Industrial Development (Encouragement of External Investment) Act, 1958
Acts of the Oireachtas
Source: Acts of the Oireachtas

num: 1
paragraphs: —(1) In this Act—
“the Act of 1932” means the Control of Manufactures Act, 1932 (No. 21 of 1932);
“the Act of 1934” means the Control of Manufactures Act, 1934 (No. 36 of 1934);
“the appointed day” means the day which is the first anniversary of the date of the passing of this Act;
“commodity” includes any article, material or substance, and references to a commodity include references to part of that commodity;
“company”, when used without qualification, means a company, whether established before or after the passing of this Act, and whether established, within or without the State;
“Irish company” means a company registered in the State under the Companies Acts, 1908 to 1924;
“qualified (1932 Act) person” means a person being—
(a) an Irish citizen, or
(b) a person born in the State, or
(c) a person who at the relevant time was or is and for not less than five consecutive years immediately preceding that time had or has been ordinarily resident in the State;
“qualified (1934 Act) person” means a person being—
(a) an Irish citizen, or
(b) a person born in the State, or
(c) a person who at the relevant time was or is and for not less than five consecutive years immediately preceding the 2nd day of July, 1934, had been ordinarily resident in the State;
“the State” includes the area now comprised in the State.
(2) This Act shall be construed as one with the Control of Manufactures Acts, 1932 and 1934.
(3) References in this Act to any enactment shall be construed as references to that enactment as amended by any subsequent enactment, including this Act.
num: 2
paragraphs: —For the purposes of this Act each of the following shall be a manufacturing process—
(a) the making, by the use of mechanical power, of a commodity,
(b) the altering, by the use of mechanical power, of a commodity,
(c) the ornamenting, by the use of mechanical power, of a commodity,
(d) the finishing, by the use of mechanical power, of a commodity,
(e) the adapting for sale, by the use of mechanical power, of a commodity.
num: 3
paragraphs: —(1) Wherever the Minister is of opinion that a particular commodity is either not being manufactured in the State or not being manufactured in the State to a substantial extent, he may by order declare that such commodity shall be an excepted commodity for the purposes of this Act.
(2) Where the Minister makes an order under subsection (1) of this section, then the word “commodity” shall, in section 2 of this Act and in any section of this Act subsequent to this section, be construed as excluding the commodity to which the order relates.
(3) Whenever the Minister makes an order under subsection (1) of this section, notice of the making of the order (which notice shall contain particulars of the commodity to which the order relates) shall be laid before each House of the Oireachtas as soon as may be after the order is made.
num: 4
paragraphs: —(1) In this section, the expression “Stock Exchange” means a Stock Exchange, being—
(a) the Dublin Stock Exchange, or
(b) the Cork Stock Exchange.
(2) For the purposes of this Act, a company shall be an excluded company if and so long as it complies with the following conditions—
(a) that it is a public company limited by shares and is an Irish company,
(b) that it is managed and controlled in the State,
(c) that its Memorandum of Association and every prospectus issued by it after the date of the passing of this Act provide that the carrying on of a manufacturing process in relation to a commodity intended for export is a principal object,
(d) that, of each class of shares carrying voting rights issued by it, not less than fifty per cent. have been bona fide issued for public subscription in the State and have been made available primarily to Irish citizens or Irish companies which are managed and controlled in the State,
(e) that in respect of each of such class of shares a quotation has been granted by a Stock Exchange.
(3) Where a company which complies with the conditions set out in paragraphs (a), (b) and (c) of subsection (2) of this section applies to a Stock Exchange for a quotation in respect of any class of shares carrying voting rights issued by it, the following provisions shall apply—
(a) the company shall in its application state whether it does or does not claim that it has in respect of that class of shares complied with the condition set out in paragraph (d) of subsection (2) of this section,
(b) if the company so claims in its application, then—
(i) the company shall furnish to that Stock Exchange such information, in relation to that class of shares, as that Stock Exchange may require to enable it to determine whether such claim is or is not well-founded,
(ii) if the company fails to furnish that information or if that Stock Exchange is not satisfied that the claim is well-founded, it shall not grant a quotation in respect of that class of shares,
(iii) if that Stock Exchange grants a quotation in respect of that class of shares, the company shall, as regards that class of shares, be taken to have complied with the conditions set out in the said paragraph (d).
