The Telangana Town Planning Act, 1920.
Telangana · state statute
Open in Lexace · Ask the AI about this actTHE TELANGANA TOWN-PLANNING ACT, 1920.
(ACT NO. VII OF 1920.)
ARRANGEMENT OF SECTIONS
Sections
CHAPTER I.
PRELIMINARY.
1. Short title and extent.
2. Definitions.
CHAPTER II.
TOWN-PLANNING SCHEMES.
3. Omitted.
4. Matters that may be dealt with in scheme.
5. Reconstituted plots.
6. Omitted.
CHAPTER III.
MAKING, VARIATION AND REVOCATION OF
SCHEMES AND THEIR EFFECT.
7. Appointment of Director of Town-Planning.
8. Obligation on newly constituted councils to make
schemes not later than four years.
9. Declaration of intention to make or adopt scheme.
10. Resolution to make or adopt scheme.
11. Publication of draft scheme.
12. Power of State Government to require council to
make scheme.
13. Contents of draft scheme.
14. Sanctioning of scheme by State Government.
2 [Act No. VII of 1920]
15. Variation or revocation of schemes.
16. Limitation of compensation payable to person
affected by variation or revocation of scheme.
17. Permission to be taken for construction, etc., after
publication of draft scheme.
18. Obligation on owners to comply with scheme after
sanction.
18-A. Power to levy development charges.
18-B. Classification of land or building.
19. Power of responsible authority to enforce scheme.
CHAPTER IV
COMPENSATION FOR INJURIOUS AFFECTION
AND CONTRIBUTION FOR BETTERMENT.
20. Right to compensation.
21. No right to compensation for building, etc.,
subsequent to first notification.
22. Exclusion or limitation of compensation in certain
cases.
22-A. Application for sanction for withdrawal or
modification of the scheme.
23. Power to levy betterment contribution.
24. Betterment contribution how calculated.
25. Assessment and collection of betterment
contribution.
26. Option of objecting owner to require council to
acquire his property.
CHAPTER V.
THE ARBITRATOR.
27. State Government to appoint arbitrator.
[Act No. VII of 1920] 3
28. Powers and duties of arbitrator.
29. Appeal.
CHAPTER VI.
FINANCE.
30. Municipal town-planning fund.
31. Power to borrow.
32. Omitted.
CHAPTER VII.
LAND ACQUISITION.
33. Modification of land Acquisition Act.
34. Notification under section 14 to have effect as
declaration under section 6, Land Acquisition Act.
35. Sections 15, 23 and 24 of Land Acquisition Act
superseded.
CHAPTER VIII.
MISCELLANEOUS.
36. Power of councils to make agreements.
37. Town-planning committee.
38. Joint town-planning committee.
39. Omitted.
40. Omitted.
41. Power of State Government to arbitrate in disputes
between local authorities.
42. Power of control of State Government.
43. Power of entry, etc.
44. Power of State Government to make rules.
44-A. Previous publication of the rules.
4 [Act No. VII of 1920]
44-B. Penalty for breach of the provisions of the scheme.
CHAPTER IX.
TOWN PLANNING TRUSTS.
45. Creation of town-planning trusts.
46. Constitution of trusts.
47. Chairman may be given salary.
48. Removal of trustees.
49. Disabilities of trustees removed under section 48.
50. Application to trusts of this Act and their power to
borrow.
50-A. Payment to trust by municipal councils.
51. Procedure if trust fails to make any payment in
respect of loans.
52. Vesting in municipal council of streets laid out or
altered and open spaces provided by the trust
under a scheme.
53. Ultimate dissolution of trust, and transfer of its
assets and liabilities to the municipal council.
54. Power to State Government to make rules for trusts.
54-A. Power of State Government to issue directions.
CHAPTER X.
TRANSFER OF PROCEEDINGS.
55. Transfer of proceedings from one authority to
another.
THE TELANGANA TOWN-PLANNING ACT, 1920.1
ACT No.VII OF 1920.
CHAPTER I.
PRELIMINARY.
2[1. (1) This Act may be called 3the Telangana Town
Planning Act, 1920.]
(2) It extends to the whole of the State of 3[Telangana].
2. In this Act, unless there is anything repugnant in the
subject or context,-
(1) “Chairman” means 4[XXX] the “Chairman of the
Municipal Council” in 5[XXX] municipalities.
(2) “Director” means the Direc tor of Town -Planning
appointed under this Act.
(3) “Municipality” means any local area in which 6[the
Telangana Municipalities Act, 1965,] is in force.
1. The Andhra Pradesh Town -Planning Act, 1920 in force in the
combined State, as on 02.06.2014, has been adapted to the State of
Telangana, under section 101 of the Andhra Pradesh Reorganisation
Act, 2014 (Central Act 6 of 2014) vide. the Telangana Adaptation of Laws
Order, 2016, issued in G.O.Ms.No.45, Law (F) Department, dated
01.06.2016.
