Friday, February 26, 2021

Organizations of Civil Societies Proclamation No.1113-2019

 

PROCLAMATION NO. 1113-2019

ORGANIZATIONS OF CIVIL SOCIEITIES PROCLAMATION

WHEREAS, it is found necessary to enact a law to give full effect to the freedom of association enshrined in the Constitution of the Federal Democratic Republic of Ethiopia as well as International Human Rights Instruments ratified by Ethiopia;

RECOGNIZING, the Instrumental role of Freedom  of Association for the full exercise of other Rights recognized in our Constitution;

FIRMLY CONVINCED, that the existence of an active and freely organized society is imperative to ensure that government affairs are conducted in a transparent, accountable and participatory manner;

REALIZING , that the creation of an enabling environment is essential to enhance the role of Civil Societies Organizations in the development and democratization of the country;

RECOGNIZING, the need to regulate Civil Societies Organizations to ensure accountability and maximum public benefit from the sector;

COGNIZANT OF, the importance of nurturing the culture of philanthropy and volunteerism in the society;

WHEREAS, it is found necessary to enact a new law to address the shortcomings of the Charities and Societies Proclamation Number 621/2009, which was in force prior to the issuance of this Proclamation;

NOW THEREFORE, in accordance with Article 55/1 of the Constitution of the Federal Democratic Republic of Ethiopia, it is hereby proclaimed as follows:

SECTION ONE GENERAL

1.    Short Title

This Proclamation may be cited as the “Organizations of Civil Societies Proclamation No.1113/2019”.

 

2. Definitions

In this Proclamation unless the context requires otherwise:

 

 

1/ “Organizations of Civil Societies” (hereafter called ‘Organization’) means a Non-Governmental, Non- partisan, Not for profit entity established at least by two or more persons on voluntary basis and registered to carry out any lawful purpose, and includes Non-Government Organizations, Professional Associations, Mass based Societies and Consortiums;

2/ “Local Organization” means a civil society organization formed under the laws of Ethiopia by Ethiopians, foreigners resident in Ethiopia or both;

 

 

 

3/ “Foreign Organization” means a non-governmental organization formed under the laws of foreign countries and registered to operate in Ethiopia;

 

4/ “Charitable Organization” means an organization established with the aim of working for the interest of general public or third party;

 

5/“Professional Association” means an Organization formed on the basis of a profession, and its objectives may include protecting the rights and interests of its members; promoting professional conduct, building the capacities of members or mobilize professional contributions of its membership to the community and the country;

6/ “Consortium” means a grouping formed by two or more civil societies Organizations, and includes consortia of consortiums;

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7/ “Board” means the Civil Society Organizations Board established in accordance with the provisions of this Proclamation;

8/“Sector Administrator” means a Government body mandated to issue licenses for Organizations operating in sectors that require special licensing and to provide appropriate technical follow up and support;

9/  “Special License” means  a license  given  to participants on certain activity when prescribed by law.

10/ “Agency” means the Civil Societies Organizations Agency established in accordance with the provisions of this Proclamation;

11/ “State” shall mean a State specified under Article 47 of the Constitution of the Federal Democratic Republic of Ethiopia as a member of the Federal Democratic Republic of Ethiopia;

12/ “Council” means a grouping of civil society organizations formed in accordance with Article 85 of this Proclamation;

13/ “Religious Institution” means an institution established by believers to organize and propagate their religion and shall not include organizations established by the religious institutions to advance charitable purposes.it does not include an organization organized by the religious institution;

14/ “Self-Regulation” means a mandatory regulatory  system led by a voluntary code of conduct adopted by Organizations through the Council to govern themselves;

15/ “Members of Management” means persons elected by members or the board of a civil societies organization to manage and follow up the operations of the organization and accountable to the highest body of the organization (the General Assembly or Board as appropriate);

16/ “Officer” means a person hired to manage the day to day operations of the organization and accountable to the Management Committee or Board of the Organization;

17/ “Person” shall mean any physical or juridical person;

 

18/ Any expression in the Masculine gender in this Proclamation includes the Feminine.

3 . Scope of Application

1/ This Proclamation shall be applicable to:

a)       Organizations operating in two or more regional states;

b)        Foreign Organizations;

c)       Organizations established in Ethiopia to work on International, Regional or Sub Regional issues or not operate abroad;

d)       Organizations operating in the City Administration of Addis Ababa or Dire Dawa; and,

e)       Charitable Organizations established  by religious Institutions.

2/ For the purpose of  this  provision  Organizations operating in two or more regional states means an Organization which implement its main mission in two or more regional states, an Organization which have its permanent office in two or more regional states, an Organization which have permanent members and operate in two or more regional states or an organization which collects fund in two or more regional states permanently.

3/ This Proclamation shall not be applicable to:

a)       Religious Institutions;

b)       Edir, Equb and similar traditional Institutions;

c)       Organizations formed under other laws.

SECTION TWO

CIVIL SOCIETIES ORGANIZATION AGENCY

4. Establishment

1/ Agency for Civil Societies Organizations (hereinafter referred to as the “Agency”) is hereby established by this Proclamation with its own legal personality and as an Institution of the Federal Government.

2/ The Agency shall be accountable to the Federal Attorney General.

5.  Objectives of the Agency

The Agency shall have the following objectives:

 

1/ Create conducive environment for the full exercise of freedom of association in accordance with the stipulations of the FDRE Constitution and International Aggrements ratified by Ethiopia;

 

2/ Ensure maximum public benefit by supervising whether organizations carry on their activities in accordance with their registered objectives;

3/ Build the capacity of organizations to enable them to accomplish their objectives effectively;

4/ Foster the culture of philanthropy and volunteerism in the society;

5/ Encourage and support organizations to make sure that they have internal governance systems which ensure transparency, accountability and participation;

6/ Put in place mechanisms to strengthen positive working relations between organizations and the government;

 

7/ Support the Civil Society Organization Self-Regulation and self Administration system.

