LAND REFORM

(a) to ensure that no person shall own agricultural land in excess of the ceiling; and

(b) to take over agricultural land owned by any person in excess of the ceiling and to utilize such land in a manner which will result in an increase in its productivity and in the employment generated from such land.

(1) On and after the date of commencement of this Law the maximum extent of agricultural land which may be owned by any person, in this Law referred to as the ” ceiling “, shall

(2) Any agricultural land owned by any person in excess of the ceiling on the date of commencement of this Law shall as from that date

(3) In the computation of the acreage of agricultural land for the purpose of applying the ceiling, the following areas situated on such land shall not be taken into account:

(4) For the purpose of subsection (1)

shall be deemed to be the owner of such agricultural land:

Provided, however, that where the lessor of any agricultural land under paragraph (a) of this subsection is the State, the lessee of such agricultural land shall be deemed to be the owner.

(5) Notwithstanding anything in the provision to subsection (4), where any agricultural land is leased by the Republic to any person for a project approved by the Minister, as being in the interest of agricultural development, the lessee of such agricultural land shall not be deemed, for the purposes of subsection (1), to be the owner of such land.

(1) Where there is a dispute between parties as to the ownership of any agricultural land which is subject to the ceiling the Commission may, after such inquiry as it may deem fit, make an interim order declaring one of such parties to be entitled to the possession of such agricultural land. Every interim order shall be published in the Gazette and shall come into force on the date of such publication.

(2) Within two weeks of the publication of the interim order in the Gazette the Commission of its own motion or any of the parties to the dispute referred to in subsection (1) may refer such dispute to a court of competent jurisdiction for final adjudication.

(3) Till the final order is made by a court on such reference, the interim order shall be valid and effectual and shall not be called in question in any court by way of writ or otherwise. So long and for so long only as the interim order is in force the person declared by such interim order to be entitled to possess the agricultural land shall be deemed for the purpose of section 3 to be the owner of such agricultural land.

(4) As long as the interim order is in force the Commission shall not alienate the agricultural land to which the interim order relates:

Provided, however, that, where no reference has been made under subsection (2), the interim order made under subsection (1) shall have the effect of a final order under subsection (3).

(1)Where after the date of commencement of this Law any person becomes the owner of agricultural land in excess of the ceiling, any such land owned by such person in excess of the ceiling shall as from that date-

(2) Where any person becomes by reason of marriage or by way of inheritance, or both, the owner of any agricultural land in excess of the ceiling after the date of enactment of this subsection (1) shall not apply, and such person may transfer by way of sale or otherwise, such excess within a period of two years from the date on which he becomes the owner of such agricultural land. Where such person fails to transfer such excess within such period, such excess shall, upon the expiration of such period

(1) Subject to the provisions of subsection (3), any person who is a statutory lessee of any agricultural land under subsection (2) of section 3, paragraph (b) of section 5 or subsection (6) of section 13 may surrender such lease on giving the prescribed notice to the Commission.

(2) Where a statutory lease is surrendered under subsection (1) the Commission may manage or deal with the lands so surrendered in accordance with the provisions of this Law.

(3) The statutory lessee of any agricultural land shall not be entitled to surrender such lease under subsection (1) where such statutory lessee has in the declaration made under section 18 expressed a preference under paragraph (f) of subsection (2) thereof.

(1) Where any agricultural land subject to subject to a mortgage, lease, usufruct or life interest vests in the Commission under the provisions of this Law the mortgagee, lessee, usufructuary or the holder of the life interest, as the case may be, shall have a lien to the extent of his interest in such agricultural land on the compensation payable to the owner thereof and where such compensation is not sufficient to meet his claim, such mortgagee, lessee, usufructuary or such holder of the life interest shall be entitled to enforce his rights against any land subject to such mortgage, lease, usufruct or life interest in the hands of the owner of the agricultural land vested in the Commission after the ceiling of agricultural land is applied to him.

(2) Where on or after May 29, 1971, any agricultural land has been alienated by way of lease to or by any person who owns agricultural land in excess of the ceiling such lease shall from the date of commencement of this Law be deemed to have been terminated.

(3) Where a lease in respect of any agricultural land is deemed to have been terminated under subsection (2) the lessee shall be entitled to receive from the lessor as compensation for improvements made to such agricultural land during the period of the lease such amount as may be determined by the Commission.

(4) In calculating the period of prescription for the purpose of any action or proceeding in a civil court in respect of any such mortgage, lease, usufruct or life interest as is referred to in subsection (1) the period , commencing on the date on which the agricultural land (which was subject to the mortgage, lease, usufruct or life interest) was vested in the Commission and ending on the date on which the compensation payable to the owner of such land is determined shall be excluded.

(1) Where on or after May 29, 1971, any person who owned agricultural land in excess of the ceiling has alienated any agricultural land to any other person, such alienor shall, within three months of the date of commencement of this Law, report such alienation to the Commission in the prescribed form.

(2) Where the Commission finds that any alienation of agricultural land on or after May 29, 1971, has been calculated to defeat the purposes of this Law the Commission may by order made under its hand declare that such alienation is null and void. Every such order shall be sent by registered post to the alienor and alienee of the agricultural land to which that order relates.

