Chapter VIII - Improvement Schemes and Improvement Boards in Karnataka Municipalities Act, 1964
Improvement Schemes and Improvement Boards.
(1) The municipal council may, subject to the control of the Government, -
(a) draw up detailed schemes (hereinafter referred to as 'improvementscheme') for the improvement or expansion or both of the areas within the1[municipal area];
(b) undertake any works and incur any expenditure for the improvementor development of any such area and for the framing and execution of such improvement schemes as may be necessary from time to time.
(2) The municipal council may also from time to time make any new oradditional improvement schemes, on its own initiative, if satisfied of the sufficiency of its resources.
(3) Notwithstanding anything to the contrary contained in this Act, or inany other law for the time being in force, the Government may, whenever it deems it necessary, require the municipal council to take up any improvement scheme or work and execute it subject to such terms and conditions as may be specified by the Government.
(4) Upon the passing of a resolution by the municipal council that animprovement scheme under this section is necessary in respect of any locality, it shall be lawful for any person either generally or specially authorised by the municipal council in this behalf and for the municipal servants assisting him, to do all such acts on or in respect of land in that locality as it would be lawful for an officer duly authorised by the Government to act under sub-section (2) of section 4 of the Land Acquisition Act, 1894, and for his servants and workmen to do thereunder; and the provisions contained in section 5 of the said Act shall likewise be applicable in respect of damage caused by any of the acts first mentioned.
_______________________________
1. Substituted by Act 36 of 1994 w.e.f. 1.6.1994.
Section 156 - Particulars to be provided for in an improvement scheme
Every improvement scheme under section 155, --
(1) shall within the limits of the area comprised in the scheme, providefor, --
(a) the acquisition of any land which will, in the opinion of the municipal council be necessary for or affected by the execution of the scheme,
(b) relaying out all or any land including the construction and reconstruction of buildings and the formation and alteration of streets,
(c) draining streets so formed or altered;
(2) may, within the limits aforesaid provide for, --
(a) raising any land which the municipal council may deem expedient to raise for the better drainage of the locality,
(b) forming open spaces for the better ventilation of the area comprised in the scheme or any adjoining area,
(c) the whole or any part of the sanitary arrangements required,
(d) the establishment or construction of markets and other public requirements or conveniences; and
(3) may within and without the limits aforesaid, provide for the construction of buildings for the accommodation of the poorer and working classes, including the whole or part of such classes to be displaced in the execution of the scheme.
Section 157 - Procedure on completion of scheme
(1) Upon the completion of any improvement scheme, the municipal council shall draw up a notification stating the fact of a scheme having been made and the limits of the area comprised therein, and naming a place where particulars of the scheme, a map of the area comprised therein and a statement specifying the land which it is proposed to acquire and of the land in regard to which it is proposed to recover a betterment fee may be seen at all reasonable hours; and shall cause a copy of the said notification to be published during three consecutive weeks in the official Gazette and posted up in some conspicuous part of the municipal office and the Tahsildar's office.
(2) During the thirty days next following the day on which such notificationis published in the official Gazette, the municipal council shall serve a notice on every person whose name appears in the assessment list of the municipal council or in the land revenue register as being primarily liable to pay the property tax or land revenue assessment on any building or land which it is proposed to acquire in executing the scheme, or in regard to which the municipal council proposes to recover a betterment fee, stating that the municipal council proposes to acquire such building or land or to recover such betterment fee for the purpose of carrying out an improvement scheme and requiring an answer within thirty days from the date of service of the notice stating whether the person so served, objects to such acquisition of the building or land or to the recovery of such betterment fee, and if the person objects, the reasons for such objection.
(3) Such notice shall be signed by, or by the order of the MunicipalCommissioner or Chief Officer and shall be served in the manner specified in section 262.
Section 158 - The Scheme to be then forwarded to Government for sanction
(1) Upon compliance with the foregoing provisions with respect to the publication and service of notices of the schemes, the municipal council shall after consideration of any representation or answer received under section 157 and after inserting in the scheme such modifications as it may think fit, apply to the Government for sanction to the scheme.
