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Nauru Phosphate Royalties Trust (Amendment) Act 1997

REPUBLIC OF NAURU

NAURU PHOSPHATE ROYALTIES TRUST AMENDMENT ACT 1977
(No. 19 of 1997)

AN ACT

To amend the Nauru Phosphate Royalties Trust Act to provide for a limited release of principal to beneficiaries of the Nauruan Landowners Royalty Trust Fund and other purposes.

(Certified: 21/11/97)

BE IT ENACTED by the Parliament of Nauru as follows:-

SHORT TITLE

1. (1) This Act may be cited as the Nauru Phosphate Royalties Trust Amendment Act 1997.

(2) The Nauru Phosphate Royalties Trust Act 1968-1990 is in this Act called "the Principal Act".

(3) The Principal Act as amended by this Act may be cited as the Nauru Phosphate Royalties Trust Act 1968-1997.

AMENDMENT TO PRINCIPAL ACT

2. The Principal Act is, with effect from 1 June 1997, amended by substituting the following words for the words of sub-section (2) of section 19.

"In this section the expression "Ronwan Interest" means the aggregate business profits, dividends, interest and rents earned by the Fund in respect of each year ending on the 30^th day of June after deducting all provisions, costs and expenses necessarily and properly made or incurred in connection therewith and after taking into account any business losses incurred and any costs and expenses incurred by the Trust in accordance with section 32."

LIMITED WITHDRAWAL OF PRINCIPAL FROM RONWAN FUND

3. (1) Notwithstanding anything to the contrary in the Principal Act, after 1 November 1997, a beneficiary may by written direction to the Chairman of the Trust, direct the Trust to pay to the Bank of Nauru in satisfaction or part satisfaction of a debt due to the Bank by the beneficiary, being a debt incurred before 1 October 1997, part or all of the principal amount standing to the credit of the beneficiary in the Nauruan Landowners Royalty Trust Fund (hereinafter called "the Ronwan Fund") as at 30 June 1997.

(2) A direction must be accompanied by a letter or statement from the Bank of Nauru certifying the moneys then owing to the Bank by the beneficiary, and the amount if any, paid since 1 July 1997 to the Bank from Ronwan Interest pursuant to a change given by the beneficiary in accordance with section 19(7) of the Principal Act.

(3) Upon receipt of a direction and letter or statement from the Bank, the Trust shall pay to the Bank the amount stated in the direction or such lesser amount as may be standing to the credit of the beneficiary in the principal of the Ronwan Fund.

(4) If an amount of Ronwan Interest has, since 1 July 1997, been paid to the Bank of Nauru in accordance with a charge given by a beneficiary in accordance with section 19(7) of the Principal Act then if that beneficiary gives a written direction pursuant to subsection (1) of this section to pay an amount sufficient to repay the Bank all of the indebtedness of the beneficiary immediately after being credited with the amount paid pursuant to the charge plus any interest accrued to the Bank since such payment, the beneficiary may include in that direction a further amount being an amount not more than that paid to the Bank in accordance with the charge.

(5) This section shall expire and cease to have any effect on 30 June 1998 but such cessation and expiration shall not affect a direction delivered to the Trust before that date but not yet given effect.

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