2. Section 1 substituted by Act No.24 of 1981.
3. Substituted by G.O.Ms.No.45, Law (F) Department, dated 01.06.2016.
4. The words “the Commissioner of the Corporation of Madras, in the
City of Madras and ” were omitted by the Andhra Adaptation of Laws
(Amendment) Order, 1954 (A.A (Amdt) O. 1954).
5. The word “other” was omitted by the A.A (Amdt) O. 1954.
6. Adapted by G.O.Ms.No.142, Municipal Administration & Urban
Development (A2) Department, dated 29.10.2015.
Definitions.
Short title and
extent.
Act 6 of 1965.
2 [Act No.VII of 1920]
(4) “Owner” includes the person for the time being
receiving, or entitled to receive, whether on his own account
or as agent, trustee, guardian, manager or receiver for
another person, or for any religious or charitable purpose,
the rents or profits of the property i n connexion with which
the word is used.
(5) “Plot” means a continuous portion of land held in
one ownership other than land used , allotted or reserved for
any public or municipal purpose.
(6) “Prescribed” means prescribed by rules made
under this Act.
(7) “Reconstituted plot ” means a plot which is in any
way altered by the making of a town -planning scheme
otherwise than by the severance of land used , allotted or
reserved for any public or municipal purpose.
(8) “Responsible authority ” means “the authority or
person, who is specified in a scheme as responsible for
carrying out or enforcing the observance of all or any of the
provisions of the scheme or for enforcing the execution of
any works which under the scheme are to be executed by
any authority, owner, or other person”.
(9) “Scheme” means a town -planning scheme and
includes a plan relating to a town-planning scheme;
(10) “Town-planning” includes town-improvement.
CHAPTER II.
TOWN-PLANNING SCHEMES.
7[3. [XXX]]
7. Section 3 was omitted by Madras Act II of 1930.
[Act No.VII of 1920] 3
4. A town-planning scheme may provide for all or any of
the following matters:-
8[(a) the laying out or relaying out of land either vacant
or already built upon as building sites or for any of the
purposes mentioned in this section;]
(b) the construction, diversion, extension, alteration,
improvement or closure of streets, roads and
communications;
(c) the construction, alteration, removal 9[or] demolition
of buildings, bridges and other structures;
(d) the acquisition by purchase, exchange or
otherwise, of any land 10[or other immovable property]
within the area included in the schem e whether required
immediately 11[XXX] or not;
(e) the redistribut ion of boundaries and the re -
constitution of plots belonging to owners of property
comprised in the scheme;
(f) the disposal by sale, exchange, lease, or otherwise
of land acquired or owned by the council;
(g) transport facilities;
(h) water-supply;
(i) lighting;
8. Clause (a) substituted by Madras Act II of 1930.
9. Substituted for the word “and” by Madras Act II of 1930.
10. Inserted by Madras Act II of 1930.
11. “For building purposes” were omitted by Madras Act II of 1930.
Matters that may
be dealt with in
scheme.
4 [Act No.VII of 1920]
(j) drainage inclusive of severage and of surface
draining and sewage disposal;
(k) the allotment or reservation of land for s treets,
roads, squares, houses 12[XXX] buildings for religious and
charitable purposes, open spaces, gardens, recreation
grounds, schools, markets, shops, factories, hospitals,
dispensaries, Government and municipal buildings, and
public purposes of all kinds;
(l) construction of houses 12[XXX];
(m) the preservation of objects and buildings of
archaeological or historic interest or of natural beauty or
actually used for religious purposes or regarded by the
public with special religious veneration;
(n) the imposition of conditions and restrictions in
regard to the character, number, architectural features and
height of buildings allowed in specified areas, and the
purposes to which buildi ngs or specified areas may or may
not be appropriated; and the provision and maintenance of
sufficient open space about buildings;
(o) the suspension, 13[restriction or modification] so far
as may be necessary for the proper carrying out of t he
scheme, of any provision in 14[XXX] 15[the Telangana
Municipalities Act, 1965, or the 16Andhra Pradesh (Andhra
Area) District Boards Act, 1920 or as the case may be, 17the
12. “For the poorer and working classes ” were omitted by Madras Act II
of 1930.
13. Inserted by Madras Act II of 1930.
14. “The Madras City Municipal Act, 1919 ” were omitted by the A.A
(Amdt) O. 1954.
15. Adapted by G.O.Ms.No.142, Municipal Administration & Urban
Development (A2) Department, dated 29.10.2015.
