CROSS RIVER – LEASING OF CROSS RIVER – GOVERNMENT-OWNED ESTATES AND ENTERPRISES LAW
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CROSS RIVER STATE LAWS
CHAPTER L10
LEASING OF GOVERNMENT-OWNED ESTATES AND ENTERPRISES LAW
ARRANGEMENT OF SECTIONS
PART I
Establishment and Composition of Bureau
SECTION
- Establishment and composition of Bureau.
- Powers of Bureau.
3.
- Functions of Bureau.
- Power to impose or confer duties or powers on the Bureau.
6.
PART II
Appointment of Supervisory Committee
7.
- Functions of Committee.
PART III
Leasing of Government-Owned Estates and Enterprises
- Estates and enterprises.
- Estates and enterprises to operate as commercial venture.
- Tenure of lease.
PART IV
Establishment of Cocoa Estates Management Committee
12.
- Secretary.
- Function of Committee.
- Interpretation.
- Repeal of 1996 No. 3.
- Short title.
SCHEDULE
CHAPTER L10
LEASING OF GOVERNMENT-OWNED ESTATES AND ENTERPRISES LAW
(1st July, 1998)
[Commencement]
PART I
Establishment and Composition of Bureau
- Establishment and composition of Bureau
(1) There is hereby established for the purposes of leasing Government owned Estates, a Bureau known as the Lease Monitoring Bureau consisting of a Chairman and three other members all of whom shall be appointed by the Governor.
(2) The members of the Bureau shall be persons with proven integrity, detailed knowledge and wide experience in agriculture, business and commercial enterprises and shall be appointed on such terms and conditions as the Governor may determine.
(3) The members of the Bureau appointed by the Governor shall in the first instance hold office for four years commencing from the date of appointment.
- Powers of Bureau
(1) The Bureau shall—
(a) carry out periodic study, investigation and review of the State, operations and management of government-owned estates and enterprises to determine their viability;
(b) shall have right of access to all the records of any investor or entrepreneur to whom this Law applies to ascertain the extent of discharging his duties under this Law;
(c) may, by notice in writing served on any person in control of any estate or industry, require that person to supply information of a specific nature or produce documents which might assist the Committees reach a decision as to which estate or enterprise in the State is ailing and how best to deal with it;
(d) shall advise the Government on the desirability of leasing any estate or enterprise to a prospective entrepreneur and investor;
(e) shall do other acts and take such other measures as are necessary or incidental to the performance of its duties.
(2) It shall be the duty of any person required to furnish information or documents pursuant to paragraph (b) of subsection (1) of this section to comply with the notice within a reasonable time.
(3) The Bureau shall have a fee of 18% of total collections from the lessees as accruals for general running costs, emoluments, administrative costs, etc.
- (a) The Bureau shall carry out periodic study, investigation and review of the State of operations and management of Government-owned estates and enterprises not on lease to determine their viability;
(b) may, by notice in writing served on any person in control of any estate or industry, require that person to supply information of a specific nature or produce documents which might assist the Bureau to reach a decision as to which estate is ailing and how best to deal with it.
- Functions of Bureau
(1) The functions of the Bureau shall be—
(a) to act as agent of the lessor to ensure compliance by the lessees for their obligations under the lease agreement and report any case of non-compliance to Government through the Supervisory Committee;
(b) to serve as an audit institution to the lease exercise for which purpose the Bureau or their agent shall have unrestricted access to the books of accounts of lessees;
(c) to evolve a scheme which will underscore Government’s policy on leasing and preserve the rights and benefits of staff who may be affected as a consequence of the leasing exercise.
(2) Subject to the provisions of subsection (1) and subsection (2) of section (4) of this Law, the Bureau shall submit two reports on the activities of the lessees to the lessor as follows—
(a) quarterly report on the management of the estates and enterprises; and
(b) annual report on each of the leased estates or enterprises incorporating its comments on subject areas of focus in paragraphs (a), (b), (c), (d) and (e) or section 4 hereto.