 

6.    Powers and Functions of the Agency

The Agency shall have the following Powers and Functions:

 

1/ Register Organizations and support, facilitate and coordinate their activities in accordance with this Proclamation;

2/ Monitor and supervise Organizations to ensure that they undertake their activities in compliance with the law;

3/ Examine and the annual activity and financial reports of organizations conduct the necessary follow up in accordance with the stipulations under this Proclamation;

4/ Provide the necessary support to organizations to enable them to have systems of internal governance and self- regulation that ensure transparency and accountability and to work together towards implementation of the same;

5/ Collaboration with concerned  regional  government bodies, establish an information center that contains data on the number of organizations operating in the country, sectors and regions in which they operate, the number of their beneficiaries and members;  analyze and disseminate the same through newspapers and websites;

6/ Organize regular fourm for consultation between Federal and Regional Government bodies and Civil Society Organizations;

7/ Work in collaboration with sector administrators in carrying out its responsibilities;

8/ Encourage Organizations to actively participate in the development of policies and laws by the Government;

9/ Conduct research and advise the Government on the role of Organizations in the protection of Human Rights, democratization and development activities of the country;

 

10/ Develop policy guidelines to ensure that the development activities undertaken by Organizations are to the extent possible aligned with the development plans issued by the government;

11/ Without prejudice to the provisions of relevant laws, to exercise the powers of registration and authentication of documents with regard to Organizations;

12/ Collect fees for the services it  renders in  accordance with the rate to be approved by the Government;

13/ Own property, enter into contract, sue and be sued in its own name; and,

14/ Delegate, when it deems necessary, the powers and functions given to it by this Proclamation;

 

15/ Open branch offices anywhere part of the country as it deems necessary;

 

16/ Work in close cooperation with the  relevant Government Agencies to prevent money laundering and the financing of terrorism;

 

17/ Prepare a list of liquidators and monitor their performance in the dissolution of Organizations;

 

18.       Administer the Civil Society Fund established by this Proclamation;

 

19.       Promote a culture of volunteerism and voluntary activities and disseminating the same; and,

 

20.    Undertake other activities necessary for the achievement of its objectives.

 

7.  Organization of the Agency

The Agency shall have:

a/ Board;

b/ A Director General and as may be necessary  Deputy Director Generals to be appointed by the government; and

c/ The necessary staff.

8/ Members of the Board

 

1/ The Board shall have Eleven members composed of:

 

a)    Three representatives of Government bodies, designated by the Attorney General ;

b)    Three representatives designated by the Council of Civil Society Organizations ;

c)    One expert knowledgeable in the workings of civil society, to be appointed by the Attorney General on the basis of his/her competence;

 

d)       Two members from National Federeation of Disability Associations, who have  the experience and capacity to enhance and stregthen benefit and engagement of  all disability community;

 

e)       Two Members reperesented from Women and Youth Associations by their own structure.

2/ The members of the Board shall undertake their responsibilities in good faith and with integrity free from any external influence.

3/ The Chairperson of the Board shall be elected by the Attorney General and his term of service shall be 3 (three) years.

9. Powers and Functions of the Board

The Board shall have the following powers and functions:

 

1/ Set policy directions for the Agency with a view to ensuring the full exercise of freedom of association and to ensure public benefit;

2/ Hear appeals from decisions of the Director  General in accordance with this Proclamation, sets up an independent complaint review committee as necessary, and give administrative decisions on the basis of the recommendations of the Committee;

3/ Issue Rules of procedure for the Complaint Review Committee and follow up its implementation;

4/ Issue Directives to enable organizations to carry out their activities in accordance with this Proclamation;

5/ Examine and approve annual activity  plans  and reports submitted to it by the Director;

 

6/ Evaluates the performance of the Director General and Deputy Director Generals on a regular basis, and, based on the results, advises the Deputy General Director to improve his performance; and

 

7/ Decides on other matters submitted to it by the Director General.

10. Term of Office of the Board Members

1/ The term offfice of the Board members shall be 3 (three) years. Members may be re-elected for one additional term of office.

2/ A member of the Board wishing to resign before the end of his term of office may do so by submitting a notice in writing to the Board;

3/ Notwithstanding sub-article 1 of this article, from among the members of the first round Board to be appointed as per this Proclamation, one member appointed from governmental bodies and  one person appointed from Civil Societies Organization as well as one member appointed from disables and women and Youths in general two members shall have membership term of 4 years. Board members who have membership term of four years can not be re-elected.

4/ The board members to be appointed as per sub- article 3 of this Article who will serve for term of office of 4 years shall be identified at the time of their appointment by Attorney General.

 

11.   Meeting Procedures of the Board

 

1/ The meetings of the Board shall be chaired by the Chairperson or, in his absence, a person designated by members in attendance from among themselves.

2/ The Director General of the Agency  shall  participate in meetings of the Board as a non- voting member.

 

3/ The regular meeting of the Board shall take place once every two month. It may, however, conduct extraordinary meetings where the Chairperson of the Board or 1/3 (one third) of the members so request.

4/ Without prejudice to the provisions of this Article, the Board may prescribe its own rules of procedure of the meeting.

12.  Powers and Functions of the Director General

 

1/ The Director General shall be accountable to the Attorney General. He shall direct and manage the activities of the Agency in accordance with the general directions given to him by the Board.

2/ Without prejudice to the generalities of sub-Article

(1)  of this Article, the Director General shall:

 

a)   Exercise the powers and functions of the Agency specified under this proclamation;

 

b)   Prepare the annual work plan and budget of the Agency;

            Effect expenditures in accordance with the approved work plan and budget of the Agency;

d)   Represent the Agency in all dealings with third parties;

e) Prepare the activity and financial reports of the Agency;

 

f)  Hire and administer employees of the Agency in accordance with a special regulation to be issued by the Government in line with basic principles of Federal Civil Service Laws.

 

3/ The Director  may delegate his powers  and functions  to the Deputy Director General as well as to officials and employees of the Agency to the extent necessary for the efficient execution of the activities of the Agency.

 

13.  Powers and Functions of the Deputy Director General

 

The Deputy Director Generals shall be accountable to the Director General and, he shall:

1/ Assist the Director General in the planning, organizing, directing and facilitation of the Agency’s activities,

 

2/ Perform the activities of the Director General in his absence;

3/ Performs the activities assigned by the Director General.

14.  Budget

The budget of the Agency shall be allocated by the Government.

15/ Books of Account

1/ The Agency shall keep complete and accurate books of account.

2/ The Agency’s books of account and any other financial documents shall be inspected every year by the Auditor General or by an Auditor who is assigned by the Auditor General.

SECTION THREE

FORMATION AND REGISTRATION OF ORGANIZATIONS

SUB SECTION ONE GENERAL PROVISIONS

16. Principles

The formation of organizations shall be governed by the following principles:

1/ An Organization may be formed for definite or an indefinite period;

2/ Membership in any organization shall be voluntary. A member may withdraw from membership at will.

 

3/ An organization shall have the right to freely determine the criteria for membership;

 

4/ Any person has the right to become a member in as long as he fulfills the criteria for membership set by the organization;

5/ Every member shall have equal vote;

 

6/ Organizations may not be established for the purpose of distributing profit to members;

 

7/ The formation and internal governance of Organizations shall be based on democratic principles, non-discriminatory, independent and neutral;

 

8/ An Organization shall be managed by persons elected by the full participation of the organs authorized by its rules;

9/ An Organization  may  not  admit  or  dismiss members except in accordance with its rules;

10/ The Agency shall prepare model rules that may be used by Organizations.

