PART VU. MISCELLANEOUS PROVISIONS
SrcNpo this 6th doy of December 2021
No.8
DR. JULIUS MAADA BIO,
President.
z02L
The Sierra Leone Students' Loan Schem e Act 2021 Short title'
Being an Act to establish the Sierra Leone Students' Loan
Scheme, to provide financial assistance to students of tertiary
institutions in Sierra Leone as a means of facilitating increased
enrolment into higher education and promoting the right to
education for all Sierra Leoneans and to provide for other related
matters
] Date of commencement.
ENacrro6y the President and Members ofParliament in this
present Parliament assembled.
t
t
@
2 No' 8 The SietaleonestudentsLoanschemeFund Act 2021
PARTI-PRELIMINARY
1. Interpretation.
In this Act, uUless the context otherwiSe requires -
"accredited institution" includes tertiary institutions
accredited by the Tertiary Education Commission;
"Board of Trustees" means the governing body of the
Scheme established under section 2;
"borrower" meau; a student who lends money from
the scheme;
"eligible sffinf'means a student who is a citizen of
Sierra -I-rtone pursuing accredited tertiary
programnies in an accredited tertiary institution,
entitled or qualified for a loan under this Act;
"employef includes an individual, a body corporate,
a body ofpersons that is not a body corporate , an
uguarartor" means a person who is meaningfully or
gainfully employed or has the capacity to provide
coilateral engagement to pay for debt/default/
miscarriage of a borrower.
"institution" means, licenced body, a registered
professional body and any other body or
organization that employs a borrower and from which
information in respect of a borrower may be
obtained;
"Fund" means the Sierra Leone Students' Loan Scheme
Fund established under section 2;
"Minister" means the Mini,ster responsible for Technical
and Higher Education;
"Scheme" means the Sierra Leone Students' Loan
Scheme to finance loans to students for personal
expenses under section 2;
"scholarship" includes a bursary, award or grant;
Na 8 The Siena Leone Students Loan Schene Fund Act Z0Zl 3
"Tertiary Education Commission , means the Tertiary
Education Commission established under section 2
of the Tertiary Education C,onmissionAc! 2001 (Act
No 8 of 2001);
"tertiary educational institution, means'an institution,
including a university, university college,
polytechnic, aaining college or technical institute
that provides post-seeondary school education
through courses of instruction leading to the
granting ofcertificates, diplomas or degrees.
PARTtr.ESTABLISHMENT OF THE SIERRA LEONE
STUDENTS' LOAN SCI{EME FUND.
. 2. There is hereby established the Sierra Leone Studenls' Loan Estsbtishmcnt
Scheme Fund vihich shall be used to finance loans to students for oi stua*ts'
personal expenses, including fees, cost ofboarding or lodging, books, Loan Schcme
equipment and other purposes that may be necessary for itudens IUd
rmder the Siera Leone Studonts' Loan Scheme.
3. (1) The Fund shall be a body corporate having perpetual The Fund
succession and capable of acquiring, holding and dispoiing of any ana is
property, whether movable or irnmovable, of enteri.ns into conuaat conrnon
and ofsuing and being sued in its corporate name and-subject to this sd
Act, of performing all such acts as bodies corporate miy by law
perform.
PARIM-TI{E SIERRA LEONE STUDENTS' I,OAN SCHEME
FUND BOARD OF TRUSTEES.
(2) The Fund shall have a common seal, the use ofwhich
shall be authenticated by the signaOres of the
(a) the Chairman or other member authorised
either generally or specially by the Board in
that bchalf;
(b) the Chief Executive Officer or some other
person authorised by the Board in that behalf;
ot
1 No 8 The Sierra Leone Students Lodnsch.me Fund Act 2021
Composition
of thc Eoard
of Trustecs.
(c) anv two of its members authorised by
' ' re;lution ofthe Board to act in that behalf.
