Volume IV
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INSTITUTE OF VALUERS OF SRI LANKA LAW

Arrangement of Sections

1. Short title.

2. Establishment of the Institute of Valuers of Sri Lanka.

2A. Grading of members.

3. Incorporation of the Institute.

4. Objects of the Corporation.

5. Powers of the Corporation.

6. How the seal of the Corporation is to be affixed.

7. Application for membership of the Institute.

7A. Period of membership and renewal.

7B. Application fee etc.

7C. Registers.

7D. Cessation of membership.

8. Council of the Institute.

9. Term of office of members of the Council.

10. Meetings of the Council.

11. Qualifications for election of office-bearers of the Council.

12. Procedure for election of office-bearers of the Council.

13. President.

14. Honorary General Secretary.

15. Honorary general treasurer.

16. Committees of the council.

17. Power of Minister to make rules, or Regulations.

18. Sessions of Institute.

19. First conference of the Institute.

20. Special General Meeting of the Institute.

21. Ordinary General Meeting of the institute.

22. Disenrollment or suspension of members by the Council.

23. Use of titles and designations.

24. Restrictions as to use of titles.

25. “Meaning of practice” as valuer.

25A. Valuation of movable property and intangible assets.

26. Offences.

27. Sanction of prosecutions.

28. Finance.

29. Fund of the Institute.

30. Financial year of the Institute.

31. Application of the provisions of the Public Corporations (Financial Control) Act.

32. Interpretation.

SCHEDULES

33 of 1975,

9 of 2019.

A LAW to provide for the establishment of an Institute known as the Institute of Valuers of Sri Lanka and a council of the Institute which shall be responsible for the management of the affairs of the institute and for the maintenance of professional standards and discipline of members of the Institute; and for the protection and promotion of the interests of the public in relation to the profession of valuers and for matters connected therewith or incidental thereto.

[Long title subs by s 2 of Act 9 of 2019.]

[Date of Commencement: 3rd January, 1977]

1. Short title.

This Law may be cited as the Institute of Valuers of Sri Lanka Law.

2. Establishment of the Institute of Valuers of Sri Lanka.

(1) There shall be established an institute with the name “The Institute of Valuers of Sri Lanka”(hereinafter referred to as the “Institute”).

(2) The members of the Institute shall consist of Corporate and Non-Corporate Members.

[S2(2) am by s 3 of Act 9 of 2019.]

2A. Grading of members.

The grading of members of the Institute shall be as specified in Schedule A to this Act.

3. Incorporation of the Institute.

From and after the 3rd day of January, 1977, such and so many persons as are for the time being enrolled as Corporate Members of the Institute, shall by virtue of these presents be members of and form a body corporate (hereinafter referred to as the “Corporation”) by which name they shall have perpetual succession and a common seal and with full power and authority to use, alter, vary, break and renew such seal from time to time at their discretion, and by the same name shall and may sue and be sued in all courts and in all manner of actions and suits and shall have power to do all other matters and things incidental or appertaining to a body corporate.

4. Objects of the Corporation.

The general objects for which the Corporation is constituted are hereby declared to be—

(a) to promote and foster the study of the science of valuation;

(b) to promote and foster the study of property management both urban and agricultural;

(c) to promote and foster the study of such branches of the law as are necessary for or relevant to the practice of valuation;

(d) to promote the acquisition, dissemination and interchange of knowledge relating to or connected with the science of valuation by—

(i) providing a forum for the presentation of papers and for holding discussions thereon,

(ii) establishing and maintaining libraries,

(iii) publishing matters of interest to persons engaged in the practice of valuation, and

(iv) any other means;

(e) to conduct, or provide for the conduct of, qualifying examinations for membership of the Institute, and to provide or approve courses of study for such examinations, and to engage and remunerate lecturers and examiners;

(f) to award diplomas, certificates and other distinctions to persons, who have pursued courses of study provided or approved by the Institute and who have passed the examinations of the Institute;

(g) to award scholarships, exhibitions, bursaries and medals and other prizes;

(h) to assess the eligibility of candidates for admission to the various grades of membership;

(i) to regulate the general conduct and the professional activities of persons practicing as valuers in order to ensure the maintenance of high standards in the profession;

(j) generally to protect and promote the interest and welfare and the rights and privileges of the profession of valuers in Sri Lanka and of the public in relation to that profession;

(k) to express the opinion of the members of the Institute on legislative and other matters affecting the profession of valuers;

(l) to enter into co-operation with organisations in or outside Sri Lanka having allied interests and functions and with professional organisations in Sri Lanka on matters of common interest;

(m) to advise and communicate with public authorities on matters relating to valuation;

(n) to undertake arbitration to determine any disputes on valuation which may be referred to the Institute; and

(o) to take such other measures, including the establishment and maintenance of data banks, as may be necessary for the benefit or advancement of those who practice valuation in Sri Lanka.

