Library / Page 1 of 35 MIDSTREAM PETROLEUM HOST COMMUNITIES DEVELOPMENT TRUST REGULATIONS, 2024
Page 1 of 35 MIDSTREAM PETROLEUM HOST COMMUNITIES DEVELOPMENT TRUST REGULATIONS, 2024
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Page 24 of 35 deduct the administrative penalty paid pursuant to sub-regulation (2) of this regulation from the three percent annual contribution. (4) Where the Authority determines that a withdrawal was made from the Fund in contravention of the approved host communities development plan or the Act without the approval of the Authority, the licensee shall be liable to administrative penalty not exceeding NGN 1,000,000.00. 32(1) The board of trustees shall be responsible for appointing the fund manager on the recommendation of the Management Committee. (2) The fund manager shall be appointed within one month of the establishment of the Fund. (3) A person shall not be appointed as a fund manager in respect of the reserve fund unless - (a) it is incorporated under the Companies and Allied Matters Act; (b) the total market value of assets managed by the fund manager is not less than 5 years projected value of the value of the reserved fund; (c) it is registered as a fund manager with the Securities and Exchange Commission; and (d) it is registered with the Authority; (4)A person who contravenes the provisions of this regulation shall be liable to administrative penalty of not less than NGN2,500,000 and a further sum of NGN250,000 for every day during which the contravention persists. Appointment of the Fund Manager 33. The fund manager shall in administering the reserve fund, - (a) act with honesty and fairness; (b) act with skill, care and diligence; (c) act in the interest of the host communities; (d) act with independence and objectivity; (e) communicate with the Board of Trustees in a timely and accurate manner; (f) refuse to participate in any business relationship or accept any gift that could reasonably be expected to affect its independence or objectivity; Duties of the Fund Manager
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