Investment Limited Partnerships Act, 1994
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Obligations of custodian. |
24.—(1) The custodian must— | |
(a) carry out the instructions of the general partner unless they conflict with this Act or regulations made hereunder, directions of the Bank or the partnership agreement; | ||
(b) ensure that in transactions involving investment limited partnership's assets any consideration is remitted to it within the usual time limits; | ||
(c) ensure that an investment limited partnership's income is applied in accordance with this Act or regulations made hereunder, directions of the Bank or the partnership agreement; | ||
(d) enquire into the conduct of the general partners in the management of the investment limited partnership in each annual accounting period and report thereon to the limited partners. The custodian's report shall be delivered to the general partner in good time to enable it to include a copy of the report in the Annual Report required under section 16 . The Report shall state whether in the custodian's opinion the general partner has managed the investment limited partnership in that period— | ||
(i) in accordance with this Act or regulations made hereunder, directions of the Bank or the partnership agreement the limitations imposed on the investment and borrowing powers of the general partner and custodian by the partnership agreement or directions of the Bank, and | ||
(ii) otherwise in accordance with the provisions of the partnership agreement and this Act, and | ||
if it has not done so, in what respect in which it has not done so and the steps which the custodian has taken in respect thereof; | ||
(e) ensure that the value of the interests of the partners in the investment limited partnership is calculated in accordance with this Act and the partnership agreement; | ||
(f) ensure that contributions and withdrawals of contributions of partners’ capital are effected in accordance with the partnership agreement and the Act; | ||
(g) carry out such additional duties as may be specified by the Bank by means of conditions imposed under section 7 (2) (b). | ||
(2) Any provision whether contained in the partnership agreement or in any contract with an investment limited partnership for exempting a custodian, general partner or auditor of an investment limited partnership from, or indemnifying him against any liability which would otherwise attach to him in respect of any negligence, default, breach of duty or breach of trust of which he may be guilty in relation to an investment limited partnership shall be void, so, however, that an investment limited partnership may indemnify any such custodian, general partner or auditor against any liability incurred by him in defending proceedings in which judgement is given in his favour or in which he is acquitted. | ||
(3) A custodian who fails to comply with subsection (1) shall be guilty of an offence and shall indemnify any person who thereby suffers loss. |