Chapter XV PROPERTIES AND FUNDS OF PANCHAYATS

209. Grama Panchayat may acquire, hold and dispose off property, etc,. - The power of the Grama Panchayat to acquire, hold and dispose off property both movable and immovable whether within or without the limits of the area over which it has authority, to lease, sell or otherwise transfer any movable or immovable property which may have become vested in or been acquired by it, and to contract and to d o all other things necessary 151 for the purpose of this Act, shall be subject to the rules made by the Government in this behalf: 1[Provided x x x]1 1[Provided that twen ty-five percent of transfer of properti es by way of lea se or rent shall be earm arked f or persons belonging to the Scheduled Castes and the Scheduled Tribes]1 1. Inser ted by Act 44 of 2015 w.e.f. 25.02.2016.

210. Vesting of property in Grama Panchayat. - (1) It shall be competent for the Gove rnment, a Zilla Panchayat or Taluk Panchayat with the concurrence of the Grama Panchayat from time to time to direct that any property vesting in the Government, Zilla Panchayat or Taluk Panchayat, as the case may be, shall vest in the Grama Panchayat either conditionally or otherwise: Provided that no lease, sale or other transfer of any such immovable property by the Grama Panchayat shall be valid without the previous sanction, of the Government, the Zilla Panchayat or the Taluk Panchayat, as the case ma y be. (2) Every work constructed by a Grama Panchayat out of the Grama Panchayat fund shall vest in such Grama Panchayat: Provided that, the Government may , if it deems fit, declare by order that such road, building or other works vested in the Grama pa nchayat, shall stand transferred to and vest in, the Taluk Panchayat, Zilla Panchayat or the Government as the case may be. (3) All rubbish, sewage, filth and other matter collected by a Grama Panchayat under this Act shall belong to it.

211. Decision o f claims to property by or against Grama Panchayat. - (1) In any village to which a survey of lands other than lands ordinarily used for the purposes of agriculture only has been or shall be extended under any law for the time being in force, where any prop erty or any right in or over any property is claimed by or on behalf of the Grama Panchayat, or by any person as against the Grama Panchayat, it shall be lawful for the Assistant Commissioner after enquiry of which due notice has been given, to pass an order deciding the claims. (2) Any person aggrieved by an order made under sub -section (1) may appeal to the Deputy Commissioner and the decision of the Deputy Commissioner shall be final. (3) Any person shall be deemed to have had notice of any enquiry or order under this section if notice has been given in the prescribed manner.

212. Grama Panchayat Fund. - (1) There shall be for each Grama Panchayat a Fund called the Grama Panchayat Fund. (2) The following shall form part of , or be paid into the Grama Panchayat Fund, namely: - (a) the amount which may be granted or passed on to the Grama Panchayat by the Government or the Zilla Panchayat or Taluk Panchayat under the provisions of this Act or any other Act, or on any other account; (b) the proceeds of any tax, rate and fee imposed by the Grama Panchayat; (c) all sums received by the Grama Panchayat by way of loans or contributions from the Government or any other authority or person or by way of gift; (d) the rent or other income from, or sale proc eeds of any immoveable or movable property owned by or vested in the Grama Panchayat; and 152 (e) all other sums received from any source whatsoever. (3) The amount at the credit of the Grama Panchayat Fund shall be kept in the Government Treasury of the Ta luk or with the approval of the Executive Officer in any scheduled bank or a co -operative bank situated in the panchayat area or the neighboring panchayat area.

213. Application of Grama Panchayat fund and property. - (1) Subject to the provisions of this Act and rules made thereunder and such general or special orders of the Government, all property owned by or vested in the Grama panchayat under this Act and all funds received by it and all sums accruing to it under the provisions of this Act or any othe r law for the time being in force, shall be applied for the purposes specified in sections 58 and 59 and for all other purposes for which by or under this Act, or any other law for the time being in force, powers are conferred or duties are imposed upon th e Grama Panchayat: Provided that no expenditure shall be incurred out of the Grama Panchayat Fund unless provision therefor has been made in the budget of the Grama Panchayat or funds are obtained by reappropriation duly approved, except in such cases as may be prescribed: Provided further that not less than twenty percent of the funds meant for welfare activities shall be utilised for the welfare of the Scheduled Castes and Scheduled Tribes. (2) The Grama Panchayat Fund shall also be utilised for the fo llowing purposes, - (i) payment of salaries and allowances to the Adhyaksha and Upadhyaksha, officers and staff, traveling allowance, daily allowance, and sitting fees to the members of the Grama Panchayat or any Committee thereof, subject to such rules a s may be prescribed. (ii) any amount falling due on any loan raised by the Grama Panchayat; (iii) with the previous sanction of the Chief Executive Officer,1[and in accordance with the guidelines specified by the Government]1 for any other purpose for which the application of such property or fund is necessary in public interest: Provided that any amount granted to the Grama Panchayat by the Government or any person or local authority for any specific work or purpose shall be applied exclusively for such work or purpose and in accordance with such instructions as the Government may specify either generally or specially in this behalf.

