Local Councils (Financial) (Amendment) Regulations, 2006

L.N. 22 of 2006

LOCAL COUNCILS ACT

(CAP. 363)

Local Councils (Financial) (Amendment) Regulations, 2006

IN exercise of the powers conferred by articles 67 and 72 of the

Local Councils Act, the Deputy Prime Minister and Minister for Justice

and Home Affairs in concurrence with the Prime Minister and Minister

of Finance, has made the following regulations>-

The title of these regulations is the Local Councils (Financial) Title.

(Amendment) Regulations, 2006 and shall be read and construed as

one with the Local Councils (Financial) Regulations hereinafter referred L.N. 155 of 1993.

to as “the principal regulations”.

In regulation 2 of the principal regulations immediately after Amends regulation

the definition “Council property” there shall be inserted the following 2 regulations.

new definition>

“ “the Director” means the Director responsible for Local

Government<”.

Regulation 5 of the principal regulations shall be amended as Amends regulation

5 of the principal

follows>-

regulations.

(a) in sub-regulation (4) thereof, immediately after the words

“board appointed under the Inquiries Act” there shall be added

the words “or the entity appointed by the Minister by virtue of

sub-regulation (2)(c ) above,”< and

(b) immediately after sub-regulation (5) thereof, there shall

be added the following new sub-regulations>-

“(6) Without prejudice to the foregoing provisions of

this regulation, where it results from the written report

mentioned in sub-regulation (4) hereof, or when it appears to

the Auditor General from any audit or inspection made by

Local Government auditors, or where it appears to the Director

from any investigations or inspections made, that –

(a) any payment has been made by any officer of

a Local Council, which payment is refused by the

Council< or

(b) there has been any fraud or misappropriation

of funds, or of property both movable or immovable,

belonging to Local Councils< or

(c) any Executive Secretary or other person has

wilfully or negligently omitted to collect or receive any

monies, or that any monies collected or received have

not been duly credited to the revenue account, or such

monies have not been duly accounted for, then if within

a period to be specified by the Director, in cases where

any of the occurrences mentioned in paragraphs (a) to

(c) above result from>

(i) the written report mentioned in sub-

regulation (4) hereof< or

(ii) any audit or inspection made by Local

Government auditors< or

(iii) any investigation made or other

investigations made which have come to the

Director’s knowledge,

and where a proper explanation is not furnished to the

satisfaction of the said Director requesting the said

information, with regard to any such deficiency, or loss,

or improper payment, or payment not duly vouched for,

or certified correct, or fraud or misappropriation, then

the Director shall take the necessary action against the

person responsible for the said deficiency, or loss, or

improper payment, or payment not duly vouched for, or

certified correct, for the recovery from such person of

the amount of any such deficiency, or loss, or improper

payment, or payment not duly vouched for, or certified

correct, misappropriated funds or fraud>

Provided that in the case of fraud or

misappropriation action shall only be taken against such

person found guilty by the competent court.

(7) Where such action mentioned in sub-regulation (6)

above is deemed necessary, the said amount shall be a civil

debt due to Central Government from any person responsible

as aforesaid and such amount may be recovered by the

Director by action in the competent court.”.

Mitbug[ fl-Istamperija tal-Gvern — Printed at the Government Printing Press