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State Pre-Emptive Right of Purchase Act 2001

REPUBLIC OF KIRIBATI
(No. 12 of 2001)

I assent,

(Signed: T. Tito)

Beretitenti.
14/01/2002

AN ACT TO AFFORD KIRIBATI A PRE-EMPTIVE RIGHT TO PURCHASE
CERTAIN LAND FOR LAND PLANNING PURPOSES

Commencement:
01/01/2002


MADE by the Maneaba ni Maungatabu and assented to by the Beretitenti.


Short title and commencement

1. (1) This Act may be cited as the State Pre-Emptive Right of Purchase Act 2001.

(2) This Act shall come into operation on such date as the Beretitenti, acting in accordance with the advice of the Cabinet may, by notice, appoint.

Interpretation

2. In this Act, unless the context otherwise requires –

"land" means –

(a) any of the lands described in Schedule 1, and any alienable interest therein; and any reference to land refers only to such land or interest, and it also includes any other land on Tabuaeran (Fanning Island) and Teraina (Washington Island) which was given to settlers to occupy under deed or licence during the period 1988 to 1992; and

(b) the Beretitenti, acting in accordance with the advice of the Cabinet may, by order, from time to time, but only within 12 months of the coming into operation of this Act, amend Schedule 1 by adding only the particulars of lands situated in Tabuaeran, Teraina and Kiritimati to which this Act shall apply;

"owner" means any one or more of the owners of any land, their agents, successors or assigns; and

"State" means the Republic of Kiribati.

Right of purchase pre-emption

3. Upon the coming into operation of this Act no land may be alienated –

(a) to any person not among the next-of-kin of the transferring owner; or

(b) to any other person whether or not for valuable consideration,


without first providing an opportunity to the State, in accordance with the procedures provided under sections 4 and 5 to acquire such land.

Exercise of the right

4. (1) No owner shall –

(a) unconditionally accept an offer to purchase land; or

(b) cause an alienation governed by section 3 to be effected,

without first providing notice to the State in a form set out in Schedule 2.

(2) Where an owner proposes to enter into a transaction to which this Act applies such owner shall deliver a written notice in a form set out in Schedule 2 to the State through the Office of the Director of Lands, Bairiki.

(3) The notice under subsection (2) shall be in substantial compliance with the form set out in Schedule 2.

(4) Where the State elects to exercise its rights under this Act, the State shall give written notice as follows –
(a) within 21 clear days of the date of delivery of the notice referred to in subsection (3); or
(b) within the period ending the day before the last day for the owner’s accepting the offer under subsection (1), pursuant to its terms;

whichever is later.

(5) The notice to be issued by the State under subsection (4) –
(a) shall be delivered in the quickest manner for physical delivery of messages in accordance with the address provided for in Schedule 2; and
(b) shall be deemed to have been delivered to the addressees accordingly on the date that it is sent.

Purchase by the State


5. (1) A purchase by the State pursuant to section 4(4) shall be on terms no less favourable to the owner than those available on the transaction described in section 4(2).

(2) In exercise of its pre-emption the State may, without affecting the efficacy of its election –

(a) notify the owner of; and

(b) complete the pre-emption on,

such reasonable adjustment of the time for payment terms, as accords with the current administrative processes for payment of Government liabilities.


(3) In completing the pre-emptive purchase, any payment by the State later than the date for payment in the subsection (2), shall bear interest at the rate paid by the Bank of Kiribati, or its successor, on 30 day investments, or their next closest equivalent investment instrument.

Offences

6. (1) Any person who deliberately, by any means –

(a) perverts;

(b) circumvents; or

(c) renders artificially more costly,


the exercise by the State of its rights under this Act, commits an offence and shall be liable on conviction to a fine not exceeding $5000 or imprisonment for a term not exceeding 5 years or both.

(2) The owner and any person claiming an interest in the land derived through criminal conduct shall, on the application of the State to the High Court, in addition to any criminal sanction imposed, forfeit their interest in the land to the State.

(3) Where there is more than one owner of land subject to forfeiture under subsection (2), on an application under subsection (2) the High Court may, where the order of forfeiture has the effect of leaving an interest in the land in private ownership -

(a) direct that the State may exercise an option to purchase the interest on payment of such reasonable compensation as to the court appears just; and

(b) direct that in no event shall such compensation, excluding costs, be greater than -

(i) the commercial or market value of that land considered as a unit; and

(ii) minus the proportionate share of that value owned, or to be owned by the State under subsection (2).