16. Andhra Area Acts.
17. Adapted in G.O.Ms.No.46, Law (F) Department, dated 01.06.2016.
Act 6 of 1965.
[Act No.VII of 1920] 5
Telangana District Boards Act, 1955] or in any rule, by -law
or regulation made under the said Acts and in force in the
area included in the scheme;
(p) the 18[suspension, restriction or] modification, so far
as may be necessary for the proper carrying out of the
scheme, of any provision in 19[the Andhra Pradesh (Andhra
Area) Estates Land Act, 1908,] affecting the conversion of
holdings or portions thereof into b uilding land in the area
included in the scheme;
Explanation.- The word „holding‟ in this clause shall
have the same meaning a s in 19[the Andhra Pradesh
(Andhra Area) Estates Land Act, 1908.]
(q) the advance to the owners of land or buildings
comprised within the scheme, upon such terms and
conditions as may be provided by the scheme, of the whole
or part of the amount required for the erection of buildings
or for the carrying out of the works, alterations or
improvements in accordance with the scheme;
(r) such other matters not inconsistent with the object s
of this Act as may be prescribed.
5. (1) 20[XXX] The size and shape of every recons tituted
plot shall be so determined as to render it, so far as may be,
suitable for building purposes.
(2) In order to re nder original plots more suitabl e for
building purposes, the scheme may contain proposals,-
(a) to form a reconstituted plot by the alteration of the
boundaries of an original plot;
18. Inserted by Madras Act II of 1930.
19. Andhra Area Acts.
20. “In the scheme” were omitted by Madras Act II of 1930.
Reconstituted
plots.
Act I of 1908.
6 [Act No.VII of 1920]
(b) to provide with the consent of the owners, that
two or more original plots, each of which is held in
ownership in severalty or in joint ownership, shall thereafter,
with or without alteration of boundaries, be held in
ownership in common as a reconstituted plot;
(c) to allot a p lot to any owner dispossessed of land
in furtherance of the scheme; and
(d) to transfer the ownership of a plot from one
person to another.
21[6. [XXX]]
CHAPTER III.
MAKING, VARIATION AND REVOCATION OF SCHEMES
AND THEIR EFFECT.
7. (1) The *[State Government] may appoint a person to
be Director of Town -Planning for the *[State] and may
assign to him from time to time such salary and
establishment as they think fit.
(2) The cost of such officer and his establishment shall
be paid out of the revenues of the *[State Government].
(3) Municipal councils shall consult the Director on
such matters relating to town -planning, and in such manner
as may be prescribed. If any difference arises between the
Director and a council on any matter so prescribe d, it shall
be referred to the *[State Government] whose decision shall
be final.
21. Omitted by Madras Act II of 1930.
* Throughout the Act , the words “Provincial Government ” were
substituted for the words “Local Government” by the Adaptation Order,
1937, and the word “State” was substituted for “Provincial” by the
Adaptation Order, 1950.
Appointment of
Director of Town-
Planning.
[Act No.VII of 1920] 7
22[8. (1) [Every M unicipal council shall not later than four
years from t he date of the c onstitution of such council]
prepare, publish and submit for the sanction of the *[State
Government] a general town -planning scheme in respect of
all land within the municip ality and in its vicinity unless the
*[State Government] order otherwise.
(2) Notwithstanding anything con tained in sub -section
(1), the *[State Government] may, after making such enquiry
as they may deem ne cessary by notification in the 23[Official
Gazette], direct any municipal council to prepare, publish
and submit for their sanction before an appointed date a
general town -planning scheme under this section for an
area specified in such notification.
(3) A general town -planning scheme shall determine
the lines on which the improvement and development of the
area within the municipality and in its vicinity shall proceed
and shall provide for such of the matters referred to in
section 4 and to such extent as may be prescribed.]
9. 24[(1) A municipal council may, by resolution, decide to
prepare a scheme in respect of any land, within the
municipal area, or in its vicinity outside such area, or to
adopt with or without modifications a draft schem e
proposed by all or any of the owners of any such land. The
chairman shall then have a plan prepared showing the land
proposed to be included in the scheme, the surrounding
lands and any existing streets.]
22. Substituted for the original section 8 by Madras Act II of 1930.
Marginal heading and opening portion of sub -section (1) substituted by
Act No.24 of 1981.
23. Substituted for the “Fort St. George Gazette ” by the Adaptation
Order, 1937.
24. Substituted by Madras Act II of 1930.
[Obligation on
newly constituted
councils to make
schemes not later
than four years.]
Declaration of
intention to make
or adopt scheme.
