Commission for the Management of Strategic Resources, National Reconstruction and Development Act, 1999 (No. 5 of 1999)

1. Interpretation PART II - ESTABLISHMENT OF COMMISSION

2. Establishment of Commission

3. Board of Directors

4. Remuneration of members of Board

5. Proceedings of Board

6. Disclosure of interest

7. Secretary to Board - FUNCTIONS OF COMMISSION PART III

8. Functions of Commission

9. Reports and records of Commission PART IV- EXPORT AND OTHER TRANSACTIONS IN GOLD AND DIAMOND

10. Commission to sanction exploitation or other transaction i~ gold and diamond

11. Export of gold and diamond.

12. Function of Minister etc., under Act No.5 of 1994 to continue PART V- FINANCIAL PROVISIONS

13. Funds of Commission

14. Special Treasury Account

15. Accounts and audit 6 • PART VI - STAFF OF,COMMISSION_

16. Appointment of Executive Directoranctother staff of Commission

17. Functions of Executive Dfrector 18. •Secondment of public officers PART VII - tAISC-EI.1.ANEOUS PROVISIONS

19. Common seal

20. Coft!mittee1 of Experts

21. Regulations SIGNED this '23rd day of July, 1999 ALHAJI AHMAD TE.JAN KABBAH, President. No. S 1999 Sierra Leone · The Commission Cu,- the Management of Strategic short title. Resources, NationalReconstniction and Development Act, 1999 Being an Act to estz blish a Commissi9n to secure and monitor the legitimate exploitation of Sierra Leone's' gol<l.and diamonds, and other resources that are determined to be ofstrategic importance for national security and welfare as well as to cater for post-1!ar_rehabilitatio~ and.reeonstruction,-as-providedlor under Article XXVIII ofthe Lome Peace Agreement. [23rd Juty.-1'99<JJ Daled'CoJ:r- meocement. 8 No. 5 The Commission for the Management of Strategic 1999 'Resources, National Reconstruction and Development Act PART I- PRELIMINARY

1. In this Act, unless the context otherwise requires- "Chainnan" means the Chairman of the Board referred to in subsection (2) of section 3; "Commission" means the Commission for the Management of Strategic Resources, National Reconstruction and Development established by section 2;· "Committee" means the Committee of Experts established by the Commission under section 20; ''Peace Agreement'' means the Peace Agreement signed between the Government of Sierra Leone and the Revolutionary United Front of Sierra Leone at Lome, Togo on 7th July, 1999; "Executive Director" means the Executive Director appointed under section 16; ''member" means a mernl?er of the Board; "RUF/SL" means the ~evolutionary United Front of Sierra L.,0ne or any political party replacing the same. PART II - ESTABLISHMENT OF COMMISSION Establishment 2. ( 1) There is hereby established a body to be known as the of Commission for the Management of Strategic Resources. National Commiuioo. RCC<A1Struction and Development (2) The Commission shall be a body corporate wi1:h perpetual succession and capable of acquiring, holding and disposing. of any property, whether movable or immovable, and, suing and being sued in its corporate name'and, subject to this Act, of performing all such acts as bodies corporate may by law perform. - · - - ~ -~-==-----------------111111111111111~~11!11!!111!!!111111111111111 Ml.~ Dte ,Commission/or the Management of Strategic. 1"9 9 ReM>llrc~s, Nati.anal Reconstruction and Development Act · 3. ( 1) ·The governing body of the Commission shall be a Board Board of in which is vested, subject to this Act; the control and supervision of the Directors. Commission. (2) The-Board shaU consist of a Chairman, at}d nine other members, all of whom shall ~ appointed by the President: Provided that the office of Chairman shall be offered to the Leader of the RUF/SL, Corporal Foday Sankoh. (3) The nine other members of the Board shall be the following: - (a) two members appointed by the President,. one of whom shall be the Executive Director referred to in • section 16; (b) two representatives of the political party to be formed • by the RUF/SL; • (c) three members elected by recognised civil society representatives; and (d) two representatives of other political parties appointed by Parliament. (4) The members of the Board, including the Chairman, shall hold office until the holding of the next general elections under the Constitution when they shall vacate office but the Chairman and the other members shall be eligible for reappointiitent by the President. (5) A member of the Board may resign his office by letter addressed to the nominating authority and may be removed from office for just cause by the President (6)In this section "nominating authority" in relation to a member cf the Board, .means th~ person or group of persons responsible for nominating or; as--th~ case may be, electing the member for. appointment to the Board. 10 Ne. 5 The Commission for_ the Manag·ement of Strategic , 1999 • Resources, National Reconstruction and Development Act Remuneration 4~ ·The Chairman and the other members shall be paid such of members of remuneration and allowances and be reimbursed for expenses incurred Board. in connection with the discharge of their functions as such, as the Commission, with the approval of the· Government may determine. Proceedings of 5. ( 1) The Board shall hold tts first meeting on such date and Board. at such place as the Government, after.consultation with the Board, may determine; and thereafter the Board shaU meet for the dispatch of business and adjourn, close and otherwise regulate its meetings and procedure as it thinks fit: Provided that the Board shall meet at least six times in a year. (2) An extraordin_ary meeting of the Board may be held at the request in writing of the Chairman and shall be held at the written request of one-third of the membership of the Board. (3) At any meeting of the Board where he is present, the Chairman shall preside and, in hi-s absence, the members present may elect one of their number to preside. (4) The quorum at a meeting of the BoanLs.h~ll be two- thirds of the membership of the Board. (5) Each member shall have one vote but in the case of an equality of votes, the Chairman shall have a casting vote. (6) All acts, matters or things authorized or required to be done by the Board shall be decided at a meeting where a quorum is present and the decision is supported by the votes of at least two-thirds of all the members, including the Chairman. (7) Any proposal circulated among all members and agreed • to in writing by a two~thirds majority of all member shall be of the same force or,effect as a decision made at a duly constituted meeting of the Board and shall be incorporated in the minutes of the next succeeding meeting of the Board: !3 No. 5 The Commission for the Management of Strategic 1999 11 l Resources, National Reconstruction and Development Act Provided that, if a member requires that such proposal be placed before a meeting of the Board, this subsection shall not apply to such proposal.

