Scrap Metal Act

This Act may be cited as the Scrap Metal Act.

Contains the phrase "Section pack in drums or other containers; or".

There is established the Scrap Metal Council.

Section sets out who composes the Scrap Metal Council: a Chairperson appointed by the Cabinet Secretary who must have at least five years' experience; specified ex officio officials and nominated representatives; members must elect a vice-Chairperson at the first meeting; Chairperson and members (other than ex officio) are appointed by notice in the Gazette and hold office for three years, eligible for reappointment once.

Council members may at any time resign from office by notice in writing to the Cabinet Secretary.

Section 6 lists the functions of the Scrap Metal Council, requiring the Council to adopt measures to regulate the scrap metal industry (including protecting public health and the environment), to receive and process licence applications, to handle public complaints and disputes, to submit an annual status report to the Cabinet Secretary, and to collaborate with inspectors to bring order and integrity to the trade.

The Council may regulate its own procedure.

Members and officers of the Council are not personally liable for bona-fide acts or omissions done in executing functions, powers or duties under the Act.

People seeking a licence or renewal must apply to the Council as provided in the Second Schedule; the Council must decide to approve or reject within thirty days.

A licence is to be issued in the form prescribed in the Third Schedule.

If the Council refuses to issue or renew a licence, the applicant may appeal to the Cabinet Secretary.

A licence shall not be transferable except with the consent of the Cabinet Secretary on the advice of the Council and shall authorize dealing at the specified premises.

Licence may be cancelled if the licensee becomes bankrupt or, if a company, goes into liquidation.

A person whose licence is cancelled by the Council may appeal first to the Cabinet Secretary, and if not satisfied with that decision may appeal to the High Court.

Licensees must conspicuously display a signboard on their premises in the prescribed manner; the sign must show the full name and the words "LICENSED SCRAP DEALER" in capital letters and be in English or Kiswahili. Persons who internally generate scrap metal are exempt. Failure to comply is an offence punishable by a fine not exceeding two million shillings.

Licensees must prepare and submit a duplicate record of each variety of scrap metal within one month of licence grant, keep it for up to seven years; failure is an offence with specified fines.

Licensees must record detailed information about scrap metal transactions and obtain signatures or left thumb-prints; entries must be made within 24 hours; penalties apply for offences including fines, imprisonment and licence revocation.

Entries required under sections 17 or 18 are presumed to have been made with the authority of the respective licensee unless the contrary is shown.

Licensees are restricted in dealing with scrap metal: they may only do so between 6:30am and 6:30pm, not with persons under 18, and not with persons whose identity they cannot verify; licensees must not store or deal in scrap metal anywhere other than the specified premises unless authorized by the Council; licence variations use the Sixth Schedule; contravention is an offence with fines up to one million shillings and continuing daily fines up to two thousand shillings.

Any person must not dispose of, disfigure, change the form of, or bale scrap metal within seven days of acquiring possession or control, except with the written permission of the Principal Secretary; contravention is an offence liable to a fine not exceeding five million shillings or imprisonment not exceeding three years or both.

Any person must provide the name, identity number, telephone number and address of the person from whom they acquired or saw the property.

No person (including licensees, servants or agents) shall allow scrap metal of unknown origin into their possession, whether on licensed premises or elsewhere; contravention is an offence punishable by a fine not exceeding twenty million shillings or imprisonment for up to seven years or both.

A person must not remove, deface or destroy scrap metal from infrastructure (roads, bridges, railways, pipelines, telecommunication, electricity, water and sewerage) or from any government infrastructure project.

Inspectors may seize scrap metal of undetermined ownership; they must present it to a Court within fourteen days. Courts may order forfeiture to the State; conditional forfeiture triggers notice and advertising requirements, and persons with lawful title or not involved in an offence are identified in subsection (5).

Persons are prohibited from exporting scrap metal, except that the Cabinet Secretary for finance may authorize specific exports; certificates are issued by the Principal Secretary; exemptions last six months; contraventions attract fines or imprisonment.

A licensee is personally liable for offences committed or omitted by their agents or servants as if the licensee had committed the act; agents or servants who in the course of business commit such acts themselves commit an offence and are liable on conviction to the prescribed punishment.

If a company, cooperative society or other body commits an offence under this Act with the consent of or facilitated by neglect of its directors or officers, both those officers and the entity shall upon conviction be liable to the punishment prescribed under this Act.

Persons must not deal in scrap metal unless they hold a licence issued by the Council and are members of the Scrap Metal Dealers Association; penalties apply for first and subsequent offences including fines and imprisonment.

The Cabinet Secretary must appoint and issue certificates to inspectors trained in metallurgy or a related field; inspectors have police powers and may, subject to the Director of Public Prosecutions, summon and examine witnesses and conduct prosecutions. The Cabinet Secretary may designate other public officers and may amend or withdraw appointments.

Inspectors have specified powers to inventory, detain scrap metal, arrest and detain suspects, and must produce appointment evidence; persons may refuse to answer incriminating questions; obstructing an inspector is an offence punishable by fine or imprisonment.

If a person commits an offence under this Act for which no penalty is specifically provided, that person is liable to a fine not exceeding two hundred thousand shillings, or to imprisonment for a term not exceeding three months, or to both.

The Cabinet Secretary may, on the recommendation of the Council, make rules to carry out this Act, including prescribing forms, fees, signs and notice boards, disposal of forfeited scrap metal, and other matters.