RIVER VALLEYS DEVELOPMENT BOARD

(1) With effect from such date* as the Minister may appoint by Notification published in the Gazette there shall be established a board by the name of the River Valleys Development Board.

(2) The Board shall be a body corporate having perpetual succession and a common seal and may by its name sue and be sued.

(1) The Board shall consist of four members appointed by the Minister, one of whom shall be a person nominated for the purpose by the Minister in charge of the subject of Finance, such person being either the Secretary to the Ministry charged with the subject of Finance or any other officer of the General Treasury.

(2) The Minister shall appoint one of the members of the Board to be the Chairman of the Board.

(3) A person shall be disqualified for appointment or for continuing, as a member of the Board-

(4) Where a member of the Board is a shareholder (other than a director) in an incorporated company which has entered into any contract with, or is doing any work for, the Board, he shall disclose to the Minister the nature and extent of the shares held by him in such company.

(5) The Minister may, if he thinks it expedient to do so, remove, by Order published in the Gazette, any member of the Board from office without reason stated.

(6) A member of the Board in respect of whom an Order under subsection (5) is made by the Minister shall vacate his office on the dale of the publication of such Order in the Gazette.

(7) A member of the Board who has been removed from office shall not be eligible for reappointment as a member of the Board or to serve the Board in any other capacity.

(8) A member of the Board may at any time resign his office by letter addressed to the Minister.

(9) If the Chairman or any other member of the Board is temporarily unable to discharge the duties of his office on account of ill health or absence from Sri Lanka or for any other cause, the Minister may appoint some other person to act in his place as the Chairman or as a member.

(10) Every member of the Board shall, unless he earlier vacates office by death, resignation or removal, hold office for a period of five years. Any member of the Board who vacates office by effluxion of time shall be eligible for reappointment.

(11) No act or proceeding of the Board shall be invalid by reason only of the existence of any vacancy amongst its members or any defect in the appointment of a member thereof.

(1) The Board may appoint such officers and servants as it considers necessary for the efficient discharge of its functions: Provided that a person who is not a citizen of Sri Lanka, according to the law for the time being in force relating to citizenship of Sri Lanka, shall not be appointed an officer or servant of the Board without the prior sanction of the Minister.

(2) The officers and servants of the Board shall be remunerated in such manner and at such rates, and shall be subject to such conditions of service, as may be determined by rules made under section (2).

(3) No person who has directly or indirectly, by himself or his partner or agent, any share or interest in any contract made by or on behalf of the Board shall become or remain an officer or servant of the Board.

(1) The Board may, subject to the other provisions of this Act, discharge all or any of its functions and exercise all or any of its powers within any area (hereinafter referred to as an ” area of authority”) consisting of-

(2) No Order made by the Minister under subsection (1) shall have effect until such Order together with the plan of development and the estimated cost has been approved by Parliament and published in the Gazette.

(3) Nothing in subsection (I) shall be deemed to preclude the Board from maintaining any office or stores outside an area of authority.

(4) Notwithstanding anything to the [§ 2, 50 of contrary in this Act- the Board may. acting 1961] under the authority granted by the Minister by Order under his hand, execute, outside an area of authority, any such work specified in the order as may be necessary for the discharge of its functions under this Act.

(5) The Minister may by Order published [§ 2. 50 of in the Gazette direct that the Board shall 1961] cease to discharge or exercise all or any of its functions or powers within the whole or any part of an area of authority ; and every such Order shall be complied with by the Board.

(1) The Minister shall divide each area of authority into-

(2) If any local authority within an area of authority is likely to be affected by the division of that area into the developed area and the undeveloped area, the Minister shall, in making such division, consult the Minister in charge of the subject of Local Government.

(a) to develop each undeveloped area;

(b) to promote and operate schemes of-

(c) to promote and control irrigation and fisheries;

(d) to promote afforestation ;

(e) to control soil erosion;

(f) to promote public health ;

(g) to prevent and control plant and animal diseases; and

(h) generally to promote agricultural and industrial development and economic and cultural progress in each area of authority.

(1) The Board may construct and maintain roads and construct, maintain and operate dams, channels and other irrigation works.

(2) The Board may determine and levy rates for the supply of water for irrigation.

(1) The Board may construct waterworks for the supply of water for industrial or domestic purposes and may supply water to any Government department, local authority, or any other person or body of persons.