8 [Act No.VII of 1920]
(2) No town -planning scheme made or adopted by a
municipal counci l shall include any area outside its limits
without the concurrence of the municipal council or of the
district board, as the case may be, hav ing jurisdiction over
such area:
25[Provided that if the municipal council or district
board concerned omits, for four months from the date of
receipt of the communication requesting such concurrence,
to send a final reply thereto, such concurrence sha ll be
deemed to have been given:]
Provided further that, where su ch concurrence is
refused, the *[State Government] may, after considering the
objections of such council or district board, overrule them,
and permit such area to be included in the scheme.
(3) The decision of the *[State Government] as to
whether any land is in the vicinity of a mun icipal area shall
be final.
10. The resolution under section 9 shall be pub lished by
notification in the prescribed manner by the chairman; and
such notification shall state that a copy of the plan is kept for
the inspection of the public at all reasonable hours at the
municipal office.
11. (1) If the resolution is to make a scheme, the municipal
council shall, within twelve months from the date of the
notification under section 10, 26[XXX], or within such further
period, not exceeding twelve months, as the *[State
Government] may allow, and after consulting, in the
prescribed manner, the owners of lands and buildings in the
area affected, prepare, 27[XXX] and publish a draft scheme.
25. The proviso was inserted by Madras Act II of 1930.
26. “Sub-section (3)” were omitted by Madras Act II of 1930.
27. “Print” was omitted by Madras Act II of 1930.
Resolution to
make or adopt
scheme.
Publication of
draft scheme.
[Act No.VII of 1920] 9
(2) If the resolution is to adopt a draft scheme
proposed by owners, the council shall, without delay 28[XXX]
publish such scheme.
12. Notwithstanding anything contained in 29[sections 9 to
11], the *[State Government] may, in respect of any
municipality, after making such inquiry as they may deem
necessary, by notification in the 30[Official Gazette], require
the council, before a fixed date, 31[to prepare, publish and
submit for thei r sanction a draft scheme] as respects any
land in regard to which a town -planning scheme may be
made.
13. (1) Every draft scheme shall co ntain the following
particulars:-
(a) a plan showing the lines o f existing and proposed
streets;
(b) the ownership of all lands and buildings in the
area to which the scheme relates;
(c) the area of all such lands whether public or
private;
(d) a full description of all details of the scheme under
such clauses of section 4 as may be applicable;
32[(e) [XXX]]
28. “Print and” were omitted by Madras Act II of 1930.
29. Substituted for “sections 8 to 11” by Madras Act II of 1930.
30. Substituted for the words “Fort St. George Gazette ” by the
Adaptation Order, 1937.
31. Substituted by Madras Act II of 1930.
32. Clause (e) was omitted by Madras Act II of 1930.
Power of State
Government to
require council to
make scheme.
Contents of draft
scheme.
10 [Act No.VII of 1920]
(f) an estimate of the 33[XXX] cost of the scheme;
34[(g) regulations for enforcing or carrying out the
provisions of the scheme; and defining the responsible
authority and the period for which such responsible
authority shall function;]
(h) any other particulars or plans that may be
prescribed or specially required by the *[State Government.]
(2) Every draft scheme which includes a housing
scheme shall also contain the following particulars, namely:-
(i) the approximate number and the nature of the
houses to be provided by the „responsible authority‟;
(ii) the approximate quanti ty of land to be acquired
and the localities in which land is acquired;
(iii) the average number of houses per acre; and
(iv) all matters incidental to the housing scheme.
(3) A draft scheme may provide that any person who
commits or knowingly permits a breach of any specified
provision of the scheme, or who neglects or fails to comply
with any such provision, shall, on c onviction, be punishable
under section 44-B.
14. (1) If within sixty days from the date of the publication
of a draft scheme any person affected by such scheme
communicates in writing any objection or suggestion
relating thereto, the council shall consider such objection or
suggestion and may modify the scheme as it thinks fit.
33. The word “net” was omitted by Madras Act II of 1930.
34. Clause (g) substituted by Madras Act II of 1930.
Sanctioning of
scheme by State
Government.
[Act No.VII of 1920] 11
(2) The scheme as passed or adopted by the council
together with all written objections and suggestions shall
thereupon be sub mitted to the *[State Government] for
sanction 35[and the fact of such submission shall be
published in the prescribed manner].
36[(3) The *[State Government] may, af ter considering
the objections a nd suggestions, if any, and making such
inquiry as they think fit, sanction scheme with or without
modifications, or may refuse to sanction the scheme or may
return the scheme to the council for reconsideration:
Provided that unless a modifica tion is, in the opinion of
the *[State Government], verbal or incon sequential, the
*[State Government] shall not sanction the scheme with
such modification without the consent of the council:
Provided further that when a scheme is returned to the
council for reconsideration, the co uncil shall resubmit it to
the *[State Government] within three months from the date
of its receipt and the *[State Government] may then deal
with the scheme in the manner mentioned in this sub -
section:
Provided further that if the council fails to re -submit the
scheme within the time specified in the foregoing proviso,
the *[State Government] may, in relation to the scheme,
pass such orders as they may deem fit.]
