Cooperative and Rural Development Bank Act (Repeal and Transitional Provisions) Act (No. 5 of 1996)

1. Short title and commencement.

2. Interpretation.

3. Establishmentofthecompany.

4. Objects and functions of the Bank. S. Transitional Period.

6. Provisions re1Jarding the former Bank Employees.

7. Repeal of Act No. 7of 1971. 1 No.5 Coop. anti Rural Dev. (Repeal and Tra11si1io11al Pmvisions) 1996 3 THE UNITED REPUBLIC OF TANZANIA No. 5 OF 1996 An Act to repeal the Cooperative and Rural Development Bank Act and to provide for the transitional period [ .......................................... 1 ENACTED by the Parliament of the United Republic of Tanzania.

1. This Act may be cited as the Cooperative and Rural Development Short title ::t Bank Act (Repeal and Transitional Provisions) Act, 1996 and shall <,:ome and com- into operation on the 1st day of July, 1996.

2. In this Act unless the context requires otherwise- Interpre- tation "assets" means real and personal property of every kind including- (a) rights under contract and agreement; (b) bQoks, books of accounts and records; (c) all other rights. interest and claims in or to, real or personal property, whether liquidated or unliquidated, certain or contin- gent. accrued or accruing; "the Bank" means the Cooperative and Rural Development Bank; "Company" means the company incorporated under the provisions of section 3; "liabilities" means all obligations under contract or agreement including savings and deposits of all kinds; "Minister" means the Minister for the time being responsible for finance; "transition period" means a period of not less than six months commenc- ing from the effective date. 4 No. S • Coog. aml Rural Dev. (Repeal and Transitional Prm·i~ions> 1996 ·Establish• 3.-(1) The Minister shall not later than the 1st day of July·. 1996, ment of cause to be incorporated subject t()Jhis Act, a company to be known the Com- pany as the Cooperative and Rural Dev~topment Bank (1996) Limited or CRDB 1996 LI1nited. (2) The Company shall be \t b9dy corporate :and shall- (a) ha'{e perpetual suscession and a oommon seal; (b) in its corporate name be capable of suing and being sued; (c) be capable of purcha_sing and otherwise acquiring or alienating any movable or immovable property; (d) have power from time. to time exercise and perform any other powers and functions which are conferred by or under this Act or other written Law. • (3) The Company shaH, with effect from the 1st day of July, 1996 subject t~ this Act, take over the assets, liabilities and business of the Bankin relation 10 cooperative and rural development banking services. (4) The assets, rights and liabilities in respect of banking services to which the Bank was entitled or· subject to shall, with effect from the effective date be vested into the company in accordance with the provi- sions of this Act. Tr1t11si• 4. The objects of the bank shall be- tional period (a) io make available long and medium term finance for rural de- velopment; • (b) to provide technical assistance and advice for the purpose of promoting rural development; • (c) to undertake such other activities as may be necessary or advan- tageous for the purpose of furthering the foregoing objects. Provisions 5. There ·shall be a transitional period of not more than six months regarding the for- within which, subject to this Act, all necessary measures shall be t'aken mer Banlt to facilitate the winding up of the affairs and business of the Bank and Emp- the effectual transfer and vesting of its assets and liablities. loyees o.-(1) Subject to this Acts, the employees of the Bank shall with effect from the effective date be transferred to and be employed by the company. (2) With effect from the effective date every employee transferred from the Bank shall be employed by the new employer on terms not less favourable than those applicable to him before his transfer. '· (3) Until such time as new schemes and terms and conditions of service are drawn up by the company the schemes a~ terms and condi- tions of service in the Bank shall continue ,to· apply to every person transferred under subsection (1) to the service of the company as if the was still in the service of the Bank. No:5 Coop. and Rural Dev. (Repeal and 'fransitional Provisions) 1996. s· (4) Where any person who is transferred to the service of the Company under subsectioin (1) is a member of any statutory or voluntary p~nsion scheme or provident. fund he shall for the purposes -of this Act continue to be governed by the same regulations under those schemes or funds as if he had not been transferred to the service of the company and for the purposes of the regulations governing those scheme, his or her service with the company shall be deemed to be service of the Bank. (5) The Company shall continue to be liable to former employees of the Bank or its predecessors, who have retired on or before the first day of July, 1996 for any pension benefits payable which they are entitled to under the regulations of those pension schemes. Repeal of 7. The Cooperative and Rural Development Bank Act, 1971 is hereby Act No. 7 repealed. of 1971 Passed in the National Assembly on the 18th April, 1996. . t ........ ( e,r o . 1 nal Assembly Printed by the Government Printer, Dur es S11luum-Tunzuniu