(2) The Board may determine and levy rates or fees for the supply of water whether in bulk or by retail, and such rates or fees may be levied from any consumer of water supplied by the Board whether such consumer is a Government department or a local authority or any other person or body of persons.

(1) Notwithstanding anything in the electricity law, the Board may within an area of authority-

(2) For the purpose of establishing, maintaining and operating any installation for the generation, transmission and supply of electrical energy, the Board shall have all the powers conferred on the General Manager of the Ceylon Electricity Board by or under the electricity law: and the Board shall, in the exercise of those powers, comply with such provisions of that law as the aforesaid General Manager is required by that law to comply with when exercising those powers.

(3) The electricity law shall apply within an undeveloped area subject to the following modifications : –

(1) The Board may establish, maintain and operate laboratories, experimental and research stations and farms for conducting experiments and research in respect of any of the fallowing subjects:-

(2) The Board may establish its own departments or agencies for the purposes of any work of planning, designing, construction or operation, or make contracts or other arrangements for such purposes with Government departments, local authorities, educational and research institutions or any person or body of persons:

(1) In an undeveloped area the Board shall, notwithstanding the provisions of Part XI of the Stale Lands Ordinance, be the sole authority responsible for and charged with the administration of that Ordinance, and accordingly every reference in any provision of that Ordinance to the Land Commissioner or any other officer of Government entrusted with any duties in respect of State lands shall, for the purposes of the application of that Ordinance in an undeveloped area, be deemed to be a reference to the Board or to any such officer of the Board as may be authorized by the Board for the purposes of that provision.

(2) The Board shall, notwithstanding anything in any other written law. he the sole authority for making recommendations to the Minister in regard to the exercise of such powers of the President in an undeveloped area as are conferred by the State Lands Ordinance or by any other written law relating to State lands.

(3) The Board may use any State land in an undeveloped area for any of its purposes or reserve any such land for future use.

(1) Where any land or any interest in any land in an area of authority required by the Board for any of its purposes, that land or interest may be acquired under the land acquisition law by the Government for the Board, and the provisions of that law shall, save as otherwise provided in subsection (2), apply for the purposes of the acquisition of that land or interest.

(2) In any case where any land or any interest in any land is to be acquired under the land acquisition law for any purpose of the Board and the public notice of the intention to acquire that land or interest is published as required by that law at any time within the period of three years commencing on the appointed date, the following provisions shall apply for the purpose of determining the amount of compensation to be paid in respect of that land or interest notwithstanding anything to the contrary in the land acquisition law :-

(1) The Board may. by notice published and displayed in accordance with the provisions of subsection (2). require every person who claims any right, title or interest to or in any land situated in such part of an undeveloped area as is described in the notice to prefer his claim in writing to the Board within such time as may be specified in the notice.

(2) The notice referred to in subsection (1) shall be published in the Gazette and in at least one newspaper in the Sinhala language and one newspaper in the Tamil language and shall be displayed, in accordance with directions of the Board, at conspicuous places in such part of an undeveloped area as is described in the notice.

(3) Where the Board requires for any of its purposes any land situated in such part of an undeveloped area as is described in a notice published and displayed under the preceding provisions of this section and where no claim of any right, title or interest to or in that land has been made to the Board as required by that notice or all the claims made in respect of that land are, after due investigation, considered by the Board to be invalid, the Board may take possession of that land and cause any work to be done thereon, notwithstanding that no proceedings under the land acquisition law have been taken in respect of that land.

(4) Any person authorized in writing in that behalf by the Board may, for and on behalf of the Board, take possession of any land referred to in subsection (3).

(5) Where any person who is authorized in writing by the Board to take possession of any land referred to in subsection (3) is unable to take possession of that land because of any obstruction or resistance which has been offered, he shall, on his making an application in that behalf to the Magistrate’s Court having jurisdiction where that land is situated, be entitled to an order of that court directing the Fiscal to deliver possession of that land’ to him for and on behalf of the Board.

(6) Where an order under subsection (5) is issued to the Fiscal by a Magistrate’s Court, he shall forthwith execute that order and in writing report to that court the manner in which that order is executed.