(3) Any alienor or alienee aggrieved by an order made under subsection (2) may within three weeks of the receipt of such order appeal to the Minister in the prescribed form, and the Minister may on such appeal make such order as the Minister may deem fit in the circumstances of the case.

(4) The receipt of the order shall be deemed to be effected at the time at which the letter sent under subsection (2) would be delivered in the ordinary course of post.

(5) Where no appeal has been preferred under subsection (3) within the time allowed therefor against the order made under subsection (2), such order, or where an appeal has been preferred, the order as amended, varied or modified on appeal shall be published in the Gazette. The order so published shall be final and conclusive and shall not be called in question in any court, whether by way of writ or otherwise.

(6) Where the Commission under the provisions of subsection (2) declares that any alienation is null and void, no right, title or interest shall be deemed to have passed to the alienee under the instrument of such alienation and such agricultural land shall vest in the Commission and the alienee shall be deemed to hold such land under a statutory lease from the Commission.

(7) Nothing contained in the preceding provisions of this section shall affect or be deemed to affect any transfer made by a fiduciary of his interest in any agricultural land to a fideicommissary in accordance with the provisions of the Abolition of Fideicommissa and Entails Act.

(1) Any person who becomes a statutory lessee of any agricultural land under this Law may within three months from such date make an application to the Commission in the prescribed form for the transfer by way of sale, gift, exchange or otherwise of the entirety or portion of such agricultural land to any child who is eighteen years of age or over or to a parent of such person.

(2) The Commission may by order made under its hand grant or refuse to grant approval for such transfer. Such order shall be made within one year of the date of application under subsection (1). Every such order shall be sent by registered post to the applicant under subsection (1). Any such applicant aggrieved by the order may appeal to the Minister within three weeks of the receipt of such order. The receipt of the order shall be deemed to be effected at the time at which letters would be delivered in the ordinary course of post.

(2A) From and after the date of enactment of this subsection, no statutory lessee shall be granted approval by the Commission under subsection (2) to transfer under subsection (1) any agricultural land in ,excess of one hundred and fifty acres in the aggregate:

Provided that the preceding provisions of this subsection shall not apply in respect of any agricultural land the possession of which, notwithstanding anything in this Law, has been handed over to any declarant or any member of the family of the declarant, under this section prior to the enactment of this subsection.

(3) Any transfer effected in accordance with the provisions of an order made under subsection (2) or such order as amended, varied or modified on appeal shall have the effect of transferring right, title or interest in property so transferred free of the statutory lease.

(4) Any order made under subsection (2) or where an appeal has been preferred the order as amended, varied or modified on appeal shall be final and conclusive and shall not be called in question in any court, whether by way of writ or otherwise.

(5) Nothing contained in the preceding provisions of this section shall affect or deem to affect any transfer made by a fiduciary of his interest in any agricultural land to a fideicommissary in accordance with the provisions of the Abolition of Fideicommissa and Entails Act.

(a) The statutory lease may be terminated at any time at the option of the Commission. Unless terminated earlier such lease shall run for one year from the date of commencement of his statutory lease, and may be renewed for a further period of one year. Save and except as hereinbefore provided, no further renewals of such lease shall be given, except with the express approval of the Minister.

(c) The statutory lessee shall be entitled to manage the land subject to the statutory lease and to appropriate the profits thereof during the period of such lease. Such lessee shall be entitled with the written approval of the Commission to develop and improve such land and to effect repairs to buildings standing thereon. Where a lessee has with the written approval of the Commission developed or improved such land or effected such repairs to buildings he shall be entitled to receive compensation therefor in cash.

(d) The lease rent due from the statutory lessee shall be deducted from any compensation payable under the provisions of this Law.

(e) Where the statutory lessee causes any wanton damage to the land subject to a statutory lease or to any agricultural crop or building or fixtures thereon, he shall be guilty of an offence and the Commission may withhold all or any part of the compensation payable to him. The statutory lessee may, however, with the written approval of the Commission, cut down any trees standing on the land to which the lease relates.

(f) It shall be the duty of the statutory lessee to allow the workers who are lawfully resident on the land owned by him on the day immediately prior to the date of commencement of this Law to continue so to reside on such land and to continue the employment of the workers on such land who were in regular employment on such day.

(g) Where anyone who was not lawfully resident on the land held by the statutory lessee on the day immediately prior to the date of commencement of his statutory lease, attempts to take or takes up residence on such land, it shall be the duty of the statutory lessee to immediately report the fact in writing to the Commission and the police officer in charge of the nearest police station.

(h) Where any statutory lessee fails to comply with the provisions of paragraph (g) he shall be guilty of an offence and the Commission may withhold any compensation payable to such statutory lessee under this Law.

(1) Where an authorized officer or agent is unable or apprehends that he will be unable to eject the unlawful occupiers of any agricultural land held by the statutory lessee on the day immediately prior to the commencement of his statutory lease, he shall, on making an application in that behalf in the prescribed form to the Magistrate’s Court having jurisdiction over the area in which that land is situated, be entitled to an ex pane order of the Court directing the Fiscal to eject such unlawful occupiers from that land.