5. Powers of the Corporation.

The Corporation may exercise all or any of the following powers—

(a) to acquire by purchase, gift, bequest, exchange or in any other manner and hold any movable or immovable property and to take or give on lease or mortgage, sell, grant, exchange or otherwise dispose of any such property acquired or held by the Institute;

(b) to construct, purchase, maintain and repair anything required for the purposes of the Institute;

(c) to borrow or raise money with or without security for any of the purposes of the Institute;

(d) to employ such officers and servants as may be necessary to carry out the work of the Institute and to pay their salaries, gratuities and allowances;

(e) to pay allowances and gratuities and to make ex gratia payments to officers and servants of the Institute upon their retirement and to the widows and orphans of such officers and servants;

(f) to establish a fund for the grant of financial assistance to the widows and orphans of Corporate Members and honorary members;

(g) to establish a fund for the grant of financial assistance to Corporate Members and honorary members who are incapacitated;

(h) to charge fees for admission of persons to any grade of membership and for the renewal of such membership;

(i) to charge fees for the admission of persons to the qualifying examinations and the courses of study provided by the Institute;

(j) to utilise the moneys of the Institute to meet all expenditure incurred in carrying out its objects, in remunerating its employees and in the exercise of its powers and duties;

(k) to invest such moneys of the Institute as are not immediately required for the purposes of the Institute in any such securities and in such manner as the Corporation may deem fit;

(kk) to determine, from time to time, the valuation standards, as the Corporation may deem appropriate;

[S 5(kk) ins by s 5 of Act 9 of 2019.]

(kkk) to determine a scheme of assessment of professional competence or any other requirement for continuous professional development; and

[S 5(kkk) ins by s 5 of Act 9 of 2019.]

(l) to take all such steps as may be necessary or desirable for the promotion of all or any of the objects of the Institute.

6. How the seal of the Corporation is to be affixed.

The seal of the Corporation shall be in the safe custody of the Council, and shall not be affixed to any instrument whatsoever except with the authority of the Council previously obtained, and in the presence of the president and the Honorary General Secretary or such other member of the Council, as the Council may appoint, who shall sign their names to the instrument in token of their presence and such signing shall be independent of the signing of any person as a witness.

7. Application for membership of the Institute.

(1) Any person who satisfies the qualifications and experience specified in Schedule B to this Act may apply for the membership of the Institute in such form and manner as provided in Schedule C to this Act.

(2) Any person who has duly applied under subsection (1) may be enrolled as a member of the Institute on the payment of the prescribed entrance fee and membership fee.

[S 7 subs by s 6 of Act 9 of 2019.]

7A. Period of membership and renewal.

(1) The period of membership of the Institute shall be one year ending on the thirty first day of December and subject to the provisions of section 22, be renewable annually.

(2) Any member who intends to renew the membership shall apply for renewal not less than thirty days before the expiry of the membership.

(3) The membership may be renewed on the payment of the prescribed renewal fee.

[S 7A ins by s 7 of Act 9 of 2019.]

7B. Application fee etc.

The Minister may by regulations prescribe the application fee, entrance fee, membership fee and renewal fee payable in respect of any type of membership.

[S 7B ins by s 7 of Act 9 of 2019.]

7C. Registers.

(1) —

(a) There shall be a register each for the persons enrolled as Corporate Members and for the persons enrolled as Non-Corporate Members.

(b) Each register shall be divided into separate parts and each part shall be in respect of a different grade in the class of members to which the register relates and shall contain the names, addresses and qualifications of persons enrolled in that grade.

(2) The registers shall be maintained by the Honorary General Secretary of the Council for and on behalf of the Council.

[S 7C ins by s 7 of Act 9 of 2019.]

7D. Cessation of membership.

Any member of the Institute who fails to satisfy the Council of his continuous professional development in accordance with any scheme or requirement determined under paragraph (kkk) of section 5, shall cease to be a member from such date as may be decided by the Council.

[S 7D ins by s 7 of Act 9 of 2019.]

8. Council of the Institute.

(1) There shall be a Council of the Institute in this Law referred to as “the Council” which shall, subject to the rules or regulations made under section 17, administer the affairs of the Institute and be responsible for exercising and carrying out the powers, functions and duties of the Institute under this Law.

(2) The Council shall consist of the following
members—

(a) the President, two Vice-Presidents, and Honorary General Secretary, an Honorary Assistant General Secretary, and Honorary General Treasurer, all of whom shall be elected by the Corporate Members from among themselves at a session of the Institute;

(b) five members elected from the grade of Fellow, four members elected from the grade of Professional Associate and one member elected from the grade of Licentiate;

[S 8(2)(b) subs by s 8(1) of Act 9 of 2019.]

