Seamen’s Welfare Fund

(1) The provisions of this Act shall apply to every Sri Lankan who signs Articles in Sri Lanka with a local or foreign shipowner, or agent of such shipowner as the case may be.

(2) Notwithstanding the provisions of subsection (1), this Act shall not apply to any seaman or the employee of such seaman both of whom contribute to a Government approved provident fund scheme.

(1) With effect from such date as the Minister may appoint by notification published in the Gazette there shall be established a Board called the Seamen’s Welfare Fund Board (hereinafter referred to as the ” Board “).

(2) The Board shall be a body corporate having perpetual succession and a common seal and may in its name and be sued.

(1) The Board shall consist of the following five members appointed by the Minister : –

(2) The Chairman of the Board shall be appointed by the Minister.

(3) The Minister may, if he thinks it expedient to do so, remove any member of the Board from office without assigning any reason therefor.

(4) A member of the Board who has been removed from office, shall not be eligible for reappointment as a member of the Board.

(5) A member of the Board may at any time resign his office by written communication addressed to the Minister.

(6) If the Chairman or any member of the Board is temporarily unable to discharge the duties of his office on account of ill-health or absence from Sri Lanka or any other cause, the Minister may appoint another person to act in his place.

(7) Every member of the Board shall, unless he earlier vacates office by death, resignation or removal, hold office for a period of three years. Any member of the Board who vacates office by effluxion of time shall be eligible for reappointment.

(8) If any member of the Board vacates his office prior to the expiration of his term of office, his successor shall, unless such successor vacates his office earlier, hold office for the unexpired portion of the term of office of the person whom he succeeds.

(9) No act or proceeding of the Board shall be invalid by reason only of the existence of any vacancy amongst its members or any irregularity in the appointment of a member thereof.

(10) The Board may by rules provide for the conduct of its business.

(a) to provide financial assistance to seamen or their dependants particularly in cases of sickness or death;

(b) to provide ex-gratia financial assistance to seamen who become invalid, disabled or otherwise prevented from working on a ship consequent to an accident while working on such ship ;

(c) to provide financial assistance to seamen who intend pursuing higher studies and who wish to improve their skills ;

(d) to provide financial assistance to seamen who may be stranded at foreign ports ;

(e) to provide scholarships to children of seamen who are disabled or have met with a fatal accident while on any vessel; and

(f) to do all such other acts or things as may be necessary for, or conducive to, the attainment of the objects specified in paragraphs (a), (b), (c), (d) and (e) of this section.

(a) shall receive all sums paid under this Act as contributions to the Fund and the income from the investment of moneys of the Fund and shall credit all such sums and income to the Fund ;

(b) shall have custody of the moneys of the Fund ,

(c) shall pay to the persons certified by the Board the benefits to which such persons are entitled under this Act;

(d) may invest such of the moneys of the Fund as are not immediately required for the purposes of this Act in such shares or securities as the Board may consider fit and may sell such shares and securities ;

(e) shall maintain a general account in respect of the Fund ;

(f) shall cause the books of accounts relating to the Fund to be balanced as on the thirty-first day of December of such year ;

(g) shall cause to be prepared in respect of the Fund for each year, a statement of receipts and payments, a statement, of income and expenditure a statement of assets and liabilities and a statement of investments showing the face value, purchase price and market value of each of the investments;

(h) shall transmit to the Minister a copy of each of the statements prepared under paragraph (g) in respect of each year before the thirtieth day of September of the succeeding year ;

(i) shall deduct from the income of the investments of moneys of the Fund in respect of each year, the expenses incurred in that year by the Board in carrying out and giving effect to the provisions of this Act;

(j) may receive grants, gifts or donations in cash or otherwise whether from local or foreign sources ;

(k) may acquire, hold, take or give on lease or hire, mortgage, pledge and sell or otherwise dispose of any movable or immovable property ;

(l) may appoint such officers and servants as may be required by the Board for exercising its powers, performing its duties and discharging its functions under this Act.

(1) The financial year of the Board shall be the calendar year.

(2) The Board shall cause proper books of accounts to be kept of the income and expenditure, assets and liabilities and all other transactions of the Board.

(3) The provisions of Article 154 of the Constitution relating to auditing of accounts shall apply in relation to the audit of the accounts of the Board.

(1) The Fund shall be exempt from any income tax or wealth tax payable under the Inland Revenue Act, No. 28 of 1979.

(2) Where any person makes a gift to the Fund he shall be exempt from the payment of gifts tax under the Inland Revenue Act, No. 28 of 1979 to the extent of the total value of the gift.

(3) Where any person makes a donation to the Fund such donation shall be deemed to be an approved expenditure for the purposes of the Inland Revenue Act, No. 28 of 1979, and the donor shall be entitled to relief under that Act in respect of the total value of such donation.

(4) The provisions of this section shall have effect notwithstanding anything to the contrary in the Inland Revenue Act, No. 28 of 1979.

(1) Where a seaman first becomes liable under subsection (1) of section 13 to pay contributions to the Fund, he shall become a member of the Fund and continue to be a member of the Fund.

(2) Neither a member of the Fund nor any person claiming under him shall have any interest in, or claim to, the moneys of the Fund otherwise than by virtue of any of the provisions of this Act or of any regulation made thereunder.