6. (1) Any member having a personal interest, whether Disotosure of pecuniary or otherwise, direct or indirect, in any contract of the interest: Commission or in any company or concern with which the Commission proposes to make any contract, shall disclose to the Board the fact of such interest and the nature thereof, and such di~closure -shall be recorded in the minutes of the Board, and such member shall take no part in any deliberation or decision of the Board relating to such contract. (2)Any contravention of subsection (1) on the part of a member shall constitute a just cause for the removal of the member from the Board and any illegal gain by him arising from the awa_rd of the contract shall be forfeited to the State.

7. The Comfi?.ission shall have a Secretary who shall be Secre- Secretary tc tary to the Board. the Board. PART III-FUNCTIONS OF COMMISSION

8. ( 1) Subject to the control by-Government of the exploitation Functi&ll of of gold, diamonds a~d other natural resources for the benefit of the Commissiqn people of Sierra Leone, the Commission is charged with the responsibility of securing and monitoring the legitimate exploitation of the gold, diamond and other resources of Sierra Leone determined to be of strategic importance for national security and welfare as well af catering for the post~war rehabilitation and reconstruction referred to in Article XXVIII pf the Peace Agreement. (2) Without prejudice to the generality of subsection (1), it shall be the responsi~lity of the Commission~ (a) to inform or bring to the attention of the Government '\DY· security lapses in any area covered by any mining licence and any area subject to the exploitation of gold and -diamond in order to enaJ:?le appropriate and necessary measures to be taken _·against. ~authorized exploitation; 12 No. 5 Tht Commission for the Management of Strategic 19'9 Resources,· National Reconstruction and Development Act • • (b) to authorize, for the purpose of the efport or local resale of. gold or diamond by the Government, a buying and seltin_g ~greement. with one or more reputable internationat specialized mineral companies; {c) to review, through the Committee established under · section 20, the management of any natural resource •of Sierra Leone, other than gold and diamond, in order to determine if its regulation is a matter of national security and welfare and, as required by clause 8 of Article VII of the Peace Agreement, to recommend appropriate policy to the Governmrnt; (d) subject to the National Commission for Relief, Rehabilitation and Reconstruction Act, 1996, to cater for the post-war rehabilitation and development of Sierra Leone~ and - (e) nothwithstanding anything contained in any other law, to ensure that the interests of the owners of land or the community in which the land which is subject to concessions or mining leases in gold or diamond are sufficiently protected; and (0 to do all such things as are necessary for the attainment of the objects of this section. Reports and 9. ( 1) The Commission shall, at the end of every three months, records of prepare a report of its activities, operations, undertakings, property and Commission. funding. (2) The report shall be submitted ,to the President who shall cause a copy to be tabled before Parliament (3) In addition to the report referred to under subsection ( 1), the ~ommission shall prepare and issue monthly reports, including the det:µls of all the transactions related to gold and diamonds, and other licences or concessions 0f natural resources and its own administrative costs. No. 5 The Commission for the Management of Strategic 1999 13 ReSOIU'Ces, Nati.onal Reconstruction and Develop~nt Act (4) • Every monthly report under subsection (3) shall be published as a Government Notice in the Gazette. (5) All ~greements and transactions of the Commission shall, in accordance with Article VII of the Peace Agreement, be subject to full public disclosure and recprds of all correspondence, negotiations, business transactions and any other matters related to exploitation, management, local or international marketing of any natural resources as well as other matters relating there to shall be public documents. - PART IV-EXPORT AND OTHER TRANSACTION IN GOLD AND DIAMONDS