17.    Formation of Local Organizations

Two or more persons may establish an Indigenious Organization.

18.Types of Local Organizations

For the purpose of this Sub-section Local Organization may be formed as:

1/ An Association;

2/ A Board-led Organization; 3/ A charitable Endowment; 4/ A charitable Trust; or

5/ A Charitable Committee.

 

SUB SECTION TWO ASSOCIATIONS AND BOARD LED ORGANIZATION

19.  Association

1/ For the purpose of this Sub-section An  Association is an Organization formed by five or more members and governed by a General Assembly as the supreme decision-making body; for the purpose of this Proclamation it shall include professional associations.

 

2/ An association may have a General Assembly, Executive Committee, Manager, Auditor and other departments as may be necessary. Details regarding the structure and governance of an Association will be determined by its rules.

20.   Board-led Organization

1/ For the purpose of this sub-section Board-led Organization means formed by two or more founders, its Board being the supreme organ.

2/ The Board shall have a minimum of five and a maximum of thirteen members.

3/ The first board members shall be designated by the founders. The term of service and appointment procedures for subsequent board members shall be prescribed by the rules of the Organization.

 

4/ Persons who are related by consanguinity or affinity with the officers of the Organization may not be  Board members.

5/ A board-led Organization shall have a manager accountable to the Board and necessary staff as may be necessary. The particulars shall be determined by the rules of the Organization.

SUB SECTION THREE CHARITABLE ENDOWMENTS

21/ Basis

 

1/ For the purpose of this Sub-section A “Charitable Endowment” is an organization by which a certain property is perpetually and irrevocably destined by donation, money or will for a purpose that is solely Charitable.

2/ Property or money provided through Gift or will based on Sub- Articel 1 of this provision shall be sufficient to fulfill the purpose the Charity initially.

 

 

3/ The founder shall determine the beneficiaries of a Charitable Endowment. Were the beneficiaries are not sufficiently determined by the founder, the Board may determine such beneficiaries as it deems consistent with the intentions of the founder.

22. Application for Registration

1/ The registration of a Charitable Endowment may not be sought during the lifetime of the founder, except by the founder herself/himself or a person delegated by the founder for that purpose.

2/ After the death of the founder, it shall be sought by the person to whom the founder has entrusted such task and who has accepted it or by the executors of the founder's will.

3/ In default of the persons specified in Sub-article (1) and (2), it shall be sought by those persons who  have drawn up the act of Endowment or who have been witnesses to it or who hold that act in deposit.

 

4/ Where the persons who are bound to seek the registration of the Charitable Endowment fail to do so, the registration of the Charitable Endowment may be sought, three months after.

28.    Remuneration of Board Members

 

1/ A Member of the Board shall not be entitled to remuneration unless a provision about his entitlement to remuneration has been made, by the Charitable Endowment's rules or by any law.

2/ Payments made in connection with covering costs incurred by Board Members for the purpose of attending Board meeting shall not be considered as remuneration.

29.  Powers and Functions of the Manager

The Manager of the Charitable Endowment shall:

 

1/ Direct the work of the  Charitable  Endowment pursuant to its rules;

2/ Represent the Endowment in all its dealings with the third parties;

3/ Follow up and supervise the implementation of the decisions of the Management Board;

4/ Submit work plan and budget as well as activity and financial reports to the Management Board;

5/ Study conditions that will promote income generation for the Endowment and implement such where approved by the management Board;

6/ Operate bank accounts opened in the name of the Endowment in accordance with its rules; and

7/ Discharge other related tasks which may be given to him by the Management Board.

30.  Powers and Functions of the Auditor

The Auditor shall:

1/ Monitor the  financial  and  proprietary administration of the Charitable Endowment;

2/ Prepare the internal audit  report  of  the  organization in accordance with accounting standards acceptable in Ethiopia;

SUB SECTION FOUR

 CHARITABLE TRUST

31.  Basis

 

For the purpose of this Sub-section  “Charitable Trust” is an Organization established by an instrument by which specific property is constituted solely for a charitable purpose to be administered by persons, the trustees, in accordance with the instructions given by the instrument constituting the charitable trust.

32.    Formation

 

1/ A Charitable Trust may be established by a donation or by a will or by the decision of the concerned government body.

2/ A donation or will under Sub-article (1) of  this  Article shall be governed by the relevant provisions of Civil Code.

3/ A document which established a charitable trust shall clearly specify the founder, the trustees and beneficiaries of the Charitable Trust.

 

33.      Perpetuity of a Charitable Trust

1/ A Charitable Trust may be established for a definite  or an indefinite period.

2/ Where a Charitable Trust is established for an Indefinite period, it  shall    be                               perpetual  and irrevocable.

 

34.  Application for Registration by Trustees

 

1/ The founder of a Charitable Trust shall appoint trustees.

 

2/ The Trustees shall apply to the Agency for a certificate of registration in the manner provided in Article 57 of this Proclamation.

3/ An application for the registration of a Charitable Trust shall be submitted within 3 months from the formation of the Charitable Trust.

 

4/ The Trustees may not perform any acts involving third parties before acquiring a certificate of registration except those acts necessary for transferring the resource mentioned in the donation or will to the possession or ownership of the Charitable Trust.

 

 

35.     Number of Trustees

1/ The number of Trustees shall not in any  case  be lower than three and more than five. Where less than three persons are appointed, the Agency shall facilitate the appointment of the number of people required to fulfill this requirement.

2/ Where more than five persons are appointed, as Trustees, the five first named persons who are able and willing to act shall alone be the trustees.

 

3/ Notwithstanding sub-article (1) of this Article, the Agency may allow less than 3 persons as Trustees where one or more of such trustee is a Charity.

 

4/ At least one of the Trustees appointed under this Article shall be an Ethiopian Domiciliary.

 

36.  Appointment of Trustees

 

1/ The Trustees may be appointed by the person who founded the Trust or by the person designated by him. In the absence of such appointment the Agency shall facilitate the appointment of Trustees.

2/ Where the Trustee  so appointed refuses  his  agency or is for any other reason unable to perform the trusteeship, a new trustee shall be appointed according the rules of the trust.

37.    Appointment of a Charity as a Trustee

 

1/ If the founder has appointed an Organization which has a legal personality as a trustee,  the officers of  the appointed Organization will administer the trust.

 

2/ The Charity provided in Sub-article (1) shall administer the Ćharitable trust by the terms of the will, donation or order of the Agency and distinguish it from other donations or income that it utilizes to achieve its purposes.

 

38.    Structure of a Charitable Trust

 

1/ The Manager, treasurer and auditor of a charitable trust shall be appointed by the founder, or delegated by the founder.

 

2/ If these officers are not appointed by the founder, delegated by his delegatee, the trustees shall designate the same from among themselves or third parties.

 

3/ The Agency shall make such designation where the trustees fail to make such designation or are unable to give decision.