(2) The application for sanction shall, save in the case provided for in sub-section (3), be accompanied by, --
(a) a description with full particulars of the scheme including the reasons for any modifications inserted therein;
(b) complete plans and estimates of the cost of executing the scheme;
(c) a statement specifying the land proposed to be acquired;
(d) any representation received under sub-section (2) of section 157;
(e) a schedule showing the rateable value, as entered in the municipal assessment book, at the date of the publication of a notification relating to the land under section 157, or the land assessment, of all land specified in the statement under clause (c); and
(f) such further particulars, if any, as may be prescribed.
(3) When under any improvement scheme provision is made for the construction of dwellings for the poorer and working classes, the municipal council may, after complying with the provisions of section 157, forthwith submit to the Government for sanction plans and estimates for the construction of such dwellings, and on receipt of such sanction the provisions of section 159 shall with all necessary modifications, be applicable to the part of the scheme providing for the construction of such dwellings, as if such part were the scheme.
Section 159 - On receipt of sanction, declaration to be published giving particulars of land to be acquired
(1) On receipt of the sanction of the Government, the Municipal Commissioner or Chief Officer shall forward a declaration for notification by the Government, stating the fact of such sanction and that the land proposed to be acquired by the municipal council for the purpose of the scheme is required for a public purpose.
(2) The declaration shall be published in the official Gazette and shallstate the limits within which the land proposed to be acquired is situate, the purpose for which it is needed, its approximate area, and the place where a plan of the land may be inspected. The publication of such declaration shall be deemed to be the publication of a declaration under section 6 of the Land Acquisition Act, 1894.
(3) The said declaration shall be conclusive evidence that the land is needed for a public purpose, and the municipal council shall, upon the publication of the said declaration, proceed to execute the scheme.
(4) Subject to the provisions of sub-section (4) of section 155 and sub-sections (2) and (3) of this section, the provisions of the Land Acquisition Act, 1894, shall be applicable for purposes of acquisition of land in respect of an improvement scheme under this Chapter; and after the land vests in the Government under section 16 of the Land Acquisition Act, 1894, the Deputy Commissioner shall, upon payment of the cost of the acquisition and upon the municipal council agreeing to pay any further costs which may be incurred on account of the acquisition, transfer the land to the municipal council, and the land shall thereupon vest in the said municipal council.
Section 160 - Payment of betterment fee
(1) When, by the making of any improvement scheme, any land in the area comprised in the scheme which is not required for the execution thereof will, in the opinion of the municipal council be increased in value, the municipal council, in framing the scheme, may declare that a betterment fee shall be payable by the owner of the land or any person having an interest therein in respect of the increase in value of the land resulting from the execution of the scheme.
(2) Such increase in value shall be the amount by which the value of the land, on the completion of the execution of the scheme, estimated as if the land were clear of buildings exceeds the value of the land, prior to the execution of the scheme estimated in like manner, and the betterment fee shall be one-third of such increase in value.
Section 161 - Assessment of betterment fee by the municipal council
(1) When it appears to the municipal council that an improvement scheme is sufficiently advanced to enable the amount of the betterment fee to be determined, the municipal council shall, by a resolution passed in this behalf declare that for the purpose of determining such fee the execution of the scheme shall be deemed to have been completed and shall thereupon give notice in writing to every person on whom a notice in respect of land to be assessed has been served under sub-section (2) of section 157 or to the successor in interest of such person, that the municipal council proposes to assess the amount of the betterment fee payable in respect of such land under section 160.
(2) The municipal council shall then assess the amount of betterment fee payable by each person concerned after giving such person an opportunity to be heard and such person shall within three months from the date of receipt of notice in writing of such assessment from the municipal council, inform the municipal council in writing whether or not he accepts the assessment.
(3) When the assessment proposed by the municipal council is accepted by the person concerned within the period specified in sub-section (2), such assessment shall be final.
Section 162 - Settlement of betterment fee by arbitrator
(1) If the person concerned does not accept the assessment made by the municipal council or fails to give the municipal council the information required under subsection (2) of section 161 within the period specified therein, the matter shall be determined by an arbitrator appointed by the Government.
(2) An arbitrator appointed under sub-section (1) shall be a person who, --
(i) has for at least five years held a judicial office in the State; or
(ii) has for at least five years been an Advocate.