(4) When a scheme returned for reconsid eration is
modified by the council, the scheme as so modified sh all
before resubmission to the *[State Government] for
sanction, be published and passed by the council in the
same manner as a draft scheme,-
35. Added by Madras Act II of 1930.
36. Substituted by Madras Act II of 1930.
12 [Act No.VII of 1920]
(a) in cases in which the modification involves the
inclusion in or exclusion from the scheme of any land or the
acquisition of any land not originally proposed to be
acquired, and
(b) in every other case in which the modification is in
the opinion of the council or of the *[State Government], of
sufficient importance to require the following of this
procedure.
(5) The sanction of the *[State Government] to a
scheme under sub -section (3) shall be published by
notification in the 37[Official Gazette], and such notification
shall state at what place and time the scheme will be open
to the inspection of the public.
(6) A notification published under sub -section (5) shall
be conclusive evidence that the scheme has been duly
made and sanctioned. The scheme shall have effect from
the date of publication of such notification and the execution
of the scheme shall be commenced forthwith:
Provided that, where the scheme so provides, the
execution of the scheme or any part thereof may be
deferred until such time as may be fixed in the scheme.
38[15. (1) A town -planning scheme sanctioned under
section 14 may at any time be varied or revoked by a
subsequent scheme, published and sanctioned in
accordance with this Act:
Provided that the municipal council shall be competent
to modify a scheme after it has been sanctioned by the
*[State Government] under section 14 by an agreement
37. Substituted by the Adaptation Order, 1937.
38. Substituted by Madras Act II of 1930.
Variation or
revocation of
schemes.
[Act No.VII of 1920] 13
entered into with the persons interested in the scheme a nd
with the concurrence of the *[State Government].
(2) (a) The *[State Government] may, at an y time, by
notification in the 39[Official Gazette], vary or revoke a
scheme sanctioned under section 14.
(b) Before issuing such notification the *[State
Government] shall publish in the pr escribed manner a draft
of such notification together with a notice specifying a date
on or after which such draft will be taken into consideration
and shall consider any objection or suggestion which may
be received in respect of such draft from the counc il or any
person affected by the scheme before the date so
specified.]
16. If at any time after the day on which a scheme has
come into force such scheme is varied or revoked, any
person who has incurred expenditure for the purpose of
complying with such sch eme shall be entitled to receive
compensation from the municipal council in so far as, by
reason of the variation or revocation of such scheme, such
expenditure has ceased to be in any way beneficial to him.
17. After the publication of a notification under section 10
or section 12, no person shall erect, or proceed with, any
building or work on, or enter into or carry out a contract in
respect of, land within the area included in the sche me,
unless he has appl ied for, 40[and obtained permission, in
cases where a scheme has not been sanctioned, from the
municipal council, an d in other cases , from a responsible
authority]:
39. Substituted by the Adaptation Order, 1937.
40. Substituted by Madras Act II of 1930.
Limitation of
compensation
payable to person
affected by
variation or
revocation of
scheme.
Permission to be
taken for
construction, etc.,
after publication
of draft scheme.
14 [Act No.VII of 1920]
Provided that, if the counci l 41[or the responsible
authority] omits for th ree months from the date of rece ipt of
such application, to communicate to the applicant any
orders thereon, it shall be de emed to have granted the
permission.
18. From the d ate of the notification of the *[State
Government] sanctioning a scheme under section 14, all
owners of lands and buildings in the area affected by the
scheme who propose to construct or reconstruct or in any
way alter or add to buildings shall conform in every
particular with the requirements of such scheme ; and no
building shall be constructed or reconstructed in any area in
which building is expre ssly forbidden in the scheme, or
which is reserved in the scheme for any purpose
incompatible with building.
42[18-A. (1) Subject to the provision s of this Act the
competent authority shall levy, development charges at
such rate as may be prescribed on th e institution of use or
change of use of land or building or development of any
land or building for which permission is required under this
Act in the whole area or any part of the development area:
Provided that dif ferent rates of development charges
may be prescribed for different parts of the development
area and for different uses.
(2) Notwithstanding anything contained in sub -section
(1) no development charges shall be levied on the institution
of use or change of use of land or building or development
of any land or building vested in or under the control or
possession of the Central or the State Government or of any
local authority.
41. Inserted by Madras Act II of 1930.
42. Sections 18-A and 18-B inserted by Act No.14 of 1996.
Obligation on
owners to comply
with scheme after
sanction.
Power to levy
development
charges.
