| |
| Development Finance Corporation Of Ceylon (Amendment) |
| |
|
AN ACT TO AMEND THE DEVELOPMENT FINANCE CORPORATION OF CEYLON ACT.
|
|
|
| |
|
BE it enacted by the Parliament of the Democratic Socialist Republic of Sri Lanka as follows:-
|
|
[3rd December
, 1982 ]
|
|
Short title.
|
1. This Act may be cited as the Development Finance Corporation of Ceylon (Amendment) Act, No. 42 of 1982.
|
|
Amendment of section 4 of Chapter 165.
|
2. Section 4 of the Development Finance Corporation of Ceylon Act, (hereinafter referred to as the ” principal enactment”) as amended by Act No. 8 of 1958, is hereby further amended in subsection (2) of that section by the substitution, for the words “twenty per centum “, of the words “forty-nine per centum”.
|
|
Amendment of section 5 of the principal enactment.
|
3. Section 5 of the principal enactment is hereby amended as follows :
|
(1) by the substitution, for paragraph(vii) of that section of the following paragraph:
|
” (vii) to provide such services as managerial, technical and administrative advice and merchant banking services and assist in obtaining managerial, technical, administrative and merchant banking services to private industrial, agricultural and commercial enterprises in Sri Lanka;”.
|
|
|
(2) by the renumbering of paragraphs (xv) and (xvi) of that section as paragraphs (xxi) and (xxii) respectively; and
|
|
(3) by the insertion, immediately after paragraph (xiv) of that section of the following new paragraphs :
|
” (xv) to issue debentures and to accept fixed deposits from any person in such amounts and for such periods as may be determined by the Board of Directors;
|
|
(xvi) to establish subsidiary companies to assist it in carrying out its purposes and exercising and performing its powers and duties;
|
|
(xvii) to participate in loans, equities, underwriting arrangements and guarantees with approved credit institutions;
|
|
(xviii) to lease, let on hire, sell outright, or sell on a hire-purchase basis warehouses, go downs, stores and buildings, machinery, equipment and other goods;
|
|
(xix) to convert a part or whole of its loans to industrial, agricultural or commercial enterprises and its subscriptions to bonds or debentures issued by any such enterprise into equity capital;
|
|
(xx) to receive, in consideration of the functions the Corporation may be performing, such commission, brokerage, interest, remuneration or fees, as the Board of Directors may, from time to time, determine;”.
|
|
|
|
Amendment of section 7 of the principal enactment.
|
4. Section 7 of the principal enactment is hereby amended by Act No. 1 of 1967, is hereby further amended by the repeal of subsection(1) of that section and the substitution therefor of the following subsection :
|
“(1) The authorized share capital of the Corporation shall be three hundred million rupees divided into three million ordinary shares of one hundred rupees each.”
|
|
|
Amendment of section 10 of the principal enactment.
|
5. Section 10 of the principal enactment replaced by law No. 12 of 1974, is hereby amended as follows:
|
(1) by the repeal of subsection (2) of that section and the substitution therefor of the following subsection :
|
” (2) The Minister in charge of the subject of Finance shall be entitled from time to time to appoint any person as a director (hereinafter called the ” Government director”) of the Corporation, to remove such person from office and, on a vacancy being caused in such office whether by resignation, death, removal or otherwise, to appoint a director to fill the vacancy. The Government director shall not be liable to retire by rotation or be removed from office except by such Minister and shall not be bound to hold any qualification shares-Subject as aforesaid the Government director shall be entitled to the same rights and privileges and be subject to the same obligations as any other director of the Corporation. “;
|
|
|
(2) by the repeal of subsection (4) of that section and the substitution therefor of the following subsection :
|
” (4) The holder for the time being of the office of General Manager of the Corporation shall be an ex officio director of the Corporation without the right to vote. The ex officio director shall not be required to hold any qualification shares. “; and
|
|
|
(3) by the substitution, in subsection (5) of that section for the words ” be citizens of Sri Lanka.”, of the words ” be citizens of Sri Lanka. No shareholder-director shall hold office for a continuous period of more than eight years. “.
|
|
|
Amendment of section 13 of principal enactment.
|
6. Section 13 of the principal enactment is hereby amended by the repeal of subsection (2) of that section and the substitution therefor of the following subsection:
|
” (2) So long as there is outstanding any loan made by the Government to the Corporation under subsection (1) the Corporation shall set aside in each year in a special reserve fund a sum equal to not less than twenty per centum of the net profits of the Corporation as shown in the Corporation’s financial statement for that year, until the amount so set aside equals the amount of the Government loan then outstanding. “.
|
|
|
Amendment of section 14 of the principal enactment.
|
7. Section 14 of the principal enactment is hereby amended in subsection (1) of that section by the substitution, for the words ” seventy-two million rupees “, of the words ” three thousand million rupees”.
|
Schedules
|
|