(c) two Corporate Members appointed by the Minister;

(d) the person holding office for the time being as Chief Valuer;

(e) the person holding office for the time being as the Municipal Assessor of the Municipal Council of Colombo;

(f) the person who last held the post of President.

[S 8(2)(f) subs by s 8(2) of Act 9 of 2019; s 8(2) am by s 8(3) of Act 9 of 2019.]

9. Term of office of members of the Council.

(1) Every member of the Council shall, unless he earlier vacates his office or is removed by the Minister, hold office—

(a) if he is an elected member of the Council until the election of new members under section 18;

(b) if he is a member appointed by the Minister under paragraph (c) of subsection (2) of section 8, until such time another member is appointed in his place by the Minister.

(2) Every member of the Council other than the members referred to in paragraphs (d) and (e) of subsection (2) of section 8, shall vacate office—

(a) by resignation therefrom by letter addressed to the Council, such resignation not taking effect until the Council intimates to such member that the resignation has been accepted; or

(b) upon absence from three consecutive meetings of the Council without the permission of the Council; or

(c) upon ceasing to be a member of the Institute; or

(d) on expiry of his term of office; or

(e) if appointed by the Minister, on his removal from office by the Minister; or

[S 9(2)(e) am by s 9(1)(a) of Act 9 of 2019.]

(f) upon ceasing to be a member of a particular grade from which he is elected.

[S 9(2)(f) ins by s 9(1)(b) of Act 9 of 2019.]

(3) Notwithstanding anything to the contrary in any other provisions of this Law, where an elected member of the Council vacates office earlier by death, resignation or otherwise, the Council may at a meeting held in that behalf appoint, a Corporate Member to fill such vacancy, taking into consideration the provisions of section 8(2)(a) and (b) and section 11.

[S 9(3) ins by s 9(1)(c) of Act 9 of 2019.]

(4) Every member of the Council appointed to replace a member who has ceased to be a member of the Council before the expiry of his term of office shall, unless he earlier resigns dies or otherwise vacates office, hold office for the unexpired period of the term of office of the member whom he succeeds.

[S 9(3) renumbered as 9(4) by s 9(2) of Act 9 of 2019.]

(5) Subject to the provisions of subsection (2) of
section 11, every member of the Council who vacates office by effluxion of time shall be eligible for reappointment or re-election as a member.

[S 9(4) renumbered as 9(5) by s 9(2) of Act 9 of 2019.]

10. Meetings of the Council.

(1) The meetings of the Council shall be held once at least in every three months.

(2) The quorum for any meeting of the Council shall be ten members of the Council.

(3) The president of the Council or in his absence the vice-president, or in the case of the absence of both, a member chosen by the members present shall preside at a meeting of the Council.

(4) The meetings of the Council shall be convened by the president of his own motion or upon a requisition in writing made in that behalf by not less than five members of the Council.

(5) Seven clear days’ notice in writing shall be given to the members of every meeting of the Council, the time and place of such meeting and the business to be brought up before it being specified in such notice which shall be sent through the post under registered cover to each member addressed to the last known place of residence of such member.

(6) The person presiding for the time being at any meeting of the Council may with the consent of the majority of members present adjourn that meeting.

(7) Subject to the provisions of subsection (8) any question which arises at any meeting of the Council shall be decided by a majority of the members present and in the case of an equality of votes, the member presiding at the meeting shall have a second or casting vote.

(8) A member of the Institute shall not be disenrolled or suspended except upon a resolution passed at a meeting of the Council by not less than two-third of the total number of members of the Council in office.

(9) The Council shall cause minutes to be made of the proceedings of every meeting of the, Council in books kept for that purpose and the minutes of such proceedings shall be signed by the member presiding at the next succeeding meeting, and the minutes so signed shall be prima facie evidence of the matters set out in such minutes.

(10) No act or proceeding of the Council shall be invalid by reason only of the existence of any vacancy among the members of the Council or any defect in the appointment of a member thereof.

11. Qualifications for election of office-bearers of the Council.

(1) No person shall be eligible for election to any of the following offices of the Council, unless such person has the requisite qualifications in respect of such office as set out hereunder—

(a) president or vice-president, unless he is enrolled as a Corporate Member in the grade of a Fellow; or

(b) Honorary General Secretary, honorary general treasurer or honorary assistant general secretary unless he is enrolled in a grade not below that of a Professional Associate;

[S 11(1)(b) subs by s 10(1) of Act 9 of 2019.]

(c) a member of the Council representing any grade of the Corporate Membership unless he is enrolled in that grade.

[S 11(1)(d) renumbered as 11(1)(c) by s 10(2) of Act 9 of 2019.]

(2) Any person who has held office as a member of the Council for three consecutive periods shall not be eligible for re-election until the expiry of two years from the date he ceased to hold office.