[Act No.VII of 1920] 15
18-B. (1) For the purpose of assessing the development
charges, the use of land or building shall be classified under
the following categories:-
(i) Industrial;
(ii) Commercial;
(iii) Residential;
(iv) Agricultural or conservation and recreational; and
(v) Miscellaneous (other uses).
(2) In classifying the use of land or building under any
of the categories mentioned in sub -section (1), the
predominant purpose for which such land or building is
used shall be the main basis for such classification.]
19. (1) On and after the day on which the scheme comes
into force, the 43[responsible a uthority] may make a
provisional order requiring an owner,-
(a) to remove, pull down, or alter any building or
other work in the area included in the sc heme which is such
as to contravene the scheme, or in the erection or carrying
out of which any provision of the sc heme has not been
complied with; or
(b) to execute within a specified period any work
which it is the owner ‟s duty to execu te under the scheme,
where the 43[responsible authority] is of opinion that delay in
the execution of the work would prejudice the efficient
operation of the scheme.
43. Substituted for “chairman” by Madras Act II of 1930.
Power of
responsible
authority to
enforce scheme.
Classification of
land or building.
16 [Act No.VII of 1920]
(2) The 44[responsible authority] shall serve a copy of
the provisional order made under sub -section (1) on the
owner, together with a notice requiring him to show cause,
within a reasonable time to be specified in such notice, why
the order should not be confirmed.
45[(3) If the owner fails to show cause to the satisfaction
of the responsible authority, the responsible authority may
confirm the order granting such further period as it may
deem fit, to execute the work and such order shall be
communicated to and be binding on the owner and may be
enforced. The expenses of enforcement may be recovered
in the prescribed mann er. An appeal shall lie to the *[State
Government] against the order of the responsible authority
and their decision shall be final.]
CHAPTER IV
COMPENSATION FOR INJURIOUS AFFECTION AND
CONTRIBUTION FOR BETTERMENT.
20. Any person whose property is injur iously affected by
any refusal 46[XXX] to grant the permission applied for under
section 17 or by the making of a town -planning scheme
shall, if he makes a claim for the purpose within the time (if
any) limited by the scheme, not being less than three
months after the date of public ation of a notification by the
*[State Government] sanctioning the scheme under sect ion
14, be entitled to obtain compensation in respect thereof
from the municipal council.
21. A person shall not be entitled to obtain compensation
under section 20 on account of any building erected on, or
contract made, or other thing done with respect to, land
44. Substituted for “chairman” by Madras Act II of 1930.
45. Sub-section (3) substituted by Madras Act II of 1930.
46. “Of the municipal council” were omitted by Madras Act II of 1930.
Right to
compensation.
No right to
compensation for
building, etc.,
subsequent to first
notification.
[Act No.VII of 1920] 17
included in scheme, after the date of the publication of the
notification under section 10 47[XXX] or section 12:
Provided that this provision shall not apply to any
building erected, contract made or other thing done in
accordance with a permission granted under section 17.
22. (1) Where property is alleged to be injuriously affected
by reason of any provisions contained in a town -planning
scheme, no compensation shall be paid in respect thereof, if
or in so far as the provisions are such as would have been
enforceable without c ompensation under any law, rule or
bye-law at the time in force.
(2) Property shall not be deemed to be injuriously
affected by reason of any provisions inserted in a scheme,
which impose any conditions or rest rictions in regard to any
of the matters specified in section 4, clause (m) or clause
(n).
(3) Where a person is entitled to compensation under
this Act in respect of any matter or thing, and he would be
entitled to compensation in respect of the same matter or
thing under any other Act, he sha ll not be entitled to
compensation in respect of that matter or thing under both
the Acts, nor shall he be entitled to any larger compensation
under this Act than he would be entitled to under the other
Act.
48[22-A. (1) The municipal council may, within three months
from the date of an award of compensation in respect of
property injuriously affect ed, make an application to the
*[State Government] to sanction the withdrawal or
modification of all or any of the provisions of the scheme
47. “Sub-section (1)” omitted by Madras Act II of 1930.
48. Section 22-A inserted by Madras Act II of 1930.
Exclusion or
limitation of
compensation in
certain cases.
Application for
sanction for
withdrawal or
modification of the
scheme.
18 [Act No.VII of 1920]
which gave rise to the claim for compensation and give
notice of such application to the owner of such property.
(2) If the *[State Government] ac cord such sanction,
the award of compensation shall stand cancelled, and the
municipal council shall pay the costs if any, awarded by the
arbitrator in connexion with the claim for compensation.
(3) Nothing contained in this section shall affect the
right of the owner to make a fresh claim for compensation in
respect of the mod ified scheme sanctione d by the *[Stale
Government] under sub-section (2).