(3) If the Government is satisfied after such inquiry, as it thinks fit, thatany arbitrator appointed under sub-section (1) has misconducted himself, it may remove him.
(4) If any such arbitrator dies, resigns, becomes disqualified, is removed, or refuses to perform or in the opinion of the Government, neglects to perform or becomes incapable of performing his functions, the Government shall forthwith appoint another arbitrator.
(5) When the arbitrator has made his award, he shall sign it and forwardit to the municipal council and such award shall, subject to the provisions of sub-section (6), be final and conclusive and binding on all persons.
(6) Any party aggrieved by an award including the finding on costs under sub-section (3) of section 164, if any, may, within thirty days from the date of the communication thereof, appeal to the District Judge having jurisdiction over the1[municipal area] and any order or decision of the said District Judge shall be final and conclusive and binding on all persons.
_______________________________
1. Substituted by Act 36 of 1994 w.e.f. 1.6.1994.
Section 163 - Fee for arbitrator
The municipal council shall pay to the arbitrator a fee to be determined by the Government in respect of the whole of the scheme for which his services are utilised.
Section 164 - Powers and duties of arbitrator
(1) The arbitrator shall give notice of his proceedings and conduct them in the manner prescribed and communicate the substance of his award in writing to the parties concerned:
Provided that every party to such proceedings shall be entitled to appear before the arbitrator either in person or by his authorised agent.
(2) The arbitrator shall have all the powers of a civil court under the Code of Civil Procedure, 1908 (Central Act V of 1908), for the purpose of taking evidence on oath and of enforcing the attendance of witnesses and compelling the production of documents and other material objects.
(3) The costs of and incidental to all proceedings before the arbitrator shall be in his discretion and the arbitrator shall have full power to determine by whom or out of what property and to what extent such costs are to be paid and to give all necessary directions for the purpose.
Section 165 - Municipal council to give notice to persons liable to payment of betterment fee
When the amount of the betterment fee payable in respect of land in the area comprised in the scheme has been determined under section 161 or 162, as the case may be, the municipal council shall, by a notice in writing to be served on all persons liable to such payment, fix a date by which such payment shall be made, and interest at the rate of four per cent per annum upon any amount outstanding shall be payable from that date.
Section 166 - Agreement to make payment of betterment fee a charge on land
Any person liable to pay a betterment fee in respect of any land, may, instead of paying the same to the municipal council execute an agreement with the municipal council to leave the payment outstanding as a charge on his interest in the land, subject to the payment for a period not exceeding five years of interest at the rate of six per cent per annum, the first annual payment of such interest to be made one year from the date referred to in section 165.
Section 167 - Payment of betterment fee first charge
(1) Every payment due from any person in respect of a betterment fee and every charge referred to in section 166 shall, notwithstanding anything contained in any other enactment and notwithstanding the existence of any mortgage or other charge, whether legal or equitable, created either before or after the commencement of this Act, and subject to prior payment of land revenue due to the Government, be the first charge upon the interest of such person in such land.
(2) If any instalment of interest due under an agreement executed inpursuance of section 166, is not paid on the date on which it is due, the betterment fee shall become payable on that date, in addition to the said instalment.
(3) At any time after an agreement has been executed in pursuance ofsection 166 any person may pay off the charge created thereby, with interest, at six per cent per annum up to the date of such payment.
Section 168 - Recovery of money payable in pursuance of section 161, 162 or 166
All moneys payable in respect of any land by any person in respect of a betterment fee under section 161 or section 162 or by any person under the agreement executed in pursuance of section 166 shall be recoverable in the manner provided in Chapter VII by the municipal council together with interest due, up to the date of realisation, at the rate of four per cent per annum from the said person or his successor in interest in such land.
Section 169 - Agreement of payment not to bar acquisition under a fresh declaration
If any land, in respect of which the payment of a betterment fee has been accepted in pursuance of sub-section (3) of section 161 or has been made after its determination under section 162 or in respect of which an agreement in regard to the betterment fee has been executed under section 166, be subsequently required for any of the purposes of this Chapter the payment or agreement shall not be deemed to prevent the acquisition of the land in pursuance of a fresh declaration published under section 6 of Land Acquisition Act, 1894.