12. Procedure for election of office-bearers of the Council.

(1) The nomination of any person as a candidate for election for any office of the Council shall be by means of a nomination paper signed by two Corporate Members who shall be the proposer and seconder respectively certifying that they recommend the election of the candidate;

Provided, however, that in the case of a member seeking election as a representative member of any grade of Corporate Members, the proposer and seconder of that candidate shall be two Corporate Members enrolled in that grade.

(2) Every such nomination paper shall be signed by the candidate and be in such form as may be provided for the purpose by the Council.

(3) The nomination paper made in accordance with the preceding provisions of this section shall be delivered to the Honorary General Secretary at least four weeks before the date fixed for the meeting.

(4) A person nominated as a candidate for election to membership of the Council shall cease to stand so nominated if he is found to be disqualified for nomination.

(5) Where more than one candidate stand nominated for election it shall be decided by secret ballot.

(6) The votes shall be counted by two members appointed by the Council from Corporate Members who are not candidates for election.

(7) If no candidate stands duly nominated for election to any office of the Council at any session the holder of that office for the time being shall, notwithstanding anything to the contrary in this Law, continue to hold that office until a successor is elected at the next session.

(8) The election of the members of the Council shall not be held at a session unless at least two-fifth of the total number of Corporate Members who are qualified to enjoy the rights and privileges of membership are present. If the number of members present is less than the required number, the elected members of the Council for the time being shall, notwithstanding anything to the contrary in this Law, continue to hold office until their successors are elected at the next session.

13. President.

The president of the Council shall be the chief executive officer of the Institute. He shall preside at all meetings of the Council and of the Institute. He may delegate any of his functions and duties to a vice-president.

14. Honorary General Secretary.

The Honorary General Secretary of the Council shall conduct all correspondence on behalf of the Council and the Institute, keep minutes of all meetings of the Council and of the Institute, send out notices of meetings of the Council and the Institute, prepare the annual reports of the Council and the Institute, maintain the register of members of the Council and the Institute and perform all such other duties as may be assigned to him by the Council.

15. Honorary general treasurer.

The honorary general treasurer of the Council shall be responsible for the collection of moneys due to the Institute, for the keeping of proper accounts of the moneys of the Institute, for the preparation and submission to the Council of a monthly statement on the financial position of the Institute, for the preparation of an annual statement of accounts of the Institute arid for the performance of such other duties relating to the financial affairs of the Institute as may be assigned to him by the Council.

16. Committees of the council.

(1) The Council may from time to time appoint committees for any purpose the Council may determine and shall assign to each such committee its duties and
functions.

(2) Every such committee shall include at least one member of the Council.

(3) The chairman of every committee shall be a member of the Council.

(4) The Council shall appoint the Chairman if more than one member of the Council is appointed to the committee.

(5) The chairman shall preside at every meeting of the committee at which he is present and in the absence of the chairman a member chosen by the majority of members present shall preside at such meeting.

(6) Subject to any direction that may be given by the Council, a committee may regulate its own procedure and conduct its business in such manner as it thinks fit.

17. Power of Minister to make rules or Regulations.

(1) It shall be lawful for the Minister, from time to time, to make rules or regulations of his own motion until the constitution of the Council and thereafter, at the request of the Council, in respect of all or any of the following matters—

(a) any matter required to be prescribed or in respect of which rules or regulations are authorised or required to be made;

(b) the constitution of committees of the Council, the election of nomination of members of such committees, the powers, functions and duties of such committees and the conditions subject to which such powers, functions and duties may be exercised or discharged;

[S 17(1)(g) renumbered as 17(1)(b) by s 11(2) of Act 9 of 2019.]

(c) the appointment, remuneration, dismissal and disciplinary control of officers and servants of the Institute and the grant of allowances, gratuities and ex gratia payments upon their retirement or upon their death to the widows and orphans;

[S 17(1)(h) renumbered as 17(1)(c) by s 11(2) of Act 9 of 2019.]

(d) the fees payable by students for admission to the qualifying examination of the Institute and for courses of study provided by the Institute;

[S 17(1)(i) renumbered as 17(1)(d) by s 11(2) of Act 9 of 2019.]

(e) the remuneration of lecturers and examiners;

[S 17(1)(j) renumbered as 17(1)(e) by s 11(2) of Act 9 of 2019.]

(f) the establishment and regulation of a fund for the grant of financial assistance to the widows and orphans of Corporate Members and of Non-Corporate
Members;

[S 17(1)(k) renumbered as 17(1)(f) by s 11(2) of Act 9 of 2019.]

(g) the administration and management of the property of the Institute;

[S 17(1)(l) renumbered as 17(1)(g) by s 11(2) of Act 9 of 2019.]