4. (1) The Goveming Body ofthe Fund shall be a Board of
trustees in which sha[ be vested the Sierra Leone Students' [,oan
Scheme Fund.
@) Subject to this Act, the Board shall have contol and
supervision of the Fund
5. 0) The Board of Trustees shall consist of a Chairrnan
and tbe following other members-
(a) one representative each, not below the rank
' of Director, from the following Ministries,
Deparhaents and Agencies-
(f the Minisry. of Te chnical and Higher
Education;
(if the MinistrY of Iabour;
0D the National Social Security and
Insurance Trusq
(i9 xhe Tertiary Education Commission;
(v) the Ministry of Financ€;
(vf the National Youth Service
(vii) the Conference ofVice Chancellors and
Principles
(b) one representative of Students' Union of
Tertiary Institutions, nominated on a
rotational basis for a term of I year only;
one investment and financial management
specialist nominated by the Minister; and
(c)
Board of
Truttees.
(2) The Chairman atrd non-statutory members
representing €ch ofthe Regions as may be established by Parliament
at least tbree (3) ofwhom shall be women ofthe Board of Trustees
shall be appointed by the President on the recommendation of the
Minister subj€ct to the approval ofParliament
(c) institute eBpropriate management and
reportrng procedures to ensure
accountability of the Scheme;
6. . Nonvitlstanding the generality ofsection (4), the Board of Functions of
TrusteeS strall be responsibte !o- H:H: "
(a) provide such policy guidance aad advice as
may be requfued to ensure the efficient
implementation and enhance the overall
perfomrance of the Scheme;
(b) monitor and evaluate the operatiors and
perfonnance of the Scheme;
(d) the Chief Executive Officer, who shall be
secretary to the Board ofTrustees.
(d) establish effective and efficient processes
and procedures for the disbursement of
loans and recovery of loans;
(e) provide guidelines that will ensure fairn€ss
in the disbursement of loans and the
application of the Scheme;
(0 determine -
(f the terms under which money from the
Scheme will be allocaJed to eligible
students;
(ii) the maximum amount ofmoney thatmay
be granted to an applicant under the
Scheme;
NG 8 The Sierra Leone Students Loanscheme Fund Act 2021
I
6 Nc 8 Tha Sierre laone Stu&nts Loon Scheme Fund Act 2AZl
Meetings of
Boald of
Trustees.
(iD rhe method and tyPs of investrnent of
firnds ofthe Schemei and
(g) perform any other functions that are
- incidental to the achievement of the object
of the Scheme.
7. (l) The Board ofTrustees shall meet at least once every
3 montbs ior the dispatch of$usiness at a time and place determined
bythe Chairman
(2) The Chainnan shall al the request in writing ofnot
less than one-third of the membership of the Board of Trustees
convene an extaordinary meeting ofthe Board ofTrustees.
(3) The quorum at a meeting of the Board of Trustees
shall be 7.
(4) The Chairman shall Preside at meetings ofthe Board
of Trusteei and in his absence, a member ofthe Board ofTrustees
elected by the members present from among their number shall
preside.
(5) Mauers before the Board ofTrustees shall be decided
by a majoiity oftle members present by voting ani in the -event of
an equality of votes, the Chairman or person presiding shall have a
casting vote.
8. (1) A member ofthe Board ofTrust€es who has an interest,
whether direct or indirect in any matter being considered or to be
considered by the Board ofTrustees, shall disclose the nature of his
interestto fhe Board of Trustees a,I1d the disclosure shall be recorded
in the minutes ofthe Board of Trustees and such member shall not
take part in any detberation or deoision of the Board of Trustees
relating to that mafer.
(2) A member of Board of Truslees who contravenes
subsection (1) shall be guilty of misconduct and shall be removed
from the Board ofTrustees.
Disclosure of
intcrest.
No 8 Tle Sierra laota Saldents Loqa Scheme Fund Act 2OZl
@) A member of the Board of Trustees shall not be
personally liable for any debt or obligation ofthe Board ofTrustees.