10. (1) Notwithstanding anything to the contrary contained in Commission the Mines and Minerals Act, 1994 or any other law, as from the 21st to san_cti~n July, 1999, every mineral right in gold and diamond shall be subject to ~:~•tation or the sanction of the Commission. transaction in gold and (2) The Commission shall also recommend to Government diamo nd • the licensing of artisanal production of gold or diamond in accordance with the prevailing laws and regulations. (3)Every concession or mining lease relating to gold and diamond in existence immediately before 21st July, 1999 shall be reviewed by the Commission for the purpose of according it the sanction of the Commission. (4) The Commission shall declare void any concession or mining lease in gold and diamond in existence immediately before 21st July, 1999 if such· concession or mining lease is found to have been obtained by fraud or tainted with illegality or as being contrary to public policy or the general public interest. (5) The Commission shall publish in the Gazette any concession or mining lease in gold or diamond declared void under subsection (4) and shall inform the holder of the concession or mining lease accordingly and such holder shall be given the right to be heard. 14 No. 5 The Commission for the Managetttml o1· Strategic 1999 Resoutces, Natio:nal Reconstruction and Development Act·. {6) Any person aggrieved by any decisionin any hearing under su6sec.tion (5) may'appeal to the High Court. • (7) The Commi~sion shail, immediately upon the commencement of operations prescribc··l!y statutory iIJ.strument, the form and procedure for obtaining the sanetion of th.e ·ComID:i&sion referred to in subsection ( 1). Export of gold 11. ( 1) Every export of gold and diamond shat l be transxted bv nd and diamo • the Goyernment or its appointed agent. (2) The Minister responsible for mines shall, if necessary, seek the -assi~tance and cooperation of other governments and their instruments of law enforcement to detect and facilttate the prosecution of cases of unauthorized export or smuggling outside Sierra Leone of gold and diamond. Function-of 12. ( 1) Tbe functions of the Minister responsible for mines tvfinister-, ~- under the Mines and Minerals Act, 1994 or any other law, shall continue under Act No. :S-Qf ·1994 but without prejudice to the authority of the Commissjon in carrying out to-cQOtjnue. its functions in relation to the regulation of the exploitation of gold and diamond as an autonomous txxiy. (2} Any person who is in possession of any concession or miniJ)gJease in gold or diamond- (a) immediately before the 7th July, 1999, and (b) as from the commencement of this Act, sha.llcommence proq.iuction, in the case of paragraph (a), not later than twelve months from the 7th July, 1999, and in the case of paragraph (b), not later than twelve months from the date of the grant of the concession or mining-lease concerned: Provided that, in the case of lode mining of gold and the kimberlite mining of diamond, the time for the commencement of production in respect ofparagraobs (a) and (b), shall each be two years from 7th July, 1999 and from the commencement of this Act, respectively, unless, for good cause show,n, the time for the No. S The Commission for the M_0;nagement of Strategic tm 15 Resources, !{a#onal Reconstruction and Development Act commencement of prcxiuction is further extended by the Minister responsible for mines, upon the recommendation of the Commission. (~) Any concession or mining lease in respect of which producti,oh is not commenced within the periods specified in sub- section (2) s_hall be cancelled. PART V - ANANCIAL PROVISIONS

13. The operations and activities of the Commission shall be Funds of financed by a fund consisting of- Commission. (a) any moneys appropriated from time to time by Parliament for the purposes of the Commission; (b) any moneys accruing to the Commission in the course of its operations; and (c) in respect of its functions in relation to t1ie post-war rehabilitation and reconstruction, any moneys, assets or .other resources that may be placed at the disposal of the Commission by any person or authority as gift or donation.