(h) the establishment and maintenance of a fund into which all moneys received by the Institute shall be paid and out of which all the expenses and liabilities incurred by the Council in the exercise or performance of its powers, functions and duties shall
be met;

[S 17(1)(m) renumbered as 17(1)(h) by s 11(2) of Act 9 of 2019.]

(i) the books of accounts to be kept by the Institute;

[S 17(1)(n) renumbered as 17(1)(i) by s 11(2) of Act 9 of 2019.]

(j) the audit of the accounts of the Institute;

[S 17(1)(o) renumbered as 17(1)(j) by s 11(2) of Act 9 of 2019.]

(k) the manner in which moneys of the Institute may be invested;

[S 17(1)(p) renumbered as 17(1)(k) by s 11(2) of Act 9 of 2019.]

(l) the arbitration of disputes which may be referred to the Institute for determination; and

[S 17(1)(q) renumbered as 17(1)(l) by s 11(2) of Act 9 of 2019.]

(m) all such other matters hereinbefore specifically not mentioned as may be necessary for carrying out the provisions of this Law or for the exercise of the powers of the Institute and the discharge of its duties.

[S 17(1)(r) renumbered as 17(1)(m) by s 11(2) of Act 9 of 2019.]

(2) Every rule or regulation made under subsection (1) shall be published in the Gazette and shall come into effect on the date of such publication. Every such rule or regulation shall, as soon as may be after such publication, be placed before Parliament for approval, and if such rule or regulation is not so approved, such rule or regulation shall be deemed to be rescinded from the date of such disapproval without prejudice to anything previously done thereunder. Notice of such disapproval shall be published in the Gazette.

18. Sessions of Institute.

(1) A session of the Institute shall be held once in every two years.

(2) The quorum for a session of the Institute shall be two-fifths or two hundred, whichever is less, of the Corporate Members of the Institute eligible to vote at such session.

[S 18(2) subs by s 12 of Act 9 of 2019.]

(3) At such session—

(a) the Council’s report and audited accounts for the preceding financial year shall be submitted;

(b) the members of the Council shall be elected; and

(c) any other business determined by the Council, and referred to in the notice given under subsection (4) may be transacted.

(4) Not less than two months notice in writing of a session shall be given to each Corporate Member. Such notice shall state the date, time and place fixed for the session and the items of business to be considered thereat and shall be sent through the post by registered letter addressed to the last known place of residence of that member.

(5) At least two weeks’ notice of a session shall be given in a daily newspaper circulating in Sri Lanka.

19. First conference of the Institute.

(1) The first conference of Corporate Members shall be held before the expiry of one year after the constitution of the first Council. Thereafter, a conference shall be convened at least once in every two years.

(2) Fourteen clear days’ notice in writing shall be given to the members of every conference of the Institute, the date, time and place of such conference and the business to be brought up before it being specified in such notice.

(3) Such notice shall be forwarded to each member through the post by registered letter addressed to the last known place of residence of that member.

(4) The quorum for any conference of the Institute shall be one hundred and fifty or one-fourth of the Corporate Members of the Institute whichever is less.

[S 19(4) subs by s 13(1) of Act 9 of 2019.]

(5) The types of business of the conference shall include inter alia

(a) the reading of the mid-term report;

(b) the adoption of the mid-term report;

(c) tabling of mid-term statement of accounts;

(d) the adoption of mid-term statement of accounts;

(e) the proposals of resolutions by the Council;

(f) the adoption of resolutions of the Council;

(g) the considerations of any technical matter related to the practice of valuation as decided by the Council.

[S 19(5) ins by s 13(2) of Act 9 of 2019.]

20. Special General Meeting of the Institute.

(1) The President of the Council may on his own motion or shall, on a requisition in writing made in that behalf by not less than five members of the Council or by not less than fifty Corporate Members of the Institute who are eligible to vote, cause a special general meeting of the Corporate Members to be summoned.

[S 20(1) subs by s 14 of Act 9 of 2019.]

(2) At least fourteen clear days’ notice in writing of every special general meeting shall be given to each member. Such notice shall state the date, time and place fixed for the meeting and the matters for discussion of which the meeting is being summoned and shall be sent to each member through the post by registered letter addressed to the last known place of residence of that member.

(3) At least two weeks’ notice of a meeting shall be given in a daily newspaper circulating in Sri Lanka.

(4) No matter other than that stated in the notice sent to each member under subsection (2) shall be considered at the special general meeting to which the notice relates.

(5) The quorum for any special general meeting shall be two-fifth of the Corporate Members who are eligible to vote.

21. Ordinary General Meeting of the Institute.

(1) An ordinary general meeting of the Corporate Members of the Institute may be summoned for the reading of papers on matters of interest to the profession and discussions thereon.

(2) No matter concerning the affairs or management of the Institute or the affairs of the Council shall be discussed at an ordinary general meeting.