Section 170 - Forming of new extensions or layouts or making new private streets
(1) Notwithstanding anything to the contrary in any law for the time being in force, no person shall form or attempt to form any extension or lay-out for the purpose of constructing buildings thereon or make any new private street without the express sanction in writing of the municipal council and except in accordance with such conditions as the municipal council may specify.
(2) Any person intending to form an extension or lay-out or to make anew private street, shall send to the municipal council, a written application with plans and sections showing the following particulars:--
(a) the laying out of the sites of the area upon streets, lanes, or open spaces;
(b) the intended level, direction and width of the streets;
(c) the street alignment, and the building line, and the proposed sites abutting the streets;
(d) the arrangements to be made for levelling, paving, metalling,
flagging, channelling, sewering, draining, conserving and lighting the streets and for adequate drinking water supply.
(3) The provisions of this Act and of any rules or bye-laws made under itas to the level and width of streets and the height of buildings abutting thereon, shall apply also in the case of streets referred to in sub-section (2) and all the particulars referred to in that sub-section shall be subject to the approval of the municipal council.
(4) Within six months after the receipt of any application under sub-section(2), the municipal council shall either sanction the forming of the extension or lay-out or making of street on such conditions as it may think fit or disallow it, or ask for further information with respect to it.
(5) The municipal council may require the applicant to deposit, before sanctioning the application, the sums necessary for meeting the expenditure for making roads, side-drains, culverts, underground drainage and water supply and lighting and the charges for such other purposes as such applicant may be called upon by the municipal council, provided the applicant also agrees to transfer the ownership of the roads, drains, water supply mains and open spaces laid out by him to the municipal council permanently without claiming any compensation therefor.
(6) Such sanction may be refused, --
(i) if the proposed street would conflict with any arrangements which have been made or which are, in the opinion of the municipal council, likely to be made, for carrying out any general scheme of street improvement or other schemes of improvement or expansion by the municipal council,
(ii) if the proposed street does not conform to the provisions of this Act, or the rules or bye-laws referred to in sub-section (3), or
(iii) if the proposed street is not designed so as to connect at one end with a street which is already open.
(iv) if the lay-out in the opinion of the municipal council cannot be fitted with any existing or proposed expansion or improvement schemes of the municipal council.
(7) If the municipal council requires further information from the applicant under sub-section (4), no steps shall be taken by him to form the extension or lay-out or make the street until orders have been passed by the Municipal Council after the receipt of such information:
Provided that the passing of such orders shall not, in any case, be delayed for more than six months after the municipal council has received all the information which it considers necessary to enable it to deal finally with the said application.
(8) If the municipal council does not refuse sanction within six months from the date of receipt of the application under sub-section (2), or from the date of receipt of all information asked for under sub-section (7), such sanction shall be deemed to have been granted and the applicant may proceed to form the extension or layout or to make the street but not so as to contravene any of the provisions of this Act or the rules or bye-laws made under it.
(9) Any person who forms or attempts to form any extension or lay-outin contravention of the provisions of sub-section (1), or makes any street without or otherwise than in conformity with the orders of the municipal council under this section, shall be punished with fine which may extend to one thousand rupees.
Section 171 - Alteration or demolition of extension, lay-out or street
(1) If any person forms an extension or lay-out or makes any street referred to in section 170 or puts up any building without or otherwise than the conformity with the orders of the municipal council under section 170, the municipal council may, whether or not the offender be prosecuted under this Act, by notice, --
(a) require the offender to show sufficient cause, by a written statementsigned by him and sent to the municipal council on or before such day as may be specified in the notice, why such extension, lay-out or street should not be altered to the satisfaction of the municipal council or if such alteration be deemed impracticable by the municipal council, why such extension, layout or street should not be demolished, or
(b) require the offender to appear before the municipal council eitherpersonally or by a duly authorised agent in such way and at such time and place as may be specified in the notice and show cause as aforesaid.
(2) If any person on whom such notice is served, fails to show sufficientcause to the satisfaction of the municipal council why such extension, layout or street should not be so altered or demolished, the municipal council may pass an order directing the alteration demolition of such extension, layout or street.