14. ( 1) There is hereby established a Special Treasury Account Special into which shall be paid as public monies the proceeds from the Treasury • transactJ.ons o f Govemment m • goId and d.1amond s. Account• (2) The account shall be spent exclusiv~ly on the development of the people of Sierra Leone, with appropriations for public education, public health, infrastructural development and compensation for incapacitated war victims as well as post-war rehabilitation and reconstruction. with priority spending going to rural areas. (3) As public monies, appropriations from the Special Treasury Account shall be-administered by the Minister responsible for finance, subject to any directions that the President may give. All expenditures from that account shall be notified to Parliament quarterly. (4) The Minister responsible for finance shall lay on the • Table of Parliament at the end of every three months a report of all payments and expenditure out of the Special Treasury Account. t ; , I I ! l6 No.! _The Commissionfor;,the Managem}ntofftrategic 1999 Resources, National Reconstruction and Development Ac;t · · (5) In this section "'incapacitated war victim" me ns kny person suffering from physical disablement of such a degr e as to render him unable to cater for himself without assistance} ,~ ! Accounts and 15. (1) The Commission shall keep proper books of1account audit. and other records }n relation to the-activitie;s of the Cornjmis~ion and shall prepare in respect of each financial year of the Comrtjission a statement of accounts in a form designed to- (a) indicate monthly expenditures~ (b) provide data for up-to-date budget control Utlder its ma,nagement information system, if any, and (c) ensure correct use of the funds of the Commission. (2) The accounts of the Commission kept under subsection (1) shall be audited by the Auditor-General or an auditor appointed by him. (3) The statement of accounts and the audit reJJOlt thereon shaH be submitted to the President who shall a cause a copy to be-tabled before Parliament. PART VI-STAFF OF COMMISSION Appointment 16. ( 1) The Commission shall have an Executive Director of I:xecuti ve appointed by the President after consultation with the Commission and Di rector and other staff of upon such terms and conditions as the Commission shall determine, Commission. C:?) Subject to this Act, the management of the operations, undertakings and property of the Commission shall be vested in the Executive Director. (3) No person shall be appointed Executive Director llilless - he has proven know)edge and ability in administration, management of l}lines,._minerals . - ' and other national resources of Sierra Leone and the t:lelivery of humanitarian assistance and relief, together with such other requirements as the Commis~ion may determine. No. 5 , The Commission for the Management of Strategic 1999 17 i<.esources, National Reconstruction and Develo tit Act-,· (4) The ommi6sio~ may also,_subject to such terms and conditions as it shall etennine, appoint a Deputy Executive Director, such offieers and other staff as it considers necessary for the efficient performance of its functions-under ~his Act.

17. (1) It shall be the function of the Ex~utive Direct~r, subject Functions of to any directions from the Commission- Executive Director. ~) to ensure the proper implementation of the Commission's operations within the framework of operational plans approved by the Board. (b) manage the assets and funds, whether capital or otherwise, vested in the Commission; and (c) ensure the administration and development of the staff of the Commission, based on the terms ~nd conditions of employment and the personnel guidelines prescribed by the Commission. (2) For the efficient conduct of the day-to-day business of the Commission including its financial transactions, the Commission may delegate to the Executive Director such of its functions as are necessary for the purpose, including the power to administer all matters relating to the service and discipline of staff.

18. Public servants mav be seconded or otherwise render Secondmerµ, assistance to the Commission· .,but the Commission may request the :~~~ withdrawal of any such seconded staff who is unable to ~rry out assigned functions in a manner satisfactory to the Commission. PART VII-MISCELLANEOUS PROVISIONS

19. The Commission shall have a common s~al, the use of which Common seal. shall be authenticated by the signature of - 18 No. S The Commission for the Managemenl of Strategic . 1999 Resources, National Reconstruction and Development Act (a) the Chairman or other member of the Commission authorized either generally or specially by the Commission in that behalf;and (b) the Executive Director of the Commission. c'.ornmittee of 20. ( 1) The Commfssion shall have a Committee of Experts .to Experts, advise the Commission with regard to the Commission's f17nctions in relation to the determination and regulation ofstrategic natural resources. (2) The Committee shall be composed ot at least two members of the Board and three other persons co-opted from time to time by the Commission from among persons w~th expert knowledge about the exploitation and conservation of natural resources. - Regulations. 21. The Commission may make regulations prescribing anything required to be prescribed under this Act and, generally, for carrying out -or giving effect to this Act. Passed in Parliament this- 21st day of July, in the year of our Lord one thousand, nine hundred and ninety-nine. J. A. CARPENTER, Clerk of Parliament. Tms PRINTED IMPRESSION has been carefully compared by me with the Bill which has passed Parliament and found by me to be a true and correctly printed copy of the said Bill. J. A. CARPENTER Clerk of Parliament.