Control of Manufactures Act, 1932

Restriction on the carrying on of manufactures.

2.—(1) It shall not be lawful for any person who carries on a business by way of trade or for the purposes of gain to do any of the following things in the course or as part of such business, that is to say, to make, alter, repair, ornament, finish, or to adapt for sale any article, material, or substance or any part of any article, material, or substance, unless either—

(a) such business is, at the time such thing is done, in the beneficial ownership of an individual who is at that time a national of Saorstát Eireann; or

(b) such business is, at the time such thing is done, owned by two or more individuals and more than half the capital invested at that time in such business is beneficially owned by an individual who is or two or more individuals each of whom is at that time a national of Saorstát Eireann; or

(c) such business is, at the time such thing is done, owned by a body corporate the issued shares of which are at that time to an extent exceeding one-half (in nominal value) thereof in the beneficial ownership of a person who is or of two or more persons each of whom is at that time either a national of Saorstát Eireann or a body corporate the issued shares of which are at that time to an extent exceeding one-half (in nominal value) thereof in the beneficial ownership of nationals of Saorstát Eireann; or

(d) such business was carried on in Saorstát Eireann on the 1st day of June, 1932, and such business is, at the time such thing is done, owned by the body corporate by which it was owned on the said 1st day of June, 1932, and the doing of such thing would, if it had been done on the said 1st day of June, 1932, or within one month immediately preceding that date have been in the ordinary course or formed part of such business or have been a reasonable extension of such business as then carried on in Saorstát Eireann; or

(e) such business was carried on in Saorstát Eireann on the 1st day of June, 1932, and such business is, at the time such thing is done, beneficially owned by the individual or all, some, or one of the individuals by whom it was beneficially owned on the 1st day of June, 1932, and the doing of such thing would, if it had been done on the said 1st day of June, 1932, or within one month immediately preceding that date have been in the ordinary course or formed part of such business or have been a reasonable extension of such business as then carried on in Saorstát Eireann; or

(f) such business was carried on in Saorstát Eireann on the 1st day of June, 1932, and such business is, at the time such thing is done, owned by a body corporate the issued shares of which are beneficially owned to an extent exceeding one half (in nominal value) by the individual or individuals by whom the business was beneficially owned on the 1st day of June, 1932, and the doing of such thing would, if it had been done on the said 1st day of June, 1932, or within one month immediately preceding that date, have been in the ordinary course or formed part of such business or have been a reasonable extension of such business as then carried on in Saorstát Eireann; or

(g) such person is the holder of a new manufacture licence and such thing is done under such licence; or

(h) such business is carried on in direct succession to a deceased person who would, if such thing had been done immediately before his death, have been lawfully entitled, under the foregoing provisions of this sub-section, to do such thing in the course or as part of such business, and such thing is done in the course or as part of such business between the date of the death of such person and the grant of probate of his will or letters of administration of his personal estate or, is so done by the personal representative of such person while carrying on such business in due course of administration; or

(i) such thing is done in the course or as part of a business carried on by an assignee in bankruptcy, a trustee of an arranging debtor, or a receiver or manager appointed by a court in continuation of the business of a person who would, if such thing had been done immediately before such assignee, trustee, receiver, or manager commenced to carry on such business, have been lawfully entitled under the foregoing provisions of this sub-section to do such thing in the course or as part of such business.

(2) For the purposes of paragraph (c) of the immediately preceding sub-section but not further or otherwise, the following provisions shall have effect, that is to say:—

(a) where a national of Saorstát Eireann dies and is at the time of his death the beneficial owner of any shares in a body corporate, such shares shall, until the grant of probate of his will or letters of administration of his personal estate, be deemed to continue in the beneficial ownership of a national of Saorstát Eireann, and upon a grant being made the personal representative for the time being of such national shall, so long as he is entitled to such shares in his representative capacity, be deemed to be the beneficial owner of such shares and, if he is not a national of Saorstát Eireann, to be a national of Saorstát Eireann; and

(b) where a national of Saorstát Eireann becomes a bankrupt or carries an arrangement with his creditors and such national was at the time of his bankruptcy or arrangement the beneficial owner of any shares in a body corporate, and his interest in such shares becomes vested in his assignee in bankruptcy or a trustee of the estate of such national as an arranging debtor, such shares shall be deemed, so long as such interest remains so vested, to be in the beneficial ownership of such assignee or trustee, and such assignee or trustee shall, so long as such interest remains so vested be deemed, if he is not a national of Saorstát Eireann, to be a national of Saorstát Eireann; and

(c) where a person is for the time being entitled to the income arising from any shares in a body corporate held by a trustee, such person shall, so long as he continues to be entitled to such income, be deemed to be the beneficial owner of such shares; and

(d) where two or more persons are each for the time being entitled to a proportionate part of the income arising from shares in a particular body corporate or from such shares and other property held by a trustee, each of such persons, so long as he continues to be entitled to a proportion of such income, shall be deemed to be the beneficial owner of a corresponding proportion of such shares; and

(e) where the issued shares of a body corporate are transferred to a bank, being a body corporate, by way of security for an advance and such bank is registered as the owner of such shares in the register of shareholders of such body corporate, such transfer and registration shall be deemed not to operate to transfer the ownership of such shares to such bank; and

(f) whenever the issued shares of a body corporate cease to be held in the manner stated in the said paragraph (c), such shares shall be deemed to continue to be held in accordance with that paragraph for a period of six months after they cease to be in fact so held.

(3) Every person who does any act which is a contravention of this section shall be guilty of an offence under this section and shall be liable on summary conviction thereof to a fine not exceeding twenty pounds in the case of a first offence and fifty pounds in the case of a second or subsequent offence.

(4) Where a person is charged with having committed an offence under this section and prima facie evidence of such offence has been given, the onus of proving the matters or any of the matters mentioned in paragraphs (a), (b), (c), (d), (e), (f), (g), (h) and (i) respectively of sub-section (1) of this section shall lie on the person so charged, and until the contrary is proved it shall be presumed that none of those matters is applicable in relation to the act alleged to constitute such offence.