(2) Where an order under subsection (1) is issued to the Fiscal by the Magistrate’s Court, he shall forthwith execute the order and shall in writing report to the Court the manner in which that order was executed.

(3) For the purpose of executing the order issued by the Magistrate’s Court under subsection (1), the Fiscal or any person acting under his direction may use such force as may be necessary to enter the agricultural land to which the report relates and to eject the unlawful occupiers, and their dependants, if any, therefrom.

(1) The Commission may, by Order published in the Gazette and in such other form as it may deem desirable to give publicity to such Order, direct that every person who becomes the statutory lessee of any agricultural land shall, within a month from the date of the publication of the Order, or of becoming a statutory lessee under this Law make a declaration, in this Law referred to as a ” statutory declaration “, in the prescribed form of the total extent of the agricultural land so held by him on such lease.

(2) The declaration shall inter alia specify

The declaration shall be accompanied by a survey plan or sketch map depicting the boundaries of the lands declared, and of the portion or portions, if any, which the declarant has expressed a preference to retain, and shall specify all encumbrances attached to such land. Such portion or portions shall except in exceptional circumstances be contiguous areas of land which will result in minimum fragmentation of the whole land.

(3) Where any person who has made the declaration referred to in subsection (1) by operation of law becomes the owner of any agricultural land subsequent to such declaration, or ceases to be owner of any part of any land referred to in the declaration such person shall make a further declaration in respect of his land and the provisions of subsection (1) shall apply to such declaration.

(4) Any person who becomes the owner of agricultural land in excess of the ceiling on any day after the date of commencement of this Law shall, within one month of becoming such owner, make a declaration as provided for in the preceding provisions of this section.

(4A) Notwithstanding anything in subsection (4), any person who becomes by reason of marriage or by way of inheritance, or both, the owner of agricultural land in excess of the ceiling on any day after the date of enactment of this subsection (in this subsection referred to as the “relevant date”) and who has failed to transfer by way of sale or otherwise such excess within a period of two years from the relevant date shall, within one month after the expiration of such period, make a declaration as provided for in this section.

(5) Any person who fails to make any declaration required by any of the preceding provisions of this section, or makes a declaration knowing such declaration to be false, shall be guilty of an offence and the Commission may forfeit any compensation payable to him under this Law.

(1) The following provisions shall apply on the receipt by the Commission of a statutory declaration made under section 18 :

(2) Before a statutory determination is made in respect of any agricultural land

(a) specify the extent of the agricultural land permitted by the Commission to be retained by the statutory lessee;

(b) make reference to a survey plan made-

of the agricultural land permitted to be retained by the lessees under paragraph (a) ; and .

(c) specify any servitude or encumbrance attaching to such agricultural land.

(1) Any agricultural land vested in the Commission under this Law may be used for any of the following purposes :

(2) Where any agricultural land has been alienated by way of sale under paragraph (I) of subsection (1), the alienee of such land may make payment for the purchase of such land by way of bonds issued to a parent of such alienee, in respect of any agricultural land vested in the Commission.

(3) In determining the persons to whom any agricultural land vested in the Commission shall be alienated, the Commission shall, as far as practicable, comply with the provision that consideration shall be given to persons from the administrative district where such land is situated.

(4) It shall be lawful for the Commission to alienate by way of lease under paragraph (b) or paragraph (bb) of subsection (1), agricultural land to any person in excess of fifty acres for such purposes as may be approved by the Minister.

(1) The Commission may alienate any agricultural land to any person subject to such terms and conditions as it may deem fit and as would ensure that such land is used for the purpose for which it was alienated.

(2) Where any term or condition subject to which agricultural land is alienated to any person by the Commission is not complied with, the Commission may by endorsement on a certified copy of the instrument of alienation, cancel such alienation, and thereupon such alienation shall be determined accordingly, and such agricultural land shall re-vest in the Commission. Any determination of an alienation made under 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) As soon as possible after the date of commencement of this Law, the Commission may, by notice published in the Gazette, call for applications in the prescribed form from persons for the alienation to them of any extent of agricultural land by the Commission.

(2) Any application received by the Commission under subsection (1) shall be scrutinized by the Commission and shall be disposed of on its merits by the Commission.

(3) No application received by the Commission under subsection (1) shall be entertained by the Commission from any person to whom the Commission is not entitled to alienate any agricultural land under this Law.

(a) by way of sale, the price at which such land is so sold shall, as far as possible, be not less than the compensation payable by the Commission to the former owner of such land under this Law; or

(b) by way of rent purchase, the annual rent for such land shall, as far as possible, be not less than

(1) At the request of the Commission, the Minister may, where he considers it necessary in the interest of the Commission to do so, subject to sections 22, 23 and 42H, by Order published in the Gazette, vest, in any State Corporation specified in the Order, with effect from a date specified in that Order, any agricultural land or estate land or any portion of the land vested in the Commission under this Law, and described in the .order, subject to such terms and conditions relating to consideration for the vesting of that land in such Corporation as may be agreed upon between the Commission and such Corporation.

(2) An Order under subsection (1) shall have the effect of vesting in such State Corporation specified in the Order such right, ‘title and interest to the agricultural land or estate land or portion thereof described in that Order, as was held by the Commission on the day immediately preceding the date on which the Order takes effect.