(1) A seaman to whom this Act applies, shall, in respect of each month during which he works in an ocean going vessel, be liable to pay to the Fund a contribution of an amount equal to two per centum of his total earnings excluding his overtime earnings during that month.

(2) The employer of every seaman to whom this Act applies and who is liable to pay contributions to the Fund, shall, in respect of each month during which such seaman is employed under such employer, be liable to pay to the Fund before the last day of the succeeding month, a contribution of an amount equal to three per centum of such seaman’s total earnings excluding his overtime earnings during that month.

(a) received by the Board by way of contributions from seamen and the employers of such seamen ;

(b) received by the Board by way of loans, donations, gifts or grants from any source whatsoever whether in or outside Sri Lanka;

(c) received by the Board by way of income from investments.

(1) The Board in carrying out the objects specified in section 7 and in assessing the amount to be paid out of the Fund shall provide financial assistance that is reasonable, having regard to all the matters stated in the application submitted by each seaman.

(2) The amount assessed by the Board shall thereafter as expeditiously as possible, be paid to the seaman who made the application, or, if he is dead, to his heirs, administrators or assigns.

(a) where such contribution is in arrear for a period not exceeding one month, a surcharge of ten per centum of the amount of such contribution;

(b) where such contribution is in arrear for a period exceeding one month but not exceeding three months, a surcharge of fifteen per centum of the amount of such contribution;

(c) where such contribution is in arrear for a period exceeding three months but not exceeding six months, a surcharge of twenty per centum of the amount of such contribution ; and

(d) where such contribution is in arrear for a period exceeding six months, a surcharge of twenty-five ‘per centum of the amount of such contribution.

(1) The Board shall appoint such officers and servants as it considers necessary for the efficient discharge of its functions.

(2) The officers and servants appointed under subsection (1) shall be remunerated in such manner and at such rates and shall be subject to such conditions of service as may be determined by the Board.

(3) At the request of the Board, any officer in the public service may, with the consent of that officer and the Secretary to the Ministry of the Minister in charge of the subject of Public Administration, be temporarily appointed to the staff of the Board for such period as may be determined by the Board with like consent, or be permanently appointed to such staff.

(4) Where any officer in the public service is temporarily appointed to the staff of the Board, the provisions of sub section (2) of section 13 of the Transport Board Law, No. 19 of 1978, shall, mutatis mutandis, apply to and in relation to him.

(5) Where any officer of the public service is permanently appointed to the staff of the Board, the provisions of sub section (3) of section 13 of the Transport Board Law, No. 19 of 1978. shall, mutatis mutandis, apply to and in relation to him.

(6) Where the Board employs any person who has agreed to serve the Government for a specified period, any period of service to the Board by that person shall be regarded as service to the Government for the purpose of discharging the obligations of such agreement.

(7) At the request of the Board any member of the Local Government Service or any other officer or servant of a local authority, may, with the consent of such member, officer or servant and the Local Government Service Advisory Board, or the local authority, as the case may be, be temporarily appointed to the staff of the Board for such period as may be determined by the Board with like consent or be permanently appointed to such staff on such terms and conditions including those relating to pension or provident fund rights as may be agreed upon by the Board and the Local Government Service Advisory Board or that local authority, as the case may be.

(8) At the request of the Board any officer or servant of a public corporation may, with the consent of such officer or servant, and the governing body of the public corporation be temporarily appointed to the staff of the Board for such period as may be determined by the Board with like consent, or be permanently appointed to such staff on such terms and conditions including those relating to pension or provident fund rights, as may be agreed upon by the Board and the said public corporation.

(9) Where any person, is temporarily appointed to the staff of the Board in pursuance of subsection (7) or subsection (8), such person shall be subject to the same disciplinary control as any other member of such staff.

(1) The Minister may give special or general directions in writing as to the performance of the duties and the exercise of the powers of the Board, and the Board shall give effect to such directions.

(2) The Minister may from time to time direct the Board to furnish to him in writing such information as he may require relating to the work of the Board.

(1) No suit or prosecution shall lie –

(2) Any expense incurred by such person as is referred to in subsection (1) in any suit or prosecution brought against him before any court in respect of any act which is done by him under the Act or on the direction of the Board, shall, if the court holds that the act was done in good faith, be paid out of the Fund.

(a) contravences any of the provisions of this Act or any regulation made there under; or

(b) furnishes for the purposes of this Act any information which is, or any document the contents of which are, or any part of the contents of which is, to his knowledge, untrue or incorrect,

(1) The Minister may make regulations in respect of any matter in respect of which regulations are authorized by this Act to be made or required by the Act to be prescribed.

(2) Every regulation made under subsection (1) shall be published in the Gazette and shall come into operation on the date of such publication or on such later date as may be specified in the regulation.

(3) Every regulation made under subsection (1) shall, as soon as convenient after its publication in the Gazette be brought before Parliament for approval and any regulation which is not so approved shall be deemed to be rescinded as from the date of such disapproval but without prejudice to anything previously done thereunder.

(4) The date on which any regulation shall be deemed to be so rescinded shall be published in the Gazette.