- Power to impose or confer duties or powers on the Bureau
The Governor may, by order published in the Gazette impose such additional powers as in his opinion can conveniently be discharged or exercised by the Bureau along with the duties and powers imposed or conferred under this Law—
(a) to ensure that the incorporated status of the leased enterprise is guaranteed in terms of—
(i) preparation and rendering of quarterly accounts by the lessees;
(ii) prompt preparation and auditing of final accounts; and
(iii) filing of reports in the manner required by law;
(b) by itself or its agent authorised in that behalf in writing by the Bureau at all reasonable times between 8.00 a.m. to 6.00 p.m. in the day enter and inspect the leased estates and lessee as may be required in the discharge of its obligations under this Law;
(c) to ensure that rentals are paid as and when due;
(d) to ensure that Community grants are made, verified and reported to Government and also ensure smooth company-community relations in line with Government police on rural development;
(e) to ensure that assets of the leased estates and companies are properly insured, maintained and secured;
(f) to advise Government on and embark upon replanting and extension programmes;
(g) to ensure the welfare of all staff of the leased estates and companies;
(h) to ensure proper management by lessees of the agricultural estates and companies under lease;
(i) to verify all debts and other liabilities and draw up schedules for settlement by the lessees;
(j) to scrutinise and evaluate all proposals made or submitted by the lessees for investment and improvements;
(k) to determine the quality, managerial and technical skills or expertise of prospective entrepreneurs or investors.
- (1) Subject to subsection (4) of this section the Bureau may regulate its own procedure and perform its functions notwithstanding vacancy in its membership.
(2) The Chairman shall preside over all meetings of the Bureau.
(3) Where the office of the Chairman is vacant or the Chairman is unavoidably absent, the member who is next to the Chairman shall cover the duties of the Chairman.
(4) The Chairman and any other two members shall form a quorum.
(5) For the purpose of subsection (4) of this section the word “Chairman” includes any person who performs such duties in line with subsection (3) of section 6.
PART II
Appointment of Supervisory Committee
- (1) There is hereby for purpose of this Law appointed a body to be known as the Supervisory Committee.
(2) Membership of the Committee shall be drawn from the Commissioners representing Ministries of Justice, Agriculture, Water Resources and Rural Development, Industry, Business Development and Tourism and Finance and Economic Planning.
- Functions of Committee
The Committee shall—
(a) supervise the activities of the Lease Monitoring Bureau established under section 6 of this Law;
(b) receive reports on behalf of the Government from the Monitoring Bureau on a quarterly and annual basis on the activities of leases of each estate and enterprise; and
(c) study the reports and make its own brief summary and recommendations to the Governor.
PART III
Leasing of Government-Owned Estates and Enterprises
- Estates and enterprises
(1) The estates and enterprises listed in the Schedule to this Law shall be leased in accordance with the provisions of this Law.
(2) The Governor may at any time by order published in the Gazette alter, modify or amend the list of estates and enterprises in the Schedule.
- Estates and enterprises to operate as commercial venture
(1) All estate and enterprises leased under the provisions of this Law shall for the duration of such lease, have the power to operate as purely commercial ventures.
(2) Nothing in subsection (1) of this section shall affect the equity holding of Government in each of the estates of enterprises.
- Tenure of lease
(1) For the purpose of giving effect to the terms and conditions to be stipulated in a lease agreement, the tenure to be granted to each Lessees in the first instance shall not exceed ten years.
(2) The Bureau may, if it is of the opinion that a longer lease tenure shall enhance a more result-oriented and efficient management of the estates and industries by the lessees, review the tenure granted in subsection (1) from time to time.
PART IV
Establishment of Cocoa Estates Management Committee
- (1) For the purpose of management of the cocoa estates as contained in the Schedule to this Law, there is hereby established a committee known as the Cross River Cocoa Estate Management Committee.