(3) At least seven clear days’ notice in writing of an ordinary general meeting shall be given to each Corporate Member.

(4) The Council may invite such other persons as it may deem necessary to attend any ordinary meeting of the Institute.

[S 21(4) subs by s 15 of Act 9 of 2019.]

22. Disenrollment or suspension of members by the Council.

(1) The Council shall have the power to disenroll any person who is member of the Institute, if he—

(a) has been convicted by a competent court whether in or outside Sri Lanka of any offence involving moral turpitude and punishable with imprisonment for a term of not less than six months; or

(b) has been adjudged by a competent court whether in or outside Sri Lanka to be of unsound mind; or

(c) has been found guilty of professional misconduct after an inquiry by the Council or committee of the Council.

(2) Where by reason of the provisions of paragraph (a) or paragraph (c) of subsection (1), the Council is empowered to disenroll any person who is a member of the Institute, the Council may, in lieu of exercising that power, suspend the person from membership for such period as the Council may deem fit.

(3) Where a person has been disenrolled or suspended by the Council, the Council may, of its own motion or upon the application of that person, re-enrol or reinstate such person if the Council is satisfied that such person is fit to practice the profession of a valuer.

(4) The Council shall not accept any resignation tendered by a member who is subject to an inquiry under subsection (1)(c) of this section.

[S 22(4) subs by s 16(1) of Act 9 of 2019.]

(5) For the purposes of this Law, professional misconduct shall be any act or omission specified in Schedule D to this Act.

[S 22(5) ins by s 16(1) of Act 9 of 2019.]

23. Use of titles and designations.

(1) Every member of the Institute who is enrolled as a Fellow Member of the Institute shall—

(a) have the right to use the abbreviated designation “F.I.V.” after his name to indicate that he is a Fellow Member;

(b) be entitled to use the title “Chartered Valuer.

[S 23(1) subs by s 17(1) of Act 9 of 2019.]

(2) Every member of the Institute who is enrolled as a Professional Associate of the Institute, shall have the right to use the abbreviated designation “A.I.V” after his name, to indicate that he is a Professional Associate.

[S 23(2) subs by s 17(2) of Act 9 of 2019.]

(3) Every member of the Institute who is registered as a Licentiate member of the Institute shall have the right to use the abbreviated designation “LIV” after his name to indicate that he is a Licentiate member.

[S 23(4) renumbered as 23(3) by s 17(4) of Act 9 of 2019.]

(4) Every member preceding subsections take and use the Valuer “registered under the shall be entitled to title” Incorporated.

[S 23(5) renumbered as 23(4) by s 17(4) of Act 9 of 2019.]

(5) Every member registered under subsections (1) and (2) shall be entitled to use the prefix “Valuer” before his name and use the abbreviation “Vlr” therefor.

[S 23(5) ins by s 17(5) of Act 9 of 2019.]

24. Restrictions as to use of titles.

(1) —

(a) No person shall take or use any title, description or abbreviation referred to in section 23, and which under that section only a member enrolled in any grade of the class of Corporate Members may take or use, unless such person is for the time being enrolled as a member in that grade.

(b) Notwithstanding anything in paragraph (a) a firm of valuers may take and use the title “Incorporated Valuers” if each partner of the firm is entitled under subsection (4) of section 23 to take and use the title “Incorporated Valuer.”

[S 24(1)(b) am by s 18 of Act 9 of 2019.]

(2) Any person who contravenes the provisions of the preceding subsection shall be guilty of an offence.

25. “Meaning of practice” as valuer.

For the purposes of this Law, a person shall be deemed to practice as a Valuer, if in consideration of remuneration received or to be received whether by himself or in partnership with any other person he—

(a) engages himself in the practice of valuation of immovable property or holds himself out to the public as a valuer of immovable property; or

(b) renders professional service or assistance in respect of matters of principle or detail relating to valuation of immovable property; or

(c) certifies a report on the value of any immovable property; or

(d) renders any other service which may be prescribed by the Council to be service constituting practice as a valuer.

25A. Valuation of movable property and intangible assets.

Any Corporate Member of the Institute may carry out any valuation of a movable property and intangible assets, provided he possesses such expertise as may be determined by the Council, to carry out such valuation.

[S 25A ins by s 19 of Act 9 of 2019.]

26. Offences.

(1) Every person who neglects or fails to comply with any provisions of section 24 of this Law shall be guilty of an offence and on conviction after trial before a Magistrate, be liable to imprisonment of either description for a period not exceeding six months or to a fine not exceeding one thousand five hundred rupees or to both such imprisonment and fine.

(2) Where an offence under this Law is committed by a body of persons, then—

(a) if that body of persons is a body corporate, every member and officer of that body corporate, or

(b) if that body of persons is a firm, every partner of that firm, shall be guilty of that offence:

Provided, however, that a member or an officer of that body corporate or a partner of such firm shall not be deemed to be guilty of such offence if he proves that such offence was committed without his knowledge or that he exercised all due diligence to prevent the commission of such offence.