4/ Notwithstanding sub Article (1) of this provision, Trustees shall execute their responsibilities jointly.

 

5/ The Trustees shall among themselves choose the person who shall serve as the chairperson in the meetings of the trustees.

39.    Administration of a Charitable Trust

 

1/ The Manager shall perform all acts of Management without the approval of the other trustees except where at least one of the trustees submits a written protest concerning any administrative act.

2/ Decisions beyond acts of Management and those decisions protested to under Sub-article (1) shall be taken by majority where at least three of the trustees are present.

 

3/ Where opposing notions are supported by an equal number of trustees, the final determination shall lie with the vote of chairperson of the meeting.

 

4/ Those who are against a decision taken under Sub- article (2) and (3) may require that their dissenting opinion be recorded in the minutes.

 

40.    Obligation of Trustees

 

1/ Trustees shall administer the Trust with due diligence and care expected from a responsible family head.

 

2/ Without prejudice to any provision to the contrary in  the act of constitution of the Charitable Trust, the Trustees may not alienate immovable property without prior notification to the Agency.

 

3/ The Trustees may not alienate the property of a Charitable Trust by a gratuitous title.

4/ The Trustees shall be jointly and  severally liable  for any damage caused to the trust due to the ultra vires acts or decisions they take as officers of the charitable trust. However, a trustee who has registered his dissent from the decision of the trustees in accordance with Article 39(4) shall not be held liable.

41.    Representation of a Charitable Trust

 

1/ The Trustee Manager shall represent the Charitable Trust.

2/ The Trustee Manager shall designate the trustee who shall act in his stead and may also appoint an advocate to represent the Charitable Trust in any proceedings.

 

3/ The Charitable Trust shall be liable for acts  of  Trustees within the scope of their authority.

42.       Order of Establishment Document

 

1/ A trustee shall adhere to the orders under the establishment document of the trust.

 

 

2/ Notwithstanding the stipulations under sub article 1 the trustee may ask for permission from the Agency to operate beyond the orders on the establishment document when it is essential to do so for the interest of its beneficiaries.

43.     Remuneration of Trustees

 

1/ A Trustee shall not be entitled to remuneration unless this is specifically stated in establishment document the trust instrument or by any law.

 

2/ Notwithstanding sub-article (1) of this Article, a trustee who acts in a professional capacity shall be entitled to receive reasonable remuneration out of the trust funds for any services that he provides to or on behalf of the trust if all the trustees have agreed in writing and it is approved by the Agency that he may be remunerated for the services.

3/ A Trustee is entitled to indemnity for all personal expenses and obligations arising out of the administration of the Charitable Trust.

44.    Resignation of a Trustee

 

1/ A Trustee shall be liable for any consequent loss to the Charitable Trust where he does not notify the other trustees and the Agency of his intention to resign two months prior to his resignation.

 

2/ A Trustee shall remain responsible for the Administration of the Charitable Trust until he hands over the Trusteeship.

 

3/ Where a Trustee applies for resignation, a new Trustee shall be appointed by the  person constituting the Trust, by the person on whom such power has been conferred, or in default of any such person, by the Agency 1 month prior to the expiry  of the notice prescribed in Sub-Article (1).

 

45.    Attaching Charitable Trusts

 

1/ The Creditors of beneficiaries may in no case  attach a Charitable Trust or any allowance to  which a beneficiary is entitled.

 

2/ The Creditors of persons who are to receive the property forming the object of the Charitable Trust constituted for a definite period may at the dissolution of the Charitable Trust attach such property.

46.    Transfer on Sale

Any Charitable Organization or association while transferring its property to third party on sale, if the property is imported with out being accustom for the sake of public interest, the sale shall be done in accordance with the Custom law of the Country.

 

47.  Rights of Beneficiaries

 

1/ The beneficiaries may claim from the Charitable Trust the making over of the interest, which, according to the act of constitution of the Charitable Trust, is to accrue in their favor.

2/ When the rights of beneficiaries are jeopardized, they may apply to the Agency for the dismissal of the trustee or to compel him to give appropriate guarantees.

3/ The beneficiaries of the Charitable Trust have no right to dispose of or to administer the property forming the object of the Charitable Trust jointly  or severally.

 

4/ Notwithstanding the provision of Sub Article (3) of this Article, beneficiaries of a Charitable Trust may only carry out those acts which their rights, such as the interruption of a prescription in relation to such property.

SUB SECTION FIVE CHARITABLE COMMITTEES

48/ Basis

 

A “Charitable Committee” is a collection of five or more persons who have come  together  with  the intent of soliciting money or other property from the public for purposes that are Charitable.

49.  Approval of Charitable Committees

 

1/ Charities Committees shall not collect funds or perform any other activities without acquiring an approval from the Agency.

 

2/ Sub-article (1) of this Article shall not apply to activities necessary for the formation of a charitable committee.

 

3/ The Agency shall consider Articles 59 and 62 of this Proclamation when approving a charitable committee.

 

50.  Statement of Accounts

1/ A Charitable Committee shall submit its annual statement of accounts to the Agency.

2/ A Charitable Committee should submit its statement  of accounts at its dissolution where the period for which the Charitable Committee is formed is less than one year.

51.    Structure of a Charitable committee

 

1/ The decision establishing the Charitable Committee shall specify the particulars of persons who found the Charitable Committee and those who shall act as President, treasurer and Auditor of the Charitable Committee.

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2/ The decision shall specify the purposes of the Charitable Committee and the time within which it has to achieve them.

3/ The decision shall determine, where appropriate, the manner in which the activities of the Charitable committee may be carried out and prescribe such measures that are necessary to control the amount and the use of the funds and property collected by the Charitable committee. Particulars shall be determined by Directives issued by the Agency.

52.  Liability of Members

1/ The members of a Charitable Committee shall be jointly and severally liable for obligations and debts arising out of its activities.

2/ Any donor, member, beneficiary, the Agency or the Sector Administrator shall have standing for the purpose of sub-article 1.

 

53.      Insufficient Fund and Property

 

1/ Where the money or property collected by the Charitable Committee is insufficient to attain the object which the charitable committee proposed to achieve, or where achievement of its purpose becomes impossible, such money or property shall have the destination prescribed by the decision which has approved the charitable committee.

2/ In absence of a provision, to that effect  the money  or property shall be returned to the persons who have donated the money or property.

 

3/ If Persons who have donated money or property to the Charitable committee cannot or do not want to claim it back, the money or property shall be placed at the disposal of the Agency and shall be destined for a similar charitable purpose in accordance with the provisions of this Proclamation.

54.    Balance

1/ Where the money or property collected by the Charitable Committee amounts to more than what is necessary for the attainment of the proposed purpose, the balance shall have the destination for another Charitable purpose prescribed by the decision approved by the Charitable committee.