PARTry_ADMINISTRATION OF THE SIERRA LEONE
STUDENTS, IrA4 SCr{EME FUND.
@) The Chief Executive Officer shall be answerable to
the Board of Trustees and shall be responsible for -
(a) the day to day administration ofthe affairs
of the Scheme;
@) any other firnctions determined bythe Board
of Trustees;
(c) serve as secretary to the Board without
' voting rights.
9. (l) Action or other proceedings shall not lie or be tmmuoity of
instituted agahst a member of the Board ofTnrstees in respect of membcrs.
any act or thing done in good faith or omitted to be done in the
exercise ofhis fi.rnctions under this Act.
'l
10. The Chairman and the other members of the Board of Renuneraliotr
Trustees ghall be paid such r€muneration, fees or allorvance5 of members.
approvef 6y the Mhister and shall be reimbursed by the Board of
Trustees for expenses incurred in connection with the discharge of
their functions as the Board ofTrustees may, with the approval ofthe
Ministet deterrnine.
11. The Chairman and members appointed under section 5 shall Tenu.e of
hold office for a period of three (3) yea$ and shall be eligible for Board of
reappointraent foi another three (3) yiars only. - I rustees-
12. (l) The Scheme shall be administered by t}re Chief chief
Executive Ofiicer who shall be appointed by the President on the Executivc
recornmendation ofthe Minister, subject !o the approval of parliamenq ottloer.
on such terms and conditions as may be specifled in the lener of
appoinhent.
No. 8 The Sierrq Leone Sadents Loan Schane Fund Act Z0Zl
13. Other staff.
In the performance of its ftnctiotls under this Act' the
ChiJ executive bfficer shall be supported by such otler staffas
mav be necessary for the proper and offective performance of the
-n-*o* oi tU. Sineme, incluilng a Finance Officer, Administrative
6mr"i, l"t".aa"ait* and other technical and administative staff'
PART V- FINANCIAL PROYISIONS
14. (1) The fi:nds ofthe Fund shall consist of-
(a) moneys appropriated by Parliament for the
PurPoses of the Fund;
(b) all moneys given to the Fund by way ofgits,
endowments, bequest, grant or other
contributions by persons and organisations
for the PurPoses of the Fund;
(c) revenue generated from the Scheme;
(d) private investsnent and donations;
(e) foreign aid and assistance from donor
agencies; and
(D all othermoneyswhiohmay, fromtime to time,
arcrue to the Fund'
(2) The firnds of the Fund shall be applied only for the
purposes of the apProved budget of the Fund'
15. 0) The chiefExecutive Officer 5hall keep p.roper books
of account'aad other reoords in relation to the activities, property
anO finances oftfre Futrd in a form approved by the Auditor-General,
and shall prcpare in resP€ct ofeach fiDarcial year, a financial statanent
which shall iaclude-
(a) balance sh€et accounts;
(b) income and expenditure accounts; and
(o) source and application of funds'
Funds of thc
Fuod.
and oudit,
No S Thz Sierra Leone Studerrts Loanscheme Fund Act 20Zl 9
(2) The accounts ofthe Fund kept under subsection (1)
' shall, not later tlan 2 months after the end ofeach fina:rcial year, be
audited by the Auditor-General or an auditor appointed by hitrL
(3) For the purposes of subsection (2), the Auditor-
General or the auditor appointed by him shall be entitled to have
access to all books ofaccount, vouchers and other financial records
ofthe Fund and to require such information and explanation thereon
as he may think fit.
(4) The ChiefExecutive Officer shall provide theAudiior-
General or the auditor appointed by him with all necessary and
appropriate facilities for the examination ofthe accounts and records
ofthe Fund.
(5) The Auditor-General or the auditor appointed by him
shall submit to the Fund a report on the audited accomb and the
financial statements referred to in subsection (1) and shall, in his
report draw attention to -
(a) irregularilies in the accounts;
O) matlerc thal are likely to adversely affect the
operations ofthe Fund; and
(c) any other matter which, in his opinion, ought
to be brought to the notice ofthe Board of
Trustees.
