ARRANGEMENT OF SECTIONS
1. Short title.
DISTRICT DEVELOPMENT CORPORATIONS
3. Local authorities to establish District Development Corporations.
4. Shareholding in District Development Corporations.
5. Power of District Development Corporations.
6. Establishment of District Corporations
7. Appointment of General Manager and other employees of a District Development Corporation.
8. Salaries, etc., to be paid out of a District Development Corporation's funds.
9. Annual report.
10. Local government authority may give directions.
11. Establishment of office.
13. Accounts and audit.
DISSOLUTION OF DISTRICT DEVELOPMENT CORPORATIONS
14. Power of local government authority to dissolve District Development Corporations.
15. Rights of shareholders.
16. Employees of District Development Corporations.
REGIONAL DEVELOPMENT CORPORATIONS AND REORGANISATION OF DISTRICT DEVELOPMENT CORPORATIONS
17. Minister may establish Regional Development Corporations.
18. Shareholding in Regional Development Corporations.
19. Application of the other provisions of this Act.
20. Power to reorganise District Development Corporations.
21. Delegation of Powers.
23. Local government authority may make consequential provisions.
24. Consequential and transitional provisions and vesting of shares.
THE DISTRICT DEVELOPMENT CORPORATIONS ACT
An Act to confer upon the Minister power to establish District Development Corporations, to provide for the functions of District Development Corporations, and for related matters.
[8th March, 1974]
[G.N. No. 64 of 1974]
16 of 1973
18 of 1978
3 of 1986
6 of 1999
PRELIMINARY PROVISIONS (ss 1-2)
This Act may be cited as the District Development Corporations Act.
(1) In this Act, unless the context otherwise requires–
"district" means all the area which is wholly within the jurisdiction of a local authority;
"District Corporation" means any public corporation established for any district, or any two or more districts, by an order made under section 3;
"District Development Corporation" means any company registered under the Companies Act * to carry on business of any description within the jurisdiction of a local authority and–
(a) the whole or any part of the share capital of which is vested in a local authority; or
(b) the management of which is vested in a local authority;
"local authority" means a district authority established under the Local Government (District Authorities) Act *, or an urban authority established under the Local Government Urban Authorities) Act *.
"Minister" means the minister for the time being responsible for regional administration and local government.
(2) A District Development Corporation shall be deemed to be carrying on business within a district if its principal place of business is within the district or if such business is being predominantly carried on within the district or notwithstanding that such Corporation carries on any ancillary or incidental business in any other district or districts.
DISTRICT DEVELOPMENT CORPORATIONS (ss 3-13)
(1) A local government authority or two or more local government authorities may, by instrument establish a district development corporation for the carrying on of the commercial or industrial activity or enterprise which may be specified in the establishment instrument.
(2) Every District Development Corporation established by an order made under this section shall–
(a) be known as the District Development Corporation of the district or districts for which it is established, or by such other name as the Minister may direct, and shall have perpetual succession and common seal;
(b) in its corporate name, be capable of suing and being sued;
(c) subject to the provisions of this Act, be capable of holding purchasing or otherwise acquiring, and disposing of, any property, movable or immovable, for the purposes of carrying out the functions conferred upon it by or under this Act or any other written law.
(3) Every order made under this section establishing a District Development Corporation shall specify the district or districts for which it is established and the functions of the Corporation.
Where a District Development Corporation is established under section 3, the local authority of the district or local authorities of the districts for which the Corporation is established shall subscribe for all the shares of the Corporation.
(1) Every District Development Corporation established under this Act shall have the power, for the purpose of carrying out its functions, to do all such acts and things as appear to be necessary, advantageous or convenient for or in connection with the proper discharge of those functions or to be incidental or conducive to such discharge, and may, with the approval of the Minister, carry on any activity in that behalf in association with the Government, a local authority, another District Development Corporation, a co-operative society or any other person or body of persons.
(2) The Minister may, by order published in the Gazette, confer upon a District Development Corporation powers additional to the powers conferred upon it by this section, and any such order may prescribe restrictions, limitations or conditions subject to which such additional powers may be exercised.
(3) Every District Development Corporation shall have the power, with the consent and subject to the directions of the Minister, to borrow money for the purpose of the carrying out of its functions:
Provided that the person lending money to a District Development Corporation shall not be required or bound to enquire whether such consent has been given or any such direction has been complied with.
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