Constitution and powers of the Commonwealth Development Corporation

1 Constitution of the Commonwealth Development Corporation.

(1)

There shall continue to be a body corporate called the Commonwealth Development Corporation.

F1(2)

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F1(3)

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F1(4)

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2 Purpose and powers of Corporation.

(1)

The purpose of the Corporation shall be to assist overseas countries, in accordance with the provisions of this Act, in the development of their economies.

(2)

For the purpose mentioned in subsection (1) above, the Corporation shall have power, subject to the following provisions of this section and to sections 3 and 4 below,—

F2(a)

to investigate and formulate projects for the creation, promotion, expansion, reorganisation or rationalisation in overseas countries of enterprises falling within section 3(1) below, and to carry out such projects;

(b)

to carry on undertakings in overseas countries which appear to the Corporation to be needed for or in connection with the creation, promotion, expansion, reorganisation or rationalisation in those or other overseas countries of enterprises falling within section 3(1) below;

(ba)

to investigate, formulate and carry out projects, or to make investments, for the encouragement, stimulation or development of capital or other financial markets in overseas countries;

(bb)

to provide consultancy services;

(c)

to carry on any activities—

(i)

which are incidental to the performance of any functions which the Corporation is empowered to perform by virtue of any of paragraphs (a) to (bb) above; and

(ii)

which appear to the Corporation to be requisite, advantageous or convenient for or in connection with the performance of any such functions;

(d)

to assist other bodies or persons, either financially or in any other way, to perform any functions which the Corporation is empowered to perform by virtue of any of paragraphs (a) to (c) above; and

(e)

to establish or expand, or promote the establishment or expansion of, other bodies to carry on (either under the control or partial control of the Corporation or independently) F3any functions which the Corporation is empowered to perform by virtue of any of paragraphs (a) to (d) above or to assist the Corporation to perform any of those functions.

(3)

Any power conferred on the Corporation by subsection (2) above may be exercised by it either alone or in association with other bodies or persons, or as managing agent or otherwise on behalf of other bodies or persons F4; and the power conferred by paragraph (d) of that subsection to give assistance may be exercised indirectly by giving assistance to a body which will in turn assist other bodies or persons to perform any of the functions mentioned in that paragraph.

F5(3A)

The Corporation shall have power to do anything which it considers necessary or expedient for the purposes of, or for purposes related to—

(a)

the provisions of the Commonwealth Development Corporation Act 1999,

(b)

the operation of the Corporation after registration, or

(c)

the listing, sale or issue of securities after registration by the Corporation or a company associated with it.

(3B)

Expressions used in subsection (3A) and in the 1999 Act have the same meaning in that subsection as in that Act.

(4)

The Minister may give directions to the Corporation requiring it to obtain his approval, in such cases as may be specified in the directions, before performing functions in or in relation to an overseas country which is not a dependent territory; and the Minister may give his approval under this subsection subject to such conditions as he thinks fit.

3 Enterprises to which powers of Corporation relate.

(1)

The enterprises referred to in section 2(2) above are those falling within one or more of the following classes, namely,—

(a)

agricultural enterprises, including any enterprise concerned with the livestock industry, with horticulture, or with forestry;

(b)

enterprises concerned with fisheries, including any enterprise relating to the taking of marine mammals;

(c)

enterprises for the working or getting of minerals;

(d)

industrial enterprises;

(e)

enterprises for providing, maintaining or improving the supply of water, electricity or gas;

(f)

enterprises for providing, maintaining or improving transport facilities or transport services, or for providing, maintaining or improving telegraph or telephone services, including wireless services other than broadcasting, but not including broadcast relay services;

(g)

enterprises for the provision or improvement of houses or other dwellings;

(h)

enterprises for the keeping of hotels;

(i)

enterprises for processing, storing or marketing any products of one or more enterprises falling within any of paragraphs (a) to (h) above;

(j)

enterprises for the carrying out of building, engineering or other operations in, on, over or under land.

(2)

In subsection (1) above—

(a)

in paragraph (c), the expression “minerals” includes any substance in or under land of a kind ordinarily worked for removal by underground or by surface working; and

(b)

in paragraph (f), the expression “transport” means transport by land, water or air, and the reference to transport facilities includes roads, bridges, railways, waterways, and other installations for use in connection with transport by land, water or air.

(3)

If it appears to the Minister to be expedient to add to the classes of enterprises specified in subsection (1) above he may, with the consent of the Treasury, by order direct that that subsection shall have effect with the addition of such class or classes of enterprises as may be specified in the order.

(4)

An order under subsection (3) above may be revoked or varied by a subsequent order under that subsection.

(5)

The power to make orders under subsection (3) above shall be exercisable by statutory instrument, and an instrument containing an order under that subsection shall be subject to annulment in pursuance of a resolution of either House of Parliament.

4 Provisions supplemental to ss. 2 and 3.

(1)

Notwithstanding anything in subsections (2) and (3) of section 2 above, the Corporation shall not have power to investigate, formulate or carry out, or to give financial assistance to any other body or person for the investigation, formulation or carrying out of, any project for providing schools, colleges, hospitals, government offices, or other buildings or works for the public service, except—

(a)

in the course of carrying on, or, as the case may be, in the course of the carrying on by the other body or person of, an undertaking as a building or engineering contractor; or

(b)

in connection with an enterprise falling within any of paragraphs (a) to (i) of section 3(1) above.

(2)

For the purposes of sections 2 and 3 above and this section, any such enterprise as is mentioned in section 3(1)(b) above which is carried on wholly or mainly from a base in an overseas country shall be deemed to be an enterprise in that country.

(3)

In relation to any project for F6creating, promoting, expanding, reorganising or rationalising an enterprise falling within section 3(1)(f) above, where—

(a)

the facilities or services in question are, or will be, for purposes of communication with an overseas country, but are, or will be, located or carried on wholly or partly outside that country; and

(b)

one of the conditions specified in subsection (4) below is fulfilled,

the provisions of subsections (2) and (3) of section 2 above shall apply as those provisions would apply if the facilities or services were wholly within that overseas country.

(4)

The conditions referred to in subsection (3) above are as follows, namely—

(a)

that the overseas country mentioned in paragraph (a) of that subsection is one in or in relation to which the Corporation is entitled to perform functions without or in consequence of the Minister’s approval and the facilities or services are or will be wholly for communication between that country and one or more other overseas countries in or in relation to which the Corporation is so entitled; or

(b)

that the project mentioned in that subsection is approved by the Minister for the purposes of that subsection.

(5)

In section 2 above and in this section—

(a)

references to the giving of financial assistance are references to the giving of such assistance by the taking up of share or loan capital, or by grant, loan or otherwise;

F7(aa)

references to the reorganisation of enterprises include references to the corporate or financial reconstruction of enterprises; and

(b)

any reference to bodies or persons includes a reference to government authorities.