16. The financial year of ttre Fund shall be the same as the Finatrciat
financial year of the Govemment, ,#.o, *u
17. (l) The Chief Executive Officer shall, through the
Chairmaa, Board ofTrustees, submit to the Minister, within 3 months
after the end of the financial year, a report on the performance ofthe
Fund during that year.
(2) Tle annual repon shall include the accounts and
annual fiiancial Statement prepared under section 15 and the report
ofthe audit thereon.
Aflrual report
of thc fund.
l0 No. 8 The Sierra l*one Sludents Loan Scheme Fund Act 2021
Disbursement
ftom Fund.
(3) The Minister shall lay copies of the aruIual report
before Pariia:nent wi&in 2 moDtbs after he has received tle report'
f4) The Board ofTrustees stlall make copies ofthe report
availabte to att stateholders once it has been laid before Parliarnent'
PARTYI. OPERATION OF TI{E SIERRALEONE STUDENTS'
LOANSCHEMEFUND
18. The Board ofTrustees shall authorise tle disbursement of
loans-fiom the Fund by the Chief Bxecutive Officer, to finarte
.r"*r*f f"* applications under this Ac! for students ?usuing
accredited tertialy iourses or programmes in accredited teniary
institutions.
l9- (l) A Derson who wish to apply for a loan from the Fund
"uuti- conlpiete'and submit to the Chief Executive oflicer' an
uii'fi*tion'i, t*r, form as may be prescribed by the Board of
Trustees.
(2) On tIe receiDt ofan application under subsection (l)'
the goard ii'trustees may conduct an investigation on the applicant
"**".Jtt . uooti*t to submit such docunrent or other information
^ ii -co*ia".i i*essary for the determination of the application'
20. (l) Where the Board of Trustees makes a determination
on an application for a loaq it shall -
(a) grant the apPlicatioq ifit is satisfied that tbe
'' ioplicani has fulfilled the requisite
.iiaitiont, and fr:nds are available in the
Fund to finance the couse or prografiune; or
refuse to grant the request, where it
iletermines that the applicant is ineligible for
a loan under this Act.
Application
for loa[.
Ll,sposal or
applicatior.
o)
(2) An aDplicant dissatisfied with the decision of the
Board of irustees tiider paragraph (b) of subsection ( I ) in respect
of an application may appeal to the Minister for a reYiew of the
decision'through an independent Appeal Committee'
No. The Sierra Leoae Studen* Loan Scheme Fund Act 20218 1l
21. A person is not eligible for a loan under this Act Elisibiliry
where, on admission into an accredited tertiary iustitution or during for loan.
the course of shrdies in the institution, he obtains a Scholanhip or
Grant-in -Aid &om the Goyemment or from a public or priva& flEded
source.
22. 0) Atediary educational institution shall inform tl€ Fund Disctosure of
of any scholarship made to a student in a tertiary institution in information
Sierra Leone not later than one month after the award of the 3Jr,orur"hip.
scholarship.
@) The irformation to b€ provided under subsection (1)
shal ias[uds the aame ofthe studen! the name ofthe institution and
amount ofthe scholarship, awar4 bursary or granl
(3) The Boad ofTrustees may issue a demand notice to
a private or public entity to provide information on a scholarship,
award bursary or grant made to a student in a tertiary instihrtion in
Sierra Leone.
23 The Board ofTrusteestiha[ decide, suu5ect to this Acq- Conditions to
be attached
to loan. I
(a) interest to be charged on loans;
@) fees and charges for the processing of
applications;
(c) security or guarantee to be attached to a
loan.