Claims for compensation if any

7. (1) Any owner having an interest in or right over land, who claims that a compensational interest over such land of assessable value, has been compulsorily acquired by the coming into operation of this Act, may apply to the High Court for the fixing of compensation, if any, within 12 months of the coming into operation of this Act.

(2) The claim for compensation shall be delivered to the Minister, by way of the Director of Lands, Bairiki, naming the amount demanded.


(3) The period of time referred to in subsection (1) shall run regardless of whether the land in question is to be marketed or sold, within that time or at all.

(4) All rights to claim, or to have considered or paid, any compensation, are extinguished if the claim is not filed in accordance with subsection (1).

(5) (a) The Minister shall have 60 days to respond in writing to the claim, either accepting the amount demanded, or offering another amount.

(b) Where the Minister makes no response to the claim after 60 days the Minister is deemed to have rejected the claim.

(6) (a) Within 60 days from receipt of the Minister’s response; or

(b) where there is no response, within 120 days from the delivery of the claim,


the owner may apply to the High Court for review of the Minister’s decision, and the fixing of compensation, if any.

(7) On the review, the amount of compensation to be paid, if any, exclusive of costs, shall be no more than the amount claimed under subsection (1).

(8) Nothing in this section may be construed as a proof that a compensational property interest has been compulsorily acquired by the State under this Act.

SCHEDULE 1

List of Land to which the Act is Applicable

A. Tabuaeran/Fanning Island


Being the details found in the Director of Land’s Register entitled
"Fanning Is. Conveyances (Resettlement)"