num: 5
paragraphs: —(1) It shall, notwithstanding anything in section 9 of the Act of 1934, be lawful for a company, which carries on a business by way of trade or for the purposes of gain, to carry on, in the course of or as part of such business, any manufacturing process if at the time of doing so (in this subsection referred to as the relevant time)—
(a) such company carries on business primarily for export and sales by it on the home market of each commodity in respect of which it carries on any manufacturing process are incidental only to its export trade in that commodity, or
(b) such company is an excluded company, or
(c) such company is the holder of a certificate of exemption granted under section 6 of this Act and such manufacturing process is carried on under the authority conferred by such certificate of exemption, or
num: 6
paragraphs: —(1) Where, in respect of any Irish company which is managed and controlled in the State and which carries on or intends to carry on a particular manufacturing process relating to a particular commodity, the Minister is satisfied that a main object of such company in doing so or intending to do so is to develop export trade, the Minister, on the application of such company, may, for the purpose of exempting it, in respect of the carrying on of such manufacturing process, from the operation of section 9 of the Act of 1934, as amended by section 5 of this Act, issue to it a certificate (in this Act referred to as a certificate of exemption) authorising it to carry on such manufacturing process.
(2) Where, in respect of an Irish company whose shares have been quoted on a Stock Exchange in the State for a period of not less than five years, the Minister is of opinion that the company is carrying on or proposes to carry on a particular manufacturing process relating to a particular commodity and that the purpose of the company, in doing so or intending to do so, is to develop an export trade, the Minister, on the application of such company, may, for the purpose of exempting it, in respect of the carrying on of such manufacturing process, from the operation of section 9 of the Act of 1934, as amended by section 5 of this Act, issue to it a certificate (in this Act referred to also as a certificate of exemption) authorising it to carry on such manufacturing process.
(3) Where the Minister grants under subsection (1) or (2) of this section a certificate of exemption to a company which proposes to carry on a particular manufacturing process relating to a particular commodity, such certificate shall be granted subject to the condition that such company shall before the expiration of such period, as the Minister thinks proper and specifies in such certificate, commence to carry on such manufacturing process.
(4) A certificate of exemption may relate to more than one manufacturing process and to more than one commodity.
(5) The Minister may at any time alter or revoke a certificate of exemption upon the application of the holder thereof, but not otherwise.
(6) Where a certificate of exemption authorises a company to carry on a particular manufacturing process relating to a particular commodity, and the ownership of business of that company, in so far as it relates to such manufacturing process, is transferred to another company, such other company may apply to the Minister to transfer such certificate to it, and thereupon the Minister shall, if he is of opinion that such transfer will result in the maintenance or development of the export trade in relation to that commodity, transfer such certificate accordingly, but if not of that opinion shall refuse to grant such application.
(7) A certificate of exemption authorising a company to carry on a particular manufacturing process relating to a particular commodity shall cease to be in force—
(a) if such company ceases to carry on such manufacturing process—on the date of such cesser, or
(b) if such certificate is revoked under subsection (5) of this section—on the date of such revocation,
(c) if, on any application being made for the transfer of such certificate, under subsection (6) of this section, such application is refused—on the date of such refusal,
(d) if such certificate was, in accordance with subsection (3) of this section, granted subject to the condition that such company shall commence, before the expiration of a specified period, to carry on such manufacturing process and such company has failed to comply with such condition—on the expiration of such period.
(8) (a) The Minister shall establish and maintain a register (in this subsection referred to as the register) of certificates of exemption granted under this section.
(b) There shall be entered in the register, in respect of each certificate of exemption granted, the following particulars—
(i) the name of the company to which such certificate was issued,
(ii) the commodity to which such certificate relates,
(iii) the manufacturing process authorised by such certificate to be carried on.
(c) The register shall be kept at the office of the Minister in Dublin and shall be there open to inspection by any interested person, on payment of one shilling, at such times as the Minister may direct.
num: 7
paragraphs: —(1) Where the Minister grants a new manufacture licence, he may, in addition to any condition subject to which by virtue of paragraph (c) of subsection (2) of section 6 of the Act of 1932 such licence is to be granted, grant such licence subject to the condition that some of the things, the doing of which is authorised by such licence, shall not be done without his consent but this provision shall not authorise the Minister to add a condition to a new manufacture licence after it has been granted.
(2) Subsection (1) of this section shall be deemed to have come into operation on the date of the passing of the Act of 1932.
num: 8
paragraphs: —(1) The following new subsection shall be inserted in section 14 of the Act of 1934—
“(3Α) (a) The Minister may from time to time serve notice in writing on any body corporate requiring such body corporate within twenty-eight days after the service of the notice to furnish a return stating—
(i) the value on a specified date of the fixed assets then used in its business, and
(ii) the original cost of those fixed assets.
