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FACULTY OF LAW

E.A.C LAW

COURSEWORK

UNIT CODE: CLS 303

SUBMITTED TO: MR. TOM NGERI

SUBMITTED BY: GORE PETER CHARLES ANDREA

ADMISSION NO: 1046740


DECLARATION

I, Gore Peter Charles Andrea, declare that the work embodied in this
paper is as a result of a series of research from different sources which I
compiled to form one uniform document.

TABLE OF CONTENT

Contents
DECLARATION ................................................................. I
TABLE OF CONTENT .......................................................................II
INTRODUCTION ……………….………............................................. 1
HISTORICAL CONTEXT ……………………………………… 2
FUNCTIONS OF THE COMMUNITY ……… …………………. 3
INSTITUTIONAL FRAMEWORK………… …………………… 4
INTRODUCTION
The Treaty for the Establishment of the East African Corporation in 1967
is a pivotal document in the history of regional cooperation on the
African continent. It laid the groundwork for the first East African
Corporation (EAC), a bold initiative aimed at fostering economic
integration and cooperation among East African nations. However, the
fate of this endeavor has long been a subject of debate, with many
asserting that the first EAC was doomed from the onset. This analysis
critically appraises the provisions of the 1967 Treaty to determine the
validity of this assertion.
The significance of this analysis lies in its exploration of the historical
and geopolitical complexities surrounding the formation and eventual
collapse of the first EAC. By examining the specific provisions of the
1967 Treaty, we can gain insights into the challenges faced by sovereign
nations when they come together to pursue regional integration. The
analysis not only offers a historical perspective but also provides valuable
lessons for understanding the delicate balance between national
sovereignty and regional cooperation.
The Treaty for the Establishment of the East African Corporation, signed
in 1967, set out a vision for collaboration among East African nations. It
outlined the principles, objectives, and mechanisms for achieving greater
economic and political integration in the region.
This analysis seeks to demonstrate that while the first East African
Corporation faced significant challenges, the assertion that it was doomed
from the onset is not entirely justifiable. By critically assessing the
provisions of the 1967 Treaty, we will explore the factors that contributed
to both the successes and failures of the EAC. The collapse of the first
EAC was influenced by a complex interplay of historical, political, and
structural factors, and the Treaty's provisions were just one aspect of this
intricate narrative.

HISTORICAL CONTEXT

To critically appraise the provisions of the Treaty for the Establishment


of the East African Corporation in 1967 and assess the justifiability of the
assertion that the first East African Corporation was doomed from the
onset, it's essential to consider the historical context in which the treaty
was established. The historical backdrop provides crucial insights into the
challenges and circumstances that shaped the East African region during
that era.
East African States in the 1960s

In the 1960s, the East African region was marked by the emergence of
newly independent states. Countries such as Kenya, Tanzania, and
Uganda had recently gained their independence from colonial powers.
These nations were grappling with the complexities of statehood, nation-
building, and the quest for economic development. The desire for
regional cooperation was fueled by a shared vision of harnessing their
collective potential.

Post-Colonial Aspirations

The post-colonial period was marked by high hopes for social and
economic progress. The newly independent nations sought to overcome
the legacy of colonialism, which had often left these countries with
fragmented economies and infrastructure. The idea of regional integration
in East Africa was rooted in the belief that collaboration could accelerate
development and strengthen the geopolitical position of the member
states on the international stage.

Political Challenges

Political diversity was a prominent feature of the region. Member states


had varying political systems, ideologies, and leadership styles. Kenya,
for instance, adopted a multiparty democratic system, while Tanzania
pursued a one-party socialist path under President Julius Nyerere. These
political differences would become significant factors affecting the
cohesion of the East African Corporation.

Geopolitical Significance

The geopolitical dynamics of the time added complexity to the regional


landscape. The Cold War rivalry between the United States and the
Soviet Union had global repercussions, and East African states were not
immune to these influences. The decisions made within the EAC were
closely observed by external actors with vested interests in the region.

Challenges and Aspirations

The East African region faced both immense challenges and promising
aspirations. Member states aspired to improve infrastructure, boost trade,
and enhance the welfare of their populations. However, these aspirations
had to contend with the practical complexities of aligning economic
policies, managing political differences, and maintaining sovereignty.