Plot No
Name of Owner
Deed Number
96/1, 96/2
Mr. Willie Yee-On
1/89
31/1, 31/2
Eriu Eriu
2/89
68/1, 68/2
Tokaia Tiemruti
3/89
54/1,54/2
Tue Marakia
4/89
33/1,33/2
Biriata Teem
5/89
51/1,51/2
Biribo Rakoroa
6/89
38/1,38/2
Teikauea Ioteba
7/89
64/1,64/2
Kokoria Arioka
8/89
43/1,43/2
Kouratake Taribo
9/89
53/1,53/2
Berenato Ioteba
10/89
82/1,82/2
Tekabwere King
11/89
92/1,92/2
Taboia Teikarawa
12/89
75/1,75/2
Baraniko Baraki
13/89
82
Maeri Teaiwa
14/89
91/1,91/2
Tioti Kaota
15/89
76/1,76/2
Mauta Marakia
16/89
59/1,59/2
Karibauriri Temauri
17/89
89/1,89/2
Ioana Tangibi
18/89
67/1,67/2
Tioti Teteki
19/89
34/1,34/2
Teaitao Biriata
20/89
63/1,63/2
Perry Tomari
21/89
95/1,95/2
Biribi Willie
22/89
27/1,27/2
Teetau Tebanei
23/89
83/1,83/2
Oben Arikitoun
24/89
62/1,62/2
Turi Teia
25/89
41/1,41/2
Naare Bakarere
26/89
WA/2,05/2
Teritebono Teritebono
27/89
29/1,29/2
Maritan Teruka
28/89
74/1,74/2
Merekite Ioram
29/89
86/1,86/2
Mewati Teweru
30/89
37/1,37/2
Teete Ioane
31/89
73/1,73/2
Anatore Ioteba
32/89
57/1,57/2
Eriki Marakia
33/89
77/1,77/2
Ioteba Mweretaka
34/89
66/1,66/2
Teboutabu Terikaua
35/89
65/1,65/2
Takirua Babaka
36/89
48/1,48/2
Neeti Nakara
37/89
28/1,28/2
Nera Tebungata
38/89
84/1,84/2
Batiku Terawa
39/89
78/1,78/2
Timwa Teikarawa
40/89
71/1,71/2
Bureikia Tokaia
41/89
42/1,42/2
Tautara Teitao
42/89
30/1,30/2
Abimaere Arioka
43/89
50/1,50/2
Tekaibo Beniati
44/89
56/1,56/2
Maritino Ioteba
45/89
45/1,45/2
Teubaitoi Tio
46/89
85/1,85/2
Reere Temauri
47/89
87/1,87/2
Taibereti Bitakarawa
48/89
49/1,49/2
Taniera Tabanga
49/89
90/1,90/2
Barairai Karabung
50/89
39/1,39/2
Nakori Tebungata
51/89
47/1,/47/2
Abitai Teitao
52/89
EA/1,LS/1
Namanoku Atauea
53/89
EC/2,LS/2
Taratau Tekitanga
54/89
WA/1,OS/1
Kamchou Yee-on
55/89
9/1,9/2
Kaiboia Iotua
56/89
25/1,25/2
Teekabu Tangibi
57/89
3/1,3/2
Tabuareroa Tabanga
58/89
14/1,14/2
Temauri
59/89
4/1,4/2
Tewarawara Ioane
60/89
15/1,15/2
Tiemruti Tokaia
61/89
5/1,5/2
Tabia Baraniko
62/89
19/1,19/2
Kaiboboki Tentaku
63/89
8/1,8/2
Kaaterire Turi
64/89
6/1,6/2
Eteri Moaniba
65/89
11/1,11/2
Nakara Matanga
66/89
10/1,10/2
Banewa Teatu
67/89
18/1,18/2
Baitongo Bateriki
68/89
21/1,21/2
Kaitu Tebukaiti
69/89
7/1,7/2
Erene Ioteba
70/89
22/1,22/2
Bobai Kaiboboki
71/89
17/1,17/2
Benti Baraam
72/89
26/1,26/2
Temaia Takaua
73/89
23/1,23/2
Taukoriri Temauri
74/89
Aontena No.6
Terere Temauri
75/90
32/2
Tabanga Tabuareroa
76/90
WB/5
Teakatu Iambere
77/90
B/19
Tiben Koteka
78/90
A/20
Torite Kotii
79/90
WA/5
Tiroa Bebeia
80/90
B/20
Kautabuki Tannang
81/90
WA/3
Ieremia Baka
82/90
A4
Nareau Rawata
83/90
WA/4
Ioaa Ioane
84/90
B4
Taboia Tewita
85/90
88/1,88/2
Kaitara Tamaeri
86/90
44/1,44/2
Teiturangi Rakoroa
87/90
94/1,94/2
Taia Rakoroa
88/90
6/1,6/2
Erite Tamaeri
89/90
81/1,81/2
Teinai Tebatia
90/90
20/1,20/2
Orea Baraniko
91/90
52/1,52/2
Tebaka Temauri
92/90
2
Arioka Rakoroa
93/90
A8
Ubanaba Taraniman
94/90
B6
Bekua Ruoikabuti
95/90
40/1,40/2
Timau Tioa
96/91
Napari, Fanning EB/2
Raitai Utimawa
97/91
A14 (Napunairoa)
Boaa Tebano
98/91
(Napunairoa, Fanning) A13
Teereti Teuta
99/91
3 (Napunairoa)
Ubanaba Taraniman
100/91
2 (Napunairoa)
Torite Kotii
101/91
1 (Napunairoa)
Taboia Tewita
102/91
17/A (Napunairoa, Fanning)
Tatoa Koteti
103/91
12/B (Napunairoa, Fanning)
Kaua Itemaere
104/91
24/A (Napunairoa, Fanning)
Reewi Kiriati
105/91
A7 Napunairoa Fanning Is.)
Turai Natanga
106/91
EC.5,LS.3 Napari, Fanning
Buautoa Rabanna
107/91
36/1,36/2
Rakoroa Biribo
108/91
EB/6
Tanako Tiaon
109/91
16/1,16/2 Paelau, Fanning
Kaitu Teetau
110/91
9B Napunairoa, Fanning
Ratiang Naunieta
111/91
52 Towiriwiri, Fanning
Ariera Nokite
112/91
49 Towiriwiri, Fanning
Etera Etera
113/91

B. Teraina/Washington Island


Being the details found in the Director of Land’s Register entitled
"Licences for Resettlement Washington Is"

Plot Number
Name of Owner
License Number
A.14
Teannaki Maungatabu
LN.WA: 1/90
A.13
Kantera Beiaun
LN.WA: 2/90
A.17
Veronika Teata
LN.WA: 3/90