(4) No award of compensation in respect of property
injuriously affected shall be enforceable within thre e months
from the date thereof, or, if notice has been given under
sub-section (1), pending the orders of the *[State
Government] on the application made under the same sub -
section.]
23. Where by the maki ng of any town -planning scheme
49[the value of any property has increased or is likely to
increase], the municipal council, if it makes a claim for the
purpose within the time (if any) limited by the scheme 50[not
being less than three months] after the date of publication of
a notification of the *[State Gove rnment] sanctioning a
scheme under section 14, shall be entitled to recover from
the owner of such property an annual betterment
contribution for such term of years and at such un iform
percentage of the increase in value not exceeding ten per
centum as may be fixed in the scheme:
49. Substituted for “any property is increased in value ” by Madras Act II
of 1930.
50. Substituted for “not being later than six months ” by Madras Act II of
1930.
Power to levy
betterment
contribution.
[Act No.VII of 1920] 19
Provided that the aggregate amount of the
contributions so re covered shall not exceed one -half of the
maximum increase in value during the aforesaid term of
years as ascertained under the next following section.
24. The betterment contribution shall be levied according
to the following principles:-
(a) In respect of each property on which the
contribution may be levied under section 23, its market
value at the date of the publication of the notification under
section 10, 51[XXX] or section 12, sha ll be estimated without
reference to the improvements contemplated in the scheme.
(b) In each of the financial years following that in which
the scheme takes effect under section 14, 52[sub-section
(6)], the market value of each such property on the first day
of April of that year shall be estimated by the chairman.
(c) If in any financial year, the market value estimated
under clause (b) does not exceed that estimated under
clause (a), no betterment contribution shall be levied for that
year.
(d) If in any financial year, the estimated market value
under clause (b) exceeds that under clause (a), the
municipal council shall levy on the difference a betterment
contribution according to the percentage fixed in the
scheme:
Provided that in estimating the mark et value of land
under clause (a) or clause (b), the value of buildings or
other works erected or in the course of erection on such
land shall not be taken into consideration.
51. “Sub-section (1)” omitted by Madras Act II of 1930.
52. Substituted for “sub-section (5)” by Madras Act II of 1930.
Betterment
contribution how
calculated.
20 [Act No.VII of 1920]
25. (1) The betterment contribution shall be a first charge
on the property on which it is due, subject to the prior
payment of land revenue, if any, due to the Government
thereon, and shall be paid in half -yearly instalments of one -
half of the amount fixed for the year.
(2) (a) The *[State Government] may make rules for the
assessment and collection of the betterment contribution,
and subject to such rules, (i) the chairman shall have the
same powers and shall adopt the same procedure for the
assessment and collection of the b etterment contribution as
he has for the assessment and collection of the property tax,
(ii) persons affected shall have the same right to receive
notice of assessment and to object to the assessment and
to appeal in respect thereof as they have in respect of the
property tax, and (iii) decisions on appeal shall to the same
extent be final and conclusive; and
(b) lands and buildings exempt from the property tax
shall also be exempt from any betterment contribution.
26. (1) If the owner of any property, separately registered
in the municipal assessment books and assessed to a
betterment contribution in any particular year, objects to the
amount of such contribution on the ground that the market
value estimated under clause (b) of section 24 is excessive,
he shall state the market value which, he contends, is
correct, and may, within thirty days of the date on which the
determination of his objection or appeal becomes final, by
written notice, require the municipal council to acquire the
property together with any buildings or other works that may
exist thereon.
(2) The counci l shall thereupon either acquire the
property or accept the market value as stated by the owner
and revise its ass essment of the betterment contribut ion in
accordance therewith.
Assessment and
collection of
betterment
contribution.
Option of
objecting owner
to require council
to acquire his
property.
[Act No.VII of 1920] 21
(3) In case the council elects to acquire the property
the compensation payable the refor shall be determined
53[according to the provisions of the Land Acquisition Act,
1894, or according to those provisions as modified by
sections 34 and 35, as the case may require]:
Provided that the compensation payable for the
property, apart from the buildings or other works thereon,
shall not exceed the market value stated by the owner under
sub-section (1).
CHAPTER V.
THE ARBITRATOR.
54[27. (1) After a scheme has been sanctioned the *[State
Government] may and if so required by the council or any
person interested in the scheme shall appoint an arbitrator
with sufficient establishment to discharge all or any of the
following duties:-
(a) to pass such orders as may be required under
clauses (a) to (d) of sub-section (2) of section 5;
(b) to define, and, where necessary, to demarcate or
cause the demarcation of, the reconstituted plots or the
areas allotted to, or reserved for, the purposes mentioned in
clause (k) of section 4;
(c) to decide, in reference to the claims made,
whether any property is injuriously affected within the
meaning of section 20, and award the compensation, if any,
to be paid to the owner concerned in accordance with the
provisions contained in Chapter IV; and
53. Substituted for the words “according to the provisions of the Land
Acquisition Act, 1894, as modified by Chapter VII of this Act ” by Madras
Act IV of 1934.