214. Grama Panchayat may raise loans and form a sinking fund. - A Grama Panchayat may, with the previous sanction of the Government and subject to the conditions imposed by it from time to time, raise loans for the execution of any work or for the purposes of carrying out any of the provisions of this Act and form a sin king fund in the prescribed manner for the repayment of such loans.

215. Taluk Panchayat may acquire, hold and dispose off property etc,. - The power of every Taluk Panchayat to acquire, hold and dispose off property both movable and immovable whether wit hin or without the limits of the area over which it has authority to lease, sell or otherwise transfer any movable or immovable property which may have become vested in or been acquired by it, and to contract and to do all other things necessary for the pu rposes of this Act, shall be subject to such rules as may be prescribed: 1[Provided x x x]1

216. Vesting of property in Taluk Panchayat. - (1) It shall be competent for the Government or a Zilla Panchayat with the concurrence of the Taluk Panchayat from time to 153 time to direct that any property vesting in the Government or the Zilla Panchayat , as the case may be, shall vest in the Taluk Panchayat: Provided that no lease, sale or transfer of any such immova ble property by the Taluk Panchayat shall be valid without the previous sanction of the Government or the Zilla Panchayat, as the case may be. (2) Every work constructed by a Taluk Panchayat out of Taluk Panchayat Fund shall vest in such Taluk Panchayat: Provided that, the Government may, if it deems fit, declare by order that such road, building or other works vested in Taluk Panchayat, shall stand transferred to and vest in, the Zilla Panchayat or the Government as the case may be.

217. Decision of cl aims to property by or against Taluk Panchayat. - (1) In any taluk to which a survey of lands other than lands ordinarily used for the purpose of agriculture only has been or shall be extended under any law for the time being in force, where any property or any right in or over any property is claimed by or on behalf of the Taluk Panchayat, or by any person as against the Taluk Panchayat, it shall be lawful for the Deputy Commissioner after enquiry of which due notice has been given, to pass an order decidin g the claims. (2) Any person aggrieved by an order made under sub -section (1) may appeal to the Commissioner and the decision of the Commissioner shall be final. (3) Any person shall be deemed to have had due notice of any enquiry or order under this s ection if notice has been given in the prescribed manner.

218. Taluk Panchayat Fund. - (1) There shall be for each Taluk Panchayat a fund called the Taluk Panchayat Fund. (2) The following shall form part of, and be paid into the Taluk Panchayat Fund, n amely: - (a) the amount which may be granted or passed on to the Taluk Panchayat by the Government or the Zilla Panchayat under the provisions of this Act or any other Act, or on any other account; (b) the proceeds of any fees imposed by the Taluk Pan chayat; (c) all sums received by the Taluk Panchayat by way of contributions from the Government or any other authority or person or by way of gift; (d) the rent or other income from, or sale proceeds of any immoveable or movable property owned by or v ested in the Taluk Panchayat; and (e) all other sums received from any source whatsoever: Provided that sums received by way of endowments for any specific purpose shall not form part of or be paid into the Taluk Panchayat Fund. (3) The amounts at the credit of the Taluk Panchayat Fund shall be kept in the Government Treasury of the taluk.

219. Application of Taluk Panchayat fund and property. - (1) Subject to the provisions of this Act and the rules made thereunder and such general or special orders a s the Government, may make, all property owned by or vested in the Taluk Panchayat under this Act and all funds received by it and all sums accruing to it under the provisions of this Act or any other law for the time being in force, shall be applied for t he purposes specified in sections 145 and 146 and for all other purposes for which by or under this Act, or any other law for the time being in force, powers are conferred or duties are imposed upon the Taluk Panchayat: 154 Provided that no expenditure shall be incurred out of the Taluk Panchayat Fund unless provision therefor has been made in the budget of the Taluk Panchayat or funds are obtained by reappropriation duly approved, except in such cases as may be prescribed: Provided further that not less tha n twenty percent of the funds meant for welfare activities shall be utilised for the welfare of the Scheduled Castes and Scheduled Tribes. (2) The Taluk Panchayat Fund shall also be utilised for the following purposes: - (i) payment of salaries and allow ances to the Adhyaksha and Upadhyaksha, officers and staff, traveling allowance, daily allowance, and sitting fees to the members of the Taluk Panchayat or any committee thereof, subject to such rules as may be made in this behalf by the Government; (ii) any amount falling due on any loan raised by the Taluk Panchayat; (iii) with the previous sanction of the 1[Government]1, for any other purposes for which the application of such property or fund is necessary in public interest: Provided that any amount granted to the Taluk Panchayat by the Government or any person or local authority for any specific work or purpose shall be applied exclusively for such work or purpose and in accordance with such i nstructions as the Government may specify either generally or specially in this behalf.