In conclusion, the historical context in which the 1967 Treaty for the
Establishment of the East African Corporation was formed was
characterized by the post-colonial aspirations of newly independent
states, political diversity, and geopolitical significance. These factors,
alongside the challenges faced by East African states during that period,
played a significant role in shaping the establishment and eventual fate of
the first East African Corporation. To fully understand the justifiability of
the assertion that it was doomed from the onset, it's crucial to consider
how these historical dynamics interacted with the provisions of the
Treaty.

FUNCTIONS OF THE COMMUNITY


It is found in Article 43 and it states;
1. The community shall, on behalf of the partner states,through its
appropriate institutions, perform the functions given to it, and discharge
the responsibilities imposed upon it, by this treaty in relation to the
establishment, functioning and development of the common market.
2. (a) The community shall, on behalf of the partner states, administer the
services specified in Part A of the Annex IX to this treaty, and for that
purpose shall, subject to this treaty, take over from the Common Services
Organization such of those services as are in existence at the date of the
coming into force of this treaty.
(b) The Authority may by order from time to time amend or ad to Part A
of Annex IX to this treaty.
3. The corporations shall, on behalf of the partner states and in
accordance with this treaty and the laws of the community, administer the
services specified in Part B of Annex IX to this treaty, and for that
purpose shall take over from the Common Services Organization the
corresponding services administered by the Common Services
Organization at the date of the coming into force of this treaty.
4. The Community shall provide machinery to facilitate the coordination
of the activities of partner states on any matter of common interest.
5. Subject to this Treaty, the Community shall so regulate the distribution
of its non-physical investments as to ensure an equitable contribution to
the foreign exchange resources of each of the partner states.
6. The Community shall so arrange its purchases within the partner states
to ensure an equitable distribution of the benefits thereof to each of the
partner states.
7. Subject to this treaty, the community may enact measures with respect
to the matters set out in Annex X of the treaty.
8. The Community shall, in accordance with this treaty, provide a court of
appeal, a common market Tribunal and an East African Industrial Court.

INSTITUTIONAL FRAMEWORK

THE EAST AFRICAN AUTHORITY


The East African Community Authority is one of the organs of the East
African Community established under Article 43 of the Treaty for the
Establishment of the East African Community 1967.
The principal executive authority subject to this treaty.
The authority shall consist of the presidents of the 3 partner states of the
treaty.
The members of the authority have the mandate to appoint a person
holding office as a minister of his government to represent him at
meetings and a person so appointed shall for the purpose of that meeting
have all powers, duties and responsibilities of the member of the authority
for whom he is acting.

Functions
The Authority shall be responsible for, and have the general direction and
control of, the performance of the executive functions of the Community.
The Authority shall be assisted in the performance of its functions under
Article 48 by the councils and the East African Ministers.
The Authority may give directions to the Councils and to the East African
Ministers as to the performance of any functions conferred upon them,
and such directions shall be complied with.
The Authority shall review the state peace, security and goods
governance within the community and progress achieved towards the
establishment of a political federation of the states.
As head of states meet yearly with the purpose of discussing issues
hindering integration in various states
The agenda is to review the following;

a) Peace within the member states.


The Authority which consists of head of states and meets held yearly is to
look at peace statues of each of the member states and look for way
forward of maintaining the peace in each of the EAC partner states.
For Example, the War in Democratic Republic of Congo which Kenyan
and Ugandans troops were sent for peace keeping as D R C is part of the
EAC.
b) Security
The Authority Review Security within the EAC partner states which can
be security on free movement of goods, labor, rights of residence, right of
establishment and free movement of persons. In terms of security on
residence it lays on the partner state hosting residents from other partner
states.
c) Good governance
Good governance is based on the transparency, accountability,
Competence and Capacity and openness of each of the member states to
progress in the process of the integration.
3. The Authority shall consider the annual progress reports and such other
reports submitted to it by Council as provided for by this treaty. The
council has the obligation to summit annual report on the progress
process of the integration.
4. The Authority shall give general direction and impetus as to the
development and achievement of the objectives of the EAC.
When reports are submitted to the Authority, it consists of various
challenges, progress of the integration. After the summit review the
Report, it gives directions on development of some challenges faced.
5. In provision of any Act of the Community, the acts and decisions of the
Authority may have signified under the hand of the community
authorized in that behalf by the summit.
6. The delegation of powers and functions referred to in paragraphs 5 and
6 of the Article shall not in could the following:
a) Giving of general directions and impetus
b) Appointment of judges to the EACJ
c) Admission of any new members and granting of observer statues to
foreign countries
d) Assent to Bills.