24. @ The Board of Trustees may, in writing, request Board may
information- from a borower, guarantor or government €""", ii?IflLion.including information of-
(a) name;
.- (b) occupation;
(c) residential and postal address;
(d) work place and address;
12 No 8 The Sieta Leohe Studeats Loan Scheme Fund Act Z02l
Bono\f,cr t o
provide
idormation
(e) telephone nunber;
(0 e-mail address;
(g) national identifrcation number;
(h) health insurance number; and
(f Nalional Social Security and Insurance
Trust nunber or any other recognised
national pension scheme number.
(2) tnformation requested by the Board of Trustees
under subsiction (I) shall be provided not later than 30 days after
receipt ofthe request in writing.
25. 0) A borrower shall notiry the Board of Trustees, in
writing; ofa change of-
(a) his residential, postal or busircss address
and other contact
(b) the name and business address of his
€mployer or guarantor; and
(c) his salarY and Particulars,
that the Board ofTrustees may reasonably request at any tim€ until
the loan is fullyrepaid.
(2) Except where the borrower is self-employed, the
borrower shall also notify the employer, in writing, ofarry obligation
in respect of tle loan"
26. (1) An employer may employ a person wlo has had
Tertiary Education in Sierra Leone but shall verifu whether-
(a) is a borrower from tbe Fund; or
(b) had made full re-palment oftbe loan.
Einployer
to d€duct
poyment
ftom salary
Nq 8 fte Sierra liorle Students Loan Schzme Fund Act Z02l l3
, ^Q Notwithstan.{ing subsection (l), where an employer
has lrooi that an employee has not flrlly repaid a loan from the Fundhe shatl make monthly deductions from the salary oftbe emolovee in
accordance with the agreed monthly repuyroaot" b"t u""o iha'F-d
aDd tne borrower and shall pay the deduction into the Fund not later
than 15 days after the deduction.
(3) An employer who makes montlly deductions from
T",rulpy ot an €rnployee uDder subsecrion (2) but fails to pay the
deductions into the Fund wir.hin the 15 days period, is liablj t6 pav
intercst on the araount deducted at the prevaiiing iDlerest rate ptr;i
percelt as penalty.
27. (l) Wherc a bonower defaults in repaying a loan for 3 Recovery
consecutive months, the Board ofTrustees shall ieid n-otice to mate oi r*n.
pal,rnent to the borrower or guarantor at their last loxown place of
abode or address and publish twice in a wjdely circulated dailv
newspaper and aay other media outlet.
, ,g) Where the bgrrower or guaraltor fails to repay or
maKe saustactory arraDgement to repay the loan after a notice to
make payment under subsection (l) has been sent, the Board of
Trustees slall publish the name ofthe borrower or tie guarantor in
a widely circulated daily newspaper and any other media ;utlet statin;
the amount olved and demand that the amormt owed should be pail
within one month after the publicdiou. Failure !o do so is an admission
of the debt ard it shau be deemed that judpent on the amou$ in
additionlo costs of5 percent ofthe debt has-been entered by a Court
against the borrower and guaranlor.
(3) The Board ofTrustees shal! without firthernotic€ to
the borrower or guarantor, proceed to exeaute or enforce thejudpent
for recovery ofthe loaa or outstanding batance.
_ 28. A torrower who repays a loan granted by the Board of certificate
Tiustees uoder ttris Act, in firll, shall be isiued with a certificate of of paylllcnt.
payment wiftiD 14 days after pa5,metrt and the cenificate shall be
conclusive evidence of fl.rll payment ofthe loan.
29. .Wlerc a- person to whom a loan to pursue a progamme in Effect of
an accredited tertiary institution, is granteO irnOer thii Ai, .. f,ffi*
t4 No8 The Sierra Leone Studen s Loqn Scheme Fuad Act 2021
Studetrts'
loan
protection
alrdngemcnt
Submission of
inco(ect
information.
(a) withdraws from the programme without
reasonable excusel or
@) is dismissed from the institution,
he shall, notwithstanding not be absolved of his responsibility to
pay the loan.
