where a copy of any report made by or under the authority of the Corporation in regard to the condition of any property vested in or requisitioned for the Corporation is served on any claimant to compensation in respect of such property, then, in so far as that claimant is concerned, that report shall, in any proceedings relating to the claim of the claimant before the Tribunal, be prima facie evidence of the facts stated therein until the contrary is proved.

(2) Where a copy of the Corporation’s assessment of compensation in respect of any property is served on any claimant to such compensation, that assessment shall, in any proceedings relating to the claim of the claimant before that 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 property vested in or requisitioned for the Corporation, or the Corporation’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 Tribunal, then, the claimant shall not be entitled to produce in those proceedings any document in support of any objection to such report OF assessment unless that document had been produced to the Corporation as required by or under this Act.

(1) Where a reference for an award as to compensation is made to the Tribunal in respect of any property vested in or requisitioned for the Corporation, 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 63 and section 64, make, save as otherwise provided in subsection (2), an award determining-

Provided that where there is a dispute as to the persons entitled to such compensation or as to the apportionment of such compensation among the persons entitled to such compensation, the Tribunal shall defer making an award and shall refer the dispute for decision to the District Court within whose local jurisdiction such property, being immovable property, is situate, or being movable property, was kept at the time it was so vested, and shall, after such Court makes its decision on such dispute, make an award in accordance with such decision.

(2) Where no person makes a claim to compensation in respect of any property vested in or requisitioned for the Corporation, it shall not be necessary to determine in the award under this section the matters specified in paragraphs (a) and (c) of subsection (1) and to comply with the provisions of subsection (3) relating to the giving of notice of the award to claimants to compensation.

(3) The Tribunal shall cause written notice of its award to be given to the Chairman of the Board of Directors and the claimants to compensation.

(4) An award of the Tribunal shall be final and shall not be called in question in any court.

(1) The Minister may, with the concurrence of the Minister in charge of the subject of Finance, by a Petroleum Price Order (hereafter referred to as an ” Order “), in respect of petroleum of any class or description referred to in the Order, specify or determine any one or more of the following matters;-

at which such petroleum shall be sold, supplied or delivered.

(2) Any Order under subsection (1) may-

(3) Every Order under this section shall come into operation when such Order is made and signed by the Minister or on such later date as may be specified in the Order.

(4) After an Order has been signed by the Minister, public notice thereof shall forthwith be given-

(5) An Order under this section, upon publication in the Gazette, shall be deemed to be as valid and effectual as if it were herein enacted.

(6) Any Order under subsection (1) may be altered, varied, modified or revoked by the Minister, with the concurrence of the Minister in charge of the subject of Finance.

(7) Any Order under this section may provide that any such provisions of the Control of Prices Act or any regulations made thereunder, as may be specified in the Order shall, with such modifications as may be so specified, apply in relation to that Order.

(1) The Minister may make regulations for the purpose of carrying out or giving effect to the principles and provisions of this Act.

(2) In particular and without prejudice to the generality of the powers conferred by subsection (1), the Minister may make regulations in respect of the following matters:-

(3) Every regulation made by the Minister shall be published in the Gazette and shall come into operation on the date of such publication or on such later date as may be specified in the regulation.

(4) Every regulation made by the Minister shall, as soon as convenient after its publication in the Gazette, be brought before Parliament for approval. Any regulation which is not so approved shall be deemed to be rescinded as from the date of disapproval, but without prejudice to anything previously done thereunder.

(5) Notification of the date on which any regulation made by the Minister is so deemed to be rescinded shall be published in the Gazette.

(6) Any regulation made by the Minister shall, when approved by Parliament, be as valid and effectual as if it were herein enacted. Notification of such approval shall be published in the Gazette.

(1) Every person who-

(2) Every person who commits an offence under this Act shall, on conviction after summary trial before a Magistrate-

(3) Notwithstanding anything to the contrary, every offence under this Act shall be a cognizable offence within the meaning and for the purposes of the Code of Criminal Procedure Act.

(1) The claims of the Corporation against any person whomsoever, for the recovery of any sum of money which is due to the Corporation, shall not be held to be barred, limited or prejudiced by any provisions of the Prescription Ordinance.

(2) The provisions of subsection (1) of this section shall-

(1) Where any property is subject to a mortgage or lease at the time when that property is vested in the Corporation under leases this Act, the rights of the mortgagee or of the purchaser of the mortgaged property under a mortgage decree, or of the lessee, shall, notwithstanding the provisions of section 35 (3), be limited to any sum paid under this Act as compensation in respect of such properly.

(2) Nothing in this Act shall affect the right of a mortgagee to have recourse to any property or security other than that vested in the Corporation under this Act for the recovery of the debt secured by the mortgage.

(3) Where any property is subject to an arrangement, agreement (formal or informal), lease, or notarially executed instrument at the time when that property is requisitioned for the Corporation under this Act, the rights of the parties to such arrangement, agreement, lease or instrument shall, notwithstanding the provisions of section 36 (6), be limited to any sum paid under this Act as compensation in respect of that property.

(1) No Suit or prosecution shall lie-

(2) Any expense incurred by the Corporation in any suit or prosecution brought by or against the Corporation before any court shall be paid out of the funds of the Corporation, and any costs paid to, or recovered by, the Corporation in any such suit or prosecution shall be credited to the funds of the Corporation.

(3) Any expense incurred by any such person as is referred to in paragraph (c) of subsection (1) in any sue or prosecution brought against him before any court in respect of any act which is done or purports to be done by him under this Act or on the direction of the Board of Directors shall, if the court holds that such act was done in good faith, be paid out of the funds of the Corporation, unless such expense is recovered by him in such suit or prosecution.

(a) in relation to any immovable property vested in or requisitioned for the Corporation, means a person who, immediately before the date on which such property was so vested or requisitioned, had an interest in such property as owner, co-owner, mortgagee, lessee or otherwise, whether absolutely for himself or in trust for any other person; and

(b) in relation to any movable property vested in the Corporation, means any person who, immediately before the date on which such property was so vested, had an interest in such property as owner, co-owner, mortgagee, pledgee, hirer or otherwise, whether absolutely for himself or in trust for any other person;