The Authority is to meet at least once a year and reports are to be hold.
The tenure for the office of the chairperson shall be submitted in one year
and the office of chairperson shall be held in rotation among partner
states.
Decisions shall be consensus. And the summit shall only discuss business
submitted by the council and any matter bearing on the community.

Contributions of the Authority


The Authority is established by Article 9 of the Treaty for The
Establishment of the East African Community.
It is one of the organs of the community that has played vital roles in
achieving the main objectives of the Treaty as set out in Article 5.
The following are some of the ways in which the Authority has aided in
the achievement of the goals of the EAC:
Fast Tracking the East African Political Federation
The main objectives of the Treaty are to develop policies and programs
that will widen and deepen the co-operation among the partner states, in
political, social and cultural, economic, research, technology, defense,
security and judicial matters for their mutual benefit. In achieving this
objective, the partner states must first establish a Customs Union, then a
Common Market, followed by a Monetary Union and Ultimately a
Political Federation.
In achieving the last stage of the gradual integration of EAC, Article
123(7) of the Treaty mandated the Summit to initiate the process towards
the establishment of a political federation of the Partner states by
directing the Council to undertake the process. In 2004, the Summit
invoked this power and established a Fast-Tracking Committee for a
Political Federation of EAC. The committee had an obligation of
conducting a qualitative study on the means and ways of achieving a
political federation in East Africa. After the study, the Summit took into
account the reports submitted by the then member states and ordered the
council to create specific recommendations for the Political Federation of
the EAC.
Facilitating smooth admission of new members into the Community
Article 5 (3) (h) mandates the Community to undertake any other activity
calculated to further the objectives of the Community, as the partner
States may from time to time decide to undertake in common. Such
activities may include admission of new members into the community as
it adds to the available resources for the community e.g., DRC.

Contribution towards achieving peace and security


One of the contributions of the Authority is based on the peace and
security progress within member states. Member states of the EAC helps
DRC in a peace keeping and security to protect of people of Congo.

EAST AFRICAN MINISTERS


The ministers shall be three
The partner states shall each nominate one person, qualified under
paragraph 3 of Article 49 of the treaty for the establishment of the E.A.C
1967 for appointment as an East African Minister and the Authority shall
appoint the persons so nominated to be East African Ministers.
In case of temporary absence of the East African Minister, the partner
state which nominated him, shall nominate some other person to act in
place of the absent minister.
Acting ministers shall while in office, have all the functions,
responsibilities, powers, duties and privileges of the substantive East
African Minister.
An East African Minister shall not be appointed for a fixed term but shall
vacate office upon transmission of his resignation in writing to the
Authority, if he ceases to be qualified for appointment as a minister and if
the Authority terminate his appointment by a request in writing of a
partner state which nominated him.

FUNCTIONS
It shall be the responsibility of the EA ministers to assist the Authority in
the exercise of its executive functions to the extent required by and
subject to the directions of the Authority, and to advise the Authority
generally in respect of the affairs of the Community.
The EA ministers shall perform the functions conferred on them by the
treaty in respect of the Councils, the Assembly and other matters
The Authority may allocate particular responsibilities to each of the East
African Ministers.
The Authority may, in respect of any responsiblities which it confers
upon the East African Ministers, specify which matters shall be
performed by them acting in common agreement and which maybe
performed by a single East African Minister.
Negotiate bi-lateral air services agreements on behalf of the partner states
and to conduct such negotiations in accordance with the criteria laid
down by the Communications Ministerial Committee of the Common
Services Organization and any amendment of suvh criteria which maybe
made by the Communications Council.

DEPUTY EAST AFRICAN MINISTERS


Authority may, at anytime it considers desirable, appoint three deputy
E.A Ministers.
Partner states shall each nominate one person who is qualified to vote
under the national electoral laws of the Partner state nominating him.
Shall not be appointed for a fixed term but shall vacate his office upon
transmission of his resignation in writing to the Authority and the
authority accepts it, termination of his appointment by the Authority upon
request in writing by the partner state which nominated him.