(3) Where any agricultural land or estate land or any portion thereof is vested in a. State Corporation by an Order made under subsection (1), all the rights and liabilities of the Commission under any contract or agreement, express or implied, which relate to such agricultural land or estate land or portion thereof, and which subsist on the day immediately prior to the date of such vesting, shall become the rights and liabilities of such State Corporation.

(4) Where any term or condition relating to consideration for the vesting of any agricultural land or estate land or portion thereof in any such State Corporation by an Order under subsection (1) is not complied with, the Minister may by Order published in the Gazette, revoke the Order under subsection (1) relating ‘to that land and thereupon that land shall revert in the Commission.

(1) Where any agricultural land is transferred to any person in consequence of an order under section 14 or is alienated, or vested in, any person under paragraph (f) of section 22 or where any person is allowed to retain any agricultural land in consequence of a determination made under section 19, such order, alienation, vesting or determination, as the case may be, shall have the effect of reviving, with effect from the date of such order, alienation, vesting or determination, as the case may be, any encumbrance which subsisted over that land on the day immediately preceding the date on which that land was vested in the Commission.

(2) In calculating the period of prescription for the purposes of any action or proceeding in a civil court in respect of any such encumbrance as is referred to in subsection (1), the period during which the agricultural land, which was subject to that encumbrance, was vested in the Commission shall be excluded.

(1) Compensation shall be payable by the Commission in respect of any agricultural land vested in it under this Law. The compensation so payable shall be computed in accordance with the following two criteria and shall be the higher amount so calculated:

(2) Where any agricultural land has not been assessed for the purpose of income tax or wealth tax the Commission may, in consultation with the Chief Valuer, make its own valuation for the purpose of subsection (1).

(3)

(4) Notwithstanding anything in subsections (1), (2) and (3) the compensation payable in respect of any agricultural land vested in the Commission after the date of enactment of this subsection shall be an amount equal to the – price which in the opinion of the Chief Valuer that land would have fetched if sold in the open market on March 31, 1977, increased by an amount equal to the cost of improvements, if any, made to such land after March 31, 1977.

(5) Notwithstanding any other provision in this Law the Commission may pay to any person entitled to compensation in respect of any agricultural and vested in the Commission under this Law, such amount and in such manner or mode as the Minister may in consultation with the Minister in charge of the subject of Finance direct the Commission to pay, pursuant to any agreement or negotiated settlement reached between the Commission and such person, in respect of the amount of compensation for such agricultural land vested and the manner and mode of payment thereof.

(1) Where any person who has been paid any compensation under this Law in respect of any agricultural land vested in the Commission is noticed to pay any income tax, wealth tax or gifts tax for any year of assessment under the Inland Revenue Act, No. 4 of 1963, or any capital levy under the Capital Levy Act, No. 51 9f 1971, or any (state duty under the Estate Duty Ordinance on profits of value, the ,case may be, of such land which exceeds the profits or value, as the case may be, on which the compensation payable ill respect of such land was computed, ‘such person shall be entitled to have the assessment in respect of such tax, levy or duty, as the case may be, revised and to have such part of such tax, levy or duty as is attributable to such excess waived.

(2) Where any person who has been paid any compensation under this law respect of any agricultural land vested in the Commission, has paid any income tax, Wealth tax or gifts tax for any year of assessment under, the Inland Revenue Act, – No. 4 of 1963, or : any capital levy under the Capital Levy Act, No., 51 of 1971, or any estate duty under the Estate Duty Ordinance on the profits or value, as the case may be, of such land which exceeds the profits or value as the case may be, on which the compensation payable in respect of such land was computed, such person shall be entitled to have such. Part of such tax, levy, or duty as is attributed to such excess refunded to him.

(3) A revision of an assessment under subsection (1) or a refund under subsection (2) shall be made only on a Claim made by the person on whom the assessment made or who has paid the tax, levy or duty, as the case may be; by notice in – writing addressed to the Commissioner-General’ of Inland Revenue, within one year of the date of employment pf compensation to such person under section 28 or within one year of the date of enactment of this section which ever is the later date.

(4) Where a claim is made under this section for the revision of any assessment of income tax, wealth tax, gifts tax, capital levy of estate duty or for the refund of any such tax levy or duty, such assessment may be revised and such refund made notwithstanding anything to the contrary in any other law.

(a) his name and address;

(b) the nature of his interest in such land;

(c) the particulars of his claim; and

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

(1) The Chairman of the Commission or such other officer as may be authorized by him in that behalf shall, as soon as possible after the receipt of a claim for compensation in respect of any agricultural land vested in the Commission made by any person under section 29, refer to the Chief Valuer the determination of the compensation payable in respect of such land, and such Chief Valuer shall submit his determination to the Commission for decision thereon.

(2) Where there is any dispute as to the persons entitled to compensation in respect of any agricultural land vested in the Commission, the Chairman of the Commission or such other officer as may be authorized by him in that behalf shall defer referring to the Chief Valuer the determination as to the compensation payable in respect of such land and shall refer the dispute for decision to the appropriate court of civil jurisdiction, and shall, after such court makes its decision on such dispute, refer such claims to the Chief Valuer.

