108. (1) Subject to the provisions of this section, the Director may Road service licences Cap. 385 grant to any citizen of Zambia applying for a road iervice licence a road service licence in the prescribed form authorising the holder to provide such road service as may be specified in the road service licence. (2) The Director may vary the provisions of a road service licence granted under subsection (1) on application of the holder of the licence. (3) Notwithstanding subsection (1) the Director may grant a road service licence to, or vary the provisions of a road service licence held by a person who is not a citizen of Zambia, but is a holder of an investment licence issued in terms of the Investment Act. (4) In this section " citizen of Zambia " means- (a) in relation to an individual, an individual who is a citizen of Zambia; (b) in relation to a partnership, a partnership which is composed exclusively of persons who are citizens of Zambia; (c) in relation to a body corporate, a body corporate which is incorporated under the laws of Zambia and- (i) is certified under the hand of the Minister to be controlled by the State; or (ii) not less than seventy-five percenturn of membership is exclusively composed of persons who are citizens of Zambia; (iii) whose Dinxto~~ are exclusively citizens of Zambia; rmd (iv) which is not controlled by any means directly or indirectly, outside Zambia or by persons who are not exclusively citizens of Zambia. 172 No. 11 of 20023 Road Trafic (5) For the purpose of subsection (2), persons shall be deemed to control a body corporate notwithstanding that other persons are associated with the control of the body corporate, if they can override those other persons. (6) The Director shall not grant or vary a road service licence in respect of any route if it appears to the Director from any particulars furnished in pursuance of subsection (7) that the provisions of this Act or of the regulations under the Act relating to the speed of motor vehicles are likely to be contravened. (7) Subject to subsections (1) and (2), the Director in deciding whether to grant or refuse or vary a road service licence in respect of any route or area, shall have regard to the following: (a) the suitability of the routes on which a service may be provided under the licence; (b) the needs of Zambia as whole in relation to traffic and the \ co-ordination of all forms of transport; (c) the payment of reasonable wages and observance of proper conditions of service in respect of the drivers and conductors of the applicant employees; (d) the reliability and financial stability of the applicant; (e) facilities at the disposal of the applicant for carrying out vehicle maintenance and mechanical repairs; and (8 any previous convictions of the applicant for any offence under this Act. (8) To enable objections or representations to be made, the Director shall, if the particulars required under subsection (7) have been supplied and the application is otherwise in order, cause a notice of the application to be published in the Gazette and in such other manner as may be prescribed by regulations or in the absence of such regulations as the Director may think fit, at least forty days before the meeting at which the ap~lication is heard. (9) Notice of objections or other representations from persons already providing transport facilities along or near the routes or in the area in respect of which the application is made or any part thereof or from any local authority stating the grounds on which they desire to object or make representations shall be given in writing in accordance with such procedure as may be prescribed. Rocd Trafic [No. 11 of 2002 173 (10) The Director may grant a road service licence subject to such conditions as the Director may think fit and may, from time to time, vary such conditions in such manner as the Director thinks fit. (1 1) Compliance with the provisions of this Act and of any regulations made under it and adherence to the rates fixed and laid down in respect of any service shall be implied conditions of the road service licence referred in subsection (10) under which that service is operated. (12) A person applying for a road service licence, and a holder of such licence applying for its variation, shall submit to the Director- (a) particulars of the vehicle to be used; (b) in the case of regular services, the timetables of the services which it is proposed to provide under the licence; (c) in any other case, such particulars as to the frequency of the services, the times to be taken, and the vehicles to be used on the journeys included in those services as the Director requires; (d) the rate of fares of the proposed services; (e) particulars of any bankruptcy or of any agreement with creditors entered into by the applicant; Cf) particulars' of any agreement or arrangement affecting in any material respect the provision, within Zambia, of facilities for the transport of goods or passengers for hire or reward entered into by the applicant with any other person by whom such facilities are provided; (g) particulars of any financial interest (whether as a partner or shareholder or as a result of any loan, guarantee or other financial transaction) which any person providing facilities for the transport of goods or passengers for hire or reward or controlling (either solely or in conjunction with any other person) the business of the applicant, and in the case of an applicant being a company, of any right which any such director of the company and any such interest or right which the applicant has in the business of any other person engaged in the operation of public service vehicles within Zambia; (h) such other information as the Director may require. 