Subject to any directions given or instructions issued by the Authority, it


shall be the responsibility of the deputy East African Minister to assist the
East African Ministers in the performance of their functions and to
perform such duties as may be imposed on them by the Authority or the
Treaty.

THE COUNCILS
They are established as institutions of the Community and they include;
1. The Common Market Council which shall consist of the three East
African Ministers, together with nine other members, of whom three shall
be designated by each partner state from among the persons holding
office as minister of its government.
2. The Communications Authority which shall consist of the three East
African ministers together with other three members, being persons
holding office as ministers responsible for matters relating to
communications in the respective governments of the partner states
3. Economic Consultative Council which shall consist of the three East
African Ministers, together with nine other members, of whom three shall
be designated by each partner state from among persons holding office as
minister of its government.
4. The Finance which shall consist of the three East African Ministers
together with three other members, being persons holding office as
Ministers responsible for matters relating to public finance in the
respective Governments of the partner states.
5. The research and Social Council which shall consist of the three East
African Ministers, together with nine other members, of whom three shall
be designated by each partner state from among the persons holding
office as ministers of its Government.

The council as a policy organ of the community.


The council being a policy an organ of the community will hasten the
process of integration of the community because it obligated by virtue of
Article 14(2) of the treaty to promote, monitor and to keep into constant
review the implementation of the programme of the community and to
ensures the proper functioning and the development of the community in
accordance with the treaty, will enable it make an informed policy based
on the data obtained from the review for the benefit of realization of the
ultimate goal of the community as spelt out in Article 5(2) of the treaty.
By virtue of Article 3(6) the organ is obligated to come up with a clear
procedure for the purpose of admission of new member to the community
and bring about a clear process to be followed before the new member is
admitted into the community . This will hasten the process of integration
since there will be clear steps to be followed for one to join the
community.
Under Article 14(3) (l) the council is granted power to resolve matters
that may be referred to it this will hasten the process of integration as it
will provide an avenue for redress in case of any breach of the treaty
other than going to court process this will hasten the process of
integration since there will be a reduction in the backlog of case that need
to be address thus hastening the process of integration .
Pursuant to Article 14(3) c the council is obligated to consider the budget
of the community. By the council having first-hand information based on
the constant review the community activist the council gets to examine
the budget of the community and make recommendation on which areas
of integration the community ought to channel much of its resources for
the purpose of attaining the ultimate goal of the community as spelt out in
Article 5(2) of the treaty.
The council is granted the power to initiate a bill to the East African
Legislative assembly with this power the Council can lobby a bill to be
discussed in the Federal parliament in order to come up with enabling
statutes that will address any Lacuna left by the treaty that tend to hinder
the process of integration. This will in return hasten the process of
integration since the statutes will give a clear directive on what ought to
be done.
Pursuant to Article 14(3) of the aforesaid treaty the council is obligated to
issue financial rules and obligations to the community. With the council
having power to establish a sectoral council it may establish a sectoral
council comprising of expertise to come up with financial rules that will
help guide the community while undertaking the steps necessary for them
to attain the ultimate objective of the community.
Pursuant to Article 14(3) (d) the council is obligated to make regulations,
issue directives, take decisions, make recommendations and give
opinions in accordance with the provisions of this Treaty. Through this
power granted to the council it can make decision and issue directive that
will hasten the realization of the process of integration. This is
demonstrated in the 2014 directive issued by it on security exchange so as
to set out standard for operation of security exchange in the community.
It will facilitate seamless movement of securities and payments within the
Community securities market. It has made it possible to link the Capital
Markets Infrastructure with Capital Markets that already have trading
systems like the Kenya Uganda and Tanzania Capital Markets. In this
case users of the capital markets infrastructure are able to participate in
those markets without having to physically be in that country. This has
hastened the common market stage of integration as there is a clear
procedure on how the security of exchange which is an essential place of
raising capital for the proper functioning of the common Market is to be
operated;
Pursuant to Article 11(5) of the treaty the summit may delegate its
legislative power to the council where this the council can formulate
legislation to address emergency issues that are likely to derail the
process of integration of the community this can be demonstrated in the
times of economic recess as seen during the pandemic era and times of
Ukraine Russian war that made the council come up with measure
appropriate to suppress the negative impact of the war and pandemic on
the process of integration.
The council through their reviews of the implementation of the treaty
makes a report and submit it to the East African Authority through this
the Authority can identify, examine and come up with an informed
judgement for it to issue direction that will accelerate the achievement of
the objectives of the community as spelt out under Article 5(2) of the
treaty for Establishment of EAC 1967.
Furthermore the council is bestowed with the power to create institutions
such as those required to run the Common Market and those similar to
specific sectoral councils and sectoral committees; through this the
council gets to establish office that will facilitate the implementation of
the treaty, this in turn will hasten the progress of integration since the
offices will be focusing on the role and power bestowed on them for the
purpose of realization of the ultimate goal of EAC.
In addition, The Council is required to hire the Community Counsel, the
Registrar of the Court, the Clerk of the Assembly, heads of institutions,
and other staff members of the Community in order to ensure
administrative support for the fulfillment of its tasks this in return hasten
the process of integration since the council shortlist the best personnel
that will aid in the proper and faster integration furthermore this uphold
the spirit of separation of power and interdependence among the
legislative assembly, East African court of justice and the council .
However by the council establishing numerous programs and projects in
various areas of cooperation as specified by the Treaty and employing
development strategies concurrently has hindered the process of
integration since the limited resource raised in the community may not be
channeled to these programme and project in order of priority this in turn
create unhealthy competition among the offices mandated to undertake
the programme or projects formulated by the council.
In addition the council may over step into other organs mandate thus
violating the doctrine of separation of power hence derailing the process
of integration this is demonstrated in the case of Calist Mwatela and 2
Others v East African Community where the council made a decision to
withdraw three bills that it had already table to the Legislative assembly
for discussion without following the due process of withdrawing the bill,
this hinders the process of integration as it will result to the struggle of
power among the organs.