(b) A notice under paragraph (a) of this subsection may also require the body corporate on which the notice is served to include in the return to be made by it, particulars (including nil particulars) of the following—
(i) the amount of any grant made to it out of moneys provided by the Oireachtas or by any body established by or under any enactment,
(ii) the amount of its reserves in so far as they have been provided out of profits,
(iii) any amounts due by it in respect of hire-purchase agreements, within the meaning of the Hire Purchase Act, 1946 (No. 16 of 1946), covering periods of not more than five years,
(iv) the amount of any loans for the time being unpaid made to it in respect of which the Minister has given a guarantee,
(v) the amount of any loans for the time being unpaid made to it by Irish citizens, or bodies corporate which at the date of the return are exempted from the operation of section 9 of this Act, as amended by section 5 of the Industrial Development (Encouragement of External Investment) Act, 1958, by virtue of paragraph (d), (e) or (f) of subsection (1) of the said section 5,
(vi) the amount of any loans for the time being outstanding made to it by the Industrial Credit Company, Limited, or the payment of which has been guaranteed by that Company.
(c) A notice under paragraph (a) of this subsection may also require the return, which is to be made in pursuance of the notice, to be verified in such one or both of the following ways (as may be specified in the notice)—
(i) by a statutory declaration made by a person having personal knowledge of the facts,
(ii) by a certificate signed by such a person having personal knowledge of the facts.”.
(2) Paragraph (b) of subsection (3A) (being the subsection inserted by subsection (1) of this section) of section 14 of the Act of 1934 shall not come into operation until the appointed day.
(3) Section 14 of the Act of 1934 is hereby amended in the following respects—
(a) in subsection (2), the references to SaorstÃ¡t Ãireann shall be construed as references to the State;
(b) in subsections (4) and (8)—
(i) the references to a national of SaorstÃ¡t Ãireann shall be construed as references to a qualified (1932 Act) person, and
(ii) the references to a qualified person shall be construed as references to a qualified (1934 Act) person;
(c) in subsection (8) the references to place or places in SaorstÃ¡t Ãireann shall be construed as references to place or places in the State.
num: 9
paragraphs: —No order shall be made under section 17 of the Act of 1934 after the passing of this Act.
num: 10
paragraphs: —Where a company, which carries on any manufacturing process, applies to the High Court, on notice to the Minister, for a declaration that it is, at the time of making the application, lawfully carrying on that manufacturing process—
(a) the Minister shall not, during the period commencing on the date on which notice of the application was given to the Minister and ending six months after the determination of the application, institute proceedings under section 9 of the Act of 1934 in respect of an alleged contravention, as respects the carrying on by the company of that manufacturing process, of the said section 9;
(b) for the purposes of paragraph 4 of section 10 of the Petty Sessions (Ireland) Act, 1851, the said period shall not, as regards the institution of such proceedings, be taken into account in computing the six months mentioned in the said paragraph 4.
num: 11
paragraphs: —Neither the Act of 1932 nor the Act of 1934 nor this Act shall apply to—
(a) the process of milling wheat, or
(b) the adapting for sale at a mill of any product of wheat milled at such mill, or
(c) agriculture, or
(d) the altering by a retailer of any article intended to be sold retail by him, or
(e) the doing, under and in accordance with a licence granted under Part III of the Act of 1934, of anything authorised to be done under such licence in relation to any commodity which is for the time being a reserved commodity within the meaning of the said Part III, or
(f) the process of manufacturing cement which is Roman cement, Portland cement or other hydraulic cement, or the adapting for sale at a factory of any such cement manufactured at such factory, or
(g) any act or thing done by Comhlucht SiÃºicre Ãireann, Teoranta, or
(h) any business which is carried on under and in accordance with a licence granted under Part VII of the Slaughter of Cattle and Sheep Act, 1934 (No. 42 of 1934).
num: 12
paragraphs: —(1) Where a Minister of State holds in his Ministerial capacity any shares in an Irish company, then, as regards those shares, he shall, for the purposes of this Act, be deemed to be the beneficial owner thereof and also a qualified (1932 Act) person and a qualified (1934 Act) person.
(2) Where, at any time before the passing of this Act, a Minister of State held in his Ministerial capacity any shares in an Irish company, then, as regards those shares, he shall, for the purposes of this Act, be deemed to have been at that time the beneficial owner thereof and also a qualified (1932 Act) person and a qualified (1934 Act) person.
num: 13
paragraphs: —The enactments mentioned in the Third Schedule to this Act are hereby repealed to the extent mentioned in the third column of the said Schedule.
num: 14
paragraphs: —This Act may be cited as the Industrial Development (Encouragement of External Investment) Act, 1958.