174 No. 11 of 20023 Road Traffic (13) In the case of any material mis-statement of any of the particulars referred to in subsection (12), the Director may revoke any road service licence or any variation made by the Director upon the application containing such rnis-statement. (14) Where any application made by any person in accordance with subsection (12) is refused by the Director and within a period of six months from the date of such refusal a further application is made by the same person which, in the opinion of the Director is substantially the same as the one refused, the Director may refuse to entertain such further application until the expiry of such period of six months. (15) The Director on granting, revoking or suspending in whole or in part a road service licence or vary the terms or conditions of such a licence shall publish and notice thereof in the Gazette, and in such other manner, if any, as may be prescribed by regulations or, in the absence of such regulation, as the Director may think fit, but failure to publish such notice shall not operate to invalidate any matter in respect of which such notice ought to have been given. (16) A road service licence may be revoked or suspended in whole or in part or its tenns or conditions may be varied by the Director on the ground that any condition subject to which the licence or a variation was granted has not been complied with: Provided that the Director shall not revoke, suspend or in terms of this subsection, vary such a licence unless owing to the frequency of the breach of conditions on the part of the licence holder or to the breach having been committed willfully, or to the danger to the public involved in the breach, the Director is satisfied that the licence should be revoked, suspended or varied. (17) A road service licence may be withdrawn or cancelled by the Director if any of the conditions subject to which such licence was granted are not complied with. (18) Subject to the subsection (19),where it comes to the knowledge of the Director that the services specified in any mad service licence are not being adequately provided, the Director may revoke or suspend the licence in whole or in part, or vary its terms or conditions, and it shall not be necessary for the Director to decide such cases, or those referred to in subsection (1 S), at a public sitting unless requested by the holder of the licence so to do: Provided that where the Dkctor has been nequested to hold a public stitting in iumdme with the pvisims of this subsection the Dk%x may, if the Director considers it necessary in the plblic interest f a the Road Traffic [No. 11 of 2002 175 safety of the public or any member of the public, declare the licence suspended until a public sitting can be held. (19) Notwithstanding subsection (18), the Director shall, prior to revoking a licence, give notice in writing to the person concerned that the Director intends to revoke the licence and giving that person an opportunity to state, within a specified period, any reason why the licence should not be revoked. (20) Subject to the provisions of section one hundred and nine, every road service licence shall be granted for a period of one year ending on 3 1 " December of each year. (21) For the issue of every road service licence or duplicate of the road service licence, for every variation of such licence, and for each authorised vehicle specified in the road service licence, there shall be paid the prescribed fee. (22) The Director shall have power to take evidence on oath and make such other necessary investigations as the Director may consider fit in assisting the Director to come to a decisian regarding the issue, suspension, cancellation, variation or refusal of the road service licence, or the variation of any conditions attached thereto, and for those purposes the Director shall have power to administer oaths. (23) Notwithstanding the provisions of h s section and of section one hundwd, the Director may, on giving at least fourteen days' notice in the Gazette of the intention so to do, without holding a public sitting, grant to any person applying for a road service licence to provide a rural feeder service after having regard only to the matters contained in paragraph ( 6 ) of subsection ( 7 ) , and to any objections or representations made by any person in respect thereof. (24) For the purposes of this section, a rural feeder s k i c e shall mean a service for conveying goods for hire or reward in areas or on roads that are declared by the Agency to be primarily rural in character, subject to the following conditions: (a) that on a rural feeder service no goods shall be kept at any point on any specified route or in any point on any specified area and on the same journey be set down at any other point on any specified route or in any such specified area; (b) that no rural feeder service shall be authorised to operate on a specified route or in a specified area beyond the nearest point on that route or in that area at which such service can reasonably terminate; 176 No. 11 of 20021 Road Traffic and for the purposes of this section, specified routes and specified areas shall be those notified by the Minister from time to time in the Gazette. (24) Any road service licence- (a) issued in contravention of subsection (1) to a person who is not a citizen of Zambia shall be void; or (b) issued to a person who or which, by reason of any reason or event, ceases to be a citizen of Zambia during the period of validity of such licence, shall, upon the happening of such event, expire; or (c) may be revoked by the Minister, on the recommendation of the Agency, by statutory order, if it is issued to a body corporate and the Minister is satisfied, after such inquiry as the Director may make or cause to be made with respect to such mentioned body corporate or partnership, that it is not a citizen of Zambia. (26) Notwithstanding the provisions of this section, the Director shall discourage monopolies and encourage competition as provided in the Competition and Fair Trading Act. Cap.417 (27) Any person who knowingly- (a) gives false information to the Director in connection with an application for a road service licence; or (b) makes a false entry in the prescribed form in respect of an application for a road service licence; commits an offence and shall be liable, upon conviction- (i) in the case of a first offence, to a fine not exceeding fifteen thousand penalty units or, in default of payment, to imprisonn~ent for a period not exceeding eighteen months; (ii) in the case ol'a second or subsequent conviction, to a fine not exceeding thirty thousand penalty units or, in default of paymeill, to imprisonment for a period not exceeding three years. (28) Where, in a prosesution for an offence under this section, it is relevant to prove that a person is not a citizen of Zambia, it shall be presumed that such person is not a citizen of Zambia until the contrary is proved.