Functions
The common market shall discharge the responsibilities imposed upon it
by Article 30 of the Treaty.
Communications council shall subject to any directions given by the
Authority, and subject to this treaty and to any law of the Community,
they shall perform the duties and have powers which are set out in the
Annex XIII to this Treaty, and shall provide a forum for consultation
generally on communication matters.
The Economic Consultative and planning council shall ;
(a) Assist the national planning of the partner states by consultative
means
(b) Advise the Authority upon the long term planning of the common
services.

The Finance Council shall consult in common on the major financial


affairs of the Community, and consider and approve major financial
decisions relating to the services administered by the Community
including their estimates of expenditure and related loan and investment
programmes.
The Research and social council shall assist by consultative means, in the
co-ordination of the policies of each of the member states and the
community regarding research and social matters.

One of the less publicized provisions of the East African Treaty for Co-
operation, Article 29 provides in a very general way for co-operation and
consultation among the partner states on a number of matters that can
potentially affect the efficient operation of the common market.
Subsection (b) of that Article provides that "the Counsel to the
Community shall advise the Partner States on, and endeavour to promote,
the harmonization of the commercial laws in operation in the Partner
States." This provision is reinforced by Article 2 of the Treaty, which lists
the general aims of the Community and includes among them "the
approximation of the commercial laws of the Partner States.
The impact these provisions may or should have on the existing
commercial laws in East Africa.
The non-customary laws of the different jurisdictions in East Africa are
already similar in most important respects. There are a number of reasons
for this similarity, the most important being the basic similarity in the
colonial experiences of the jurisdictions. The commercial laws of all East
Africa jurisdictions have been mostly drafted by British civil servants
who had a common social and educational background, who tended to
consult with counterpart officials in other colonies, and who were often
advised about the content of commercial laws by the Colonial Office in
London that was charged with administering all the British colonies.'
Despite the basic similarity of the commercial laws, however, there have
been recur· rent efforts to achieve even greater uniformity in the past few
decades.
The 1945 Colonial Office paper proposing the establishment of an East
African High Commission suggested that the High Commission have
considerable power to legislate in commercial law areas,' but this
proposal was subsequently dropped and the 1947 Order in Council did
not vest such power in the High Commission that it established.
• The 1961 Raisman report, which immediately preceded the foundation
of E.A.C.S.O., again proposed that the Central Legislative Assembly be
empowered to enact commercial legislation that would be effective
throughout East Africa.
As before, however, the proposal was not accepted and the Central
Legislative Assembly operating under the E.A.C.S.O. agreement lacked
authority to legislate in commercial law areas, Since 1961 a number of
commentators who have championed the cause of greater East African
unity have argued that there is a need for greater uniformity of
commercial laws, and some have even lamented what they perceive to be
a trend towards dissimilarity since independence.
Articles 2 and 29 (b) of the Treaty for Co-operation appear to be a
product of this drive for further unification of the commercial laws, The
wording of the Articles, however, raises two problems in determining
their intended impact. First, they use the term "commercial laws" to
define the
scope of the provisions. Although this term is often used in the legal
profession,there is no uniformly accepted precise definition· of it, nor
does the Treaty for Co-operation provide one. For two reasons, however,
this difficulty does not pose as serious a problem as might be supposed.