2/ In the absence of any Provision to  that  effect,  it  shall be placed at the disposal of the Agency and shall be destined for a similar Charitable purpose in accordance with the provisions of this Proclamation.

55.     Change into a Charitable Endowment

 

1/ Where under the decision approving the charitable committee the money or property collected by the Charitable committee is to be destined to a specific lasting object, a Charitable Endowment shall be constituted for the attainment of such object.

2/ Where the money or property collected by the charitable committee is significantly larger than what is necessary for the attainment of the proposed purpose, the members of a Charitable Committee may seek permission and apply to the Agency for registration as civil society organization.

3/ If the Committee is registered as an  Organization,  the money or property collected by the Committee shall be transferred to the Charitable Endoment.

 

SUB SECTION SIX

CONSORTIA AND CONSORTIUM OF CONSORTIUMS

 

56.      Formation    of   Consortium   and  Consortium of Consortiums

 

1/ Two or more civil society organizations  or consortiums may form a consortium or a consortium of consortiums in accordance with an agreement concluded among themselves towards the achievement of their objectives or in accordance with the provisions of this Proclamation.

 

2/ Consortiums or a consortium of consortiums may be established for any legal purpose related to rights and benefits of their members including those indicated below:

a)       To support their members for the achievement of common objectives;

To facilitate the sharing of ideas, information and experience;

c)       To build the capacity of members and support their resource mobilization efforts;

d)       To undertake activities designed to enhance the ethical and professional standards among members;

e)       To work for the protection of the rights of members by articulating their common voice and advocate for enabling work environment for members;

f)        To conduct research and policy advocacy activities in the sectors in which their members operate.

 

 

3/ Notwithstanding the above mentioned aims, a consortium may not involve itself in operations that place it in direct competition with a member organization. However, consortiums are not barred from collecting and mobilizing resources to operate projects through their member organizations.

SUB SECTION SEVEN REGISTRATION OF ORGANIZATIONS

 

57. Registration

 

1/ Any organizations shall be registered by the Agency in accordance with these provisions.

 

2/ The Agency shall, upon application and after ensuring the fulfillment of the requirements stipulated under this Proclamation, register the applicant and issue a registration certificate within 30 days from the date of application for Local Organizations and within 45 days for a foreign organization.

 

3/ Where the Agency fails to issue certificate  of  registration within the period indicated under sub- article 2, the applicant may file its complaint to the Board within 30 days from the expiry of such period.

4/ The Board shall examine the complaint and make a determination on the matter within a period of 60 (sixty) days.

5/ Where the Board finds that the Agency failed  register the Organization without a good cause, it shall direct the Agency to issue the certificate of registration forthwith. For the purpose of this provision,  the Agency shall be deemed not to have a good cause to refuse registration if it fails to respond to such application within the time limit mentioned under sub article 2 of this article.

 

6/ An applicant dissatisfied with the decision of the Board may lodge an appeal before the Federal High Court within 30 days from receiving the Board’s decision.

58.    Documents Required for Registration

1/ An application for registration by Local Organization shall be signed by the founders and contain the following particulars:

a)       The minutes of the formative meeting indicating the names, addresses and citizenship of the founders;

 

b)       Copy of the identity card or passport of the founders;

c)       The name of the organization and its logo, if it  has one;

d)       The objectives of the organization and its intended sector of operation;

e)       The Region where it intends to operate;

 

f)        The Rules of the organization approved by the founders;

g)       The Organization’s address.

 

2/ An application for registration of a Foreign Non- Governmental Organization shall, in addition to the conditions required under sub-article 1, be accompanied

with the following documents:

 

a)    Duly authenticated certificate of registration showing its establishment from its country of origin;

b)    Duly authenticated resolution of its competent organ to operate in Ethiopia;

 

c)    Duly authenticated power of deligation of the  country representative; Letter of recommendation from the embassy in which the charity  is incorporated or in the absence of such by  a competent authority in the country of Origin from Ministry of Foreign affairs of Federal Democratic Republic of Ethiopia and;

 

d)    A Work plan for a minimum period of two years.

 

3/ The application for registration by a Consortium shall be signed and submitted by the head of their representative Organization and shall contain the following particulars:

 

a)          Rules of the Consortium signed by the representatives of founder ;

b)          The minutes of the decision among members to form the consortium;

c)          A certificate of registration issued by the Agency or Authorized Regional Government body to the members of the Consortium.

4/ The applicant shall pay a registration fee to be determined by the relevant Regulation.

5/ The Civil Societies Organizations Board may issue directives on details regarding the registration and Administration of Professional Associations.

59.   Refusal of Application for Registration

 

1/ The Agency shall refuse to register an Organization where it finds that:

a)    The application does not comply with the necessary conditions set out under Article 58 of this Proclamation and the applicant’s representative fails to meet such conditions after being requested to do so;

b)    The aim of the Organization or the activities description under the Organization’s rules are contrary to law or public moral;

c)    The name or symbol under which the proposed Organization is to be registered resembles the name of another Organization or any other institution or is contrary to public moral or is illegal;

d)    The document furnished for registration by the Organization is fraudulently obtained or forged.

2/ The Agency may not refuse applications for reasons  other than those specified under this on the basis of practice or directive.

3/ If an application fails to fulfill the  necessary requirements laid out under the law, the Agency must provide a written response permitting the applicant to fulfill such requirements and resubmit its application within 30 days.

4/ If the applicant is unwilling to amend and resubmit its application, the Agency shall reject the application for registration and state the legal grounds for rejecting the application.

5/ An applicant that is dissatisfied with the Agency’s decision may lodge a complaint before the board within 30 days from receiving the decision.

6)  The Board shall review the compliant and give its decision with in 60 days up on receiving the compliant.

 

7)      If an Organization obtained a registration certeficate by fraudulent or forgery act and if it is verified by the Agency, the Board shall decide dissolussion of The Organization.

8/ If the Organization is unsatisfied with the  board’s decision that is given in accordance with sub article 6 and 7 of this article, the Organization may lodge an appeal before the Federal High Court within 30 days from receiving the board’s decision.

60.  The Significance of an Organizational Rule and Its Contents

1/ All Organizations must have rules containing the following:

a)       The Organization’s name;

b)       The Organization’s objectives;

c)       The Organization’s Executive body, Power and Functions, internal governance and structure, meeting and decision-making procedures;

d)       A stipulation indicating that the Organization’s income and resources may not be distributed to members or employees except for payment of legally permitted service fees;

e)       A stipulation indicating that the Organization’s members or employees do not have an automatic right over the organizations resource only by the mere fact of their membership ;

f)        A stipulation indicating that the Organization has a separate and independent legal personality and symbol from its members;

g)       A stipulation indicating that Change of Members of the Organization do not have effect on the existence of the Organization;

h/ Membership does not devolve by inheritance;

i/ The Organization’s accounts and financial transactions will be managed by an accepted accounting system;

j/ The Supreme body of the Organization will examine and approve the Organization’s financial and work plan and performance;

k/ Procedure for amending the rules; l/ The Organization’s budget year;

m/ The Organizational body that will decide to

dissolve and close the Organization, and the procedures to be followed;

n/ A stipulation indicating that during dissolution, once the debts of the Organization are paid the outstanding money and property shall be transferred to another organization named by the Organization’s supreme body or to another body through the agency or to the fund established under this proclamation.