30. O) A borrower may subscribe to a students' loan
,r"ot""iiori irtuon"rent ttrat mai hdemnifi him ap1,o1ru**t ot
iutstanaing aeUlto the Fund as a result of death or
permanent disability.
@ loan protection arratrgement under subsection (1),
shall cover the duralion ofthe loan.
PARTVtr. OFFENCES
31. (1) Aborrower, guarultor and employerlvho inte$o-f[J
provides frtse information to scheme commir m offence and is liable
'oo conviction to a fiae not exceeding Le 20,000,000 or to term of
imprisonment not exceeding two (2) years or to both fine and
imprisonment
(2) Any borrower who frils to comply wi$ the proltsigns
contained in clausi 25 commits an offence and is liable on conviotion
to a fine not exceeding Le 10,000,000 or to teml of impdsonment not
exceeding two (2) years or to both fine and imprisonment
(3) A T€rtiary Education Institutioa which fails to
disclose iniormation or discloseses false information after the
issuanc: ofa demand notice by the Board of Trustees under sectiou
22 commits an offence and is liable on conviction to a fme not
exceeding L 20,000,000.
32, (1) Any borrower who frils to adequate arrangement after
three (3) mbnths to iervice the loan after gainfirl employment or income
seneratins activity commits an offence and is liable on convection to
i fine not ixeedin! k 5,000,000 for undergraduate loan and a 6ne not
exceeding k 10,000,000 forpostgraduate loan'
Failure to
r€pay Loan
No 8 The SierraLeonestudentsLoanSchemeFund Act 2021 15
A) Employer who intentionaily fails to;
(} deduct from source of an employee
indebted to the scheme;
(ri) or does, but fails to deposit loan
:il*ffir, amount as specified in
commits,a$offence and is liable on conviction to a fine not exceeding
Le 20,000,000 or to a term of imprisonment not exceeding two (2)
years or to both ftie and imprisonment.
(3) There shall !s imFosed upon a borrower an interest
not exceeding 0.02a/o of the agreed,monthly repayrnent cost as penalty
for late payment.
(4) Where a borrower defaults in repaying a loan for tiree
(3) consecutive months, there shall be imposed a monthly interest of
0.02% and the guarantor shall be liable to pay both the interest and
the principal to the fund. If the grhrantor, for another three (3)
consecutive months fails to repay both the interest and principal, the
collateral in place shall be disposed of to settle the amount payable
to the fund.
I
33. 0) A guarantor failing to provide &e right collateral or Defrauding of
of meaningftl value with the intent to defraud the siheme commits the scheme.
an offence and is liable on conviction to a fine not exceeding Le
3 0,000,000 or to a term of imprisonment not exceeding nro (2) years
orto both fine and imFrisonmenL
@ Any person;
(i) with intent to defraud the fund by
providing false information on or
through other dubious means;
(ir) aiding and abetting a borrowerl
guarantor to defraud the loan scheme
16 Na 8 The SierrcLeorestudents LoanschemeFund Act 2t2l
Regulations.
commits on conviction is liable to a fine not exceedint Le 20,000,000
or to a term of imprisonment not exceeding two (2) years or to both
fine and imprisonment.
PART VIU. MISCELLANEOUS PROVISION
34. The Minister may, after consultation with the Board of
Trustees, by statutory instrument, make Regulations as he considers
necessary or expedient for giving effect to thisAcl
Passed in Parliament this 2nd day of November, in the year of our Lord
two thousand and TWenty One.
PARAN UMAR TARAWAI,LY
Clerk of Parliament.
Trus Pnnrrro llpnessroN has been carefully compared by me with the Bitl
which has passed Parliament and found by me to be a true and correct printed copy
of the said Bill.
PARAN UMAR TARAWALTY,
Clerk of Parliament.
Pnrvrep lNp PuBtisHso av rHB GovERNuBmr PnrNrwc Dtte*rMlNt, Strxre LeoNp.
G,cziTTt No.79 oe 30rn DeceMsen, 2021.
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