Section 172 - Power of Municipal Council to order work to be carried out or to carry it out itself in default
(1) The municipal council may, -
(a) if any person who applies for permission under section 170 and is permitted expressly by the municipal council to carry out himself the works relating to the forming of the extension or lay-out or the making of a street, does not so carry it out; or
(b) if any private street or part thereof is not levelled, paved, metalled, flagged, channelled, sewered, drained, conserved or lighted to the satisfaction of the municipal council, by notice, require the person forming the extension or lay-out or the owners of such street or part and the owners of buildings and lands fronting or abutting on such street or part, including in cases where the owners of the land and of the building thereon are different, the owners both of the land and of the building, to carry out any work which, in its opinion, may be necessary and within such time as may be specified in such notice.
(2) If any such work is not carried out within the time specified in the notice under sub-section (1), the municipal council may, if it thinks fit, execute it or cause it to be executed and the expenses incurred shall be paid by the persons or owners referred to in sub-section (1) in such proportions as may be determined by the municipal council. Such expenses may be recovered from the persons concerned as if they were arrears of land revenue.
Section 173 - Establishment of Improvement Board
(1) The Government may after consulting the municipal council, for the purpose of undertaking and executing under this Chapter improvement schemes in any 1 [municipal area], direct the establishment of an Improvement Board in accordance with the provisions of this Chapter.
(2) When the Government directs the establishment of an Improvement Board under sub-section (1) a Board called the Improvement Board shall be constituted consisting of 2 [seven] members as follows:--
(a) The Chairman of the Board to be appointed by the Government:
3 [(b) x x x]
(c) The Municipal Commissioner or Chief Officer for the time being ofthe municipal council;
2 [(d) the Executive Engineer concerned and the nominee of the Director of Town Planning specified by the Government;]
(e) 2 [Two] members to be appointed by the Government;
(f) 2 [Two] members to be elected by the municipal councillors of the 1 [municipal area] from among themselves in the prescribed manner, or in default of election as aforesaid, to be appointed by the Government from among the municipal councillors of the 1 [municipal area].
(3) Every Improvement Board constituted under this section shall, untildissolved under sub-section (15), be a body corporate and shall have perpetual succession and a common seal with power, subject to the provisions of this Act, to acquire, hold and dispose of property and to contract and may by the said name sue and be sued.
(4) The names of the Chairman and members, other than ex-officio members, of the Improvement Board shall be notified in the official Gazette.
(5) The term of office of the Chairman and other members, not beingex-officio members, of an Improvement Board shall be three years from the date of publication of their names in the official Gazette and shall include any further period which may elapse between the expiration of the said period of three years and the date of publication in the official Gazette of the names of the Chairman and other members of the succeeding Board.
(6) Any casual vacancy in the office of a member occasioned by thedeath, resignation or removal of such member shall be filled up as soon as may be, in the same manner, by the same authorities, and subject, as far as may be, to the same provisions as are applicable in the case of original appointments and elections of the members of the Board:
Provided that the members so chosen shall hold office so long only as the vacating member would have held the same, if such vacancy had not occurred.
(7) The Chairman and other members, not being ex-officio members, shall be entitled to receive such allowances as may be prescribed and the allowances shall be paid from the funds of the Improvement Board.
(8) A person, other than a person who is an ex-officio member, shall be disqualified for being chosen as, or for being, a member of an Improvement Board, if he, -
(a) holds any office of profit under the Board or the Municipal council or the Government; or
(b) is of unsound mind and stands so declared by a competent court; or
(c) is an undischarged insolvent or has applied for being adjudged insolvent; or
(d) has been convicted of an offence, which involves, in the opinion of the Government, moral turpitude; or
(e) has directly or indirectly by himself, by his wife or son or any other near relative dependent on him, or by any partner, any share or interest in any subsisting contract or employment with, by, or on behalf of, the Improvement Board; or
(f) is a secretary or manager or other salaried officer of any body corporate which has any share or interest in any contract or employment with, by or on behalf of, the Improvement Board:
Provided that a person shall not be disqualified under clause (e) or be deemed to have any share or interest in any contract or employment with, by, or on behalf of, the Improvement Board, by reason only of his being a share-holder of a body corporate which has entered into any contract with the Board, if he has disclosed to the Government the nature and extent of the share held by him from time to time.