2/ In addition to the information mentioned above. the Rules the Organization may also include:

a)       Requirements that must be fulfilled for membership;

 

b)       Reasons for termination or suspension of membership;

 

c)       Internal procedures for appealing from decisions to terminate or suspend membership;

d)       Procedures for imposing and collecting membership and other fees;

e)       The power, procedure for appointment and procedure for removal of executive members of the organization;

The powers and functions and procedure for the appointment and accountability of the officers of the organization;

g) Whether or not the organization performs fundraising activities ;

61.  Result of Registration

Any Organization which registered upon fulfillment the registration requirements provided in  this Proclamation:

1/ Shall have legal personality;

2/ Can sue, be sued and enter into contracts;

3/ Without prejudice to laws that require special license, can operate in the sector of its choice;

4/ To own, administer and transfer movable and immovable property. However, the proceeds from the disposal of the property may not be transferred as donation for the benefit of members or to another activity which is not its mission;

 

5/ The Organization which transfer property based on sub article 4 of this article shall inform to the  agency within 15 days.

 

62.    Operational Freedom

1/ An Organization shall have the right to engage in any lawful activity to accomplish its objectives.

 

2/ Local Organizations shall have the right to operate in Ethiopia or abroad, or implement objectives having global, regional or sub regional nature.

 

3/ An Organization may be established to implement project activities on its own or to provide financial and technical support to other organizations.

4/ The Organization may propose Recommendations for the change or amendment of existing laws, policies or practices, or issuance of new laws and policies  of those which have relationship with the activities they are performing.

5/ Notwithstanding Sub Article (4) of this Article, unless it is permitted with an other law Foreign Organizations and Local Organizations which are established by foreign citizens which are residents of Ethiopia may not engage in lobbying political parties,engage in voters education or election observations.

 

 

6/ Foreign Organizations may implement  project activities or work in partnership with Local Organizations by providing financial,  technical   or in kind support.

[

7/ To the extent possible, Foreign Organizations by working in partnership with local and Governmental Organizations, can give support to build the capacity of Local Organizations.

 

8/ Any Organization shall make the necessary efforts to ensure that its activities help to bring about sustainable development, contribute to the democratization process, promote the rights and interests of its members or enhance the profession they are engaged in.

 

9/   An Organization which is established for the benefit of the general public or third parties shall ensure that its activities take into account the interests of women, Children, persons with disabilities, the elderly and others exposed to threat or vulnerable groups of the society.

 

10/ Any Organization cannot engage in sectors which require additional permit by law without getting  the necessary permit from the relevant government bodies.

11/ In performing their duties all members, officers and employees of the Organization have the responsibility to give primacy to the Organization’s interest and take the necessary precaution to avoid conflict of interest.

63.    Resource Mobilization and Administration

1.  Any Organization:

a)          Shall have the right to move its properties from one region to another region or city administration, unless the Project Agreement states that such properties may not be transferred because they are necessary for the sustainability of a specific project it is implementing;

 

b)    Have the right to engage in any lawful business and investment activity in accordance with the relevant trade and investment laws in order to raise funds for the fulfillment its objectives. However, the profit to be obtained from such activities may not be transferred for  the benefit of members;

 

c)    Shall have the right to solicit, receive and utilize funds from any legal source to attain its objective.

 

2/ The Administrative cost of an Organization established for the benefit of the general public or that of third Parties may not exceed twenty percent of its total income. For the purpose of this provision, “Administrative Expense” shall mean expenses which are not related to the project activities of an Organization but are necessary to ensure the continuity of an Organization and related to administrative activities, and shall include:   salaries  and   benefits  of  administrative employees;   purchase   of   consumables  and fixed

assets and repair and maintenance expenses related to administrative matters; office rent, parking fees, audit fees, advertisement expenses, bank service fees, fees for electricity, fax, water and internet services; postal and printing expenses; tax, purchase and repair of vehicles for administrative purposes, and procurement of oil and lubricants for the same; insurance costs, penalties and attorney fees.

 

3/ The Agency may issue Directives regarding Organizations exempted from the application of provisions of sub Article 2 of this Article.

64. Income Generation Activities

 

1/ An Organization which engages in income generating activities in accordance with Article 63(1) (b) of this Proclamation may do so by establishing a separate business Organization (company), acquiring shares in an existing company, Collect Public Collections or operating its business as a sole proprietorship.

2/ An Organization engaged in income generating activities shall open a separate bank account and keep separate books of account for its business in accordance with the relevant commercial and tax laws.

 

3/ The relevant tax, commercial registration and business licensing, and investment laws shall be applicable to income generation activities under this provision.

4/ Income that is generated from income generating activities will be used to cover administrative and program costs of the organization.

 

5/ The income and resources that are acquired from income generating activities shall not be transferred or shared for the benefit of members or workers of the organization.

6/ when the Organizations Collect Public Collections based on Sub-Article 1 of this article, they  shall inform to the Agency.

7/ An Organizations engaged in income generating activities based on this Article shall inform to the Agency within fifteen days.

65.    Persons Who shall not Act as Officer or Board Management Committee Member

 

1/ No person shall act as an Officer or Board  Management Committee Member of an Organization  or a branch thereof if that person:

a)       Has been convicted of a crime that involves  fraud or other crimes that involve dishonest acts and has not been reinstated;

b)       Has been convicted of any crime as a result of  which she/he has been deprived of his Civil rights and his Civil Rights have not yet been restored;

c)       Is unable to act by reason of incapacity within the meaning of law;

d)       Has been interdicted by a court.

 

2/ In addition to the restrictions laid out under  Sub-Article 1, a member of the board or Executive Committee of an organization shall not be employed in the same Organization as an officer or ordinary employee.

3/ If the application for registaration that is submitted by the Organization is contrary to the rules stated under sub Article 1 and 2 of this Article the Agency shall not register the Organization.

66.    Register of Organizations

1/ The Agency shall keep a register of Organizations.

2/ A copy of or extract from  any  such  document certified to be a true copy or extract under the seal of the Agency shall be admissible in evidence in any proceedings

3/ The Agency shall every six months publish in an  official Gazzette the list of Organization registered, suspended or cancelled under this Proclamation.