27. Sanction of prosecutions.

No prosecution for an offence under this Law shall be instituted except by member or officer of the Council authorised in writing for the purpose by the president of the Council.

28. Finance.

The initial capital of the Institute shall be one hundred and fifty thousand rupees, which shall be donated to the Institute out of the Consolidated Fund.

29. Fund of the Institute.

(1) The Institute shall have its own fund.

(2) There shall be paid into the fund of the Institute—

(a) all such amounts as may be voted from time to time by a resolution of Parliament for the use of the Institute; and

(b) all such sums of money received by the Institute in the exercise, discharge and performance of its powers and duties.

30. Financial year of the Institute.

The financial year of the Institute shall be the calendar year.

31. Application of the provisions of the Public Corporations (Financial Control) Act.

The provisions of the Public Corporations (Financial Control) Act shall mutatis mutandis, apply to the financial control and accounts of the Institute.

32. Interpretation.

In this Act unless the context otherwise requires—

“Minister” means the Minister to whom the subject of Finance is assigned;

“soliciting” includes—

(a) engaging in any manner, for any commission, payment or consideration, the services of any person to solicit clientele; or

(b) advertising in any manner for the purpose of unfairly attracting clientele for him.

[S 32 ins by s 20 of Act 9 of 2019.]

SCHEDULES

 

SCHEDULE a

[Section 2A]

[Sch A subs by s 21 of Act 9 of 2019.]

The grading of corporate and Non-Corporate Members of the Institute shall be as follows—

(a) a Corporate Member of the Institute shall be graded as a Fellow Member or a Professional Associate Member or a Licentiate Member; and

(b) a Non-Corporate Member of the Institute shall be graded as an Honorary Member, or a Student Member, or a Probationary Member.

SCHEDULE B

[Section 22]

[Sch B subs by s 22 of Act 9 of 2019.]

(1) A person shall be eligible to be enrolled as a Fellow Member—

(a) if he has served a minimum of fifteen years in the grade of Professional Associate Member and is in the profession of valuation in accordance the scheme of assessment of professional competence or any other requirement for continuous professional development determined under section 5:

Provided that the members who were Corporate Members on the fourteenth day of February, Two Thousand and Three are exempted from the scheme of assessment of professional competence or any other requirement for continuous professional development as aforesaid; or

(b) if he has acquired such knowledge of valuation and eminence in the profession that, in the opinion of the Council, his admission as a Fellow Member would promote the interests of the profession.

(2) A person shall be eligible to be enrolled as a Professional Associate Member—

(a) if he has passed the Final or the Direct Final Examination of the Institute or the B.Sc Degree in Estate Management of the University of London or the University of Reading or any University of Sri Lanka recognised by the Council or has passed the B.A Degree in Land Economy of the University of Cambridge or has passed the Final Examination of the Royal Institution of Chartered Surveyors in the General Practice Division, or has obtained the Higher National Diploma in Valuation of the Sri Lanka Technical College or has obtained any other relevant qualification recognised by the Council as equivalent to these examinations; and

(b) if he is a Probationary Member with a minimum of two years post qualifying full time experience in the profession of valuation practice monitored as directed by and acceptable to the Council; or

(c) if he is a Probationary Member with post qualifying experience in the profession of valuation, monitored as directed by and acceptable to the Council, for a minimum number of years of part time experience considered as equivalent to two years full time experience and further is in the profession of valuation in accordance the scheme of assessment of professional competence or any other requirement for continuous professional development determined under section 5; or

(d) if he has minimum of four years full time experience in teaching the subject of valuation in a Course recognised by the Council, in any University.

(3) A person shall be eligible to be enrolled as a Licentiate Member—

(a) if he is over 30 years of age; and

(b) if he has practiced as a Valuer for not less than seven years prior to January 3, 1977 and possesses a certificate of competence awarded by the Council.

(4) A person shall be eligible to be enrolled as a Probationary Member—

(a) if he has successfully completed a Degree or Diploma Course recognised for admission to the grade of Professional Associate Member as specified in paragraph (2)(a) of this Schedule; and

(b) if he is in the profession of valuation in accordance with the scheme of assessment of professional competence or any other requirement for continuous professional development, determined under section 5.

The maximum period during which a person may remain a Probationary Member shall be ten years.

(5) A person shall be eligible to be enrolled as a Student Member—

(a) if he is over eighteen years of age; and

(b) if he is registered in an educational institution recognised by the Council, as a Student following an internal or external, full time or part time, Degree or Diploma Course as the case may be, leading to qualifications recognised for admission to the grade of Professional Associate Member as specified in paragraph (2)(a) of this Schedule.