(3) The Chief Valuer shall give all claimants to compensation in respect of any agricultural land vested in the Commission an opportunity to adduce before such Valuer in person or by a representative authorized by him in that behalf evidence with regard to the value of such land, and shall make a determination as to the compensation payable for such land, having regard to the provisions of this Part.

(1) On receipt of the determination of the Chief Valuer, the Chairman of the Commission shall subject to such modifications, if any, make an award as to the compensation payable in respect of the agricultural land which is the subject-matter of such determination, and shall give notice of such award to the person or persons entitled to such compensation.

(2) For the purpose of making an award, the Chairman of the Commission or such other officer as may be authorized by him in that behalf may, if such Chairman or other officer considers it necessary so to do, hold an inquiry, and such Chairman or other officer shall, by notice in writing, direct every claimant for compensation to be present on such date, at such time and place, as may be specified in the notice.

(3) The compensation payable in respect of any agricultural land vested in the Commission, being agricultural land which was, on the day immediately preceding the day it was vested in the Commission subject to a lease with an unimpaired period at least fifteen years, shall, notwithstanding anything in the preceding provisions of this Law, be apportioned between the lessor and the lease under such lease, in the ratio of forty per centum to sixty per centum :

Provided however that in any case where the lessee of such agricultural land has erected any buildings thereon, the share apportioned to the lessee in accordance with this subsection shall be increased by the Chairman of the Commission by such amount as is reasonable, having regard to the Commission by such amount is reasonable, having regard to the value of such buildings.

(1) Where no claim to the compensation payable in respect of any agricultural land vested in the Commission is received in response to the notice under section 29 from any person, other than the former owner of such land, the Chairman of the Commission shall cause such compensation to be paid to such former owner.

(2) Where any claim to the compensation payable in respect of any agricultural land vested in the Commission is received in response to the notice under section 29 from any person, other than the former owner of such land, then, if every such claimant and the former owner amicably agree in writing as to the persons entitled to the compensation and the apportionment of the compensation among them, the Chairman of the Commission shall cause the compensation to be apportioned and paid to such persons according to such agreement. If there is no such agreement, the Chairman of the Commission shall cause the compensation to be paid to any appropriate court of civil jurisdiction to be drawn by the persons entitled thereto.

Provided however, that where any such claimant supports his claim to the compensation by a final decree of a competent court or by such evidence as the Commission may consider sufficient, the Chairman of the Commission, ay cause, the compensation to be apportioned and paid according to the terms of that decree or the evidence adduced, notwithstanding the fact that the former owner does not agree in writing as to the persons – entitled to the compensation and the apportionment of ‘the compensation among them.

(1) Where a person is entitled to compensation in respect of any agricultural land vested in the Commission under this Law, the Commission shall deduct or withhold from the amount of such compensation such sums as the Commission is authorized or required to so deduct or withhold under this Law.

(2) For the purposes of this section, the expression ” compensation” includes any interest which has accrued due on such compensation.

(1) Where any person is dissatisfied with the amount of compensation awarded to him under section 31 such person may appeal against the award to the Board of Review constituted under the Land Acquisition Act (hereinafter referred to as ” the Board of Review”) which is hereby vested with jurisdiction to entertain, hear and decide such appeal.

(2) Every appeal under subsection (1) shall be in writing and be addressed to the Chairman of the Board of Review and be transmitted to, or delivered at, the office of that Board.

(3) Every appeal under subsection (1) shall

(4) No appeal under subsection (1) shall be entertained by the Board of Review unless it is preferred within twenty-one days after the date on which notice of the compensation under section 31 of this Law was received by the appellant.

(1) The provisions of section 24 of the Land Acquisition Act shall apply to proceedings before the Board of Review on any appeal to that Board under this Law.

(2) The provisions of section 25 of the Land Acquisition Act shall apply in relation to the decision of the Board of Review on any appeal to that Board under this Law subject to the following modifications :

(a) Such bond shall be of twenty-five years duration and shall carry interest at the rate of ten per centum per annum from the date on which such land was vested to the date of payment.

(b) The holder of such bond shall be entitled to surrender them before maturity with the approval of the Minister for the following purposes:

(c) The holder of such bonds shall be entitled to surrender them before maturity at par value for the payment of any Government dues such as for the payment of capital levy, estate duty and income tax.

(1) Every estate land owned or possessed by a public company on the date on which this Part of this Law comes into operation* shall, with effect from such date

(2) The vesting of an estate land under subsection (1) shall have the effect of giving the Commission absolute title to such estate land as from the date of vesting and, subject as hereinafter provided, free from all encumbrances.

(3) The terms and conditions of the statutory trust, including the remuneration or agency fees of statutory trustees shall, subject as hereafter in this Part of this Law provided, be as prescribed by regulations made under this Law.

(1) Where any estate land is vested in the Commission under section 42A, the statutory trustee of such estate land, shall, during the continuance of such statutory trust, be responsible for the good and proper management of such estate land, subject to such general or special directions as may from time to time be issued by the Commission.

(2) No such statutory trustee shall by any act or omission cause the condition of such estate land to deteriorate or the assets, movable or immovable, of such estate land to be destroyed, lost, damaged or depreciated in value.