67.    Branch of an Organization

 

1/ An Organization may establish a branch based on its rules by giving prior notice to the Agency.

 

2/ The Powers of the branch of the Organization established under Sub-article (1) of this Article shall not make it an independent organization on its own or prevent the head office from making sufficient control on the branch.

68.    Obligation to inform Changes

If an organization makes changes to any of the following matters, it shall inform the agency about the change or amendment and get it registered.

a)       Its Name or Symbol,

b)       Change of Organization’s operational Sector,

c)       Change of Headquarters,

d)       Change the Region of Operation,

e)       Change of Executive Members or Chief Executive,

f)        Amendments of its Rules,

 

g)       Change of Bank Account or Signatories.

 

2/ A change of name by an Organization under this Article shall not affect any Rights or Obligations of the Organization.

 

69.       Display of Certificate

 

Every Organization shall keep its certificate of registration in its Head Office and a copy thereof in its branches in a place that is visible to any visitor. Additionally, the symbol and name of the Organization must be placed at a publicly visible place at both the head office and the branch offices.

70.  Verification of Existence

 

1/ If an Organization fails to provide its report within 3 months from the expiry of the timeframe set under this Proclamation for submission of reports , the Agency will issue a notice in the gazette to verify its existence.

 

2/ If the Organization does indeed  maintain  existence, the legal representative must be present to explain the situation within 30 days from the publication of the notice. However, if the representative falls to do so, the Director General shall submit the issue to the Board for the decision of dissolution of the Organization.

 

 

SECTION FOUR ACCOUNTS AND REPORT

71.       Duty to Keep Accounting Records

1/ Any Organization shall keep books of account that show the financial transactions in the Organization and are prepared in accordance with acceptable accounting standards.

2/ The books of account shall contain entries showing from day to day all sums of money received and expended by the Organization, the matters in respect of which the receipt and expenditure takes place, name and identity  of donors, source of donations; and record of the assets and liabilities of the Organization.

3/ The Officers of an Organization shall preserve any accounting records made for the purposes of this Article for at least 5 years from the end of the financial year of the Organization in which they are made.

72.         Annual Statements of Accounts and Examination of Account

1/ Any Organization shall submit to the Agency an annual statement of accounts prepared in accordance with acceptable standards.

2/ Notwithstanding sub-article (1) of this Article, Organizations whose annual flow of funds does not exceed Birr 200,000.00, (two hundred thousand) the statement of accounts may choose to only prepare a receipts and payments account and a statement  of assets and liabilities.

3/ Without prejudice Sub-article (2), all Organizations account shall be examined annually by a Certified Auditor within three months after the end of the financial year.

4/ If one third of the Organization’s members, donors or governmental bodies that have requested the examination of accounts, the Agency may appoint a certified external auditor.

 

5/ Where it appears to the Agency that the account of an Organization is not audited within five months from  the end of that year and the Organization is unwilling  to have it audited, the Agency may appoint a certified external auditor.

6/ In accordance with Sub-article (4) and (5) of  this  Article, the expenses of any audit carried out by an Auditor appointed by the Agency shall be paid by the Charity or Society concerned, or by its officers if the latter are found to be at fault.

73.  Annual Activity Report

 

1/ The officers of an Organization shall prepare  and submit to the Agency every Budget year major activity reports regarding the organization with in three months up on the end the Budget year.

2/ Every such annual activity report shall have attached to it the annual statement of accounts.

3/ After reviewing the reports the Agency may require additional information or explanation.

 

 

74.  Disclosure of Annual Activity Report to the Public

1/ Any annual activity report or other document kept by  the Agency, when requested by any concerned body or members of the organization, must be made open to the public at any given time.

2/ All Organizations must make available at all times, to their beneficiaries and members, the books of account, audit reports and annual reports.

75.    Opening a Bank Account

1/ An Organization shall get a written approval of the Agency to open a bank account. The Agency shall respond to requests for such approval within five days from receipt of the request.

2/ All financial transactions shall  be  performed  through a bank account opened by an Organization in its name.

3/ All banks have the obligation to provide the bank statement of accounts held by any Organization to the Agency when requested.

 

4/ The Bank Account transaction can be done in the context of the Organization rules.

76.    Employing Foreigners

1/ No Organization may employ a Foreign National  who is not given work permit under the relevant laws.

2/  Notwithstanding the stipulation  under  sub-article 1, a Foreign Organization shall not be barred from appointing a Foreign National as its country representative.

3/ Foreign Nationals other than the Country representative may only be hired if the office granting work permit verifies that the work cannot be performed by Ethiopians.

4/ The provisions of Sub-Article 3 shall not apply to Foreign Nationals who are not salaried employees but come to Ethiopia to professionally contribute by working as volunteers for a period not exceeding one year.

SECTION FIVE LAW ENFORCEMENT

77. Power of Inspection

1/ The Agency may conduct an investigation into the activities of an organization to check whether it is carrying on its activities in accordance with the law. The investigation shall be launched on the basis of information the Agency obtained from Government organs, donors or the public, as well as information obtained by the Agency during the performance of its work.

2/ Notwithstanding the fulfillment of the conditions under sub-article 1, the Agency shall first ensure that it has sufficient reason to conduct the investigation.

3/ The Agency must take all precautionary measures to ensure that the investigation is performed within a short period of time and is not carried out in a way that hampers the day to day activities and continued existence of the organization.

4/ If, during the course of the investigation, the Agency  finds that a grave violation of the law has been committed and such violation makes it necessary to suspend the activities of the Organization, the Director General of the Agency may give a suspension  order for a period not exceeding three months. but if the board  did not decided with in three month, the suspension shall seize to exist.

5/ Based on Sub Article 4 of this Article the Organization may appeal to the Board on the decision of Director General within 30 days. The organization may appeal to the Federal High Court on the decision of the Board within 30 days after the board gave its decision.

 

 

78. Administrative Measures

 

1/ The Agency may give warning to organizations that do not comply with this proclamation or other laws.

 

2/  The warning must be  in  writing and shall specify  the violation, the measures to be taken and the time frame to rectify the violation. Such time frame shall take into account the gravity of the violation and the complexity of the case.

 

3/ If the fault  committed by the Organization is  grave or the organization fails to redress its fault after being given clear warning, the Agency will give the organization a strict warning.

 

4/ The Director General of the Agency may order the suspension of the organization if the organization fails to alter or rectify its practice after receiving a strict warning. The Board will decide that an organization which failed to make the necessary rectifications within three months following the suspension order shall be dissolved unless the Director General’s suspension order has been lifted by the Board or is blocked by court order.

5/ The Members, Founders or Managers of the Organization that is dissolved by the decision of the Board can appeal to Federal High court with in 30 days following the decision.