(7) For the purpose of executing an order issued by a Magistrate’s Court under subsection (5), the Fiscal or any person acting under his direction may use such force as may be necessary to enter the land to which that order relates and to eject any person offering obstruction or resistance and to deliver possession of that land to the person who is duly authorized to take such possession for and on behalf of the Board.

(1) Any land of which possession is taken by the Board under section 17 shall, with effect from the date of commencement of such possession, vest absolutely in the Board free from all encumbrances.

(2) No person claiming any right, title or interest to or in any land of which possession has been taken by the Board under section 17 shall, save as provided in subsection (3), be entitled to institute any suit or other legal proceeding against the Board in respect of that land, or of the taking of possession thereof by the Board or of the doing of any work thereon by or under the authority of the Board.

(3) Any person who would but for the provisions of subsection (1) have any right, title or interest to or in any land of which possession has been taken by the Board under section 17 may institute in a court of competent jurisdiction an action against the Board for a declaration of such right, title or interest and for obtaining compensation from the Board in respect of that land.

(4) The amount of compensation which is to be awarded to any person in an action under subsection (3) shall, save as otherwise provided in subsection (5). be determined on the basis on which compensation would be determined under the land acquisition law if the land in respect of which compensation is to be awarded were acquired under that law.

(5) Where compensation is to be awarded to any person in an action under subsection (3) in respect of a land of which possession has been taken by the Board at any time within the period of three years commencing on the appointed date, the provisions of paragraphs (a) and (b) of subsection (2) of section 16 shall apply for the purpose of determining the amount of such compensation.

(a) acquire and hold any movable or immovable property and dispose of any movable or immovable property acquired or held by it;

(b) cause the construction of such dams, barrages, reservoirs, power houses, power structures, electrical transmission lines and sub-stations, navigation works, irrigation, navigation and drainage canals, and such other works and structures, as may be required;

(c) stock its reservoirs and watercourses with fish;

(d) undertake resettlement of the population displaced by its operations;

(e) establish and finance co-operative societies;

(f) undertake measures for the prevention of malaria and other diseases ; and

(g) execute such other works, and carry out such other operations, as may be necessary for the purpose of discharging its functions under this Act.

(1) The written laws for the time being specified in the First Schedule to this Act shall have effect in every undeveloped area subject to the modification that it shall be lawful for the Board-

(2) No officer or person in whom any powers or functions are vested by any written law for the time being specified in the First Schedule to this Act shall, within an undeveloped area. exercise or discharge any of those powers or functions except where necessary for the purpose of executing or carrying out any contract or arrangement made by the Board under subsection (2) of section 14.

(3) The Board may-

(4) Any power or function which the Board is authorized by paragraph (h) of subsection (1) to exercise or discharge, may be exercised or discharged on behalf of the Board by any member of the Board or by any such officer of the Board as is authorized in writing in that behalf by the Chairman.

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

(2) No rule made under subsection (1) shall have effect until it has been approved by the Minister.

(3) The Minister shall not, without the concurrence of the Minister in charge of the subject of Finance, approve of any rule made by the Board in respect of any matter referred to in paragraph (a) or paragraph (b) of subsection (1).

(1) The Board may make by-laws in respect of all or any of the following matters:-

(2) No by-law made under subsection (1) shall have effect until it has been approved by the Minister, confirmed by Parliament, and published in the Gazette.

(3) Every by-law made under subsection (1) and approved by the Minister and confirmed by Parliament shall upon its publication in the Gazette be as valid and effectual as if it were herein enacted.

(1) The Board shall have its own fund. All moneys received by the Board, including such sums as may be voted by Parliament for the use of the Board, shall be credited to the fund, and all payments made by the Board shall be made therefrom.

(2) The excess of the revenue over the expenditure of the Board for each financial year shall, after the deduction of any sum necessary for such reserves for depreciation or any other purpose as the Minister may approve, be paid by the Board to the General Treasury.

(1) The Board shall cause proper accounts of its income and expenditure to be kept and shall prepare an annual statement of accounts relating to its business in such form and containing such particulars as the Minister with the concurrence of the Minister in charge of the subject of Finance may, from time to time, specify.

(2) The accounts of the Board for each financial year shall be audited by the Auditor-General. For the purpose of assisting him in the audit of such accounts, the Auditor-General may employ the services of any qualified auditor or auditors who shall act under his direction and control.