(3) It shall be the duty of such statutory trustee to allow the workers who were lawfully resident on the estate land on the day immediately prior to the date of such vesting to continue so to reside on such estate land, and to continue the employment of the workers who were in regular employment on such estate land on such day.

(4) No credit or other financial arrangement which relates to the management, supervision or development of any such estate land or to the marketing of the produce of such land, and which is in force on the date on which this Part of this Law comes into operation* shall be modified or altered except with the written consent of the Commission, and for the purpose of securing compliance with the preceding provisions of this subsection, the Commission may from time to time issue such directions as it may deem necessary or expedient to any statutory trustee, commercial bank, public company, agency house, broker or any other party to such arrangement, and it shall be the duty of every person to whom any such direction is issued to comply therewith. [* 17th October, 1975]

(5)

(1) Where any estate land is vested in the Commission under this Part of this Law, it shall be the duty of the statutory trustee of such estate land, within one month of the date of such vesting, to furnish in writing to the Commission a declaration containing the following particulars :

(2) A copy of the declaration furnished to the Commission under subsection (1) shall be sent by the statutory trustee to the former owner of such estate land who shall have the right within ninety days of the receipt by him of such copy, to address any observations on the information therein contained, to the Commission.

(3) It shall also be the duty of the statutory trustee of such estate land, to furnish to the Commission in respect of such estate land within four months of the date of vesting

(1) Where any person who was not lawfully resident on any estate land vested in the Commission attempts to take up, or takes up, residence on such estate land, it shall be the duty of the statutory trustee and of the superintendent of such estate land immediately to report the fact in writing to the Commission and to the police officer in charge of the nearest police station.

(2) Upon receipt by the Commission of a report under subsection (1), an authorized officer or agent of the Commission may give directions to any police officer in connexion with the ejectment of such persons from such estate land and such police officer shall take such steps and may use such force as may be necessary for securing compliance with such directions.

(3) Where the authorized officer or agent of the Commission is unable or apprehends that he will be unable to eject such persons from such estate land, he shall, on making an application in that behalf to the Magistrate’s Court having jurisdiction over the area in which the estate land is situated, be entitled to an ex parte order of the court directing the Fiscal to eject such persons from such estate land.

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

(5) For the purpose of executing the order issued by the Magistrate’s Court under subsection (3), the Fiscal or any person acting under his direction may seek the assistance of any police officer and may use such force as may be necessary to enter the estate land and to eject such persons and their dependants, if any, therefrom.

(1) Any estate land vested in the Commission under this Part of this Law may be used for any of the following purposes:

(1A) It shall be lawful for the Commission to alienate, by way of lease under paragraph (aa) of subsection (1), estate land purpose as may be approved by the Minister, having regard to the need to increase the productivity of such land and to generate employment thereon.

(2) In determining the purposes for which estate lands vested in the Commission may be used, the Commission shall be subject to such directions as may from time to time be issued in that behalf by the Minister.

(1) Compensation shall be payable in respect of every estate land vested in the Commission under this Part of this Law.

(2) The amount of compensation to be paid in respect of any estate land vested in the Commission shall be such sum as in the opinion of the Chief Valuer constitutes a reasonable value of such estate land as on the date of vesting. In determining the amount of compensation, the Chief Valuer shall take into consideration, inter alia, the condition of the estate land as on the date of vesting, the dividends and profits declared by the owner thereof in each of the five accounting years immediately preceding the date of vesting and the prices at which estate lands in the area in which such estate land is situated were sold during the period of three years immediately preceding the date of vesting.

(2A)

(2B) Where on the date of enactment of this subsection, no compensation has been paid in respect of any estate land vested in the Commission under this Part of this Law and on the date of investing there were net current assets on such estate lands which were taken over by the Commission, the compensation payable under subsection (2A) shall be increased by an amount equal to the book value of such net current assets.

In this section” net current assets” shall mean stock in trade, unsold produce, cash, fixed deposits, debts due and any other receivables.

(2C) Nothing in subsections (2A) and (2B) shall apply to the computation of the amount of compensation payable to any company incorporated in the United Kingdom which has not entered into any agreement or negotiated settlement at the date of enactment of this subsection in respect of the amount of compensation payable in respect of such estate land, and compensation in respect of such estate land shall be payable in terms of subsection (2).

(2D)

(2E) Where a public company which has distributed, in accordance with the provisions of subsection (2D), any amount received by it as compensation resolves that it is not possible in consequence of such distribution, to carryon business, it may apply to the Registrar of Companies to have its name struck off the register of companies.

The Registrar on being satisfied that-

shall notwithstanding any provision in the Companies Ordinance relating to ,the winding up or dissolution of companies strike off the name of that Company from that register. ; and

(3) The manner and mode of payment of compensation shall be determined by the Minister in consultation with the Minister or Ministers in charge of the subjects of Finance, Planning and Economic Affairs.

(4) The compensation payable, less any deductions that may be made from such compensation under this Part of this Law, 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 or Ministers in charge of the subjects of Finance, Planning and Economic Affairs.

(5) The provisions of sections 29 to 40 (both inclusive) shall, mutatis mutandis, apply in respect of estate lands vested in the Commission under this Part of this Law and the payment of compensation in respect if such estate lands.