6/ If the violation committed by the Organization entails criminal responsibility, the Agency will direct the case to the competent body of the police or public prosecutor.

79.   The Right to be Heard

 

Any Organization has the right to be heard and present its arguments before the Agency imposes any administrative measure.

 

SECTION SIX

MERGER, DIVISION AND CONVERSION OF ORGANIZATIONS

80.     Merger

1/ Two or more Organizations may merge into  one under a new name or under the name of one of the organizations in accordance with relevant laws and in accordance with their rules.

 

2/ The rights and obligations of the former  Organizations and based on their relevancy the Employees of those Organizations shall be transferred to the newly formed Organization.

3/ The newly established Organization shall be registered in accordance with this Proclamation.

81.   Division

1/ An Organization may be divided into two or more Organizations upon the decision of its Supreme organ in accordance with its rules.

 

2/  Unless stated otherwise in the decision to divide the Organization, the Organizations that result from the division shall bear the obligations and utilize the rights equally.

3/ The existence of the former Organization shall cease at the time when the certificates of registration are issued to the new organizations.

4/ With the unanimous consent of all newly formed organizations, one of the newly formed Organizations may retain the name of the previous Organization.

82.  Conversion

1/ Any Organization may be  converted  into  another form of Organization where its Supreme organ so decides in accordance with its rules.

2/ The rights  and  obligations  of  the  former Organization and based on their relevancy the servants of those organizations shall be transferred to the Organization after the conversion.

3/  The converted Organization shall be registered again in accordance with this Proclamation.

SECTION SEVEN DISSOLUTION OF ORGANIZATIONS

83.    Dissolution

1/ An Organization may only be dissolved upon the decision of:

a)    the Organization’s competent organ in accordance with its rules;

b)    the Board of the Agency when it decides that the organization shall be dissolved in accordance with Article 70 or 78(4) of this Proclamation;

c)    The Federal High Court.

 

2/  A court can dissolve an Organization when;

a)      It is convicted of a serious criminal offence or is repeatedly found guilty of a minor criminal offence; or

b)      The Organization is insolvent.

3/ An Organization which is dissolved in accordance with sub Article 1/A/ of this Article shall notify the Agency of the decision within fifteen days.

4/ The notification submitted to the Agency under sub article 3 shall be accompanied with the resolution to dissolve the Organization, the currently activity report and statement of account of the Organization.

84.Effects of Dissolution

1/ Once the dissolution of an Organization is ordered as per Article 83, the property of the organization shall forthwith vest in the liquidator appointed by the Agency.

 

2/ The liquidator shall not perform any activities other than those necessary for its liquidation unless such activities are within the object of the  organization and cannot be interrupted.

3/ Once the debts of the Organization are paid and the costs of dissolution are settled, the liquidator shall effect the transfer of the remaining money  or property to another organization in accordance with the Rules or a prior decision of the supreme body of the Organization.

4/ If the rules or the decision of the Organization’s supreme body do not provide for a recipient organization as per sub article 3 of this article, the remaining money or property shall be transferred to another organization designated by the Agency. `

 

5/ After the liquidation process is concluded, the Agency shall cancel the name of the Organization from its registry upon the request of liquidator.

a)          6/ Without prejudice to the provisions of this article when Consortiums or consorti of consortiums are Dissolved the remaining properties may be transferd to the member Organizations or Consertiums.

SECTION EIGHT MISCELLANEOUS PROVISIONS

85.  Council of Civil Society Organizations

 

1/ A council governed by the full participation of all Civil Society Organizations has been duly established by this Proclamation.

2/ The Agency shall convene and coordinate the founding meeting of the Council.

 

3/ The Council shall have a General Assembly, Executive Committee and the necessary structures. The council shall enact its own internal rules.

4/ The procedures for  representation  of  Organizations in the General Assembly of the Council shall be determined by the Directives of the Council.

5/ The Council shall have the following powers and functions;

a)       Enact the Code of Conduct for the sector, and devise enforcement mechanisms in consultation with the Agency, donors and other stakeholders,

 

b)       Shall advise the Agency on the registration and administration of Organizations,

c)       Represent and coordinate the civil society sector.

6/ The Council shall select three members of the Agency’s board that will represent organizations.

7/ The source of the council’s budget shall be member contributions and other legal means.

 

8/ The Agency shall extend the necessary cooperation for establishment and strengthening of the Council.

86.        Civil Societies Fund

1/  A Civil Societies fund administered by the Agency is hereby established.

2/ The Civil Societies fund shall be used to encourage volunteerism and development in the sector, and provide incentives to Organizations working with vulnerable groups.

3/ The income of Civil Societies Fund shall come  from:

a)         Properties obtained from Charities and Societies dissolved before the enactment of this Proclamation and are under the custody of the Agency;

b)       Properties obtained from Organizations dissolved by the decision Agency or Court;

c)    Subsidy from the Government to the Fund.

4/ Organizations may not contribute to the Civil Societies Fund.

5/ The Agency shall issue Directives on the administration of the Ćivil Societies Fund.

87.  Repealed and Inapplicable Laws

1/ The Charities and Societies Proclamation No.621/2009, and Article 25 of the Commercial Code of Ethiopia (Proclamation No. 166/1960 are hereby repealed.

2/ Any law, Regulation, Directive and Customary Practice contrary to this Proclamation shall have no effect.

88.    Transitory Provisions

1/ The  Charities  and  Societies  Regulation No.168/2009 and Directives issued by the Agency prior to the enactment of this Proclamation shall be for one year from the promulgation of this Proclamation in the Federal Negarit Gazette to the extent that they do not contravene with the provisions of this Proclamation.

2/ All Rights and Obligations created by Proclamation No. 621/2009 shall continue to exist insofar as they do not contravene with the Fundamental Rights and Obligations provided for under this proclamation.

 

3/ All Organization registered under Proclamation No. 621/2001 except those Organizations operating in a single region shall register again within one  year after the coming into force of this Proclamation.

 

 

4/ All Organizations operating in a single region shall be registered by the competent registrar of that region.

 

5/ Powers, Duties, Rights and Obligation of the  Charities and Societies Agency by Proclamation No. 621/2009 as amended by this Proclamation shall be transferred to the Agency.

89.Power to Enact Regulation and Directive

 

1/ The Council of Ministers may enact Regulations necessary to give effect to this Proclamation.

2/ The Agency may issue Directives to give  effect  to this Proclamation and the Regulation enacted in accordance with Sub Article 1 of this Article.

90. Effective Date

This Proclamation shall enter into force from the Date of publication in the Federal Negarit Gazette.

DONE AT ADDIS ABEBA, ON 12TH, DAY OF MARCH 2019

 

SAHLEWORK ZEWDE PRESIDENT OF THE FEDERAL DEMOCRATIC

REPUBLIC OF ETHIOPIA

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