Tabanga Tematenako
LN.WA: 4/90
A.12
Rouben Teawanei
LN.WA: 5/90
A.3
Ionatan Arikitau
LN.WA: 6/90
A.6
Naunta Teburea
LN.WA: 7/90
A.8
Tamoa Itibo
LN.WA: 8/90
A.11
Arobati Tiaon
LN.WA: 9/90
A.10
Nabakai Nimarebu
LN.WA: 10/90
A.5
Teeta Tiaon
LN.WA: 11/90
A.4
Raiwan Airam
LN.WA: 12/90
A.2
Ioteba Teeta
LN.WA: 13/90
A.7
Tamaro Erene
LN.WA: 14/90
A.1
Tienang Bauteiti
LN.WA: 15/90
A.15
Betati Tewita
LN.WA: 16/90
A.9
Tanoa Bonebatio
LN.WA: 17/90
A.18
Touaiti Kaitu
LN.WA: 18/90

Takenibeia Mamara
LN.WA: 19/90

Tominiko Imarena
LN.WA: 20/91

Kiaua Teteki
LN.WA: 21/91

Inga Moiwa
LN.WA: 22/91

Timon Monguea
LN.WA: 23/91

Kiaben Tara
LN.WA: 24/91

Vakaliki Malolonga
LN.WA: 25/91

Atanibuariki katanga
LN.WA: 26/91

Erene Tawita
LN.WA: 27/91

Tetaake Kautirake
LN.WA: 28/91

Tutu Tibau
LN. WA: 29/91

Birirake Kaimemeri
LN.WA: 30/91

Bauro Tataua
LN.WA: 31/92

Rurunga Terukaio
LN.WA: 32/91

Tarangutu Tokiara
LN.WA: 33/91

Ritang Rutia
LN.WA: 34/91

Iotia Ribabaiti
LN.WA: 35/91

Neemia Tetia
LN.WA: 36/91

Takabea Iebeta
LN.WA: 37/91

Taiau Iuta
LN.WA: 38/91

Tongarua Tetaake
LN.WA: 39/91

Abineru Akeriba
LN.WA:40/91

Mikaio Amten
LN.WA: 41/91

Roete Robati
LN.WA: 42/91

Biribo Atema
LN.WA : 43/91

Ionatan Wikiribi
LN.WA : 44/91
155
Raatu Kaiteie
LN.WA : 45/91
13B
Uaieta Kaibeau
LN.WA : 46/91
141
Tibwere Bwatoo
LN.WA : 47/91
140
Teitibo Tawitiana
LN.WA : 48/91
139
Ieremo Kuarawete
LN.WA : 49/91
145
Aboki Winiuea
LN.WA : 50/91
156
Wanikaie Nauoko
LN.WA : 51/91
143
Rawata Teriakai
LN.WA : 52/91
142
Taburimai Beabu
LN.WA : 53/91
146
Tione Kotao
LN.WA : 54/91
148
Auatabu Tebaatau
LN.WA : 55/91
147
Tabotabo Teekea
LN.WA : 56/91
144
Teitintarawa Maata
LN.WA : 57/91
149
Tetuai Boruru
LN.WA : 58/91
150
Wiibo Tirikai
LN.WA : 59/91
151
Maiki Barao
LN.WA : 60/91
153
Baiteke Tatonu
LN.WA : 61/91
152
Ueue Bio
LN.WA : 62/91
154
Tiira Matata
LN.WA : 63/91
109
Tanua Uria
LN.WA : 64/91
102
Teweiatau Koina
LN.WA : 65/91
106
Mango Aretana
LN.WA : 66/91
107
Maerere Koina
LN.WA : 67/91
111
Morei Bataka
LN.WA : 68/91
105
Tannang Teuarai
LN.WA : 69/91
124
Itimweara
LN.WA : 70/91
131
Utimawa Beia
LN.WA : 71/91
125
Bwena Teuea
LN.WA : 72/91
136
Makaua Tekabwebwere
LN.WA : 73/91
127
Titaake Biteiti
LN.WA : 74/91
137
Rateti Aretania
LN.WA : 75/91
121
Biremon Ieita
LN.WA : 76/91
122
Tooma Kabobouea
LN.WA : 77/91
120
Tebarine Makata
LN.WA : 78/91
123
Burentarawa Binauea
LN.WA : 89/91
128
Teata Taeuea
LN.WA : 80/91
129
Tarerei Tautua
LN.WA : 81/91
126
Nangita Biteiti
LN.WA : 82/91
130
Bureka Temoone
LN.WA : 83/91
134
Barekiau Teakin
LN.WA : 84/91
135
Matibei Iabo
LN.WA : 85/91
135
Mataio Terubea
LN.WA : 86/91
103
Emita Tianuare
LN.WA : 87/91
108
Teawaki Teitiba
LN.WA : 88/91
104
Terakau Teamangu
LN.WA : 89/91
110
Moriti Tonga
LN.WA : 90/91
114
Tereke Teema
LN.WA : 91/91
112
Nateri Nateri
LN.WA : 92/91
113
Metara Taramon
LN.WA : 93/91
132
Betero Teangauba
LN.WA : 94/91
116
Atiberi Babeia
LN.WA : 95/91
115
Titiona Tebati
LN.WA : 96/91
118
Rubemaaki Riannaba
LN.WA : 97/91
117
Aberata Miita
LN.WA : 98/91
119
Tenuata Tioneri
LN.WA : 99/91