(3) For the purpose of meeting the expenses incurred by him in the audit of the accounts of the Board, the Auditor-General shall be paid by the Board such remuneration as the Minister may determine with the concurrence of the Minister in charge of the subject of Finance. Any remuneration received from the Board by the Auditor-Genera! shall, after deducting any sums paid by him to any qualified auditor employed by him for the purposes of such audit, be credited to the Consolidated Fund.

(4) The Auditor-General shall examine the accounts of the Board and furnish a report-

(5) The Auditor-General shall transmit his report to the Board.

(6) The Auditor-General and any person assisting the Auditor-General in the audit of the accounts of the Board shall have access to all such books, deeds, contracts, accounts, vouchers and other documents of the Board as the Auditor-General may consider necessary for the purposes of the audit, and shall be furnished by the Board or its officers with such information within their knowledge as may be required for such purposes.

(7) For the purposes of this section, the expression “qualified auditor”* means any person who is registered as an auditor under the Companies Ordinance.!

(1) The Board shall, as soon as possible, after the end of each financial year of the Board, make to the Minister a report on the exercise and performance by the Board of its powers and duties during that year and on its policy and programme. The Minister shall lay a copy of such report before Parliament.

(2) The Board shall, on receipt of the Auditor-General’s report in each year, transmit to the Minister-

(3) The Minister shall lay copies of the report and statement referred to in subsection (2) before Parliament before the end of the year next following the financial year to which such report and statement of accounts relate.

(1) The Minister may, with the concurrence of the Minister in charge of the subject of Finance, make regulations for all or any of the following matters ;-

(2) No regulation made by the Minister under subsection (1) shall have effect until it has been approved by Parliament and published in the Gazette.

(1) Where any village area or any part of a village area is, by any Order under section 6(1), included in such part of an area of authority as forms an undeveloped area, that village area or that part of a village area is hereby excluded from the operation of the Village Councils Ordinance with effect from the date on which that Order comes into force, and the Village Council for any village area which is so excluded from the operation of that Ordinance is hereby dissolved with effect from the aforesaid date, notwithstanding anything in any other written law.

(2) All the property, rights, debts, liabilities and obligations of every Village Council dissolved by subsection (1) are hereby transferred to and vested in the Board with effect from the date of dissolution of that Village Council, and any such property which is immovable property of the State vested in that Village Council subject to any conditions shall be held by the Board subject to those conditions.

(3) Every by-law which has been or is deemed to have been made by any Village Council dissolved by subsection (1) and which is in force at the date of dissolution of that Village Council shall continue in force as though it were a by-law made by the Board under section 20 (3) (b) and may be amended or rescinded by by-law made by the Board under that section.

(4) Where only a part of a village area is, by virtue of subsection (1), excluded from the operation of the Village Councils Ordinance with effect from any date, every by-law which has been or is deemed to have been made by the Village Council for that village area and which is in force at that date shall continue in force in that part as though it were a by-law made by the Board under section 20 (3) (b) and may be amended or rescinded by by-law made by the Board under that section.

(1) In the discharge of its functions and the exercise of its powers the Board shall be subject to, and act in accordance with, such general or special directions as the Minister may, from time to time, issue.

(2) The Minister shall, in issuing directions under subsection (1) with regard to any matter affecting the functions of any other Minister,in consultation with that other Minister.

(1) Every member, officer and servant of the Board shall, when acting or purporting to act in pursuance of any of the provisions of this Act, be deemed to be public servants within the meaning of the Penal Code.

(2) The members, officers and servants of the Board shall, for the purposes of the Public Servants (Liabilities) Ordinance, be deemed to be public servants.

(3) The officers of the Board shall, for the purposes of paragraph (d) of section 8 of the Post Office Ordinance, be deemed to be officers of the public service.

(1) No suit or other legal proceeding shall lie against the Board for any damage caused, or likely to be caused, by any act which in good faith is done, or purported to be done, under this Act.

(2) No suit, prosecution or legal proceeding shall lie against any person in the employment of the Board for any act which in good faith is done or purported to be done, under this Act.

(1) Every person who contravenes any provision of this Act or of any by-law made by the Board under section 22 shall be guilty of an offence and shall, on conviction after summary 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 or to both such imprisonment and fine.

(2) No court shall take cognizance of any offence under subsection (1) except on a complaint by an officer of the Board who is authorized by the Board to make the complaint.