220. Taluk Panchayat may raise loans and form a sinking fund. - A Taluk Panchayat may, with the previous sanction of the Government and subject to the conditions imp osed by it from time to time, raise loans for the execution of any work or for the purposes of carrying out any of the provisions of this Act and form a sinking fund in the prescribed manner for the repayment of such loans.

221. Rents and fees. - Save as otherwise provided in this Act and subject to the regulations made in this behalf, a Taluk Panchayat may charge fees for any license or permission issued by it under this Act, and the rules made thereunder and levy rent and fee for the occupation or use o f land or other property placed under its control or vested in it or maintained out of the Taluk Panchayat fund.

222. Zilla Panchayat may acquire, hold and dispose off property etc,. - (1) The power of every Zilla Panchayat to acquire, hold and dispose off property both movable and immovable whether within or without the limits of the area over which it has authority to lease, sell or otherwise transfer any movable or immovable property which may have become vested in or been acquired by it, and to con tract and to do all other things necessary for the purpose of this Act, shall be subject to the rules made by the Government in this behalf: 1[Provided x x x]1

223. Vesting of property in Zilla Panchaya t.- (1) It shall be competent for the Government with the concurrence of the Zilla Panchayat from time to time to direct that any property vesting in the Government shall vest in the Zilla Panchayat : Provided that no lease, sale or transfer of such imm ovable property by the Zilla Panchayat shall be valid without the previous sanction, of the Government. (2) Every work constructed by a Zilla Panchayat out of Zilla Panchayat Fund shall vest in such Zilla Panchayat: 155 Provided that, the Government may, if it deems fit, declare by order that such road, buildings or other works vested in the Zilla Panchayat, shall stand transferred to and vest in, the Government .

224. Decision of claims to property by or against Zilla Panchayat. - (1) In any district to which a survey of lands other than lands ordinarily used for the purpose of agriculture only has been or shall be extended under any law for the time being in force, where any property is claimed by or on behalf of the Zilla Panchayat, or by any person as a gainst the Zilla Panchayat, it shall be lawful for the Deputy Commissioner after enquiry of which due notice has been given, to pass an order deciding the claims. (2) Any person aggrieved by an order made under sub -section (1) may appeal to the Commissi oner and the decision of the Commissioner shall be final. (3) A person shall be deemed to have had due notice of any enquiry or order under this section if notice has been given in the prescribed manner.

225. Zilla Panchayat Fund. - (1) There shall be f or each Zilla Panchayat a fund called the Zilla Panchayat Fund and the following shall form part of, or be paid into the Zilla Panchayat Fund, namely, - (i) the amount transferred to the Zilla Panchayat Fund by appropriation from out of the Consolidated F und of the State; (ii) all grants, assignments, loans and contributions made by the Government; (iii) all fees and penalties paid to or levied by or on behalf of the Zilla Panchayat under this Act and all fines imposed under this Act; (iv) all rent s from lands or other properties of the Zilla Panchayat; (v) all interests, profits and other moneys accruing by gifts, grants, assignments or transfers from private individuals or institutions; (vi) all proceeds of land, securities and other propertie s sold by the Zilla Panchayat; (vii) all sums received by or on behalf of the Zilla Panchayat by virtue of this Act: Provided that sums received by way of endowments for any specific purpose shall not form part of or be paid into the Zilla Panchayat Fun d.

226. Custody and investment of Zilla Panchayat Fund. - (1) The amounts at the credit of the Fund shall be kept in the Government Treasury. (2) It shall be lawful for a Zilla Panchayat to deposit at interest with the Government Savings Bank or with the sanction of the Government, any scheduled bank or co -operative bank in the State, any surplus funds in its hands which may not be required for current charges and with like sanction to invest such funds in securities of the Government of India or the Stat e Government or in such other securities as the Government may, from time to time, approve in this behalf and to vary such investment or dispose of such securities with like sanction.

