Powers of Chief Officer and Council to refuse permission

(1) When a person has given notice to the Chief Officer under sub-section (2) of the last preceding section in regard to his intention to construct a building, it shall be lawful to the Chief Officer to refuse the permission applied for— (i) if the Council passes a resolution proposing to acquire the land on which the building is proposed to be constructed; or (ii) if the proposed construction would contravene the provisions of this Act, or any other law for the time being in force or any scheme, rules, bye-laws or other orders under this Act or any other law for the time being in force; or (iii) if the notice under sub-section (2) of the last preceding section is not in accordance with the provisions of that sub-section or is not accompanied by the information and documents required by that sub-section or if the person giving such notice fails to furnish all the information and documents required under sub-section (3) of that section; or (iv) if no plan has been prepared for the laying out of streets for the area in which the building is to be constructed; or (v) if there is no adequate provision for access to the building; or (vi) if the proposed construction be an encroachment on Government or municipal land; or (vii) for any other reasons to be recorded in writing, which may be deemed sufficient by the Chief Officer. Where the permission applied for its refused the decision taken and reasons therefor shall be communicated to the applicant. (2) Refusal under clause (i) of sub-section (1) shall be subject to the following conditions:— (a) if the property is acquired and no agreement is arrived at as regards the amount of compensation payable to the person giving notice under sub-section (2) of the last preceding section, the same shall be determined in accordance with the provisions of section 315 regard being had to the likely benefit, which would have accrued to such person, if the permission had not been refused; (b) if within a period of six months from the date of the resolution of the Council proposing to acquire the land, the land is not acquired by the Council by agreement upon payment, or if within such period, an application has not been made to the Collector for the institution of proceedings for compulsory acquisition under the provision of the Land Acquisition Act, 1894, or if the Council abandons the proposal to acquire the land, the notice given under sub-section (2) of the last preceding section shall be deemed to have been revived with effect from the date on which the said period of six months expires, or with effect from the date on which the decision of the Council to abandon the proposal is arrived at, as the case may be. Such decision shall be communicated to the person giving notice, within fifteen days from the date of the decision; and the notice shall be dealt with as if the Council had not passed a resolution to acquire the land. The Council shall be liable to pay compensation to the said person in respect of the loss which he may prove to have incurred by reason of the Council’s refusal to grant the permission: Provided that the Council shall not be liable to pay compensation if the notice under sub-section (2) of the last preceding section is given subsequent to the passing of the resolution by the Council to acquire the land.