The maximum period during which a person may remain a Student Member shall be ten years.

SCHEDULE c

[Section 7]

[Sch C ins by s 23 of Act 9 of 2019.]

(1) Every application for enrolment in any grade of Corporate Members shall—

(a) be made to the Honorary General Secretary of the Council;

(b) be in such form as may be provided for the purpose by the Honorary General Secretary of the Council;

(c) state the qualifications by virtue of which the applicant is eligible for enrolment in that grade and be supported by an affidavit as to such qualifications;

(d) be signed by the applicant;

(e) be accompanied by the amount of the appropriate application fee, entrance fee and membership fee; and

(f) be recommended by two members of the Council or by four members of the Institute of whom one shall be a Fellow, one shall be Professional Associate Member and not less than two shall be members enrolled in the grade in which the applicant seeks enrolment.

(2) Every application for enrolment in any grade of Non-Corporate Members shall—

(a) be made in such form as may be provided for the purpose by the Council;

(b) state the qualifications by virtue of which the applicant is eligible for enrolment in that grade and where the application is for enrolment in any grade other than that of Honorary Member, be supported by an affidavit as to such qualifications;

(c) be signed by the applicant;

(d) where such application is for enrolment in any grade other than that of Honorary Member, be accompanied by the amount of the appropriate application fee, entrance fee and membership fee, or where the application is for enrolment as an Honorary Member, be accompanied by the appropriate membership fee; and

(e) be recommended by at least two Corporate Members.

SCHEDULE d

[Section 22]

[Sch D ins by s 23 of Act 9 of 2019.]

Each of the following acts or omissions shall constitute professional misconduct on the part of a valuer—

(a) unbefitting his status as a member;

(b) discrediting or attempting to discredit the profession of valuation or the Institute;

(c) involving in any act detrimental to the profession of valuation or undermining the interests of the Institute;

(d) discrediting or attempting to discredit the professional reputation or skill of any other member;

(e) when acting for a client or when in contemplation of acting for a prospective client, whose interests conflict or may conflict with his own, or those of any of his business associates, not disclosing the relevant facts forthwith to the client or prospective client and to the business associates and where such disclosure is oral, not confirming the same in writing at the earliest opportunity and not informing the client that he will be unable to act or continue to act unless the client requests him to do so;

(f) failure to ensure that neither he personally, nor any firm or company in the profession of valuation, of which he is a Partner or Director, acts for two or more parties with conflicting interests, without disclosing the relevant facts to each of these parties forthwith and if there is a disclosure without confirming such disclosure in writing at the earliest opportunity;

(g) failure to obtain sufficient information to warrant the expression of an opinion;

(h) quoting a fee in competition for professional services without having received an invitation to do so and without sufficient information to enable the member to assess the nature and scope of the services required;

(i) having once quoted a fee for professional services, revising that quotation taking into account the fee quoted by another member for the same service;

(j) quoting a fee for professional services which is to be calculated by reference to the fee quoted or charged by another member;

(k) accepting any professional matter which may embarrass him by reason of his holding any office or appointment or where there is a loss of confidence between a member and his client;

(l) not giving reasonable notice to a client on behalf of whom the member ceases to act:

Provided that it shall not be a professional misconduct if a member ceases to act for his client being requested to do so, or where the client declines or neglects to give further instructions where the member would be left with no authority of his client in any professional matter or proceeding;

(m) disclosing personal or confidential information acquired in the performance of any professional work except when required to do so by the person who entrusted him with that work or his agent or by a Court of Law, or by a Board or an arbitration appointed by this Law or by any other written Law:

Provided that the duty on the part of the member to refrain from disclosing such personal or confidential information lies not only during the existence of his professional relationship with the client but indefinitely thereafter, even after the said member has ceased to act for the said client and after the demise of the client as well;

(n) resorting by himself or through another, directly or indirectly, to the practice of soliciting work;

(o) using any advertisement, stationery, card or announcement by a member containing—

(a) an inaccurate statement of fact;

(b) an explicit solicitation of instructions;

(c) an explicit comparison between the services offered by the member and the services offered by other members or firms;

(d) a claim by a member or his firm, to have been “Specialised in” or “Expert in” any particular aspect of the profession of valuation;

(p) appearing in any other name or designation different to that by which he is registered in the Institute when he performs any professional function such as issuing valuation reports and advice on matters relating to valuation unless such name or designation is recognised by the Institute;

(q) displaying gross negligence in the performance of his professional work;

(r) knowingly, negligently or fraudulently expressing an incorrect opinion on valuation or furnishing an incorrect valuation, to a client;

(s) deviating from or failure to comply with any valuation standards determined under section 5, without a reason acceptable to the Council;

(t) tampering with the membership seal or any other form of identity issued to the members by the Institute.