First, neither Article has any immediate effect; Article 29 (b) only calls
on the Counsel to the Community to advise the partner states on the
harmonization of commercial laws and Article 2 only lists the general
long term goals of the Community. Implicitly, therefore, the partner states
have reserved the authority to make the ultimate decision on the content
of their commerci3J laws. Still the provisions have some importance in
that they commit the different governments, in making these decisions, to
consider the interrelationship between their "commercial laws" and
those of the other governments. Secondly, other provisions of the Treaty
indicate some limitations on the potential impact of Articles 2 and 29 (b).
Various provisions of the Treaty declare certain discriminatory
commercial practices to be "incompatible with this Treaty,''8 provide for
continuation of the East African Industrial Licensing Laws,9 provide for
coordination on taxation policies, charge the Communications Council
with the duty of consulting with the partner states on co-ordination of
surface transport policies, II and deal with a number of other laws which
affect commerce.
Presumably ;Article 2 should not be interpreted as possibly committing
the partner states to anything in consistent with these other provisions,
nor should Article 29 (b) be read to authorize the Counsel to promote
legislation inconsistent with other Treaty provisions.
The Council to the Community and the partner states can still act to
promote "harmonization" of laws in these areas to the extent possible
without conflicting with the other treaty provisions-indeed it is to be
hoped that the Counsel will offer his advice on as wide a range of matters
as possible-but the potential impact of Articles 2 and 29 (b) on laws
affecting commerce that are dealt with elsewhere in the treaty is certainly
less than it is on other laws affecting commerce.

THE EAST AFRICA LEGISLATIVE ASSEMBLY


The provisions of its establishment are found in Chapter XVI, Article
56(1) which states,There is hereby established for the community a
legislative body, to be known as the East African Legistlative Assembly,
which shall exercise powers conferred upon it by this treaty.
Composition
The members of the assembly shall be-
(a) The three East African Ministers
(b) The three deputy ministers if any
(c) Twenty seven appointed members; and
(d) The chairman of the assembly, secretary general and the counsel to
the community.

The chairman of the assembly shall preside over and take part in its
proceedings in accordance with the rules of procedure of the assembly
made by the Authority.

EALA forms committees to implement its legislative mandates in EAC.


The mission of the assembly is to perform legislative, representation and
oversight roles in order to facilitate the integration in the region .

CONTRIBUTIONS OF THE EALA TO THE INTEGRATION


PROCESS IN THE EAST AFRICAN COMMUNITY.

The contribution of EALA’s towards the integration process of EAC can


be obtained EALA roles as provided in the Treaty.

Legislation
EALA has passed many statutes a number which are very fundamental to
the EAC integration process.
This not only ensures that the agenda for the regional block is centered on
the people, but it also ensures that it is capable of meeting the ongoing
needs of the people in a manner that is sustainable. The body participates
in a law making process, which has guaranteed that the laws that it passes
are critical to the integration of the area.
The EAC Human and People's Rights Act from 2011, the EA Conflict
Management Act from 2011, and the Inter-University Council of East
Africa (Amendment) Act from 2011 are a few examples of laws that fall
under this category. These laws enacted takes precedence over similar
national laws on matters pertaining to the community .
Representation
The EALA serves as a democratic link between the institutions of EAC
and the people of East Africa. It is the people’s voice for the citizens of
East Africa about policies of their government to EAC.It has been able to
achieve this through public hearings, workshops and public rallies on all
the major stages of integration and legislation.

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