(9) The Government may after such inquiry as it deems necessary, remove from office the Chairman or any other member, not being an ex-officio member, if he, --
(a) refuses to act; or
(b) has become incapable of acting; or
(c) has, in the opinion of the Government, abused his position in the Board so as to render his continuance on the Board detrimental to its interest; or
(d) fails, without such reason as may in the opinion of the Government be sufficient, to attend three consecutive meetings of the Board; or
(e) ceases to reside within the limits of the 1 [municipal area] in respect of which the Improvement Board is established; or
(f) has since his appointment incurred, in the opinion of the Government, any of the disqualifications specified in sub-section (8); or
(g) is otherwise, in the opinion of the Government unsuitable to continue on the Improvement Board:
Provided that no order of removal under this sub-section shall be made, unless the member concerned has been given an opportunity to submit his explanation to the Government.
(10) The Improvement Board shall meet at the office of the Board andshall observe such rules of procedure in regard to transaction of business as may be prescribed.
(11) No act of an Improvement Board shall be deemed to be invalid byreason of any defect in the constitution of the Board or on the ground that any member thereof was not entitled to hold or continue in office by reason of any disqualification or of any irregularity in his appointment or election or by reason of any such act having been done during the period of any vacancy in the office of any member of the Board.
(12) Such members of the staff of an Improvement Board as may beprescribed shall be appointed by the Commissioner from members of the 4 [Karnataka Municipal Administrative Service]. The Board may, with the sanction of the Government appoint such other members of its staff as it deems necessary.
(13) The Improvement Board may enter into and perform all suchcontracts as it may consider necessary or expedient for carrying out any of the purposes of this Chapter and every contract shall be made on behalf of the Board by the Chairman and shall be entered into after complying with such conditions and in such manner as may be prescribed; and a contract not executed in the manner provided in this sub-section and the rules made in this behalf shall not be binding on the Board.
(14) It shall be the duty of the Improvement Board to prepare improvement schemes, and execute them and perform such other functions for purposes of the improvement of the 1 [municipal area] as the Government may direct from time to time.
(15) When the Government is satisfied that all such improvement schemes as it deems necessary have been executed by the Improvement Board, and that such further measures as may be necessary for the improvement of the 1 [municipal area] may conveniently be undertaken by the municipal council, the Government may by notification declare that the Improvement Board shall stand dissolved with effect from such date as shall be specified in such notification. Every such notification shall include provisions relating to the devolution of the assets and liabilities of the Board, the disposal or management of property vested in the Board, the completion of incomplete works, and all other matters incidental to the dissolution of the Board and the winding up of its affairs:
Provided that all immovable properties vested in the Board on the date of its dissolution and not expressly reserved to Government in the said notification shall thereafter vest in the municipal council.
_______________________________
1. Substituted by Act 36 of 1994 w.e.f. 1.6.1994.
2. Substituted by Act 83 of 1976 w.e.f. 8.12.1976.
3. Omitted by Act 83 of 1976 w.e.f. 8.12.1976.
4. Adapted bythe Karnataka Adaptations of Laws Order, 1973 w.e.f. 1.11.1973.
Section 174 - Property, finance, powers, etc., of Improvement Board
(1) Notwithstanding anything contained in this Act, the Government may, from time to time, for the purposes of this Chapter and subject to such limitations and conditions as it may impose and subject to the provisions of this Chapter, transfer to and vest in the Improvement Board any immovable property belonging to the Government or to the municipal council:
Provided that any such immovable property may at any time be resumed by Government, or by the municipal council with the previous sanction of the Government, as the case may be on such terms, if any, as the Government may determine.
(2) The Improvement Board shall have its own fund and all rents, profits and sale proceeds of all lands, buildings and other property vested or vesting in or acquired by the Board, and all other receipts of the Board shall be credited thereto and all payments by the Board shall be met there from. There shall also be credited to the said fund, --
(a) such sums as may be placed by the Government at the disposal of the Board from time to time for the purposes of this Chapter;
(b) such contributions from the Municipal Fund as the municipal council may from time to time be called upon by the Government to make, on a consideration by the Government of the relief or addition to the municipal resources accruing or likely to accrue as the result of improvement schemes undertaken by the Board; and
(c) the betterment fee and other sums due and paid to or recovered by the Board under the provisions of this Act.