(6) Where a person is entitled to compensation in respect of any estate land vested in the Commission, the Commission shall, after reasonable notice to such person, pay from the amount of such compensation

For the purposes of this subsection, the expression ” compensation” includes any interest which has accrued due on such compensation.

(7) Notwithstanding the provisions of subsections (1) to (5) (both inclusive) of this section, the Commission may pay to any person entitled to compensation in respect of any estate land vested in the Commission under this Part of this Law, such amount and in such manner or mode as the Minister may, in consultation with the Minister or Ministers in charge of the subjects of Finance, Planning and Economic Affairs, direct the Commission to pay, pursuant to any agreement or negotiated settlement reached between the Minister and such person in respect of the amount of compensation for such estate land and the manner and mode of payment thereof.

(8) Where compensation has been paid in respect of any estate land in accordance with the provisions of this section, no further claim against the Commission either by the person to whom such compensation was paid or by any other person shall be allowed and no action shall be instituted against the Commission in any court in respect of such further claim.

(1) Where the Minister is of the opinion that, for the good and proper management of any estate land vested in the Commission, it is necessary so to do, the Minister may by Order published in the Gazette appoint any person as a director or other executive officer or remove from office any director or other executive officer of the agency house or organization which under this Part of this Law is the statutory trustee of such estate land.

(2) An Order made under subsection (1)-

and the person in respect of whom such Order is made shall be deemed to have been appointed to or to have vacated his office, as the case may be, on the date of publication of such Order in the Gazette.

(1) There shall be established a Land Reform Commission (in this Law referred to as ” the Commission”), which shall consist of the persons who are for the time being members of the Commission under section 45.

(2) The Commission shall by the name assigned to it by subsection (1) be a body corporate and shall have perpetual succession and a common seal and may sue and be sued in such name.

(3) The head office of the Commission shall be in Colombo, or in such other place in Sri Lanka as may be determined by the Commission.

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

(b) carry out investigations, surveys and record data concerning and relating to any agricultural land and call for returns in the prescribed form concerning and relating to agricultural land; and encourage aspects of land

(c) conduct, assist research into all tenure and reform

(d) make charges for any service rendered by the Commission in carrying out its business ;

(e) establish and maintain branch offices for the purposes of the Commission;

(f) call for and receive such documents relating to title, valuation, surveys and plans of agricultural land as may be necessary for carrying out such objects;

(g) delegate to any member, officer or employee of the Commission or any public officer, or any employee of a State Corporation or local authority or to a District Land Reform Authority or to any Agricultural Productivity Committee established under any Law any of its powers and functions other than the power to make rules under section 57 ;

(h) enter upon and inspect any agricultural land;

(i) direct and decide all matters connected with the administration of its affairs;

(j) enter into and perform, either directly or indirectly through any officer or agent of the Commission, all such contracts or agreements as may be necessary for enabling it to achieve the objects of this Law and to exercise its powers under this Law;

(k) borrow money for the purposes of its business;

(l) establish a provident fund and provide welfare and recreational facilities, houses, hostels and other accommodation, for persons employed by the Commission ;

(m) do anything for the purpose of advancing the skill of persons employed by the Commission and the assistance of the provision by others of facilities for training persons required to carry out the work of the Commission.

(1) The Commission shall consist of the following members:

(2) A member of the Commission appointed by the Minister under subsection (1) is in this Law referred to as an ” appointed member “.

(3) A person shall be disqualified from being appointed, or from continuing, as an appointed member of the Commission, if he is or becomes a Member of Parliament.

(4) Every appointed member of the Commission

Provided that a member appointed by the Minister to fill a vacancy in the office of a member of the Commission, shall hold office for the unexpired portion of the term of office of the member whom he succeeds.

(5) All or any of the appointed members of the Commission may be paid such remuneration out of the fund of the Commission as may be determined by the Minister, with the concurrence of the Minister in charge of the subject of Finance.

(6) An appointed member of the Commission may be removed from office by the Minister without assigning any reasons, so however, that no such member who was nominated by a Minister under subsection (1) (b) (ii), (iii) and (iv) of section 45 for such appointment shall not be so removed without the prior concurrence of the Minister nominating such member.

(7) The removal of any member of the Commission under subsection (6) shall not be called in question in any court, whether by way of writ or otherwise.

(8) Any appointed member of the Commission may resign his office by letter addressed to the Minister.

(9) Where any appointed member of the Commission becomes, by reason of illness or other infirmity or absence from Sri Lanka, temporarily unable to perform the duties of his office, the Minister may, having regard to the provisions of subsection (1), appoint a fit and proper person to act in place of that member.

(10) If the Chairman of the Commission becomes, by reason of illness or other infirmity or absence from Sri Lanka, temporarily unable to perform the duties of his office, the Minister may appoint a fit and proper person to act in place of such Chairman.

(11) The Chairman of the Commission may resign the office of such Chairman by letter addressed to the Minister.

(12) The quorum for a meeting of the Commission shall be three members of the Commission and, subject as aforesaid, the Commission may regulate its own procedure.

(13) The Commission may act notwithstanding any vacancy among its members or any defect in the appointment of any member.