54. Substituted by Madras Act II of 1930.
State Government
to appoint
arbitrator.
Central Act I of 1894.
22 [Act No.VII of 1920]
(d) to determine, in reference to the claims made, the
properties which are liable to the betterment contribution
under section 23 and estimate and record their market value
as the date of the notification under section 10 or section 12,
as the case may be, in accordance with the provi sions of
clause (a) of section 24.
(2) The decisions of the arbitrator under clauses (a)
and (b) of sub -section (1) shall be read as part of the
scheme sanctioned under section 14 and shall be final and
binding on all persons:
Provided that where any such decision is in conflict
with any provision in the scheme it shall require the approval
of the *[State Government] and, on such approval bein g
given, shall be deemed, to the extent mentioned in such
decision, to have varied the sanctioned scheme.]
55[28. (1) The arbitrator shall give notice of his proceedings
and conduct them in the prescribed manner and
communicate his decision to the parties concerned.
(2) An arbitrator shall have all the powers of a Civil
Court under the Code of Civil Procedure, 1908, fo r the
purpose of taking evidence on oath and of enforcing the
attendance of witnesses and compelling the production of
documents and material objects.
(3) The costs of and incident 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 aforesaid.]
55. Substituted by Madras Act II of 1930.
Powers and
duties of
arbitrator.
Central Act 5 of 1908.
[Act No.VII of 1920] 23
56[29. (1) Any party aggrieved by any decision of the
arbitrator under clause (c) or clause (d) of sub-section (1) of
section 27 may within three months from the date of the
communication of such decision appeal to th e District
Judge concerned 57[XXX].
(2) The decision of the arbitrator under clause (c) or
clause (d) of sub -section (1) of section 27 and, when an
appeal has been preferred under sub -section (1), the
decision on such appear shall be read as part of the
scheme sanctioned under section 14 and shall be final and
binding on all persons.]
CHAPTER VI.
FINANCE.
30. (1) The receipts of a municipal council under this Act or
any town -planning scheme made thereunder shall form a
separate town-planning fund and all expenditure under this
Act or any town -planning scheme thereunder shall be
defrayed out of such fund. No portion of the fund shall,
except with the sanction of the *[State Government ], be
expended for purposes not provided for by this Act.
(2) The moneys required, in the first instance, to
establish such fun d, and any deficiency from time to time
occurring in such fund by reason of the excess of
expenditure over receipts shall, subject to such rules as the
*[State Government] may frame in this behalf be supplied
out of the general municipal fund or out of mon eys
borrowed in pursuance of this Act.
(3) Separate accounts shall be maintained by each
municipal council for its town-planning fund.
56. Substituted by Madras Act II of 1930.
57. Omitted by the A.A (Amdt) O. 1954.
Appeal.
Municipal town-
planning fund.
24 [Act No.VII of 1920]
31. A municipal council, taking action under this Act, shall
be deemed to be a local authority as defined in the Local
Authorities Loans Act, 1914, for the purpose of borrowing
money under the provisions of that Act, and the making and
execution of a town-planning scheme shall be deemed to be
a work which such local authority i s legally authorized to
carry out.
58[32. [XXX]]
CHAPTER VII.
LAND ACQUISITION.
33. Immovable property required for the purposes of a
town-planning scheme shall be deemed to be land needed
for a public purpose, within the meaning of the 59Land
Acquisition Act, 1894, 60[and may be acquired,-
(a) under the said Act, or
(b) under the said Act as modified in the manner
hereinafter provided in this chapter.]
34. 60[In cases falling under clause (b) of section 33 a
notification under section 14 shall, notwithstanding anything
contained in the Land Acquisition Act, 1894, operate] in
respect of any land for the purposes of the scheme as a
declaration under section 6 of the said Act and no furth er
declaration shall be necessary, but it shall not be incumbent
on the *[State Government], or officer authorized in that
behalf, to take immediate steps for the acquisition of such
land. Provided that if the land is not acquired within three
years from the date of the notificati on, it shall cease to have
58. Section 32 was omitted by the Adaptation Order, 1937.
59. See now the Provisions of the Act, 2013 (Central Act 30 of 2013).
60. Substituted by Madras Act IV of 1934.
Power to borrow.
Modification of
land Acquisition
Act.
Notification under
section 14 to have
effect as
declaration under
section 6, Land
Acquisition Act.
Central Act I of 1894.
Central Act 9 of 1914.
[Act No.VII of 1920] Excerpt shown. Open the full act in Lexace.
Lex