SCHEDULE 2
(Section 4)

NOTICE BY THE OWNER TO THE REPUBLIC TO ALIENATE LAND


Name of owner

Address/Phone/fax of owner

Name of lawyer or representative of owner

Address/phone/fax

Legal description of plot to be sold

Name of proposed purchaser

Address/Phone/fax

Name of lawyer or representative of purchaser

Address/Phone/fax

Terms of the proposed purchaser’s offer [including all payment terms]____________________________________________________________________________________________________________________________________________________________________________________________________________________________

And attached is a copy of the offer.


DATE:

SIGNED:

*Note: The owner understands that under section 6 of the Act, it is a serious offence to present a false offer. In addition to being subject to a $5,000 fine and 5 years imprisonment, an owner who presents a false offer, may forfeit the land to the State.

----------------------------------

STATE PRE-EMPTIVE RIGHT OF PURCHASE ACT 2000

EXPLANATORY MEMORANDUM


The Government wishes to establish strategic plans for settlement of State lands on the Line Islands and perhaps also the Phoenix Islands later on. These are lands on which there was no permanent pre-European settlement. This Government policy is one of the purposes for the State Lands Act.

In the last few years some State land on Kiritimati, Tabueran and Teraina Islands, (Clause 2(1)) have been made available for settlement. The Government at that time transferred these lands in fee simple ownership estate. This land estate gives power to owners to transfer the land without reference to or consent of the State.


This right of transfer without Government approval is inconsistent with the present Government’s philosophy, on the appropriate way to settle these islands. The Government wants these lands to be made available for families with too little, or no land. The owners of land on these islands, in fee simple estate, are entitled to sell the land to any adult I Kiribati. This means purchasers can accumulate a number of plots of land, or they can let the land sit idle.

This is unsatisfactory because Kiribati has finite land resources, and the Republic sees crowded and unhealthy living situations developing in some places like South Tarawa. It is Government policy to safeguard against these conditions being allowed to develop at the Line Islands. Furthermore Kiribati wants these fee simple lands to be subject to some land planning controls similar to the controls proposed under the State Lands Act.

The pre-emptive purchase law allows government to take back these lands by way of purchase, whenever the owner tries to sell the land to a private purchaser. The present owner will receive the same payment when Government buys the land as would have been paid by the prospective private purchaser (clauses 3 & 4).

Government is also concerned that an owner of land that becomes subject to the State’s pre-emptive purchase right may try to take improper advantage of the State’s desire to buy the land back. For this reason severe penalties have been devised, including forfeiture of the land where an owner is found to have tried to cheat the Government (clause 6).

Clause 7 of the Act provides for a process for owners to claim compensation if an owner suggests that an interest in land has been compulsorily acquired, and that the owner has lost real value as a result. The Government is of the view that, because the proposed Act does not compulsorily acquire anything [it only provides for a right of first refusal on the sale], and because the owner will get the same price from the State purchaser as it would from a bona fide private purchaser, that there is no compulsory taking, and no loss to owners affected by the Act.

Michael N. Takabwebwe
Attorney General
6 October 1999


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