227. Application of Zilla Panchayat Fund and property. - (1) Subject t o the provisions of this Act and the rules made thereunder and such general or special orders as the Government may make, all property owned by or vested in the Zilla Panchayat under this Act and all funds received by it and all sums accruing to it under t he provisions of this Act or any other law for the time being in force, shall be applied for the purposes specified in sections 184 and 185 and for all other purposes for which by or under this Act, or any other law for the time being in force, powers are conferred or duties are imposed upon the Zilla Panchayat: 156 Provided that no expenditure shall be incurred out of the Zilla Panchayat Fund unless provision therefor has been made in the budget of the Zilla Panchayat or funds are obtained by reappropriation duly approved, except in such cases as may be prescribed: Provided further that not less than twenty percent of the funds meant for welfare activities shall be utilised for the welfare of the Scheduled Castes and Scheduled Tribes. (2) The Zilla Panchaya t Fund and all property held or vested in the Zilla Panchayat under this Act shall be applied, subject to the provisions of this Act for the payment of, - (a) salaries and allowances to the Adhyaksha and the Upadhyaksha and traveling and daily allowance to the Adhyaksha and Upadhyaksha for tours outside the district and travelling and daily allowance to the members of the Zilla Panchayat or any committee thereof, subject to such rules as may be made in this behalf by the Government; (b) the salaries, a llowances, pensions and gratuities of its officers and employees other than those whose salaries and allowances are paid from the Consolidated Fund of the State; (c) any amount falling due on any loan contracted by the Zilla Panchayat; (d) for the pu rposes specified in the Act; (e) all other purposes for which by or under this Act or the rules or regulations made thereunder or by or under any other law for the time being in force, powers are conferred or duties are imposed upon the Zilla Panchayat; (f) with the previous sanction of the Government, for any other purposes for which the application of such property or fund is necessary in public interest: Provided that any fund granted to the Zilla Panchayat by the Government or any person or local authority for any specific work or purpose shall be applied exclusively for such work or purpose and in accordance with such instructions as the Government may specify either generally or specially in this behalf.

228. Rents and fees. - Save as otherwise provided in this Act and subject to the regulations made in this behalf, a Zilla Panchayat may charge fee for any license or permission issued by it under this Act, and the rules made thereunder and levy rent and fee for the occupation or use of land or o ther property placed under its control or vested in it or maintained out of the Zilla Panchayat Fund.

229. Zilla Panchayat may raise loans and form a sinking fund. - A Zilla Panchayat may, with the previous sanction of the Government and subject to the c onditions imposed by it from time to time, raise loans for the execution of any work or for the purpose of carrying out any of the provisions of this Act and form a sinking fund for the repayment of such loans.

230. Prohibition of expenditure not covere d by the budget. - Except as hereinafter provided, no payment of any sum shall be made out of the Zilla Panchayat Fund, unless the expenditure of the same is covered by a budget grant except in the following cases, namely, - (a) refund of moneys which the Z illa Panchayat is authorised to make under this Act or the rules or regulations made thereunder; (b) repayment of moneys belonging to the contractors or other persons held in deposit and of moneys credited to the Zilla Panchayat Fund by mistake; (c) sums which the Zilla Panchayat is required or empowered by this Act to pay by way of compensation; (d) every sum payable, - 157 (i) under this Act by order of the 1[x x x]1 Government; (ii) under a decree or o rder of a civil court; and (iii) under a compromise of any suit or other legal proceedings or claim.

231. Government may place roads and other property under Zilla Panchayat. - (1) It shall be lawful for the Government from time to time to direct, by no tification, that any road, bridge, channel, building or other property, movable or immovable, which is vested in the Government and which is situated in the district, shall with the consent of the Zilla Panchayat and subject to such exceptions and conditio ns as the Government may make and impose, be placed under the control and administration of the Zilla Panchayat for the purposes of the Act and thereupon such road, bridge, channel, buildings or other property shall be under the control and administration of the Zilla Panchayat, subject to all exceptions and conditions so made and imposed and to all charges and liabilities affecting the same. (2) It shall be competent for the Government by notification to resume any property placed under the control of a Z illa Panchayat under sub -section (1) on such terms as the Government may determine. CHAPTER XVI 1[Administration, inspection, super vision and creation of commissionerrate of Gram Swaraj and Panchayat Raj ]1 1. Substitut ed by Act 44 of 2015 w.e.f. 25.02.2 016.