(1) The seal of the Commission shall be in the custody of the Commission.

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

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

(1) The Minister may give such general or special directions in writing as to the performance of the duties and the exercise of the powers of the Commission, and such Commission shall give effect to such directions.

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

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

(1) The Commission shall appoint a District Land Reform Authority for each administrative district consisting of such number of members as the Commission may determine.

(2) A District Land Reform Authority shall exercise, discharge or perform any such powers, functions or duties of the Commission as may be delegated to such Authority by the Commission.

(3) The members of a District Land Reform Authority may be paid such remuneration as the Minister may, in consultation with the Minister in charge of the subject of Finance, determine.

(1) The Commission may appoint a Secretary and such other officers, servants and agents as it considers necessary for the efficient discharge of its functions.

(2) The Secretary and other officers, servants and agents of the Commission shall be remunerated in such manner and at such rates, and shall be subject to such conditions of service, as may be determined by the Commission.

(1) The Commission may make rules in respect of all or any of the following matters:

(2) At the request of the Commission, any officer in the public service may, with the consent of that officer and the Secretary to the Ministry charged with the subject of Public Administration, be temporarily appointed to the staff of the Commission for such period as may be determined by the Commission with like consent or be permanently appointed to such staff. Where any officer in the public service is temporarily appointed to the staff of the Commission, subsection (2) 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]

(3) Where any officer in the public service is permanently appointed to the staff of the Commission, 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 Commission employs any person who has entered into a contract with the Government for a specified period, any period of service to the Commission 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 Commission, any officer or servant of the Local Government Service or of any local authority may, with the consent of that officer or servant and the Local Government Service Advisory Board or that authority, as the case may be, be temporarily appointed to the staff of the Commission for such period as may be determined by the Commission with like consent, or be permanently appointed to such staff on such terms and conditions, including those relating to pension or provident fund rights, as may be agreed upon by the Commission and the Local Government Service Advisory Board or that authority.

(6) Where any person is temporarily appointed to the staff of the Commission in pursuance of the provisions of subsection (5) he shall be subject to the same disciplinary control as any other member of such staff.

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

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

(3) The capital of the Commission may be increased from time to time by a resolution of Parliament.

(1) The Commission shall have its own fund

(2) There shall be paid into the fund of the Commission

(3) There shall be paid out of the fund of the Commission all such sums of money required to defray the expenses incurred by the Commission in the exercise, discharge and performance of its functions, powers and duties under this Law or any other written law and all such sums of money as are required to be paid out of the fund by or under this Law.

(1) The Commission may make rules in respect of all or any matters

(2) No rule made by the Commission shall have effect until it is approved by the Minister.

(1) No Suit or prosecution Shall lie

(2) Any expenses incurred by such person as is referred to in subsection (1) in any suit or prosecution brought against him before any court in respect of any act which is done by him under this Law or on the direction of the Commission shall, if the court holds that the act was done in good faith, be paid out of the fund of the Commission.

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

(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 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 from the date of its disapproval but without prejudice to anything previously done thereunder. Notification of the date of the regulation to be rescinded shall be published in the Gazette.

(1) Every person who

(2) Every person who commits an offence under this Law shall, on conviction after summary trial before a Magistrate, be liable to imprisonment of either description for a period not exceeding one year or to a fine not exceeding one thousand rupees or to both such imprisonment and fine.

(3) Where any offence under this Law is committed by a body corporate every individual who at the time of the commission of the offence was a director, general manager, secretary or other similar officer of the body corporate shall be deemed to be guilty of that offence unless he proves that the offence was committed without his consent or connivance and that he exercised all due diligence to prevent the commission of that offence as he ought to have exercised in the circumstances having regard to the nature of the offence.

(1) any State Corporation; and

(2) any Government sponsored Co- operative Society, and the other provisions of this law shall be read and construed accordingly.

(i) the growing of rice, all field crops, spices and condiments, industrial crops, vegetables, fruits, flowers, pasture and fodder;

(ii) dairy farming, livestock-rearing and breeding;

(iii) plant and fruit nurseries;

(a) any cultivated agricultural land owned or possessed by a public company on May 29, 1971, so long and so long only as such land continues to be so owned or possessed by such company;

(b) any such land which was viharagam or devalagam land on May 29, 1971, so long and so long only as such land continues to be so owned or possessed;

(c) any such land which was owned or possessed by a religious institution on May 29, 1971, so long and so long only as such land continues to be so owned or possessed by such religious institution;

(d) any such land which on May 29, 1971, constituted a charitable trust as defined in the Trusts Ordinance or a Muslim charitable trust or wakf as defined in the Muslim Mosques and Charitable Trusts or Wakfs Act, so long and so long only as such land continues to be so owned or possessed as such trust;

(e) any such land held in trust on May 29, 1971, under the Buddhist Temporalities Ordinance so long and so long only as such land is held in trust under that Ordinance;

(a) a family

(b) any individual who is eighteen years of age or over; or

(bb) a private trust ; or

(c) any other person within the meaning of the Interpretation Ordinance not being any such family or individual;

(i) a company registered under the Companies Ordinance! oilier than a private company; or

(ii) any company to which Part XI of the Companies Ordinance! applies;