(2) The Committee shall consist of a part-time Chairman and other three part-time members who shall be appointed by the Commissioner for Agriculture and shall hold office for four years.
- Secretary
(1) There shall be a Secretary to the Committee who shall be appointed from the Ministry of Agriculture by the Commissioner for Agriculture, Water Resources and Rural Development.
(2) Any person appointed as Secretary shall not be below the rank of Grade Level 10.
(3) The Secretary shall—
(a) record the proceedings of meetings of the Committee;
(b) keep custody of minutes of the Committee;
(c) carry out the correspondence of the Committee as the Committee or the Chairman may, from time to time direct.
- Function of Committee
(1) The Committee shall perform the following functions—
(a) the work closely with the head of the cocoa Development Unit who shall be responsible for day-to-day administration of the estates in accordance with policy decisions of the Committee;
(b) equitable allocation of plots to viable cocoa farmers;
(c) reclamation of Boje, Obrenyi and Iyamitet Cocoa farms;
(d) personally examine all existing agreements with lessees to ascertain validity of claims in respect of lease tenure and hectarage covered per lessee for further recommendation to the office of the Commissioner;
(e) reconciliation and rectification of all existing anomalies associated with existing allocations;
(f) appraisal of re-allocation conditions by the end of November, 1997.
- Interpretation
In this Law—
“Bureau” means Lease Monitoring Bureau;
“Chairman” means Chairman of the Committee;
“Committee” means the Cross River State Cocoa Estates Management Committee;
“enterprise” means the enterprises listed for leasing under the Schedule;
“estate” means agro-based establishments listed under the Schedule to this Law;
“functions” includes powers and duties;
“Gazette” means the Cross River State Government Gazette;
“Governor” means Governor of the State;
“Government” means the Government of Cross River State;
“leasing” means the granting of leases to or the renting out of estates and enterprises listed in the Schedule to this Law and excludes sales in any form or manner of any such estates or Enterprises;
“member” mean member of the Committee or Bureau;
“Monitoring Bureau” means the body responsible for the monitoring of the activities of the entrepreneurs and investors and the implementation of the policy objectives of the exercise;
“Secretary” means the Secretary to the Committee appointed under section 13 of this Law;
“Supervisory Committee” means the Committee charged with responsibility for supervising the activities of the Monitoring Committee.
- Repeal of 1996 No. 3
The Contract Leasing of Government-Owned Enterprises Law 1996 is hereby repealed.
- Short title.
This Law may be cited as the Leasing of Government-Owned Estates and Enterprises Law.
SCHEDULE
(A) AGRICULTURAL ESTATES
- Boki Oil Palm Estate;
- Calaro Oil Palm Estate;
- Ibiae Oil Palm Estate;
- Kwa Oil Palm Estate;
- Nsadop Oil Palm Estate;
- Akridam and Boam Rubber Estate including Cross River Estates Limited (CREL) Headquarters;
- Uwet Rubber Estate;
- Ikot Okpora Rubber Estate;
- Nko Rubber Estate;
- Uyanga Rubber Estate;
- Agoi Rubber Estate;
- Biakpan Rubber Estate;
- Oban rubber and Oil Palm Estate;
- Aboninta Cocoa Farms;
- Cross River Cocoa Farms;
- Abia/Bendeghe Cocoa Farms;
- Ikom Cocoa Estate.
(B) COMPANIES
- Calabar Veneer and Plywood Limited (CALVENPLY);
- Durafoam Industries Limited;
- Obudu Cattle Ranching Company Limited and Meat Processing Factory;
- Ogoja Rice Mills Limited;
- Polyrub Industries Limited;
- Interfruit Juice Company Limited.
(C) HOTELS
- Metropolitan Hotel, Calabar;
- Metropolitan Hotel, Ogoja;
- Metropolitan Hotel, Ikom.
CHAPTER L10
LEASING OF GOVERNMENT-OWNED ESTATES AND ENTERPRISES LAW
SUBSIDIARY LEGISLATION
No Subsidiary Legislation