(3) The Improvement Board shall, in each, year, frame a budget showingthe probable receipts and the expenditure which it proposes to incur during the following year and shall submit a copy of the budget for the approval of the Government before such date as may be fixed by it in this behalf. The budget shall contain provisions adequate in the opinion of the Government for the discharge of the duties of the Board and for the maintenance of a working balance. The Government may approve the budget subject to such modifications as it deems fit.
(4) The Improvement Board shall maintain correct accounts of its incomeand expenditure in such form and in such manner as may be prescribed. Such accounts shall be subject to such audit by such officers as the Government may direct.
(5) Whenever under any improvement scheme the whole or any part ofan existing public street or other land vested in the municipal council is included in the site of any part of a street to be formed, altered, widened, diverted, raised, re-arranged or re-constructed by the Improvement Board, the Board shall give notice to the municipal council that the whole or a part, as the case may be, of such existing street or other land (hereinafter referred to as the "part required") is required by the Board as part of a street to be dealt with as aforesaid, and the part required shall thereupon, subject to the provisions of sub-section (8), vest in the Board:
Provided that nothing contained in this sub-section shall be deemed to affect the rights or powers of the municipal council under this Act in or over any municipal drain or work.
(6) On the establishment of an Improvement Board in respect of any1[municipal area], and until its dissolution, all the powers and functions of the municipal council under sections 155 to 169 (both inclusive) shall be exercised and discharged by the Improvement Board and its Chairman, and the references to the municipal council, the Municipal Commissioner and the Chief Officer in the said sections shall be read as references to the Improvement Board and its Chairman:
Provided that every scheme drawn up by the Board under section 155 shall be sent to the municipal council and the views of the council received by the Board within thirty days from the date of communication of the scheme, shall with the comments of the Board be sent to the Government under section 158:
Provided further that no extension or layout under section 170 shall be sanctioned by the Board without the concurrence of the municipal council and where there is a difference of opinion between the Board and the municipal council, the decision of the Government shall be final.
(7) (a) The Government may also by notification declare that from such date and for such period as may be specified therein and subject to such restrictions and modifications as may be specified in the notification.--
(i) the powers and functions of the municipal council or a committee thereof under this Act, and the rules and bye-laws made thereunder shall be exercised and discharged by the Board; and
(ii) the powers and functions of the Municipal Commissioner or Chief Officer of the municipal council under this Act, shall be exercised and discharged by the Chairman of the Board:
Provided that the municipal council shall be consulted before making such declaration.
(b) On the making of a declaration under clause (a), notwithstanding anything contained in any other provision of this Act, the municipal council or any Committee thereof or the Municipal Commissioner or the Chief Officer of the municipal council shall not be competent to exercise or discharge the powers or functions conferred or imposed on the Board or the Chairman of the Board, as the case may be, by such declaration.
(8) (a) The Government, after consulting the municipal council shall, on being satisfied that any street formed by the Improvement Board has been duly levelled, paved, metalled, flagged, channelled, drained and sewered in the manner provided for in the plans of any improvement schemes and that such lamps, lamp posts and other apparatus as are in its opinion necessary for the lighting thereof and should be provided by the Board have been so provided, declare such street to be a public street, and such street shall thereupon vest or re-vest, as the case may be, in the municipal council and the municipal council shall thereafter maintain, keep in repair, light and cleanse such street.
(b) Any open space reserved for ventilation in any part of the1[municipal area], and provided by the Improvement Board as part of any improvement scheme executed by it shall be transferred on completion, to the municipal council for maintenance at the expense of the municipal council and shall thereupon vest in the municipal council.
(9) Any dispute which arises between the Improvement Board and the municipal council in respect of any matter shall be determined by the Government whose decision thereon shall be final.
_______________________________
1. Substituted by Act 36 of 1994 w.e.f. 1.6.1994.