Classification of municipal areas

(1) Every municipal area shall be classified by the Government as ‘A’ Class, ‘B’ Class or ‘C’ Class, on the basis of the population thereof, as specified below:— A municipal area— (a) with a population of more than 50,000 shall be a ‘A’ Class municipal area; (b) with a population of more than 10,000 but not more than 50,000 shall be a ‘B’ Class municipal area; and (c) with a population of 10,000 or less shall be a ‘C’ Class municipal area. (2) Notwithstanding anything contained in sub-section (1), there shall come into existence on and from the appointed day Municipal Councils as shown in column 3 of Schedule I having jurisdiction over such municipal areas as may be declared by notification in the Official Gazette by the Government in this behalf in the manner provided in section 3 and shall bear the classification shown against them in column 4 of Schedule I. (3) Notwithstanding anything contained in any law for the time being in force, after the appointed day, it shall be lawful for the various authorities concerned to take all necessary steps to prepare the lists of voters and to hold general elections in the municipal areas, but the Councillors elected thereat shall be eligible to enter office only after the day on which section 327 is brought into force. (4) Every area declared to be a municipal area after the appointed day shall likewise be classified by the Government and for that purpose the Government shall, from time to time, by notification in the Official Gazette, amend Schedule I. (5) The Government shall review the classification made under this section after each census or when the limits of any municipal area are altered by addition or exclusion of any local area or when any area ceases to be a municipal area, and shall, where necessary, by notification in the Official Gazette, amend Schedule I accordingly.